What the government has done is work towards containing the deficit and improving the investment climate, but there are no concrete steps to push growth.

The RBI has carried out studies to show that higher interest rates do not come in the way of growth. This has been reiterated by the Governor, who has averred that inflation, demand, and fiscal consolidation are more important issues. Therefore, there is concentration on inflation and as long as it is high, consumers spend more on food and necessities, leaving less of a surplus to spend on other goods which can impact production and growth......Read More

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