Govt says not asking RBI for money, but it's not peace between them yet

DEA Subhash Garg says discussions are on only over capital framework

In what seemed to be a softening of its stance by the government in its tussle with the Reserve Bank of India (RBI), Economic Affairs Secretary Subhash Garg on Friday said there was no proposal by the Centre to ask the central bank to transfer any specific amount. The issue being discussed was for an appropriate economic capital framework.

Garg’s statement, on Twitter, comes after extensive reports in the media of the latest face-off between the finance ministry and the RBI over the former referring to Section 7 of the RBI Act in its communication with the central bank last