Questions raised over RBI policy after Rs 2.5 lakh crore liquidity infusion
FROM THE WIRE · ECONOMICTIMES.INDIATIMES.COM
In its report, SBI said the RBI had consistently signalled its commitment to monetary tightening through its policy resolution, the Governors statement and the minutes of the Monetary Policy Committee (MPC). The liquidity infusion through repo auctions, however, appeared…
Read at the source ↗MARKET IMPACTNEUTRAL✦ News Impact agent estimateTone: neutralDebate over RBI policy consistency can shape expectations for rates and liquidity.AI-generated summary
✦ IN BRIEF · AIAI-generated summary
- 01SBI said the RBI had consistently signalled a commitment to monetary tightening.
- 02The liquidity infusion through repo auctions appeared hard to reconcile with that approach.
- 03The report questions the consistency between the central bank's communication and its actions.