Monetary Policy Framework Agreement
The GOI and RBI signed a Monetary Policy Framework Agreement, The objective is to primarily maintain price stability, while keeping in mind the objective of growth.
Net Demand and Time Liabilities(NDTL)
Net demand and time liabilities(NDTL) measure a company’s liquidity. It measures the balance between what a company owes in the short term and what it owns that can be converted into cash quickly.
Appointment of RBI Governor
The process of appointment of RBI Governor and the associated challenges in ensuring transparency and institutional independence.
Monetary Policy Committee(MPC)
The Monetary Policy Committee(MPC) determines the benchmark policy rate (repo rate) to restrain inflation within the particular target level(4% +/-2%).
Latest MPC Review
In the latest MPC review concluded on 6th December, it’s decided to keep the repo rate unchanged but reduced the CRR by 50bps
Should RBI target Core Inflation or Headline Inflation
The Economic Survey for 2023-24 questioned the merits of India’s inflation targeting regime, which aims at a headline inflation rate of 4% with a band of 2% on either side. It mused aloud whether a regime that targets inflation, excluding food prices, would be more appropriate in the Indian context, especially given the unintended effect
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Monetary Policy
Monetary Policy is defined by the Reserve Bank of India as “the policy of the central bank with regard to the use of monetary instruments under its control to achieve the goals specified in the RBI Act, 1934.” Monetary policy is concerned with the measures taken to regulate the supply of money, the cost and
Monetary Policy – Indian Economy, Previous Year Questions(UPSC CSE)(2011-24)
1. Consider the following statements: In India, Non-Banking Financial Companies can access the Liquidity Adjustment Facility window of the Reserve Bank of India. In India, Foreign Institutional Investors can hold the Government Securities (G-Secs). In India, Stock Exchanges can offer separate trading platforms for debts. Which of the statements given above is/are correct? (a) 1
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