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RBI pays government Rs 66,000 crore

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Mumbai, The Reserve Bank of India (RBI) has announced that it will transfer its surplus profit of Rs.65,896 crore to the central government.

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The central board of directors of the Reserve Bank of India, at its meeting held today (Thursday), approved the transfer of surplus amounting to Rs.658.96 billion for the year ended June 30, 2015 to the Government of India,” the RBI said in a statement, following a meeting of its central board chaired by governor Raghuram Rajan.
India’s central bank, whose accounting year goes from July to June had, last year, transferred Rs.52,679 crore of its surplus profit to the government.
Besides the government nominee directors on the central board – secretary department of financial services Hasmukh Adhia and the additional secretary in the department of economic affairs, Ajay Tyagi, the board meeting was also attended by chief economic adviser (CEA) Arvind Subramanian.
At its bi-monthly monetary policy review last week, the RBI kept its repo rate, at which it lends short-term to commercial banks, unchanged at 7.25 percent.
A day before the policy review, the government clarified it was not trying to curtail the central bank’s powers on a proposed monetary policy committee of the RBI.
“We are in discussion with RBI Governor Raghuram Rajan on the form and manner of the monetary policy committee,” Finance Secretary Rajiv Mehrishi told reporters here.
Noting out that the draft Indian Financial Code (IFC) is still under the government’s consideration, he said it was incorrect to conclude on the basis of the draft bill that the government was trying to curtail the RBI’s autonomy.
The draft IFC, circulated last month as a discussion paper, proposes to remove the RBI governor’s veto right in the monetary policy committee.
Besides taking away the RBI governor’s authority to veto interest rate decisions, the draft also proposed that the monetary policy committee would have four representatives of the government and only three from the central bank, including the RBI “chairperson”.
American research firm Moody’s Analytics, in a report last month, warned against the NDA government’s moves to tamper with the autonomy of the RBI in deciding on interest rates, as being potentially damaging for the economy.

(IANS)

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Spain Takes a Step Forward to Combat Climate Change

Spain Declares Climate Emergency, Gets Climate Plan Ready

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Climate Change
People march during a worldwide protest demanding action on climate change in Barcelona, Spain. VOA

Spain’s new government declared a national climate emergency on Tuesday, taking a formal first step toward enacting ambitious measures to fight climate change.

The declaration approved by the Cabinet says the left-of-center Socialist government will send to parliament within 100 days its proposed climate legislation. The targets coincide with those of the European Union, including a reduction of net carbon emissions to zero by 2050.

Spain’s coalition government wants up to 95% of the Mediterranean country’s electricity to come from renewable sources by 2040. The plan also foresees eliminating pollution by buses and trucks and making farming carbon neutral.

Climate Change
Young environmentalists demonstrate to demand measures against climate change. VOA

Details of the plan are to be made public when the proposed legislation is sent to parliament for approval.

More than two dozen countries and scores of local and regional authorities have declared a climate emergency in recent years.

Scientists say the decade that just ended was by far the hottest ever measured on Earth, capped off by the second-warmest year on record.

Also Read- Music Streaming Giant Spotify Works On New Feature To Share Story Alongside Public Playlists

Also Tuesday, young climate activists including Greta Thunberg told the elites gathered at the World Economic Forum in Switzerland they are not doing enough to deal with the climate emergency and warned them that time was running out. (VOA)

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