RBI policy: Rajan takes a calculated gamble by not hiking rates
Today in New Delhi, India
Feb 21, 2019-Thursday
-°C
New Delhi
  • Humidity
    -
  • Wind
    -

RBI policy: Rajan takes a calculated gamble by not hiking rates

By every yardstick, RBI’s decision to hold on to the current policy rate despite rising inflation is a close call. Instead of going for an all-out attack against inflation and bottling inflationary expectations by being proactive, Rajan has preferred to play a game of catch-up.

business Updated: Dec 19, 2013 10:27 IST
LiveMint
LiveMint
Inflation,RBI,Raghuram Rajan

By every yardstick, RBI’s decision to hold on to the current policy rate despite rising inflation is a close call. Instead of going for an all-out attack against inflation and bottling inflationary expectations by being proactive, Rajan has preferred to play a game of catch-up.



Not too many analysts are expecting a significant reduction in inflation numbers—both retail as well as wholesale—in December. If indeed that is the case, Rajan is merely delaying the inevitable.



Read full report here:

First Published: Dec 19, 2013 10:05 IST