|
|
|
|
Rolls-Royce launches Phantom Coupe in India - mydigitalfc.com
Source: Google News India - Business | 22 Feb 2009 | 12:56 pm AI seeks Rs 5,000-cr loans from banks, FIs to buy 7 aircraftOf the seven aircraft proposed to be acquired, three would be Boeing 777-200 (Long Range) and four Boeing 777-300 (Extended Range).Source: Daily News & Analysis: Money News | 22 Feb 2009 | 12:52 pm Eight American banks collapse in FebruaryPushing the total bank failures this year to 14, another entity -- Silver Falls Bank, Silverton -- has been shut down by the authorities.Source: Daily News & Analysis: Money News | 22 Feb 2009 | 12:50 pm HSBC, Barclays to pay two billion pound bonus: ReportHSBC's bonus pool has been slashed by more than a third, but there will still be big payouts, including to the directors, the newspaper said.Source: Daily News & Analysis: Money News | 22 Feb 2009 | 12:47 pm SBI to streamline currency chests city-wiseIn the wake of fake currency being found in a bank branch, SBI has decided to have one currency chest in every city rather than in every branch.Source: Daily News & Analysis: Money News | 22 Feb 2009 | 12:46 pm Satyam may announce how to select strategic partner this weekKarnik did not divulge whether the board has decided in favour of inducting a strategic minority partner or selling 51 per cent of the company's equity.Source: Daily News & Analysis: Money News | 22 Feb 2009 | 12:43 pm European leaders eye G20 boost; U.S. to cut deficitSINGAPORE (Reuters) - European leaders meet on Sunday to form a consensual approach to tackle the global economic crisis, while U.S. President Barack Obama is due to unveil an ambitious plan to cut the ballooning deficit in half by 2013.Source: Reuters: Money News | 22 Feb 2009 | 12:36 pm Singed but not burnt, India must learn from others’ mistakesStorms don’t happen in wells, said economist Lord Meghnad Desai, in the course of a particularly lively sally during Mint’s Clarity Through Debate (CTD) event on The Financial Crisis: Lessons For India. Desai was arguing that India would have been better off if it had freed up its financial sector enough to have its own crisis, instead of not having done so. Had this (the freeing up) happened, he said, the country would have probably had fewer poor people than it does now. Listen to the audio abstract of Mint’sClarity Through Debate event inside  Is there anything the rest of the world can learn from India? And what are the lessons we learnt from the crisis? Chakrabarty: All financial crises (take place) because money is borrowed in excess and used badly...Excess liquidity should be avoided, excess complicity in financial products should be avoided and excess greed should be avoided. I would say we are less greedy because our (bankers’) salaries are not linked to (banks’) profitability. We also must learn (that a) market-determined financial system is not a solution to removing global disparity. Because the market-determined financial system has one fallacy—capitalize the profit and socialize the loss. While too much governance is bad, too much (of an) unsettled market is also bad. Kidwai: I think one of the key lessons that we have learnt is that there is nothing like traditional banking. You have to know who you are lending to and not get carried away packaging products...The lesson that we all have to now raise across the world is really to get back to what banking is all about—that is, knowing your customer. In knowing your customer, you are able to work with the customer, to restructure, to recover your loan and, even better, reach a variety of people. (For example,) where credit cards have done well is where the card is anchored in a relationship. Where it stands as a product on its own, it is prone to actually get distressed and run into trouble. Kochhar: I think whether a bank or a country, nobody can remain isolated from whatever happened globally. Everyone has to go through that and I think, in a way, India is also facing a fallout of what happened globally. So the lessons from India, in my view, are two. On the banking practices per se, or lending practices per se, I think we have to remember that our lending practices have been basic banking. That is, you go through a customer’s cash flow—whether it is an individual or a corporate customer—and lend only on the basis of the ability of the customer. Unlike what the banks did in the Western countries, where too much money has been lent at attractive rates...not realizing that some customers don’t have the ability to pay. And that was something the banking sector in India did not do. One more thing that has helped India is that the banks are very low leveraged and the extent of that dependence really determines how fast a nation will bounce back. We all know that our dependence on the outside world is less, and that gives us the resilience to bounce back at a momentum faster than many other nations. Damodaran: I think what we need to do is to forget words such as crisis, recession and over-regulation... We should take out those words from our vocabulary; we are much better off than most of the countries. Everything in life is relative. It’s true you can take the position (that) you haven’t seen the worst of it yet. But even the worst is nowhere close to what some have already seen and are likely to see going forward. I think what happened in developed countries is that there was an invitation to disaster. If you had seen the hoardings of some of the home loan products, they said very clearly that if you did not have the income, if you did not have a job, if you did not have anything at all, you are (still) welcome to avail the housing loan. They said these in so many words. So I don’t know why they are complaining when things went wrong. I think what we have done several years ago has turned out to be right—significant ownership of the public sector of the banking sector... Clearly there is a role for government and that is being painfully recognized by some countries in other countries... Clearly it is recognized that markets playing god is not a solution. These are lessons we learnt some time ago. We have had distinguished economists...who recommended much the same thing (to India) that brought the Western world to its knees. But we were so slow in implementing some of them that the crisis came elsewhere before we could do things on our own and, therefore, I think the slow ponderous pace at which we actually do things helped to save us. Bhatt: The lesson to be learnt from India is that each country has its own ethos, each country has its own structural strength or limitation, each country brings a certain place in the path of development and what is appropriate for one may not be appropriate for another.  Impact gauge: (from left) Punjab National Bank’s K.C. Chakrabarty, ICICI Bank’s Chanda Kochhar, London School of Economics’ Lord Meghnad Desai, Mint’s deputy managing editor Tamal Bandyopadhyay, State Bank of India’s O.P. Bhatt, HSBC India CEO Naina Lal Kidwai and former chairman of Securities and Exchange Board of India M. Damodaran at the Mint Clarity Through Debate conclave in Mumbai on Monday. Abhijit Bhatlekar / Mint Now how is it possible? What are appropriate incentivization structures? Is it possible to have a scheme of group incentivization, social incentivization, integral incentivization, appropriate incentivization? …Is it possible that by introducing the kind of incentivization that is there in other sectors in India and in foreign countries, whether I would be destroying the culture of the bank which actually is the strength of the bank? I think a time has come when the entire world is in crisis, and there are millions that have lost homes and jobs, people who don’t have food, people who don’t have a future to look forward to...There is not enough of anything. It is the chasing the mirage that has created the kind of problem we are in. Desai: Let me start with a cockney expression—while we felt sad the entire world has suffered so much, India has not—I would say ‘you should be so lucky.’ India has not suffered because India has not done anything. there is an expression in Sanskrit called “kupamanduk”. If you are a little frog in the well, you are very happy, you think the world is the well. and storms don’t happen. Of course storms don’t happen. Storms don’t happen in the wells. India has this amazing capacity for smugness, which astonishes me again and again … for 40 years, India grew at one of the slowest paces humanly possible to grow—1% per annum.. India is still growing slowly. Because you have decided on great principles and philosophies to grow slowly. People decided not to pay the price for slow growth. The stakeholders of the financial system (in the developed countries) go out—crash. But they will dust themselves and stand up and will resume growth. India should not from this experience conclude that what it is doing is the right thing. India should conclude that there is still a long distance in this covered banking system. There’s a vast distance between having an efficient banking system that actually does traditional banking which, I can tell you, Indian banking system does not do. Countries grow by crisis. If you don’t have a crisis, you won’t have growth. I feel what India should do right now is that there are good things, good opportunities to grow right now. I think india’a public sector banking system is very backward. I think KYC stands for “kick your customer”. I know it will hurt, but Pakistan has lower poverty than India, Pakistan has lower inequality than India, and Pakistan until 5 years ago had higher per capita income than India. Having said that, I believe India is capable of much better and a couple of crises won’t hurt. And if you don’t want crisis, you don’t get growth. Should the financial sector be opened up in India, allowing more competition from foreign banks? Damodaran: Let’s start with what you raised. It’s not about keeping the doors closed for foreign banks. Until now foreign banks have been allowed to increase their presence in India by opening more branches. A few years ago, a decision was taken that they could set up their own holding companies, but they just wanted to pick up small private sector banks cheap and they wanted that and nothing else. Now, if you...seek a branch licence in the US, ask her what pain you go through to get a licence there. How can one set of rules apply for the US and another set apply for India? If you practice reciprocity and non-discrimination...any country that closes its doors on your banks should not find the doors here open. I think we should conduct all of this from a position of strength and self-respect rather than being people that others use as doormats or carpet to walk on... It’s not our case that we are absolutely happy with the situation in India, it’s not the case that we don’t need to think a little faster, a little better, do some other things more differently, I think if you look at the model that has failed elsewhere and the model that is underperforming in India, my question to you would be “would you rather have underperformance or crisis”? I would have underperformance. You used the expression “These people dust themselves and they get up” I think in the process of dusting and getting up, the poorer people will remain on the ground and the richer giants will get up and the inequalities will surface—that’s what you are going to see. You will see a whole lot of poor people who will get even more marginalized. Couple of other quick thoughts. I’m not for a moment saying that we should close our doors, it’s not as if our doors are fully closed at this point of time, clearly we should open doors not from a position of weakness. ‘We need you therefore come in’. No. ‘We are strong enough and we will be able to absorb you in our system from a position of strength.’ Kidwai: I would like to lend my voice to what Meghnad is saying, in that we must look at the structure of the banking sector and does it fulfil what we need as a country? The truth here is we still do not have financial inclusion And that, at this stage of India’s growth and independence, can’t be something we can be proud of. That applies to all of us in the banking fraternity, foreign banks wanting to go into rural.., banks that are already rural being too frightened to do more there, and indeed the whole nexus of politicians and lending, which has brought a bad name to agricultural loans.. Why is that we, who are so proud of our best and brightest, still don’t have a major bank in the (world’s) top 50. So it really comes down to softly, riskless, plodding-along approach, somewhere along the line is not doing us right. The worst takeaway from the financial crisis is ‘oh you got it right, frog in a well, and being very happy being in the well and we really don’t want to get out and join the world out there.’ What’s going to happen as a result is the world will pass us by yet again, as it did when India shut itself out. Chakrabarty: The debate that we are making is that whether we will open up. We are already opened up. Two-three issues – opening up would make the life of customers better – that is I think not going to happen. When financial sector reforms were introduced, private sector banks were given a better role, foreign banks were given a better role. Now that should have brought the competition in the market place and that should have lowered the lending rates. Today the prime lending rate of the foreign banks are the highest. Prime lending rates of the private banks are the highest. If you say reform, competition will make the customers life better, it has not happened in this country. Kochhar: See opening up and bringing in competition in any sector helps because it brings in efficiency. Even when, during the talk of opening up for private sector banks, I think the big change that happened in India was that it was at that time that the retail customers found loans becoming affordable and the whole consumption growth of India was in a way capitalized by the retail finance growth that happened in the country at that time. So I think opening up brings in a lot of efficiency; it also helps existing players to shape up but what we have to remember is that for foreign entities India is open in almost all ways. The foreign banks have been in existence in the country for decades, all the rules that apply to Indian banks apply to foreign banks, whether it licensing of branches, whether it for any other stipulations ..The only thing that was restricted for a foreign bank is to come and buy an existing bank. ..Now what we have to look at is whether opening up and not going forward is a strong concept of reciprocation. We have to recognize that we are open at a certain level and there are countries that are much less open as compared to us. There are countries like UK who are very open. There some countries, which are open, but a foreign bank branch cannot connect to the ATM network of the country, where as when we give branch license for foreign banks, the branch can connect to the entire ATM network in the country. Kidwai: I am glad you made that (point), Chanda. We are a UK bank … and by your own definition the UK is entirely open. I can tell you we stand in line, begging with a bowl, for getting more branches. 155 years in the country and 47 branches .. we have just been given three more. 50 branches to show for the 155 years here. That is not as reciprocal as the UK has been … Bhatt: I am all in favour of opening up of the system to foreign banks. I believe opening up of the economy and bringing in competition is good....But there is a pace at which competition should be allowed. PSU banks were nationalized in 1969, the reason was that the government wanted to use the banks as an instrument of public policy for socioeconomic development. And this has been successful through priority sector lending and all kinds of developments. Definitely it is the time to revisit (banking policy to foreign banks). Whether it will be for opening up or not, I don’t know. But definitely given the state of the world, it’s time to revisit. Actually it is time to open up the economy. We need capital, we need technology, we need expertise...(we need) $500 billion in the infrastructure sector. If foreign banks (are) allowed to come, I am sure they will help in boosting the infrastructure sector. Desai: Even after 40 years of nationalization they have not reached the poorest of people, forget about being in the top 50. It all shows that they are idle, bureaucratic public sector banks. Their growth just at the pace of total GDP is not a miracle. Should India allow capital account convertibility allow the rupee to float freely? Damodaran: I think we need incremental steps to get us there and see that we don’t trip and fall over and pay the price that other countries have paid in the process of opening up. Kidwai: I think the economy is now worse off today than what we were looking at when we were looking at capital account convertibility. The fiscal deficit at 10% and in our estimate at even 14% is something to be watched. As long as the government borrows the way it does and fisc remains the way it is, I don’t believe there is any scope of convertibility Bhatt: We need to have our own model and we have to know what is the objective of currency convertibility... It is also true that over a period of time, there has been enough relaxation in rupee convertibility. Today there are multiple reason for which foreign currency can come to India and all (can) repatriate back profits, dividends... Today any individual can invest up to $200,000 per head, per year and for those things that you have to go to the Reserve Bank of India, I am yet to hear a case where the Reserve Bank of India has said no. Chakrabarty: If you see the basic reasons for this financial meltdown, you will see that there was a big