Bankers are upset with Modi's move to sanction loans of up to Rs 1 crore in less than an hour, call it an ‘election sop’ that could further increase their NPA level.
The IMF said it is closely monitoring the tension between the Ministry of Finance and the Reserve Bank of India (RBI) over the autonomy of monetary policy makers.
Narendra Modi government has taken this problem on in his inimitable style -- head on -- and completely, studiously avoided the short-cut temptation to restructure.
Finance ministry says the proposed revamp will focus on structural reforms, rate rationalisation & ease of living, & will be deliberated upon in the coming weeks.
The project is meant to be a ‘protective shield that will keep expanding’, the PM said. It is on the lines of the ‘Golden Dome’ announced by Trump, it is learnt.
Standing up to America is usually not a personal risk for a leader in India. Any suggestions of foreign pressure unites India behind who they see as leading them in that fight.
A lot of NPAs are piling up under the MUDRA scheme as well.