This book explores about relevance of interest rate policy in Indian context and its impact on macro-economic variables in the post reform period. In the post reform period, there is substantial change in the policy of interest rate determination. In the pre reform period there was administered interest rate policy, determined by the Government and Central Bank on the basis of developmental and social considerations. However, in the post reform period Central Bank has given autonomy to commercial banks to determine their own rate of interest as per their commercial interest and market conditions in phased manner at present, most of the interest rates are market determined and Government or Central Bank has very limited interventions. Considering the importance of interest rate in present context, where most of the demands are financed, and changes in interest rate influence substantially to aggregate demand and through that to investment, production, employment and other macro variables. This book comprises of five chapters,chapter one introduction, discusses overall scope of the book. The second chapter Assessment of interest rate policy in the Post-Reform Period begins with the evaluation of interest rate policy. Third chapter discusses the different types of interest rates. This chapter attempts to comprehend the nature of interest rate policy throughout the time after the reform. The fourth chapter interest rate policy and performance of macro variables. The performance of macro variables. we will demonstrate how the performances of macro variables can be improved over time. The fifth chapter Effectiveness of Interest Rate Policy in the Post-Reform Period to determine the effectiveness of interest rate policy in the post-reform period. This chapter assesses the effectiveness of the interest rate policy in the post-reform period. It is divided into two sections. The fifth chapter conclusion and policy prescription