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Top 8 cos add Rs 23k cr; ONGC, Airtel see value erosion!As many as eight out of the top ten most valued companies added over Rs 23,000 crore to their market capitalisation in the last week.Source: Zee News : Business | 20 Sep 2009 | 6:12 am Protesters hope to highlight issues at G-20 summit!An anti-war group plans to set up a tent city during the Group of Twenty economic summit this week to focus attention on the plight of women and children made refugees by war.Source: Zee News : Business | 20 Sep 2009 | 6:12 am Job mkt still grim; 27 people lose job per hour!Despite the US economy showing indications of recovery, the global job market remains gloomy, with companies laying off at least 27 employees every hour to cut costs.Source: Zee News : Business | 20 Sep 2009 | 6:12 am Dodd to push for single US bank regulator: Report!US Senate Banking Committee Chairman Christopher Dodd plans to propose legislation that would merge four bank agencies into one super-regulator, The New York Times reported on Saturday.Source: Zee News : Business | 20 Sep 2009 | 6:12 am FII inflows set to cross USD 10 bn-mark this month: Analysts!Foreign investment in the Indian stock markets may cross USD 10 billion-mark by the end of this month.Source: Zee News : Business | 20 Sep 2009 | 6:12 am Telecom, auto ad budgets fall, sales grow: AssochamCompanies in the telecom and auto sectors have witnessed robust growth in turnover despite not increasing their advertisement budgets, according to the Associated Chambers of Commerce and Industry (Assocam), an industry lobby.Source: Hindustan Times News Feeds 'Business' | 20 Sep 2009 | 5:57 am Drop in attrition rate and salary of IT employeesThe economic slowdown seems to have seen a drop in attrition rate and salary increase of IT employees, according to a survey.Source: Hindustan Times News Feeds 'Business' | 20 Sep 2009 | 4:45 am Govt approval for CEO's salary not called for: KhurshidCompanies will no more be required to seek approval of the government for raising the salaries of CEOs and directors once the new company law comes into effect, Corporate Affairs Minister Salman Khurshid has said today.Source: Hindustan Times News Feeds 'Business' | 20 Sep 2009 | 4:32 am Nilkamal to invest Rs 140 cr in home furnishing bizNilkamal Ltd, India's largest manufacturer of moulded furniture, plans to open around 40-50 stores in the next three years and has earmarked an investment of Rs 140 crore for the purpose, a top company official said.Source: Hindustan Times News Feeds 'Business' | 20 Sep 2009 | 4:31 am FII inflows set to cross $10 bn-mark this month: analystsForeign investment in the Indian stock markets may cross $ 10 billion-mark by the end of this month as a hefty $ 9.8 billion (Rs 47,674 crore) have already been poured into the bourses by overseas entities so far this year, analysts feel.Source: Hindustan Times News Feeds 'Business' | 20 Sep 2009 | 3:43 am Nalco to invest Rs 25000 crore despite profit drop - Economic Times
Source: Business - Google News | 20 Sep 2009 | 3:42 am Nalco to invest Rs25,000 cr despite low profitBhubaneswar: Aluminium giant Nalco will invest over Rs25,000 crore to launch new projects and undertake major expansion despite decline in profit due to the global recession. “Though disinvestment has to be a government decision as it is the owner, Nalco does not figure in the list of public sector companies likely to be disinvested now,” Nalco CMD C.R. Pradhan told reporters. The government has not sought any comment from the Navaratna company in this connection, Pradhan said. Despite adverse market conditions due to the global meltdown that led to fall in its net profit to Rs1,272 crore during 2008-09 against Rs1,632 crore in the previous year, Nalco achieved a record turnover of Rs5,631 crore last fiscal compared to Rs5,576 crore during previous year, he said. Posting a 100% capacity utilisation in Alumina Refinery and Smelter, Nalco achieved highest ever cast metal production of 361,262 tonnes in 2008-09 against 360,457 tonnes in 2007-08, the company CMD said. On new domestic projects, he said besides a Rs6,000 crore alumina refinery in Andhra Pradesh, the company plans to set up a five lakh tonne smelter plant and 1250 MW power unit in Orissa’s Jharsuguda district at an investment of more than Rs16,000 crore. The proposal for smelter and power plant at Brajarajnagar in Jharsuguda district has been conditionally approved by the Orissa government, he said adding the project is proposed without any coal, mineral and water linkages. About the Navaratna company’s move to foray into nuclear energy sector, he said an MoU is likely to be concluded with the nuclear power corporation by the end of this month or early next month for setting up a nuclear power plant in the country. While, the nuclear power corporation’s board has approved the proposed joint venture with Nalco, the location and size of the plant is yet to be decided, he said. On projects abroad, Pradhan said an aluminium smelter is in pipeline in Indonesia for which the government of that country has approved the foreign investment proposal. Source: LatestNews-Home - Livemint.com | 20 Sep 2009 | 3:40 am Prime Minister Dr. Manmohan Singh's prescription for G-20 - Sify
Source: Business - Google News | 20 Sep 2009 | 3:39 am Indian ADRs gain $ 3.4 bn in a week; Infosys major gainerLed by IT bellwether Infosys Technologies, Indian stocks trading on American bourses gained more than $ 3 billion in a week.Source: Hindustan Times News Feeds 'Business' | 20 Sep 2009 | 3:37 am IMF chief sees no need to help Turkey - papersANKARA (Reuters) - International Monetary Fund chief Dominique Strauss-Kahn was quoted as saying by Turkish newspapers on Sunday that he saw "no need for now" for Turkey to agree on a loan deal with the international lender.Source: Reuters: Money News | 20 Sep 2009 | 3:13 am Patented drugs market in India to touch $8 bn by 2015: ReportThe increasing population of higher-income group in the country will open a potential $ 8 billion market for multi-national companies selling costly patented drugs by 2015, a FICCI-Ernst & Young study said.Source: Hindustan Times News Feeds 'Business' | 20 Sep 2009 | 3:11 am Finance ministry not opposing new FDI normsNew Delhi: Shedding earlier reservations over some aspects of the controversial new FDI guidelines, the finance ministry now says it does not have any objection to new rules that changed the criteria for calculation of foreign ownership in a company and its downstream investment. However, whether the new scenario will pave the way for Bharti-MTN deal to comply with sectoral caps is not yet clear. “We are not opposed to Press Notes (2,3 and 4). Earlier, we may have some opposition to some aspects of these Notes. We are doing everything to implement these notes, approved by the Cabinet,” a key source said in the national capital. He said the Foreign Investment Promotion Board (FIPB) has been approving cases, based on these notes. When asked whether Bharti-MTN deal will require FIPB permission to go through or will it breach the sectoral cap as per the new norms, he said the board has not taken a call on it as the deal has not come to it. The deal to create the world’s third largest telecom company with 200 million subscribers and over $20 billion of revenue is still in negotiating stage and is yet to fructify as it has to cross some hurdles, including dual listing of MTN on South African and