someone Posted July 7, 2019 Posted July 7, 2019 Ex-R&AW officers want PM to act against Hamid Ansari’s ‘anti-national’ acts Really makes me angry about such ppl
Stan AF Posted July 8, 2019 Posted July 8, 2019 Punjab National Bank hit by another fraud, this time of Rs 3,800 crore The Punjab National Bank (PNB) on Saturday said it had reported a borrowing fraud of 38.05 billion Indian rupees ($556 million) in Bhushan Power & Steel Ltd's account to the Reserve Bank of India (RBI). Reuters Mumbai July 7, 2019 UPDATED: July 7, 2019 17:48 IST PNB has been defrauded of over $2 billion in a separate scam that came to light last year. (Photo: Reuters) HIGHLIGHTS The Punjab National Bank (PNB) on Saturday said it had reported a borrowing fraud of Rs 38.05 billion The fraud was being reported to the RBI on the basis of the findings of the forensic audit PNB has been defrauded of over $2 billion in a separate scam that came to light last year The Punjab National Bank (PNB) on Saturday said it had reported a borrowing fraud of Rs 38.05 billion ($556 million) in Bhushan Power & Steel Ltd's account to the Reserve Bank of India (RBI). The fraud, "alleging diversion of funds from the banking system", was being reported to the RBI on the basis of the findings of the forensic audit and the federal police filing a first information report, the PNB said in a statement to stock exchanges. "It has been observed that the company has misappropriated bank funds, manipulated books of accounts to raise funds from consortium lender banks," PNB said, adding that it had already made provisions of 19.32 billion rupees in Bhushan's account. PNB has been defrauded of over $2 billion in a separate scam that came to light last year. Bhushan Power and Steel, one of India's most indebted companies, was among the first 12 companies referred by the RBI India to a bankruptcy court for a debt resolution process under India's new insolvency law. The company could not be reached for comment on the PNB statement. https://www.indiatoday.in/business/story/punjab-national-bank-bhushan-power-steel-group-rs-3800-crore-fraud-1563837-2019-07-07 @velu Is there anyone in this damn thing that do their job properly. Suttha naathari bank irukkum pola velu 1
Stan AF Posted July 8, 2019 Posted July 8, 2019 No easy answer to economic slowdown T T Ram Mohan July 08, 2019 00:15 IST Updated: July 08, 2019 00:14 IST What happens if higher credit flows don’t revive private investment? The most keenly watched number in the Union Budget is, perhaps, the ratio of fiscal deficit to GDP. A decline in the ratio is cheered by commentators and the markets. An increase is a seen as a setback to reforms. This year, the number was of greater interest than before thanks to the vision outlined by the Economic Survey for 2018-19 a day earlier. Earlier editions of the Survey had suggested that since private investment was not taking off, there was scope for public investment to pick up the slack. The latest Survey leaves no room for such ambiguities. It makes clear that private investment is the key driver of growth and jobs. It follows that the government must make fewer demands on public savings so that more of it is available for private investment. In other words, going by the Survey’s analysis, there is no escape from an even sharper focus on fiscal consolidation. Meeting the fiscal deficit target It is astonishing, therefore, that Finance Minister Nirmala Sitharaman’s Budget speech did not even mention the fiscal deficit figure, perhaps a first of sorts! Nor did it make any reference to a path towards the fiscal deficit target of 3.3% of GDP. The omission reflects the limitations imposed on the Finance Minister by trends in revenue and expenditure. In 2011-12, the fiscal deficit to GDP ratio was 5.9%. By 2015-16, it had declined to 3.9%. Thereafter, it has got stuck at around 3.5%. The Budget for 2018-19 missed the targets set earlier, for 2017-18 and 2018-19. It outlined a revised ‘glide path’ with fiscal deficit targets of 3.3% for 2018-19, 3.1% for 2019-20 and 3% for 2020-21. The Budget for 2019-20 shows that the revised targets too have been missed thus far. The fiscal deficit for 2018-19 has ended up 3.4% of GDP; for 2019-20, it is estimated at 3.3%. It would be a brave soul who believes that the target of 3% for 2020-21 will be met. The government has had some success in reining in traditional items of revenue expenditure. Major subsidies (food, fertiliser, petroleum), which used to claim 2% or more of GDP, have stabilised at 1.4% of GDP. But new items of expenditure have emerged. The PM-Kisan scheme, which provides ₹6,000 for each farming household per year, will cost the government ₹75,000 crore in 2019-20. The outlays on the National Rural Employment Guarantee Scheme have crept up with each passing year. Tax-GDP ratio The big disappointment has been in respect of tax revenues. The expectation following demonetisation and the introduction of the Goods and Services Tax (GST) was that both direct and indirect taxes would rise. As a result, the tax to GDP ratio would move to a different trajectory. The Budget for 2018-19 projected the tax to GDP ratio to rise from 11.6% in 2017-19 to 12.1% in 2018-19 and further to 12.4% in 2019-20. The Budget for 2019-20 dashes these hopes. It estimates the tax to GDP ratio at 11.9% in 2018-19 and 11.7% in 2019-20. The shortfall in GST collections in 2018-19 seems to have set the clock back for fiscal consolidation. How do we balance the fiscal numbers when the tax to GDP ratio is not coming up to expectations? The Chief Economic Adviser has indicated that the government pins its hopes on capital receipts from disinvestment and the sale of land belonging to the government including public sector enterprises (PSEs). Disinvestment in the sense of strategic sale of PSEs has not really taken off. Much of disinvestment has involved the buying of equity in PSEs by other PSEs. The sale of government land is bound to be a long-drawn-out process and one with fraught with controversy over valuation. Moreover, the sale of government assets to balance the Budget merely defers fiscal problems to the future. It is not the answer to the problem of fiscal sustainability. In the short term, the government’s hopes must rest on the Bimal Jalan committee on the economic capital framework for the Reserve Bank of India (RBI). The government’s intention in setting up the committee was to see whether some of the RBI’s reserves could be used to mitigate the fiscal position. The report has been submitted, but is yet to be made public. There are reports that the majority does not favour a one-shot transfer to the