Over the last three decades, the pace of financial market reforms has gathered momentum, albeit occasionally interrupted by financial crises. A calibrated opening up of the Indian economy has occurred since the 1990s. Alongside, the institutional architecture has been deepened keeping in view the specifics of the country context. In the interregnum, the markets have traversed a long distance. 8.
In my view, differences in mandates between the Fed and the Eurosystem are important in understanding our respective decisions, and this is often forgotten. In addition, comparing the two systems sheds some light on where each institution may head in the future.