Raghuram Rajan: RBI a vigilant owl, not a dove or a hawk

 

RBI Governor Raghuram Rajan on Tuesday said monetary policy can contribute to reviving consumption and investment in a sustainable way only by bringing down inflation to a low and stable level. “Inflation is also a tax that is grossly inequitable, falling hardest on the very poor,” Raghuram Rajan said after unveiling the monetary policy. Excerpts:

ON INFLATION AND INTEREST RATE:

“The juxtaposition of growth and inflation is not correct. Even if we cut rates, banks won’t cut rates as inflation is still high. We have to get away from the fact that there is a magic wand. The notion about inflation being irrelevant has to be revisited. We are confident we will bring down inflation within more tolerable limits. Let’s first fight the fight that needs to be fought.”

ON WITHDRAWAL OF NOTES ISSUED BEFORE 2005:

“It is not intended to get at black money, tax evasion, etc. I am not saying those are good things. This is technical action, in order to withdraw notes which have fewer security features than new notes. It is an attempt to reduce the possibility of counterfeiting and give more reliable notes at the hands of the public. We have no doubt we are in a constant race, we have to keep improving the security features and counterfeiters keeps trying to figure out how to do that. Notes will continue to be withdrawn. I have no doubt today’s note will be withdrawn at some point.”

ON COMMENT THAT RATE HIKE WAS HAWKISH WHILE GUIDANCE WAS DOVISH:

“We are neither hawks, not doves but we are owls, vigilant when others are resting. An owl is traditionally a symbol of wisdom. The broad point is that don’t try and put us into buckets. We are doing what is necessary for the economy. Last time, we needed to convey the signal that we are ready to act. This time, we have acted. We will take action on the rate cut front whenever the situation warrants.”

PATEL PANEL PROPOSALS:

“The RBI is studying the recommendations of the panel on monetary policy and complete implementation of its report will need a dialogue with. 

Source: Latest Hindi News

From TFE News

Karl Slym's suicide note indicates domestic discord: Thai cops

"We didn't find any sign of struggle," said police lieutenant Somyot Boonyakaew, who is heading the investigation. "We found a window open. The window was very small so it was not possible that he would have slipped. He would have had to climb through the window to fall out because he was a big man. From my initial investigation we believe he jumped."

The police said the initial belief among the investigators was that Slym killed himself because the suicide note contained a reference to domestic problems. He said police were analysing the letter to confirm if it was written by Slym.

Read: Tata Motors stock slides 5% in afternoon trade after Slym’s death

The letter was found in the room where Slym and his wife Sally had checked in on January 24. They were slated to check out and return to India on Sunday evening.

Slym's body was found on the fourth floor of Shangri-La hotel early morning on Sunday. He was in Thailand to attend a board meeting of the company's subsidiary in the country.

An autopsy was conducted on Monday and the initial report suggested severe damage to the body. Institute of Forensic Medicine chief Pornchai Sutheerakhun said the results showed that the skull of the victim was broken and that his brain and inner organs were severely destroyed.

Slym's wife was with him in the room and was woken by hotel staff on Sunday morning after his body was found. She has been distraught and Tata Motors officials are with her.

Slym was leading Tata Motors at a time when the auto industry was grappling with a prolonged slowdown. He joined the auto major in 2012 as part of a major management overhaul and was responsible for charting the company's strategy to regain momentum in the Indian market.

His stint in India began in 2007 when he was appointed as the president and managing director of General Motors India. Last year, Slym found himself in the spotlight after a government panel held GM guilty of corporate fraud in the case of recall of its multi utility vehicle Tavera. The government probe had said GM officials had collaborated in fudging technical specifications of the engine to meet emission norms and the top management of the firm were aware of it.  Read more..

Source: News in Hindi

 

From HT News

Airports Authority of India head VP Agrawal quits as Central Vigilance Commission refuses to clear extension

The sudden exit of VP Agrawal, the chairman of Airports Authority of India, came after the Central Vigilance Commission declined to approve the extension granted to him by the ministry of civil aviation on January 1. Agrawal had completed a term of five years as the chairman of India's largest and state-owned airport operator.

In a very brief interaction with ET late on Friday, Agrawal said, "the Chief Vigilance Commission did not approve the extension. I have no further comments to make."

Agrawal was immediately replaced by ministry of civil aviation's joint secretary Alok Sinha, who was given additional charge as the AAI chairman till a permanent replacement is found. Sinha's work was related to airports over the past one-and-a-half years at the civil aviation ministry.   Read more..

Source: Hindi News

From TOI News

See recovery in Q4; no impact on new NBFC norms: M&M Fin

M&M Financial is hopeful of seeing recovery in the fourth quarter of the current financial year, says CFO V Ravi. 

