"I don't think we can proceed forward saying everybody is in their own boat and they sink or swim alone," he said in reference to the need for advanced nations, like the US, to take heed of countries vulnerable to the stimulus withdrawal.
In his interview to 'The Australian Financial Review', Dr Rajan said while India was well placed to weather the upheaval, advanced nations must recognise the impact of their monetary policy decisions on other economies and "be prepared to act if things get out of kilter".
At the conclusion of their two-day meet, G20 said their finance ministers and central bank governors recognised that monetary policy needs to remain accommodative in many advanced economies and should normalise in due course.
India and other emerging economies have been asking the US, which has started gradual withdrawal of its fiscal stimulus, to be more predictable in monetary policy. The US Federal tapering has caused flight of capital out of emerging economies and in turn hammering their currencies.
The G20 communique said: "All our central banks maintain their commitment that monetary policy settings will continue to be carefully calibrated and clearly communicated, in the context of ongoing exchange of information and being mindful of impacts on the global economy