government, something the government would have liked. Private investment is constrained not just by the crowding out effect of a high fiscal deficit. Earlier editions of the Economic Survey had identified the twin balance sheet problem, that is, high levels of debt in companies and high non-performing assets of banks, as an important constraint on private investment. The Economic Survey of 2018-19 contends that reducing policy uncertainty can somehow overwhelm the drag caused by the twin balance sheet problem. This is questionable. The broad direction of policy has never been in doubt since the onset of economic reforms, even if the pace has varied in response to the situation on the ground. Had policy uncertainty been a serious issue, it would have surely been reflected in inflows of foreign capital, whether foreign institutional investment or foreign direct investment. Resolving the twin balance sheet remains the key to reviving private investment. This requires the government to provide adequate capital to public sector banks (PSBs). The Budget’s biggest positive is the allocation of ₹70,000 crore towards capital for PSBs. However, the allocation is meaningful only if it is spent at one go in the current financial year, not staggered over several years. Only then will banks have enough capital to cover provisions for non-performing assets as well as provide loans to firms. The liquidity problem at NBFCs The Budget also makes an attempt to address the liquidity problem at NBFCs. It provides cover for loss of up to 10% on purchase of pooled assets of NBFCs of a total value of ₹100,000 crore during the current financial year. Many see it as a government bailout of private NBFCs. The apprehensions may be misplaced. The loss cover is only for six months and is intended only for well-rated portfolios and NBFCs. Banks may be incentivised to buy more of the portfolios of the better NBFCs, not those of the weaker ones. The government expects that by boosting the flow of credit, the recapitalisation of PSBs will help revive private investment. What if it doesn’t? Should the government continue to focus on a single number for the fiscal deficit target? Or would it be more realistic to accept a broad range, keeping in mind the fall in the inflation rate and the decline in the combined fiscal deficit of the Centre and the States? The answer to the economic slowdown may not be as simple as the Survey makes out. T.T. Ram Mohan is a professor at IIM Ahmedabad. ttr@iima.ac.in https://www.thehindu.com/opinion/op-ed/no-easy-answer-to-economic-slowdown/article28312955.ece
Stan AF Posted July 8, 2019 Posted July 8, 2019 (edited) India must double infra spending, harness private investment: Eco Survey To achieve the target of $10 trillion economy size by 2032, a robust and resilient infrastructure system is required, supported by adequate private investments India needs to almost double its annual spending on infrastructure at $200 billion and the real challenge lies in harnessing private investment, said the Economic Survey 2018-19 tabled in Parliament on Thursday. To achieve the target of $10 trillion economy size by 2032, a robust and resilient infrastructure system is required, supported by adequate private investments. As the country has only been able to put $100 to 110 billion annually into infrastructure development, this huge investment gaps of about $90 billion in the space needs funding through "innovative approaches", the key document said underlining the strong relations between the economy and infra as "the correlation of investments in inland, road, rail and airport infrastructure to GDP are higher than 0.90". Given the fiscal constraints that leave less room for expanding public investment at the scale required, there is an urgent need to accelerate the flow of private capital into infrastructure, the survey document said. "India needs to spend 7-8 per cent of its GDP on infrastructure annually, which translates into annual infrastructure investment of $200 billion currently. However, India has been able to spend only about $100-110 billion annually on infrastructure, leaving a deficit of around $90 billion per annum," it said. With the aim of boosting investment in infrastructure, "the National Investment and Infrastructure Fund has been created with a capital of approximately Rs 400 billion to provide investment opportunities to commercially viable projects", it said adding that a Credit Enhancement Fund for projects for increasing the credit rating of bonds floated by infra companies is going to be launched in the country. A new credit rating system for infrastructure projects, based on expected loss approach, has also been launched besides measures like infrastructure investment trusts and Real Estate Investment Trusts have been formulated to pool investment in infrastructure. Also stressing the need for creating "next generation infra", it said physical infrastructure attained a rapid pace with more than 20 per cent of the existing highway length of 132,000 km being constructed in the last four years, creation of additional 40 lakh seating capacity under UDAAN and expansion of key bridges. "In order to create a $10 trillion economy by 2032, India needs a robust and resilient infrastructure. Public investment cannot fund the entire infrastructure investment requirements of the country," the survey said. Private players are usually eager to bring their capital only into developed Indian states and therefore, the real challenge lies in bringing adequate private investment across the country with the collaboration of public sector, it said. Sustainable Development Goal (SDG) number 9 aims to "develop quality, reliable, sustainable and resilient infrastructure, including regional and transborder infrastructure to support economic development and human well-being, with a focus on affordable and equitable access for all, it said. About highways sector, it said major constraints faced are availability of funds for financing large projects, lengthy processes in land acquisition and payment of compensation, environmental concerns, time and cost overruns due to delays in project implementation, procedural delays and lesser traffic growth than expected increasing the riskiness of the projects resulting in stalled or languishing projects and shortfall in funds for maintenance. Private sector investment has been tardy as private investors are interested in short term investments while NHAI and NHIDCL were looking for long-term borrowing arrangements keeping in view long gestation period of road projects, it said. Indian railways, it said, has initiated a major electrification