Connect with us

Nation

Trouble is brewing in the financial sector in India

Published

on

rouble is brewing in the financial sector in India

Shimla- All is not well in the financial sector in India. For the past few years, the  financial sector in India has been in the news for all the wrong reasons; be it the loan given to the liquor baron Vijay Malaya; the revelation of  Nirav Modi saga; ever mounting NPA amount in the public sector banks; payment default by  Infrastructure Leasing & Financial Services  (IL&FS); for weeks the RBI and the Government were at  the loggerheads- that culminated with the infelicitous resign of the Governor prior to his completion of term; or be it woes the various private sectors banks like ICICI, Bandhan Bank, Kotak  Mahindra Bank or Yes bank are facing.

All these incidents are not only disconcerting but can have a preponderant impact on the financial markets. Off late, banks stocks have been on the downslide because of the uncertainty and pessimism caused in the market by the series of such unwanted events. There have been rumors of liquidity crunch in the market for some time now, the credit growth has been bleak, impacting the investment and hence job creation. 

After the series of payment default by the Infrastructure Leasing & Financial Services (IL&FS), the Modus Operandi of non-banking financial companies in India is under serious scrutiny. The systematic risk associated with shadow banking in India might require a major relook. 

RBI has put 11 Public Sector banks under Prompt Corrective Action framework, and the majority of them are running in losses hence requiring a massive capital infusion. The problem of NPA is far from over in Public Sector Banks. 

The trouble with the private sectors banks will capitulate the demand for privatization of Public Sector banks, as these incidents have proved ownership of banks is not the root cause of the problems of Public Sector banks; moreover, these incidents proved private sector banks are not immune to troubles and changing ownership will not help much, as far as the problems of Public Sector banks are concerned. 

All this will have a bearing on India’s worldwide credit rating too, adversely affecting the investment ecosystem required for strong and stable economic growth. 

All this does not augur well for India’s development. The financial sector plays a critical role in the development of any nation. To reap the benefit of the economic potential, a robust and healthy financial sector with strong fundamental is required, along with an independent and accountable Central banker coalesced with a fair financial market regulator. 

At the moment there is a lot to cogitate for us. Our image, worldwide, has taken a dent, it needs to be restored. We cannot persist with the beleaguered financial system for too long. The financial sector is full of various risks, the key, however, is to infer the rumblings early and prepare to minimize such risks. 

We have a serious problem in our hands and we must act fast. If we don’t act in time, the problem may exacerbate further. And our Lehman Brother moment may not be far if we don’t manage these conspicuous risks. For a stable and sustainable growth, we need to put an end to these troubles brewing in the financial sector. It’s high time.

Nation

Vaccination of 15-18 Year Age Group in India from Jan 3, Precautionary Dose for Frontline Workers from Jan 10

Published

on

teenage vaccination in india

New Delhi-India will begin vaccination of the children in the age group of 15-18 years from 3rd January 2022. The move is likely to aid in education normalization in schools. The announcement was made by Prime Minister Narender Modi on Saturday evening. He also announced a precaution dose (booster dose) for healthcare and frontline workers from 10th January 2022, Monday.

In India, this has been called the ‘precaution dose’ not booster dose. An option of precaution dose will be available for senior citizens above 60 years of age with co-morbidities on the advice of their doctors from 10th January 2022. 

Referring to the Omicron infections In India, the Prime Minister requested the people not to panic and to follow precautions such as masks and washing hands repeatedly.

According to the Government, the vaccination campaign started on 16th January this year has crossed the mark of 141 crore doses, and 61 percent of the adult population of the country has received both the vaccines and 90 percent of adults have received one dose.

According to the Government statistics, currently, the country has 18 lakh isolation beds, 5 lakh oxygen supported beds, 1 lakh 40 thousand ICU beds, 90 thousand ICU and Non-ICU beds especially for children, more than 3 thousand PSA oxygen plants, 4 lakh oxygen cylinders and support to states is being provided for buffer doses and testing.