black hole in the regulation of the over-the-counter market. This is the market which can be manipulated very easily. If you see the financial derivatives and all such products, you will understand it can be easily manipulated. Unless there is a competent regulator of this market, opening up will be very dangerous. After this meltdown, do we say no to innovation, risk-taking? Kochhar: There can never be a stoppage to innovation. In fact in a challenging environment, you need more innovation. Not just the banking sector, but the country as a whole we have to see can we innovate effective business models, become more efficient and innovate new ways of doing businesses so that we become more competitive. Chakrabarty: When we are talking about innovation, I think we should make a difference between innovation and violation. Because there is a very thin line of differentiation. Because there is a very thin line (between) financial innovation and financial engineering. Again the lesson from the meltdown is that financial engineering cannot bring perpetual prosperity. Bhatt: As Dr Chakrabarty said, not financial engineering. Especially at a time like this when there is huge uncertainty, when there is huge volatility, when people are getting scared, but nobody is trying to understand the reasons for this volatility. Desai: Of course we should have innovation. India has had a riskless banking system with subsidised capital given by the government to the public sector banking. It gives them a cushion. Which is why there is no Indian bank in the top ten whereas Chinese banks are. Damodaran: ...We must have innovation. Because innovation is what distinguishes god’s highest creation from the rest. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 12:23 pm D-Street to remain volatile on weak global cues: Analysts!With no major announcement expected on the domestic front, Dalal Street is likely to be volatile, reflecting a downside bias, following weak global cues next week, analysts say.Source: Zee News : Business | 22 Feb 2009 | 12:08 pm Iran hikes price of natural gas coming through IPI pipeline!Iran has jacked-up by 20 per cent the price of natural gas that is to flow through the long- delayed Iran-Pakistan-India pipeline, making it the most expensive fuel in the country.Source: Zee News : Business | 22 Feb 2009 | 12:08 pm Panasonic to invest $300-mn in India over next 3-years!Electronics major, Panasonic India, plans to invest USD 300-million and open more factories in India over the next three years, a top company official said.Source: Zee News : Business | 22 Feb 2009 | 12:08 pm Room for RBI to cut rates: PMEAC!PM`s advisory panel said there is room for the Reserve Bank to signal further interest rate cuts.Source: Zee News : Business | 22 Feb 2009 | 12:08 pm Govt to Nalco: freeze appointments; take cost-cutting measures!The Government has asked state-owned aluminium producer Nalco to freeze fresh recruitments and take other cost-cutting measures to tide over the present global economic downturn.Source: Zee News : Business | 22 Feb 2009 | 12:08 pm Three Indian entities barred for corruption untraceable: ADB!Two Indian companies and one individual figure among a dozen entities barred from doing business by Asian Development Bank on corruption charges, but have remained untraceable by the international lender.Source: Zee News : Business | 22 Feb 2009 | 12:08 pm ASEAN meets on crisis measures!Asian Finance Ministers meet on Sunday to discuss cooperation to tackle the global economic crisis.Source: Zee News : Business | 22 Feb 2009 | 12:08 pm Eight American banks collapse in Feb!As the financial woes mount in the world`s largest economy, the number of failed American banks are climbing, with eight entities going belly up in February alone.Source: Zee News : Business | 22 Feb 2009 | 12:08 pm IIMC misses Wall Street recruiters this yearBy PTI Kolkata: The economic crisis has taken its toll on campus recruitment as well with the Indian Institute of Management, Calcutta (IIMC), finding Wall Street recruiters missing this year. Sources in IIMC said the highest pay packet offering merchant bankers from the Wall Street were missing in this year of final recruitment season as most of the renowned companies were either out of business or in bad shape. “However, we are expecting a few merchant bankers from India and other countries to recruit finance professionals from this campus,” the sources said. IIMC categories companies depending on their salary offers and reputations and among that slot zero is treated as the most prestigious. The recruitment began from Saturday and it will continue till 24 February and the second phase will resume from 3 March for two to three days. The recruitment date which has been preponed by two weeks has 265 students registered. When asked for comments, IIMC officials said the details could only be provided after the campus recruitment process was over. Sources said during the last three years, merchant bankers like Lehman Brothers and Merill Lynch were the most sought after companies for their highest pay packets. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 12:00 pm Kingfisher Airlines rejigs management; elevates 21 officialsBy PTI Mumbai: In a large scale rejig of management, Vijay Mallaya-promoted air carrier Kingfisher Airlines has elevated 21 officials in the rank of vice president, assistant vice-president, general manager and sales head. “Of the 21 officials promoted, nine have been made VPs, six officials have been promoted to AVP rank and three as GM,” a Kingfisher Airlines’ officer told PTI here. He said that two officials have been promoted as Sales Head. In an internal circular, Mallaya claimed that the promotions have been necessitated consequent upon Kingfisher Airlines and Deccan Aviation merger, only one person from erstwhile Deccan figured in the list. The promotions were effective in retrospect from 1 February, however, the announcement was made only on 19 February, the official said. Those who have been promoted include Ajit Bhagchandani (VP, In-flight services), Captain N N Puri (VP, flights operation training), Group Captain Pankaj Chopra (VP flight safety), Vikram Malhotra (VP marketing) and Prakash Mirburi (VP corporate communication), the official said. Vijay K Arora would be head of sales for northern and eastern zone and Bhanu Kaila would head the sales team for western and southern zone, he said. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 11:47 am BSNL launches 3G mobile servicesBy PTI Chennai: The state-owned Bharat Sanchar Nigam Ltd today launched its third generation mobile services in the country from here offering a plethora of services like live TV, high speed mobile broadband and movie download. Tamil Nadu chief minister M Karunanidhi marked the formal nation-wide launch by making the first video call to union communication and IT Minister A Raja. The 85-year old DMK president, who is convalescing at a hospital here after a spine surgery, launched the services through video conferencing. Lauding Raja, who belongs to the DMK, for unveiling the 3G services from Chennai, Karunanidhi said he was happy to note that BSNL was launching the technology, which so far was available in developed nations in the country. Later speaking to reporters, Raja said the 3G services would be launched in 13 more cities -- Lucknow, Agra, Ambala, Dehradun, Jammu, Shimla, Jaipur, Jalandhar, Patna, Durgapur, Haldia, Ranchi and Bhubaneshwar -- by this month end. The commercial launch of the 3G services in Tamil Nadu would be rolled out by 20 April, he said. BSNL chairman Kuldeep Goyal described the 3G launch as an historic event for the company. The 3G services would offer customers video telephony, high speed internet and various value added services like mobile TV, location surveillance and video on Demand, he said. MTNL had launched the service in December last year in Delhi. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 11:31 am BSNL launches 3G mobile servicesBy PTI Chennai: The state-owned Bharat Sanchar Nigam Ltd today launched its third generation mobile services in the country from here offering a plethora of services like live TV, high speed mobile broadband and movie download. Tamil Nadu chief minister M Karunanidhi marked the formal nation-wide launch by making the first video call to union communication and IT Minister A Raja. The 85-year old DMK president, who is convalescing at a hospital here after a spine surgery, launched the services through video conferencing. Lauding Raja, who belongs to the DMK, for unveiling the 3G services from Chennai, Karunanidhi said he was happy to note that BSNL was launching the technology, which so far was available in developed nations in the country. Later speaking to reporters, Raja said the 3G services would be launched in 13 more cities -- Lucknow, Agra, Ambala, Dehradun, Jammu, Shimla, Jaipur, Jalandhar, Patna, Durgapur, Haldia, Ranchi and Bhubaneshwar -- by this month end. The commercial launch of the 3G services in Tamil Nadu would be rolled out by 20 April, he said. BSNL chairman Kuldeep Goyal described the 3G launch as an historic event for the company. The 3G services would offer customers video telephony, high speed internet and various value added services like mobile TV, location surveillance and video on Demand, he said. MTNL had launched the service in December last year in Delhi. Source: Tech News - Livemint.com | 22 Feb 2009 | 11:31 am Pranab promises more investment in infrastructure, rural developmentExternal Affairs Minister Pranab Mukherjee Sunday stressed the need for stimulating domestic demand and supply to overcome the economic slowdown, and said the government would step up investment in infrastructure and rural development.