From 13,000-word monetary policy statements, RBI has become a lot clearer

The Reserve Bank of India has come a long way from the days when monetary policy statements would average 13,000 words.
 
That’s more than the average length of a Masters thesis in economics and was before the adoption of inflation targeting in 2016. Since then, the central bank has become briefer and less complex in its policy communication, according to a recent paper published by the Indira Gandhi Institute of Development Research in Mumbai.
 
RBI statements have averaged 3,084 words in the post-inflation targeting regime, still pretty high if compared to the Federal Reserve’s average of 500 words,