India's fiscal prudence positive for bonds, says RBI deputy governor | Reuters

NEW DELHI The Reserve Bank of India Deputy Governor H.R. Khan on Tuesday said the government's commitment to meet its fiscal deficit target of 3.5 percent of gross domestic product for the year starting in April was positive for bond markets.

"Fiscal deficit is bond positive. Net borrowing is also lower so that makes our job a little easier," Khan told Reuters on the sidelines of a conference in New Delhi.

He, however, declined to comment on whether the budget unveiled by Finance Minister Arun Jaitley on Monday would impact the RBI's monetary policy stance.

India's benchmark 10-year bond yield fell 1 basis point to 7.61 percent on Tuesday after slumping 16 bps on Monday.

(Reporting by Neha Dasgupta; Writing by Rafael Nam; Editing by Malini Menon)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date: Mar 02, 2016 07:15 AM

Also Watch

Watch: Firstpost test rides the new Thunderbird 500X in Goa and walks you through the Royal Enfield Garage Cafe
  • Tuesday, April 17, 2018 Varun Dhawan on Shoojit Sircar's October, 5-star reviews and working with Anushka Sharma in Sui Dhaaga
  • Saturday, April 14, 2018 Ambedkar Jayanti: Re-visiting Babasaheb's ideals exposes fake Dalit politics of Rahul Gandhi and Congress
  • Monday, April 9, 2018 48 hours with Huawei P20 Pro: Triple camera offering is set to redefine smartphone imaging
  • Monday, April 16, 2018 Rajyavardhan Singh Rathore interview: Sports can't be anyone's fiefdom, we need an ecosystem to nurture raw talent

Also See