The monetary policy committee (MPC) will start its two-day meeting on Tuesday to discuss and vote on what the Reserve Bank of India (RBI) should do with its policy rates.
There are no ready solutions to the monetary shock posed by demonetization, which purged 86% of the currency (by value) in circulation. That said, a thread of clarity over growth and inflation has emerged over the days since Rs1,000 and Rs500 banknotes ceased to be legal tender on 9 November.
