The banking institutions should give relief to borrowers and forward the complete benefit of the repo rates cuts carried out by the central bank (RBI) thus far.

In a gathering with some bank heads today, Dr. D. Subbarao, Governor, Reserve Bank of India, demanded banks to guarantee that customers are not put to any problem.

Mr. S.K. Goel, Chairman and Managing Director, UCO Bank, who attended the meeting, said that the conference did not talk about more cuts in key interest rates including CRR or SLR, but was called for a general economy appraisal.

The Union Government may announce some fiscal measures in the form of a second economic stimulus package in a few days to propel the growth of economy.  It had earlier announced the first stimulus package on December 7 and taken various measures to mitigate the impact of global slowdown. Reserve bank is also likely to cut interest rates as part of the second proposed stimulus package.

The Reserve Bank of India has indicated further revision of growth forecast for the financial year 2009. The apex bank has earlier forecasted 7.5-8% growth target, which seems hard to achieve, following the impact of global slowdown. The growth rate for the financial year 2009-10 may even slide, under such hard economic conditions. The country registered a growth rate of 7.8% in the first half of the current fiscal as compared to 9.3 percent a year ago.

New Delhi, Oct 11 : Reserve Bank of India Governor D. Subbarao has said that the fundamentals of the Indian economy continue to be strong.

The RBI Governor, who is attending the Annual Meeting of the World Bank and the International Monetary Fund in Washington, has said that though the Indian banks have some exposure to the distressed financial instruments, but it is very small compared to the overall size of the business.

Mumbai, Sep 5 : D Subbarao today took charge as the governor of Reserve Bank of India (RBI) from Y V Reddy and set for himself the immediate task of containing inflation.

"The immediate priority for me as the governor of RBI will be to manage inflation and anchor inflationary expectations," Subbarao said here.

He said the priority in short-to-medium term will be to pursue financial sector reforms in the context of financial and price stability.

Inflation eased to 12.34 per cent during the week ended August 23 due to fall in food prices from 12.40 per cent a week earlier.