Combining growth with a curb on inflation should be the primary aim of the economist , The chinese has exemplefied that growth without inflation is possible .
This 7 Billion $ can seriously impact the inflation , as indian business is already borrowing billions of dollar from over seas market as if there is no tomorrow , this coupled with the forex 7 billion $ will increase the buying power and will create yet another supply side inflation scenario which affects only the poor and needy . The cash flow has to be managed in a such a fashion so that there is no burn out of Indian Economy .
The economy is already facing inflation challenge when Indian inflation is around 6 % when Globally inflation is quite low . Its a very tricky issue and has to handled with great care . I hope the indian politicians headed by Manmohan Singh will take the correct decision .
