RBI’s big-bang policy approach has no room for incrementalism

RBI Governor Sanjay Malhotra surprised markets with a larger-than-expected repo rate cut and a reduction in the cash reserve ratio (CRR). This move, defying economists' predictions, aims to bolster economic growth amidst global uncertainties like trade tariffs and inflation. Malhotra emphasized that while price stability is crucial, a supportive policy environment is equally vital for growth, especially during uncertain times.