Short selling was permitted in a sequential manner to enable market participants to take positions based on emergent interest rate scenarios and cap risks that could emanate from increased short selling. Intraday short selling in G-Sec was permitted in 2006; it was extended to five days in 2007 and then to three months in 2011.
In the 1970s, the Congress deliberately excluded monetary policy deliberations, decisions, and actions from the scope of GAO reviews. In doing so, the Congress carefully balanced the need for democratic accountability with the benefits that flow from keeping monetary policy free from short-term political pressures.