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 11:30 am Demand, supply should be increased to offset slowdown: PranabBy PTI Kolkata: Finance minister Pranab Mukherjee today stressed the need for increasing domestic demand and supply by development of infrastructure to tide over the current economic recession. “We all agree that domestic demand and supply will have to be increased to tide over the current economic crisis for which infrastructure needs to be developed and rural economy strengthened,” Mukherjee said at the foundation stone-laying ceremony of the East-West Metro corridor at the Salt Lake Stadium. Projects like the East-West corridor would go a long way in the development of infrastructure, he said adding it would also generate employment. Altogether five lakh people would use the East West Metro once it is complete, he said. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 10:54 am New UK visa restrictions on Indians soonLondon: Amidst rising unemployment, Britain is putting in place new immigration restrictions on professionals from India and other non-EU countries so that existing jobs are first offered to local workers. From April, the basic requirements to enter Britain under the Tier 1 category of the points-based immigration system will be raised. Over 25,000 people, incluidng many from India, entered Britain under Tier 1 last year. The qualification and minimum salary levels for Indian and non-EU professionals will be raised to masters degree and £20,000 from the current requirement of undergraduate degree and £17,000. Home secretary Jacqui Smith is expected to announce the new measures soon as part of a 10-point plan which aims to cut overall levels of immigration by next year. She told The Sunday Telegraph: “We have put immigration controls in place that allow us to raise or lower the bar on the migrants who can come to the UK. We have always said it is important to be selective about who comes here to work.” “We have already put a stop to low-skilled labour entering the UK from outside Europe. Now in response to the global recession and the downturn that has hit British workers, we are setting out how we will now be even more selective,” Smith said. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 10:42 am Yahoo may begin revamping next week: reportSan Francisco: Yahoo Inc Chief Executive Carol Bartz could announce a major management reorganization as early as next week, according to the blog AllThingsD. The Wall Street Journal-affiliated blog, citing several sources inside and outside the Internet company, said the revamp would likely come on Wednesday, although it could be pushed out a week or two or rolled out in pieces. Bartz sent a memo to employees on Friday in which she said, “Get well-rested, because next week’s a biggie.” Yahoo officials declined to comment. A source at Yahoo, who was not authorized to speak publicly about the issue, said rumors of a reorganization were swirling within the company. Yahoo, the leading provider of online display advertising, has been under pressure for nearly a year as it held fruitless merger or partnership talks with Microsoft Corp, Google Inc and Time Warner Inc’s AOL. During that time, Yahoo lost market share in search advertising, while display ad sales have been badly hit industrywide by the US recession. The reorganization is expected to include a structure where executives like chief operating officer, chief technology officer and a new, more powerful chief marketing officer all report to Bartz, the blog said. In addition, several sources suggested Bartz may abandon a recent restructuring that split the world into four operating regions, the blog said. Instead, one executive could head the United States and a second head up all international efforts. Source: Tech News - Livemint.com | 22 Feb 2009 | 10:36 am Yahoo may begin revamping next week: reportSan Francisco: Yahoo Inc Chief Executive Carol Bartz could announce a major management reorganization as early as next week, according to the blog AllThingsD. The Wall Street Journal-affiliated blog, citing several sources inside and outside the Internet company, said the revamp would likely come on Wednesday, although it could be pushed out a week or two or rolled out in pieces. Bartz sent a memo to employees on Friday in which she said, “Get well-rested, because next week’s a biggie.” Yahoo officials declined to comment. A source at Yahoo, who was not authorized to speak publicly about the issue, said rumors of a reorganization were swirling within the company. Yahoo, the leading provider of online display advertising, has been under pressure for nearly a year as it held fruitless merger or partnership talks with Microsoft Corp, Google Inc and Time Warner Inc’s AOL. During that time, Yahoo lost market share in search advertising, while display ad sales have been badly hit industrywide by the US recession. The reorganization is expected to include a structure where executives like chief operating officer, chief technology officer and a new, more powerful chief marketing officer all report to Bartz, the blog said. In addition, several sources suggested Bartz may abandon a recent restructuring that split the world into four operating regions, the blog said. Instead, one executive could head the United States and a second head up all international efforts. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 10:36 am Employees provident fund rate at 8.5 percent for 2008-09The interest rate on provident fund investments will be maintained at 8.5 percent for 2008-09, the central board of trustees of employee provident fund (EPF) decided Sunday.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 10:30 am Project delays in Kerala a deterrent for investors: Vayalar RaviMinister for Overseas Indian Affairs Vayalar Ravi Sunday urged trade unions and workers in Kerala to desist from delaying construction work at projects in the state as it deterred investors.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 10:00 am SBI sees 25% growth in SME advancesBy PTI Mumbai: The country’s largest lender, State Bank of India (SBI), has said that its advances to small and medium enterprises are likely to grow by 25% in the current fiscal. The lender has targetted a similar growth in the portfolio in the next fiscal as well, a senior SBI official said. “We expect a 25% growth in our SME advances this fiscal. The growth is likely to be in this range during the next financial year as well,” the official said. The bank expects to disburse Rs23,000 crore loans in the portfolio in 2008-09 as against the targetted Rs26,000 crore, the official said. “We had earlier targetted to disburse Rs26,000 crore. Given the current market situations, the bank may be able to achieve Rs23,000-crore by March-end,” the official said. SBI has seen a decline in credit demand in its SME portfolio this fiscal due to slowdown in export-oriented sectors such as gems and jewellery, textile and auto, the official said. