Preliminary estimates show that transfers are projected to rise from 7.8 per cent of GDP in fiscal 1998/1999 to 9.2 per cent in the current fiscal year.
Markets do respond to need, and competition is a very healthy force for improvement, but market functioning can be impeded by poor infrastructure, uneven regulation, natural or regulatory monopolies, and even cartelization. While enlisting competitive forces wherever possible to compete for the bottom of the pyramid’s business, as a development central bank we also need to offer a supportive hand.