INFLATION-INDEXED BONDS


Ajit Kumar AJIT KUMARWISDOM IAS, New Delhi.

In the recent years the rate of return on debt investmentshas often been below inflation, which effectively means that inflation was eroding savings. Inflation indexed bonds will provide returns that are always in excess of inflation, ensuring that price rise does not erode the value of savings.

The government hopes this will help increase financial savings instead of buying gold.


Tuesday, 29th Mar 2016, 04:44:27 AM

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