Introduction Monetary policy is a critical component of a country’s macroeconomic management. It involves regulating the money supply, interest rates, and credit availability in the economy to maintain price stability, ensure adequate liquidity, and foster economic growth. In India, the Reserve Bank of India (RBI) is entrusted with the responsibility of formulating and implementing monetary…
Inflation is one of the most critical macroeconomic challenges affecting India’s economy. It refers to the sustained increase in the general price level of goods and services over time. While moderate inflation is considered beneficial for economic growth, high and persistent inflation erodes purchasing power, increases the cost of living, and creates financial instability. In…
The Monetary Policy Committee (MPC) of India plays a critical role in shaping the nation’s economic landscape by influencing inflation rates and ensuring financial stability. This committee, under the supervision of the Reserve Bank of India (RBI), is tasked with setting the monetary policy that governs the country’s money supply, interest rates, and inflation control…