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 10:00 am Australia holds national mourning day after firesMelbourne: Australians held a national day of mourning for the victims of wildfires that killed hundreds this month, and survivors were promised the nation would support them in the massive task of rebuilding. Tears flowed as Prime Minister Kevin Rudd said the hellish blazes of “Black Saturday” on 7 February which killed more than 200 people had tested the nation’s character, and the response was courage, compassion and resilience. “In recent days we have witnessed unspeakable suffering,” Rudd said at a mourning ceremony broadcast nationally. “We have lost mothers and fathers, grandmothers and grandfathers, we have lost brothers, sisters, sons and daughters, the tiniest of children. “All these are precious lives. No words can provide solace for grief so personal. But simply know this: You who suffer are not alone,” he said. Rudd said governments at all levels had failed communities hit by tragedy in the past, and this must not be allowed in the fire-devastated towns. He promised “a solemn contract with each of these communities to rebuild, brick by brick, home by home, school by school, church by church, street by street.” He also announced that the tragedy would be marked each 7 February by the lowering of flags on government buildings to half-staff and a moment’s silence. Thousands of Australians gathered at ceremonies large and small Sunday for victims of the country’s deadliest wildfires. Survivors gathered at parks and city residents in public areas where giant screens broadcast the ceremony. Forensic investigators in the disaster zone took a break from their grim search for more bodies among the ruins. The confirmed death toll stood at 209 on Sunday, but officials said they were still finding bodies in the rubble and the tally would rise. Queen Elizabeth’s daughter Princess Anne flew to Australia to attend the ceremony, and hundreds of survivors were brought on buses from the stricken region. All of Australia’s television networks interrupted their normal programing to broadcast the ceremony live. Bells rang out across Melbourne and beyond at 11am to start the ceremony. Inside the venue, a sports stadium, Rudd, Princess Anne and other dignitaries walked two-by-two up to a large wreath standing before a stage, each adding one white flower. A didgeridoo droned solemn notes as firefighters in uniform also added flowers to the wreath. Helped by years of drought and furnace-like conditions, the 7 February fires ripped across more than 3,900 square kilometers, burning all before them. More than 1,800 farms and homes were destroyed. At a dusty field in Whittlesea, next to a relief center that has served as a hub for survivors who lived in the devastated surrounding towns, about 300 mourners watched the ceremony on a giant screen, some quietly crying as bells tolled. They clutched damp tissues and each other. But despite their grief, all seemed determined to move forward and rebuild their lives. As the ceremony neared an end, they stood together, clapping and singing along with musicians and two fire survivors who performed the popular Australian song, I am Australian. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 9:54 am India the 'back office' of the world: Chinese consul generalIndia can rightly be called the back office of the world for its achievements in Information Technology (IT) and IT-enabled services, Chinese Consul General in Kolkata Mao Siwei said Sunday.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 9:31 am Clinton says U.S., China are in the same economic boatBEIJING (Reuters) - China and the United States are both dependent on a revival of the U.S. economy and will rise or fall together, U.S. Secretary of State Hillary Clinton said during a visit to Beijing on Sunday.Source: Reuters: Money News | 22 Feb 2009 | 8:54 am Airbus expects more European support for plane buysDUBAI (Reuters) - Airbus' Middle East president said on Sunday France's move to provide $6.3 billion in aid to support airplane purchases was not enough and he expected other European countries to follow.Source: Reuters: Money News | 22 Feb 2009 | 8:48 am Top firms lose Rs63k cr in a week, RIL leads fallMumbai: The country’s top 10 firms lost over Rs63,000 crore from their market capitalisation last week, with Reliance Industries alone accounting for over one-third of the value erosion of the premier club. The valuation of Mukesh Ambani-led Reliance Industries Ltd dipped below Rs200,000 crore mark after losing Rs21,624 crore in the previous week. During the week, the scrip of RIL lost nearly 10% to settle at Rs1,253.55 on Friday’s trade. The company, which regained the coveted Rs200,000 crore turf three weeks back, saw its valuation dipping to Rs1,97,284 crore last week. The list, which comprises four private entities and six public sector companies, lost Rs63,403 crore during the week to end at Rs10,12,080 crore. Last week, the valuation of the coveted club stood at Rs10,75,484 crore. Diversified conglomerate ITC was the lone gainer in the club which added Rs453 crore in its market valuation, moving up by three places to sixth. At the end of trade on Friday, ITC’s market capitalisation stood at Rs 67,989 crore. Meanwhile, the country’s largest lender, State Bank of India, lost Rs9,358 crore in valuation and dipped to the ninth slot from the previous week’s sixth position. State-run NTPC witnessed an erosion of Rs4,205 crore in its market capitalisation, while ONGC lost Rs6,641 crore from its market valuation last week. Besides, trading firm MMTC saw its value erode by Rs5,006 crore and power equipment manufacturer Bhel saw an erosion of Rs4,986 crore during the last week. Also mining giant NMDC lost Rs5,828 crore from its market capitalisation last week. Private sector telecom services provider Bharti Airtel lost Rs1,841 crore and IT bellwether Infosys Technologies saw its valuation decline by Rs4,366 crore. Besides the list of top 10 most valued firms, two private sector lenders ICICI Bank and HDFC Bank witnessed a combined erosion of over Rs14,000 crore from its valuation last week. While ICICI Bank saw its valuation plummeting by Rs10,955 crore to Rs37,400 crore, HDFC Bank lost only Rs3,341 crore to Rs36,876 crore at the end of trade on Friday. Source: Home - Livemint.com | 22 Feb 2009 | 8:48 am Asian finmins agree deal on forex swapsPHUKET, Thailand (Reuters) - Asian finance officials agreed in principle on Sunday to expand a currency swap agreement to help bolster their currencies in the global economic crisis.Source: Reuters: Money News | 22 Feb 2009 | 8:45 am Rajus judicial custody extended till March 7 - Financial Express
Source: Google News India - Business | 22 Feb 2009 | 8:42 am Recession's flip side: Army retaining its officersThe economic slump has a silver lining for the officer-strapped Indian Army. Officers planning to seek premature retirement are having second thoughts and those who had applied have begun withdrawing their applications.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 8:30 am World Bank to reveal vendor names at time of debarrmentNew Delhi: Drawing flak from different quarters for delay in revealing its ban on Satyam Computer, the World Bank has said it will now make public its decision as soon as it decides to debar a vendor from doing business with it. “Announcements will be made at the time of a finding that a vendor is debarred, or in other words, determined to be a non-responsible vendor,” a World Bank official told PTI in an emailed statement from Washington. The World Bank temporarily suspended Satyam Computer in February 2008 and, after a detailed probe into the matter, the Indian IT firm was debarred in September. However, the ban on Satyam was publicly disclosed by World Bank only in December last year - leading to criticism of the international lender for keeping this information under wraps for several months. Satyam, where its founder Ramalinga Raju has admitted cooking up accounts for several past years, has been banned for eight years by World Bank for providing “improper benefits” to the bank staff and for failing to maintain records relating to fees charged for sub-contractors. The scam, came to light early this year, has been billed as the biggest ever corporate fraud in India. Source: LatestNews-Home - Livemint.com | 22 Feb 2009 | 8:30 am World Bank to reveal vendor names at time of debarrmentNew Delhi: Drawing flak from different quarters for delay in revealing its ban on Satyam Computer, the World Bank has said it will now make public its decision as soon as it decides to debar a vendor from doing business with it. “Announcements will be made at the time of a finding that a vendor is debarred, or in other words, determined to be a non-responsible vendor,” a World Bank official told PTI in an emailed statement from Washington. The World Bank temporarily suspended Satyam Computer in February 2008 and, after a detailed probe into the matter, the Indian IT firm was debarred in September. However, the ban on Satyam was publicly disclosed by World Bank only in December last year - leading to criticism of the international lender for keeping this information under wraps for several months. Satyam, where its founder Ramalinga Raju has admitted cooking up accounts for several past years, has been banned for eight years by World Bank for providing “improper benefits” to the bank staff and for failing to maintain records relating to fees charged for sub-contractors. The scam, came to light early this year, has been billed as the biggest ever corporate fraud in India. Source: World Business - Livemint.com | 22 Feb 2009 | 8:30 am Satyam to announce selection of partner this weekNew Delhi: The board of Satyam is likely to announce the details of the process of inviting strategic partners into the company by the end of this week, the chairman of the board, Kiran Karnik, said on Sunday. “As per the CLB order we will approach SEBI and by the end of this week we expect to make the process public and after that we will invite proposals from the interested