Interest rates have fallen to their lowest point ever and while this may be good news for economic development of our country, it does hit the poor and retired people hard who have to depend of their savings to make both ends meet. Low cost funds could mean cheaper borrowings which means more profit for industries and business which in turn would mean more revenue to the government by way of higher tax collections.
The prime duty of the government is to look after the needs of the citizens and one way could be to give back to the have-nots by way of social security programmes that are so very popular in the western developed countries. Unemployment allowance, pension for the aged, old age homes for the poor who are without shelter and medical facilities for the retired are some of the pressing social needs that we can expect from the government elected by us.
‘Achche din’ promised by our dynamic Prime Minister could become a reality soon if low interest rate regime benefits are passed on to the citizens who are struggling for want of money.
(The views expressed by the author in the article are his/her own.)