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Policy transparency
Business Standard
|November 04, 2025
Report on failure to achieve the inflation target must be released
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The publication of a discussion paper on the monetary policy framework-by the Reserve Bank of India (RBI) in August - has sparked a lively debate, including on these pages. Various aspects of the framework were also discussed at the annual Business Standard BFSI Insight Summit last week, in a panel featuring two former external and two former internal members of the Monetary Policy Committee (MPC). The panel agreed that the framework had worked for India and there was no need for change at this stage. The inflation target is due for a review by March next year. Although there are minor differences on some technical aspects of the framework, most economists agree that the headline inflation target of 4 per cent, with a tolerance band of 2 percentage points on either side, should be retained for now.
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