Centre not seeking Rs 3.6 trillion from RBI: DEA Secretary Subhash Garg

Economic Affairs Secretary Subash Garg

The government Friday said it is not seeking Rs 3.6 trillion capital from the Reserve Bank of India, but is only in the discussion for fixing appropriate economic capital framework of the central bank.

"Lot of misinformed speculation is going around in media. Government's fiscal math is completely on track. There is no proposal to ask RBI to transfer Rs 3.6 or 1 trillion, as speculated," Economic Affairs Secretary Subhash Chandra Garg tweeted.

Lot of misinformed speculation is going around in media. Government’s fiscal math is completely on track. There is no proposal to ask RBI to transfer 3.6 or 1 lakh crore, as speculated. (continued...).

— Subhash Chandra Garg (@SecretaryDEA) November 9, 2018

Government’s FD in FY 2013-14 was 5.1%. From 2014-15 onwards, Government has succeeded in bringing it down substantially. We will end the FY 2018-19 with FD of 3.3%. Government has actually foregone 70000 crore of budgeted market borrowing this year. ( continued .....)

— Subhash Chandra Garg (@SecretaryDEA) November 9, 2018
He said the only proposal "under discussion is to fix appropriate economic capital framework of RBI."

Exuding confidence about government's fiscal math, he said, it will stick to the fiscal deficit target of 3.3 per cent for the current financial year ending March 31, 2019.

Only proposal under discussion is to fix appropriate economic capital framework of RBI.

— Subhash Chandra Garg (@SecretaryDEA) November 9, 2018
"Government's FD (fiscal deficit) in FY 2013-14 was 5.1 per cent. From 2014-15 onwards, the government has succeeded in bringing it down substantially. We will end the FY 2018-19 with FD of 3.3 per cent. The government has actually foregone 700 billion of budgeted market borrowing this year," he said.


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