Broadening economic recovery

Samvat 2078 is likely to see lower equity returns

Samvat 2077 saw an extraordinary mix of best and worst times. The market rally took stocks to their best performance in 12 years, backed by an even bigger surge in cryptocurrencies and commodities. India also managed to administer one billion vaccine doses of Covid-19, fully protecting roughly one-fourth of the population. But on the downside, the second wave overwhelmed the health care system, raising the death toll. There have also been persistent unemployment and distress across the informal economy. Interest rates have been held low while inflation has run high to add some more paradoxical elements to this jigsaw puzzle