RBI chief sees liquidity discomfort easing in few months

The Reserve Bank of India (RBI) Governor Duvvuri Subbarao said on Monday he expects liquidity conditions to be less uncomfortable over the next few months due to the winding down of the government's cash balances as well as the narrowing gap between deposit and credit rates. However, Dr Subbarao said liquidity is expected to be in deficit mode over the next few months, and that the central bank would prefer it to be in deficit a...