Finance Minister Pranab Mukherjee dispels fear of high govt borrowing

New Delhi: After the usual post-budget meeting with the Reserve Bank of India, the Union Finance Minister Pranab Mukherjee told media that as RBI has been managing the market borrowings of the government without disrupting market. The government's borrowing is around Rs 4 lakh crore for this fiscal. The government borrowings were increased this fiscal because of declared various stimulus packages. Experts believe that due to high borrowing, the government may have little money for private sectors. But Finance minister Pranab Mukherjee allayed this fear.

The Finance Minister Pranab Mukherjee told media that appropriate measures will be taken to check the impact of the high borrowing on the Private sector funding. The government had declared stimulus packages last year due to economic slowdown, resulted to high borrowing in this fiscal. It is believed that the government may come up more measures in order check the liquidity crisis and may change the interest rates.