Mumbai: Inflation at a two-year high will probably prevent Raghuram Rajan from cutting interest rates at his final policy review as head of the Reserve Bank of India on Tuesday. ReutersAlso Read: Markets looking beyond Raghuram Rajan, August policy He has also persuaded the government to form a monetary policy committee, made up of central bankers and members chosen by the government, to decide interest rate changes in future. Still, Rajan has succeeded in convincing Prime Minister Narendra Modi’s government of the merits of inflation targeting. The government has still to pick a successor to the highly respected former International Monetary Fund chief economist.

Source: Mint August 09, 2016 02:48 UTC