A ceasefire or a fight to the finish?

The relationship between the government and the RBI will never be the same again

One doesn’t need to be a soothsayer to predict that the December 5 monetary policy of the Reserve Bank of India (RBI) will be a non-event. But no one is sure what’s going to happen today when the RBI central board meets in Mumbai to discuss issues on which both the central bank and the finance ministry have chosen to wash dirty linen in public through tweets, speeches and selective leaks to media. (I am not getting into the niceties of who hits first and who retaliates.)

Will it be a non-event with both sides living happily ever after? A