This refers to the editorial "Insulating shareholders" (December, 16). We need to admit that corporate profitability has bottomed out in the past few quarters. Many companies, that expanded extrapolating the nine per cent growth that India had witnessed till 2008, were shocked when growth fell and the global environment turned highly negative. India has a very high household savings rate. Unfortunately, a large part of it is not coming into the financial instruments but going into real assets like real estate and gold. The bright spot is that pressure on the rupee has abated and the trade deficit has come down dramatically.
Vivek George Mavelikara
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