The working group felt that the present prescription does not provide sufficient time for viability study for restructuring of advances under non-CDR mechanism as both the viability study as well as implementation of the package was to be carried out within 90 days from the date of receipt of application.
Inflation averaged about 7 per cent between 1975 and 1991, including the 1983 to 1990 period when it stabilized around 4 to 5 per cent. Since then, inflation has averaged almost exactly 2 per cent and become much more stable, and expectations have become solidly anchored on the target. Inflation targeting has also provided economic benefits that went beyond those we were expecting.