Despite India ranking as the second-fastest growing major economy in the world (and an exploding automobile market), government officials might step in to attempt to boost vehicle sales.

Word of this possible intervention comes as a result of higher interest rates tamping down demand for new vehicles. Despite this development, car sales between April and June grew between 9.1 percent and 16.4 percent each month. Despite those impressive-sounding numbers, that’s down markedly from the 16.6 percent to 29.7 percent growth exhibited over the same period last year, and that has officials concerned.

Editor’s Note: Despite this hiccup, India’s automotive growth remains nothing short of spectacular. Perhaps officials would do well to concentrate on devoting more resources to develop the country’s notoriously inadequate infrastructure and combat growing emissions woes, and simply allow the market to self-regulate (rather than encouraging consumers to further clog India's road network).

+ Bloomberg: Indian Government May Take Steps to Boost Slowing Auto Sales