Clean-up operations gather steam amidst death and destruction Kerala

Agencies
August 23, 2018

Thiruvananthapuram, Aug 23: With flood waters receding from most of the places, the Kerala government has taken up the massive task of cleaning houses and public places filled with slush left behind by the massive deluge that claimed 231 lives, besides causing large-scale destruction. 

The government has set up a control room here to coordinate the cleaning process across the state and the civic bodies have been entrusted with the task of managing the work, official sources said today. 

Haritha Kerala Mission, a mission integrating waste management, organic farming and water resources management, would also coordinate the cleaning process. It will deploy 50 high-power pump sets in different areas by tomorrow.

Teams drawn from different areas, including electricians and plumbers, have also been deployed. They would work along with more than 50,000 volunteers to clean houses and public places filled with slush and debris dumped by the floods, officials said.

As water level has receded, people have started returning home. However, more than 13.43 lakh people are still lodged in 3,520 camps across the southern state.

Chief Minister Pinarayi Vijayan, who had held a series of review meetings and monitored the rescue operations during the period of crisis, will visiting different relief camps across the state today.

The Kerala Water Authority has taken steps to supply drinking water in affected areas, Water Resources Minister Mathew T Thomas said.

Of the 1,089 water supply schemes affected due to the floods, more than 800 have started functioning, he said, adding efforts were on to make others also functional.

Even as relief materials and donations to the Chief Minister's Distress Relief Fund (CMDRF) pour in, a political row has erupted over accepting foreign aid.

The CPI(M)-led LDF government in the state said foreign aid should be accepted, even as there were reports that the Centre was unlikely to accept the same. 

The issue surfaced after the United Arab Emirates (UAE) government offered USD 100 million (around Rs 700 crore) for flood relief works in Kerala.

Chief Minister Pinarayi Vijayan said yesterday that there were no obstacles to receive foreign aid as per the National Disaster Management (NDM) Policy 2016 announced by the Centre.

He had also said that if there were any hurdles, the state would approach Prime Minister Narendra Modi to clear them.

Kerala Finance Minister T M Thomas Isaac said though the NDM Policy did not put a ban on accepting foreign aid, the Centre has chosen to adopt a "negative stance" to the offer made by the UAE government and it should compensate the state.

"We made no request to any foreign gov but UAE gov voluntarily offer 700cr. No, says Union gov, it is below our dignity to accept foreign aid. This is a dog in the manger policy," he tweeted. 

The state's estimated loss in the deluge is Rs 20,000 crore (as per a preliminary estimate). It had sought an interim assistance of Rs 2,600 crore from the Centre, besides a special package of a similar amount under the Mahatma Gandhi Rural Employment Guarantee Scheme (MGNREGA).

The Left Democratic Front (LDF) government was also drawn into another controversy after the opposition Congress-led UDF and BJP alleged that opening of shutters of 44-odd dams without any precaution and warning was the reason for the massive floods the state witnessed.

However, Vijayan rejected the charges and said the floods and landslides were due to non-seasonal heavy rains experienced by the state from August 8, and not due to the opening of shutters of dams.

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News Network
February 2,2020

Feb 2: Prime Minister Narendra Modi’s second budget in seven months disappointed investors who were hoping for big-bang stimulus to revive growth in Asia’s third-largest economy.

The fiscal plan -- delivered by Finance Minister Nirmala Sitharaman on Saturday -- proposed tax cuts for individuals and wider deficit targets but failed to provide specific steps to fix a struggling financial sector, improve infrastructure and create jobs. Stocks slumped as a proposal to scrap the dividend distribution tax for companies failed to impress investors.

"Far from being a game changer, the budget provides little in terms of short-term growth stimulus,” said Priyanka Kishore, head of India and South East Asia economics at Oxford Economics Ltd. in Singapore. “While income tax cuts will provide some relief on the consumption front, the multiplier effect is low and the overall stance of the budget is not expansionary."

India has gone from being the world’s fastest-growing major economy three years ago, expanding at 8%, to posting its weakest performance in more than a decade this fiscal year, estimated at 5%.

While the government has taken a number of steps in recent months to spur growth, they’ve fallen short of spurring demand in the consumption-driven economy. Saturday’s budget just added to the glum sentiment.

Okay Budget

“It’s an okay budget but not firing on all cylinders that the market was hoping for,” said Andrew Holland, chief executive officer at Avendus Capital Alternate Strategies in Mumbai.

The government had limited scope for a large stimulus given a huge shortfall in revenues in the current year. The slippage induced Sitharaman to invoke a never-used provision in fiscal laws, allowing the government to exceed the budget gap by 0.5 percentage points. The result: the deficit for the year ending March was widened to 3.8% of gross domestic product from a planned 3.3%.

