CEA Arvind Subramanian questions RBI status quo on rates

Subramanian criticises experts for trying to be on right side of power

Chief Economic Advisor (CEA) Arvind Subramanian on Thursday criticised the state of macroeconomic discourse in India and said experts involved in economic discussions were prone to bias and tried to justify decisions taken by the government and the Reserve Bank of India (RBI) — even if they were not correct ones — just to stay “on the right side of power”. 

Delivering the VKRV Rao Memorial Lecture in Bengaluru, Subramanian also questioned the decision of the RBI and the Monetary Policy Committee (MPC) of not cutting rates when all indicators, including core inflation, were in a steady state of decline