CII President and ICICI Bank CEO, K V Kamath, demanded more measures to improve liquidity conditions in the monetary system of the country. He said that inflation rate is continuously coming down and financial institutions can expect more injection of credit in next policy review of the Reserve Bank.

Mr. Kamath was speaking in the sidelines of the Indian Economic Summit in New Delhi. He confessed loss of confidence in industry following the global slowdown but hoped that things would come under control very soon. Indian economy would continue to grow by around 7% in the current fiscal and the growth will not be less than 6% during 2009-10 despite international recession.

Reserve Nank has already taken many measures to improve liquidity. It has cut cash reserve ratio (CRR) to 5.5 per cent and Repo rate to 7.5 per cent.

The Chairman and Managing Director of Bajaj Auto, Rahul Bajaj said that corporates have already borrowed too much. These are the customers who are facing cash squeeze and more expensive loans. Both industry and government should restructure economic strategy to maintain faith in the market.