The Government will consult with the concerned stakeholders, including the Reserve Bank of India, before finalising its views on a draft bill that seeks to limit the central bank's authority in setting interest rates.
"The Government will take a view on the revised draft of the Indian Financial Code -- which favours creation of an interest rate-setting panel where a majority (out of its 7 members) is nominated by Government -- only after receiving comments from stakeholders," Finance Minister Arun Jaitley told the reporters here.
The Chief Economic Adviser Arvind Subramanian has already dubbed the IFC draft as merely a FSlRC report, not reflecting the Government views.
"FSlRC has made its recommendations, which have been made public for comments. After the comments are received, it is only then that the Government will take a view," Jaitley said.
Known as the Indian Financial Code, the draft bill, on which comments are due by August 8, is meant to unify various laws that govern the country's financial markets.
According to the revised draft, the monetary policy committee is to consist of seven members -- three from RBI and four nominated by the Government -- with the Reserve Bank of India's Governor holding the deciding vote in case of a tie.
While the earlier version of the code gave RBI Governor veto power over panel's decision, the revised draft does not confer any such powers on him.