 "'My name is Raghuram Rajan and I do what I do'")
"My name is Raghuram Rajan and I do what I do", was RBI Governor's response to comments that he was being Santa Claus in cutting interest rate by more than expected.
Amid government and industry pressure, Rajan on Tuesday cut interest rate by 0.50 per cent, double of what was broadly anticipated and the biggest in more than three years. The cut brought down repo rate to 6.75 per cent, the lowest in four-and-half-years.
At the press conference called to announce the fourth bi-monthly monetary policy, he was asked if he was being Santa Claus in giving more than expected or should his statement be read as hawkish.
"I don't know what you want to call me... Santa Claus... you want to call me hawk, I don't know. I don't go by this. My name is Raghuram Rajan and I do what I do," he said.
Asked why RBI cut interest rate by 0.50 per cent, RBI Governor said: "We want to make sure that word sustainable and growth go together. Both are are important. And that's why we used what room we had. But I don't think we were excessively aggressive. We were not throwing out Diwali bonus."
Rajan said the best protection against financial market turmoil and surviving turmoil is good policy.
Amid government and industry pressure, Rajan on Tuesday cut interest rate by 0.50 per cent, double of what was broadly anticipated and the biggest in more than three years. The cut brought down repo rate to 6.75 per cent, the lowest in four-and-half-years.
At the press conference called to announce the fourth bi-monthly monetary policy, he was asked if he was being Santa Claus in giving more than expected or should his statement be read as hawkish.
"I don't know what you want to call me... Santa Claus... you want to call me hawk, I don't know. I don't go by this. My name is Raghuram Rajan and I do what I do," he said.
Asked why RBI cut interest rate by 0.50 per cent, RBI Governor said: "We want to make sure that word sustainable and growth go together. Both are are important. And that's why we used what room we had. But I don't think we were excessively aggressive. We were not throwing out Diwali bonus."
Rajan said the best protection against financial market turmoil and surviving turmoil is good policy.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%