Finance ministry sees minimal impact of RBI's move on interest rates

The move will encourage goods and services tax (GST) registration by MSMEs, said Rajiv Kumar

The finance ministry feels that most impact of the repo rate hike by the Reserve Bank of India (RBI) has already been discounted by banks. It also  sees the changes in non-performing assets (NPA) norms for Ministry of Micro, Small and Medium Enterprises (MSMEs) as a “huge positive.”

Soon after the RBI announced its bi-monthly monetary policy on Wednesday, Finance Minister Piyush Goyal held a meeting with top bureaucrats of the Finance Ministry, including Department of Economic Affairs Secretary Subhash Chandra Garg, Department of Financial Services Secretary Rajiv Kumar, Expenditure Secretary Ajay Narayan Jha and Finance Secretary Hasmukh Adhia.