programme for electrifying 100 per cent of its broad gauge network which will reduce the nation's dependence on imported diesel oil. About the civil aviation sector, it said that in 2018-19, a total of 107 airports provided scheduled airline operations and based on the performance of joint ventures in the airport sector, the government has decided to lease out six brown-field airports of the Airports Authority of India (AAI) at Guwahati, Lucknow, Jaipur, Ahmedabad, Mangalore and Thiruvananthapuram via public private partnership (PPP) mode for enhanced revenue. The demand and supply trends in civil aviation shows that passenger demand is higher than seat supply, the survey document said. Stating that shipping and ports sectors play a pivotal role in trade dynamics, the survey said to meet the ever-increasing trade requirements, expansion of port capacity has been accorded the highest priority with implementation of well-conceived infrastructure development projects like Sagarmala and Unnati. The creation of physical infrastructure accelerated significantly during 2014-19, it said adding that electrification programme has reached almost all villages of the country. Also, the survey made a strong case for a introducing a platform similar to Transport for London (TfL). "TfL has demonstrated that releasing data to the public can save users time to the economic value of between 15 million pounds and 58 million pounds per year. An analysis by Deloitte found that the provision of transport information through travel apps and real-time alerts is saving 70 million to 95 million pounds per year in time...," it said. https://www.business-standard.com/article/pti-stories/india-must-spend-usd-200-bn-on-infra-annually-harnessing-pvt-investment-a-challenge-eco-survey-119070400730_1.html Edited July 8, 2019 by Stan AF
velu Posted July 8, 2019 Posted July 8, 2019 1 hour ago, Stan AF said: Punjab National Bank hit by another fraud, this time of Rs 3,800 crore The Punjab National Bank (PNB) on Saturday said it had reported a borrowing fraud of 38.05 billion Indian rupees ($556 million) in Bhushan Power & Steel Ltd's account to the Reserve Bank of India (RBI). Reuters Mumbai July 7, 2019 UPDATED: July 7, 2019 17:48 IST PNB has been defrauded of over $2 billion in a separate scam that came to light last year. (Photo: Reuters) HIGHLIGHTS The Punjab National Bank (PNB) on Saturday said it had reported a borrowing fraud of Rs 38.05 billion The fraud was being reported to the RBI on the basis of the findings of the forensic audit PNB has been defrauded of over $2 billion in a separate scam that came to light last year The Punjab National Bank (PNB) on Saturday said it had reported a borrowing fraud of Rs 38.05 billion ($556 million) in Bhushan Power & Steel Ltd's account to the Reserve Bank of India (RBI). The fraud, "alleging diversion of funds from the banking system", was being reported to the RBI on the basis of the findings of the forensic audit and the federal police filing a first information report, the PNB said in a statement to stock exchanges. "It has been observed that the company has misappropriated bank funds, manipulated books of accounts to raise funds from consortium lender banks," PNB said, adding that it had already made provisions of 19.32 billion rupees in Bhushan's account. PNB has been defrauded of over $2 billion in a separate scam that came to light last year. Bhushan Power and Steel, one of India's most indebted companies, was among the first 12 companies referred by the RBI India to a bankruptcy court for a debt resolution process under India's new insolvency law. The company could not be reached for comment on the PNB statement. https://www.indiatoday.in/business/story/punjab-national-bank-bhushan-power-steel-group-rs-3800-crore-fraud-1563837-2019-07-07 @velu Is there anyone in this damn thing that do their job properly. Suttha naathari bank irukkum pola PNB again
Stan AF Posted July 10, 2019 Posted July 10, 2019 (edited) TV companies may stop making in India, turn to zero-duty FTA imports Import of finished TV sets from countries with which India has FTA leads to net savings of around 5%. By Writankar Mukherjee , ET Bureau| TV Companies to stop making in India, turn to zero-duty FTA Imports Import of finished TV sets from countries with which India has FTA leads to net savings of around 5%. KOLKATA: More television makers will cut down local manufacturing and instead explore options to import TVs at zero duty through the FTA route with the government not reducing 5% import duty on open cell television panels in the budget, industry executives said. Import of finished TV sets from countries with which India has free trade agreement (FTA) leads to net savings of around 5%, they said. Sony has started sourcing of televisions from Thailand through the FTA route and moved some locally produced models to Malaysia, three senior industry executives. The Japanese company, which focuses on premium and large screen models, is also considering Vietnam as a market for sourcing televisions through the FTA route, they said. India’s largest television maker Samsung had completely stopped local production of TV last year and started sourcing from Vietnam. Industry executives said the decision not to cut import duty on open cell panel may force other large brands such as LG and PanasonicNSE -0.34 %, too, to explore such options. Even online-focused brands such as Kodak and Thomson are going to import through FTA than expanding local production. Avneet Singh Marwah, CEO at Super Plastronics, maker of Thomson and Kodak televisions, said the company will now consider imports from FTA nations than expanding local production. “It is a cost disadvantage to produce in India,” he said. Open cell panel is the most critical component of a TV, accounting for 70% of the final cost, industry executives said. “With the government not reducing duty on open cell TV panels in the budget, imports of finished sets will get a boost through FTAs,” said Sunil Vachani, chairman at contract manufacturer Dixon Technologies. “This will impact local production and investment since all manufacturers were waiting for the budget.” According to industry insiders, this is a rare case of inverted duty structure since there is no production of TV panels in India and the sole project by Vedanta has also been shelved. With the proposed Regional Comprehensive Economic Partnership (RCEP) FTA likely to be signed later this year, imports of TV sets are set to surge and local production will take a hit, they said. Panasonic India president Manish Sharma said if the duty was abolished, companies would have passed on the benefit to consumers to revive sales when the industry is already facing a tough time with the cricket world cup also not boosting sales. An email sent by ET to Sony India remained unanswered till press time on Sunday. The Indian TV market is worth around Rs 22,000 crore. The electronics and IT ministry had last week informed Parliament that import of television surged 45% to Rs 7,224 crore in 2018-19 from countries like China, Vietnam, Malaysia, Hong Kong and Taiwan. Imports from Vietnam alone soared to Rs 2,317 crore in FY19 from Rs 62 crore in the year before. TV imports have surged primarily due to duty on open cell panels, which was initially 10% and subsequently reduced to 5%. Import duty on TV from non-FTA nations is 20%. https://economictimes.indiatimes.com/industry/cons-products/electronics/tv-cos-may-stop-making-in-india-turn-to-zero-duty-fta-imports/articleshow/70121173.cms Edited July 10, 2019 by Stan AF
