NEW DELHI (Reuters) - India will formally implement the inflation target agreed with outgoing Reserve Bank of India Governor Raghuram Rajan, a senior government official said, adding that progress was being made on forming a new Monetary Policy Committee.
The official, who requested anonymity, said the government would on Friday table the parliamentary notification of an inflation target of 4 percent, with plus or minus 2 percent - in line with the goal Rajan originally agreed with Rajan.
Candidates were being shortlisted for the six-member MPC but it was unlikely that the panel will be formed in time for next Tuesday's policy meeting, although it may be in place when Rajan steps down in early September, the official also told Reuters.
(Reporting by Rajesh Kumar Singh; Writing by Douglas Busvine; Editing by Rafael Nam)
