The Term Auction Deposit is a new instrument we introduced in May 2008 to support liquidity management. Foreign exchange spot sales or purchases were also another indirect instrument used. (ii)  Inflation upsurge  The post-election disturbances early in 2008 put enormous pressure on supply networks for food in most parts of the country.
QE became “credit easing” when private assets were bought to stabilize financial markets, followed by another unconventional move – “operation twist” – to intervene directly at the long end of the yield curve with offsetting interventions at the short-end.