Raipur, Oct 12 (IANS) The Reserve Bank of India (RBI) has informed the Chhattisgarh government that it will open its first branch in the state on Jan 1, 2007, an official said Thursday.
'RBI Governor Y.B. Reddy met Chief Minister Raman Singh late Wednesday and accepted the latter's demand that the apex bank should have a branch in the state to monitor and supervise banks and financial institutions operating in the state,' said a senior finance department official.
He added the state government had also sent a proposal earlier urging the RBI to open a branch in the state as the nearest two RBI branches are based in Nagpur and Bhopal, both outside the state.
The RBI governor also expressed satisfaction over the better financial management by the state government, the official added.
Chhattisgarh is one of the few states of the country that has kept its establishment expenditure below 32 percent.
The state has never faced an overdraft situation since it was carved out of Madhya Pradesh on Nov 1, 2000.