capital inflows

Prime Minister Manmohan Singh today ruled out imposition of Tobin tax on capital inflows in the country, saying the situation in India has not not reached a problem stage. Full Article

Dr. C. Rangarajan, Chairman, Economic Advisory Council to the Prime Minister released the document ‘Review of the Economy-2009-10’ at a Press Conference in New Delhi today. Following are the highlights of the document: Strong rebound in the second half of 2009-10 drives growth rate upwards Full Article

India will not tax foreign funds at their point of entry as the government believes the economy is resilient enough to absorb the dollar deluge. Such a tax on foreign inflows — called the Tobin tax, after its proponent, 1981 Economics Nobel winner James Tobin of the US — is being fiercely advocated by the EU and the UK, while Brazil has already imposed a 2 per cent levy. Finance minister Pranab Mukherjee, however, does not favour a tax on finances entering India. He .. Full Article

To encourage foreign portfolio investment, the Finance Ministry has set up a working group for suggesting changes in the existing policy on foreign capital inflows by FIIs, NRIs and venture capital funds. The 16-member group on portfolio investments, to be headed by UTI MF CMD U K Sinha, will also review the current arrangements relating to participatory notes-- instruments through which unregistered foreign entities invest in Indian stock markets, sources said. Full Article

The Indian economy weathered the financial turbulence well 6.7 % growth in 2008/09 – amongst the highest growth rates in the world. well calibrated adjustments in the monetary and fiscal policies Full Article

“It is my pleasure to be here today at the 88th annual function of ASSOCHAM. As a representative body of Indian industry and enterprise, ASSOCHAM has always been at the forefront of pursuing ideas that empower Indian entrepreneurs. It has contributed to building consensus on policy response to issues that impact growth of the economy. Full Article

About ‘Exchange Rate’ of a currency: The exchange rate of the currency of a country in relation to the currency of another country depends on the comparative trade advantages and economic strengths of the countries. If one US dollar is equal to 45 rupees, it simply means that in the US, if a dollar fetches [...] Full Article