Page 151 - Indian Economy

Convergent growth

Making lower-growth states part of a national value chain is an imperative, but difficult because of political rivalry

Govt lowers borrowing target for FY23; to borrow Rs 5.92 trn in H2

A day after doling out Rs 44,762 crore for free ration to poor, the government on Thursday cut its market borrowing target for the current fiscal by Rs 10,000 crore in signs of buoyant tax collections. In a statement, the finance ministry said the government will do total borrowing of Rs 5.92 lakh crore during October-March period of the current fiscal, including from issuance of its maiden Sovereign Green Bonds of Rs 16,000 crore. The government had in Budget for 2022-23 projected a gross market borrowing of Rs 14.31 lakh crore. Of this, the government decided to borrow Rs 14.21 lakh crore during 2022-23. "Accordingly, the balance amount of Rs 5.92 lakh crore (41.7 per cent of Rs 14.21 lakh crore) is planned to be borrowed in the second half of the fiscal year 2022-23 through dated securities, including Rs 16,000 crore through issuance of Sovereign Green Bonds (SGrBs) as per the announcement made in the Union Budget 2022-23," it said. The government will continue to exercise ...

PM to inaugurate world's first CNG terminal in Gujarat's Bhavnagar

A public-private partnership (PPP) model will be used to create the CNG terminal project, and Gujarat Maritime Board (GMB), which now oversees the Bhavnagar Port, would be a partner in the project

Sebi to allow confidential pre-filing of IPO documents in Sept 30 meet

The Securities and Exchange Board of India (Sebi) is set to allow confidential pre-filing of offer documents to safeguard sensitive business information

India signs deal with Armenia for export of missiles, weapon systems

Armenia is also set to get anti-tank rockets as well as a range of ammunition from India under the bundled deal

India's CAD may have breached 3% of GDP in Q1 on surge in imports

Analysts peg full-year figure at $120 bn, but say it will be lower as proportion of GDP than FY13 levels

How is the Indian economy really doing?

All the heady optimism has overlooked the vulnerable state of the macro-economy. Caution, not complacency, is the more appropriate sentiment for now

RBI policy: Here is how a repo rate hike can affect your finances

If RBI increases the repo rate, the cost of borrowing by banks also rises, which subsequently makes taking loans from banks costlier

India's potash facing demand destruction as world reels from high prices

Potash consumption will probably fall to 3 million tons in the year through March 2023 from 5 million a year earlier

Hawkish Fed may prompt Reserve Bank to deliver a 50-basis-point hike

The RBI's monetary policy committee (MPC) has already hiked the key policy rate by 140 bps since May to 5.4%

India rules out tax policy changes for inclusion of bonds in global indices

The government doesn't plan to waive capital gains taxes, and it's concerned that foreign inflows will increase the volatility of local markets

Oops! Wrong Hyundai. Govt's industrial policy misfires again with PLI gaffe

Picking the wrong Hyundai is just embarrassing. Going down a protectionist path reminiscent of the country's own, impoverished socialist past is the bigger folly

MPC meeting: Prudent policy path need of the hour

RBI should review its currency management

Only request to PM Modi is to stop rupee from scoring century: Congress

?? The Congress on Tuesday attacked the Centre over the depreciating value of the rupee against the dollar and said the only request to Prime Minister Narendra Modi is to stop the rupee from scoring a century. The rupee appreciated 37 paise to 81.30 against the US dollar in early trade on Tuesday while consolidating in a narrow range and settling 9 paise higher at 81.58 (provisional) against the US dollar on Tuesday. Addressing a press conference at the party headquarters here, Congress spokesperson Supriya Shrinate said for the first time in history, the rupee is racing fast towards 82 against the dollar. "With Modi Ji's blessings, the rupee has become the weakest in history and he who claimed (before coming to power) the fall in the value of rupee is directly linked to fall in prime minister's credibility must realise his own credibility is in a bottomless pit," Shrinate said. Exactly a year ago, in September 2021, the value of the rupee was 73 against USD 1, which has now increa

Even at $100 bn, FDI may not be sufficient to finance ballooning CAD

CAD is expected to hit a decadal high of 3.8% of GDP, or $130.5 bn; to make matters worse, FDI inflows expected are on gross basis and net inflows would be much lower than $100 bn

'India has fairly large forex reserve to deal with current situation'

Economic affairs secretary Ajay Seth on Tuesday dismissed the concerns over depletion of forex reserve as "overblown" and said India has fairly large reserve to tide over the current situation. Foreign exchange reserves were down for a seventh continuous week, dropping to USD 545.65 billion on September 16. The reserves, which have been dipping as the central bank deploys the kitty to defend the currency amid a pressure caused majorly by global developments, had declined by USD 2.23 billion to USD 550.87 billion in the previous week. "There has been a depletion as inflows have come down and trade deficit is higher...I don't see this as a concern, India has fairly large reserves to tide over this situation," Seth said. After hitting a record low at 81.67 against dollar on Monday, the rupee recovered on Tuesday and closed at 81.58 against the greenback. Finance minister Nirmala Sitharaman on Monday had said "due to the strength of our microeconomic fundamentals, rupee is holding out

CAD may jump over 5% of GDP in Q2FY23, relief likely in the next fiscal

The current account deficit may have widened to 3.4% of the gross domestic product in the first quarter against a surplus of 0.9% a year ago

Govt bans mapping and export of sensitive locations under data regime

The central government has released a list of economic and national security-related strategic and sensitive locations that cannot be mapped and exported

Top headlines: Car makers eye pre-Covid profits, Air India's market share

Optical fibre cable (OFC) manufacturers are bracing to meet a multifold increase in fiberisation, aggressively tap global markets to power 5G services, and cope with demand from fibre-to-the home

Robust demand for luxury products exposes widening inequality in India

Consumer-goods makers are reporting robust demand for items priced nearly $2,000 in a nation where per-capita income is just a tad above that level