Indian bourses with equal voting rights. Earlier, the department of economic affairs in the finance ministry had objected to some aspects of the new foreign investment norms, saying they rendered sectoral FDI limits meaningless. The Reserve Bank of India had also opposed the new press notes, saying the norms could encourage investors to set up companies in which non-resident entities hold 49% and skirt sectoral FDI limits. The department of industrial policy and promotion (DIPP) under the commerce ministry issued these press notes outlining the revised FDI guidelines. DIPP issued press notes 2 and 3, dealing with calculations of foreign investment in a company and investment in downstream entities. Since there were doubts regarding these issues, DIPP came out with Press Note 4. These notes have replaced the conventional proportionate method of computing foreign indirect equity by the parameter of beneficial ownership and control of entities at each stage of investment. As per press note 3, foreign investment will include all types of foreign investments -- foreign direct investment, investment by FIIs, NRIs, ADRs, GDRs and convertible preference shares. This was not the case earlier. After these press notes, even if unrelated foreign investors in totality hold more than 50% in an Indian company, it will be treated as foreign investor. As per press note two, FDI routed through an Indian company owned and controlled by resident Indians will not be taken into account while calculating sectoral limits. Source: Home - Livemint.com | 20 Sep 2009 | 3:08 am India, ASEAN to start talks on opening services trade soonAfter signing a Free Trade Agreement that will eventually lead to duty-free commerce for bulk of the trade, India and the 10-nation ASEAN bloc are set to start talks for opening the crucial services sector.Source: Hindustan Times News Feeds 'Business' | 20 Sep 2009 | 3:06 am National Aluminium plans nuclear power plantThe state-owned National Aluminium Co (Nalco) is focusing on diversification, including setting up a nuclear power plant and moving into other metals, to meet the economic meltdown.Source: IndiaeNews.com: Business News | 20 Sep 2009 | 3:01 am Sun Pharma to file 30 applications for generic drugsNew Delhi: Sun Pharmaceutical Industries, the country’s most valued drug maker, aims to file 30 applications in the US for manufacturing and marketing of its generic products, said chairman and managing director Dilip Shanghvi. The company would file these applications along with its US-based subsidiary Caraco, which is facing trouble due to non-compliance of current good manufacturing practice of the US drug regulator. “This year too, we intend to file 30 Andas in the US across the two companies,” Shanghvi said in his speech to the shareholders of the company during the annual general meeting held recently. We continue to spend for product development and file new products from these sites in India and the US, he said. Between Sun and Caraco, 111 products are pending with the USFDA (Food and Drug Administration). An abbreviated new drug application (Anda) is an application for a generic drug approval in the US for an existing licensed medication or approved drug. The $30 billion-plus US generic market, the largest generic market in the world, is of great interest to all pharma companies across the world with global aspirations. Last year, generics accounted for 71% of the US pharma market by prescription. India and the US, the two largest markets for Sun Pharma, together accounted for 80% of the company’s turnover in the latest financial year. Stating about the Rs36,000-crore pharmaceutical market of India, Shanghvi said market competition has been intense and will continue to remain so in foreseeable future. Companies with global presence continue to either set up operations or enter into contract manufacturing agreements with companies in India with the purpose of creating a low cost sourcing base for their global operations. “Over and above this, competition from Chinese companies is on the increase strong effort at enhancing their presence in the regulated markets globally,” he said. According to Shanghvi, the new patent regime, which was introduced in 2005, is likely to have an impact in the years to come. “We expect the pipeline of new drugs available for launch to gradually shrink,” he further said. The recent acceptance of the revised Mashelkar Report, which recommends patenting of incremental changes may be an indicator of things to come. Of course, these are not the country’s best interests in the long run. Currently, in India the patenting of incremental changes are not allowed under the law. “This will open up a floodgate of patent applications for rudimentary changes and may result in patent life being extended far beyond what it is worth,” Shanghvi added. Source: LatestNews-Home - Livemint.com | 20 Sep 2009 | 2:26 am Hindalco draws up Rs 16000 cr capex over next two years - Economic Times
Source: Business - Google News | 20 Sep 2009 | 2:16 am Crime tracking network system by 2011-12New Delhi: The Centre’s ambitious Rs2,000-crore project to bring all 16,000 police stations in the country under a single network to counter terror challenges will become operational by 2011-12. “We are working on Crime and Criminal Tracking Network and Systems (CCTNS). That will link each of the 16,000 police station in India so that any of the police stations can contact any other police station for any information,” a home ministry official said. The states have appointed nodal officers for the project’s early completion and all of them have signed memorandum of understanding with the Centre for the purpose. “Once the CCTNS is completed, it will mark a quantum jump in country’s ability to counter various challenges to internal security, particularly terror threats,” the official said. Key objectives of the CCTNS project include creating platforms at state and Central levels for sharing crime and criminal information and databases across across the country. This would enable easy sharing of real-time information across police stations and districts at the state level and across states, at the national level, thereby resulting in improved investigation and crime prevention and better tracking of criminals, suspects, accused and repeat offenders. It will also help in creating a platform for sharing intelligence across the states, across the country and across other state-level and central agencies. Besides, it would facilitate improved service delivery to the public, access to police services in a citizen-friendly manner and provide alternative modes of service delivery such as Internet. The CCTNS project covers all 35 states and Union territories. Within states, more than 16,000 police stations and 6,000 higher offices, including district headquarters and range offices, are covered. The system will provide enhanced tools for investigation, crime prevention, law and order maintenance and other functions like traffic management and emergency response. Source: LatestNews-Home - Livemint.com | 20 Sep 2009 | 2:08 am Crime tracking network system by 2011-12New Delhi: The Centre’s ambitious Rs2,000-crore project to bring all 16,000 police stations in the country under a single network to counter terror challenges will become operational by 2011-12. “We are working on Crime and Criminal Tracking Network and Systems (CCTNS). That will link each of the 16,000 police station in India so that any