Monetary Policy Stances
- November 25, 2021
- Posted by: OptimizeIAS Team
- Category: DPN Topics
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Monetary Policy Stances
Subject – Economy
Context – ‘RBI must aid growth by staying accommodative’
Concept –
- The process of drafting, announcing & Implementing the plan of actions taken by the Central Bank of a Country (In India, Reserve Bank) that controls the quantity of money in an Economy.
- Monetary Policy Committee of the Reserve Bank of India meets every two months to take key decisions on the Monetary Policy of the Country.
- Monetary Policy Stances are namely Dovish, Hawkish, and Accommodative & Neutral.
Monetary Policy Stance | Meaning |
Hawkish Monetary Policy Stance
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Dovish Monetary Policy Stance |
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Accommodative Monetary Policy Stance
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Neutral Monetary Policy Stance
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