Will reverse govt’s RBI interference: Congress

NEW DELHI: Congress assured to reverse what it called the BJP government’s unwarranted and illegal interference inthe Reserve Bank of India but proposed the central bank governor would periodically render an account to a Parliamentary committee.

“Congress will respect the autonomy of the RBI in matters reserved to it under the RBI Act, 1939, including the formulation of monetary policy,” the party said in its manifesto. Under current rules, the RBI governor appears before Parliament’s standing committee on finance.

The party also vowed to reverse what it termed the BJP government’s fiddling with the fiscal deficit target. Congress promised to achieve the target of 3% of GDP by 2020-21 and remain under that limit. The revenue deficit would be contained, as far as possible, under 1% of GDP.

The party said it would review all lawsand regulations governing investments within three months. Instruments inconsistent with a market economy would be repealed.