parties,” Karnik said. While the board did not announce the process at Saturday’s meeting, leading to possible suitors seeking details on this, Karnik said the process that “we have devised is first to get approval from the regulatory authority as per the direction of the CLB. We expect to get approval this week and make it public at the same time”. Karnik did not divulge whether the board has decided in favour of inducting a strategic minority partner or selling 51% of the company’s equity. However, sources said the board has not favoured a 51% stake sale of the company. “Whether it is minority or majority sale the company needs strong management and a strong buyer who can bring in leadership and funds,” a source said. The CLB order last week quoted the Satyam counsel making a case for a minimum stake sale of 26%. Yesterday Spice Corp chief B K Modi said that “there is no mention of the process that the board approved. Unless we know the details of the process, how can we (talk) on our next move?” Larsen and Toubro (L&T) officials said they are not aware of the outcome of the board meeting. “I am not aware of the outcome of the board meeting,” Y M Deostahlee, CFO of L&T, said. When told about the board’s approval of the process, he said, “We need to know the process before making any comment.” Tech Mahindra vice-chairman & CEO Vineet Nayyar said unless he sees the process of inducting a partner in detail, he cannot comment on the next step. Hinduja Group India chairman Ashok Hinduja said it all depends on the process and the assets and liabilities of the company and “we would like to see the correct balance sheet of the company. We will not be interested in a minority stake as we would not like to go as an investor”. “We would like to get management control and even if we do not get the majority stake in initial stages, we should know the process (so) that in the final stage we (can) get the majority,” he said. Source: Home - Livemint.com | 22 Feb 2009 | 8:08 am Wrong landing of chopper: Himachal says no need for probeThe Himachal Pradesh government does not plan to conduct an inquiry into the incident in which a chopper used by VVIPs landed at the wrong place in Una town, an official said.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 8:00 am Bharti gets Rs50 cr IT bill for non-payment of taxNew Delhi: The Income Tax Department has slapped a bill of Rs50 crore on leading private telecom company Bharti Airtel for “non-payment of taxes on interest paid on loans taken by it” and allegedly furnishing wrong information to the tax department. Bharti has contested the claim, but has also paid more than Rs40 crore to the department, an IT department official said. The Indian firm was accused of non-payment of taxes on the interest paid by it on loans procured from ABN Amro Bank Stockholm Branch, the official said. Contesting the claim of the tax department, Bharti said it was in full compliance of the interim orders passed in this case and awaits finality through the defined legal process. The telecom firm had informed the IT department that interest on loans from ABN Amro Stockholm branch were exempt from taxation in India as per the India-Sweden tax treaty but the department found that the lender (ABN Amro) was a tax resident of the Netherlands, thus holding the company’s claim for exemption to be incorrect. Bharti had claimed that the interest payment was exempt from taxes as the loan was guaranteed by the Swedish Export Credit Guarantee Board, but the information was found incorrect as the authorities found that Bharti Tele-Venture, a holding company of Bharti stood guarantee for the loan. Bharti Airtel, according to the tax department, gave certificates through undertakings and chartered accountants, mentioning that interest on loans were exempt from taxation in view of treaty between India and Sweden. The certificates by the company also mentioned that the loan was guaranteed by the Swedish Export Credit Guarantee Board, based on which the exemption of tax on interest paid on loan was claimed. Bharti Airtel had said, “This is a case where both the contention of the revenue authority and the resultant demand raised by them are being contested by the company.” The matter is currently pending before the 1st Appellate Authority for adjudication, a Bharti spokesperson said. Source: Home - Livemint.com | 22 Feb 2009 | 7:51 am West Bengal CM Buddhadeb shown black flags by Trinamool Congress - Times of India
Source: Google News India - Business | 22 Feb 2009 | 7:39 am 'Only 35 days employment under rural job scheme in Chhattisgarh'Chhattisgarh provided employment of just 35 days per household on an average in fiscal 2007-08 under the National Rural Employment Guarantee Scheme (NREGS) that ensures 100 days of employment in a financial year to any registered rural household.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 7:01 am Brightness of Kashmiri carpets fades in economic meltdownThe centuries-old carpet industry of Kashmir is facing a severe crisis in the wake of the global economic slowdown, endangering the livelihood of over 150,000 weavers.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 7:00 am AI seeks Rs5,000 cr loan to buy 7 aircraftsMumbai: National air-carrier Air India has floated tenders for long-term loans to raise around Rs5,000-crore from domestic and global banking or financial institutions to fund acquisition of seven aircraft. For the US Exim guaranteed facility, the term would be 12 years while for commercial, it would be five years, the National Aviation Company of India Limited (NACIL) tender document said. NACIL is the holding company formed after the merger of Air India and Indian (erstwhile Indian Airlines) into a single entity. The funds may be raised either in national or foreign currency or in a mix of both, the document said. Air India plans to acquire these aircraft over the next eight months, with the first delivery expected around June this year. Of the seven aircraft proposed to be acquired, three would be Boeing 777-200 (Long Range) and four Boeing 777-300 (Extended Range). The national air-carrier plans to acquire 50 new aircraft over the next few years. Air India is understood to have posted losses of around Rs2,500-crore in FY 08 and is presently seeking additional equity infusion from the Government to help it tide over the financial crisis. A proposal providing Air India an additional equity of Rs1,250-crore and long-term soft-loans worth Rs2,750-crore is currently pending with the Government for its approval. The air-carrier presently has a paid-up capital of Rs145-crore and an authorised capital of Rs1,500-crore. Source: Home - Livemint.com | 22 Feb 2009 | 6:32 am Omani men love to wear Kashmiri pashmina turbansNot many know of this Indian connection. Embroidered Kashmiri pashmina stoles, worn turban-style on the head and known as 'mussar', are a rage among Omani men.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 6:30 am Make airline pricing transparent: Praful - NDTV.com
Source: Google News India - Business | 22 Feb 2009 | 6:23 am HT Media’s Shine.com to expand operationsMumbai: HT Media Company’s job portal venture Shine.com plans to acquire a pan-India footprint by opening more branches and will be ramping up its headcount to 300 by end-2009, a top company official said. Shine.com is a part of Firefly e-Ventures, which is a wholly-owned subsidiary of the Hindustan Times group. “We began operations in June last year and are still growing and expanding. Presently, we have a headcount of 200 people which we plan to scale-up to 300 by end-December,” Firefly e-Ventures Ltd’s National sales and operations head Sohail Razzack said at a conference here. The Gurgaon-headquartered company has eight offices in the major metros of the country and plans to open four more this year in a bid to acquire a pan-India presence, he said. Shine.com adds 7,000 resumes per day and has 1.7 million Curriculum Vitaes (CVs) posted on its portal presently, Razzack said, adding that these are relatively more updated CVs as compared to its peers. “Our target is to capture at least 5% of the job portal market by December-end,” Razzack said. The company is also planning overseas forays in the coming years, he said. “We hope to close with about Rs six and seven crore worth of order bookings by March-end,” he said. Naukri.com and Monster.com occupy most of the market share followed by TimesJobs.com in the job portal space. The company has bagged about 4,000 clients in the eight months since it began operations and hopes to add 2,000 more to its client-base by the year-end. “Bank of America, IBM, Oil and Natural Gas Corp (ONGC), Wipro and Ratnagiri Gas and Power are some of the firms that have been recruiting through us,” Razzack said. He did not give details of the investment earmarked with respect to expansion of manpower, technology and marketing. Source: Home - Livemint.com | 22 Feb 2009 | 6:19 am Will US move to