Russian Prime Minister Mr. Vladimir Putin apparently wants a job swap with the Russian President Mr. Dmitry Medvedev. Russia is going to the polls in March next year.  Russia under Putin would fiercely guard its national interests, observed the incumbent. Putin has already served two consecutive six-year presidential terms- the legally allowed maximum limit in Russia. He has cited the instance of the late U.S. President Franklin D. Roosevelt, who served four terms in office. It may be noted that Putin was instrumental in handpicking Dmitry Medvedev into presidency in 2008. While Putin’s popularity may well clinch the deal a third time for him, Medvedev's appointment as the next Prime minister would be determined by the ruling United Russia party's performance in the December 4 Parliamentary elections.

(Read more…)

Introduction

Geo political relations are increasingly being dictated by changing geo-economic paradigms. The latest in the news is the US Pak face-off over the Haqqani network. The Haqqani network has a 30-year long history as a guerrilla force. They are accused of running protection rackets, smuggling gemstones, and carrying out kidnappings for money. The Haqqanis have been blamed for a series of deadly attacks in Kabul in recent times, including the assassination of the former Afghan president Burhanuddin Rabbani, who was overseeing the Taliban peace talks. The Haqqani network meanwhile has denied killing Burhanuddin Rabbani.

(Read more…)

The news….

Public outrage and staunch opposition from political parties forced the Planning Commission to revisit the latest poverty indicators submitted by it before the Supreme Court- the estimates were prepared on the basis of the Tendulkar Committee report. The Planning Commission had informed the apex court that the poverty line for urban and rural areas in India could be provisionally placed at Rs. 965 per capita per month and Rs. 781 per capita per month respectively. This means that those who are earning over Rs. 32 a day in urban areas and over Rs. 25 a day in rural India respectively would be barred from the Below Poverty Line (BPL) benefits. The Suresh Tendulkar Committee’s recommendations on calculating poverty were reportedly based on the Food and Agriculture Organisation (FAO) norm, which specifies that 1,700 calories are enough to sustain an individual. The Planning Commission’s submission was with respect to a Supreme Court directive to devise a proper criterion for getting a Below Poverty Line (BPL) card.

(Read more…)

Palestine has been trying hard to whip up international support for its membership bid at the UN Security Council. The United States is all set to veto the Palestinian motion, which is indicative of the international political equations of America in the Middle East. Geopolitical interests have ensured a fair amount of meddling from the international bigwigs in the political process in the region. Russia, China, India, South Africa, Brazil, Lebanon, Nigeria and Gabon are some of the countries which have extended support for the Palestinian statehood bid.

(Read more…)

With China now ranking as the world’s second-largest economy, its state-guided development model is gaining increasing appeal among other emerging economies in Asia, Africa and Latin America. The spectacular rise of China’s current economic system – which I term “Sino-capitalism” – therefore presents huge questions for the existing global economic order, long dominated by Western free-market models that have lately been badly shaken by the ongoing economic strife in the U.S. and Europe.

(Read more…)

‘YIELD’ was what the citizen on the street was forcing on the government; relenting was the only action government had to perform. Looks like it has decided to pay heed and adopt a much softer and sensible approach.

(Read more…)

The North African nation of Libya is currently going through a gory civil war- a mid-February 2011 uprising against Muammar Gaddafi's 42 year old regime has claimed over 50,000 lives. The present whereabouts of the Colonel is unknown-his family has received shelter at Algeria on humanitarian grounds. Muammar Gaddafi is the third dictator in the Arab world, after Tunisian president Zine el Abidine Ben Ali and Egyptian counterpart Hosni Mubarak, to face the ire of a people’s uprising. The Libyan people’s movement against the autocratic Gaddafi regime has received the support of NATO (representing the North American and European nations), which may assure it a certain degree of sustainability. With the interest of so many nations at stake, neighbouring Algeria, the largest country in Africa, is closely watching the developments. Some even suspect al-Qaeda’s hand in sustaining the Libyan revolution.

