3 min read.Updated: 26 Oct 2015, 09:36 PM ISTLivemint
Despite improvements in the recent period, deficits need further trimming
Macroeconomic conditions in India have improved a great deal since the second half of 2013, when the country narrowly avoided a ratings downgrade to junk after the so-called “taper tantrum". The Indian rupee was in a free fall and the economy was stumbling towards a crisis thanks to economic mismanagement in the preceding few years. The three most important indicators of economic health were flashing red: inflation, current account deficit and fiscal deficit.