Mr Modi's populist note

India needs to move away from itemised interest subventions

Prime Minister Narendra Modi’s address to the nation on New Year’s eve played a populist tune by providing some tax relief to those who were reportedly most affected by his decision to demonetise. Mr Modi did not say how the government would pay for the measures, although the consensus is that the package is unlikely to be too costly. The target groups include senior citizens, women, farmers, small traders and others involved in small enterprises — essentially those belonging to the informal economy, which is, for the most part, heavily dependent on cash for its functioning. The sops, however, ignore