Economy will improve if RBI reduces Interest Rates!
Posted on: 18/Nov/2014 3:54:39 PM
Central Finance Minister, Mr. Arun Jaitley informed that the economy will be encouraged to grow if RBI reduces the interest rates.
Reserve Bank of India is scheduled to submit the revised review of finance policy on 2nd December.RBI has given top priority for inflation control.
Hence, it has kept the interest rate at 8% level.
Presently, the retail price index has fallen by an unprecedented level of 5.52%.
Mr. Jaitley informed that if RBI brings down the interest rate, capital expenses will reduce. Inflation may also be brought under control. There has been a trend of falling crude oil prices in the international market.
The minister recommended that RBI should reduce the interest considering the above factors and this will encourage the growth of economy.
