An autonomous research institute under the Ministry of Finance

 

On inflation, the government and the RBI are walking a tight rope

20/05/2022

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(Co-authored with Emmanuel Thomas)
 
“Fiscal and monetary policy coordination is crucial to sustain the economic recovery. The fact that the wholesale price index (WPI) inflation rate was continuing at two-digit numbers for a year and the CPI has remained above the upper band of 6% for three consecutive months ...

The Digital Tax Challenge

28/04/2022

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Over the past four years 137 countries have engaged intensively with the OECD to find a solution to the tax challenges arising from digitalisation.  Like any international agreement, finding  a middle ground has been difficult and  series of compromises were made.  It was agreed intially the unique features ...

RBI is right to prioritise inflation management. But it won’t be easy

22/04/2022

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The first bi-monthly meeting of the RBI's Monetary Policy Committee (MPC) for the current financial year reaffirmed its focus on inflation management. While the MPC voted to keep the policy rate unchanged at 4 percent and retained its accommodative stance, the wording was changed to ...."remain accommodative while focusing on ...

RBI’s hawkish stance on liquidity

22/04/2022

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With inflation rising, a slower monetary policy tightening by RBI could accelerate de-anchoring of inflation expectations. RBI might “bite the bullet” by hiking policy rates in upcoming MPC meetings.
 
Against the backdrop of mounting global uncertainties emanating from the Ukraine war and the energy price volatility, RBI has taken ...

Evaluating The After Effects Of Covid-19- Fiscal Policy Options

13/12/2021

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That the fallout of Covid 19 was akin to a war, and on several counts more adverse, was both understood and acknowledged from the outset. No sector of the economy was left untouched with livelihoods, incomes and employment severely impacted. If there was unanimity on any issue, it was that ...