Stan AF Posted July 10, 2019 Posted July 10, 2019 Opinion Services exports sailing in choppy waters Rahul Mazumdar | Updated on July 09, 2019 Published on July 09, 2019 Worrying trends - istock ICT exports from India have run up against competition from countries such as Israel, Malawi and Ukraine Services exports have been the darling of the Indian economy, while the manufacturing sector for all rightful reasons remains the fall guy due to its perennial lacklustre performance. The Y2K at the turn of the century brought about a phenomenal boom in India’s services sector. Around the same time internet communications became ubiquitous, and India leapfrogged successfully to services, skipping the prescribed and idyllic transition through product manufacturing to services. In the interim, India’s rank in global services exports increased from 22 in 2000 to 7 in 2017, largely at the behest of cost arbitrage. However, there is more to this than meets the eye. India’s global services exports which have grown at a compounded annual growth rate of 6 per cent during the 10-year period 2008 and 2017, are increasingly facing competition from economies like Ireland which is home to many of the social media giants, and Thailand which thrives on tourism and IT based services. While Ireland grew at more than 8 per cent, Thailand grew at 10 per cent during these 10 years. Interestingly, all three, India, Ireland, and Thailand are amongst the top 20 service exporters globally having increased their share in the last 10 years – the current share is 3.4 per cent, 3.3 per cent, and 1.4 per cent respectively for these economies in overall services exports. IT domination The point of concern is that India’s services export rests on the shoulder of the IT sector contributing around 40 per cent. Data shows that though India remains amongst the top five IT exporters in the world, its share globally has shown a decline which is worrying. According to WTO, while India’s share in information and communication, technology (ICT) services exports globally weakened from 47 per cent in 2008 to 42 per cent in 2017, Israel which was behind India have overtaken and have become the world’s largest export source for ICT services. In fact, Israel’s share globally has increased by a whopping 16 per cent in the last 10 years, and today houses R&D centres of all major ICT companies. A more surprising development in this space is the appearance of countries like Malawi and Ukraine in the top 10 ICT exporters globally in a matter of 10 years. Malawi’s and Ukraine’s share in global ICT exports has increased by a phenomenal 24 per cent and 17 per cent in these few years, and currently holds a share of 29 per cent and 19 per cent respectively in global ICT service exports. These new developments in the global IT space is definitely a cause of alarm for India which has been the torch-bearer for so long, and would definitely look to retain it. The apprehension is that over the years India has been providing maintenance services and coding at offshore and onshore locations. However things are changing and artificial intelligence, cloud computing, digital platforms, and mobile applications, are making inroads to customer needs. The Indian ICT firms have to become innovative to its global clients and find new solutions that will enable them to continue being an overall services export power. The segment also faces market concentration risk primarily in the US and the UK, and any slowdown in these economies, impacts their revenues immediately. Slowdown in the US and Europe, escalation of trade tensions, and the recent US-India tiff off, could be a dampener for the software services exports for India. In services cost is the pivot — unfortunately the domestic market is witnessing a cost escalation as wages are increasing, and in the overseas due to Trump’s visa policies the software companies have to hire locally which is costing 20-30 per cent more than hiring Indians — both these are eating into the margins. Diversifying operations to tier 1 and 2 cities would allow saving costs both in domestic and overseas centres. Besides, the appreciation in the exchange rate along with rising costs dampens attractiveness for Indian ICT service companies. Being ahead of the curve and appreciating these latent changes would check India from losing competitiveness in global services export, particularly in ICT. The Budget’s focus on start-up culture and promoting R&D is perhaps one of the steps in the correct direction. The writer is an Economist with EXIM Bank, India. Views expressed are personal https://www.thehindubusinessline.com/opinion/services-exports-sailing-in-choppy-waters/article28334715.ece
Stan AF Posted July 10, 2019 Posted July 10, 2019 (edited) Bajaj Finance, Titan warn of slump as spending takes a hit Sanjiv Bajaj said that economy is slowing down and it is not just happening in the NBFC space. ET Bureau| Updated: Jul 09, 2019, 09.03 AM IST India’s biggest consumer finance company and its biggest retail jewellery and fashion firm have both warned of tough conditions in the first quarter ended June ratcheting up the pressure on New Delhi and the Reserve Bank of India to do more to stoke demand. Bajaj Finance, the largest consumer durable lender in the country, warned on Monday of a slowdown that will cut growth for the firm. Bajaj is India’s largest nonbanking finance company by market capitalisation. Sanjiv Bajaj, .. Sanjiv Bajaj, MD of the Pune-based financier of television to refrigerators to SME loans, said the firm has witnessed lower growth in consumer demand despite a busy season including the ongoing ICC Cricket World Cup in England and Wales. https://economictimes.indiatimes.com/markets/stocks/earnings/bajaj-finance-titan-warn-of-slump-as-spending-takes-a-hit/articleshow/70136344.cms believe, for the first time even when the World Cup is going on, television sales are lower than what it was last year, which is very unusual,” he said speaking to a television channel. “Otherwise we have seen it reaching peak when there is a big season going on like Cricket World Cup. That is a signal. On SME, rural lending side, there is a slowdown. This is nothing to do with lack of ability of NBFCs to lend, but a slowdown is apparent.” Read more at: //economictimes.indiatimes.com/articleshow/70136344.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst Edited July 10, 2019 by Stan AF
