RBI Governor Favours An Independent Agency For Managing Govt. Debt

23 March, New Delhi

RBI Governor Raghuram Rajan favoured an independent agency for managing government debt.

Speaking to media after Finance Minister Arun Jaitley’s post-Budget address to the RBI board in New Delhi Sunday , he said it is desirable to keep the agency independent of the government as well as the RBI to ensure fiscal discipline. Public debt management currently comes under the purview of the RBI.

As per the proposal made in the Budget, the new agency will have a Chief Executive Officer and members from the government and RBI. It will be responsible for making payments to holders of Government securities.