Indian central bank told to be “more hawkish”

Reserve-Bank-of-IndiaAn investment firm has criticised the decision of the Indian central bank to leave the repo rate unchanged at 6%. Vik Mehrotra, chief executive of Venus Capital, an India-focused alternative investment firm, said the Reserve Bank of India (RBI)’s decision was “the wrong one given the increased inflationary pressure we are seeing”. “The RBI should be adopting a much more hawkish stance,” he said. “But it has been struggling to retain its independence of late, which sets a dangerous precedent.” Mehrotra warned that if political pressure was allowed to influence the setting of monetary policy, there could be “a serious negative effect” on the economy. The Monetary Policy Committee at the RBI kept the repo rate steady after its two-day meeting last week. It was the fourth straight occasion that the committee elected to leave the rate unchanged. ©2018 funds global asia

Executive Interviews

INTERVIEW: Operational challenges

Jun 09, 2018

Caroline Higgins of Northern Trust tells George Mitton about A-share inclusion, ETF Connect and why Cayman funds predominate in the region.

INTERVIEW: Making a name

Apr 18, 2018

Formed by a merger in 2012, Old Mutual Global Investors was little-known in Asia. Carol Wong, managing director for Asia-Pacific, is changing that. She talks to George Mitton.


SINGAPORE ROUNDTABLE: Optimism versus caution

Oct 23, 2018

The impact of financial technology, developments in Asian passporting and the promise of new markets in Thailand were among the topics discussed by our panel. Chaired by George Mitton in Singapore.

HONG KONG ROUNDTABLE: a long-term project

Jun 09, 2018

Our panel discussed robo-advisers, ETF Connect, and why the mutual recognition of funds (MRF) scheme will take time to develop. Chaired by George Mitton in Hong Kong.