(Read more…)

London has been scathed by widespread rioting in the past fortnight-what started out as a peaceful local protest in the north London suburb of Tottenham on 6th August 2011, against the shooting of a 29-year-old   Mark Duggan (who was gunned down by police under strange circumstances) soon flared up into rioting and looting across London, and other major cities in Britain. The last time the city witnessed widespread racial rioting was in the 1980s. Interestingly Tottenham is only five miles away from the London 2012 Olympic site. Over 1,000 people have been arrested in London alone, for rioting, and over 500 for violence, disorder and looting.  Teenagers have been booked on charges of violence, theft, robbery, possession of weapons and police assault; the youngest person arrested is an 11-year-old boy. Police are even scanning images of suspected rioters sent by the public through e-mail. Violence had escalated to such a level that organized gangs have even bombed police stations. The cost of the ensuing damage is estimated to be around $160 million.

(Read more…)

India has been hit by one of its worst doping scandals till date; recently, eight track and field athletes tested positive for banned anabolic steroids. Front ranking athletes, like runners Ashwini Akkunji, Mandeep Kaur, Sini Jose, Jauna Murmu, Priyanka Panwar and Tiana Mary Thomas, shot-putter Sonia and men's long-jumper Hari Krishnan Muralidharan has been tested  positive by the National Anti-Doping Agency (NADA).   Mandeep and Jauna have also failed tests conducted by the International Association of Athletics Federations (IAAF). All of them have been provisionally banned. Ashwini, Mandeep and Sini were members of the women's 4×400 metres relay team, that won the gold medal in last year's Commonwealth Games and the Asian Games. Ashwini was also the gold medallist in the 400 metres hurdles at the Asian Games. Six of the tainted athletes now face a maximum two-year ban, after their confirmatory 'B' samples also tested positive, and are out of contention for a 2012 Olympics berth.

(Read more…)

The Indian economy has expanded at a rapid rate during the current decade and the corporate sector has been the biggest contributor in this growth story. A significant feature of this growth is the increasing integration of the Indian corporate economy into the global business environment. While the Ministry of Corporate Affairs is working towards reforming the enabling environment for effective functioning of the corporate sector, simultaneously, there is a strong argument for fostering sensitivity to community and social concerns as a part of the broader objective of inclusive growth. The Ministry is also encouraging the corporate sector to take into account the concerns of stakeholders beyond their investors and to demonstrate that responsible business governance can generate value for all the stakeholders. In the long run, this collaborative effort between the government and the corporate sector will become a key multiplier in helping the ‘Aam Aadmi’ participate in the India’s growth story.

(Read more…)

The sovereign debt crisis in Greece is again making headlines and Greece has once again avoided default by a whisker. The European Union (EU) and the International Monetary Fund had set June 30, 2011 as the deadline for Greece, to pass the latest €28.4bn austerity package, which includes tax raises, spending cuts and privatizations, to be implemented within 2015. It was imperative for Greece to pass the austerity package to avail the fifth installment of the €110bn worth bail-out deal agreed in May, 2010. Greek Prime Minister George Papandreou won two crucial votes on 29th June and 30th June, 2011; the first one involved the main austerity bill, while the second one was important for implementing the concerned measures. Greece is in for a €12bn cash injection, which completes the bail-out amount of €110bn.

(Read more…)

The annals of the UPA-II regime can be rightfully termed as a scam studded one - take your pick, the biggies include the Common Wealth Games (CWG) scam, the Adarsh controversy and the 2G scam.

(Read more…)

The shape of the global food industry is constantly changing and evolving, thereby reinforcing the key themes of health, convenience and value. The global processed food industry is estimated to be valued at approximately EUR 2.5 trillion, and accounts for three-fourth of the global food sales. Despite the large size of the industry, only six per cent of processed foods are traded across borders, as compared to 16 per cent of major bulk agricultural commodities. The US, EU and Japan together account for over 60 per cent of total retail processed food sales in the world.

(Read more…)

With a population of 1.2 billion, India as a market, provides the strongest demand for housing as compared to any other country in the world. Given such a high demand, one would generally expect the housing sector, and the associated real estate sector, to perform very well. However, we are seeing that the Indian housing and real estate companies are going through a rough patch! In spite of residential apartments in the range of Rs 60 lakh to Rs 1 crore, upwards, being abundantly available, the common man in the country is unable to have access to apartments in the range of Rs 2.5 lakh to Rs 15 lakh! Especially, with India having a majority of middle and lower income groups, more housing is required in the middle and lower segment rather than the premium segment; existence of such disparity has been a serious concern! Why are real estate companies unable to develop ‘lower end’ apartments? What are the challenges faced by the Indian housing and associated real estate sector? An insight…

(Read more…)

Assembly elections were held in five states of Assam, Kerala, Puducherry, Tamil Nadu and West Bengal, this year, in the months of April and May; the results were declared simultaneously on 13th May, 2011. The  poll verdict was more important for the ruling Indian National  Congress(INC) than for the Bharatiya Janata Party(BJP)  in the context  of national politics, as the former has got much better representation than the latter, in all these states.

