Inflation-wary Rajan skips Fed party: Finance Minister P - TopicsExpress



          

Inflation-wary Rajan skips Fed party: Finance Minister P Chidambaram might have to walk alone for some more time at least. In his maiden monetary policy decision, Reserve Bank of India (RBI) Governor Raghuram Rajan surprised the markets — in euphoric mood on Thursday after the US Federal Reserve postponed plans to cut the asset-purchase programme — by raising interest rates for the first time in nearly two years, to ward off rising inflation. RBI, however, scaled back some of the emergency measures put in place to support the struggling rupee, bringing down the cost of funds for banks. In his post-policy media briefing on Friday, Rajan set the tone by saying: “The postponement of tapering is only that, a postponement. We must use this time to put our house in order, to create a bulletproof national balance sheet.”
Posted on: Sat, 21 Sep 2013 03:45:36 +0000

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