Agartala (Tripura) Sep 9: Industry and Investment were the two of the main issues along with GST Bill passage that featured in the national media today. Views of the Congress leaders and Industry leaders pertaining to different contemporary topics were emphasized in following a few selected media excerpts.
Achhe din won’t come just by meeting corporates. Industrialists have all along maintained that high interest rate is responsible for sluggish investment climate in the country. But it is also pertinent to look at the high NPA of banks, when lending to corporate. For example of State Bank of India’s corporate NPA is over 10 per cent. While corporate borrower have repeatedly blamed the economic slowdown as the primary factor behind rising NPA, independent audits have revealed diversion of funds or willful default leading to stress situations. At the end of the day banks need to decide the interest rates they charge on their loans. A major reason that has been stopping them from lowering interest rates is the massive amount of bad loans that have been accumulated over the years. (Firstpost Sept 9, 2015)
No assurances for India Inc: While Prime Minister Narendra Modi has told India Inc. Chiefs to catalyse their risk appetite and investments as they had a greater risk-taking ability, he did not seem to give them any assurance that he would look into the hurdles keeping them from investing. They reportedly mentioned high risk of capital and need for monetary easing, stuck infrastructure projects, implementation of the Goods and Services Tax, etc., but there was no response to this. One feels he should be speaking to the medium and small business sectors, which are vibrant and the backbone of manufacturing and exports. They can take maximum advantage of the various government-initiated schemes and become job creators. (Deccan Chronicle Editorial, Sept 9, 2015)
Modi talk mere ‘gassing’, says Sonia – The Congress President Sonia Gandhi on Tuesday launched a scathing attack on Prime Minister Narendra Modi accusing him of indulging in “hawabaazi” (gassing) and failing “abysmally” in matching his words with deeds. Addressing the meeting of the Congress Working Committee (CWC), Gandhi also hit out at Modi for his “unedifying flip-flops” on the policy front, particularly with regard to Pakistan. (Deccan Herald News report, Sept 9, 2015)
Cong dashes govt’s hopes of quick passage of GST bill: The Congress dashed the government’s hopes for the quick passage of the crucial GST bill to enable its rollout from April 1 next year with its announcement on Tuesday that calling a special session of parliament now would not serve any purpose. The Congress Working Committee (CWC) said it will support the GST bill “provided the Central government addresses the existing shortcomings in the bill”. (Hindustan Times Sept 9, 2015)
Take risk, invest more: PM to India Inc: Step up investments: Modi to India Inc: India Inc seeks cut in interest rates to boost investment: PM’s pep talk, global leads lift market sentiment: Prime Minister Narendra Modi asked the industry to take risks and ramp up investments as the government sent out a message that India was relatively stable in the current global volatility and sought to convert the crisis into an opportunity. The Prime Minister met India Inc, bankers, economists along with some of his key ministers in a three-hour meeting to brainstorm on the current volatile global economic situation arising out of the slowdown in China and the subsequent impact on equity and currency markets. (Hindustan Times Sept 9, 2015)
Industry takes rate cut plea to Modi- brainstorming session with PM. Business barons, bankers, bureaucrats and ministers tossed a salad of ideas at a brainstorming session called by Prime Minister Narendra Modi here today in an effort to find ways to jump-start an economy that grew at a less-than-satisfactory pace of 7 per cent in the first quarter ended June 30.While Modi urged India Inc to commit investments in large projects and create more jobs in the country, industry shoguns wanted the government to orchestrate efforts to pare interest rates and thereby lower their cost of capital – a shibboleth they have voiced several times in the past. The Finance Minister Arun Jaitley said the decision on a rate cut was within the domain of the Reserve Bank of India.RBI governor Raghuram Rajan, who was also present at the meeting, did not immediately respond to the demand. (The Telegraph News report, Sept 9, 2015)
Patel agitation may cost PM Modi NRI community’s support. It is learnt that the members of the Patidar community, a significant number of whom are settled in the US, Australia and the UK are coming together on the issue of reservation and are upset over the police action against the agitators after the mega rally in Ahmedabad on August 25. The non-resident Gujarati community played a significant role to create a favourable climate for Modi ahead of 2014 election. Political observers say an erosion of Patidar community support group may impact Modi’s international projections in days to come. (Economic Times Sept 9, 2015)
Army Verdict, A Triumph of Justice: The life imprisonment awarded to six Army personnel, including two officers, is certainly saddening because they were sent to Jammu and Kashmir to protect the state’s integrity, not to stage a fake encounter. They have become the first to be punished in this manner and they have only themselves to blame for the denouement. The punishment should act as a reminder to them that the Indian state will not tolerate any transgressions on their part. They have to fight as honourable soldiers. (The New Indian Express Editorial, Sept 9, 2015)
(These are selected excerpts from mentioned media house reports)
