The Reserve Bank of India is examining if there is a need to bring any change in the monetary policy framework and, if required, it will talk to the government, Governor Shaktikanta Das said on Saturday.
“The monetary policy framework is in operation for the last three years. We are reviewing and analysing it internally as to how the MPC framework has worked. At an appropriate time, if required, we’ll have discussion with the government,” the RBI governor said at a media conference after he met the Finance Minister on the customary Budget briefing.
“At the moment, it (the framework) is under review within RBI,” he said.
On February 6, the six-member Monetary Policy Committee (MPC) headed by Mr Das kept the repo rate unchanged at 5.15 per cent for the second meeting in a row, but maintained an accommodative policy stance, which implies it was biased in favour of cutting rates to boost growth.
At present, the Monetary Policy Committee meets every two months to discuss the economy.