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  1. #21
    Member KRAIT's Avatar
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    India can provide huge number of skilled technical people to various companies like electronics, engineering, aerospace etc. It can certainly help in raising manufacturing segment and raise its part in our economy.

    China has been the manufacturing hub but the problem arising with Chinese products too oftern may help in multinationals shift their manufacturing hub in India.

    India is churning out engineers at high level and most of them are from good engineering institutes.

    Instead of loosing right minds to western nation, these engineers can find competitive job that they could have landed in US in these companies and will opt to stay in India even if pay is little less as many employees wants to remain in India due to our family structure.

    The engineers working in MNCs can open their own business ventures or become part of promising start ups after gaining knowledge from these top companies and experience from working in their R & D sector.

    This may result in boom of new start ups with introducing innovation in India which is necessary for us if we are planning for a decade long strategy to change our economic structure.
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  2. #22
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    We need to give people hopes for employment and jobs and improve our economies

  3. #23
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    Quote Originally Posted by Aryan_B View Post
    We need to give people hopes for employment and jobs and improve our economies
    I think for that we need to attract foreign companies to establish their manufacturing units in our subcontinent as the skilled population will certainly work of less pay and since they will be manufacturing in India, they will have huge market of India with 650 million middle class along with elite classes in Pakistan.

    It also reduces the cost which will make their products competitive to Indian products. This competition means increase in standard of local industries along with more employment, more R&D, increase in demand of local workers and handsome salary to retain the employees.

    I personally thing that India and Pakistan should rather focus on mutual trade to attract FDI in both the countries.

    We should seriously think of creating an economic corridor or area from Iran-Pakistan-India-Bangladesh-Myanmar-Other Eastern countries.
    Last edited by KRAIT; 30th September 2012 at 18:47.

  4. #24
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    India’s services sector grows at fastest pace in 7 months

    BANGALORE: India’s services sector expanded at its fastest pace in seven months as a spurt in new business encouraged firms to hire more staff, a survey showed on Thursday, suggesting the worst of the economic slump may be over. The HSBC purchasing manager’s index for the services sector, which gauges the activity of hundreds of Indian companies, rose to 55.8 in September from August’s 55.0.

    A reading of 50 and above separates growth from contraction and the index has held above the break-even mark since November last year. India’s services sector makes up for over 60 percent of the country’s gross domestic product and a strong reading in HSBC’s survey augurs well for the economy, where growth has faltered in recent months against the backdrop of political upheaval. “Service sector activity grew at a faster clip in September led by firm demand, underscoring (its) resilience,” said Leif Eskesen, an economist at HSBC.

    “This further lifted employment, which helped businesses keep up with orders.” The new business sub-index surged to its highest since February allowing firms to hire more workers, and employment touched a 15-month high. But survey participants are now less optimistic about the future. The sub-index measuring business expectations, a gauge of what firms think conditions will be like in a year’s time, fell to 67.2 from 74.0 in August. Policy measures taken by the US Federal Reserve and the European central bank to shore up their respective economies have led to an increase in demand for Indian services. reuters

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  5. #25
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    India’s PM forges ahead with reforms

    NEW DELHI: India’s embattled government pushed ahead on Thursday with its make-or-break reform agenda, approving contentious new measures to open up the insurance and pensions sectors to foreign investors.

    Despite fierce resistance from opposition parties which are threatening to bring down the coalition in the next parliamentary session, Prime Minister Manmohan Singh unveiled the measures aimed at reviving economic sentiment.

    A cabinet meeting on Thursday afternoon gave the green light for foreign companies to own up to 49 percent in Indian insurance companies — up from 26 percent previously.

    In the pensions sector, previously closed to outside investors, foreign groups will be able to buy up to 26 percent under the proposed changes, which must now be approved by parliament, an official in the prime minister’s office told AFP.

    A new Companies Bill was also adopted, which would introduce concepts like corporate social responsibility, class action suits and a fixed term for independent directors. Singh and his reformist new finance minister, P. Chidambaram, have stressed the need to encourage foreign and domestic investment to get India’s economy moving again after a slump in growth and worries about the budget deficit.

    Last month, in a blitz of measures heralding an end to years of policy deadlock, the cabinet changed the law to allow foreign supermarkets into the retail sector and opened up the broadcasting and aviation industries.

