India’s monetary policy will remain accommodative even if borrowing costs start rising this year, according to a dovish member of the central bank’s rate-setting body (via anuproy05)
“It is possible that rates go up and yet there is accommodation because durable liquidity will remain in surplus and real rates will remain below neutral in the early stages of withdrawal
of accommodation,” Ashima Goyal, one of the six members of the Monetary Policy Committee, said in an email interview on Monday. Goyal said she was not speaking on behalf of the rate panel.
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