Letter to BS: RBI may keep repo rate unchanged in April policy review

The matter should be best left to the wisdom of the six-member monetary policy committee of RBI

Apropos of “RBI may keep repo rate unchanged at 6% in April policy review: BS Poll” (March 31), it makes some interesting readings as the empanelled economists come out with their own perceptions and thus there is no unanimity over this key issue. But reasonably speaking, this matter should be best left to the wisdom of the six-member monetary policy committee (MPC) of the Reserve Bank of India (RBI). Moreover, where is the need for ritually making such individual assessments just prior to the scheduled meet of this all powerful committee each time? 

Needless to say, this committee that is composed of some eminent independent economists apart from other three members who represent the RBI could always be expected to take some highly conscious decision based on the overall national economic scenario. Could the aforesaid MPC ever be expected to get influenced in any manner by the opinions expressed in such polls which could perhaps be akin to some pre-poll surveys that are usually carried out during the elections time? 

However, the final position emerging soon after its official decision may, of course, be discussed and debated at any platform. 

Vinayak G Bengaluru

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