    “The government has to take a number of decisions. As we take these decisions it will be clear that we are on the reform path and we will continue on that path,” Chidambaram told the BBC in an interview broadcast on Wednesday. “I think we will return to 9.0 percent growth once we address certain fundamental constraints.”

    On the Bombay Stock Exchange, stocks closed at a 15-month high, up 1.0 percent at 19,058.15 points, while the Indian currency firmed to its strongest level in five-and-a-half months at 51.7 rupees to the dollar. Singh, as well as his political boss Sonia Gandhi, the head of the ruling Congress party, face a broad coalition of opposing forces, ranging from political parties hostile to foreign companies to trade unions worried about job losses.

    The ruling coalition dominated by the Congress is now technically a minority in parliament, having lost an ally who quit over the issue of allowing foreign supermarkets into the retail sector.

    To ensure the bills pass parliament, Congress will have to rely on outside support. But one such potential ally, the Samajwadi Party, is generally opposed to foreign investment.

    The leader of former coalition member Trinamool Congress, Mamata Banerjee, threatened on Monday to bring a no-confidence motion against the government which could lead to elections before their scheduled date in 2014.

    For the time being, however, Singh has succeeded in changing the mood in India after years of criticism of his ponderous policy-making and a string of corruption scandals that sapped the government’s energy.

    The most recent scandal — over the allocation of lucrative coal mining rights to private companies in a process that “lacked transparency and objectivity”, according to the national auditor — has slipped from the headlines.

    “Instead of giving good-quality, clean governance, they are introducing new ‘big bang’ things that have a visible PR impact,” Subhash Agrawal, the head of think-tank India Focus, told AFP.

    He added that the Congress party, traditionally focused on the rural poor, was now targeting the emerging middle classes which were “slipping away” amid frustration over the mishandling of the economy.

    India’s growth is bumping along at around five percent — its slowest pace in three years — and ratings agency Standard and Poor’s warned in June that it could lose its investment-grade rating.

    “It is a huge gamble by the Congress,” Neerja Chowdhury, a political commentator in New Delhi, told AFP. “What goes in Singh’s favour is the support of his own party.”Some economists have warned however that opening up to foreign direct investment is not a panacea for India’s problems, with labour market reform, improvements in infrastructure and better governance more urgently needed. afp

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  6. #26
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    Indian chips hit over 1-year highs

    MUMBAI: India’s main BSE index rose to a 15-month peak on Thursday, while the NSE index hit a 17-month high, after the government’s reform proposals for the insurance and pension sectors sparked gains in financial stocks such as ICICI Bank.

    The government’s push is raising hopes for more action, especially in further lowering its subsidies and tackling bigger measures such as a reform in the goods and services tax, after already announcing big bang reforms last month.

    Investors were also encouraged after India’s services sector expanded at its fastest pace in seven months as a spurt in new business encouraged firms to hire more staff, according to a HSBC survey on Thursday, suggesting the worst of the economic slump may be over.

    “One may expect record highs by March next year on back of reform measures as investment cycle picks up,” said G. Chokkalingam, Chief Investment Officer of Centrum Wealth Management.

    Both of India’s main indexes surpassed key psychological levels to end at their highest since last year.

    The BSE index rose 1.0 percent at 19,058.15 to its highest close since July 7, 2011.

    The 50-share NSE index gained 0.98 percent to 5,787.60, its highest close since April
    27, 2011.

    Financial firms rallied after the government cabinet was set to approve later in the day bills that would raise the cap on foreign direct investment in insurance firms and open the pension sector to foreign investors.

    Although some analysts expressed doubts about whether both proposals would win parliamentary approval, shares gained nonetheless.

    Financial companies with insurance units rose. Reliance Capital rose 1.9 percent, with shares having surged 41.5 percent since September.

    Lenders with pension funds units also rose, with State Bank of India up 2.12 percent and ICICI Bank up 2.9 percent.

    Brokerages also rallied on hopes for improved stock trading volumes. Motilal Oswal gained 2.4 percent, while Edelweiss Capital surged 10.3 percent after earlier rising nearly 15 percent in intraday trade.

    Oil marketing companies extended gains as brent futures prices are falling at a time when the rupee is strengthening, lowering costs for importing crude.

