The CRR is expected to work in conjunction with the restoration of the LAF corridor to ensure appropriate liquidity conditions in the economy. The policy stance will be under careful and continuous review and the mix of instruments will be modulated by the evolving situation.
To reflect the Reserve Bank’s point of view at the present time, the stance of policy for the period ahead has been enunciated as: •  To reinforce the emphasis on price stability and well-anchored inflation expectations while ensuring a monetary and interest rate environment that supports export and investment demand in the economy so as to enable continuation of the growth momentum.