Stan AF Posted July 13, 2019 Posted July 13, 2019 India lifted 271 million people out of poverty in 10 years: UN PTI United Nations | Updated on July 12, 2019 Published on July 12, 2019 According to a UN report, India and Cambodia reduced their Multidimensional Poverty Index values the fastest. - The Hindu UN Development Programme released the 2019 global Multidimensional Poverty Index India lifted 271 million people out of poverty between 2006 and 2016, recording the fastest reductions in the multidimensional poverty index values during the period with strong improvements in areas such as “assets, cooking fuel, sanitation and nutrition,” a report by the United Nations said. The 2019 global Multidimensional Poverty Index (MPI) from the UN Development Programme (UNDP), the Oxford Poverty and Human Development Initiative (OPHI) was released on Thursday. The report said that in the 101 countries studied — 31 low income, 68 middle income and 2 high income - 1.3 billion people are “multidimensionally poor”, which means that poverty is defined not simply by income, but by a number of indicators, including poor health, poor quality of work and the threat of violence. The report identifies 10 countries, with a combined population of around 2 billion people, to illustrate the level of poverty reduction, and all of them have shown statistically significant progress towards achieving Sustainable Development Goal 1, namely ending poverty “in all its forms, everywhere”. The 10 countries are Bangladesh, Cambodia, Democratic Republic of Congo, Ethiopia, Haiti, India, Nigeria, Pakistan, Peru and Vietnam. The report said that within these 10 countries, data shows that 270 million people moved out of multidimensional poverty from one survey to the next. “This progress was largely driven by South Asia. In India, there were 271 million fewer people in poverty in 2016 than in 2006, while in Bangladesh the number dropped by 19 million between 2004 and 2014,” it said. The report noted that of the 10 selected countries for which changes over time were analysed, India and Cambodia reduced their MPI values the fastest — and they did not leave the poorest groups behind. India’s MPI value reduced from 0.283 in 2005-06 to 0.123 in 2015-16. Noting the examples of pro-poor reduction, where the poorest regions improved the fastest, the report said that Jharkhand in India reduced the incidence of multidimensional poverty from 74.9 per cent in 2005-06 to 46.5 per cent in 2015-16. Mondol Kiri and Rattanak Kiri in Cambodia reduced it from 71.0 per cent to 55.9 per cent between 2010 and 2014. Ethiopia, India and Peru significantly reduced deprivations in all 10 indicators, namely nutrition, sanitation, child mortality, drinking water, years of schooling, electricity, school attendance, housing, cooking fuel and assets. In 2005-2006, the population in India living in multidimensional poverty stood at about 640 million people (55.1 per cent) and this reduced to 369 million people (27.9 per cent) living in poverty in 2015-16. India saw significant reductions in number of people who are multidimensionally poor and deprived in each of the 10 indicators over this time period. India reduced deprivation in nutrition from 44.3 per cent in 2005-06 to 21.2 per cent in 2015-16, child mortality dropped from 4.5 per cent to 2.2 per cent, people deprived of cooking fuel reduced from 52.9 per cent to 26.2 per cent, deprivation in sanitation from 50.4 per cent to 24.6 per cent, those deprived of drinking water reduced from 16.6 per cent to 6.2 per cent. Further more people gained access to electricity as deprivation was reduced from 29.1 per cent to 8.6 per cent, housing from 44.9 per cent to 23.6 per cent and assets deprivation from 37.6 per cent to 9.5 per cent. The trends in these 10 countries also shine a light on where poverty reduction has been uneven, despite the good progress overall, it said.“In all 10 countries rural areas are poorer than urban areas. In Cambodia, Haiti, India and Peru poverty reduction in rural areas outpaced that in urban areas — demonstrating pro-poor development — and in Bangladesh and Democratic Republic of the Congo poverty fell at the same speed in rural and urban areas, it added. The report also showed that children suffer poverty more intensely than adults and are more likely to be deprived in all 10 of the MPI indicators, lacking essentials such as clean water, sanitation, adequate nutrition or primary education. Child poverty fell markedly faster than adult poverty in Bangladesh, Cambodia, Haiti, India and Peru. But children fell further behind in Ethiopia, and their progress—together with that of adults—stalled in Democratic Republic of the Congo and Pakistan. Globally, of the 1.3 billion people who are multidimensionally poor, more than two-thirds of them—886 million— now live in middle-income countries. A further 440 million live in low-income countries. Even more staggering, worldwide, one in three children is multidimensionally poor, compared to one in six adults. That means that nearly half of the people living in multidimensional poverty — 663 million — are children, with the youngest children bearing the greatest burden. The vast majority of these children, around 85 per cent, live in South Asia and Sub-Saharan Africa, split roughly equally between the two regions. The report underscored that the traditional concept of poverty is outdated, demonstrating more clearly than ever that labelling countries - or even households - as rich and poor is an oversimplification. “To fight poverty, one needs to know where poor people live. They are not evenly spread across a country, not even within a household,” UNDP Administrator Achim Steiner said. The report also highlighted a positive trend that those furthest behind are moving up the fastest. https://www.thehindubusinessline.com/economy/india-lifted-271-million-people-out-of-poverty-in-10-years-un/article28403303.ece Credit to UPA for this.
