Expert Zone
Straight from the Specialists
Yet another infructuous parliament session?
(The views expressed in this column are the author’s own and do not represent those of Thomson Reuters)
The last session of parliament was a washout. The present one looks to be no different going by its chaotic start.
The government had announced a number of policy reforms in the intervening period between the two sessions. To resume reforms and pull the sagging economy up, the government had opened domestic retail business to foreign multi-brand supermarkets and also expressed its commitment to foreign investment in airlines, insurance and pension funds.
That was good economics and would bring the economy back to high speed growth so necessary to generate employment and increase incomes. But good economics is not always good politics. Mamata Banerjee-led TMC walked out of the UPA and even sought to introduce a no-confidence motion against the government, although it failed due to lack of support from other parties.
FDI in insurance — to hike or not to hike?
(The views expressed in this column are the author’s own and do not represent those of Reuters)
FDI in insurance might just be increased to 49 pct. This sounds way too familiar and has been the situation for quite a long time now. Or we could do some scenario building and even see it being delayed by a few more years.
Foreign borrowing or foreign investment?
(The views expressed in this column are the author’s own and do not represent those of Reuters)
The market’s response to the currency measures announced on Monday was a dip in the Sensex. Much was expected after the announcement made over the weekend by the finance minister. What has been actually initiated cannot make much difference either to the rupee or to growth.
