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Inflation · UPSC CDS/OTA · Question 3 of 60

Inflation: Which index is used by the RBI to anchor its monetary policy framework?

Step-by-step solution. Inflation for UPSC CDS/OTA.

Topic
Inflation
Subject
General Studies
Difficulty
Medium
Solve Time
45-60 sec

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Q · InflationMedium · 45s

Which index is used by the RBI to anchor its monetary policy framework?

TopicInflation
Question Typemultiple choice
DifficultyMedium
Marking+1 / −0.33
Test Duration30 min

Step-by-Step Solution

The complete worked solution.

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Since 2016, India’s flexible inflation targeting framework uses CPI Combined (CPI Urban + CPI Rural) as the anchor.

Final Answer: Option B - CPI (Combined)
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Which index is used by the RBI to anchor its monetary… - Inflation (General Studies) Solved Question