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India’s Experience with Cash Management

  • Vijay Singh Chauhan
Chapter
Part of the India Studies in Business and Economics book series (ISBE)

Abstract

The objectives of cash management are to maximize liquidity, control cash flows and maximize the value of funds, while minimizing the cost of funds. The Indian cash management system is still underdeveloped and there is further scope for improvement to deliver “more bang for the buck”. The paper highlights basic objectives of cash management policy, in general, and reviews the cash management system in Central Government, highlighting some of its salient features as it has evolved overtime. Cash management in India has largely been passive though in recent years, auctioning of government’s cash balances has been initiated.

Keywords

Monetary Policy Cash Flow Central Bank Treasury Bill Fiscal Deficit 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

References

  1. GOI (2003–2004) Speech of union finance minister, Ministry of Finance, New DelhiGoogle Scholar
  2. GOI (2008) Report of internal working group on Debt management, Ministry of Finance, Chairman: Dr. Jahangir AzizGoogle Scholar
  3. RBI (2011) Report of the working group on operating procedure of monetary policy, Chairman: Sri Deepak MohantyGoogle Scholar
  4. RBI (2013) Currency and Finance Report, MumbaiGoogle Scholar
  5. Williams M (2004) Government cash management: good and bad practice, World Bank Technical NoteGoogle Scholar
  6. Williams M (2010) Government cash management: its interaction with other financial policies, Technical Notes and Manuals, IMFGoogle Scholar

Copyright information

© Springer India 2016

Authors and Affiliations

  1. 1.Department of RevenueMinistry of Finance, Government of IndiaMumbaiIndia

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