Friday, October 4, 2013

Feel-good, cheap consumer loans: Who is govt trying to fool


Exhibit A is the government’s decision to recapitalise banks which lend at lower rates to certain consumer sectors such as two-wheelers and durables. Business Standard reports (4 October) that this decision was taken "in principle" at a meeting between Finance Minister P Chidambaram and Reserve Bank Governor Raghuram Rajan.