IMPACT OF MONETARY POLICY OF INDIA WITH SPECIAL REFERENCE TO CRR, REPO & REVERSE REPO RATE IN CURBING INFLATION – AN ECONOMETRIC STUDY

  • Vikram K. Joshi Assistant Professor, Dr Ambedkar Institute of Management Studies and Research, Nagpur (Maharashtra)
Keywords: Monetary Policy, Repo, Reverse Repo, Inflation

Abstract

In the recent past, the thrust of the monetary policy of India was on reducing the annual inflation rate. During the year
2009 to 2011, the inflation in India has crossed historical records and reached to unprecedented levels, and lying in the
range of 9 14 %. The monetary authorities are striving hard to curb the inflation by adopting several monetary policy
measures, the important amongst which are changes in CRR, repo and reverse repo rate, which directly influence the
money supply in the market with immediate effect without creating any distortions in the economy. In this paper the
econometric study of impact of changes in CRR, repo rate and reverse repo rate adopted by the monetary authorities in
curbing inflation is carried out and the model is formulated to evaluate the various alternatives to suggest the suitable
policy based on the existing market scenario which can be implemented to curb the existing level of inflation.

Published
2020-04-08
How to Cite
Vikram K. Joshi. (2020). IMPACT OF MONETARY POLICY OF INDIA WITH SPECIAL REFERENCE TO CRR, REPO & REVERSE REPO RATE IN CURBING INFLATION – AN ECONOMETRIC STUDY. Management Insight, 8(2), 1-12. Retrieved from https://journals.smsvaranasi.com/index.php/managementinsight/article/view/497