    Hindustan Petroleum Corp rose 3.2 percent, while Bharat Petroleum Corp gained 3.4 percent.

    Cement companies extended a recent rally on hopes they would post robust July-Sept quarterly earnings due to rising shipments and lower raw material costs.

    ACC rose 1.15 percent after hitting life high of 1,545.35 rupees intraday, while Ambuja Cement settled 1.5 percent higher after making an all-time high at 223 rupees.

    However, Indian drug makers extended recent falls as investors continued to switch out of previously outperforming defensive sectors into cyclical or high-beta stocks.

    Lupin Ltd fell 3.1 percent, while Cipla Ltd fell 3.9 percent.

    Auto shares continued to reel after posting lower than expected vehicle sales for the month of September. Mahindra & Mahindra fell 1.3 percent.

    MphasiS fell 3.8 percent after shares of main stakeholder Hewlett-Packard Co plunged to a nine-year low on Wednesday after warning of an unexpectedly steep earnings slide in 2013. reuters

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  7. #27
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    Hinduja Group in lead to buy Houghton International for $1.15 billion: Sources


    NEW YORK: Family-owned Indian conglomerate Hinduja Group is the front-runner to acquire Houghton International, a U.S. producer of metalworking fluids and other chemicals, following a $1.15 billion bid, according to two people familiar with the matter.

    The multibillion-dollar global investment and banking group topped offers by private equity firms in the auction for Houghton, the sources said. AEA Investors LP, the investment firm that owns Houghton, could still decide to sell to another party or not at all, the sources added.

    Representatives of the Hinduja Group, Houghton and AEA did not respond to requests for comment.

    Valley Forge, Pennsylvania-based Houghton makes specialty chemicals, oils and lubricants for the metalworking, automotive, steel and other industries. Deutsche Bank and Morgan Stanley were hired to advise on the sale process, people familiar with the matter previously told Reuters.

    Founded in 1914, the Hinduja Group expanded into investment banking, international trading and global investments under the present leadership of Chairman Srichand Hinduja, supported by his brothers, Gopichand, Prakash and Ashok. The group has a presence in 35 countries, employing over 65,000 people.

    Houghton merged in 2007 with an affiliate of AEA. Terms of the deal were not disclosed, but Morgan, Lewis & Bockius LLP - a law firm that represented Houghton on the transaction - refers to it on its website as a $400 million merger.

    Hinduja Group in lead to buy Houghton International for $1.15 billion: Sources - The Economic Times
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  8. #28
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    Pakistan allows more sugar exports, India to import 5,000 tonnes

    NEW DELHI/MUMBAI: Pakistan has allowed the export of an extra 200,000 tonnes of sugar, on top of the 300,000 tonnes already allowed, as the government aims to trim surplus stocks and bolster local prices.

    Higher stocks and expectations of robust output next year encouraged the Islamabad government to allow the export of the additional sugar, Ali Raza Bashir, spokesman for the Finance Ministry, said, though the permission was for less than had been sought.

    "There was a request to allow (extra) exports of 400,000 tonnes but the cabinet gave its permission for 200,000," Shunaid Qureshi, chairman of the Pakistan Sugar Mills Association, said by telephone.

    The move came as neighbour India sealed deals to import about 5,000 tonnes of white sugar, despite expectations of a domestic surplus, as some traders seek to capitalise on lower prices in Pakistan and higher prices in India.

    In Pakistan, sugar output in the crop year starting Oct. 1 is likely to remain steady at last year's level of around 4.7 million tonnes, Qureshi said.

    The country's sugar consumption is between 4 million tonnes and 4.2 million and it started the 2012/13 year with around 400,000 tonnes of stock, said a dealer in Karachi who declined to be named.

    Most sugar so far has gone to Afghanistan, Saudi Arabia and east Africa.

    "These countries will again show interest due to lower prices. Millers in Pakistan want cash to start the crushing season ... They can give discounts to world prices," the dealer said.

    INDIA BUYS WHITES

    A New Delhi-based trader, who did not wish to be named, said: "The (Indian) traders who have contracted imports from Pakistan perhaps found the FOB price of $545 per tonne attractive enough to buy.

    "They stand to gain $15 to $20 a tonne after paying a duty of 10 percent," the trader added.

