Moving ahead with the proposal on setting up the Monetary Policy Committee, the Finance Ministry has initiated the selection process for nominating three independent members to it.
Members from Reserve Bank are known that is already mentioned in the Act itself. You have Reserve Bank of India Governor, Deputy Governor and Executive Director. Now from the government side three independent members are to be nominated,” said Economic Affairs Secretary Shaktikanta Das on Tuesday.
He also tweeted that the process to constitute Monetary Policy Committee will be initiated after the passage of Finance Bill and its notification as an Act. The Bill is likely to be passed in Parliament this week.
The appointment of the government nominees to the rate setting committee will be through a search-cum-selection committee under the Cabinet Secretary with the Reserve Bank of India Governor, Economic Affairs Secretary and three experts in the field of economics, banking, finance or monetary policy as its members.