BIS mentioned RBI`s significant role in anchoring inflation expectations using communication policy: Nirmala Sitharaman
Finance Minister Nirmala Sitharaman on April 01 attended the 90th anniversary of Reserve Bank of India. She quoted the Bank of International Settlements and said that the Reserve Bank of India has played a significant role in anchoring inflation expectations using communications policy.
Nirmala Sitharaman quoted BIS and said, “The Bank of International Settlements has mentioned the significant role played by RBI in anchoring inflation expectations using communication policy. Apart from forward guidance, it (communication policy) was used to explain the rationale for measures taken by RBI. Thus, in the economy, confidence was built. Optimism has been held up during the pandemic.”
Sitharaman commended RBI's steadfast commitment to safeguarding India's financial interests and reiterated the government's support for the institution. Highlighting the global recognition of RBI's contributions, Sitharaman referenced the Bank of International Settlements' acknowledgment of RBI's role in anchoring inflation expectations through effective communication policies.
