India's economic growth may tank below 5% to a new low, fear experts

Agencies
November 20, 2019

Nov 20: India's economic growth probably hit a new low last quarter, with early forecasts showing expansion below 5 per cent.

Economists at State Bank of India, Nomura Holdings Inc. and Capital Economics Ltd. lowered their growth forecasts for the quarter ended September to between 4.2 per cent to 4.7 per cent. The government is scheduled to publish the data on November 29.

Growth of 4.2 per cent would be the lowest since authorities adopted a new base year for gross domestic product data in 2012. The economy expanded 5 per cent in the three months through June.

"We now believe GDP growth did not bottom in" the April-June period, said Sonal Varma, chief economist for India and Asia at Nomura in Singapore, who is predicting 4.2 per cent growth for last quarter. "High-frequency indicators have plunged and domestic credit conditions remain tight amid weak global demand."

The Reserve Bank of India has cut interest rates five times this year to boost growth, with the monetary easing complemented by fiscal measures, including $20 billion of tax cuts for companies.

"We now expect larger rate cuts from RBI in December," said Soumya Kanti Ghosh, chief economic adviser at State Bank in Mumbai, whose growth estimate matches that of Nomura's Varma. "However, such rate cut is unlikely to lead to any immediate material revival."

Finance Minister Nirmala Sitharaman last week said it was too early to say if the slowdown had bottomed out. Companies are planning new investments which might take time to materialize, she said.

"We doubt that these tailwinds will have been enough to offset the weakness elsewhere," said Shilan Shah, senior India economist at Capital Economics in Singapore, who is forecasting a 4.7 per cent expansion. "It is clear that the recovery in growth we have been forecasting has so far proved elusive."

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News Network
July 31,2020

Bengaluru, Jul 31: The Karnataka government on Wednesday put on hold a controversial proposal to drop certain chapters, including on Islam, Christianity, Tipu Sultan and his father Hyder Ali, from social science textbooks to reduce the 2020-21 syllabi for students in classes 1-10.

Citing the COVID-19 pandemic and the disruption caused to the academic calendar of the year, the government had earlier dropped the chapter on Tipu Sultan and Hyder Ali from the Class 7 social science textbook, saying chapters on Tipu Sultan have been retained in the Class 6 and 10 textbooks.

The move did not go down well with the opposition, which saw certain ulterior motives behind the decision.

Apparently under sharp criticism, the Department of Public Instruction issued a new notification on Wednesday "on the directions of the Karnataka Primary and Secondary Education Minister S Suresh Kumar".

There is a delay in opening the schools during the academic year 2020-21 due to COVID-19 pandemic, said the latest order.

In this context, the order said, chapters were dropped to fit in 120 days of the academic year for classes 1 to 10 and the same was published in the department's website.

"However, on the directions of the Minister for Primary and Secondary Education, the decision to drop certain chapters has been put on hold. A review will be done following which the deleted chapters will be uploaded in the website," the order read.

Earlier in the day, Mr Kumar had issued a statement, saying that the decision to truncate the syllabus has not been finalised yet. He also made it clear that his department would not remove chapters unnecessarily.

Former chief minister and Congress leader Siddaramaiah had attacked the government on the issue.

"The government, which has failed to control the spread of coronavirus, is using it as an opportunity to push its clandestine agenda of saffronising the textbooks," Siddaramaiah tweeted.

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coastaldigest.com news network
May 19,2020

Bengaluru, May 19: Chief Minister B S Yediyurappa-led Karnataka government has recommended the withdrawal of 46 cases against leaders belonging to Sangh Parivar who had apparently involved in violence during the birth anniversary celebration of Tipu Sultan in the state. 

These cases – ranging from very serious forms of assaults on Muslims to unlawful assembly – were registered across Karnataka between 2014 and 2018.

Among the cases recommended to be withdrawn include those registered against senior state BJP leader Sanjay Patil, VHP leader Swaroop Kalkundri, and several district level Bajrang Dal activists. 

The government recommended withdrawal of these cases under Section 321 of the Code of Criminal Procedure on March 5. 

The recommendations, however, have been opposed by three crucial law enforcement departments – Director General and Inspector General of Police (DG & IGP), Director-Department of prosecution and Government litigation and Law department. 

While the DG & IGP has opined that these cases “cannot be withdrawn”, both the department of prosecution and law have observed that these are “not a fit case to withdraw”.

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News Network
January 20,2020

Bengaluru, Jan 20: The suspense over chief minister BS Yediyurappa expanding his council of ministers is set to continue until after he returns from his trip to attend the World Economic Forum (WEF) in Davos, Switzerland.

Yediyurappa, who heads a 10-member delegation to the Swiss ski resort, left on Sunday. Prior to his departure, he told reporters cabinet expansion will happen only after his return on January 24. “I discussed the issue with [BJP] national president Amit Shah for 30 minutes or so. He has given a positive response and I will expand the cabinet within two days after my return,” Yediyurappa said.

But sources said Shah, during his visit to Hubballi on Saturday, had indicated the exercise is likely to be delayed further as the central leadership will be busy with the assembly elections in Delhi. “Indications are there is no possibility of expanding the cabinet until February 11 when the electoral process for the Delhi elections ends,” said a source.

The development has obviously left ministerial aspirants, especially defectors from Congress and JD(S) who were re-elected on BJP tickets last month, restive. Moreover, while Yediyurappa has promised ministerial berths to all MLAs who switched to the BJP from Congress and JD(S), sources say Shah is only in favour of inducting six defectors (11 of whom won MLA seats on saffron party tickets in the byelections) into the cabinet.

“Shah’s advice to Yediyurappa is to strike a balance between defectors and loyalists. His concern is loyalists should not be left disappointed, while justice should be served to the defectors as well,” said a BJP functionary.

Meanwhile, KS Eshwarappa, senior party functionary and minister for rural development, said the BJP would never let down the defectors. “The party is indebted to them and I am sure they will all be rewarded,” he said.

BC Patil, one of the defectors, said some of them had met Shah in one-on-one meetings in Hubballi. “It was more a courtesy call and the issue of cabinet expansion didn’t come up during the meeting,” he said.

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