Quotes from Urjit Patel

A well-functioning transmission should at some point go from the overnight right up to 40 years, and that is the ultimate objective in having monetary transmission that affects the whole gamut of borrowing tenure.

It is easy and quick to fritter away gains regarding macroeconomic stability.

There are some things that are under our control, and that is to ensure that we ourselves follow sound macroeconomic stability rules.

The best way that a central bank can support growth on a durable basis is to ensure inflation is low, stable - there is financial stability - and that is the role that the central bank plays.

The staff members of all banks have worked very hard, and we all owe them our gratitude.

People have asked why the new currency introduced was different in size and thickness from the old. This is because the new currency has been designed to make it hard to counterfeit. When you are going to make a change of this magnitude, you need to get the best standards in place.

Yes, 4% is the government-mandated target to the MPC. The plus/minus 2 percentage-point upper and lower bands are the tolerance levels specified by the government. If we breach those for three consecutive quarters, we need to inform the government of why that happened and what we propose to do to bring inflation within the two bands.

I think India's policy that the openness of trade should be carried through a multilateral process is the right one.

People were holding high denomination notes to keep tax unaccounted for money. Some sectors like real estate were using cash to avoid tax.

Valid criticism is something that we are open for, and we take it in the spirit in which it is given and try to improve ourselves.

Large credit guarantees also impede optimal allocation of financial resources and increase moral hazard.

Divestment measures would improve overall banking sector health.

The two important variables for the policy formulation are projected inflation and the output gap. There is no clear hidebound mathematics that we must give 'X' weight to inflation and 'Y' weight to growth and form the associated policy.

There are tens of thousands of bank branches and 4,000 currency chests. We need to be careful and try that this is a number which is not a mere estimate but a verified number both physically and in the accounting sense.

There will always be divergence of views on the output gap, as it is unobservable in a rigorous direct sense. There are only estimates. How can there be a strong consensus on that?

An owl is traditionally a symbol of wisdom, so we are neither doves nor hawks but owls, and we are vigilant when others are resting.