velu Posted July 13, 2019 Posted July 13, 2019 8 hours ago, Stan AF said: India lifted 271 million people out of poverty in 10 years: UN PTI United Nations | Updated on July 12, 2019 Published on July 12, 2019 According to a UN report, India and Cambodia reduced their Multidimensional Poverty Index values the fastest. - The Hindu UN Development Programme released the 2019 global Multidimensional Poverty Index India lifted 271 million people out of poverty between 2006 and 2016, recording the fastest reductions in the multidimensional poverty index values during the period with strong improvements in areas such as “assets, cooking fuel, sanitation and nutrition,” a report by the United Nations said. The 2019 global Multidimensional Poverty Index (MPI) from the UN Development Programme (UNDP), the Oxford Poverty and Human Development Initiative (OPHI) was released on Thursday. The report said that in the 101 countries studied — 31 low income, 68 middle income and 2 high income - 1.3 billion people are “multidimensionally poor”, which means that poverty is defined not simply by income, but by a number of indicators, including poor health, poor quality of work and the threat of violence. The report identifies 10 countries, with a combined population of around 2 billion people, to illustrate the level of poverty reduction, and all of them have shown statistically significant progress towards achieving Sustainable Development Goal 1, namely ending poverty “in all its forms, everywhere”. The 10 countries are Bangladesh, Cambodia, Democratic Republic of Congo, Ethiopia, Haiti, India, Nigeria, Pakistan, Peru and Vietnam. The report said that within these 10 countries, data shows that 270 million people moved out of multidimensional poverty from one survey to the next. “This progress was largely driven by South Asia. In India, there were 271 million fewer people in poverty in 2016 than in 2006, while in Bangladesh the number dropped by 19 million between 2004 and 2014,” it said. The report noted that of the 10 selected countries for which changes over time were analysed, India and Cambodia reduced their MPI values the fastest — and they did not leave the poorest groups behind. India’s MPI value reduced from 0.283 in 2005-06 to 0.123 in 2015-16. Noting the examples of pro-poor reduction, where the poorest regions improved the fastest, the report said that Jharkhand in India reduced the incidence of multidimensional poverty from 74.9 per cent in 2005-06 to 46.5 per cent in 2015-16. Mondol Kiri and Rattanak Kiri in Cambodia reduced it from 71.0 per cent to 55.9 per cent between 2010 and 2014. Ethiopia, India and Peru significantly reduced deprivations in all 10 indicators, namely nutrition, sanitation, child mortality, drinking water, years of schooling, electricity, school attendance, housing, cooking fuel and assets. In 2005-2006, the population in India living in multidimensional poverty stood at about 640 million people (55.1 per cent) and this reduced to 369 million people (27.9 per cent) living in poverty in 2015-16. India saw significant reductions in number of people who are multidimensionally poor and deprived in each of the 10 indicators over this time period. India reduced deprivation in nutrition from 44.3 per cent in 2005-06 to 21.2 per cent in 2015-16, child mortality dropped from 4.5 per cent to 2.2 per cent, people deprived of cooking fuel reduced from 52.9 per cent to 26.2 per cent, deprivation in sanitation from 50.4 per cent to 24.6 per cent, those deprived of drinking water reduced from 16.6 per cent to 6.2 per cent. Further more people gained access to electricity as deprivation was reduced from 29.1 per cent to 8.6 per cent, housing from 44.9 per cent to 23.6 per cent and assets deprivation from 37.6 per cent to 9.5 per cent. The trends in these 10 countries also shine a light on where poverty reduction has been uneven, despite the good progress overall, it said.“In all 10 countries rural areas are poorer than urban areas. In Cambodia, Haiti, India and Peru poverty reduction in rural areas outpaced that in urban areas — demonstrating pro-poor development — and in Bangladesh and Democratic Republic of the Congo poverty fell at the same speed in rural and urban areas, it added. The report also showed that children suffer poverty more intensely than adults and are more likely to be deprived in all 10 of the MPI indicators, lacking essentials such as clean water, sanitation, adequate nutrition or primary education. Child poverty fell markedly faster than adult poverty in Bangladesh, Cambodia, Haiti, India and Peru. But children fell further behind in Ethiopia, and their progress—together with that of adults—stalled in Democratic Republic of the Congo and Pakistan. Globally, of the 1.3 billion people who are multidimensionally poor, more than two-thirds of them—886 million— now live in middle-income countries. A further 440 million live in low-income countries. Even more staggering, worldwide, one in three children is multidimensionally poor, compared to one in six adults. That means that nearly half of the people living in multidimensional poverty — 663 million — are children, with the youngest children bearing the greatest burden. The vast majority of these children, around 85 per cent, live in South Asia and Sub-Saharan Africa, split roughly equally between the two regions. The report underscored that the traditional concept of poverty is outdated, demonstrating more clearly than ever that labelling countries - or even households - as rich and poor is an oversimplification. “To fight poverty, one needs to know where poor people live. They are not evenly spread across a country, not even within a household,” UNDP Administrator Achim Steiner said. The report also highlighted a positive trend that those furthest behind are moving up the fastest. https://www.thehindubusinessline.com/economy/india-lifted-271-million-people-out-of-poverty-in-10-years-un/article28403303.ece Credit to UPA for this. Yeah .. without UPA , NDA might not got an opportunity to lift people out of poverty
Stan AF Posted July 14, 2019 Posted July 14, 2019 Credit quality dips in Q1 as economic slowdown hits India Inc: CARE Rating Liquidity pressures trigger stress; SMEs face brunt Abhijit Lele | Mumbai Last Updated at July 8, 2019 21:56 IST Credit information companies are only authorised to collect credit data from banks in order to form the customer’s credit score Economic slowdown has begun to dent the credit profile of India Inc. There has been a deterioration in the credit quality of entities rated in the first quarter of the current financial year, showing effect of the prevailing slowdown in the Indian economy, according to rating agency CARE Ratings. The credit rating downgrades have been largely on account of liquidity pressure leading to, at times, delays in debt servicing, high debt levels, weakening profit margins, decline in scale of operations. The credit quality as measured by CARE Ratings ‘modified credit ratio’ (MCR), for Q1 2019-20 declined to a six year low of 0.8 (1.02 was the ratio in Q1 2018-19). It was at the same level as of Q1 2012-13 when the domestic economy was faced with a slowdown. The Modified Credit Ratio (MCR) is defined as the ratio of "upgrades and reaffirmations" to "downgrades and reaffirmations". An MCR closer to one indicates higher stability in the ratings, with a larger proportion of reaffirmations. An increase in the MCR implies an improving credit quality of the rated entities while a decline in the same signals a deterioration in credit quality of the rated entities. The moderation in credit quality, indicative of the higher number of credit rating downgrades, has been across categories and sectors. It was more pronounced in the case of small enterprises (total revenues less than Rs 100 crores) as well as for entities who carried ‘below investment grade’ ratings (credit rating below “BBB”). The stability in credit quality of the large and medium enterprises (LME) and the entities that have ‘investment grade’ rating have been sustaining, limiting the moderation in credit quality at the aggregate level. The SME segment accounted for 45 per cent of the ratings reviewed by CARE Ratings in Q1 2019-20. At the same time, the reaffirmation and upgrade of ratings of entities has been influenced by the entities with favourable financial position/ profitability, increase in scale of operations, comfortable debt servicing parameters, liquidity position and capital structure. Company and industry specific factors too have influenced the rating changes. https://www.business-standard.com/article/companies/credit-quality-dips-in-q1-as-economic-slowdown-hits-india-inc-care-rating-119070801261_1.html
Stan AF Posted July 14, 2019 Posted July 14, 2019 https://economictimes.indiatimes.com/industry/banking/finance/banking/deloitte-global-ceo-met-top-officials-to-persuade-them-against-the-possible-ban/articleshow/69834595.cms Modi, Ban these Motha *aasss Auditors are the biggest crooks in india.
