10 Years of Flexible Inflation Targeting: Does India Need a Rethink?

Source: THSubject: Economics Context: Marking 10 years of RBI’s Flexible Inflation Targeting (FIT), economists argue that India’s Phillips curve is largely flat and inflation expectations remain poorly anchored, questioning whether rate hikes effectively control inflation without hurting growth and employment. 10 Years of Flexible Inflation Targeting About 10 Years of Flexible Inflation Targeting: Does India …

UPSC Editorial Analysis: India’s Record-Low Inflation in September 2025

General Studies-3; Topic: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment.   Introduction India’s headline retail inflation (CPI-based) fell sharply to 1.5% in September 2025, the lowest since June 2017 — a span of 99 months. This marks only the second instance in FY 2025–26 when inflation fell below the …

Repo Rate

Source:  ET Context: The Reserve Bank of India (RBI) reduced the repo rate by 25 basis points (bps) to 6.25%, marking the first rate cut in nearly five years.  About Repo Rate: What is Repo Rate? The repo rate is the interest rate at which the RBI lends money to commercial banks for short-term needs. …

Lok Sabha TV Insights: RBI’s Monetary Policy

Lok Sabha TV Insights:  RBI’s Monetary Policy  Archives 04 August 2015 Under third bi-monetary policy review, RBI left policy rates unchanged. Repo stands at 7.25% and Cash reserve ratio at 4% of NTDL. There was significant anticipation of further rate cuts given lower oil prices and negative WPI inflation for 8th month in line. Reason …