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@deepakshenoy how could debt investors get 1% p.a taxable and equity investors get 8%? or renters and RE get 7%? Debt was OBVIOUSLY kept very low by the idiots who were running the FED. Something had to give. Simple math -you can't artificially control interest rate and the exchange rate

@deepakshenoy US will have little issues, as expected, but EU will have woeful times controlling this. You can do anything you want with debt as long as the world releis on your currency for trade.

@deepakshenoy if debt is a problem then monetary debasement is the answer

@deepakshenoy Doesn't this make it harder for us to raise cheap debt?

@deepakshenoy Brother, you should take a look at India... look at the funds of Kudh...

@deepakshenoy How to handle this debt issue as an individual?

@deepakshenoy Debt rates must be higher..... This fiat scam must end

@deepakshenoy "The Rich Always Have Ways Out of Trouble. The Poor Don't. So let's worry ONLY about ourselves ".

@deepakshenoy Welcome to the great global yield reset. x.com/Prateekonomics/status/20…

@deepakshenoy Debt-to-equity transmission is the right read. Term premium persisting across all four curves points to regime change rather than cyclical overshoot. India's starting point differs but the direction doesn't.

@deepakshenoy Compare 5y debt in 2021 and 10y debt issued in 2016. This is maturing and western countries will be repaying this. Replacing with higher cost of debt. Weighted average maturity is 6y (US) to 12y (UK) So 30y not that relevant.

@deepakshenoy Exactly the reason they have gone all-in on AI.A lot of their policy makers feel that AI will solve this problem to some extent.Devaluation is of course the more straight forward way out but this will come with its own set of challenges particularly with an ageing demography

@grok How do India and the US really stack up when you look at their government finances, debt levels, tax systems, bond yields, growth potential, and ability to handle external shocks? And right now, which of the two has more room to maneuver if interest rates stay high for longer while still trying to keep growth strong?

@deepakshenoy Borrowing will always look nice for the sovereign when they have SLR norms.

@deepakshenoy Not bad now every one is talking.. Few years ago it was Taboo to talk negative against west and whites..

@deepakshenoy You are an illiterate . West is rich. We are poor.

India's own 30Y G-sec is at 7.41% today, up just 0.20pp YoY, still below its 2008 peak of 9.92%. Also fits what you told @AgroPrawn: India never had the ultra cheap 2012 to 2021 era the West is now unwinding from, our yields stayed in the 6 to 9% range throughout. Expected to ease toward 7.18% next year too, the opposite direction from the chart above.

@deepakshenoy Isnt this going to drive down FDI even lower for India?

@deepakshenoy They can manage the high yields. US allocates nearly 14-15% towards interest costs per year. We allocate about 25%. In the US, this high interest cost is considered a huge problem. In no way are we in a better position.

@deepakshenoy @TamalBandyo Very aptly put by @RayDalio about Debt

@deepakshenoy India has everything better except for usage of debt. US fought lots of wars overseas and fuelled debt, we make our citizens fight bad infra and high real estate