National

Government and Reserve Bank will work together on inflation and growth rate: Finance Minister

News On Time Desk 08 February 2025

Finance Minister Nirmala Sitharaman has said that the government and the Reserve Bank of India are working together on all fronts such as inflation, growth rate etc. The Finance Minister held a joint press conference with Reserve Bank Governor Sanjay Malhotra and Minister of State for Finance Pankaj Chaudhary in New Delhi on Saturday. This press conference took place at a time when the Reserve Bank has announced a cut in the repo rate a day earlier. Sitharaman said that she can introduce the new Income Tax Bill in Parliament next week, after which the bill will be sent to the parliamentary committee.

Reserve Bank Governor Sanjay Malhotra said that the central government is focusing on giving credit and work will continue in this direction in future as well. The RBI Governor announced on Friday after the MPC meeting that the repo has been cut by 25 basis points. It has been reduced from 6.5% to 6.25%. The repo rate was kept stable at 6.5 percent since February 2023. Earlier in 2020, interest rates were cut during the Kovid epidemic, but after this the interest rates were gradually increased to 6.5 percent. The announcement of reduction in repo rate has been made after a long time.