Consumer price inflation touched a nine-month high of 11.24 per cent last month.
India-born Raghuram Rajan, Professor of Finance at the University of Chicago, has been awarded the newly instituted Fischer Black Prize by a premier academic organisation on financial economics.
He also affirmed that over time, as the government finances improve, the SLR will be brought down further.
FM's top adviser Raghuram Rajan had earlier said that the target was tough to meet.
In its quarterly macroeconomic review on Monday, the central bank said it expects inflation to remain near current elevated levels for the remainder of the fiscal year that ends in March.
A vibrant financial system could can help finance those who wanted to create jobs.
India's fiscal policy is not supportive of monetary measures that the country's central bank is employing to fight rampant inflation, the prime minister's honorary economic advisor and former International Monetary Fund chief economist Raghuram Rajan said, while singling out the proposed Food Security Bill as a particular cause for concern.
At Vigyan Bhavan, Prime Minister Manmohan Singh sat with silent stillness as a key economic advisor and the head of India's central bank discussed the legacy of his reforms - a legacy that speakers said was under threat because of complacency.
The Sensex fell nearly 2 per cent on Friday after a surprise rate hike by the RBI led to a slide in rate-sensitives like banking and auto shares.
Governor also says two-stage verification for card transactions might go; RBI in process of setting up IT arm
While the RBI has been intervening heavily in both spot and forward markets to support the currency, especially when it nears its record lows, there are technical signs that the rupee is set for some near-term consolidation.
Rajan said banks have typically become used to reasonably slow moving base rate which gives them time to adjust the deposit cost before they adjust lending.
The BJP MP said the guidelines for grant of licences were 'brazenly flouted'.
The answer to the problems of high inflation and slowing growth, and low farm incomes, would lie in addressing the basic reforms that India is still to attempt -- like labour laws, says T N Ninan.
An exclusive interview with Dr Raghuram Rajan, who has just been appointed Chief Economist at the IMF.
Of the eight RBI governors who have held office since the 1991 economic liberalisation, Bimal Jalan had the longest stint and S Venkitaramanan, the shortest. Current Governor Shaktikanta Das will overtake Bimal Jalan before completing his second term in December, points out Tamal Bandyopadhyay.
The central bank and Indian government has reached a "broad consensus" on the composition of a rate-setting panel.
Generally, a district collector declares crops in his area as being affected due to a catastrophe, which automatically triggers favourable treatment of bank loans, under which the affected dud loans are not treated as bad loans, Rajan said.
There were reports that some Commission officials were against the Rajan panel's suggestion to replace Gadgil- Mukherjee formula with Rajan Committee's Multi Dimensial Index for allocation funds to states.
While he has plenty of critics at home, Rajan is a favourite among foreign investors and has been credited for bringing inflation under control.
RBI chief Raghuram Rajan said Asia's third-largest economy is being hampered by a drop in public and private investments.
The committee on financial sector reforms headed by Raghuram Rajan has recommended that provident funds and insurance companies should be allowed to invest abroad, a move that will require legislative changes.The panel's draft report has also called for the introduction of "true auctions" in securities, reduction in the auction and trading period, unified disclosure norms for multiple securities, use of call options for opening and closing price on exchanges.
On India achieving higher growth, Rajan said 9 per cent, which is the widely believed potential growth rate of the economy, is still some time away.
NPA issues in the banking sector, standoffs in Parliament denting the reform momentum and limited space on the fiscal side are among the major concerns for investors.
A PhD from Chicago-Booth and a top-ranking IIT-IIM alumnus, Krishnamurthy Subramanian is one of the world's leading experts in banking, corporate governance and economic policy
Rajan had cautioned against any deviation from the fiscal discipline path.
The right policy response to global price increases is not straightforward. The draft report is wide-ranging in its scope, and it attempts to provide a coherent, integrated view of financial sector reforms that would equip India's financial sector to support growth, widen financial access and maintain stability over the next decades. The report is being released for public discussion at a critical juncture in both the domestic and global economy.
In terms of magnitude of rate cuts, Morgan Stanley expects 50-100 basis points of policy rate cuts in 2015, depending on the inflation trajectory, which in turn will be dependent on the trend in commodity prices, fiscal deficit and rural wage growth.
The reason, he said, was the external environment was weak.
The World Bank has appointed Indermit Gill, an Indian national, chief economist and senior vice-president for development economics at the multilateral development bank. "Indermit Gill brings to this role a combination of leadership, invaluable expertise and practical experience working with country governments on macroeconomic imbalances, growth, poverty, institutions, conflict, and climate change," World Bank President David Malpass said in a statement. His appointment will be effective September 1, 2022.
After opting for status quo in policy rates, Reserve Bank Governor Raghuram Rajan on Tuesday said any more cut will depend on further transmission of previous rate cuts by banks, softening in inflation and progress of monsoon.
The mood at the Indian Institute of Management, Ahmedabad (IIM-A) is festive, with one of its alumnii, Raghuram Rajan taking over as the next Reserve Bank of India (RBI) governor.
Payments banks are niche banks which will be allowed to function with several restrictions.
13 eminent economists, including former RBI governor Raghuram Rajan and current International Monetary Fund Chief Economist Gita Gopinath, in a report have asked the political establishment not to resort to populist tricks.
The former Union minister alleged that the government is "intolerant to the slightest criticism".
The RBI has agreed to consider the application of India Post in consultation with the government.
IT exporters were the top gainers amid a weak rupee along with select index heavyweights.
RBI Governor Raghuram Rajan on February 2, left the key interest rate unchanged citing inflation.
The macro economic situation and currency depreciation might top the priority list of Reserve Bank of India (RBI) governor-designate Raghuram Rajan.
RBI promises to take all necessary steps, including liquidity support
© 2026 Rediff.com - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances