An apt policy: RBI may tighten credit later but its current focus is on attracting flows of foreign exchange
· livemint.com
It took a wait-and-watch approach on the repo rate, although India’s inflation trajectory points to a rate hike later this fiscal year. RBI assured the banking system of liquidity and took steps to attract more forex flows. Quite appropriate, under the conditions.
The Reserve Bank of India’s (RBI) credit policy is important not just from the point of view of the repo rate and stance, but also the commentary which goes a...