Health and medical care In the context of OECD countries, it has been found that while the medical expenditure for the entire population would increase by 6.7 times between 1986 and 2025, that of the elderly population is expected to rise by 10 times during the same period (Dhar Chakraborty, 2004).
In order to persistently continue with monetary easing, it is important for the Bank not only to ensure the sustainability but also to be nimble in making effective responses when needed, such as in the wake of a large shock to the real economy and financial markets. Let me illustrate this by looking at two examples.