Not dissatisfied with functioning of RBI, Arun Jaitley says in Lok Sabha
"No, madam," Jaitley said to a question whether the government is not satisfied about the functioning of the RBI.
)
12:06 PM IST
Finance Minister Arun Jaitley Friday replied in negative to a question whether the government was not satisfied with the functioning of the Reserve Bank of India.
In a written reply to the Lok Sabha, the minister quoted a report of International Monetary Fund (IMF) which said the supervision and regulation by the RBI was strong and improved in recent years.
"No, madam," Jaitley said to a question whether the government is not satisfied about the functioning of the RBI.
The government and the RBI under the previous Governor Urjit Patel were at loggerheads on several issues, including over appropriate size of reserves which the central bank should hold.
There were also differences over the lending to the small and medium enterprises, and norms concerning supervisory action over public sector banks under Prompt Corrective Action (PCA) of the RBI.
The differences reached a flash point with Patel suddenly quitting the RBI on December 10.
Patel's resignation was being speculated right from the time the government cited a never-before-used provision of the RBI Act to get him to consider its views on relaxing lending norms for segments such as small and medium enterprises, appropriate size of reserves the central bank must maintain and easing norms for weak banks.
Earlier, RBI Deputy Governor Viral Acharya had raised concerns over the autonomy of the central bank, triggering speculations that the government and the central bank were not same page on many issues.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
)
8th Pay Commission Indian Army Salary Hike Projections: Sepoy to Subedar Major to Brigadier revised basic pay estimates vs 7th CPC
)
Rs 9,00,000 One-time Investment in Mutual Funds: How many years will it take to create a Rs 1,00,00,000, Rs 3,00,00,000 and Rs 8,00,00,000 corpuses? Check calculations
)
444-Day Special FDs: SBI, BoB, IOB & Indian Bank—Which fixed deposit scheme offers highest return on your Rs 6.25 lakh or Rs 7.25 lakh investment
)
Power of Rs 1,50,000 PPF: How many years will it take to generate over Rs 90,000/month tax-free income from Public Provident Fund?
)
10 Stocks to buy for long term: Analysts recommend largecap, midcap scrips; Bajaj Finance, Tata Consumer on the list
)
Stocks To Buy For Short Term: Analysts recommend 1 largecaps, 2 midcaps, and 5 smallcap scrips for 2 weeks
12:06 PM IST