Reserve Bank of India M3 Money Supply y/y

RBI M3 Money Supply y/y measures a percentage change in the entire money supply circulating in Indian economy, in the reference month compared to the same month a year ago. In general, a positive relationship is assumed between the growth of money supply M3 and that of inflation, economic growth and income. An increase in M3 Money Supply should therefore have a positive impact on INR, as incomes and inflation will also increase as a result.