The central bank’s confusing statements on cash reserve requirements and its role show it in poor light
Confusing statements by the Reserve Bank of India (RBI) on cash reserve requirements (CRR) and its role show it in poor light. Before the January monetary policy review, the central bank drew a neat distinction between open market operations for liquidity management and the CRR, which, it maintained, was a monetary policy signal. But the surprise CRR cut on January 24 was explicitly directed at infusing permanent liquidity into the cash-starved interbank market.............
Read.........
No comments:
Post a Comment