Delhi's Financial Leap: A New Era with RBI

The Delhi government has signed a historic MoU with the Reserve Bank of India to rejuvenate the Yamuna and enhance infrastructure. This agreement will enable market borrowing, improve cash management, and ensure fiscal prudence, marking a new chapter in Delhi's financial governance.

The Delhi government has made a groundbreaking move by signing a Memorandum of Understanding (MoU) with the Reserve Bank of India, focusing on revitalizing the Yamuna River and advancing infrastructure. This significant step promises to transform financial governance in the national capital.

This accord will see the RBI function as Delhi's banker and debt manager, facilitating market borrowing through State Development Loans and ensuring professional cash management. Funds raised will prioritize critical sectors, including water, health infrastructure, and public transport, with the aim of fostering long-term economic growth.

Delhi Chief Minister Rekha Gupta hailed the MoU as a marker of fiscal prudence and a shift from past financial practices. Emphasizing transparency and sustainability, Gupta noted that the agreement lays down a new framework for utilizing public funds efficiently while aligning with national fiscal norms. This reform signals a decisive shift for Delhi in its financial operations.

(With inputs from agencies.)