Oct. 30 – Indian Prime Minister Manmohan Singh said during an interview that India and China have agreed to work together to deal with the financial crisis, reports the Indian Express.
Mr. Singh was recently in Beijing to attend the Asia-Europe (ASEM) Summit that brought together world leaders to discuss the steps to be taken to address the effects of the global credit crisis. It was the first time that a high-ranking official from India would attend the summit.
On the sidelines of the event, Mr. Singh had meetings with German Chancellor Angela Merkel, Chinese President Hu Jintao, President of Mongolia Nambaryn Enkhbayar, President of Bulgaria Georgi Parvarov, in addition to Italian and Vietnamese Prime Ministers Romano Prodi and Nguyen Tan Dung. Continue reading
Oct. 30 –Indian apparel exporters have been forced lay off workers as export demand from United States and European garment stores slowdown due to the global credit crisis.
?Among the U.S. stores with European branches, Steve & Barry's and Mervyns have declared bankruptcy. Pacific Sunwear closed 150 stores while Lane Bryant, Fashion Bug and Catherines are deciding to cut out 150 outlets. In addition, Foot Locker is also removing 140 stores while Ann Taylor has decided to slash 117 outlets. ??Some of the United State’s top garments retailers have decided to scale back operations. These include: Eddie Bauer, Cache, Talbots, J Jill, Gap Inc, Foot Locker, Goodbye Levitz, Home Depot, Macy's, Pep Boys, J C Penney, Lowe and Office Depot. Continue reading
Oct. 30 – The World Trade Organization’s (WTO) Director-General says that there can be no new agreement on the world’s financial order without the cooperation of emerging economies like India, China, Brazil, Indonesia and South Africa.
“As Europe and North America face an economic slowdown, the Emerging Economies of Brazil, India, Mexico, China, Egypt, Indonesia and South Africa continue to grow and they continue to grow in large measure because of trade….In this ever more interconnected world, prosperity in India, China, Brazil is very much in Washington's interest.” Lamy said in a speech he made at Stanford University on October 27 and posted on the WTO website.
The emerging economies are significant to the United States because exports are contributing to GDP. On annualized basis, export and slowing imports contributed 2.9 percent of the U.S. GDP. Continue reading
Oct. 28 – India’s parliamentary standing committee on Law and Justice is proposing that the Supreme Court and High Courts charge higher fees for corporations settling disputes while fees those who are poor and illiterate should be levied, reports The Times of India.
In a scenario when the judicial system is clogged by the huge number of cases, preference to corporate cases that too on minimum court fees may amount to taking away the time meant for the common man, the Committee's chairman E M S Natchiappan told The Times India.
"Early hearing and disposals of cases by the courts in corporate cases only delay the cases of ordinary citizens as they take valuable court time within minimum court fees, therefore, there is a strong case for a differential court fee for the corporate sector," said Natchiappan. Continue reading
Oct. 24 – India's technology companies are feeling the heat from the global economic meltdown. "Our outlook is cautious in the near term given the extent of strain on the global economy," Azim Premji, chairman of Wipro Ltd. told the Wall Street Journal. Premji is pessimistic despite a sharp weakening of the Indian rupee, which helps tech companies that earn most of their revenue overseas.
A far cry from the 40 percent growth in revenues technology companies saw in the past few years, Tata Consultancy Services, India's largest IT company by revenue said revenue growth fell to 25 percent. Wipro's revenue on the other hand rose 36 percent on a year to your basis. Continue reading
Oct. 23 – Like most nations, India is not an insular economy, it will be affected by the global economic meltdown. Reaffirming his stance, that India's strong fundamentals will prevent it from going under, Prime Minister Manmohan Singh sought to convince foreign investors and the Indian people that although India will face a temporary slowdown, the economy will return to faster growth when the situation stabilises. Singh's statement came to parliment just after the Reserve bank of India cut its key short-term lending rate by one percent to eight percent. The prime minister also promised that inflation would come down in the next two months. Continue reading
Oct. 22 – Enroute to the Asia-Europe summit to be held in Beijing later this week, Indian prime Minister Manmohan Singh is visiting his Japanese counterpart Taro Aso. The two countries are seeking ways to deepen investments in defence, science and technology and energy security. Both also hope to sign a free trade agreement by the end of this year, boosting bilateral trade to US$20 billion by 2010. Ties between the two nations are already strong, with approximately 30 percent of all of Japan's foreign aid being directed towards India.
Japan will aid India with a US$4.5billion soft loan (the biggest-ever amount Tokyo has provided for a project overseas) to improve the 1468-km Mumbai-Delhi Industrial Corridor project. Manmohan Singh also encouraged Japan to grab a piece of India's nuclear pie, following opening up of the lucrative energy sector. Talks between India and Japan have recently been stalled by tariff negotiations and Japan's tight regulations on generic Indian drugs. Continue reading
Oct 21 – Trucks loaded with fresh fruits, honey, nuts, dry fruits and spices crossed the Kashmir valley from Pakistan controlled Kashmir to the Indian side and back for the first time in six decades. In a historic move, the heavily guarded trade route between arch rivals India and Pakistan was opened to trade from both sides on Tuesday. The easing of trade restrictions follows confidence building measures taken by both sides in order to tap the huge potential of trade and economic ties across the India-Pakistan border.
Welcomed by traders and businessmen on both sides of the border, the trade route is heralded as not only a physical gateway for goods, but also has a symbolic and psychological impact – that of opening markets and increasing condidence. Previously goods were transported to the border by porters and loaded onto trucks on the other side. Continue reading