<p>Meeting India's fiscal deficit target in the current financial year is going to be challenging and the central bank has not yet made a decision on its monetisation, Reserve Bank of India Governor Shaktikanta Das said.</p>.<p>India has spent more than a month in a nationwide lockdown, with its industries shut, to stem the coronavirus pandemic that has caused 26,496 infections and 824 deaths, among 2.97 million cases worldwide.</p>.<p><strong><a href="https://www.deccanherald.com/national/coronavirus-live-updates-india-sees-lowest-daily-growth-rate-tally-crosses-26k-concerns-mount-over-maharashtra-827545.html" target="_blank">For latest updates and live news on coronavirus, click here</a></strong></p>.<p>"Fiscal measures are important and the government is working on a package of measures," Das, the central bank chief, told news agency Cogencis in an interview published on Monday.</p>.<p>Das said he expected the government to take a judicious and balanced call on the question of the fiscal deficit, while tackling the challenges arising from the pandemic.</p>.<p>"Meeting the fiscal deficit target of 3.5% this year (2020/21) is going to be very challenging, and going beyond it becomes unavoidable," he said, adding that direct tax collections may also be hit.</p>.<p>Das did not reply specifically to a question whether the RBI would monetise part of the fiscal deficit through private placement of bonds or issuance of any specific pandemic bonds.</p>.<p>"On the current situation, we haven't taken a view on it," Das said.</p>.<p>In making such a decision, the RBI will weigh operational realities, the need to preserve the strength of its balance sheet and the goal of macroeconomic stability, he added.</p>.<p>"In the process, we also evaluate various alternative sources of funding too," he said, but did not elaborate.</p>
<p>Meeting India's fiscal deficit target in the current financial year is going to be challenging and the central bank has not yet made a decision on its monetisation, Reserve Bank of India Governor Shaktikanta Das said.</p>.<p>India has spent more than a month in a nationwide lockdown, with its industries shut, to stem the coronavirus pandemic that has caused 26,496 infections and 824 deaths, among 2.97 million cases worldwide.</p>.<p><strong><a href="https://www.deccanherald.com/national/coronavirus-live-updates-india-sees-lowest-daily-growth-rate-tally-crosses-26k-concerns-mount-over-maharashtra-827545.html" target="_blank">For latest updates and live news on coronavirus, click here</a></strong></p>.<p>"Fiscal measures are important and the government is working on a package of measures," Das, the central bank chief, told news agency Cogencis in an interview published on Monday.</p>.<p>Das said he expected the government to take a judicious and balanced call on the question of the fiscal deficit, while tackling the challenges arising from the pandemic.</p>.<p>"Meeting the fiscal deficit target of 3.5% this year (2020/21) is going to be very challenging, and going beyond it becomes unavoidable," he said, adding that direct tax collections may also be hit.</p>.<p>Das did not reply specifically to a question whether the RBI would monetise part of the fiscal deficit through private placement of bonds or issuance of any specific pandemic bonds.</p>.<p>"On the current situation, we haven't taken a view on it," Das said.</p>.<p>In making such a decision, the RBI will weigh operational realities, the need to preserve the strength of its balance sheet and the goal of macroeconomic stability, he added.</p>.<p>"In the process, we also evaluate various alternative sources of funding too," he said, but did not elaborate.</p>