Macroeconomic stability a joint effort, says Das

'Stable inflation is foundation of sustained growth'

- SU BRATA PAN DA

Macroeconomic stability is a shared responsibility ofboth monetary and fiscal authorities and effective fiscal-monetary coordination was at the core of India's success in the face of a series of adverse shocks, said Reserve Bank of India Governor Shaktikanta Das on Thursday.

"The 2020-23 period was unique in view ofthe incidence of multiple and overlapping shocks to food and oil prices, which challenged the conduct of monetary policy. It was necessary to neutralise the impact of these shocks through effective coordination with fiscal policy," said Das, adding that while monetary policy worked on anchoring inflation expectations and containing demand-pull pressures, effective supply management by the government alleviated supply chain pressures and moderated cost-push inflation.