For the last few weeks the media is full of stories about the bad times coming to India. There is data to show lower growth rates in many sectors, the stock market indices are going down, the real estate boom seems to have plateaued and there are features about how consumers are buying less than before.
I am not quite sure whether all this is media hype or a reality. I have tended to think that it is hype. When growth rates fall from 9% to 7.8% that is not a recession. Especially when you consider that in a previous decade a growth rate of 7.8% would have been a huge cause for celebration.
Today, there is a comment from the Chairman of ICICI Bank, KV Kamath, which points out that it is too early to talk of a slowdown (click here). I am so happy to see this statement - even though it is a little half hearted.
Slowdowns are about human sentiment and therefore if we all believe that there is a going to be bad times, then there will be. The secret is to stay positive.