Page 16 - Monetary Policy

What should monetary policy do?

The recent inflation data is not a serious problem for the Monetary Policy Committee

Rate cuts may help sovereign bonds post modest gains despite fiscal woes

Bond Bulls in India Bet on Rate Cuts to Counter Fiscal Worries

Even soaring onion prices may not stop RBI from delivering more rate cuts

Onions have a weight of 0.6 per cent in the overall inflation basket and contribute about 10 per cent to the vegetable basket

Best of BS Opinion: PMC Bank crisis, stressed financial firms, and more

The lead edit explains why the 25 basis point cut in the policy rate is an appropriate call

An appropriate call

Significant fiscal slippage could affect monetary policy

Letter to BS: Highly naive to assume rate cuts will help arrest slowdown

Ironically, all that the RBI proposes, the government eventually disposes with some other obligations ranking high on its mind

Why monetary easing alone is not enough

Monetary easing has been ineffective in lowering the cost of funds. The challenge is for the central and state governments to work together to revive the animal spirits of entrepreneurs

RBI begins policy review meet; rate cut on cards to boost economy

The Governor has already hinted that the benign inflation provides room for further monetary policy easing while space for fiscal space is limited

Monetary policy: RBI to stay on course, says IDFC First Bank economist

With inflation remaining contained, RBI still has room for another 40 bps for Repo rate to go down

RBI policy: Fiscal could add a twist to monetary easing, says economist

As the RBI has de-emphasised the concept of real policy rates, forecasting the terminal rate has become more difficult, says Samiran Chakrabarty

Why more monetary easing is on the cards

Any change in the value of the new external benchmark mandated by the RBI will find expression in bank lending rates far more quickly than has been happening until now

After SBI, RBI Guv says all banks should link loans, deposits to repo rate

Calling for radical corporate governance reforms at state-run banks, Das said their real test would be their ability to access capital from the markets rather than depending on the govt

How to make the horse drink water

For ideal monetary transmission, we need two benchmarks - one for loans and another for deposits

Monetary policy review: RBI may cut rate, but commentary will be cautious

Economic and markets indicators are increasingly signaling a slowing economy, but an even greater worry is a weakness of both consumer and investment sentiment

Monetary policy: RBI likely to change stance to 'neutral' on Thursday

A softer stance would bode well for Prime Minister Narendra Modi's government, which wants to boost lending and lift growth as it faces elections by May

External benchmark linked loans to save Rs 12,500 cr in interest costs

"In the current downward interest rate cycle, the shift to repo rate based external benchmark could bring savings worth Rs 12,500 crore in interest expense"

The era of cheap money shows no one knows how monetary policy works

In the cheap-money era, now into its second decade in most of the developed world (and third in Japan), there's been plenty of borrowing. But it's been governments doing it

Fiscal Yin, monetary Yang

Monetary policy attempts to rein in governments so that the bond markets can bloom, at the cost of the voter

Run-up to monetary policy: Neutral is best gear for now, says Sonal Varma

The divergence between low food and elevated core inflation continues

Time to improve the fiscal architecture

To chip away at the fiscal dominance of monetary policy, it is important to focus on institutional design and process improvements