Higher inflation was tolerated to protect growth because of past shocks, says Ashima Goyal

Higher inflation was tolerated only to protect growth because of the major shocks of the past few years. An inflation targeting regime where the nominal repo rate responds to expected inflation to ensure appropriate real repo rates is adequate to credibly anchor inflation expectations. An appropriate real repo rate is required, not a 'high nominal repo rate'.

Disclaimer : Mytimesnow (MTN) lets you explore worldwide viral news just by analyzing social media trends. Tap read more at source for full news. The inclusion of any links does not necessarily imply any endorsement of the views expressed within them.