India to gain from divergent monetary policies across the globe

Improved macroeconomic parameters will sustain investor interest in India; higher interest rates in the US will not hinder capital flows

Four central banks in the developed world have decided to walk in different directions. The  Bank of England and the US Federal Reserve are set to normalise their policy stance by rolling back their stimulus programmes. However, the Bank of Japan (BoJ) and the European  Central Bank (ECB) are going to deepen their stimulus programmes. After coming together in the post-Lehman world (the events of end-2008) for a coordinated policy response, these developed economies are taking the divergent paths their economic situations and growth rates require at this point. ...