Sonia Gandhi loses cool on LK Advani's 'illegitimate' remark on UPA

New Delhi, Jan 20: Surging inflation and slowing growth are raising serious concerns about the future growth prospects of the economy and as a remedial measure the government should resolve supply-side hurdles and ensure more stringent governance norms, a report said on Monday.

According to the Dun and Bradstreet Economy forecast, even though the Index of Industrial Production (IIP) turned positive in November 2019, it is likely to remain subdued.

"Slowdown in consumption and investment along with high inflationary pressures, geopolitical issues and uncertainty over the recovery of the economic growth are likely to keep IIP subdued," the report noted.

Dun and Bradstreet expect IIP to remain around 1.5-2.0 percent during December 2019.

As per government data, industrial output grew 1.8 percent in November, turning positive after three months of contraction, on account of growth in the manufacturing sector.

On the price front, uneven rainfall along with floods in many states and geopolitical issues have led to a surge in headline inflation even as demand remains muted.

The Consumer Price Index (CPI) in December rose to about five-and-half year high of 7.35 percent from 5.54 percent in November, mainly driven by high vegetable prices.

"The sharp rise in inflation has constrained monetary policy stimulus while revenue shortfall has placed limits on the government expenditure," Dun & Bradstreet India Chief Economist Arun Singh said.

According to Singh, growth-supporting measures and deceleration in growth are likely to cause slippage in fiscal deficit target by a wider margin.

"The government should focus on taking small steps to address the slowdown; in particular, resolve the supply-side hurdles and ensure more stringent governance norms," Singh said.

Unless these concerns are addressed through a comprehensive policy framework, it will not be easy for India to clock a sustainable growth rate to become a USD 5 trillion economy, he added.

Thiruvananthapuram, Mar 23: Amid a spurt in coronavirus cases, Kerala chief minister Pinarayi Vijayan has asked the Centre to give the states authority to give clearances for manufacturing masks, gloves and sanitisers.

In a letter addressed to prime minister Narendra Modi, Vijayan said during the crisis, masks and sanitisers are needed in large numbers.

"As an interim, states must be given authority to give clearances of manufacturing of items related to medical devices, sanitisers, chemicals, etc. which are needed for fighting Covid-19," Vijayan said in the letter.

He also sought permission for the state home department to use drones for the relevant applications related to Covid-19.

"In China and elsewhere in the world, drones have been used extensively in minimising human contact, disinfection, etc. Unfortunately, with the current laws pertaining to the use of drones, none of these is possible in India," the chief minister said.

He also sought permission to access and use facilities available with all central institutions and research labs operating in the state.

The chief minister shared the letter on his Twitter handle.

With 15 new positive cases of Covid-19, the total number of infected persons in Kerala had gone up to 67, including the three who were discharged after recovery last month.

New Delhi, Mar 9: The Centre and the Delhi government are working in close coordination to deal with coronavirus, Chief Minister Arvind Kejriwal said here on Monday.

Talking to reporters after a review meeting with Union Health Minister Harsh Vardhan on the preparedness for COVID-19, the chief minister said people arriving from foreign countries are being screened at airports.

A campaign will be run to make people aware of the preventive measures to contain the spread of the disease, Kejriwal said.

Health Ministry sending directives to states: Vardhan

Health Minister Harsh Vardhan said the government is prepared to deal with novel coronavirus and his ministry is sending directives, including guidelines, to states in all the languages on ways to contain it.

"We are sending detailed guidelines to all states on ways to contain coronavirus. Have asked states to strengthen laboratories and manpower to effectively deal with coronavirus and form early rapid action teams," Vardhan told reporters adding, that the government is prepared to deal with the infection.

Vardhan stressed on a coordinated action between all concerned departments and agencies for activities such as contact tracing, community surveillance, hospital management, identification of isolation wards, ensuring adequate personal protection equipment and masks and risk communication for mass awareness.