If RBI trips, FM’s gamble won’t pay off
If RBI trips, FM’s gamble won’t pay off
Hours after Pranab Mukherjee presented his Rs10.21 trillion Union Budget on Monday, India’s central bank said it would auction Rs15,000 crore worth of bonds on Friday, almost double the amount it was originally slated to borrow from the market this week. This signals that the action now shifts from North Block on Raisina Hill in New Delhi, that houses the finance ministry, to Mint Road in Mumbai, where the Reserve Bank of India (RBI) is headquartered. The onus of making Mukherjee’s gamble on growth through the borrow-and-spend formula a success rests squarely on the shoulders of D. Subbarao, governor of the central bank.
Also Read Budget Full Coverage
Also Read Tamal Bandyopadhyay’s earlier columns
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