nationalize banks?Washington: As their market values fall far below the level of funds received by the government, top US banks have become virtually state owned, with investors fearing their imminent nationalization. Despite repeated assurances by President Barack Obama’s administration that it prefers banks to remain in private hands, investors are dumping banking stocks, especially those of Bank of America and Citigroup, fearing they may come under outright government control amid unending financial turmoil. The top two banks have been driven down almost to penny stock levels even after the government injected $90 billion into them and promised to limit losses on more than $400 billion of their total troubled assets. Bank of America’s market capitalization at the weekend dropped to $24.23 billion while that of Citigroup to $10.63 billion - much less than the $45 billion taxpayer-funded capital received by each of them. “The two banks are implicitly nationalized, which is what is rocking investors in the financial sector,” said Gregori Volokhin, a strategy chief at Meeschaert New York. “It’s necessary to have clarity on the situation,” he said. “And for things to be clear, a temporary nationalization is in the cards, which will allow, when things improve, the government to exit without having lost enormous sums,” he said. Already having de facto ownership, the government may now move to seize full control of these banks in a bid to remove toxic assets that have tainted their balance sheets and the financial system for more than a year, analysts say. “They’re pursuing a banking policy that makes nationalization inevitable,” said Peter Morici, a business expert at the University of Maryland. “They already own quite a bit of these two banks, so it makes it highly questionable whether anybody should put money into the stocks, because at the end, the government is probably going to just take these two banks.” Treasury Secretary Timothy Geithner said two weeks ago that the authorities would conduct “stress tests” on ailing banks to determine the health of the institutions before injecting any more capital or taking other actions. He said that the government would partner with private investors to purchase the troubled bank assets but gave few details about how the plan would work, leaving investors uncertain about its chances for success and fueling speculative market activity. Last year, California-based mortgage lender IndyMac was declared bankrupt and taken over after a run triggered by excessive speculation over the bank’s soundness. Since Geithner’s announced plan to pump more capital into banks and try to jumpstart credit markets about two weeks ago, financial stocks have been hammered down. In Wall Street’s broad S & P stock index, “almost everyday it’s financial that is down 5% to 7% while the rest of the market is most down 2 or 2-1/2%.” said Busch. Geithner appears to be wrestling with a key problem - how to transfer the “toxic” assets off bank balance sheets onto a platform which can be re-priced, repackaged, and sold to private investors at an appropriate price, said Frederic Dickson, chief market strategist at DA Davidson & Co. As bank shares dived Friday, White House and the Treasury officials moved to dispel rumors of nationalization but market concerns persist on the impact of any deeper government role in the banking system. Source: Home - Livemint.com | 22 Feb 2009 | 6:14 am India's GDP to grow by 6.5 pc in 2009: Montek - IBNLive.com
Source: Google News India - Business | 22 Feb 2009 | 6:08 am Auditing watchdog changes format of certifying Govt accounts - Economic Times
Source: Google News India - Business | 22 Feb 2009 | 6:08 am Satyam board gives nod to select strategic investor - Moneycontrol.com
Source: Google News India - Business | 22 Feb 2009 | 5:58 am Govt. mulls NREGS-like scheme for urban areas - Hindu
Source: Google News India - Business | 22 Feb 2009 | 5:25 am 'Slowdown an opportunity for steel sector' - Sify
Source: Google News India - Business | 22 Feb 2009 | 5:04 am Gold experiences bear market in IndiaNew Delhi: India’s imports of gold have collapsed as people rush to sell their jewellery and coins to take advantage of soaring world prices for the precious metal. India, long famed as the world’s largest gold consumer, normally imports 90% of its gold needs. But in January, even with the wedding season - a time of lavish gold gift-giving - in full swing, it imported just 1.8 tonnes, down from 14 tonnes a year earlier, the Bombay Bullion Association said. So far this month, there have been no imports, association president Suresh Hundia told AFP. This has come on top of a 14% drop last year in gold imports to 660 tonnes, down from usual annual import levels of 700 to 800 tonnes. “We’re seeing all kinds of people - middle class, lower class people, old people - selling their old gold to take advantage of higher prices,” said Kapil Kumar Chokshi, a partner at Mumbai’s Chokshi Arvind Jewellers. “There are probably several hundred people who line up outside the store a day wanting to sell,” he added. Dealers say this influx of scrap gold is a key factor behind the drop in imports along with high prices which are dampening demand. “We’re meeting demand from local supply,” said Kishore Narne, head of commodities at Anand Rathi Commodities. Gold is climbing strongly on world markets - in London the spot price last week soared as high as $999.10 an ounce, the highest since March 2008 as investors sought a safe haven amid escalating fears about the global economy. But in India, the local currency’s weakness against the dollar has driven the Indian gold price to all-time peaks in rupee terms. “We’re seeing old broken bangles, coins... People are clearing out the gold items they don’t want. It’s different from the rest of the world where people are buying -- here people want to sell their gold,” Chokshi said. The country of 1.1 billion people is believed to have one of the world’s biggest private gold hoards estimated at up to 15,000 tonnes. Indian spot gold prices surged to a record Rs15,790 rupees ($317.70) per 10 grams this week, up Rs1,600 so far this month. Many Indians are hoping to buy back gold once the cost comes down, although traders say they may have a long wait. Indians are still buying gold for marriages - they believe it is auspicious to give gold for weddings and other religious events. But consumers are getting less for their money because of the high cost, said Kumar. “They’re still coming in with their budgets of Rs1,50,000 or Rs2,00,000 but that buys them less gold. They’re not increasing their budgets.” Kumar said at his store, the volume of gold sold was down by 25 to 30%. Some wholesalers report gold inventories are starting to pile up. Still, in the investor category, Indians stung by steep share market falls, are snapping up paper gold, or exchange-traded funds (ETFs), seeing them as a safer option. “There’s no other asset class on which people are so bullish right now,” said an official of Benchmark Mutual Fund. “The people who want physical gold are those who want it for a special reason like marriage or other religious purposes, but people who want to take advantage of the pricing get into exchange-traded funds,” he said. Globally, gold purchases are being driven by worries the financial crisis could lead to spiralling inflation long-term, because of the gigantic sums being spent by governments on rescue packages, analysts say. Gold is seen as the ultimate safeguard of value - able to be used as money when money loses its worth. Source: Home - Livemint.com | 22 Feb 2009 | 4:34 am Mr Paswan lays foundation stone for SAIL SPU at Kandrori in HP - SteelGuru