of the police stations can contact any other police station for any information,” a home ministry official said. The states have appointed nodal officers for the project’s early completion and all of them have signed memorandum of understanding with the Centre for the purpose. “Once the CCTNS is completed, it will mark a quantum jump in country’s ability to counter various challenges to internal security, particularly terror threats,” the official said. Key objectives of the CCTNS project include creating platforms at state and Central levels for sharing crime and criminal information and databases across across the country. This would enable easy sharing of real-time information across police stations and districts at the state level and across states, at the national level, thereby resulting in improved investigation and crime prevention and better tracking of criminals, suspects, accused and repeat offenders. It will also help in creating a platform for sharing intelligence across the states, across the country and across other state-level and central agencies. Besides, it would facilitate improved service delivery to the public, access to police services in a citizen-friendly manner and provide alternative modes of service delivery such as Internet. The CCTNS project covers all 35 states and Union territories. Within states, more than 16,000 police stations and 6,000 higher offices, including district headquarters and range offices, are covered. The system will provide enhanced tools for investigation, crime prevention, law and order maintenance and other functions like traffic management and emergency response. Source: Tech News - Livemint.com | 20 Sep 2009 | 2:08 am Emerging nations seek stronger voice at G20 summitBrazil, Russia, India, China and South Africa are seeking greater representation and voting rights at the International Monetary Fund (IMF) and the World Bank to reflect their growing economic clout.Source: Hindustan Times News Feeds 'Business' | 20 Sep 2009 | 1:53 am Telecom, auto ad budgets fall, sales grow: AssochamCompanies in the telecom and auto sectors have witnessed robust growth in turnover despite not increasing their advertisement budgets, according to the Associated Chambers of Commerce and Industry (Assocam), an industry lobby.Source: IndiaeNews.com: Business News | 20 Sep 2009 | 1:30 am Kolkata idol makers e-sale Durga idolsKolkata: Working out of their tiny tents in the dingy bylanes of north Kolkata, the idol makers of Kumartuli are now banking upon the Internet to reach out to the overseas clients. E-selling of idols of Goddess Durga is catching up with a few doing brisk business through the World Wide Web. Earlier, organisers of Durga Puja abroad had to come down personally or contact the sculptors through relatives or intermediaries in the city. “But now with our website, we easily sell our products to buyers settled abroad. They just log onto the website, see the catalogue posted there and e-mail us their requirement. We then deliver the idol at a place of their choice,” said Pradyut Pal, who is involved in sculpting for generations. Pradyut looks after marketing while his uncle Gopal Paul, cousins and brothers make the idols. “And the best part is that the middleman is eliminated as buyers contact us directly. This makes us more independent and gives us a better margin,” he added. With the Bengali community residing in various parts of the world, including the US, UK, Europe and South-East Asia, local artisans are leaving no stone unturned to cash on the the Internet. Few years ago, steel baron L.N. Mittal had reportedly sponsored an idol of Ramesh Pal, including its transportation from Kumartuli to London, for a Puja organiser there. Renowned artisan Amarnath Ghosh said, ”It was my son Kaushik who insisted on having a website. It has made communication easier for us. The overseas market is expanding by each passing year. I have sent 18 idols abroad this year.“ The cyberworld has helped them find new markets. For the first time this year we have found a market in the Fiji islands, he added. For veteran artist Dilip Pal, his daughter is creating a website for him. “That will certainly help us. But the work for the website will not be completed by this year,” he said. It was in 2004 when the idea of online marketing struck these artisans. “With just one order in the first year, we managed to get six overseas orders in 2006,” Pradyut Pal said while ruing that this year he got only three orders from abroad. “Its all because of recession that they are not spending much. But if you look at our local orders, we are happy as the business has been good this year,” he added. Instead of the usual clay idols, foreign clients prefer idols made of fibreglass or papier mache as these are light and unbreakable and they use the same idol for five to seven years because of the high cost of procurement and the difficulties of performing the immersion in foreign waters. “The overseas orders are good this year. Last year, 45 idols were sent out from Kumartuli. This year, we have already sent 10 more than that,” said Babu Pal, secretary of the Kumartuli Mritshilpi Sanskritik Samity. Source: LatestNews-Home - Livemint.com | 20 Sep 2009 | 1:11 am Kolkata idol makers e-sale Durga idolsKolkata: Working out of their tiny tents in the dingy bylanes of north Kolkata, the idol makers of Kumartuli are now banking upon the Internet to reach out to the overseas clients. E-selling of idols of Goddess Durga is catching up with a few doing brisk business through the World Wide Web. Earlier, organisers of Durga Puja abroad had to come down personally or contact the sculptors through relatives or intermediaries in the city. “But now with our website, we easily sell our products to buyers settled abroad. They just log onto the website, see the catalogue posted there and e-mail us their requirement. We then deliver the idol at a place of their choice,” said Pradyut Pal, who is involved in sculpting for generations. Pradyut looks after marketing while his uncle Gopal Paul, cousins and brothers make the idols. “And the best part is that the middleman is eliminated as buyers contact us directly. This makes us more independent and gives us a better margin,” he added. With the Bengali community residing in various parts of the world, including the US, UK, Europe and South-East Asia, local artisans are leaving no stone unturned to cash on the the Internet. Few years ago, steel baron L.N. Mittal had reportedly sponsored an idol of Ramesh Pal, including its transportation from Kumartuli to London, for a Puja organiser there. Renowned artisan Amarnath Ghosh said, ”It was my son Kaushik who insisted on having a website. It has made communication easier for us. The overseas market is expanding by each passing year. I have sent 18 idols abroad this year.“ The cyberworld has helped them find new markets. For the first time this year we have found a market in the Fiji islands, he added. For veteran artist Dilip Pal, his daughter is creating a website for him. “That will certainly help us. But the work for the website will not be completed by this year,” he said. It was in 2004 when the idea of online marketing struck these artisans. “With just one order in the first year, we managed to get six overseas orders in 2006,” Pradyut Pal said while ruing that this year he got only three orders from abroad. “Its all because of recession that they are not spending much. But if you look at our local orders, we are happy as the business has been good this year,” he added. Instead of the usual clay idols, foreign clients prefer idols made of fibreglass or papier mache as these are light and unbreakable and they use the same idol for five to seven years because of the high cost of procurement and the difficulties of performing the immersion in foreign waters. “The overseas orders are good this year. Last year, 45 idols were sent out from Kumartuli. This year, we have already sent 10 more than that,” said Babu Pal, secretary of the Kumartuli Mritshilpi Sanskritik Samity. Source: Tech News - Livemint.com | 20 Sep 2009 | 1:11 am GSPC gets nod to develop gas field - report - Reuters India
