The Government will infuse Rs 14,000 crore in public sector banks within next few days, Financial Services Secretary Rajiv Takru said here today.
In the meantime, Economic Affairs Secretary Arvind Mayaram has said that overtly emphasis should not be laid on the decisions of the Fed in the manner in which the economy will unfold.
Talking to reporters at North Block, Takru said: “14,000-crore infusion will be done in one go. Decision can be taken during the next 10-15 days.’’
He also informed that he will meet banks Chairmen on September 27.
“Current non-performing situation does not make us happy but still there is no danger to our banks,’’ he said, while adding that NPA situation will be discussed during the meeting next week.
Fed bond-buying
Earlier, talking about Federal Reserve decision to continue with $85-billion bond-buying, Arvind Mayaram said: “It's business as usual for us as far as we are concerned. We will have to continue with the structural reforms which the government has been carrying out.’’
He believes that it would have been better for Indian economy, had the Fed given some kind of policy guidance so that there is certainty as to how the taper will happen.
“But nevertheless we believe what we are doing is right and the Indian economy will continue to grow in the manner in which the Finance Minister has been saying,’’ he added.
Reform process
He also said that there is need to continue to deepen the reform process so that the economy continues to be strengthened.
“We believe with the steps that the government has taken, the economy will continue to show signs of growth and that is what is going to strengthen the rupee and strengthen the market,’’ he said.