Economic outlook cloudy in FY20: RBI annual report

Agencies
August 30, 2019

Mumbai, Aug 30: The Reserve Bank of India (RBI) said on Thursday that the overall economic outlook of the country appeared clouded for 2019-20 and advised to prioritise the revival of consumption and private investment and structural reforms.

"Overall, the outlook appears clouded as the Indian economy begins its course through 2019-20," the RBI said in its annual report released on Thursday.

The central bank also expressed concern over falling rural demand amidst some surge in indices.

"Rural demand, however, was affected by moderation in agricultural growth as reflected in tractors and two-wheelers sales. Indicators of urban demand revealed a mixed picture in contrast. Air passenger traffic recorded its lowest growth in the last five years.

"Passenger vehicles sales were the lowest in five years on account of increase in insurance costs, volatile fuel prices and lack of financing options due to the liquidity stress in the non-banking sector. The production of consumer non-durables slumped to its lowest level in the past three years," the report highlighted.

The central bank in its review said that external demand operated as a drag for the second successive year while deficit south-west monsoon and depleted reservoirs dented the performance of the agriculture sector.

The rate of gross domestic savings had increased marginally to 30.1 per cent of gross national disposable income (GNDI) in 2017-18 from declines in the previous two years.

The household financial savings -- the most important source of funds -- had increased by 0.3 percentage points of GNDI, though it had remained much lower than 7.3 per cent during 2011-16.

The rate of gross domestic investment in the Indian economy, measured by the ratio of gross capital formation (GCF) to GDP at current prices, had risen to a peak of 39.8 per cent in 2010-11 before a prolonged slowdown set in, taking it down to 30.9 per cent in 2016-17.

A modest recovery was seen in the following year. Although data on gross domestic investment are not yet available for 2018-19, movement in its constituents suggests that the uptick could not be sustained.

Growth in fixed investment collapsed to a 14-quarter low in Q4 of 2018-19 as production of capital goods registered a sharp contraction while imports nosedived in a coincident manner.

However, the industrial sector posted resilient growth, mainly driven by manufacturing in the first half, while the momentum in construction and financial services sustained the healthy growth of the overall services sector, the RBI said.

"Going forward, priority should be accorded to revive consumption and private investment while continuing with structural reforms," the RBI said.

On job creation, the RBI said that official estimates suggest more regularisation of employment in 2017-18 and the various initiatives undertaken by the government are expected to create avenues for employment.

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Sunday, 1 Sep 2019

It could be rainy too.

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News Network
March 12,2020

New Delhi, Mar 12: The Supreme Court told the Uttar Pradesh government on Thursday that as of now, there was no law that could back their action of putting up roadside posters of those accused of vandalism during anti-CAA protests in Lucknow.

An apex court bench refused to stay the March 9 Allahabad High Court order directing the Yogi Adityanath administration to remove the posters.

The top court, which grilled the Uttar Pradesh government for putting up such posters in public, described the plea as a matter that needed "further elaboration and consideration".

A vacation bench of justices U U Lalit and Aniruddha Bose said a "bench of sufficient strength" would consider next week the Uttar Pradesh government's appeal against the Allahabad High Court order directing the state administration to remove the posters of those accused of vandalism during anti-CAA protests.

It directed the apex court registry to put up the case file before Chief Justice of India (CJI) S A Bobde so that a "bench of sufficient strength can be constituted at the earliest to hear and consider" the case next week.

During the hearing, the bench told Solicitor General Tushar Mehta, appearing for the Uttar Pradesh government, that it was a matter of "great importance".

It asked Mehta whether the state government had the power to put up such posters.

The top court, however, said there was no doubt that action should be taken against rioters and they should be punished.

Mehta told the court that the posters were put up as a "deterrent" and the hoardings only said that these persons were liable to pay for their alleged acts during the violence.

Senior advocate A M Singhvi, appearing for former IPS officer S R Darapuri whose poster has also been affixed in Lucknow, told the bench that the state was duty-bound to show the authority of law backing its action.

He said the action of the Uttar Pradesh government amounted to a "mega blanket" approach of naming and shaming these persons without final adjudication and it was an open invitation to common men to lynch them as the posters also had their addresses and photographs.

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Agencies
May 3,2020

Lucknow, May 3:Holding the Tablighi Jamaat responsible for the spread of COVID-19, Uttar Pradesh Chief Minister Yogi Adityanath on Saturday said that being infected with a virus is not a crime but to hide it is definitely a crime.

Speaking at a programme of a news channel, Adityanath said, "The role of Tablighi Jamaat was most condemnable. To get a disease is not a crime but to hide a disease which is infectious is definitely a crime. And this crime has been done by those associated with the Tablighi Jamaat."

"In Uttar Pradesh and other places where the spread of the coronavirus has been seen, Tablighi Jamaat is behind it. Had they not hidden the disease and went about like its carriers, then perhaps we would have controlled the coronavirus outbreak to a large extend," he said.

The chief minister said action would be taken against them for the "crime that they have committed".

A Tablighi Jamaat congregation in Delhi in March turned out to be a major source of COVID-19 cases, with those who attended the meet returned home in different parts of the country after being infected with the deadly virus.

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News Network
April 15,2020

New Delhi, Apr 15: A day after Prime Minister Narendra Modi announced the extension of COVID-19 lockdown till May 3, the Ministry of Home Affairs (MHA) on Wednesday issued consolidated revised guidelines on measures to be taken by Ministries and Departments of Government of India, state and Union Territory governments and authorities for the containment of COVID-19.

As per the guidelines, all domestic and international air travel of passengers (except for security purposes), passenger movement by trains (except for security purposes), buses for public transport, metro rail services will remain prohibited.

It stated that all educational, training, coaching institutions etc. shall remain closed. Inter-district and inter-state movement of individuals except for medical reasons or for activities permitted under guidelines shall remain prohibited.

Taxis (including auto-rickshaws and cycle rickshaws) and services of cab aggregators to remain prohibited until May 3.

Also, all cinema halls, malls, shopping complexes, gymnasiums, sports complexes, swimming pools, entertainment parks, theatres, bars and auditoriums, assembly halls and similar places shall remain closed.

All social/political/sports/entertainment/academic/cultural/religious functions/other gatherings will also not be allowed.

"All religious places or places of worship shall be closed for public. Religious congregations are strictly prohibited. In the case of funerals, a congregation of more than 20 persons will not be permitted," the guidelines stated.

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