The company reported a net profit of Rs 164 crore for December 2013 quarter as against Rs 200 crore in the corresponding quarter a year ago. Reacting to the disappointing results, shares of M&M Financial Services plunged as much as 8.5 per cent to hit an intraday low of Rs 232.35 on Thursday, but later recouped some of the intraday losses. Also Read: Net slumped on high provisions; south mkt stressed: M&M Fin Ravi says the delayed harvest in southern states has pushed recovery to fourth quarter.

 “We expect to maintain market share for the full year,” he told CNBC-TV18’s Latha Venkatesh adding, “…margins are likely to trend upwards hereon.” Meanwhile, the Reserve Bank of India (RBI) said that rules for restructuring loans by non-banking financial companies will be the same as those of banks . 

The key provisions include that the relaxation or extension of commencement of projects will not amount to restructuring for infrastructure, non-infrastructure and corporate real estate projects, the Reserve Bank of India said in a statement.  Read more..

Source: Business News Hindi

From MC News

Radico Khaitan gains 4%; Jhunjhunwala buys shares

Shares in liquor manufacturer Radico Khaitan rose as much as 4.4 per cent on Friday after well-known domestic investor Rakesh Jhunjhunwala bought shares in the company, several dealers said.

Rare Enterprises, the investment arm run by Jhunjhunwala, bought on Thursday 685,112 shares in Radico, or nearly 0.51 per cent of the outstanding equity, exchange data showed.

Shares in Radico were up 0.7 per cent to 168.95 rupees at 10:45 a.m. Read more..

Source: Hindi News

From NDTV News

Charlize Theron is a keeper, confesses Sean Penn to Piers Morgan

TV host Piers Morgan says actors Sean Penn and Charlize Theron have confirmed their relationship to him.

Morgan has shared about the news about Penn and Theron's relationship in his column for Event magazine.

According to him, Penn gushed about his lady love at the Help Haiti Home Gala in Beverly Hills, reports aceshowbiz.com.

"At 2 a.m., Sean came over and bear-hugged me. 'Congrats on a great night,' I said. 'And congrats on Charlize too.' He laughed, 'She's a keeper, that's for sure... well, I'll do my best to keep her anyway!'" Morgan recalls.

Theron, 38, also praised her beau, 53.

"I'm so glad you two have got together. Sean's a great guy," Morgan told Theron, to which she replied: "I know."

The pair was first romantically linked after they were spotted celebrating New Year together in Hawaii. Read more..

Source: Hindi News

From DNA News

Aam Aadmi Party behaving like Maoists: Vijay Goel

Reacting to Delhi Chief Minister Arvind Kejriwal led protest demanding suspension of Delhi Police personnel, who have been accused by his administration of dereliction of duty, Bharatiya Janata Party (BJP) leader Vijay Goel on Tuesday said that the Aam Aadmi Party (AAP) was behaving like Maoists.

“The way AAP and Arvind Kejriwal are holding this protest, is not going to be beneficial for the public. The steps they are taking are of Maoist approach,” said Goel.

He further said that he found the Congress equally responsible for the situation.

“I find the Congress equally responsible for the whole drama that is being created. On one side, they have extended their support to AAP, and on the other side they are saying that they are against them,” he said.

Kejriwal says the Delhi Government must be given charge of the city's police force which currently reports to the central government via the Home Ministry. His demand comes after last week's gang-rape of a Danish tourist, and a controversial midnight raid by Law Minister Bharti in South Delhi's Khirki Extension area.

The minister asked the police to arrest Ugandan citizens and raid a house where he alleged they were trafficking drugs and sex. The police refused, saying they had no warrant.

Braving the Delhi winter, Kejriwal slept on a mattress at the side of the road, right next to his blue Wagon R.

Four Metro stations have been shut near North Block. The police had asked Mr Kejriwal to shift his protest to Jantar Mantar, but their attempts failed. Read more..

Source: Hindi News

From DNA News

Cabinet meeting on the road for Arvind Kejriwal's government on the streets

Arvind Kejriwal's government on the streets is ready to hold "cabinet meetings on the road," the Aam Aadmi Party today said.

Mr Kejriwal and his six ministers have decided to continue their protest against the city's police, come what may, which means the Delhi government is being run from a road outside Rail Bhawan near India Gate. (LIVE updates)

"Arvind Kejriwal is signing files and doing all his work from there. If needed, a cabinet meeting will also be held on the road," said Yogendra Yadav, a senior leader of Aam Aadmi Party (AAP).

The entire cabinet is in fact, mostly seen sitting in a group at the protest site..

Mr Kejriwal and his ministers have been looking at files since yesterday.

"He is unwell. He could have done this in the comfort of his office. But he will work here," said PWD minster Manish Sisodia on Monday.

The ministers are usually surrounded by a massive crowd of supporters, spectators and policemen. Read more..

Source: Breaking News Hindi

From NDTV News