Current Affairs · Monetary Policy
The RBI Governor's statement on inflation in August 2025 highlighted a critical stance. Which of the following best summarizes the RBI's position on core and headline inflation management during this period?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1RBI will completely freeze policy rate modifications until headline inflation reaches exactly 2%
- 2Core inflation has dropped to records; attention must fully shift to employment generation
- 3Monetary policy must remain vigilant; inflation remains higher than the comfortable target range✓
- 4RBI may consider cutting repo rates immediately if food inflation is transitory
Correct answer
Monetary policy must remain vigilant; inflation remains higher than the comfortable target range
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