There is a need to cut SLR further, says Rajan

Obligations put on Indian banks need to be reduced further as they are entering a more competitive environment and the statutory liquidity ratio will have to be cut further, RBI chief Raghuram Rajan said on Tuesday.

Rajan also said interest rate tools are blunt and the central bank is trying to use other tools.

India's central bank kept its key policy repo rate unchanged on Tuesday as widely expected, but warned about inflationary risks should a shortfall in monsoon rains spark a surge in food prices.

EDITORIAL OF THE DAY

  • Should the law or the personal morality of leaders prevail?

    Boozers, desi liquor contractors, distillers, bar and restaurant owners in Bihar and elsewhere are in a celebration mode.

FC NEWSLETTER

Stay informed on our latest news!

TODAY'S COLUMNS

BK Chaturvedi

We must improve our primary education

Census data has indicated that about eight crore children are ...

Zehra Naqvi

Elephant tracks

He remembers everything. That is the elephant’s great gift. After ...

Shona Adhikari

Where Bhupen Khakhar rubs shoulders with Georgia O'Keeffe

The next India Art Fair (IAF) is scheduled to take ...