Just ahead of Reserve Bank of India's policy review on September 30, 2014, governor, Raghuram Rajan underscored that the back of inflation needs to be broken, since it remains persistently high and the Apex Bank would only be in comfortable position once the inflation is contained.
Further, noting that various economic data available in the country were not very comprehensive, Rajan pressed for an urgent need to improve them and pointed that there was requirement of improving the quantity, quality and scope of data, which the apex bank was working with.
Testifying his views, he underscored that India’s employment data, which forms the basis for number of decision on monetary policies in many countries, comes with a lag and was not comparable. He therefore highlighted the need to work on getting a timely and comprehensive employment data base, perhaps on the monthly basis.
The governor further announced that RBI was working with National Sample Survey Organization (NSSO) to create a strong and reliable data base on employment and was also in the process of creating a proper producer price index.