New Delhi, Aug. 22 -- The Reserve Bank of India (RBI) has said that the flexible inflation targeting (FIT) framework has performed effectively since its adoption in 2016, helping to maintain price stability even during periods of global and domestic stress.

In a recent report, the central bank noted that between the framework's introduction and the end of 2019, inflation in India averaged around 4 percent and remained low and stable.

The framework underwent its first review in 2021 and was assessed as having broadly met its objectives.

The RBI acknowledged, however, that the conduct of monetary policy became more complex in the later years due to successive supply-side shocks to food and fuel prices.

These pressures intensified during...