It is with this intention that the Government has now started to tax the financial services industry, though the agriculture sector and other services remain outside the ambit of the tax regime. Monetary policy now for some years has been largely supportive of the dual objective of promoting economic growth and price stability.
It achieves this goal by targeting monetary aggregates (broad money supply growth as intermediate target and reserve money as operational target) in accordance with real GDP growth and inflation targets. The fiscal responsibility legislation and central bank’s mandate to formulate, conduct and implement its monetary policy combined to somewhat help reduce the fiscal subservience of monetary policy.