Finance Minister Arun Jaitley has said interest rates must become more competitive so that high cost of capital does not add to cost. He said Reserve Bank has done well in the last one and a half years to gradually follow a particular direction.<br/><br/>Welcoming RBI action, Minister of State for Finance Jayant Sinha said the rate cut will be a very good stimulus for the economy.<br/><br/>Economic Affairs Secretary Shaktikanta Das hoped that the banks will further cut interest rate following RBI action.

Finance Minister Arun Jaitley has said interest rates must become more competitive so that high cost of capital does not add to cost. He said Reserve Bank has done well in the last one and a half years to gradually follow a particular direction.<br/><br/>Welcoming RBI action, Minister of State for Finance Jayant Sinha said the rate cut will be a very good stimulus for the economy.<br/><br/>Economic Affairs Secretary Shaktikanta Das hoped that the banks will further cut interest rate following RBI action.