RBI to focus all energies on accelerating recovery

RBI Deputy Governor Michael Patra said the central bank will focus all its energies on reviving the country’s economic growth given that inflation’s momentum is declining.

“Our sense is that headline inflation has peaked in January and from hereon it will ease down to the target of 4% by the last quarter of 2022,” he said at the Asia Economic Dialogue, adding, “This has provided us the space to maintain policy rates low and persevere with an accommodative stance so that we can focus all energies on accelerating and broadening the recovery.”

Meanwhile, Patra said the RBI’s views about cryptocurrencies might have delayed the government’s proposed legislation on crypto assets.