velu Posted July 14, 2019 Posted July 14, 2019 11 hours ago, Stan AF said: https://economictimes.indiatimes.com/industry/banking/finance/banking/deloitte-global-ceo-met-top-officials-to-persuade-them-against-the-possible-ban/articleshow/69834595.cms Modi, Ban these Motha *aasss Auditors are the biggest crooks in india. got fooled royally by satyam ramalinga raju .. biggest klpd ever for their auditors
Stan AF Posted July 15, 2019 Posted July 15, 2019 (edited) Automakers warn of job losses as car sales drop 25% in June The government needs to take concrete measures to help arrest the decline and spur demand, says SIAM while releasing sales numbers Auto industry , Istock Updated: Jul 11, 2019, 05:25 AM IST The passenger vehicle sales in the automobile sector declined 18% in June, for a straight eighth month, as the industry association SIAM warned of job losses in the sector, which employs about 37 million people, if the current situation continues. The government needs to take concrete measures to help arrest the decline and spur demand, SIAM said while releasing sales numbers. In June, PV sales declined by 17.54% to 2,25,732 units from 2,73,748 units in the same period a year ago, while domestic car sales were down 24.97% to 1,39,628 units in June as against 1,83,885 units in June 2018, according to data released by the Society of Indian Automobile Manufacturers (SIAM) on Wednesday. All vehicle categories registered a decline in sales in June. Barring October last year, when PV sales were up 1.55%, sales fell in 11 of the last 12 months. "This is the worst phase of the industry. We have not seen such kind of a prolonged slowdown ever. There have been patches of de-growth earlier, but that lasted for one or two quarters at most. Nothing like this has happened before," SIAM president Rajan Wadhera said. The passenger car production stood at 1,69,594 units last month, the lowest in 71 months. It is worst since June 2013, when car production had dropped to 1,64,631 units, according to SIAM. For the first quarter April-June, PV sales declined 18.42% to 7,12,620 units compared with 8,73,490 units in the first quarter previous year. Vehicle sales across all categories declined by 12.35% to 60,85,406 units during April-June 2019 as against 69,42,742 units in the same period last year. The industry doesn't see this improving "as it is linked to the overall GDP figures… the economic survey is talking of the last quarter of 5.8% growth," Wadhera said. "If the de-growth continues, it is bad for everyone and the industry will need to take critical measures to stay afloat and conserve resources.…in the short term if we don't arrest it (the decline), the de-growth will continue. It is already affecting us financially... if we have no work, then there will be no new jobs and the current jobs will also start going down," he said. SIAM expressed disappointment that industry's concerns were not addressed in the Budget 2019, mainly the reduction in goods and services tax from 28% to 18%. The lowering of tax could have been the biggest enabler to put the industry back on a growth path, he said. When asked if there have been any job cuts over the past year, he said, "I don't think that phase has started, but we are very close into that. We can't survive at this moment. As SIAM we support the electric vehicle plan of the government, but at the same time, we must survive during that plan." Ashish Modani, vice-president and co-head, corporate ratings, Icra, "Consumer sentiments remain sheepish, which continues to weigh on demand for discretionary items like cars. Moreover, inventory rationalisation at PV dealerships has taken a toll on wholesale dispatches. The wholesale dispatches are likely to remain weak for the next 1-2 months and we expect some signs of recovery from the festive season." "Given the government's fiscal position, we have not expected any GST cut on the automobile industry. Government's push to recapitalise banks and improve liquidity in NBFCs is positive for the economy, the benefits of which will start reflecting in the next few quarters," Mohani said. SIAM said the pressure of meeting regulations has also driven up the costs for the industry which has complied with more regulations in the last two years than in the last decade."… Reduction in the GST, which unfortunately has not happened, would have been the biggest enabler to start the demand… We have been making the presentation to the government saying that... this de-growth affects the GST revenues as well. If we de-grow by 20%, the overall GST also is less by 20%. We are really very concerned. We need very concrete measures," he said. The industry is investing around Rs 80,000 crore on upgrading products to conform to BS-VI emission norms and is also seeking availability of BS-VI oil from February itself to synchronise the sale of BS-VI vehicles from April 1, 2020. The industry supports government's electric mobility plans, but at the same time needs proper discussions to arrive at a future roadmap for the entire auto sector. "We want to be a part of the plan. We need time to think it through as what technology is needed. Hopefully, we are going to get to some middle path regarding this...We cannot survive like this (continuous de-growth). We must survive to deliver the electric mobility plan," Wadhera said. For total two-wheeler, sales in June declined 11.69% to over 16.49 lakh units. While motorcycle sales fell 10% to 10.84 lakh units, those of scooters were down 15% to 5.12 lakh units. Sales of commercial vehicles were down 12.27% to 70,771 units. https://www.dnaindia.com/automobile/report-automakers-warn-of-job-losses-as-car-sales-drop-25-in-june-2770681 Edited July 15, 2019 by Stan AF
