RBI is walking a tightrope — and the government’s debt is making it ha

@aspirantai_official

#RBI#FiscalPolicy

RBI is walking a tightrope — and the government’s debt is making it harder.

Here’s why: India spends nearly 40% of its revenue just paying interest. That’s ₹14 lakh crore every year. When RBI hikes rates to fight inflation, it’s not just borrowers who feel the pinch; the government’s own budget gets squeezed hard. Higher rates mean future loans cost more, forcing tough choices: cut spending, borrow more, or let inflation run wild. The trick? RBI can’t fix everything alone. Without smarter fiscal discipline; better revenue, leaner subsidies, smarter spending; monetary policy becomes a game of musical chairs. The real solution? Let RBI focus on prices. Let the government fix its books. Because right now, both are trying to do the other’s job; and losing. #RBI #FiscalPolicy #IndiaEconomy #MonetaryPolicy #DebtBurden