Duvvuri Subbarao, the governor of the Reserve Bank of India, on Friday launched a scathing attack on inflation targeting and challenged the view that central banks could regain their independence post-crisis.
Subbarao told an audience in Mumbai: "The unravelling of the Great Moderation during the crisis has diluted, if not dissolved, the consensus around the minimalist formula of inflation targeting."
He added: "The mainstream view before the crisis was that price stability and financial stabili
- Central banks may be thinking wrongly about inflation – Borio
- European Commission announces supervisory agency reforms
- Bank of Russia will be able to handle fallout from failing banks, analysts say
- Riksbank outlines three visions of ‘e-krona’
- Uruguay’s digital currency pilot ‘close to launch’, says governor