(MC)
Indian states need to adopt a prudent borrowing strategy and efficient cash management practices, keeping in view the evolving macroeconomic scenarios, the governor of the Reserve Bank of India said in a meeting with state finance secretaries on July 7.
The states also need to focus on improving the quality of expenditures, better handling and monitoring of contingent liabilities and improving the governance in the cooperative banks, Shaktikanta Das said in the meeting, according to a release. The meeting was held in Mumbai and attended by officials from the Ministry of Finance, Government of India, Controller General of Accounts, Comptroller and Auditor General of India, and the Finance Secretaries of 24 States and one Union Territory.
States are expected to borrow Rs 2.12 lakh crore via bonds in July-September, according to an indicative calendar released by the RBI on July 2. States are scheduled to raise Rs 62,640 crore in July, Rs 81,582 crore in August, and Rs 67,330 crore in September. State debt auctions typically happen every Tuesday.
