A forecast of the monetary aggregates is an integral part of any financial program. If economic developments relating to national income, the rate of inflation, balance of payments, unemployment, etc., are unfavorable, government policymakers will desire to take corrective action, including changes in monetary management. Usually, before taking any monetary or credit policy measure, the authorities will need some projections or forecasts in respect of the monetary aggregates concerned so that they can compare the likely outcome with and without the policy measure under consideration. When a policy involves limits on the growth of certain monetary aggregates, projections for all the related monetary aggregates would help in determining the overall consistency and the feasibility of the policy.