Stan AF Posted July 15, 2019 Posted July 15, 2019 In addition to the minimum monthly wage of ₹9,750, the seven-member panel had also suggested that an housing allowance of ₹1,430 should be provided for city-based workers (Mint file) ₹375 minimum wage plan junked as govt opts for ₹2 hike 2 min read . Updated: 13 Jul 2019, 10:10 PM IST Prashant K. Nanda The labour code on wages has a provision for a ‘mandatory national wage floor’, the minimum wage in other words States cannot pay below this mandatory minimum wage floor, which will be set by the Centre when the wage code gets parliamentary approval Topics Minimum Wage PlanLabour Code on Wages New Delhi: The Union cabinet has approved the Wage Code Bill, which raised the national minimum wage by ₹2 to ₹178 per day, despite an internal labour ministry committee recommending a much higher amount of ₹375. The labour code on wages has a provision for a ‘mandatory national wage floor’, the minimum wage in other words. States cannot pay below this mandatory minimum wage floor which will be set by the Centre when the wage code gets parliamentary approval. The Centre’s decision to reject the proposal for a higher amount comes in spite of the Economic Survey 2019 saying a better national wage floor will reduce inequality and poverty in India. The mandatory national minimum wage will not be fixed as per the labour ministry’s expert committee report on minimum wage, two government officials said, requesting anonymity. “It will be less than half of what was suggested," the first official said, adding that employers’ objections to the hike were among factors contributing to a change of mind. Labour minister Santosh Gangwar had hinted on Wednesday that the ministry may fix the national minimum wage at ₹178, but did not say whether it would be mandatory. “ ₹178 may actually become the mandatory floor. But some in the government believe that such a low floor will defeat the purpose," the second official said. The labour ministry panel had said in its report in January that “the single value of the national minimum wage for India should be set at ₹375 per day as of July 2018". Mint has reviewed a copy of the report. In addition to the minimum monthly wage of ₹9,750, the seven-member panel had also suggested that an housing allowance of ₹1,430 should be provided for city-based workers. The first official said the increase will not help most workers considering that Nagaland, Tamil Nadu, West Bengal, Tripura and Himachal Pradesh are the only states to pay lower wages than the proposed amount. For example, Tamil Nadu has 76 category of minimum wages, ranging from ₹132 to ₹419. Nagaland is the only state where the minimum wage range of ₹115 to ₹135 per day across sectors is less than the national minimum wage. The economic survey presented in Parliament on 4 July said that a well-designed minimum wage system “can be a potent tool for protecting workers and alleviating poverty, if set at an appropriate level that ensures compliance". The economic survey indicated that a higher minimum wage will have little impact on job creation. “A simple, coherent and enforceable minimum wage should be designed with the aid of technology as minimum wages push wages up and reduce wage inequality without significantly affecting employment." While workers’ unions have been talking about better wages and supporting a national mandatory wage floor, industry bodies have expressed their reservations. In the June Confederation of Indian Industries (CII) has said that states should have the power to determine minimum wages as the concept of a national minimum wage will affect job creation. The International Labour Organization (ILO) advocates decent jobs and better remunerations for the working class. In a November 2018 report, ILO said that around 41% of Indian employees feel they are poorly paid—India stood fourth from the bottom in salary satisfaction among the 22 countries of the Asia-Pacific region, above only Bangladesh, Pakistan and Mongolia. https://www.livemint.com/news/india/rs-375-minimum-wage-plan-junked-as-govt-opts-for-rs-2-hike-1563035733771.html
Jimmy Cliff Posted July 15, 2019 Posted July 15, 2019 Warning. Horror thread ahead. Maybe I should put this up in the Crimes of NDA Thread as well. Stan AF 1
Stan AF Posted July 16, 2019 Posted July 16, 2019 Thanks for that link @Jimmy Cliff It's high time the government starts working on a stimulus package. The next 5 years will be painful. Jimmy Cliff 1
Stan AF Posted July 16, 2019 Posted July 16, 2019 PM’s advisory council fails to give input on job creation THE ASIAN AGE. | ANIMESH SINGH Published : Jul 15, 2019, 1:16 am IST Updated : Jul 15, 2019, 6:11 am IST Employment and job creation was among the 10 issues on which it was supposed to deliberate. Prime Minister Narendra Modi (Photo: PTI) New Delhi: Despite the fact that unemployment is at a 45-year high of 6.1 per cent and job creation being one of the major challenges before the NDA government, the Prime Minister’s Economic Advisory Council — a panel which had been set up in September 2017 for developing a roadmap on key issues facing the government — till date has not given any input on generating employment. According to highly placed sources, the economic advisory council of the Prime Minister or the EAC-PM, has not given any recommendation or any policy paper on the roadmap for job creation. The EAC-PM has met on a few occasions since its inception, and discussed issues like improving investments in health, agriculture and even skill upgradation, however it is yet to be come up with any concrete recommendations which can help in creating jobs, or enhancing job prospects, sources added. When it was set up in September 2017, the EAC-PM, headed by former Niti Aayog member Bibek Debroy, was mandated to give its inputs on 10 key issues facing the government, directly to the Prime Minister’s Office (PMO). Till date though, the EAC is yet to come out with any concrete recommendations on any of the 10 issues, even as its “council report” on these issues is still awaited. Employment and job creation was among the 10 issues on which it was supposed to deliberate. The other issues were fiscal framework, informal sector, public expenditure, monetary policy and agriculture, among others. Official sources on their part say that based on deliberations, the EAC-PM has been providing advisory inputs to the Government from time to time, but is yet to submit any specific policy paper on the roadmap for job creation and infrastructure financing avenues. During the 2014 Lok Sabha polls, the Narendra Modi-led NDA government had in its election manifesto, focussed on need-based skill development and employability. Also it had promised to develop high impact domains like labour-intensive nanufacturing and tourism. While it especially set up a new skill development ministry and initiated several job creation related schemes like Start-up India and Skill India, yet the fact that unemployment recorded a 45-year high of 6.1 per cent as per the Periodic Labour Force Survey (PLFS) conducted in 2017-18, is likely to keep the BJP-led NDA government's hands full in its second term. https://www.asianage.com/india/all-india/150719/pms-advisory-council-fails-to-give-input-on-job-creation.html
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