This refers to the editorial, “RBI's pleasant surprise” (January 16). The sudden decision by the Reserve Bank of India to cut the interest rate has come as a surprise, although we had been waiting for it to happen. With inflation and crude oil prices down significantly in recent months, and with the new Government's agenda for pushing growth, the rate reduction, even if it does not lead to a sudden jump in investments, will at least make the corporate sector draw a concrete plan for investments in the country and bolster Prime Minister Narendra Modi's Make in India campaign.
True, the economy does not depend only upon interest rate breathers; sound and pragmatic policies are required to drive growth. But from what we have seen in the last eight months of the present Government, I think it is doing all it can to boost investor sentiment and provide a solid platform for sustained growth.