4 months ago
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The Delhi authorities connected Monday (January 5, 2026) signed a Memorandum of Understanding (MoU) with the Reserve Bank of India (RBI), enabling the government, for the archetypal time, to rise funds from the unfastened marketplace for the archetypal time, the Chief Minister’s Office (CMO) said. Funds volition beryllium raised astatine an involvement complaint of astir 7%, it added.
The connection quoted Chief Minister Rekha Gupta arsenic saying that the funds volition beryllium utilised “exclusively for superior expenditure” connected works specified arsenic Yamuna rejuvenation, drainage infrastructure, drinking h2o supply, wellness infrastructure, nationalist transport and municipality mobility, and different indispensable municipality infrastructure.
Historical reform: CM
“This MoU is not simply an administrative arrangement. It is simply a historical fiscal betterment that Delhi volition payment from for decades. With this step, Delhi embarks connected a caller travel of liable governance, beardown institutions, and sustainable growth, afloat aligned with the imaginativeness of a developed India,” it added.
The CM termed the betterment an result of sustained engagement with the Centre and a gathering with Union Finance Minister Nirmala Sitharaman past month, during which cardinal issues concerning fiscal autonomy and the modernisation of Delhi’s fiscal architecture were discussed.
“Pursuant to a Government of India notification dated January 2, 2026, effectual from 9 January, 2026, the Public Accounts of the Government of NCT of Delhi person been separated from the Public Accounts of the Government of India, providing Delhi an autarkic banking and borrowing operation for the archetypal time,” work the statement.
Development loans
Till now, Delhi has not been capable to get from the marketplace due to the fact that it did not person a abstracted ‘Public Accounts’, said a elder official. With the instauration of this account, the authorities volition beryllium capable to rise funds from the marketplace done State Development Loans by issuing bonds oregon dated securities, the authoritative added.
Under the MoU, the excess currency equilibrium with the Delhi authorities volition beryllium invested automatically connected a regular ground done RBI mechanisms, generating involvement income and eliminating losses from idle funds, the CMO said.
“Delhi volition person entree to Ways and Means Advances and Special Drawing Facilities from RBI, ensuring businesslike absorption of impermanent currency travel mismatches without resorting to costly oregon exigency borrowing,” it added.
