Loan write-offs

The news report that ‘PSBs wrote off ₹7 lakh crore’ (December 11) should sensitise all concerned to look into the functioning of banks irrespective of their being public sector or private. Banks lay out stringent conditions when extending small loans, and they often confiscate or auction the pledged properties to recover the amount. But often such due diligence is not exercised when handing out huge loans, especially to corporates. It should be obviously due to political pressure, callousness of the officials, or corruption. Either way the ultimate loss is borne by the depositors. The officials concerned should be held accountable. Above all, the people should question the authorities about their misdeeds.

AG Rajmohan

Anantapur, AP

RBI chief’s challenges

The appointment of Sanjay Malhotra as the new RBI Governor comes at a time when the country’s economy is grappling with unrelenting inflation and sluggish growth and the growing clamour to ease policy rates to support growth. His appointment affirms the government’s thinking that a bureaucrat is better able to manage relations between the RBI and the Finance Ministry than an independent economist; his predecessor, Shaktikanta Das, deftly navigated a difficult domestic and global environment, while ensuring relations between Mint Street and North Block were harmonious. The challenge of the new governor is to steer the bank through a period of global and domestic uncertainty.

M Jeyaram

Sholavandan, TN

Insurance plans

This refers to ‘At 2.42 lakh crore, life insurers see growth in new premiums’ (December 11). Giving out commendable figures and percentage of growth in premiums for LIC and other players, the news item highlights the sunshine sector for businesses. Missed in the hype of growing premiums and increasing ‘insurance penetration’ is the stark reality that these growth figures mostly mask the lopsided or detrimental effect of current insurance products that deny the most needy — breadwinners of common households — from getting adequate, affordable insurance coverage. What is being offered as a combo of savings and protection fail abysmally on both indemnity and return (on investment) fronts.

Efforts should be directed at designing and popularising ‘pure insurance’ plans.

Jose Abraham

Vaikom, Kerala

Manufacturing excellence

This refers to ‘Elevating manufacturing to global standards’ (December 11). Firms in India must strive for manufacturing excellence, which in turn will attract greater investments and opportunities to participate in global value chains. Manufacturing standards are the foundation that enables industries to deliver high quality products, optimise operational efficiency, enhance competitiveness and meet global demands. For Indian manufacturers to thrive in domestic and global markets, maintaining stringent quality is non-negotiable.

P Victor Selvaraj

Palayamkottai, TN