Reserve Bank Governor Shaktikanta Das Monday said he will meet heads of public and private sector banks this week to discuss transmission of interest rate cut to borrowers.

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Speaking to reporters after Finance Minister Arun Jaitley addressed the board of the central bank, he said transmission of monetary policy decisions is important.

He said he will meet the CEOs of public and private sector banks on February 21.

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Earlier this month, the Reserve Bank cut the benchmark interest rate by 0.25 per cent to 6.25 per cent.

Commenting on mergers in the banking space, Jaitley said India needs fewer and mega banks which are strong.