Source: Business - Google News | 20 Sep 2009 | 12:39 am GSPC gets nod to develop gas field - reportMUMBAI (Reuters) - Gujarat State Petroleum Corp.'s plan to develop a gas field off the Andhra Pradesh coast has been approved by the Directorate General of Hydrocarbons (DGH), the Business Standard reported on Sunday.Source: Reuters: Money News | 20 Sep 2009 | 12:30 am Gold to remain firm this weekNew Delhi: Gold prices will continue to remain bullish and are expected to hover around Rs16,000 this week as the US dollar is showing a weakening trend amid a better demand for the metal in the domestic market, analysts said. “We expect gold to continue with the firm trend to trade at Rs15,500-16,000 per 10 gram level as the US greenback is weak,” brokerage firm SMC Global’s Rajesh Jain said. Gold and dollar generally trend in opposite directions. The US dollar, which is considered a safe haven, softens due to weakening economic condition. As dollar declines, many investors and central banks continue to hold gold as their safe haven to protect themselves from unforeseen global economic shocks, boosting the demand for the yellow metal. Jain said that last week gold had taken a consolidation due to the past hectic rally and also on reports that the International Monetary Fund is considering to sell one-eighth of its total gold, worth about $13 billion at current price, to provide soft loans to poor countries. Religare Commodities Energy and Metals In-Charge Somnath Dey said the bullish trend in gold is likely to continue till Diwali. The physical demand in the domestic market will keep gold prices firm and in the international market it would be over $1,010 an ounce due to declining dollar, he said. Gold for October contract on Multi Commodity Exchange was trading at Rs15,820 per 10 grams, while in the global markets it was at $1,006 dollars an ounce (28.34 grams) last week. Other factors like China building up its gold reserves will also boost the prices of the precious metal, Dey added. Source: Home - Livemint.com | 20 Sep 2009 | 12:30 am India Inc eyeing Sri Lanka for projectsMany Indian companies like ICICI Bank, the Aditya Birla Group, Tata group, Indian Oil Corporation and Ashok Leyland, among others, are already present in Sri Lanka.Source: Daily News & Analysis: Money News | 20 Sep 2009 | 12:15 am Govt seeks details on SBI, State Bank of Indore mergerNew Delhi: The government has sought some clarifications on issues such as workforce integration from State Bank of India on its proposal to merge State Bank of Indore with itself. Issues such as cost benefit analysis on merger of the associate bank with the parent entity and employee integration among other things require clarity and were discussed with SBI, an official said. Besides, sources said, the government would also like to know the experience with regard to merger of the State Bank of Saurastra that was merged with parent SBI in August 2008. For merger to take place, both the banks have to obtain permission from the sector regulator Reserve Bank of India. The boards of the respective banks have already given in-principle approval for the merger in June this year. SBI initially had seven associates and with the merger of State Bank of Indore, the number would come down to five. State Bank of Indore is the smallest associate bank of the SBI Group after the merger of State Bank of Saurashtra. Besides State Bank of Indore, the other SBI associates are State Bank of Travancore, State Bank of Patiala, State Bank of Bikaner and Jaipur, State Bank of Mysore and State Bank of Hyderabad. SBI holds 98% stake in the State Bank of Indore that posted a net profit of Rs279 crore in 2008-09. At the same time total business of the bank stood at Rs49,432 crore with the capital adequacy of 13.4% at the end of March 2009. SBI chairman O.P. Bhatt had said, “Once we get the signal (from the government), the process will not take more than three to six months... we have taken initiative on our own for the merger.” Favouring consolidation in the banking sector, Bhatt had said the country needs at least five banks of the size of SBI to service the growing needs of the Indian economy. “One way of getting size would be consolidation. We need to kick in consolidation as quickly as possible and we should have at least 3-5 banks as size of State Bank of India,” he had said. Source: Home - Livemint.com | 20 Sep 2009 | 12:07 am Online student visa: Australia suspends 200 agentsThe Australian Government has suspended close to 200 agents operating in a number of countries from lodging student visa applications because of evidence of fraud or poor approval rates. In order to regain their access to the online system,Source: Business Line - Home Page | 20 Sep 2009 | 12:00 am Set floor space norm for retail FDI: Rajan MittalNew Delhi, Sept. 19 Bharti Enterprises will invest $2 billion (around Rs 10,000 crore) and employ 60,000 people in their retail sector units bySource: Business Line - Home Page | 20 Sep 2009 | 12:00 am Reliance tries its luck again in Cauvery offshoreReliance Industries Ltd (RIL) has returned to the Cauvery offshore block, and officials told Business Line that the initial testing of the reservoir in the appraisal well suggests good hydrocarbon prospects.Source: Business Line - Home Page | 20 Sep 2009 | 12:00 am Weekly News Round upTen days after the West Bengal Government cancelled land allotment to Infosys and Wipro following the scrapping of a proposed IT township project near Rajarhat, the Chief Minister, Mr Buddhadeb Bhattacharjee, on Thursday offered alternative plots ofSource: Business Line - Home Page | 20 Sep 2009 | 12:00 am Stimulus package to continue until economy recoversThe Government has decided not to reverse the stimulus package till the US and European economies recovered fully.Source: Business Line - Home Page | 20 Sep 2009 | 12:00 am Lakhpatis on the double to banksBL Research Bureau It is an Indian banking industry’s version of the Forbes’ billionaires list.Source: Business Line - Home Page | 20 Sep 2009 | 12:00 am Domestic institutions, not FIIs, powered stock market rallyContrary to popular belief, foreign institutional investors (FIIs) are not the prime driving force behind the recent stock market rally. FIIs have preferred to buy equity stakes directly from promoters through qualified institutional placementsSource: Business Line - Home Page | 20 Sep 2009 | 12:00 am S.Korea's Lee asks G20 for "well-sequenced" exit strategiesSEOUL (Reuters) - South Korean President Lee Myung-bak said he wanted "well-sequenced exit strategies" implemented around the world in the coming months while adding global leaders should not act hastily.Source: Reuters: Money News | 19 Sep 2009 | 11:52 pm Bankers say multiple PLRs would enhance transparencyMumbai: With a Reserve