Finance minister Pranab Mukherjee said on Tuesday the Reserve Bank of India's move to keep almost all rates unchanged is line with the discussions he had with the apex bank's governor and the government's thinking on fiscal and monetary policies.
"I had a discussion with RBI governor Dr D Subbarao a few days back. We had discussions there would be no change in the rates and there has not been any substantial change," Mukherjee told reporters after the monetary review.
The RBI kept key rates unchanged, while hiking statutory liquidity ratio, the deposits that commercial banks are to park in government securities, by one percentage points to 25 per cent.
"Of course the assessment of the RBI on the whole the policy, which has been announced is in conformity with the government's own thinking of both fiscal policy and monetary policy", Mukherjee said.
Image: Pranab Mukherjee