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NBFC liquidity, not governance, to be focus of next RBI board meet

The RBI has so far maintained it doesn't view cash crunch as a systematic issue, which it feels is limited to a few housing finance companies

Reserve Bank of India | File Photo
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Reserve Bank of India | File Photo

Arup RoychoudhurySomesh Jha New Delhi
The government will push harder on measures for providing liquidity in the financial system rather than changing governance norms of the Reserve Bank of India (RBI). ‘Governance in RBI’ was supposed to be the main agenda to be discussed in the next meeting of the RBI’s central board, which has top finance ministry bureaucrats as government’s representatives, slated to be held on December 14.

“There was a relatively peaceful atmosphere between the RBI and the government in the last meeting. We want to continue that. The governance in the RBI is more long-term in nature. In any case, there has been