(Read more…)

India’s national carrier Air India has been incurring financial losses since 2007, primarily due to the global economic downturn, operational inefficiency, and certain governmental policies, which failed to promote the best interests of the company.

(Read more…)

Over the last few months there has been a strong movement, especially in the state of Andhra Pradesh, against the microfinance industry; more so fuelled by the political interests backed by petty money lenders who again come in with strong political connections and support.

(Read more…)

Sathya  Sai Baba, the popular  Indian spiritual guru, left for his heavenly abode on 24th April, 2011  at the age of 84. People from all walks of life attended the last rites of Sai Baba. The list of dignitaries included the Prime Minister, Manmohan Singh, Congress president Sonia Gandhi, Gujarat Chief Minister, Narendra Modi, Union Ministers S. M. Krishna and Ambika Soni, Sachin Tendulkar and former Srilankan cricketer Arjuna Ranatunga. Around 500,000 people were estimated to have attended the burial, which was accorded the status of a state funeral by the Andhra Pradesh government.

(Read more…)

Japan was struck by a ferocious 33 feet tsunami, triggered by an earthquake of magnitude 9.0, on 11th March 2011-around 6,500 people have been confirmed to be dead from the natural disaster, and 10,300 have been reported to be missing. Some 390,000 people have been rendered homeless. This enormous calamity brought Japan to the brink of a nuclear disaster, when overheating problems were detected in atleast three of its nuclear power plants- the Fukushima Daiichi power plant, the Onagawa power plant and at another nuclear plant in Ibaraki district, raising fears of an uncontrolled radiation leak. An explosion has occurred in a reactor at the Fukushima Daiichi power plant, though the emission of radiation is reported to be under control.

(Read more…)

The renowned economist, Muhammad Yunus, who put Bangladesh in the world map, when he shared the Nobel Peace Prize 2006 with Grameen Bank, his pet microfinance initiative, towards financial inclusion of the marginalized Bangladeshis, has been accused of overstaying in his office by the apex banking authority and the judiciary in Bangladesh.

(Read more…)

The Rail Budget was presented by Railway Minister, Mamata Banerjee on 25th February, 2011 in the midst of growing inflationary concerns and rising interest rates. She has opted for a populist budget, with an eye to the upcoming Assembly elections in West Bengal.

(Read more…)

WikiLeaks, the whistle-blowing website has become the centre of a global debate, and has shaken governments and corporate houses worldwide. It is currently being pilloried for its role in the release of thousands of confidential messages about wars in Iraq and Afghanistan and American diplomacy everywhere; on trade and corporate transparency, on ecology, corruption, and Internet filtering etc.

(Read more…)

Budget 2011 is expected to focus on issues that will facilitate managing fiscal deficit, enhance hard and soft infrastructure creation, poverty elevation, foster inclusive growth, control inflation, preserve consumer sentiments and spur overall growth in the economy.

(Read more…)

International freight movement over the sea has been facing rising threats from piracy attacks off the Somali coast in recent times; world bodies like the International Maritime Organization and the World Food Programme have voiced their concern about the same.

(Read more…)

The Tunisian Republic in North Africa has been witnessing violent demonstrations and riots by its residents, since December 2010 till January 2011, against the authoritarian rule of its President Zine El Abidine Ben Ali.

(Read more…)

Leading public sector oil marketing companies, the esteemed Navratnas - Indian Oil, Bharat Petroleum and Hindustan Petroleum – have increased petrol prices by Rs 2.50-Rs 2.54 per litre from 16 January 2011.

(Read more…)

India’s food inflation clocked 18.32 per cent on 25 December 2010 – nearly the highest in the year-propelled mostly by a hike in onion, vegetable and milk prices. Onion and vegetable prices rose by over 82 per cent and 58.85 per cent respectively, in the concerned period. Wholesale food inflation stood at 14.44 per cent in the week ending 18 December 2010.

