After a lull, growth has now assumed centre-stage. However, compared to global standards, the interest rate environment in India is still not too favourable.

India has a long way to go before embarking on a high growth mode.

The level of inflation is somewhat comfortable but many new issues continue to haunt RBI Governor Raghuram Rajan, which have the potential to cause systemic upside risks to inflation. Hence, inflation worry can never be a thing of the past.

But if his past actions and, particularly, his policy measures in terms of a surprise cut in key policy rate by 50 basis points, are any indication, it is obvious that he will prefer to maintain status quo this time around, wait for the conditions to stabilise further, and borrow time to understand what the Fed will do, as that will have implications on the global economy, including India.

Srinivasan Umashankar

Nagpur

Rising above politics

This is with reference to the news report ‘Modi talks of unity, says sectarian attitudes won’t do’ (December 2). Prime Minister Narendra Modi’s speech brought out his sincerity and concern.

India is a vast country facing many problems such as unemployment, poverty etc. How long are we going to debate on issues like intolerance?

It is time the government focussed on development, decent livelihood of all countrymen and the prosperity of the nation. The choice of religion should be personal and not come in the way of the nation’s progress. Religious leaders should speak to their followers about unity and prosperity of the nation.

A reason for the pathetic condition of the nation is that politics and governance are often being mixed with religion. Poverty forces people to join unholy groups and political leaders take advantage of these people during communal riots and elections.

The common man is not interested in religion-based politics or governance but expects to lead a decent life with basic necessities. If India has to prosper and compete with other superpowers, our leaders have to rise above caste and communal politics.

Veena Shenoy

Thane

Public funds management

This refers to the report ‘For every divestment by govt, there is investment by LIC’ (December 2). This brief, well-researched analysis, based on authentic information, should be taken forward.

For historical reasons, the Governement has been able to retain the management of funds with statutory bodies and, to some extent, even bank deposits.

This is a healthy feature and has saved the country from financial turmoil of the kind being faced by emerging economies. But there are some unhealthy practices followed by the government with regard to management of public resources, including finance, which, if not corrected, can invite trouble.

To be specific, they relate to the assumed ownership rights being exercised by the Finance Ministry with regard to the nation’s savings. It is in this context that we have to view the transfer of resources from organisations such as the LIC or EPFO to those in the private sector or use of legislation to create captive sources for funding public debt with caution.

Gradually, the Government should try to make its transactions market-related and institutions such as the LIC, EPFO and banks should be guided to manage their funds efficiently on a par with their private sector counterparts.

M G Warrier

Mumbai

Preventing theft

This refers to ‘Theft of precious idols on the rise in Bihar, 12 lost this year’ (December 2). It is time the Bihar Government implemented safety measures to thwart the attempts of thieves.

It is highly impossible to retrieve and recover the precious idols once stolen, as the smugglers have an uncanny knack of smuggling them into foreign countries where they have antique value. Given the resources at its disposal, it should not be difficult for the government to prevent the theft. This is perhaps possible only if there is will and an urge to act.

H P Murali

Bengaluru

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