Indian economy started with economic reforms in 1991 which marked arrival of new era of the Indian economy, which definitely has raised its growth path at higher altitude. It becomes evidently clear if we compare the average GDP growth rate of 6.6 percent per annum for last 25 years (1990-91 – 2014-15) to that of 4.14 percent per annum for the pre-economic reforms 25 years (1964-65 – 1989-90). Such jump in average GDP growth rate of the Indian economy has brought India in quite a formidable position globally as an engine of world GDP growth as well as also a popular destination of global capital. If we look at the data of foreign exchange reserve, which highlights the directional flows of global capital, we find that it has risen from 5.84 billion dollar in 1990-91 to 341.64 billion dollar in 2014-15.i The foreign exchange reserves as percentage of GDP increased from 0.84 percent of GDP in 1990-91 to almost 34 percent of GDP in 2014-15.ii This clearly points out the degree of openness of the Indian economy to the global capital as well as the Indian economy as an important destination for global capital to extract the profits from India. We have also observed the decrease of inflation rate after the economic reforms period except few exceptional years around 2009-10, which points out an important objective achieved by the inflation targeting monetary policy of the RBI. Such transition of the Indian economy to better path of economic performance and economic stability is an outcome of sustained persuasion of economic policies conceptualised under the Washington Consensus.