Business Desk: Reserve Bank Governor Shaktikanta Das said on Thursday that a coordinated effort between the Central and State Governments needs to be done to reduce the taxes on petrol and diesel. Shaktikanta Das was speaking at an event organized by the Bombay Chamber of Commerce. He said that coordinated action is needed between the Center and the states as taxes are levied by both of them. ”He said that it is important to reduce taxes to a reasonable level.
Center, coordinated effort between states is needed: Das
Das, however, also said that there is revenue pressure on both the Center and the states. They have to spend more money to get the country and people out of the pressure created by the Kovid-19 epidemic. In such a situation, the need for revenue and the compulsion of governments are fully understood. But there is also a need to understand that it also has an impact on inflation. Higher prices of petrol and diesel have an effect on the cost of manufacturing production.
Need to invest on health facilities: Das
Das said that the Reserve Bank is doing a lot of internal work on digital currency and a progress document will be released soon with a comprehensive guideline. On the issue of asset restructuring companies (ARC), he said that we are improving and upgrading the regulatory framework in the case of ARC. In the new budget, it has been announced to create ARC for the management of stuck loans of banks. Shaktikanta Das said that this would not affect the activities of the current ARC. The governor also stressed the need for companies to invest more in the healthcare sector.
India on the road to success: RBI Governor
Reserve Bank Governor said that India stands on the threshold of moving forward on the path of success. Regarding the cryptocurrency, he said that the bank has some concerns about it which have been shared with the government. Das said that the Indian financial sector is in a better position today than ever before, with the central bank taking an accurate view of the rise in stressed assets in banks. "As soon as we get any indication about the stressed property, we will immediately negotiate with the banks and work proactively to diagnose the problem."