Room for smaller interest rate hikes

UPSC Practice recommends Room for smaller interest rate hikes.

​​India’s outperformance can very broadly be broken down to three structural factors. One, the Indian economy is different from a decade ago with low corporate indebtedness and a banking system declogged of bad loans. Two, a sputtering Chinese economy is diverting the tide of foreign capital to other emerging economies. Three, there has been a ratcheting up of household savings into equities due to the wealth effect.

Courtesy: Opinion-Economic Times

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