The government said on Friday that it is not demanding capital of Rs 3.6 lakh crore from the Reserve Bank of India, but it is only discussing the financial capital system of the central bank. In the tweet, Finance Secretary Subhash Chandra Garg said in the tweet, "There are all speculative developments with misinformation in the media. The government's fiscal accounting is going well. Unlike the speculation, there is no proposal to demand Rs 3.6 or 1 lakh crore from the government's RBI.
Garg said that at this time, "only one proposal is under discussion and it is a matter of deciding the arrangement of the Reserve Bank's financial capital." The Economic Affairs Secretary expressed confidence that the government will be able to maintain the fiscal deficit within the target set to keep 3.3 per cent of the gross domestic product in the current fiscal within a set target. Garg said the government's fiscal accounting is going on well.
He said, "The fiscal deficit of the government in 2013-14 was equivalent to 5.1 percent of GDP. Since then the government has been continuously reducing it. We will limit the fiscal deficit to 3.3 at the end of fiscal year 2018-19. He dismissed speculation over fiscal goals and said, "The government has reduced its deficit by 70000 crores in the budget estimates of the budget this year.
It is noteworthy that in the media report last week, it was claimed that the government had to put pressure on the central bank for easing the rules to give more loans and for transferring at least one-third of the reserve amount of 9.6 lakh crore rupees. Will continue to give. The media report claimed that the recent crackdown between the RBI and the government on various issues has been widened. The government has recently mentioned the provision of the RBI Act that has never been used before resolving several issues, including easing of NPA rules and increasing credit facilities.
Under section 7 of the RBI Act, the government wants the RBI governor Urjit Patel to remove three concerns. These concerns are linked to the surplus funds, the easing of NPA rules to accelerate debt and growth, and to address the cash crisis in front of non-banking financial companies. This issue is likely to be raised in the meeting of the RBI Board on November 19. The first news came that the government would continue to put pressure on the government to ease the NPA rule and to transfer at least one-third of the reserve amount of Rs 9.6 lakh crore to the government. The report claimed that the central bank does not agree with it and wants to keep a dividend to keep its book-keeping strong.