On Friday, India’s chief economic adviser Krishnamurthy Subramanian said reviving economic growth was an “urgent priority” and deficit goals could be relaxed to achieve that. The adviser’s Economic Survey estimated growth will rebound to 6%-6.5% in the year starting April.

The fiscal gap will narrow to 3.5% next year, as the government budgeted for gross market borrowing to rise marginally to 7.8 trillion rupees from 7.1 trillion rupees in the current year. A plan to earn 2.1 trillion rupees by selling state-owned assets in the year starting April will also help plug the deficit.

Total spending in the coming fiscal year will increase to 30.4 trillion rupees, representing a 13% increase from the current year’s budget, according to latest data.

Key highlights from the budget:

* Tax on annual income up to 1.25 million rupees pared, with riders

* Dividend distribution tax to be levied on investors, instead of companies

* Farm sector budget raised 28%, transport infrastructure gets 7% more

* Spending on education raised 5%

* Fertilizer subsidy cut 10%

Analysts said the muted spending plan to keep the deficit in check will lead to more downside risks to growth in the coming months.

“It is very doubtful that the increase in expenditure will push demand much,” Chakravarthy Rangarajan, former governor at the Reserve Bank of India told BloombergQuint, adding that achieving next year’s budget deficit goal of 3.5% of GDP was doubtful.

With the government sticking to a conservative fiscal path, the focus will now turn to central bank, which is set to review monetary policy on Feb. 6. Given inflation has surged to a five-year high of 7.35%, the RBI is unlikely to lower interest rates.

What Bloomberg’s Economists Say:

The burden of recovery now falls solely on the Reserve Bank of India. With inflation breaching RBI’s target at present, any rate cuts by the central bank are likely to be delayed and contingent upon inflation falling below the upper end of its 2%-6% target range.

-- Abhishek Gupta, India economist

Governor Shaktikanta Das may instead focus on unconventional policy tools such as the Federal Reserve-style Operation Twist -- buying long-end debt while selling short-tenor bonds -- to keep borrowing costs down.

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News Network
January 24,2020

New Delhi, Jan 24: Under attack for doling out subsidies, Delhi Chief Minister Arvind Kejriwal on Friday said freebies in limited dose are good for the economy as they make more money available to the poor and boosts demand.

Opposition parties have been attacking the AAP-led Delhi government for giving "freebies" ahead of polls after it announced schemes like free bus rides for women and 200 units of free electricity.

"Freebies, in limited dose, are good for economy. It makes more money available to poor, hence boosts demand. However, it should be done in such limits so that no extra taxes have to be imposed and it does not lead to budget deficits," Kejriwal said in a tweet.

Slamming the BJP, Kejriwal said he is happy that the people of Delhi have forced the Saffron party to ask for votes on the basis of CCTVs, schools and unauthorised colonies.

Reacting to a tweet of the BJP Delhi in which Home Minister Amit Shah had asked how many schools have been constructed and cameras installed by the AAP government, Kejriwal said he is happy that Shah saw some CCTV cameras as earlier he had claimed that he could not find a single one.

"I am happy you saw some CCTV cameras. A few days back you said there was not a single camera. Take out some time we will show you our schools also. I am extremely happy that the people of Delhi have changed the politics by which the BJP has to ask for votes on CCTV, schools and raw colonies here," he said in a tweet.

Responding to Shah's allegation that he could not find WiFi in Delhi as promised by Kejriwal and that his battery drained out in the process, the Delhi chief minister said along with free WiFi they have also made arrangement for free charging points.

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News Network
June 19,2020

Kolkata, Jun 19: The nationwide clamour for boycott of Chinese goods is getting louder amid the Ladakh face-off, with traders urging the Centre to direct e-commerce firms to restrict the sale of items from the Dragonland, which imports products worth USD 74 billion to India annually.

Of the total import from China, retail traders sell goods worth around USD 17 billion, mostly comprising toys, household items, mobiles, electric and electronic goods and cosmetics among other things, which could possibly be replaced by Indian products, a national trading body said.

"We, at 'Federation of All India Vyapar Mandal', are advising our members to clear their stocks of Chinese products and refrain from placing fresh orders. We are also requesting the government to restrict e-commerce companies from selling Chinese products," V K Bansal, the association's general secretary, told PTI.

Sushil Poddar, the president of the Confederation of West Bengal Traders Association, said its members have been told to shun trading in Chinese goods as much as possible.

Another national traders' body, The Confederation of All India Traders (CAIT), has decided to step up its movement against the boycott of Chinese goods, under its campaign 'Bhartiya Samaan-Hamara Abhimaan'.

It released a list of over 450 broad categories of commodities, comprising 3,000 Chinese products.

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