TMS Ep383: G20, FDI in India, mutual funds, Hindu rate of growth

The ongoing Russia-Ukraine war has cast a shadow over the G20 event too. The absence of a joint communique after two high-level ministerial events attests to the presence of this elephant in the room. India, meanwhile, has remained persistent in its appeal for a multilateral approach to tackling global socio-economic issues. So, what are the major takeaways from the G20 meets so far? 

With no end in sight to the Russia-Ukraine war, western economies are trying hard to avert a recession. India too is facing the consequences. FDI equity inflow into the country has dropped by 15% in April-December FY23. So what is going wrong with India’s FDI story? And what is the road ahead? 

But the multiple headwinds have failed to deter the domestic mutual funds, whose faith in Indian equity markets remained intact all through fiscal 2022-23. Their inflows have crossed the Rs 1.5-trillion mark for a second straight financial year. But will they be able to strike a hat-trick? 

Former RBI Governor Raghuram Rajan has claimed that India is “dangerously close” to the Hindu rate of growth due to subdued private sector investment, high-interest rates and slowing global growth. But what exactly is a Hindu rate of growth? We decode it for you in this episode of the podcast.