Reserve Bank of India (RBI) governor Raghuram Rajan has expressed hopes on the Indian growth story and has said that the country is seeing a pick-up in economic growth and more can be done to support it on a sustainable basis. He said the government is focusing on improving the framework of doing business and expressed that it should be easier for businesses to grow in terms of finance and regulations among others.
Rajan further said that “we are expecting 5.5% this year; it may go up little more to 6% next year and hopefully sevens the year after.” However he reiterated that major reforms will be needed to take the growth to higher levels and to sustain that, we have to think about how we reform the system of fundamentals.
Denying any conflict with the government, he said that the government and the RBI enjoy a free, frank and cordial relationship. We discuss many things and we find and do what is in the best interest of the country. He said that there is discussion going on right now on a couple of things, the talks include setting objectives for the RBI and did not threaten the independence of the central bank and were instead issues being worked out between the two sides.
