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RBI Governor Rajan meets Jaitley

Source:PTI
June 11, 2015 13:28 IST

Reserve Bank Governor Raghuram Rajan on Thursday met Finance Minister Arun Jaitley and discussed macroeconomic issues.

"These are all usual meetings which we have. Nothing special. Broad range of issues were discussed. Lot of issues were discussed," Rajan told reporters after the meeting.

The meeting comes days after RBI's monetary policy review.

"We have voiced whatever we had to say at the monetary policy," Rajan added.

On June 2, RBI reduced the short term lending rate (repo) from 7.5 per cent to 7.25 per cent.  

It has cut rate by 0.75 per cent since January in three instalments, but not all the banks have passed on the benefit to customers.

Besides, Jaitley is scheduled to meet the heads of public sector banks on Friday to review the banks' annual performance and bad loan situation as also to persuade them to pass on RBI's rate cut benefit to borrowers for propping growth.

Gross non-performing assets of public sector banks have gone up to Rs 2,60,531 crore (Rs 2,605.31 billion) as on December 2014 or 5.6 per cent of the total advances.

Besides, the meeting will review credit offtake and the progress made under the Jan Dhan Yojana and Prime Minister social security scheme among other things, sources said.

Image: Finance Minister Arun Jaitley (L) and RBI Governor Raghuram Rajan. Photograph: Reuters 

 
Source: PTI
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