This contagion brought home a simple message. In a rapidly globalizing world, national and international financial stability are inter-linked. They are really two sides of the same coin. 2. From that perspective, the international efforts now under way to put in place institutional arrangements and policies for preserving financial stability are relevant for us here in South Asia too.
The Bank will make the most appropriate policy decisions by scrutinizing the current situation of economic activity and prices and their outlook, various risk factors, and developments in financial and capital markets at every Monetary Policy Meeting.