India, says a recent survey by a research agency, is the most optimistic country in the world with 70 per cent of Indians expecting that the economy will be stronger in the next six months. According to the study, India’s (along with Sweden) the joint third-most economically confident country in the world after Saudi Arabia and Germany.

Then the CII’s business outlook survey says the economy is showing early signs of an industrial turnaround. “With some positive signals emanating from the global economy, which find a resonance in our improved export performance and is causing our current account deficit to decline, we believe that the slowdown in the domestic economy may have bottomed out…” Well, that’s nice. The next time I see glum faces at the vegetable market, I have to tell them to chin up as we are all now a confident lot and we better show it.

At a macro, country level, it’s important that the growth engine kicks in and eventually pulls coaches full of consumers on a journey to a better life. Growth, after all, creates jobs, puts more money in pockets and also generates more taxes for the Government. While it leaves you with a warm, fuzzy feeling to read that there’s optimism around and industry is back on the growth path, it’s important too that perception meets reality. What are the small, visible signs that life’s going to get better for the salaried classes? Sadly, there aren’t many. Whether it’s spiralling vegetable prices or higher railway fares or skyrocketing school fees, there isn’t much to celebrate in the here and now.

The benefits of the Budget tax breaks will probably kick in a year from now but what one hand giveth the other taketh away! The aforementioned survey says that almost half, 47 per cent, Indians believe that the local economy which impacts their personal finance is good. I’m sure the other half’s answer would be different.

Associate Editor

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