Lack of dedicated debt agency leads to conflict between managing govt debt and inflation. RBI chose former, but rate hike would have helped normalisation, attracted foreign funds.
Modi govt’s approach in Budget may bring growth for few years, despite slowing world economy, rising rates. But problems in areas including education won’t just vanish automatically.
There are some early signs of moderation in inflation and a pick-up in growth, but RBI is likely to monitor growth and inflation before a decision on changing rates.
The May inflation figure may be somewhat inaccurate, with the rise appearing to be mainly due to higher global crude oil prices, commodity prices, and supply-side disruptions.
New G-SAP tool is RBI’s way of keeping govt’s interest burden low. But amid inflation concerns, it also has to raise interest rates to prevent price rise.
We have failed terribly at two important things. One, we are reacting to this issue only emotionally, not logically. And two, we are not asking the right questions.
WhatsApp privacy policy case is among a string of matters involving practices like restrictive platform rules, pricing & billing policies, reflecting India’s tight scrutiny of market dominance.
Bihar is blessed with a land more fertile for revolutions than any in India. Why has it fallen so far behind then? Constant obsession with politics is at the root of its destruction.
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