Surprisingly the Survey is not too concerned about surplus financials savings flowing out from banks...........

English ( Master) Paragraph Completion

Surprisingly, the Survey is not too concerned about surplus financials savings flowing out from banks to the capital market. _________________________. A concern everywhere now is that as the market appears to be overvalued and is due for a correction. This could lead to significant losses for households that have moved to such riskier avenues to earn higher returns relative to deposit rates which are falling.

This is interesting because at present, our investment and savings rates are both declining.

Anecdotally, a high current account deficit can create a different set of problem when savings trails investment.

This has been taken to be a positive fallout of demonetisation where funds have been directed to the market.

Now, these returns are linked to interest rates prevailing in the banking system.

None of the above

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Explanation:

Correct Answer is (c).The statement before the blank talks about the Survey not being too concerned about a large number of people moving towards capital markets. Ideally, the next statement should provide a reason for the same. We look for something that is positive in tone.
Option A is incorrect as this goes against the information given in the passage about people moving towards capital markets (increasing investments).
Option B is incorrect as it talks about a completely different topic having no bearing to the current one.
Option D is incorrect as if people have been moving away from the banks, returns would not be linked to the banking system.
Option C is a perfect fit. It continues the previous statement by providing a reason for people moving towards capital markets.
Hence, option C is correct.