Indian Finance Minister Expects RBI Will ‘Adjust Monetary Policy’ Monday
Mukherjee, who is nominated by the ruling United Progressive Alliance to contest the presidential elections in July, said that the government “is taking fiscal measures to ensure that the central finances remain strong in wake of difficult times,” PTI reported.
“The RBI is one of the most respected monetary authorities… I am confident they (RBI) will adjust the monetary policy as we are adjusting fiscal policy,” the Finance Minister said at an Assocham conference in Mumbai.
Speaking on the obstacles faced by the Indian economy, he said that slow growth, fiscal and current account deficits and high inflation along with negative investor sentiments were hampering the economical growth.
On concerns over the fiscal deficit, he said, “We are taking steps, not sitting idle…if federal finances become weak, nobody will be able to bail out Indian economy.”
Reacting to the global rating agency Standard and Poor’s warning on downgrading India’s rating, he said, “as finance minister I cannot ignore ground reality, apprehensions of Indian industry and credit rating agencies.”
To report problems or to leave feedback about this article, e-mail:
To contact the editor, e-mail: