Business Standard

Did it or didn't it? FinMin silent over invocation of section 7 of RBI Act

Section 7 of the RBI Act empowers the government to issue directions to the RBI, after consultation with the Governor, on issues of public interest

Reserve Bank of India | File Photo

Reserve Bank of India | File Photo

Indivjal Dhasmana New Delhi
Skirting the crucial issue of whether it has invoked section 7 of the RBI Act, the finance ministry on Wednesday said the autonomy of the central bank within the purview of the Act is an essential and accepted governance requirement. 

"Governments in India have nurtured and respected this," the ministry said in a statement. 

However, when it came to the crux of the issue of invoking section 7 of the RBI Act, it said the government has never made the subject matter of those consultations public. 

"Only final decisions are taken are communicated," the ministry said. 

It said both the

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Oct 31 2018 | 1:45 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on are available only to BS Premium subscribers.

Register to