This refers to “RBI’s ineffective communication” (Business Line, October 23). Unfortunately, the author has relied on the experience of the US and its Federal Reserve to build his case on the performance of India’s central bank on communication. India cannot be compared with the US at this stage. The two countries differ in historical background, governance, population, literacy; their measures even for estimating hunger vary. The same applies to the central banks too. The Fed and the RBI are not comparable. One is not aware whether there are restrictions on the number of speeches by Fed officials. North Block may not be aware either. If they come to know, RBI officials may have to talk less in public. It is true that the frequency of policy reviews by the RBI needs to be reduced, as it takes some time for follow-up measures to have an effect.
- M.G. Warrier, Mumbai (HBL)
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