Whatever it takes: But for how long?

The Governor clearly stated that the RBI remains in 'whatever it takes' mode, referring to the desire to support the fledgling recovery

In its August 2021 policy review, the Monetary Policy Committee (MPC) maintained a status quo on the policy rate and the accommodative stance. It reiterated its support towards the nascent economic recovery, which was expected in light of the persisting uncertainty, growing concerns regarding the Delta variant and only gradual rise in the domestic vaccination levels. Nevertheless, the disquiet generated by the last two CPI inflation prints that had breached the 6-per cent threshold, led to a sharp upward revision in the FY22 inflation forecast. 

The culmination of the tussle between balancing growth and inflation considerations, was the non-unanimous outcome of