India is firmly in charge of policy even as growth and recesssion both seem out of its policy purview, busy with inflation control and now interest rates rising to usurius levels.
The PMEAC outlook though led to rest many phantoms of policy and regulation affecting us including the Diesel Price deregulation / correction will be tables and did not specify the lcliffs like real Food Security spend which it can be used as a Policy tool to specify. ONGC does give the government some leeway with INR 1020 bln baclk added to our new 5.5% fisc and reduce the pain. DTC commission was the real farcical component of the parliamentary democracy not having reached the level of cacophony and attention Senate Committee’s get.
Interventionist policies are finally the say for everyone in Financial policy , the roadmap belied and lost by one oil price we could not control and small hangovers of the state here and there. Old or new , each government will bring a one year licence to add to the reform agenda but no fiscal leeway and no growth rate targets in the double digits, though it is reassuring to get a target of 8 and 9% for 2013 and 2014
The current year target is 7.1% and that for FY 13 between 7.528% and 8%
The PMEAC and C Rangarajan expect inflation to dip to 6.5% in March and 5% on the lower side by March 2014
The PMEAC GDP growth number of course nullifies the CSO drive to reality based on December inflation data to 6.9%
Discussion
No comments yet.