    The sugar price in western India is around $680 per tonne, while in northern and eastern parts of the country it is as high as $720.

    India, the world's top consumer and the biggest producer behind Brazil, has been an exporter for the past two years. Exports in the year to September 2012 totalled 3.3 million tonnes.

    Traders in India, which levies a 10 percent tax on sugar imports, have booked whites from Pakistan for delivery at the eastern Haldia port, a second Indian trader said.

    India is expected to have a small exportable surplus in 2012/13, though higher production costs could make it difficult to find buyers at prices acceptable to mills.

    Last month, Indian mills signed deals to buy up to 450,000 tonnes of Brazilian raw sugar because of the attractive gap between domestic and overseas prices.

    The strengthening Indian rupee and a wide gap between Indian and Pakistani prices made these deals attractive, said a Mumbai-based trader with a global trading firm.

    India could buy more for delivery in October and November to meet higher festival demand, traders said.

    Pakistan allows more sugar exports, India to import 5,000 tonnes - The Economic Times
    Great spirits have always found violent opposition from mediocre minds. - Albert Einstein

  9. #29
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    India and Australia will achieve $40 billion trade target in 4 years: Australian High Commissioner

    NEW DELHI: India and Australia would achieve the bilateral trade target of USD 40 billion in the next four years, Australian High Commissioner in India Peter Varghese said today.

    "Both the countries had agreed to double the bilateral trade to USD 40 billion. I am confident that we will get there," Varghese told reporters here.

    In May 2011, Commerce and Industry Minister Anand Sharma and Australian Trade Minister Craig Emerson had agreed to double bilateral trade to USD 40 billion by 2016. At present, the two-way trade is over USD 21 billion.

    Varghese was speaking to reporters after witnessing signing of an MoU between Assocham and Victorian Employers' Chamber of Commerce and Industry (VECCI). The agreement is aimed at collaborating in areas like agriculture, education and IT, among others.

    Stressing the need to further widen the current trade basket, Varghese said, "We both want a broad base relationship because at the moment it (trade basket) is dominated mainly by three commodities - gold, coal and copper. So, we would like to see a much broad base."

    He hoped that the flow of investments to both the countries would increase.

    India's exports to Australia include gems and jewellery, chemicals, leather, textiles and agricultural products. India's imports from Australia comprise agricultural items, horticulture, coal, gold and wool.

    In May last year, India and Australia had launched the negotiations for comprehensive market opening pact aimed at enhancing economic integration to enable trade and investments to flourish.

    India and Australia will achieve $40 billion trade target in 4 years: Australian High Commissioner - The Economic Times
    Great spirits have always found violent opposition from mediocre minds. - Albert Einstein

  10. #30
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    Indian team to visit Iran on October 6 to clinch wheat export deal


    NEW DELHI: A government delegation will visit sanctions-hit Iran on October 6 to clinch a wheat export deal, a senior official said today.

    India lifted ban on wheat exports in September 2011 on account of record production in two consecutive years. Iran, on the other hand, has not been importing Indian wheat since 1996 due to quality issues.

    "A 10-member team from India will visit Iran on October 6. The team will stay in Tehran for two days to negotiate wheat exports," the official told PTI.

    The delegation, headed by a senior Commerce Ministry official, will have members from ministries such as Food and Agriculture besides officials from the state-run Food Corporation of India (FCI), he said.

    Due to drought in Russia, Iran has evinced interest in buying wheat from India on a long-term basis. But the west Asian country has not made clear whether it will relax quality norms for Indian wheat, sources said.

    "The issues related to quality as well as the price will be discussed with Tehran officials," a source said.

    India could offer to sell to Iran minimum one million tonnes of wheat a year through diplomatic channel but at a commercial price of not less than $ 300 a tonne, the source added.

    A few months ago, the sanctions-hit Iran had sent a delegation to India to check the quality of Indian wheat. It had also taken wheat samples for quality analysis.

    Recently, Food Minister K V Thomas had said, "Iran had taken samples and has responded positively. It is interested to import wheat from India on a long-term basis."

    The global prices are very high and 1-2 million tonnes of wheat can go this year, he had said.

    Export of wheat to Iran will not only help India partly settle its oil dues, but also reduce its surplus foodgrain stocks in its godown.

