The friction between the bank and the government is over three key issues. The Reserve Bank of India (RBI)'s board is meeting in Mumbai today in the middle of an unprecedented public feud between the government and the central bank, which alleges attempts by the centre to undermine its autonomy.

The liquidity crisis, lending restrictions on state-run banks and the transfer of excess reserves are likely to be discussed in the meeting.

After efforts at a de-escalation, RBI chief Urjit Patel is unlikely to resign - as speculated by some reports - but sources predict a clash in the meeting over the centre's demand for a special liquidity window for Non-Banking Finance Companies (NBFCs).

In another likely flashpoint, the government has proposed a supervisory role for the RBI board, which has several of its nominees.