RBI’s expert committee clearly has a tough job on its hands.
The panel has been entrusted with the task of reviewing the best practices followed by central banks worldwide in making assessment and provisions for risks which a central bank balance sheets are subject to.
Former secretary Rakesh Mohan has been named the vice chairman of RBI panel. It will include Economic Affairs Secretary Subhash Chandra Garg and RBI Deputy Governor NS Vishwanathan, the RBI said in a statement.
Former RBI Governor Bimal Jalan said the government needs to focus on jobs creation and stressed that the long-term prospects for economic growth are good. Also, he said the Narendra Modi-led government has a majority and can take tough decisions.
“Basic income, in its essence, has to be above the poverty line. It surely is a good idea. I think the economy is ready for it. It can be implemented over a period of two years. In terms of subsidies, we can begin by reducing subsidies and merging them,” said Jalan.
"There is a fixation somehow among all of us to have target-related fiscal policy, fiscal deficit, how much it should be, why it should be, what is the trade-off between what you say growth and inflation and so on," he said speaking at a seminar at the RBI-promoted IGIDR (Indira Gandhi Institute of Development Research) in Mumbai.
"There is a fixation somehow among all of us to have a target-related fiscal policy, fiscal deficit, how much it should be, why it should be, and what is the trade-off between what you say growth and inflation and so on," he said speaking at a seminar at the RBI-promoted IGIDR here.
"Inflation targeting is fine for countries like the US and the UK. But we (India) are dependent on rain, import of oil from Gulf countries. In India, there is no point in setting inflation target," Jalan said at a function to release a book written by former RBI Governor Y V Reddy.
CNBC-TV18 will felicitate the leaders who have led the country’s glorious journey from the front, in the 12th edition of CNBC-TV18's India Business Leader Awards (IBLA) on March 23. The business leadership awards recognise leaders who create and sustain entrepreneurial initiatives, develop best practices and carve out powerful businesses in the global economy.
In his first address to the staff after taking over as the 24th Governor on September 4, 2016, Patel, in an email, said the RBI has achieved the excellence only because of the collective efforts of its employees.
Feeling "humiliated" by events since demonetisation, RBI employees today wrote to Governor Urjit Patel protesting against operational "mismanagement" in the exercise and Government impinging its autonomy by appointing an official for currency coordination.
Speaking to CNBC-TV18 Former RBI Governor Bimal Jalan said that while everybody concedes that the growth rate will go down, the magnitude of the fall varies.
Addressing the media on the last day of depositing the invalid notes in banks, Chidambaram also demanded that the agenda and minutes of the crucial RBI Board meeting along with the Cabinet Note of demonetisation be made public.
Jalan was RBI governor from 1997 to 2003, coinciding with the first NDA government of Atal Bihari Vajpayee.
Watch the interview of Bimal Jalan Former Governor, RBI Chairman, PMEAC - 1991 to CNBC-TV18, in which he shared his thoughts on 25 years of reforms in India and its impact on Indian economy.
This day, 25 years ago, India let its currency fall roughly 20 percent in a single day. This was followed by an economic reforms package that finally unschackled India from the grip of socialism.
There is going to be U-shaped recovery. The depth and pace of it will be difficult to predict, said ace investor Rakesh Jhunjhunwala. There is no need to assume that Rajan is the only man who can continue policy initiatives and the RBI is an institution, he said.
The Rajan era showed promise of resetting India‘s financial sector. The repositioning of the RBI as primarily an inflation-fighting central bank was the first tenet of Rajanomics. Rajan did it with all the paraphernalia.
The report has been prepared after examining nine areas of expenditure management â€” including issues related to fertiliser subsidy, Direct Benefit Transfer (DBT), removal of cesses, among others
The Indian government has been very responsible fiscally over the past few years and the practice of setting out specific fiscal deficit targets should be done away with in favour of adopting a deficit range, said Bimal Jalan, former RBI chief and head of the government's Expenditure Management Condition.
The government had set up the Commission under former RBI Governor Bimal Jalan in August 2013 to suggest steps to reduce subsidies on food, fertiliser and oil and narrow the fiscal deficit.
The former RBI governor, met the Finance Minister on Thursday and batted very strongly for the Direct Benefit Transfer (DBT) scheme.
The process is the setting up of payment banks will go a long way in setting up direct benefit transfer, says Bimal Jalan.
The oldest exchange, BSE, was the first to approach the Sebi with an IPO document more than a year ago but is yet to get the regulatory approval.
He said there is a need for debate on this and there should be comparable figures of economic growth from the previous years which can validate the claims of recovery.