Inflation vs growth

This refers to ‘Policy rates: It’s time to pause’ (December 2). While there is considerable public interest in the forthcoming meeting of the RBI’s Monetary Policy Committee, one tends believe that ‘it’s time to pause’. Significantly, factors like demand-supply mismatch, the ongoing Russian-Ukraine war and the global economic slowdown may be weighing on the RBI.

GDP growth projection of 7 per cent in 2022-23, lower than the 8.7 per cent posted in 2021-22, accompanied by current level of inflation (of around 7 per cent), does not augur well for the Indian economy. The RBI and other central banks need to clearly assess the impact of their monetary policy actions both on prices and growth. The RBI’s continued reliance on tight monetary policy and still aspiring to achieve high level of economic growth, can’t go hand in hand.

SK Gupta

New Delhi

Propping up insurance

Apropos ‘No cover for investors’ (December 2), unless insurance is made attractive to investors, the goal of ‘Insurance for all’ by 2047 is unlikely to be achieved. The authorities may have called investors for consultation before the new laws were drafted, but one wonders how many of their suggestions have been accepted. The main problem with insurance companies is their emphasis on profit model. While profitability will ensure the survival of a company, it should not come at the cost of consumer interest.

Many employees look upon insurance as a tax-saving option. This dilutes its cause. Perhaps the government needs to end the IT exemptions and insurance should remain pure insurance.

Anthony Henriques

Mumbai

Women in boardrooms

It refers to ‘India’s top 500 firms employ 11.6 lakh women’ (December 2). This shows that more companies are employing women, which is a positive sign to bridge the gender gap. But lesser number of companies having women on their boards also shows that they are yet to have complete confidence in women to discharge high-profile duties, which also means that there would be only a handful of companies that have women in the top management.

When women have proven their worth and skills in all sectors of the economy, there is no reason why they should not be given a board position. More companies in old economy sectors should show greater faith in recruiting women.

Bal Govind

Noida

No diversity or equality

Gender equality seems to have gone for at a toss, with 18 per cent of top companies (90 out of 500) still without women directors.

It appears that the growing number of educated girls and their readiness to make a career in the organised sector has not spurred the corporate world to close the inexplicable gap in utilisation of woman power.

YG Chouksey

Pune

Cooperative banks

This refers to ‘RBI revises regulatory framework for UCBs’ (December 2). This is a welcome move. With multiple controls and political DNA, cooperative banks in general are struggling to readjust to modern realities. Their relevance in rural and semi-urban India is increasing, as the high-tech modern banks are happy to continue with their urban bias.

State/district cooperative banks and primary credit societies are still to get the attention they deserve from the banking regulator.

MG Warrier

Mumbai

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