The Prime Minister assured that soon the country will develop a nasal vaccine and the world’s first DNA vaccine.

Photo by Nataliya Vaitkevich from Pexels

Continue Reading

Nation

Three Farm Laws to be Withdrawn, Announces PM Modi Ahead of Elections in Punjab and UP

Published

on

farm laws withdrawn

New Delhi: Ahead of assembly polls in Punjab and Uttar Pradesh, Prime Minister Narender Modi on Friday retreated from his stand on the three contentious farm laws and announced that the government will repeal three laws. He requested the protesting farmers to end the protest that has been going on for over a year now.

He said the three laws would be repealed in the winter session of Parliament starting later this month. He also said that though the laws were in the interest of the farmers, his government failed to convince them.

The Prime Minister chose the occasion of Guru Nanak Jayanti to make this announcement. The decision is being perceived as an attempt to appease the farmers, especially in Punjab ahead of the assembly polls. Also, the results of by-poll held in various states are being seen as a setback to the ruling government that compelled it to reconsider its stand on the farm bills.  

The Prime Minister said, “today I have come to tell you, the whole country, that we have decided to withdraw all three agricultural laws. In the Parliament session starting later this month, we will complete the constitutional process to repeal these three agricultural laws”.

It’s pertinent to mention that the Centre government had to announce a cut in taxes on petrol and diesel right after the results of bye polls were declared.

The three contentious bills are The Farmer’s Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020, the Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Bill, 2020 and the Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Bill.

The opposition Congress and farmers’ bodies have termed it a victory of their unity against the government’s decision. Former Chief Minister of Punjab, Captain Amarinder Singh was one of the first to welcome the decision through a Tweet.

 

 

Continue Reading

Nation

Himachal Kisan Sabha Condemns Alleged Mowing Down of Protesting Farmers by Minister’s Son, Calls it “Ghastly” and “Inhuman”

Published

on

Himachak Kisan Sabha

Shimla-Himachal Kisan Sabha has condemned the incident where four farmers were allegedly run over by vehicles in Lakhimpur Kheri district of Uttar Pradesh on Sunday, terming it a “ghastly” and “inhuman” act. The Sabha paid tribute to the martyred farmers and demanded immediate arrest of Ashish Mishra – son of Union Minister of State for Home Affairs Ajay Mishra – and other accused and book them under Section 302 (murder).

The farmers have alleged that three SUVs that mowed down protesting farmers were part of the convoy of the Union Minister of State. The farmers alleged that Minister’s son was behind the wheel in one of these SUVs. Following this incident, violence broke out that killed four more persons. The Minister, however, denied the allegations. 

Kisan Sabha also demanded that an inquiry should be conducted into the incident by a Supreme Court Judge. The Sabha also demanded that the Union Minister of State should be suspended with immediate effect.

Sabha said that it’s extremely shameful that the Centre government is attempting to end farmers protest against three Farm Laws in a dictatorial way by means of violence.

“On September 25, 2021, Union Minister of State, Ajay Mishra, had threatened to end the farmers protest within two minutes in a public meeting, and now his son has been alleged of mowing down farmers,” said State President of Himachal Kisan Sabha, Dr Kuldeep Singh Tanwar.

“The execution of this ghastly act merely one day after the non-violence day clearly reflects that the current Centre Government has no belief in democracy. The government wants to suppress dissenting voices rising against it at any cost,” Tanwar added.

Dr Tanwar further added that protests would be staged against this “barbaric” act in Himachal Pradesh too. The sacrifice of martyred farmers won’t go in vain, and it would only strengthen the farmers’ protest, he added.  

Meanwhile, following this incident, Priyanka Gandhi, who was on her way to Lakhimpur to meet the affected families, was detained by police, while Akhilesh Yadav – former Chief Minister of UP and president of Samajwadi Party- was put under house arrest ahead of his scheduled visit.

 

 

 

Continue Reading

Trending