What matters today is continuing in that direction. Is financial deregulation a factor in the rise of inequality, as some are saying? Financial regulation has its rightful place within a framework for combating inequality. As the economists Philippe Aghion and Angus Deaton have said, combating inequality involves combating rent-seeking. And yet the big forces of change today, globalisation and technological progress, create rents.
These related to permitting non-bank entities who were hitherto permitted to undertake only reverse repos to borrow money through repos; issuing clarifications regarding maximum period for repos and allowing repos to be undertaken in all PSU bonds and bonds issued by corporate and financial institutions held in dematerialised form in recognised stock exchanges.