Bank panel constituted to rework benchmark prime lending rate (BPLR) widely expected to recommend multiple PLR system, bankers welcomed the development as this would bring more transparency in the lending operations. The central bank panel, headed by RBI executive director Deepak Mohanty and comprising external experts and IBA, is also expected to put a ceiling on the sub-PLR advances of the banks. “This is a welcome move. Capping the sub-PLR loans will help to avoid undue competition in the market. There will be more transparency and relevance to BPLR mechanism in the industry,” said Union Bank of India, deputy general manager , corporate banking, R.G. Kelkar in Mumbai. Presently larger banks, with deep pockets, woo prime-customers offering loans at very lower rates, thereby putting pressure on their smaller competitors. Discriminating pricing of wholesale and retail loans will help to develop more customer-confidence. The double-PLR system will also help banks to price their advances in a better way, Kelkar said. The RBI panel is understood to have mooted two PLRs -- one for retail and one for wholesale borrowers in its draft report, which is most likely to be inducted in the final report. The RBI-group is likely to submit its report to apex bank governor D. Subbarao by the end of this month. “There is a possibility that banks may maintain their retail PLR at around 12%. Ideally, the wholesale benchmarking could be 200-300 basis points below this,“ Kelkar said. Reserve bank constituted a special working group to revisit the existing BPLR structure in July this year to bring more transparency and uniformity in the manner in which banks arrive the BPLR. Kotak Mahindra Bank’s head of retail liabilities, K.V.S Manian said that many private sector banks already have the system of double BPLRs and a regulation in this effect is unlikely to result in any major impacts in the industry. “This is not going to cause any major changes in the market, as banks will adjust their PLRs in such a way not to lose the prime customer-base,” Manian said. However, a senior official with state-owned IDBI Bank, said if banks are asked to curb their sub-PLR loans, this may impact their asset book. “Interest rates are determined by the market. If banks are asked to curb their sub-PLR loans, this will affect the business of banks, as potential clients may move to other lenders, who offer lowest rates in the market,” the official said. Though the exclusion of home loans from the BPLR’s fold was under consideration, the working group is unlikely to accept this suggestion as it feels that double BPLR system will alone help to bring transparency in banks’ lending, sources said. Once RBI puts a ceiling to the sub-PLR advances, banks cannot lend to potential customers at very lower (sub-PLR) rates beyond a percentage of their total incremental advances. Source: LatestNews-Home - Livemint.com | 19 Sep 2009 | 11:51 pm Nilkamal to invest Rs 140-cr for expanding @Home store networkNilkamal clocked a turnover of Rs 1,000-crore last fiscal with @Home contributing around Rs 127-crore.Source: Daily News & Analysis: Money News | 19 Sep 2009 | 11:47 pm India, Asean keen on services tradeNew Delhi: After signing a free trade agreement that will eventually lead to duty-free commerce for bulk of the trade, India and the 10-nation Asean bloc are set to start talks for opening the crucial services sector. “Negotiations for the free trade pact (between India and Asean) on services sector will begin soon,” said ambassador of Thailand Krit Kraichitti. He, however, said given the complex nature of issues involved among India and 10 countries of Southeast Asia, it would take about two years for the negotiations to conclude. Services sector is of key interest to Indian economy as it contributes over 55% to the GDP. It is also emerging as an important area for export earnings for the country. But the sector faces hurdles such as harsh domestic regulations, including those relating to visa, and the complex tax regime. Noting that the services sector is “very important” to multiply trade and investment between Asean countries and India, the Thai ambassador said “safeguard measures” will have to be incorporated before finalising the pact. “Services sector is very important. The pact will benefit all,” he said, but added that there would be safeguards built into the agreement, which will have to be “finalised carefully”. Source: Home - Livemint.com | 19 Sep 2009 | 11:29 pm Why the Bharti-MTN deal won't workThe history of megamergers and acquisitions (AOL-Time Warner, Citibank-Travellers) proves that most mergers end up destroying shareholder value.Source: Daily News & Analysis: Money News | 19 Sep 2009 | 10:20 pm Dodd to push for single U.S. bank regulator - reportNEW YORK (Reuters) - U.S. Senate Banking Committee Chairman Christopher Dodd plans to propose legislation that would merge four bank agencies into one super-regulator, The New York Times reported on Saturday.Source: Reuters: Money News | 19 Sep 2009 | 10:13 pm Spanish protest against Magna over Opel -- mediaMADRID (Reuters) - Thousands of people marched through the streets of Zaragoza in northeast Spain on Saturday to protest against Canada's Magna acquiring 55 percent of General Motors' Opel, Spanish media reported.Source: Reuters: Money News | 19 Sep 2009 | 9:57 pm India against credit curbs to check price rise - Pranab MukherjeeBANGALORE (Reuters) - The government opposes tighter monetary policy to curb rising food prices as this would hit economic growth, Finance Minister Pranab Mukherjee said on Saturday.Source: Reuters: Money News | 19 Sep 2009 | 9:23 pm Financial regulation rises to top of G20 agendaWASHINGTON (Reuters) - President Barack Obama, preparing to meet with other G20 leaders in Pittsburgh, on Saturday stressed the need for regulations to prevent another global economic crisis and German Chancellor Angela Merkel was optimistic agreement could be reached at the summit.Source: Reuters: Money News | 19 Sep 2009 | 9:23 pm Chinatrust Bank to cash in on Guj with Ahmedabad branchChinatrust Bank, a private sector bank based out of Taiwan will open its branch in Ahmedabad. It will be the second branch of the bank in India after Delhi.Source: Daily News & Analysis: Money News | 19 Sep 2009 | 8:55 pm In Mamata's scheme of things, green routs - Times of India
Source: Business - Google News | 19 Sep 2009 | 7:35 pm AI does a Jet, leaves no seat for 23 fliers - Times of India
Source: Business - Google News | 19 Sep 2009 | 7:13 pm Govt zeroes in on likely site for financial city - Times of India
Source: Business - Google News | 19 Sep 2009 | 6:54 pm Govt to 'wait & watch' before reversing stimulus - Economic Times
Source: Business - Google News | 19 Sep 2009 | 4:47 pm Modi needs to be cross-examined to arrive at truth, says Manch - Hindu
Source: Business - Google News | 19 Sep 2009 | 3:19 pm No law can guarantee safety from fraud, says ICAI presidentCorporate enterprises will have to make extra efforts to avoid fraud in their companies as no law can guarantee against it, the Institute of Chartered Accountants of India (ICAI) president said.Source: Hindustan Times News Feeds 'Business' | 19 Sep 2009 | 3:14 pm Rationale behind RIL's treasury stock sale not yet clear - Economic Times
