creation of one or more “social capital funds”;  viii. continuation of categorisation of bank loans to MFIs, complying with the regulation laid down for NBFC-MFIs, under the priority sector, etc. The recommendations of the Committee have brought out clarity in regulation of MFIs and led to the containment of the crisis without domino effect.
I don’t see that argument as being very convincing when it comes to communication. The communication of the Governing Council has to remain in line with facts and an evolving reality. There’s always the temptation of gradualism in monetary policy. Too much gradualism in monetary policy bears the risk of larger market adjustments when the decision is eventually taken.