Subbarao meets FM ahead of policy review

Reserve Bank of India (RBI) governor Duvvuri Subbarao met finance minister P Chidambaram today to discuss the macro-economic situation ahead of the January 29 monetary policy review of the bank.

Reserve Bank of India (RBI) governor Duvvuri Subbarao met finance minister P Chidambaram on Thursday to discuss the macro-economic situation ahead of the January 29 monetary policy review of the bank.

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"Our next quarterly review policy is scheduled for Tuesday. As per standard practice, I have come to review macro-economic situation with the finance minister," Subbarao told reporters outside the finance minister's North Block office.

The RBI is scheduled to announce the third quarter review of the monetary policy for the financial year 2012-13 on January 29.

The Indian central bank is widely expected to cut key policy rates by at least a quarter a percent to boost economic growth.

In the previous review announced on December 18, the RBI has indicated that it would ease monetary policy in January review.

"In view of inflation pressures ebbing, monetary policy has to increasingly shift focus and respond to the threats to growth from this point onward," the RBI had said in the mid-quarter review of monetary policy announced December 18.