'Democracy is India's greatest strength.'
Rajan said RBI should pay as much dividend as possible to the government, which over the past two years has run into billions of dollars
Reserve Bank of India Governor Raghuram Rajan, who will present his maiden policy on September 20, held discussions on Tuesday with Prime Minister Manmohan Singh and Finance Minister P Chidambaram on the macro-economic situation.
He added that the risks can increase if the Chinese slowdown gathers more speed.
Captains of the industry, including Adi Godrej and Anil Ambani, were among the early birds from India Inc to cast their votes in the financial capital.
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The country has enough forex reserves to meet the demand.
He cautioned however that these are the early signs and one should not start celebrating.
The RBI has agreed to consider the application of India Post in consultation with the government.
The methodology will be announced later this week.
Finance Minister Arun Jaitley said in a Twitter post that the government appreciated all of Rajan's good work and respected his decision
IMF chief said the G20 leaders need to respond to the calls for creating jobs.
RBI governor Raghuram Rajan says, laws must be tightened for freeloaders.
A 13-member group, headed by RBI Executive Director R Gandhi, has made various recommendations on G-Sec market, retail participation and interest rate derivatives market.
'Access to finance is one of the most crucial needs in the economy.'
Monetary transmission has been an issue for the Indian banking sector.
The solution to this problem lies only in making the system more efficient, he said.
Media has gone beyond its traditional boundaries.
RBI aiming to bring down headline number to 8% by end of this year and to 6% by the end of next year.
Prime Minister Narendra Modi defended Mr Rajan, but it would be debated why he took so long to dub criticisms like those against the RBI governor as improper.
The S&P BSE Sensex was up 241 points at 26,867 and the Nifty50 gained 68 points at 8,239.
Rajan said there will be some volatility, but once the initial bout or wave abates, people will look for good fundamentals
The task force will look at emerging markets, technology, regulatory and monetary policies, loss of trust in financial services, and financial inclusion.
Mr Swamy has written letters to the Prime Minister's Office asking for Mr Rajan's services to be terminated.
Mallya, whose Kingfisher Airlines owes money to several banks, had on Thursday said he will challenge UBI's decision to declare him a willful defaulter.
Describing the BJP's election victory as an "astonishing triumph of Narendra Modi", noted economist Jagdish Bhagwati on Monday advised him to retain Raghuram Rajan as RBI Governor and to hold monthly press conferences to articulate the government's agenda.
Former RBI governor Raghuram Rajan, who faced a stinging attack from Finance Minister Nirmala Sitharaman for presiding over the "worst phase" of the Indian banking sector, on Thursday reminded her that two-third of his tenure as the head of the central bank was under the Bharatiya Janata Party government.
Providing access to unbanked areas in the country has been high on the agenda of RBI, as almost 40 per cent of the population doesn't have a bank account.
The government plans to inject a total Rs 70,000 crore into the lenders over four years
"I think, this is something that all Indians should be concerned about because strength of our institutions is really important for our growth, sustainable growth and equity in the economy," said Rajan.
The Reserve Bank of India hiked key interest rates by 0.25 per cent each in the last two reviews to tame inflation.
Bajaj hit out at banks for not passing the entire benefits to consumers.
India's foreign exchange reserves surged $5.04 billion in the week ending March 28, its biggest weekly rise in four months, as the central bank started to buy dollars regularly in an effort to build up its defences against any potential global turmoil.
The RBI working group's proposal to allow corporate houses to set up banks is a 'good-looking' step in a 'bad direction' and may lead to crony capitalism and eventual financial instability, former chief economist of World Bank Kaushik Basu said on Thursday. Basu further said that there is a good reason why all successful economies have a clear dividing line between industries and corporations on the one hand, and banks and lending organisations on the other.
This compares with China at over $10 trillion and India $2 trillion.
Rajan said too many infra projects do not have forex earnings thus are unable to pay in dollars or yen
Fed move based on US economic recovery, which should boost India's exports, narrow CAD and help curb 'imported' inflation
The Congress party has tweeted a 1.44-minute clip from the conversation which will be aired in full at 9 am Tuesday.
The RBI governor also said he is not 'overly' worried about any interest rate hike by the Federal Reserve, saying the country had enough foreign exchange reserves.
The decision assumes significance in the wake of a scam in the PMC Bank affecting lakhs of customers who are facing difficulties in withdrawing their money due to restrictions imposed by the Reserve Bank of India.
In the mid-quarter review on December 18, the Reserve Bank left key policy rates unchanged but said it will hike interest rates if inflation does not subside.
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