    Due to the bumper crop, the government godowns are overflowing with foodgrains stock of 76 million tonnes, as against the storage capacity of 71.4 million tonnes.

    To clear space, the government has allowed export of 2 million tonnes of wheat from central stocks and shipments are taking place steadily. Through private trade, over 1.5 million tonnes of wheat has been exported so far.

    Last year, the country had harvested a record 93.90 million tonnes of wheat due to good monsoon.

    Indian team to visit Iran on October 6 to clinch wheat export deal - The Economic Times
    Great spirits have always found violent opposition from mediocre minds. - Albert Einstein

  11. #31
    Senior Member ManojKumar's Avatar
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    I think India should attempt to do business like this to benefit its own trade deficit and conversly built good ties with Iran

  12. #32
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    Trading mistakes crash Indian stock exchange
    Friday, 05 October 2012
    Posted by Muhammad Iqbal


    MUMBAI: Mistakes by a local brokerage in placing orders worth $125 million briefly crashed India's National Stock Exchange on Friday, leading to a 15.5-percent fall in the main index and a suspension of trading.

    The exchange's Nifty index fell 920 points on Friday morning with shares in heavyweight financial stocks such as State Bank of India (SBI) and HDFC particularly hard hit.

    "The Nifty fall was on account of abnormal orders resulting in multiple trades at low prices," a statement from the exchange said. "The circuit filter got triggered and the market closed automatically."

    After the automatic suspension of 10 minutes, designed to ensure stability on the market and avoid wild fluctuations, trading resumed in line with global trends and India's other market, the Bombay Stock Exchange.

    Mumbai's Emkay Global Financial brokerage, which placed the erroneous trades, was later suspended from trading at the exchange and could face a large liability related to the 59 mistaken orders.

    NSE senior vice-president Ravi Varanasi said an investigation would be completed soon "into how orders were sent despite controls being in place for trading members."

    "But from what I understand, the event stems from a human error," Varanasi told AFP. He said that the NSE would decide when to lift Emkay's suspension after the investigation was completed.

    The trades were not cancelled and have gone through, an NSE spokeswoman told AFP. Analysts said the brokerage had likely sold shares at prices far lower than market prices. The trades could have been reversed by buying back the shares at higher levels.

    The Nifty closed the day down 0.70 percent at 5,746.95 points, while shares in Emkay sank 9.86 percent to 31.1 rupees on the Bombay Stock Exchange (BSE), which hosts more companies than the National Stock Exchange (NSE).

    Shares in State Bank of India, which fell 14.2 percent in morning trade, ended down 0.27 percent at 2,339.45 rupees.

    An Emkay spokesman declined to comment to AFP other than saying the company was "investigating the matter".

    Friday's incident was at least the third instance since April when trading on the National Stock Exchange has been hit due to incorrect orders, Dow Jones Newswires reported.

    This comes at a time when competition is set to intensify among India's stockmarket operators with the entry of the MCX Stock Exchange, which is set to start operations next month.

    Trading mistakes crash Indian stock exchange
    Great spirits have always found violent opposition from mediocre minds. - Albert Einstein

  13. #33
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    Indian industrial output rises in August 2.7%

    NEW DELHI: India’s industrial output picked up pace in August, official data showed on Friday, growing 2.7 percent from the same month a year earlier in a better-than-expected but still muted performance.

    The once-booming economy has been hit by a combination of high interest rates, Europe’s debt crisis that has slowed exports, and sluggish investment caused by domestic and overseas concerns about policy and corruption.

    Manufacturing, mining and electricity sectors grew 2.7 percent in August after shrinking 0.1 percent in July.

    “The still-weak industrial production momentum confirms industrial activity remains subdued and overall economic momentum muted,” Jyoti Narasimhan, economist at IHS Global Insight, said.

    The International Monetary Fund on Tuesday forecast India’s economic growth this calendar year would slow to 4.9 percent — its lowest level in a decade.

    Still, the August industrial output figure for Asia’s third-largest economy far eclipsed market hopes of a 1.1 percent rise.

    “This suggests that growth may have bottomed out, assuming external demand doesn’t worsen and the domestic reform progress is sustained,” said India chief economist for HSBC Leif Eskesen.

