 "Economy likely to grow at 6% in FY14: Chidambaram")
He said that RBI's steps to curb rupee liquidity are aimed at quelling excessive speculation and volatility in the forex market and should not be read as a prelude to policy rate changes.
"These measures (RBI decisions) should not be read as prelude to any policy rate changes. This has nothing to do with upcoming policy review of RBI...I don't expect banks to increase interest rates as a result of yesterday's measures" Chidambaram said at a press conference here.
The RBI announced measures late on Monday to curb the rupee's decline by tightening liquidity and making it costlier for banks to access funds from the central bank.
Ruling out the possibility of ban on import of gold, the Minister appealed to the people to reduce consumption of the precious metal which was costing nation $50 billion in foreign exchange.
Referring to the Food Security Bill, Chidambaram said it would be the first item on agenda in the Monsoon Session of Parliament beginning on August 5. He said the ambitious scheme would be rolled out in the next six months in all the states.
"Ordinance (on Food Security) will go to Parliament. Parliament will have to approve the law within 6 weeks after the session begins. The session is beginning on August 5. It will be the first item before the Monsoon Session," he said.
Chidambaram expressed confidence that all political parties would vote for the Food Security Bill in Parliament.
He further said the government would endeavour to get bills on real estate sector, street vendors and land acquisition passed in the Monsoon Session.
On Direct Benefit Transfer (DBT), the Minister said by the end of the year all LPG consumers would get the subsidy transferred into their bank accounts.
"LPG, which touches practically every home, is being brought under the DBT. By the end of the year, all LPG consumers will get their subsidy through the DBT", he said.
The DBT scheme, which currently covers 20% of population in 121 districts, is being rolled out rapidly, the Minister added.
Answering questions on fiscal deficit, he said, efforts would be made to contain it to 4.8% of the GDP.
"That is a red line and that would not be breached. Over a couple of years, we will bring it down to below 3%. A fiscal deficit below 3% is entirely tolerable, entirely serviceable and there is no reason for any fear or alarm on that account", he said.
The fiscal deficit in 2012-13 worked out to be 4.9%, lower than the target of 5.1% envisaged in the budget for the fiscal.