Fiscal deficit will be high.

; Press Trust of India

NEW DELHI, 21 JUNE: Seeking to mollify the fears of banks that high government borrowing would not allow interest rate to come down, the Planning Commission today said the fiscal deficit would be high but not in double digits.

Bankers are always concerned about the size of the government's borrowing. Because it is very very large, many of them think that the interest rate on government debt will rise and they would rather retain liquidity now in order to invest in high-yielding government bonds, Planning Commission deputy chairman Mr MontekSingh Ahluwaliasaid.

He, however, advised bankers to wait as nobody knew what the government …