RBI Governor Raghuram Rajan defends the policies taken during his tenure especially the refusal to cut interest rates. At an event in Bengaluru, Rajan who caused a stir over his decision not to accept a second term, said that the slowdown in credit growth has been largely because of stress in PSU banks and not by high interest rates. "Have seen a slowdown in lending by PSU banks vs private sector banks. The level of interest rates is not the problem. Due to bad loans, public sector banks are unwilling to lend more. In times of drought private banks are lending more, but the ability of lenders to collect loans is poor.
 
He also referred to the reams dedicated to controversy over his tenure saying, "I feel like in last few days I've read lot of my obituaries. Don't write me off as yet. I'm still here for two-and-a half months in this job.
After that I'll be still around somewhere in the world, probably a lot in India so don't write me off. "

Finance Minister Arun Jaitley today dismissed Subramanian Swamy's attack on Chief Economic Adviser Arvind Subramanian and strongly defended him saying the government has full confidence in him and his advice is of  "great value" to it. "Well, the government has full confidence in CEA Arvind Subramanian. His advice to government from time to time has been of great value. "