Read onThe Indian economy is expected to post a robust growth for the fourth straight year, expanding by an accelerated 9.2 per cent in 2006-07 as against 9 per cent in the previous fiscal.
The acceleration in growth during 2006-07 is driven by continued momentum in the services and manufacturing sectors, growth of which are expected to be in double-digit figures, the RBI said in its macro-economic and monetary developments review-2006-07 on Monday.
what does he mean by the red bolded part? very interesting and thoughful interview.the quality of implementation in both meeting time targets and money targets must vastly improve at the State level and more importantly at the sub-State level, district level, and even at the panchayat union level.
Take, for an example, the road sector, I can provide at an average about 3 or 4 crore rupees per km. But the quality of the National Highways and State Highways built at a cost of nearly 4 crore rupees per km turns out to be of different standards. I am afraid the investment becomes optimum. It does not get you the return that it should get. If we address these critical deficiencies, I have no doubt in my mind that we can aim [for] the 10 per cent growth rate and beyond it
The critical thing is supply side. Neither monetary nor fiscal measures can directly increase production. It is totally dependent on supply and demand. We have a supply and demand mismatch in pulses and edible oil. We had a supply-demand mismatch in wheat last year. If these supply and demand mismatches are triggering inflation, the only way, I repeat the only way, is to vastly increase the production of pulses, wheat, and oil seeds. That is the question which must be addressed by Ministry of Agriculture, Food, and other Ministries
Matsushita Electric Works Ltd. (6991.T: Quote, NEWS , Research) said on Monday it had bought an 80 percent stake in India's Anchor Electricals for 50 billion yen ($420 million), the Japanese company said on Monday.
But unlisted Anchor said in a statement 50 billion yen amounted to 20 billion rupees, or $480 million, but did not say what exchange rate it had used.
The deal, the biggest by a Japanese firm in India, is expected to help Matsushita Electric Works, which makes building materials and lighting equipment, make 15 percent of its overseas sales from India in about five years, a Matsushita official said.
Osaka-based Matsushita Electric Works, which aims to boost its overseas sales to 320 billion yen ($2.7 billion) by the year to March 2011 from 222 billion yen in 2005/06, said the investment was fully self-financed.
Matsushita Electric is a unit of Matsushita Electric Industrial Co. Ltd. (6752.T: Quote, NEWS , Research), the world's largest consumer electronics maker that sells Panasonic and National brands of televisions and sound systems in India.
Mumbai-based Anchor is India's top maker of electrical construction materials such as lighting fixtures and electric wires, with a market share of over 60 percent in an industry growing at about 30 percent a year.
http://www.telegraphindia.com/1070426/asp/business/story_7699674.aspThe rupee rallied past 41 per dollar for the first time in nine years on Wednesday, buoyed by robust capital inflows and exporters who hedged against further appreciation.
The rupee ended at 40.91, having traded as high as 40.88 — its strongest since May 1998. The gains follow a rise of more than 1 per cent on Tuesday, when it closed at 41.18.
India's gross domestic product has topped $1 trillion, thanks to a strengthening rupee, making it the 12th country to achieve the milestone, Credit Suisse said on Thursday.
"Indian GDP at the current price level is 41 trillion rupees. With the rupee appreciating to below 41 against the US dollar, yesterday was the first day for the economy to be a trillion dollar economy," the Swiss investment firm said in a note.
The rupee, which is trading around 40.76 to a dollar, has appreciated about 8.4 per cent this year and is up 15.4 per cent from a three-year low of 47.04 in July last year.
Stock markets in eight out of 10 countries had risen in the one year after their economies first crossed $1 trillion, Credit Suisse said.
However, India's $944 billion stock market should probably drop because of slower earnings growth for sectors such as autos, banks and cement, before picking up as inflows pick up into fast growing economy.
"Given our outlook... it is likely to go down again in the near future before it sustainably stands above this mark," it said, referring to $1 trillion.