What RBI Is Doing?

The RBI, our so-called central bank, seems to be falling short of its responsibilities. With access to extensive data across sectors—like imports, exports, and overall economic performance—it still consistently miscalculates GDP growth predictions by significant margins. For instance, the RBI predicted a 7% growth rate, but the actual figure came out to be 5.4%. Such discrepancies make me wonder: are they trying to mislead the public to maintain confidence and attract investments? It’s possible that FIIs (Foreign Institutional Investors) had insight into the reality, which could explain their large-scale exits from Indian markets recently.

The repo rate remains high, yet consumer inflation continues to soar. Even the average person could predict a slowdown in the manufacturing sector due to widespread reports of massive inventory backlogs in the automotive industry. However, instead of revising their stance or taking corrective measures, the RBI seems to be brushing off concerns.

I recently commented on the post where I came across a statement by the RBI Governor claiming that India’s economy is strong and inflation is moderating. It’s disheartening to see a refusal to acknowledge and address these issues. How can we improve if our authorities won't own up to their shortcomings?

To add to this, our Finance Minister, Nirmala Sitharaman, giving statements like we don't need FIIs. Such dismissive statements are alarming. For a country aiming for rapid growth, foreign investments are critical. Ignoring their importance raises serious questions about our economic strategy.

Lastly, the lack of action from SEBI on market manipulation is concerning. Politicians publicly saying invest in markets, and soon after, the market takes a sharp dip. This manipulation happens right before our eyes, yet there’s no accountability.