RBI Monetary Policy – December 2017

StanceThe RBI’s stance on monetary policy is crystal clear. In the last year, the challenges have been to manage excess liquidity, anaemic growth, low inflation, and the NPA crisis. The RBI acknowledges that any outcome is possible from this point and therefore chooses to maintain its neutral stance. Effectively, monetary policy decisions will be data-driven. Keeping this in mind, the reserve bank has left key rates unchanged.