Letter to BS: RBI displaying cautious optimism by keeping all options open

With reference to the editorial “Ahead of the curve” (August 2), it was rightly said in the early 90s when the process of globalisation was initiated and economic integration started gaining ground thereafter that they will throw open greater uncertain times ahead. The pain and the anguish in terms of confronting the enormous uncertainties were felt in the RBI’s monetary policy review on August 1. The high level of uncertainty has added to the market complexities. Demand, growth and inflation are the buzzwords today. 

While there is continued pressure on inflation front, other critical issues like ensuring market stability, rising global