Source: Google News India - Business | 22 Feb 2009 | 3:57 am Obama aims to cut U.S. deficit in half by 2013WASHINGTON (Reuters) - President Barack Obama wants to slash the ballooning deficit in half by 2013, U.S. officials said on Saturday, after massively increasing public spending to stem the worst economic crisis in decades.Source: Reuters: Money News | 22 Feb 2009 | 3:10 am Piracy, poor publicity spoil 'Slumdog's' India collectionsWhat's stopping 'Slumdog Millionaire' from making a killing in India - the country that forms its backdrop - like it has abroad? A late release, widespread piracy and poor publicity, say those in the trade.Source: IndiaeNews.com: Business News | 22 Feb 2009 | 3:00 am Reliance to begin trial production from KG basin next monthGadimoga village (AP), Feb. 21 Reliance Industries Ltd (RIL), which is set to invest $12 billion (about Rs 60,000 crore) in the KG basin, is awaiting a nod from the Empowered Group of Ministers (eGoM), to finalise supply pacts with powerSource: Business Line - Home Page | 22 Feb 2009 | 12:00 am FII-ditched stocks dive, lag marketBL Research Bureau Stocks in which foreign institutional investors reduced their holdings in the December quarter have fallen sharply in 2009, lagging the markets, a study of the price action in the BSE 500 companies shows. In the DecemberSource: Business Line - Home Page | 22 Feb 2009 | 12:00 am Don’t let China seize Indian market, say expertsChennai, Feb. 21 Looking just beyond the immediate economic crisis, what could be India’s primary concern?Source: Business Line - Home Page | 22 Feb 2009 | 12:00 am Banks slow in lending to MSMEs: MontekMumbai, Feb. 21 The Indian banking system’s spread, access and flexibility to the small and medium enterprises leaves a lot to be desired, said Mr Montek Singh Ahluwalia, Deputy Chairman, Planning Commission.Source: Business Line - Home Page | 22 Feb 2009 | 12:00 am More banks reviewing auto loan ratesNew Delhi, Feb 21 State Bank of India’s limited period offer of lower auto loan rates is likely to force other banks to review their lending rates.Source: Business Line - Home Page | 22 Feb 2009 | 12:00 am Satyam board firms up process to pick investorHyderabad/New Delhi, Feb. 21 The Government-appointed board at Satyam Computer Services has firmed up a ‘process’ to select a strategic investor, recommended the removal of long time statutory auditors - PriceWaterhouse and announcedSource: Business Line - Home Page | 22 Feb 2009 | 12:00 am Russia amends decree to facilitate nuclear exportsNew Delhi, Feb. 21 Russia has amended a restrictive decree on its nuclear exports, which formally paves the way for the export of Russian reactor equipment and nuclear material to India. This will help the new set of Russian-made Light WaterSource: Business Line - Home Page | 22 Feb 2009 | 12:00 am About 20 mid-cap IT cos willing to sell outMumbai, Feb.21 Fifteen to 20 mid-sized IT companies that generate revenues of $100 - $150 million are willing to sell out as the financial crisis has made it tough for them to stay afloat.Source: Business Line - Home Page | 22 Feb 2009 | 12:00 am SEBI, Swiss co UBS settle dispute on consent termsMumbai, Feb. 21 The SEBI case against UBS Securities, debarring the Swiss firm from issuing participatory notes for its role in the stock market crash of 2004, has been settled on consent terms.Source: Business Line - Home Page | 22 Feb 2009 | 12:00 am CBI registers case against Ramalinga RajuNew Delhi, Feb. 21 The CBI on Friday registered a case against Satyam’s former chairman Mr B. Ramalinga Raju, and others for their alleged involvement in the massive accounting fraud at the Hyderabad-based IT company.Source: Business Line - Home Page | 22 Feb 2009 | 12:00 am SBI is now worth a lot more than CitigroupState Bank of India (SBI), the largest bank in India, is now worth more than Citigroup, one of the world's largest banks.Source: Daily News & Analysis: Money News | 21 Feb 2009 | 10:28 pm Satyam finalises terms for investorThe government-appointed board of Satyam Computer Services is said to have finalised terms to accomodate a strategic investor.Source: Daily News & Analysis: Money News | 21 Feb 2009 | 9:39 pm Satyam sale process to complete before elections: PC GuptaCorporate Affairs Minister PC Gupta has said the Satyam sale process will be complete before the general elections. The beleaguered tech firm, he added, had got orders worth USD 250 million in the last seven weeks.Source: Moneycontrol Top Headlines | 21 Feb 2009 | 8:10 pm Kerala sees money in sand in damsKerala has come up with an innovative idea when governments the word over are facing a revenue shortfall: It wants to dredge the sands silted in the five dams in the state and sell it for real estate development and other civil construction.Source: Business Standard | Front Page Headlines | 21 Feb 2009 | 7:03 pm Spadework for Satyam stake sale to begin soonThe government-appointed board of Satyam Computer Services today approved the process for inviting a strategic Investor and decided to seek regulatory approvals for it early next week. Upon receiving these clearances, the board will announce the process.Source: Business Standard | Front Page Headlines | 21 Feb 2009 | 7:01 pm Another stimulus in the worksPlanning Commission Deputy Chairman Montek Singh Ahluwalia today said there was need for more government spending and further rate cuts to boost the economy.Source: Business Standard | Front Page Headlines | 21 Feb 2009 | 6:59 pm Pay more for terror cover from April 1No change in the maximum cover of Rs 750 crore.Source: Business Standard | Front Page Headlines | 21 Feb 2009 | 6:57 pm Yahoo may reveal management revamp next week-reportCHICAGO (Reuters) - Yahoo Inc Chief Executive Carol Bartz could announce a major management reorganization as early as next week, most likely on Wednesday, according to the blog AllThingsD.Source: Reuters: Money News | 21 Feb 2009 | 4:56 pm See 1020% price cuts going forward: GenpactIts not just the IT industry, but also the ITenabled services industry that is facing the heat. In fact, the country\'s largest business process outsourcing (BPO) player Genpact says that the environment is extremely turbulent as the slowdown forces it to tighten its belt.Source: Moneycontrol Top Headlines | 21 Feb 2009 | 3:50 pm Satyam eyes induction of strategic partner or stake saleAccording to sources, the Securities and Exchange Board of India (SEBI) may insist on an open offer by the acquirer of Satyam. The move is aimed at protecting small investors. However, all eyes are on the Satyam board which is underway on Saturday. The key agenda of board meet is the strategic induction of the partner or the sale.Source: Moneycontrol Top Headlines | 21 Feb 2009 | 3:20 pm Post new FDI norms, Subhiksha eyes more foreign stakeSubhiksha\'s investors may be looking for a foreign partner to pick up a stake in the Chennaibased retail chain. Sources say such a move comes after the new foreign direct investments (FDI) guidelines were announced.Source: Moneycontrol Top Headlines | 21 Feb 2009 | 2:53 pm Satyam stake sale should not take long - minNEW DELHI (Reuters) - The government expects the sale of a stake in Satyam Computer Services Ltd will not take long, and will let the new board of the fraud-hit firm decide whether or not it sells a majority holding, a minister said on Saturday.Source: Reuters: Money News | 21 Feb 2009 | 2:40 pm Satyam seeks nod to bring in investor, wins new workMUMBAI (Reuters) - Satyam Computer Services will submit a plan to pick a strategic investor to regulators next week, and said on Saturday it had won work worth more than $250 million since it was hit by India's biggest corporate fraud last month.Source: Reuters: Money News | 21 Feb 2009 | 1:49 pm Rolls Royce previews its Phantom Coupe in the countryRolls Royce Motor Cars previewed Phantom Coupe, its fourth new model in the Phantom brand line-upSource: Daily News & Analysis: Money News | 21 Feb 2009 | 1:26 pm New interest rate: SBI\'s strategy is to regain market shareThe country\'s largest bank State Bank of India (SBI) has frozen interest rates on new car loans at 10% and farm loans at 8%. SBIs strategy clearly seems to grab the market share that it had lost to ICICI Bank and HDFC Bank.Source: Moneycontrol Top Headlines | 21 Feb 2009 | 1:00 pm Maytas Infra hearing postponed to Feb 26Maytas Infra got relief within the CLB mentioning hearing. They were seeking an extension for the period to file the reply and they have been given a two day extension now. The hearing on Maytas Infra case will now take place on Feb 26 instead of Feb 24. However, Maytas Property was denied an extension and will have to present the story on Feb 24.Source: Moneycontrol Top Headlines | 21 Feb 2009 | 12:58 pm DLF placates buyers from pulling out of Chennai projectDays after DLF\'s maiden housing project in Chennai had run in to trouble with buyers over the project\'s delay; CNBCTV18 has now learnt that the company has reached out to them in a bid to stop a majority of them from pulling out.Source: Moneycontrol Top Headlines | 21 Feb 2009 | 12:55 pm Satyam board approves process to invite offersHyderabad: Kicking off the formal process for inducting a strategic investor, the Satyam board on Saturday approved the procedure to invite offers from likely suitors. The board also gave its nod for seeking the regulatory approval early next week to induct a strategic investor. The decisions follow the approval from the Company Law Board on Thursday in this regard. It has also recommended the removal of statutory auditor Price Waterhouse and is looking for a new auditor. The board decision on Saturday will pave the wave for prospective suitors to put forward their expression of interest for strategic stake in Satyam. B.K. Modi-promoted Spice Group, Hinduja Group and Larsen&Toubro are the likely suitors. A company statement after the board meeting said Satyam has received new orders worth $250 million in the last seven weeks. Board member T.N. Manoharan said the company is receiving offers from banks for funding of the company. The board also authorised company CEO A.S. Murthy to implement staff retention plans. Source: Home - Livemint.com | 21 Feb 2009 | 12:46 pm
|
