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<b>Letters:</b> Interest rate effect

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Business Standard New Delhi
Last Updated : Jun 02 2013 | 10:31 PM IST
This refers to the article "The interest rate illusion" by Jyoti Mukul (May 30). It is a well-understood concept that growth is a function of several things. Merely reducing rates is not going to put growth back on track. We need investment mobilisation, combined with other things, like expediting infrastructure development, setting a legal framework that aids business and, of course, the right human capital. The author is correct in pointing out the cost of money doesn't determine everything in today's economy; a host of other factors that also play an important role need to be set right.

Aseem Naphade, New Delhi

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First Published: Jun 02 2013 | 9:14 PM IST

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