No Case for Complacence
Though restricted to a single day, the 1625-point collapse of the Sensex on 24 August 2015, which was the largest single-day decline in six years, appears to be a signal that all is not well with the Indian economy. More…
The Future of Public Banking
At the end of July, Finance Minister Arun Jaitely placed a supplementary demand for grants in Parliament, which included Rs. 12,010 crore year to recapitalise public sector banks by enhancing their equity capital. This demand for recapitalisation funds was to…
Black Notes in the Stock Market
On 27 July, 2015 the BSE Sensex dropped by 551 points relative to its previous closing value. The index fell by a further 102 points the subsequent day. Such single-day declines need not be a cause for concern. The stock…
Why the Fight for a GST?
The Constitution (122nd Amendment) Bill, 2014, that, if passed, would introduce a Goods and Services Tax (GST) system in India, faces a still uncertain future because of opposition in the Rajya Sabha, the upper house of the Indian Parliament. The…
The Internet in “Digital India”
Among the initiatives launched with much fanfare by the NDA government is the one titled “Digital India”, which is slated to use high speed internet as a core utility and provide citizens entitlements, documents and a host of services on…
The Search for India’s Bulky Middle
For reasons not always well established, the middle class in modern societies is viewed with favourable eyes. Defined in terms that are often subjective, that group is seen as directly or indirectly underlying social stability and driving growth. Based on…
Great Dream of Prosperity
Over much of the last decade and more, the stock market had provided advocates of reform a convenient indicator of economic health. This was because there were long periods during that decade when real economic growth tallied with stock market…
Looking Back at Debt Relief for the Germans
In the ongoing Eurozone drama, the sovereign debt held by Greece is the crux of the issue. That hapless economy has seen its debt to GDP ratio increase from around 120 per cent in 2010 to nearly 180 per cent…
India’s Foreign Exchange Hoard
For many years now consecutive governments have pointed to India’s comfortable foreign exchange reserves as evidence of the positive effect that economic reform has had on India’s external sector. On June 12, 2015 foreign exchange reserves stood at a comfortable…
The Beleaguered Indian Farmer
India’s beleaguered farmers are facing another threat to what is now a tenuous livelihood. That threat is the real prospect of a poor Southwest monsoon that would substantially reduce agricultural production over crop year (July to June) 2015-16. In its…