Indian financial position is weakened with the euro debt -crisis , which has resulted in the inflation and slowing the rate of economic progress . There is not much significance with the slow growth of economic growth with 6-7% but the high inflation is very poisonius to the people living at the lower middle class and low class , which might infect the prices of the daily consuming good like vegetables and pulses .
the reserve bank of india has increased the basis point (lending rate ) about dozen times but the fact is will it reduce the inflation . the answer is NO, its like a pinch of sugar in the jar of milk . The government should actually try to make the structural reforms like market mechanisms which are the main reasons of inflation and reduce the middle-man factor as less as possible
No comments:
Post a Comment