Indian Economy
In pursuance with the recommendations of Narsimham Committee, the RBI has framed new guidelines

to setup more foreign exchange banks
to lend more easily for industrial development
to reduce the freedom given to banks to rationalize their existing branch network
to govern entry of new private sector banks to make the banking sector more competitive

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Indian Economy
The budget deficit means

fiscal deficit less interest payments
the excess of total expenditure, including loans, net of lending over revenue receipts
difference between revenue receipts and revenue expenditure
difference between all receipts and all the expenditure

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