Rajan calls on Jaitley; discusses inflation

Reserve Bank of India governor Raghuram Rajan called on finance minister Arun Jaitley on Tuesday morning soon after the latter took charge of the finance ministry.

Reserve Bank of India governor Raghuram Rajan called on finance minister Arun Jaitley on Tuesday morning soon after the latter took charge of the finance ministry.

Speaking to the media after the meeting, which lasted for more than 45 minutes, Rajan said the a host of issues including taming inflation was discussed. Jaitley has said that the immediate focus of the government would be the urbing fiscal deficit and inflation.

RBI's bi monthly monetary review is scheduled on June 3.

"It (curbing inflation) is a task that the government and the RBI are engaged with," Rajan said.

While there is pressure on RBI to ease high interest rates, Rajan has stressed on inflation, Jaitley underlined the need for a "balancing act" to address the issue.
"RBI has always maintained the balance between growth and inflation," Rajan added.