Mario Draghi used a speech on the 30th anniversary to highlight this important event and note that it was the Banca d’Italia’s regained autonomy which had enabled it to rein in price pressures – and in a way which did not damage industry, as some sceptics had forewarned. 2.
Under the revised scheme, the Reserve Bank will, however, continue to have discretion to conduct overnight repo or longer term auctions at a fixed rate or at a variable rate depending on market conditions and other relevant factors. Reserve Bank will also have the discretion to change the spread between the repo rate and reverse repo rate as and when appropriate.