Mar
22
Modi Risks Middle-Class Backlash in Bid to Spur India Lending
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Banks say savings programs prevented them from lowering rates
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Fixed deposit rates to fall to 7.1% from 8.4% from April 1
Indian Prime Minister Narendra Modi risks a political backlash among the middle class as he seeks to coax banks into lowering interest rates.
Criticism is growing against his government’s move last week to slash interest rates on small savings programs used by as much as a third of India’s 1.3 billion people. Banks have long cited the government-backed schemes as a reason for failing to transmit rate reductions from the central bank…
Modi Risks Middle-Class Backlash in Bid to Spur India Lending