Source: Business - Google News | 19 Sep 2009 | 1:24 pm It's raining money on UP sugarcane farmersOver seven million sugarcane farmers in Uttar Pradesh, the countrys second-largest sugar producing state, are weeks away from harvesting a small but rich crop. Mills buy sugarcane from them at a price advised by the state government. This year, they expect to be paid at least Rs 200 a quintal, up sharply from Rs 140 a quintal in the previous season.Source: Business Standard | Front Page Headlines | 19 Sep 2009 | 12:47 pm Rating of colleges likely soonCredit rating agencies like Crisil, Icra and Care could soon get to grade educational institutions. This will help aspirants to compare institutes across various parameters, and help companies in the education space to raise funds. The Union Ministry of Human Resource Development has put up a note to this effect in the Cabinet. A decision is expected in a month's time.Source: Business Standard | Front Page Headlines | 19 Sep 2009 | 12:46 pm Hyderbad Metro ropes in Deloitte as adviserConsultancy firm Deloitte India has been appointed financial consultant and transaction adviser for the Rs 12,132-crore Hyderabad Metro Rail project.Source: Business Standard | Front Page Headlines | 19 Sep 2009 | 12:43 pm Bollywood takes a big betThe days of big-budget films are back. Between October and January, at least five films will be released with budgets of Rs 75 crore to Rs 90 crore. These include Blue, London Dreams, 3 Idiots, Kites and My Name is Khan. All told, nearly Rs 500 crore is at stake on big-budget films. And one in six films scheduled for release in the next five months is a big film made with a budget of over Rs 50 crore.Source: Business Standard | Front Page Headlines | 19 Sep 2009 | 12:42 pm RIL's gas output may be 4 times the estimateWill reduce the country's dependence on imported gas.Source: Business Standard | Front Page Headlines | 19 Sep 2009 | 12:41 pm HDFC Bk Chief on Lehman impact, interest rates, MAAditya Puri talks on Lehmans strange impact on India when public preference appeared to shift from aggressive private sector banks to staid public sector banks. Puri gets candid on what he has learnt from the crisis and whether he sees the dice loaded in favour of PSU banks and how he is countering a new aggressive State Bank of India.Source: Moneycontrol Top Headlines | 19 Sep 2009 | 11:00 am INTERVIEW - Russia may ease foreign access to energy projectsSOCHI, Russia (Reuters) - Russia will discuss relaxing laws regulating foreign participation in offshore energy projects to attract investment from abroad, Natural Resources Minister Yuri Trutnev told Reuters on Saturday.Source: Reuters: Money News | 19 Sep 2009 | 10:48 am Austerity measures not to compromise security: MukherjeeAusterity measures the government has introduced are not at the cost of security for top leaders, Finance Minister Pranab Mukherjee clarified here Saturday.Source: IndiaeNews.com: Business News | 19 Sep 2009 | 10:00 am VW to take stake in Suzuki this year - reportFRANKFURT (Reuters) - Vokswagen, Europe's largest carmaker, is expected to take a stake in Japan's Suzuki Motor by the end of 2009, German industry publication Automobilwoche report, citing an unnamed Suzuki executive.Source: Reuters: Money News | 19 Sep 2009 | 9:34 am No law can guarantee safety from fraud, says ICAI presidentCorporate enterprises will have to make extra efforts to avoid fraud in their companies as no law can guarantee against it, the Institute of Chartered Accountants of India (ICAI) president said Saturday.Source: IndiaeNews.com: Business News | 19 Sep 2009 | 9:31 am Dikshit to make surprise visits to Delhi's battered roadsChief Minister Sheila Dikshit Saturday decided to undertake surprise check of the national capital's roads on a daily basis to ensure they are properly maintained.Source: IndiaeNews.com: Business News | 19 Sep 2009 | 9:30 am Ambuja Realty opens City Centre II in KolkataReal estate major Ambuja Realty Saturday opened its much-awaited City Centre II which has a mall and a five-star hotel and was built at a cost of Rs.275 crore.Source: IndiaeNews.com: Business News | 19 Sep 2009 | 9:01 am Turkey, Qatar mull LNG pipeline via Saudi ArabiaANKARA (Reuters) - Turkey and Qatar have formed teams to start work on a possible LNG pipeline across Saudi Arabia that would ship Qatari gas to Turkey, Turkish Energy Minister Taner Yildiz said on Saturday.Source: Reuters: Money News | 19 Sep 2009 | 8:41 am States should get say in preparing below poverty list: Kerala ministerKerala Food Minister C. Divakaran Saturday said the recommendations of the state governments should be taken into account when the list of people below poverty line (BPL) is prepared.Source: IndiaeNews.com: Business News | 19 Sep 2009 | 8:30 am Pranab admits to problem on food price frontFinance Minister Pranab Mukherjee Saturday admitted that the government had a problem on the food price front due to a dichotomy in the wholesale price index (WPI) and the consumer price index (CPI).Source: IndiaeNews.com: Business News | 19 Sep 2009 | 8:02 am At G20, India to pitch for reform of global financial bodiesIndia will make a pitch for reforms of world financial institutions and concrete steps to mitigate the global crisis when Prime Minister Manmohan Singh participates in the G20 summit of major and emerging economies in Pittsburgh Friday.Source: IndiaeNews.com: Business News | 19 Sep 2009 | 8:01 am Pakistan to arrest Hafiz Mohammad SaeedIslamabad: Pakistani police plan to arrest an Islamist militant leader accused by India of masterminding last year’s Mumbai attack, a move likely to help ease fraught relations with New Delhi. Police said Hafiz Mohammad Saeed, founder of the banned Lashkar-e-Taiba militant group, would be arrested for propagating jihad, and collecting funds for a charity he heads. India has been demanding action against Saeed and other Pakistan-based militants before it will resume a formal peace process, broken off by New Delhi after the Mumbai attack. Police in the city of Faisalabad lodged two complaints against Saeed this week for delivering a speech to his supporters last month in which he urged jihad, or holy war, and appealed for funds for his Jamaat-ud-Dawa charity. “We hope to arrest him soon,” Hafiz Mohammad Irfan, a senior police official in Faisalabad, told Reuters. The police complaints came ahead of a meeting between the Pakistani and Indian foreign ministers and the nuclear-armed rivals’ top diplomats in New York this month. Speaking in London, President Asif Ali Zardari said Pakistan was seeking a cooperative relationship with India and reiterated Pakistan’s call for a resumption of formal peace talks. He declined to go into details on Saeed, but said the action against him showed “our determination to prosecute anyone who is inclined towards an aggressive mindset.” Indian home minister Palaniappan Chidambaram told an Indian news channel that even if Saeed were arrested on another charge, it would represent “significant progress” if Pakistan used this as an opportunity to questioned him about the Mumbai attack. Foreign ministers to meet Pakistan has acknowledged the Mumbai attack was partly plotted and planned from its soil, begun the trial of five suspects, and arrested two more. But it has said evidence given by India about Saeed was insufficient and not tenable in court. Saeed was detained in December, after a UN Security Council resolution put him and the Jamaat-ud-Dawa charity led by him on a list of people and groups supporting Al Qaeda. But in June, a court released him citing lack of evidence, prompting the Pakistani government to launch an appeal in the supreme court for his