Finance Minister Arun Jaitley has said the Government does not need any extra funds from the Reserve Bank of India or any other institution to meet the fiscal deficit target. However, he added that extra funds, which may accrue from the new capital framework of the RBI, can always be used for poverty alleviation programmes over the years by future Governments.
“We don’t need any extra funds from any other institution to finance our fiscal deficit. Let’s be very clear that’s not the intention of the Government. And we are not saying in next six months give me some money. I don’t need it,” the Minister said in an interview to Times Now.
India’s fiscal deficit is slated to come down to 3.3 per cent of GDP at the end of the current fiscal. “All we are saying is there has to be some discussion and some norms under which the RBI will have a capital framework,” he said.