..........The Reserve Bank of India today asked the government to work with it on a new monetary policy framework. The central bank wants its “operational independence” to be considered while a review of the existing policy framework is done. Various recommendations have been made with regard to a new monetary policy framework, of which two have generated heated debate — one made by the Financial Sector Legislative Reforms Commission (FSLRC), headed by Justice B.N. Srikrishna, and the other by a committee headed by RBI deputy governor Urjit Patel. Both reports had recommended the setting up of a monetary policy committee. However,..........
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