GET Stock QuotesNews18 APP
News18 English
Powered by cricketnext logo
»
1-min read

Viral Acharya’s Speech Created False Sense That Something is Wrong, Says DEA Secy Garg

"Couldn’t understand the why of Dr Viral Acharya’s speech. I am a bit disappointed with this," says DEA Secy Subhash Garg.

News18.com

Updated:November 24, 2018, 7:35 PM IST
facebookTwittergoogleskypewhatsapp
Viral Acharya’s Speech Created False Sense That Something is Wrong, Says DEA Secy Garg
Economic Affairs Secretary Subhash Chandra Garg. (Twitter)
Loading...
New Delhi: The reason why the November 19 RBI board meeting, which normally is a routine affair, became the most sought-after event of the week was addressed again on Saturday by Subhash Garg. This time the secretary of department of economic affairs was candid to say, “the language used could have been avoided.”

Almost a week after the Reserve Bank of India (RBI) meet, Garg in an interview with CNBCTV18 said, “We couldn’t understand the why of Dr Viral Acharya’s speech. I am a bit disappointed with this. The language could have been avoided. It created a false sense that something is wrong.”

RBI Deputy Governor Viral Acharya had in a speech last month talked about the independence of the central bank, arguing that any compromise could be "potentially catastrophic" for the economy.

Tensions between the RBI and the government escalated, with the finance ministry initiating discussion under the never-used-before Section 7 of the RBI Act which empowers the government to issue directions to the RBI Governor.

“If consultation in principle leads to resolution no need to invoke section 7, otherwise Government still reserves the right. On some issues resolution has been reached, some remain. Section 7 (of RBI Act) is not the 'nuclear' or 'brahmastra' as being perceived,” added Garg.

On the question of RBI and the Centre working in tandem he said, “Government and RBI are not siamese twins but are very close to each other and share an intense relationship.”

However, he also did not miss mentioning that, “economic capital framework of the RBI is excessively conservative.”

Cautioning the economy he said, “Liquidity continues to be a concern; if not addressed may impact consumption story. It will be discussed in the next RBI board meeting.”
| Edited by: Anu Parthiban
Read full article
Loading...
Next Story
Next Story

Also Watch

facebookTwittergoogleskypewhatsapp
Most Active
Company Price Change %Gain
Yes Bank 180.35 3.23
PC Jeweller 83.80 6.68
Reliance 1,112.20 0.47
Infosys 706.05 1.19
HDFC 1,904.10 -1.95
Company Price Change %Gain
Yes Bank 180.35 3.23
PC Jeweller 83.55 6.64
Jet Airways 259.95 3.22
Indiabulls Hsg 792.80 2.40
IOC 141.45 3.10
Top Gainers
Company Price Change %Gain
Bharti Airtel 319.25 5.33
Yes Bank 180.35 3.23
BPCL 345.30 3.11
IOC 141.25 2.80
ONGC 146.85 2.48
Company Price Change %Gain
Bharti Airtel 318.80 5.32
Yes Bank 180.35 3.23
ONGC 146.95 2.58
NTPC 143.65 1.84
Asian Paints 1,340.05 1.51
Top Losers
Company Price Change %Gain
HDFC 1,904.10 -1.95
HCL Tech 961.20 -1.72
JSW Steel 293.10 -1.66
Wipro 333.10 -1.64
Titan Company 931.50 -1.34
Company Price Change %Gain
HDFC 1,904.15 -1.95
Wipro 333.10 -1.67
Larsen 1,411.55 -0.95
Adani Ports 368.95 -0.65
Sun Pharma 419.75 -0.57

Live TV

Loading...
Countdown To Elections Results
  • 01 d
  • 12 h
  • 38 m
  • 09 s
To Assembly Elections 2018 Results