(Read more…)

An imminent oil crisis stares India in the face after a December 2010 Reserve Bank of India (RBI) directive stopped facilitating payments for crude oil imports from Iran, under the Asian Clearing Union (ACU) framework. Iranian oil imports cater to around 12 per cent of the Indian crude oil requirements. Following the RBI order, payments for goods imported from Iran cannot be made either in dollar or the Euro.

(Read more…)

The United Nations Climate Change Conference was held in Cancun, Mexico from 29 November to 10 December 2010. The convention included the sixteenth Conference of the Parties (COP), the sixth Conference of the Parties serving as the Meeting of the Parties to the Kyoto Protocol (CMP), the thirty-third sessions of the Subsidiary Body for Implementation (SBI) and the Subsidiary Body for Scientific and Technological Advice (SBSTA), the fifteenth session of the AWG-KP and the thirteenth session of the AWG-LCA. The United Nations Framework Convention on Climate Change (UNFCCC) is an international treaty on containment of global warming.

(Read more…)

French President Nicolas Sarkozy has sealed business deals worth around Euro 13.3 billion in nuclear power (including five civil nuclear power agreements), civil aviation and defence alone, during his December state visit to India.

(Read more…)

The July 2010 Annual report of the Ministry of Labour and Employment has observed that India’s ‘impressive’ economic growth in the recent decade has not resulted in a commensurate growth in its employment; the fruits of development have failed to ‘trickle down’ to the bottom of the pyramid, necessitating the need for an inclusive growth policy. Reflecting the same concern at the inauguration of the 43rd session of the Indian Labour Conference, the apex body for discussing key policy issues related to labour and employment, Prime Minister Manmohan Singh said that, some Indian labour laws needed amendment as they were contributing to labour market rigidity and constricting employment growth.

(Read more…)

FI investments are generally considered to be ‘hot money’, ie, they could get out of the country at the same speed at which they came into the country. On the other hand, large FII inflows also indicate that India is an attractive destination for global investors. In such a scenario, is the large scale FII inflow, good or bad for the Indian economy? This article also explores a second question as to where such FII investments into India have actually been channeled and the implications.

(Read more…)

Parliamentary proceedings have been stalled since the beginning of the winter session, as the Congress-led UPA government has refused to give in to the opposition demand for a Joint Parliamentary Committee (JPC) probe into the 2G scam. Finance Minister Pranab Mukherjee recently announced that a Parliamentary Public Accounts Committee (PAC) will examine the Comptroller and Auditor General’s (CAG) 2G scam report and necessary governmental action will be based on that; the PAC is headed by a ‘leader of the Opposition’. The Central Bureau of Investigation, the Enforcement Directorate and the Tax department are also investigating the 2G spectrum allocation scam.

(Read more…)

 

The President of the United States of America, Barack Hussein Obama’sfour day state-visit to India during November 2010 has turned a new leaf in Indo-US relations.

(Read more…)

 

The Adarsh Cooperative Housing Society scam in south Mumbai’s posh Colaba area has turned out to be an embarrassing issue for the ruling Congress party. The who’s who including retired and serving Army personnel, legislators, bureaucrats and even an ex-Minister are beneficiaries in this 31-storey high-rise, which was originally meant to be a six-storied structure for housing ‘Kargil war-heroes and widows’.

(Read more…)

 

The much hyped NAC recommendations made at the sixth National Advisory Council (NAC) meeting held on 23 October 2010 involves the issue of ‘legal entitlement to subsidised food’; the food security net has been designed to exclude the top 15 per cent of the economically well-off rural population and 60 per cent of the urban elite. The NAC recommendations will come under the scrutiny of the Union Government before being incorporated as part of the Food Security Bill. The bill will be implemented in a phased manner after its enactment.

(Read more…)

 

A Reserve Bank of India (RBI) panel including Kumar Mangalam Birla, Shashi Rajagopalan, and UR Rao, RBI deputy governor KC Chakrabarty and headed by financial expert YH Malegam has been appointed in October 2010 for conducting a comprehensive study of the Indian microfinance industry.

(Read more…)

 

Like any other risky decision, investment in stock market, especially long-term, is guaranteed to go through lots of turbulence. It is about time several myths, which are believed like a folklore, need to be revisited and revalued their usefulness. Read on for an in-depth insight…

(Read more…)

 

In 1528, a mosque was constructed at the birthplace of Lord Rama in Ayodhya after the alleged demolition of a Ram temple therein. It has since then been a bone of contention between the Hindu and Muslim communities resident therein. In 1859 the British administration segregated the places of worship within the disputed mosque (inner court to be used by Muslims and the outer one by Hindus). In December 1949 a Ram idol was installed in the premises, which lead to two civil suits in 1950; the Central Government locked the disputed area.

