Finance Ministry says it fully respects RBI's autonomy

NEW DELHI: The finance ministry has said it fully respects independence and autonomy of the Reserve Bank of India.

"There has been a report in sections of the Press that some unions have alleged infringement of the autonomy of the Reserve Bank of India. It is categorically stated that the Government fully respects the independence and autonomy of the Reserve Bank of India," the ministry said in a statement on Saturday.

The statement comes in the backdrop of RBI employees union raising issues of encroachment of RBI's autonomy.

"Consultations between the Government and the RBI are undertaken on various matters of public importance wherever such consultation is mandated by law or has evolved as a practice," it said adding that consultations mandated by law or as evolved by practice should not be taken as an infringement of autonomy of RBI.

Fin Min Statement: Consultations between the Government and the RBI are undertaken where it is mandated by law or has evolved as a practice.

— Ministry of Finance (@FinMinIndia) January 14, 2017