Why Our Country Faces Growth Headwinds

HERE is no doubt that the long-term story of India is attractive.

- RAJAS KELKAR

Over the next few decades, there are things successive governments will do right, and there will be things that they may not get right. As an investor and saver, you must keep yourself updated. The annual report of the Reserve Bank of India is one such document you must read. It is not just about the nation's business. It matters because it gives a perspective about your money, deposits and investments.

Last year, the annual report mentioned the word 'inflation' 300 times. This year, it has gone down to 251 times. Similarly, the word 'growth' was mentioned 198 times last year. This year, it is mentioned 273 times. It may be simplistic to explain that RBI is concerned about growth. That could mean that the central bank's monetary policy committee could focus on stimulating economic growth in the year ahead and not worry too much about inflation. It simply means that borrowing rates will likely trend down in the year ahead.