(Read more…)

 

India, currently Asia's third-largest economy, has been one of the prime drivers of the Asia led global economic recovery, recording around 9 percent growth rate in the last quarter. High growth figures have however failed to diffuse the inflationary trend faced by India particularly in food inflation, since 2009. [Inflation is a situation of rising prices accompanied by a consequent decline in purchasing power]. India’s sustained food inflation has been attributed to a combination of structural and cyclical factors.

(Read more…)

 

In a landmark corporate-academia tie-up, the first of its type across all IIMs, premier brokerage house ‘Inditrade’ promoted by JRG securities Ltd has entered into a unique engagement with the Indian Institute of Management, Kozhikode. The firm has tied up with the students' Finance Interest Group at the Institute, Financially Yours, and engaged 40 post-graduate management students at the institute to perform equity research for the company.

(Read more…)

 

India’s apex banking authority, the Reserve Bank of India (RBI) recently released its statutory Annual Report for 2009-10. The report provides an analytical assessment of the major macro-economic issues faced by the country in 2009-10 and lists the policy measures undertaken to attain the set ‘macro-financial objectives’.

(Read more…)

 

The Union Government has refused environment clearance to Vedanta Resources’ $ 1.7 billion bauxite mining project at the Niyamgiri hills in Orissa, on August 24, 2010, after a protracted legal battle - bauxite is the prime raw material for production of industrial aluminum.

(Read more…)

 

The National Rural Employment Guarantee Act (NREGA) was supposed to bring about a radical change in the lives of rural labourers. However, it has come under the scanner for massive misappropriation of funds.

(Read more…)

 

India’s biggest business conglomerate, the Tata Group, founded in 1868 by Jamsetji Nusserwanji Tata has launched a global hunt for a successor to its current septuagenarian chairman, Ratan Naval Tata.
The five member selection committee formed for the purpose comprises NA Soonawala, former Vice Chairman of Tata Sons; Cyrus Mistry and RK Krishnakumar, Senior Group Directors; Shirin Bharucha, Lawyer and Lord Kumar Bhattacharya, a British businessman.

(Read more…)

 

Things are about to get expensive for Indian outsourcing firms doing business in the United States. The Indian information technology industry has called the recent hike in H1-B and L1 visa fees by the US highly discriminatory, and said that if the US continues with its discriminatory policies against Indian IT firms, they will move on to new markets.

(Read more…)

 

The multi-event international sporting extravaganza, the Commonwealth Games (CWG), scheduled to be held in New Delhi from October 3-14, 2010, has turned out to be a virtual Pandora’s Box by virtue of its never ending string of financial irregularities and corruption.

(Read more…)

 

The L’Oréal family feud, popularly known as the “Bettencourt affair”, between its 87 years old billionaire heiress, Liliane Bettencourt and her estranged daughter, 57 years old Francoise Bettencourt-Meyers has spilled over to embroil the political career of the French President, Nicolas Sarkozy.

(Read more…)

 

The Indian rupee has got a new face, a new identity with the creation of a new symbol that will distinguish it clearly from other currencies, specially from the ones that also call themselves “rupee” or “rupiya”. However much this is good news, it is still not time to celebrate, this is just about the first few steps that the rupee is taking towards regaining the fame, reputation and wide usage that it once enjoyed.

(Read more…)

 

Rolling back of expansionary fiscal policy measures (initiated in response to the US generated global financial crisis) and rationalization of the existing pricing and subsidy structures (in a bid to augment economic efficiency) have been amongst the cornerstones of the 2010-11 Union Budget proposals.

(Read more…)

 

Improvement of social infrastructure through investment in education, health care and rural income generating schemes have been among the pet projects of the Congress led UPA government, who now want the commercial banks to pass on the benefit of low cost deposits to students, in the form of low priced educational loans.

(Read more…)

 

Desperate to pull down the budget deficit from a 16-year high, the Prime Minister, Manmohan Singh has fired another un-populist salvo for the masses in the form of oil price deregulation, which triggered off a nationwide strike on 5th July 2010, by opposition parties.

(Read more…)