Articles: August 2016

By: Ranjit K Pattnaik, Jagdish Rattanani
Category: RBI, Indian economy
If Dr. Urjit Patel tweaks the SLR, he will free up funds for lending but at the same time, the banks so liberated should be held to account for their performance and a better management of their portfolios. Of course, he will have to play his options amid a host of challenges.
By: Himadri Bhattacharya
Category: RBI, India politics, Indian economy
As Dr. Raghuram Rajan prepares to return to the academia after three years at the helm of the Reserve Bank of India, he leaves behind a legacy and a notable contribution in the introduction of an objective and a legal framework for conduct of monetary policy with a focus on inflation-targeting.
By: DN Ghosh
Category: RBI, India politics, Indian economy
Relations between Central banks and political governments have never been easy anywhere. India is no exception. We need an appropriate forum to strike a balance between unrestrained autonomy and blatant political intervention. The focus should shift on what kind of forum we should have.
By: Ajit Ranade
Category: RBI, Indian economy
Dr. Patel has been Deputy Governor for three and half years, and in that sense is an insider. He also chaired the committee that laid the framework for inflation targeting. This became the predominant mandate of RBI, when the Government of India and the RBI signed an agreement last year.
By: Martin Macwan
Category: Common citizen, India politics, Inclusive growth
There seems to be limited options for dalits in India for their ‘own’ independence. They have to create their own avenues of hope within their own segregation. As we stand today, reservation offers them a ‘special status’ but not ‘equal’ status. It will take a lot to change this.
By: Ranjit K Pattnaik, Jagdish Rattanani
Category: RBI, India politics, Indian economy
In his book, Dr. Subbarao says, “…the high interest rate regime would be the main area of difference between the government and the RBI.” Nevertheless, he and Dr. Rajan have left behind a legacy which has virtually cast in stone the philosophy that price stability is the ultimate goal of the RBI.
By: Usha Thorat
Category: Common citizen, RBI, Indian economy
Wage inflexibility in the public sector, a high level of mandatory investments in government securities, and public sector control of banks are some of the rigidities that impede better transmission. Also the operating framework of the monetary policy has an impact on transmission.
By: Ranjit K Pattnaik, Jagdish Rattanani
Category: Common citizen, RBI, India politics
The policy stands out as a unique document in terms of macroeconomic developments, liquidity management, pass-through of past policy repo rate cuts to lending rates and more importantly the linkages between corporate sector credit demand and business, and public sector bank balance sheets.
By: Ajit Ranade
Category: GST
The friction caused by the myriad of state level and inter-state taxes will go away, improving the ease of doing business. Just entry taxes alone are responsible for the fact that inter-state movement of trucks is slow, because 60 per cent of the time they are at standstill at check posts.