Comments
Indicating an imminent rate cut, RBI Governor Raghuram Rajan has said inflation has come down to the comfort zone quicker than expected and he is keeping a watch on data to see how much room is there for further easing of the monetary policy.
“We are on a phase of accommodation. We are still in that phase. We are looking at the data to see what more room we have,” Rajan said.
Stating that RBI monetary policy has been accommodative, Rajan said he has cut interest rates three times already this year and he was “still on an accommodative setting”.
“You know, like other central banks, we are in a wait-and-watch mode. And as the incoming data are analysed, we are looking to see how much monetary room there is for more accommodation,” Rajan told Wall Street Journal in an interview on the sidelines of the Jackson Hole summit in Wyoming.
Rajan said inflation has come down in India, and replied in affirmative when asked whether it was coming into RBI’s comfort zone more quickly than he had expected.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.