RBI plans to remain nimble to prevent persistent supply shock amid West Asia crisis

Kolkata: Reserve Bank of India governor Sanjay Malhotra said the central bank will stay agile in policymaking to ensure that the supply shocks triggered by the Iran war don’t persist long enough to get embedded in the general price level.Addressing students at Princeton University in the US on April 18, Malhotra said monetary policy has a primary role to play in "preventing this entrenchment" in such a situation through its influence on inflation expectations rather than through blunt demand com...