re-arrest. That case is pending. A spokesman for Saeed said on Friday authorities were acting under pressure from India. Pakistani foreign minister Shah Mehmood Qureshi and his Indian counterpart, S.M. Krishna, are due to meet on the sidelines of the UN General Assembly in New York on 26 September. Their meeting will be preceded by talks between their foreign secretaries, or top diplomats, but Qureshi said this week he did not expect any breakthrough. The two countries have held three bilateral meetings since June. Zardari said it was essential both countries made “meaningful progress” to resolve the Kashmir dispute in the interests of regional peace. Source: Home - Livemint.com | 19 Sep 2009 | 7:28 am Hafiz should be booked in 26/11 case, says KrishnaNew Delhi: India on Saturday said it will continue to build pressure on Pakistan to ensure that a case is registered against Jamaat-ud Dawa chief Hafiz Saeed in the Mumbai attacks case. “We are concerned immediately with the terror attack on Mumbai. As long as that doesn’t find any place in FIR, India certainly would impress upon Pakistan,” external affairs minister SM Krishna said in Turkmenistan. He said Pakistan must bring to justice the perpetrators of the attack on Mumbai. Pakistan has filed two cases against Saeed for inciting people for jehad and inviting donations for the same. However, no mention has been made in the FIRs to Mumbai attacks, for which India holds him responsible. India has been saying that it has given ample proof about Saeed’s involvement in Mumbai attacks but Pakistan maintains that there is no evidence against him. To a question on Chinese incursions, Krishna said it would be “in the larger interest” of both India and China to resolve the boundary issue so that “peace and tranquillity” on the border is maintained. Source: LatestNews-Home - Livemint.com | 19 Sep 2009 | 7:07 am Stimulus package to continue till global recovery: PranabThe stimulus package, introduced in the last fiscal to protect the Indian economy from the impact of the global financial crisis, would continue till the economies of Europe and US recover, Finance Minister Pranab Mukherjee said here Saturday.Source: IndiaeNews.com: Business News | 19 Sep 2009 | 7:03 am Govt against credit curbs to check price rise: PranabBangalore: The government opposes tighter monetary policy to curb rising food prices as this would hit economic growth, finance minister Pranab Mukherjee said on Saturday. Inflationary pressures have been building in recent months, exacerbated by a poor monsoon pushing up food prices, and economists and the government expect wholesale price inflation to top the Reserve Bank of India’s 5% forecast for the fiscal year ending March. “To prevent the adverse impact of the rising prices of essential commodities, we are encouraging imports where there is short supply,” Mukherjee told reporters on the sidelines of a conference. “These measures we are taking, but at this point of time, I cannot accept the dear money policy or credit curbing because that will have an adverse impact on overall growth.” The wholesale price index (WPI) rose in annual terms in early September for the first time in three months, adding pressure on the central bank to speed an exit from easy monetary policy. The food articles sub-index rose an annual 15.4%, up from the previous week’s 14.8% rise, as a drought parched nearly half of India’s districts, hurting summer crops. The rise in food prices has put pressure on Congress party-led UPA coalition government, which was re-elected this year partly on the back of its pro-farmer policies. It faces three state-level elections next month. Officials have said food stocks are comfortable after good harvests in recent years, which will help to mitigate the drought. Mukherjee said that withdrawing a stimulus package would take some time, and the government would take into account economic growth in the next few quarters before doing so. “We shall have to wait for some more time because I am watching the situation carefully,” he said. Private economists expect the RBI to begin retreating from easy monetary policy towards the end of the fiscal year. The first shift could be withdrawing some of the extra liquidity in the banking system or increasing banks’ reserve requirements, rather than raising interest rates. India’s economy grew 6.7% in 2008-09, slower than rates of 9% or more in the previous three years, and policymakers expect growth to slow towards 6% in 2009-10 due to lower farm output. Source: Home - Livemint.com | 19 Sep 2009 | 6:34 am Volkswagen may buy stake in Suzuki: reportBerlin: Europe’s biggest car marker Volkswagen could become a shareholder of its Japanese competitor Suzuki before the end of this year, according to the German auto industry magazine Automobilwoche. The negotiations are at an “advanced” stage and “we expect to reach an agreement in principle this year,” the magazine cited a high-level Suzuki executive attending the Frankfurt auto show as saying. “For Suzuki and VW, it would be a win-win situation. Suzuki would have access to a major number of Volkwagen technologies, while Volkswagen would gain a strong entry way into the Indian and southeast Asian markets,” the Suzuki executive told the magazine in its edition to appear on Sunday. A source close to the VW board also told the magazine, “if we reach an agreement, we could learn a lot from Suzuki.” In late June, the Manager Magazine had raised the possibility that VW could take around a 10% stake in Suzuki. Last week the iconic head of Volkswagen’s supervisory board, Ferdinand Piech, said he thought the car maker should have two more brands. “Twelve is a good number,” Piech told media during an event organized by VW ahead of the 63rd Frankfurt auto show which opened on Thursday and runs through 27 September. Source: LatestNews-Home - Livemint.com | 19 Sep 2009 | 5:45 am Volkswagen may buy stake in Suzuki: reportBerlin: Europe’s biggest car marker Volkswagen could become a shareholder of its Japanese competitor Suzuki before the end of this year, according to the German auto industry magazine Automobilwoche. The negotiations are at an “advanced” stage and “we expect to reach an agreement in principle this year,” the magazine cited a high-level Suzuki executive attending the Frankfurt auto show as saying. “For Suzuki and VW, it would be a win-win situation. Suzuki would have access to a major number of Volkwagen technologies, while Volkswagen would gain a strong entry way into the Indian and southeast Asian markets,” the Suzuki executive told the magazine in its edition to appear on Sunday. A source close to the VW board also told the magazine, “if we reach an agreement, we could learn a lot from Suzuki.” In late June, the Manager Magazine had raised the possibility that VW could take around a 10% stake in Suzuki. Last week the iconic head of Volkswagen’s supervisory board, Ferdinand Piech, said he thought the car maker should have two more brands. “Twelve is a good number,” Piech told media during an event organized by VW ahead of the 63rd Frankfurt auto show which opened on Thursday and runs through 27 September. Source: World Business - Livemint.com | 19 Sep 2009 | 5:45 am India not talking to Pak in terms of conflict, says NarayananNew Delhi: National security advisor (NSA) MK Narayanan has said “dialogue is the way forward” with Pakistan and that the dossier against Lashkar-e-Taiba (LeT) founder Hafiz Sayeed is a “grade one” evidence. Pakistan