Apple iPhone 5 to launch in India by December

New Delhi, Jul 16: With India's economic growth sputtering, the Reserve Bank of India was expected to maintain a rate-cutting cycle, but an uptick in near-term inflation could give the central bank's Monetary Policy Committee reason to pause for now.

Having cut its key lending rate by an aggressive 115 basis points (bps) in 2020, on top of 135 bps cuts in 2019, the RBI so far has had little success in spurring credit growth amid varying degrees of lockdowns across India.

Some economists and market insiders argue it may be prudent for the MPC, the policy committee, to hold its fire when it meets early next month.

"It's probably too early to administer a demand stimulus. The RBI still has room to cut rates, but we probably want to be more cautious of the timing," said Venkat Pasupuleti, portfolio manager at Dalton Investments.

"Maybe they should wait a quarter to see how things pan out once the lockdown situation is eased further."

Market participants have factored in at least a 25 bps rate cut by the MPC on August 6 while analysts are predicting a total 50-75 bps cuts over the rest of the fiscal year that runs to March 31.

The spike in the retail inflation rate above the RBI's mandated 2%-4% target range is another reason for the central bank to take a breather, analysts say.

Annual retail inflation rose to 6.09% in June, compared to 5.84% in March and sharply above a 5.30% median forecast in a Reuters poll of economists.

Rahul Bajoria, an economist at Barclays, said the spike in both consumer and wholesale prices "could lead to a tempering in enthusiasm for material front-loaded policy support from here on."

Almost all economists however agreed the RBI cannot move away from its accommodative stance or call an end to the rate cutting cycle just yet.

India's economy grew at 3.1% in the March quarter - an eight year low - and some economists have predicted a contraction of more than 20% in the June quarter and a contraction of up to 5% in the fiscal year.

"Even in the event of a pause, we think the RBI and MPC would want to hold out the promise of more cuts," said A. Prasanna, economist with ICICI Securities.

RBI Governor Shaktikanta Das said in a recent speech the need of the hour is to restore confidence, preserve financial stability, revive growth and recover stronger, suggesting inflation concerns are unlikely to deter the downward trajectory for rates too soon.

"The August policy decision would boil down to a judgment call over whether RBI can maintain easy monetary and financial conditions without the aid of a token rate cut," Prasanna said. 

New Delhi, Jul 25: Congress leader Rahul Gandhi on Saturday accused the government of benefitting by making profits during the coronavirus-induced lockdown when people were in trouble.

He tagged a news report that claimed the Indian Railways was making profit by running 'Shramik trains' for transporting migrants during the pandemic.

"There are clouds of disease and people are in trouble, but one seeks to benefit -- this anti-people government is converting a disaster into profits and is earning," he said in a tweet in Hindi.

The news report claimed that the railways made a profit of Rs 428 crore by running Shramik special trains during the lockdown that transported migrants to their native places.

In another tweet, he lauded the efforts of the Himachal government in conducting a survey to select 'one district, one product', saying he had suggested this sometime back.

"This is a good idea. I had suggested it some time back. Its implementation will need a complete change of mindset," he said on Twitter.

He also tagged a report that stated the state Industries Department is conducting a baseline survey in all districts to select one district, one product for centrally-sponsored Micro and Small Enterprises Cluster Development Programme (MSE-CDP). 

Gwalior, Jul 23: As India's daily infections of coronavirus keep rising, the country is fighting a pandemic which is getting bigger by the day.

A vaccine, according to the World Health Organization, may not be coming until early 2021 despite good progress on the font. There is also, so far, no definitive cure for the virus, yet.

Madhya Pradesh Assembly Protem Speaker and Bharatiya Janata Party(BJP) leader Rameshwar Sharma, however, feels that the end of the coronavirus pandemic will begin with the start of the construction work for Ram Temple in Ayodhya.

"He (Lord Ram) had reincarnated for the welfare of mankind and to kill demons at that time. As soon as the construction of Ram Temple begins the destruction of the COVID pandemic will begin too," said Sharma, reports ANI.

"Not only India, but the entire world is suffering due to coronavirus. We are not only maintaining social distancing but also remembering our holy figures. The Supreme Court has ordered that Ram Temple will be built," he further added.

The treasurer of Shri Ram Janmabhoomi Tirtha Kshetra Trust, Swami Govind Dev Giri had said that Prime Minister Narendra Modi will lay the foundation stone of Ram Temple on August 5.

He said that social-distancing norms would be ensured at the program, and not more than 200 people will be attending the ceremony.

"The Prime Minister will visit Hanuman Garhi, Ram Lalla Temple, plant a tree and later do the 'bhoomi pujan'," he told ANI.

Ram Mandir trust spokesperson Nritya Gopal Das said five silver bricks will be placed inside the sanctum sanctorum during the ceremony.

The bricks are believed to symbolise five planets as per the Hindu mythology, he said, adding that the design and the architecture of the temple is the same as the one proposed.

According to the trust sources, Home Minister Amit Shah, Defence Minister Rajnath Singh, RSS chief Mohan Bhagwat , Maharashtra Chief Minister Udhav Thackeray and Bihar CM Nitish Kumar are also on the list of invitees.

India so far has recorded 1.19 million coronavirus positive cases, and 28,732 deaths.