In order to transform India into a major manufacturing hub like China, the Indian SMEs must embrace change so that they can survive and find a place for themselves in the global competitive environment. The most important change needed is in the attitude of the stake holders and the mindset of the institutions which are engaged in the task of small enterprise development.
We continue to expect inflation to decline over the course of the year as supply constraints ease and demand moderates because of the waning effects of fiscal support and the removal of monetary policy accommodation. But we are attentive to the risks of potential further upward pressure on inflation expectations and inflation itself from a number of factors.