    The numbers “should be seen as the strongest evidence of economic recovery in India to date”, agreed Credit Suisse economist Robert Prior-Wandesforde.

    The Congress-led government of Premier Manmohan Singh is hoping the economy will pick up soon as a result of a recently announced string of reforms that ended years of policy paralysis.

    The government has eased foreign investment rules in retail, aviation and broadcasting and announced plans to invite more overseas investment into the insurance and pension sectors — steps welcomed by financial markets.

    “These reform steps are all welcome but from an economic standpoint there is not going to be any quick impact on Gross Domestic Product numbers,” Narasimhan told AFP.

    “Especially with the very, very weak external climate, growth looks like it will have to be domestically driven,” added the IHS economist, who is looking for full-year growth of 5.1 percent.

    Other analysts expect annual growth up to the low six-percent range — far below India’s stellar near double-digit expansion in some previous years.

    India’s new reformist finance minister P. Chidambaram, who took over the portfolio in July, has pledged to restart the nation’s “engine of growth”.

    The central bank will examine September price data due on Monday to see if inflation, running at a stubbornly elevated 7.55 percent, shows signs of receding even modestly to allow it to cut interest rates.

    Business leaders have been clamouring for rate cuts to boost consumption and investment.

    The inflation data will “clearly indicate in what direction the bank will be moving,” said C. Rangarajan, chairman of the Prime Minister’s Economic Advisory Council, adding the August industrial output numbers indicate “some turnaround”.

    Most analysts bet the bank, which next meets on October 30, will keep lending rates on hold until inflation shows a decisive downward move. It last cut rates in April after an aggressive 13 rate hiking spree.

    “If they do cut rates, it would be more of a pat on the back for the (government’s) reforms,” said Credit Suisse’s Prior-Wandesforde. afp

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  14. #34
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    Worst may be over for Indian economy: Reuters Poll

    India's growth slump has passed and the economy will gradually recover over the next year, a Reuters poll showed, but the rate of expansion for this fiscal year will still be the weakest in a decade.
    The poll of 35 economists, conducted October 1-10, showed India's gross domestic product probably grew 5.6 percent annually in the quarter just finished and will pick up speed slightly to expand 5.7 percent in the current quarter.

    Economic growth in Asia's third-largest economy probably bottomed out in the quarter to March, when it eased to 5.3 percent from a year earlier, the slowest in nearly three years.

    While weak demand from the West has hit Indian exports, the heaviest drag has come from government overspending and a lack of reforms needed to spur investment, a point made by ratings agencies Standard & Poor's and Fitch Ratings, which have threatened to downgrade India's sovereign credit rating to junk.

    To address those concerns, New Delhi last month announced long-awaited reforms such as raising the price of subsidised fuel to rein in the budget deficit and increasing foreign investment caps in the retail, aviation and broadcasting sectors.

    "These reforms will improve business sentiment and encourage domestic and foreign companies to invest in India, more than they would have otherwise have done, although (they) will not have a dramatically positive impact overnight on Indian economic growth," said Robert Prior-Wandesforde, the director of Asian economics at Credit Suisse in Singapore.

    The full-year growth rate for the current fiscal was also slashed in the Reuters survey to 5.7 percent from 6.3 percent in the July poll. If realised, that would be the weakest yearly rate of growth in a decade.
    Growth predictions for this fiscal year have now been cut in every poll since April last year and highlights the perilous state of an economy which once roared with near-double digit growth rates.

    Worst may be over for Indian economy: Reuters Poll

  15. #35
    Senior Member ManojKumar's Avatar
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    I think thismay be over Optamistic. We have to brace ourselves for rhe next year

  16. #36
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    I do agree that all evolving and growing economies will share the troubles in the rest of the world. China is no longer growing as fast. India will have its share to. The Europeans are looking at 6-10 years to recover. We will see how India will do.

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    India’s Wipro profits up by 24 per cent, beating forecasts

    BANGALORE: India’s third-largest software firm Wipro said on Friday that their second quarter net profit rose 24 per cent, beating forecasts, thanks to the outsourcing orders the firm secured despite global uncertainty.

    Net profit for the three months to September rose to 16.11 billion rupees ($301 million) from 13.01 billion rupees a year earlier, based on international accounting norms.

