Other Briefings
India China Strategic Relationship Very Important – Obama to Singh
Nov. 13 – Exactly a week after U.S. President-elect Barack Obama was declared elected, he made his first official phone call to Indian Prime Minister Manmohan Singh, firmly brushing aside speculation that India had been snubbed by America.
Obama and Singh exchanged pleasentries while highlighting Indo-U.S. ties. Singh congratulated Obama on his victory and said it would inspire "oppressed people" all over the world. Obama in turn said that the U.S.-India strategic relationship was "very important". Singh later invited the President elect to make an early visit to India.
Plans to Increase FDI in Insurance Afoot
Nov. 12 – The Union cabinet has concented to increase the limit for FDI in India's insurance sector from 26 percent to 49 percent. The bill will be introduced in Parliment for approval sometime in the near future.
According to the Economic Times, Finance minister P. Chidambaram announced that the Union Cabinet, had decided to introduce a comprehensive amendment bill. “The Union Cabinet gave its approval for introduction of the Insurance (Amendment) Bill, 2008, for amendment to Insurance Act 1938, General Insurance Business (Nationalisation) Act, 1972, and Insurance Regulatory and Development Act, 1999, in the Rajya Sabha (Council of States) on the basis of recommendations made by Group of Ministers,” Mr Chidambaram told the newspaper in early November. The bill is being introduced in the Rajya Sabha as it is not a money bill.
India’s Economy to Remain Stable at 7% in the Long Term
Nov. 11 – It might be that the international financial crisis has dented growth of the Indian economy, however the slump will be short lived. A CII and PricewaterhouseCoopers (PwC) study as well as S&P's long term ratings both point to stability and continued growth over the next few years.
Recently, International ratings agency Standard and Poor’s affirmed its ‘BBB-’ long-term and ‘A-3’ short-term sovereign credit ratings on India. According to the Hindu Business Line S&P said the ratings on India reflect the country’s strong economic growth prospects and its deep Government debt market, which helps accommodate its weak fiscal position.
India Enhances Ties with the Gulf
Nov. 10 – After initialising free trade agreements with several ASEAN countries, Indian Prime Minister Manmohan Singh seeks to sign a free trade agreement with the Gulf Cooperation Council (GCC) countries as early as 2009. Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates (UAE) comprise the GCC.
"Next year, Oman is going to occupy the chair of the GCC and the prime minister has said that we should be ready to sign the FTA anytime in 2009," an official told NDTv.
The FTA with the GCC is expected to cover 3 areas – goods, investments
and services.
What the Largest Democracy Means to the Oldest Democracy
Nov. 6 – With Obama having been elected the 44th President of the United States what needs to be seen is whether the world's oldest democracy (US) and the world's largest democracy (India) can work together for a common good and global development?
Key issues that will impact India-US relations revolve around Pakistan, China, terrorism, nuclear issues and trade. Obama supporters expect him to sustain his relationship with India, while viewing his relationship with China as the most important US relationship in Asia.
“Your extraordinary journey to the White House will inspire people not only in your country but also around the world,” Dr. Singh told Obama, reported the Hindu.
PM Tells India Inc Not to Cut Jobs
Nov. 4 – While assuring Indian companies that the government would take affirmative steps to reign in the global meltdown, Prime Minister Manmohan Singh requested industry leaders not to cut jobs in the near future. In order to prevent a drastic slowdown the government has already cut reserve requirements of banks and duties on aviation fuel and steel.
Recent changes taken to shore up the economy also had their effect on the Indian rupee which rose by the most in a decade. The rupee climbed 1.7 percent to 48.645 a dollar at the 5 p.m. close in Mumbai, according to data compiled by Bloomberg. That is the biggest advance since Jan. 19, 1998.
India and China Agree to Work Together to Cope with Financial Crisis
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.
Indian Apparel Exporters Forced to Lay Off Workers
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.
