Expectations from monetary policy, how to phase out fossil fuel, and why air pollution is a leveller
Tamal Bandyopadhyay: Assuming a 4.5 per cent one-year forward inflation rate, at a 1.4-1.9 per cent neutral rate, the policy rate should be 5.9-6.4 per cent. This is not far off the current rate of 6.5 per cent. So, rate cuts can be ruled out at this point, but many are expecting a change in stance, from “withdrawal of accommodation” to “neutral”.
Ajay Shah, Akshay Jaitly & K P Krishnan detail reforms required in the electricity sector and also in the financial sector to make the transition to renewable energy feasible.
Sunita Narain talks of the weaknesses of our clean air mission.