Jaitley nudges RBI to cut rate for boosting growth

Nudging the RBI to cut interest rates in the backdrop of softening inflation, Finance Minister Arun Jaitley today said he had already made his mind clear and hoped the central bank will take a call on the issue after considering various factors.
Jatiley said following credit policy announcements by the RBI in June and August he had issued statements clarifying the Finance Ministry's position on growth, inflation and interest rates.
"I, on the same evening (June 3 and August 5) already issued a clear statement and I think that's very clear. This is an issue that the RBI decides and I am sure they factor in various circumstances," he told reporters after addressing the Central Board of the Reserve Bank of India (RBI) here.

The RBI had maintained status-quo on interest rate in its two credit policies announced after the formation of the new government in May, notwithstanding the industry demand for cutting rates for boosting growth .
After the August 5 RBI policy review, Jaitley had said inflation was moderating and going forward "the RBI should examine the liquidity situation, inflation and growth in setting policy rates".
Earlier in June also, he had said the government was "concerned with restarting" the investment cycle and moving towards higher growth and job creation.
In June, while retail inflation slipped to 30-month low of 7.31 per cent, the wholesale price index dropped to four-month low of 5.43 per cent.

On disinvestment programme, Jaitley said the government has already provided the target for the current fiscal and it is progressing as per schedule.