With the economy facing a slowdown, the Reserve Bank of India Wednesday cut the repo rate by 35 basis points in its fourth consecutive policy rate cut this year.
The IMF urged central bankers and other policy makers to be ready with more stimulus if a global economy already slowed by a trade war downshifts significantly further.
The union budget has to be presented in July, giving the new finance minister a very short time to take key decisions on taxes, expenditure and borrowing.
If there is bad blood between the CEC and the Opposition leaders, it will shake the people’s faith in election results. It’s the worst thing that could happen to Indian democracy.
Indian toymakers are now exploring new markets, but they want govt to negotiate a trade deal with US soon, introduce incentives and subsidies to make the industry more competitive.
Now that both IAF and PAF have made formal claims of having shot down the other’s aircraft in the 87-hour war in May, we can ask a larger question: do such numbers really matter?
Promoting growth is not the RBI’s primary responsibility. As someone who was on TV almost each evening after 8 November 2016, Governor Das is aware of what set off the downward spiral in the economy. The repo rate is down to 5.4%. Unclear how much further it can go. The RBI should study the graph of household savings, which feed the credit cycle. Britannia – what Shri Shivam Vij calls Slow Moving Consumer Goods – is selling fewer packs of biscuits. Amidst this desolate wasteland, what is the traction that a final rate cut of 35 basis points will have on the real economy, whether its slowdown is structural or cyclical.
Promoting growth is not the RBI’s primary responsibility. As someone who was on TV almost each evening after 8 November 2016, Governor Das is aware of what set off the downward spiral in the economy. The repo rate is down to 5.4%. Unclear how much further it can go. The RBI should study the graph of household savings, which feed the credit cycle. Britannia – what Shri Shivam Vij calls Slow Moving Consumer Goods – is selling fewer packs of biscuits. Amidst this desolate wasteland, what is the traction that a final rate cut of 35 basis points will have on the real economy, whether its slowdown is structural or cyclical.