India followed a monetary targeting framework with feedback during the mid-1980s to 1997-98 under which broad money was used as an intermediate target for monetary policy. This framework was, however, rendered increasingly inadequate by the mid-1990s due to several developments that took place with economic and financial sector reforms.
At the end of the summer, the ACI, the Financial Market Association, asked us to host on their behalf a public consultation that they are launching on the means to better integrate markets for short-term securities in Europe. We agreed to do so because this is exactly the sort of initiative that I have been describing above.