    Analysts had forecast net profit of 15.23 billion rupees, according to consensus poll by Dow Jones Newswires.

    Total revenue for the quarter rose 17 per cent to 106.20 billion, Wipro said in a statement to the Bombay Stock Exchange.

    The Bangalore-based company announced on Thursday that its non-technology operations would be separated into a new firm, allowing it to focus on its core business.

    Last month, India’s biggest outsourcing firm TCS posted a 44 per cent rise in quarterly profit, beating estimates, while earnings of Infosys disappointed investors with lower-than-projected revenue, even though profits increased.

    TCS and Infosys lead India’s flagship IT outsourcing industry, which carries out a wide range of jobs for Western firms such as answering calls from bank customers, processing insurance claims and software development.

    India, with its large English-speaking workforce, accounts for at least 50 per cent of the global outsourcing market.

    Most of India’s IT outsourcing firms say the outlook for the industry remains challenging because of uncertainty in their key US and European markets.

    India’s Wipro profits up by 24 per cent, beating forecasts | DAWN.COM
    Great spirits have always found violent opposition from mediocre minds. - Albert Einstein

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    Hyundai invests $300 million in India manufacturing


    MUMBAI: Hyundai Motor Co’s Indian unit will invest $300 million in a new engine plant and metal pressing shop, the company said on Thursday, to expand in the country’s fast-growing diesel car segment.

    Hyundai, India’s second-largest carmaker, is running its Indian operations at full capacity and has lost market share over the past year due to a lack of diesel models, which are popular thanks to government subsidies on the fuel.

    “This investment will help us meet the growing demand of diesel vehicles in India and reduce the waiting period,” Bo Shin Seo, managing director, Hyundai Motor India, said in a statement.

    The South Korean carmaker gave no details of the proposed engine plant’s capacity, or when it would start production.

    Hyundai said it was set to sign a memoradum of understanding with local authorities on Nov. 5 to make the investment at its sprawling production site in Chennai in south-east India.

    Hyundai invests $300 million in India manufacturing | DAWN.COM
    Great spirits have always found violent opposition from mediocre minds. - Albert Einstein

  19. #39
    Senior Member Neo's Avatar
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    India’s economic growth seen languishing near 3-year low



    BANGALORE: India’s economy probably expanded near its slowest pace in three years in the quarter to September, according to a Reuters poll, suggesting little signs of an early turnaround, despite reform steps taken by the government to lure back investors. Gross domestic product rose 5.4 percent year-on-year in the July-September period, slightly lower than the 5.5 percent increase in the previous quarter, and only just above the three-year low of 5.3 percent in the quarter to end-March, the median consensus of 39 consensus showed. Forecasts ranged from 5.0 percent to 6.2 percent. Asia’s third-largest economy is growing faster than many other countries, but the pace is way below the 9 percent growth that the government has targeted to provide jobs for a booming young population. Data on factory activity showed slowing global demand hurt exports and falling investments weighed on the manufacturing sector, which has been the biggest drag on overall growth in the quarter to September. “There have been no signs of an upturn in India,” said Andrew Kenningham, chief economist at Capital Economics. “Available data on industrial production and the PMIs point to little change in growth, while exports have been even weaker in the quarter to September. Overall, therefore, a small further decline in growth rate is most likely.”

    The government has launched a slew of initiatives to boost growth, including raising subsidised diesel prices and opening sectors like supermarkets to foreign players. However, it has since struggled to enforce the reforms and failed to break a deadlock in parliament over opening up the retail sector. “The relaxation of restrictions on inward investment will have no impact this year, and probably minimal impact in 2013,” said Kenningham. The central bank has so far rebuffed calls for interest rate cuts, saying prices are still rising too fast to risk loosening policy much, and it also wants the government to bring down a worryingly high fiscal deficit. reuters

    Daily Times - Leading News Resource of Pakistan
    Great spirits have always found violent opposition from mediocre minds. - Albert Einstein

  20. #40
    Senior Member Dash's Avatar
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    It seems that India may hover just above the erstwhile Hindu Growth Rate for quite some time. Which also means not much additional smackers to spend on key high end foreign defence purchases. Let's see as to how do they maintain their rising defence budget in such a fiscal decline.

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