The central bank has performed the role of being an effective counterpoint to government which often has to concentrate on short-term objectives. On its part, the Reserve Bank has been able to take a medium-term view and what is prudent and optimal comes out of this synthesis. We should continue to do that.
RBI has had a culture of gradualism, moving forward decisively but only after weighing carefully the pros and cons. It's like the crossing a river by feeling the stones metaphor. 2  BIS Review 92/2009  Moving forward we need to understand that monetary policy is going to be more difficult because of the increasing forces of globalisation.