This book addresses the evolution of an interest rate structure in India from the controlled era prior to 1991 to the gradual transition to market oriented rates. The anomalies, distortions and aberrations from time to time got addressed simultaneous to the outcome of the expansion of the economy. Some areas are still open to corrections and corrective actions. Subsidies in interest rates give rise to economic inefficiency. The large scale capital flows in the world into India and outflows could affect interest rates. Concerns at the large outgo of interest payments of Government of India and State Governments have been highlighted with possible remedies.