The Reserve Bank of India (RBI) On Monday said that it will reschedule the meeting of the Monetary Policy Committee (MPC) which was originally scheduled to be held on September 29- October 1.
"The meeting of the Monetary Policy Committee (MPC) during September 29, 30 and October 1, 2020, as announced vide Press Release 2019-2020/2248 dated April 20, 2020, is being rescheduled. The dates of the MPC’s meeting will be announced shortly," the central bank said in a brief statement on Monday.
The RBI doesn’t have external members of the monetary policy committee (MPC). Right now, by law, the MPC announcement can come only if six members sign off, three from the RBI and three from the external members.
Four years ago, the MPC external members were appointed for a period of four years and it was a hard stop. The law says that the three external members get only four years and they cannot be reappointed. So, four years ago, the government and the RBI knew that the last policy of the outgoing external members would end in September.
Eminent statistician and economist Dr Pronab Sen, former non-executive chairman of the Bank of India (BoI), G Padmanabhan and professor of finance at SPJIMR, Ananth Narayan discussed what is going wrong.