New Delhi, Nov. 29 -- After aggressively easing policy rates in recent months, global central banks may soon hit the pause button. So far, global macroeconomic data has shown little improvement.
As a result, economists are now questioning the effectiveness of these rate cuts. "While it may be fair to say that the Asian central banks easing cycle is almost at the trough, for now, there is little evidence of whatever easing they have implemented so far actually has helped growth," said Prakash Sakpal, Asia economist at ING Group, in his latest blog.
Economists say central banks should now wait for the effects of past rate reductions on demand. Even though loose monetary conditions may help avert a recession, growth is unlikely to be back in...