At first, New Delhi struggled to square the circle to make sense of the zeros in the economic stimulus. After unconvincing attempts, there are hints of unused ammunition that can be fired later to counter the trail of destruction that Covid-19 will leave behind. It’s a marathon, not a sprint, as a government adviser reminded — a reassuring message, as long as men and businesses can touch the finishing line with their bodies and souls together. That story, however, is not finding too many takers. There’s outright disbelief among obvious fault-finders as well as scepticism among admirers. The government’s stance, measures and fears have deepened the doubts. Besides the fiscal orthodoxy, the Centre is caught in its professed preference to ‘endowment’ over the Congress legacy of ‘entitlement’ and doles that the ruling party believes to have kept the poor stay poor. So, it bets on ‘atmanirbharta’ even when the house is on fire. … [Read more...] about View: For its own political safety, if not for India’s economy, GoI must fully open the expenditure tap
Us open prize money
Similarly, unlike the US dollar, Indian rupee is not considered a safe haven. Even when the US Federal Reserve prints more currency, there is still global demand for the US dollar. However, the same will not be the case for the rupee. Thus, when there is excess supply of the currency, it could lead to a fall in rupee value, leading to an outflow of foreign investment. In the current scenario, a rupee depreciation would not be beneficial for the exports sector either. The global economy is facing a demand slump, and the IMF has projected a negative GDP growth rate for the global economy in CY20. Thus, a fall in rupee value would be costlier for the economy.Under such circumstances, the central bank would be forced to intervene in the forex market to stabilise the falling rupee by selling dollars. India has a comfortable foreign exchange reserves of $487 billion currently. However, it doesn’t mean the Central Bank can indefinitely intervene in the forex market to stabilise the … [Read more...] about Deficit monetisation: Is it really as simple as RBI printing more money?
Salons were allowed to open in areas other than municipalities on Tuesday, and those in the city started functioning on Sunday. A series of guidelines have been given to the shop owners on maintaining personal hygiene and regular disinfection. Although most have agreed to follow them, they said that the operational costs would be affected. … [Read more...] about Salons, parlours open shop
Sanchit Vir Gogia, Founder and CEO, Greyhound Research said that the new deal with is a testimony by Bharti Airtel’s to its network, its partner-led model and most of all its focus on delivering superior customer experience."For all three telcos, the battle has shifted to consumer data, apps and enterprise services where there is a lot more money to be made compared to traditional voice Services. But in this new turf, the winner is decided on a key metric - the one that delivers better customer experience which further depends on parameters like network availability, overall performance and 5G readiness," Gogia said."Value of both Airtel and Vodafone Idea cloud deals will be around $100 million," Gogia said.Adopting a modern hybrid cloud architecture enables communication service providers (CSPs) to deliver more responsive networks that tap into automation and AI to address growing customer needs and deploy new services at the right location and network tier.Airtel will also tap … [Read more...] about Airtel selects IBM and Red Hat to build 5G-ready open hybrid cloud network
was despite assurances from the then government that only select Indian companies would be allowed in health insurance and not foreign players, as was feared by the then opposition.Later, in 2000, the insurance sector was opened to the private sector, with an FDI cap of 26 per cent. Despite initial apprehension, the insurance sector is growing at a speedy 15-20 per cent. Together with banking services, insurance services add about seven per cent to the country's GDP.In fact, financial services were among the few exceptions in the otherwise muted GDP growth of 6.9 per cent in the first quarter of this financial year.And, when Chidambaram (this time as finance minister of the UPA Government) proposed a rise in the FDI cap in the private insurance sector from 26 per cent to 49 per cent in the 2004-05 budget, the Bill to this effect could be tabled in the Rajya Sabha only four years down the line, in December 2008. It is pending with the standing committee on finance.However, other … [Read more...] about Flashback: FDI opening always came with turmoil