RBI's rescue act

The move to avoid the moratorium route is a wise one

The Reserve Bank of India (RBI) did most of the heavy lifting last year in terms of providing relief to the Indian economy hit by disruption caused by the Covid-19 pandemic. The second wave has now prompted the central bank to come up with a fresh set of measures to support different segments of the economy. A rapid surge in Covid-19 cases has overwhelmed the medical infrastructure in different parts of the country, forcing state governments to impose restrictions on public mobility, which will affect both demand and supply. Lower output will potentially reverse the ongoing economic recovery. Although the