The Monetary Policy Committee headed by RBI governor Urjit Patel started two-day deliberations today with industry and the government hoping for interest rate cut to spur growth which fell to 3-year low of 5.7 percent in the June quarter, while experts expect status quo.
Plan and Policy
Plan & Policy
The Union Cabinet is likely to approve setting up of the anti-profiteering authority under the Goods and Services Tax (GST) regime tomorrow.
Facing criticism from the Congress for asking Rahul Gandhi to postpone his visit to Amethi, the district administration on Monday said it was ready for the party vice-president’s three-day tour beginning Wednesday.
The Taj Mahal may be one of the seven wonders of the world, an Unesco world heritage site that draws millions of tourists from across the globe and earns the government crores in revenue, but not for UP’s Yogi Adityanath government. The Uttar Pradesh chief minister has often pointed out that the Taj, built by the Mughal emperor Shah Jahan, does not reflect India’s ancient culture.
Office space leasing in 8 major cities came down by 7 per cent to 18.26 million sq ft in January-September this year because of shrinking demand in all locations except Chennai, according to property consultant Cushman & Wakefield.
However, the consultant has predicted that office leasing will remain stable at 32 million sq ft in 2017 on strong demand for commercial space during the fourth quarter. Net absorption of office space stood at 19.63 million sq ft during January-September of 2016.
India’s ambitions to become a smartphone-making powerhouse are foundering over a lack of skilled labour and part suppliers along with a complex tax regime, industry executives say.
Prime minister Narendra Modi has championed a manufacturing drive, under the slogan ‘make in India’, to boost the sluggish economy and create millions of jobs. Among the headline-grabbing details was a plan to eventually make Apple iPhones in India.
India is likely to be the world’s fastest-growing large economy in the next 10 years, driven by digitisation, favourable demographics, globalisation and reforms, according to a report by global financial services major.
According to Morgan Stanley report, the trend line in India’s annual gross domestic product (GDP) growth has been accelerating to 6.9 per cent in 2000s, from 5.8 per cent in the 1990s, and this momentum is likely to continue in the next decade.
The Monetary Policy Committee of the Reserve Bank of India (RBI) is caught in a bind as it meets over the next two days to announce the fourth bi-monthly monetary policy on Wednesday. With growth in the last quarter falling below 6 per cent, there are calls for policy support — both monetary and fiscal. Rising prices, falling rupee and a looming Fed rate hike may, however, make the RBI to stand pat on interest rates.
The RBI would consequently reduce its growth forecast and also express concern regarding fiscal risks and the forward looking inflation trajectory, said economists.
The finance ministry is as anxious as industry about the RBI’s Monetary Policy Committee (MPC) meeting tomorrow. Moot question in the minds of policymakers in North Block is whether or not the central bank will oblige by a rate cut to boost investment. “The Reserve Bank of India’s (RBI) main reference index is inflation, which is well under the limit prescribed by itself. The scope is there. But will the RBI will go for the rate cut under the elbow room to pull the economy out of the faltering growth? It is doubtful.
After the government intervention to thwart circular trading in precious metals, silver jewellery exports have plummeted by 75 per cent in August. Industry insiders attributed the steep decline to round-tripping coming down after the government action.
This falling trend is a reversal of the steady growth in outbound silver shipments in the last six years. Silver exports had grown multifold to $4,021 million in 2016-17 from $574 million in 2010-11.