The RBI and the government are forcing big borrowers to reduce leverage. Some companies are managing it better than others.
In 2003, the global economy started growing rapidly, after two years of
lacklustre growth following the great tech crash of 1999/2000. The growth peaked in 2006, and the year 2007 continued to be nearly as
good. In the western countries, the growth was largely fuelled by a
housing bubble and a boom in the financial markets that were creating
and trading in all sorts of exotic instruments.
The Modi government's first two years will be remembered for several
landmark steps such as Jan Dhan Yojana and Make In India, an initiative
to encourage local manufacturing for job creation.