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RBI vs Govt: Will Centre turn up heat on Urjit Patel in Nov 19 meeting?

If Patel departs it is likely to roil financial markets-traders

Urjit Patel. Photo: Kamlesh Pednekar
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Urjit Patel. Photo: Kamlesh Pednekar

Reuters Mumbai/New Delhi
The government intends to keep pressing demands for the country's central bank to relax lending curbs and hand over surplus reserves even if it risks provoking a resignation by the bank's governor, three sources familiar with the government's thinking told Reuters.

While there appeared to be a partial truce last week when the government said it respected the autonomy of the Reserve Bank of India (RBI), the sources said the government will turn up the heat at the bank's central board of directors meeting on Nov. 19.

And RBI Governor Urjit Patel will be a key focus of the pressure from a