The RBI yesterday kept rates stable and did not as per popular expectation reduce rates. However, the pause did identify with the fact that it was clear that the high interest rates have been impacting growth negatively.
The RBI has been focussing on reducing inflation , which although important is a supply side issue . By increasing interest rates it has reduces the investment in the country as we can see by the negative iip growth last week.
The lower growth has translated to a fleeing of capital from india and as well as a much depreciated rupee!
The india economy is in a downward cycle , it's time to buckle ip your belts for a tight fisted saving
Be smart
Posts
No comments:
Post a Comment