may not scare us, but some of its actions does, Narayanan said, adding “restricted dialogue mechanism will continue.” Asked about the alleged U-turn of Prime Minister Manmohan Singh since Sharm-al Sheikh on Pakistan, Narayanan said he was committed to the dialogue and also understands the limits of the dialogue at different stages or facets of the programme. “I think what the Prime Minister said at Sharm-al Sheikh is the policy laid down. Dialogue is the way forward. We are not talking in terms of a conflict with Pakistan now,” he said in an interview to Karan Thapar for his show Devil’s Advocate to be broadcast on CNN IBN. On the issue of Hafiz Syeed, Narayanan said, “If you take the Hafiz Sayeed dossier that have been provided...I think that we have marshalled almost what we say is a grade one evidence.” The NSA said the current issue is whether the dialogue should be essentially confined to discussing terrorism. “We are hoping as a civilised nation (Pakistan) with a civilian leadership, not very much in control, but hopefully anxious to do something, somewhere, sometime... The forces raised against us operating from Pakistan can be brought under...” he said. Source: LatestNews-Home - Livemint.com | 19 Sep 2009 | 5:13 am DoT cuts penalty for rollout lagsThe Department of Telecom has reduced the penalty major operators have to pay for not fulfilling the rollout obligations.Source: Moneycontrol Top Headlines | 19 Sep 2009 | 4:22 am IOC plans Rs 4,000cr investment in pipelinesIndianOil is planning investments of around Rs 4,000 crore in pipelines in the next couple of years to reduce the costs it incurs in transporting products by rail and road.Source: Moneycontrol Top Headlines | 19 Sep 2009 | 4:08 am Sensex, Nifty hit nearly 16-month high this weekMumbai: Sharp rally in most of the sectors paved the way for both the key indices, Sensex and Nifty, to hit a nearly 16-month high and improved further by about 3% during the week under review, stimulated by a host of positive factors. Sensex was in the vicinity of 17K-mark, while Nifty pierced through 5K-mark during the intra-day trade. After moving in a range of 16,820.02 and 16119.95, the Bombay Stock Exchange 30-share index ended the week at 16,741.30, the level not seen since 22 May 2008, a rise of 477.00 points or 2.93% over its last weekend close. The broader 50-issue Nifty of the National Stock Exchange touched a high of 5,003.05 before concluding the week at 4,976.05, a net gain of 146.50 points or 3.03%. Reports of higher advance payments by some big corporates for the second quarter, indicating revival in the economy amid heavy portfolio inflows, mainly boosted the market sentiment. Firm global cues also helped local bourses to keep the tempo upbeat. Most of the world markets closed the week up on encouraging rise in US retail sales in August and hopes of global economic recovery after the US Federal Reserve chairman Ben S Bernanke said the worst US recession since the 1930s has probably ended. Signal of the apex bank not to hike interest rates till the economic recovery is on a strong footing, too supported the market. Foreign institutional investors (FIIs) pumped in Rs6,471.28 crore in the week, including provisional data of 18 September. Inflation turned positive for the first time in 13 weeks, rising to 0.12% during the week ended 5 September. Auto stocks attracted heavy buying on hopes of strong sales for the upcoming festival season. India’s top small car maker by sales Maruti Suzuki rose by 11.84%. M&M firmed up by 7.95%, Tata Motors by 8.71%, Hero Honda by 7.35% and Bajaj Auto by 14.36%. Metal shares also rose on expectation of recovery in industrial activity across the globe which will boost demand for metals. Tata Steel climbed by 10.42% and Hindalco by 10.91%. However, the top heavyweight RIL was down by 1.97% as the Petroleum Trust on Thursday sold nearly 1.5 crore equity shares of the company through block deals. Other gainers in the Sensex group were Jaipakash Asso by 12.63%, SBI by 11.65%, DLF Ind by 7.31%, Rel Infra by 6.42%, Infosys Tech by 4.32% and TCS by 4.32%. Among sectorial indices, the BSE-Auto rose by 572.71 points or 9.50% followed by BSE-Metal by 1,055.68 points or 7.84%, BSE-Realty by 226.43 points or 5.33% and BSE-Bankex by 412.66 points or 4.63%. The trading volume was marginally higher on the BSE at Rs32,976.04 crore from Rs31,969.88 crore in the last week while it was down on the NSE to Rs93,410.33 crore from Rs93,993.53 crore previously. Source: Home - Livemint.com | 19 Sep 2009 | 3:31 am Media hype could create problems with China: NSANew Delhi: Seeking to downplay recent incursions by Chinese army along the Line of Actual Control, national security advisor M.K. Narayanan on Saturday cautioned that media “hype” could lead to “unwarranted incident or accident” that could create problems with the neighbour. He acknowledged incursions were taking place but said there was “hardly any increase” in these activities and situation was not “alarming”. The NSA disagreed that China was trying to put pressure saying “India of 2009 is not (India) of 1962” and said both nations are keen to maintain peace and transquility at the border. “In terms of number of incursions, there has been hardly any increase. Occasionally inroads are a little deeper than what it might have been in the past. I don’t think so that there is anything alarming about it. I think we have a good understanding about the whole issue,” Narayanan told Karan Thapar on his ‘Devil’s Advocate´ programme on CNN-IBN. “I really am unable to explain why there is being so much media hype on this question,” he said. Asked if over reaction by media could create problems, he replied in the affirmative and said,“I have been through 1962. I was aware of the problem then.... What we need to be careful of is that we don’t have an unwarranted incident or an accident of some kind. “That’s what we are trying to avoid. But there is always concern (that) if this thing (media hype) goes on like this someone somewhere might lose his cool and something might go wrong.” Narayanan said too much of reporting on this issue could lead to increase in tensions leading to situation “we wish to avoid”. “I think it is a national security issue. It is not a kind of game that we are playing . The more you raise people’s sort of concern, I mean the tensions would rise and then we would be facing a situation of a kind that we would wish to avoid,” the NSA said He replied in the negative on whether whether there was a sense of appeasement or hesitation or fear in India when dealing with China. “I was there in 1962 and I should be more conscious than anyone else. We are careful and I think it is important and imperative we do not want to get into a situation that we don’t want to be in,” he said. Narayanan, who is special representative from Indian side on border talks, said that after nine rounds of talks that he had with his Chinese counterpart Dai Bingguo “we are much more comfortable at this moment than let’s say a year ago.” When asked about China not considering India as equals, the NSA said it wishes to be the numero uno in this part of the world. “China certainly sees us as its rival and the issue is that they wish to be the numero uno in this part of the world,” he said adding India is seen as a rising democratic power. “Therefore there is rivalry,” he said. Source: LatestNews-Home - Livemint.com | 19 Sep 2009 | 3:22 am
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