Governor Urjit Patel’s plainspeak,Our Nation Should be more careful

The central bank was not expected to tinker with key policy rates in its first monetary policy review of 2017-18 unveiled on Thursday, following its decision to shift from an accommodative to a neutral monetary policy stance in February. The Monetary Policy Committee chaired by Reserve Bank of India Governor Urjit Patel has, in fact, decided to raise the rate at which the central bank borrows funds from banks (the reverse repo rate) by 25 basis points, from 5.75% to 6%, while leaving other policy rates untouched. This marginal change is aimed at sucking out from the system excess liquidity that remains a lingering concern, despite coming off its peak in the aftermath of the demonetisation exercise. The RBI has also proposed a new liquidity management tool that awaits government approval, making the draining of surplus liquidity a critical priority all through this year. The efficacy of the RBI’s liquidity management toolkit will impinge on another key concern: inflation, which is expected to climb to 5% by the second half of this fiscal. The RBI says achieving the stated target of 4% inflation even next year could be challenging, with no “lucky disinflationary forces” expected, such as benign commodity and oil prices. It has also pointed to a one-time upside risk to inflation with the implementation of the Goods and Services Tax.

The RBI is quite optimistic about an uptick in the economy this year, projecting 7.4% growth in Gross Value-Added, compared to 6.7% in 2016-17. Along with improved prospects for the world economy a rebound in discretionary consumer spending at home is likely, in line with the “pace of remonetisation” and investment demand on account of lowered interest rates. While the government may take heart from the higher growth projection, it must pay equal heed to Mr. Patel’s plainspeak on four key issues. First, the need to urgently resolve the surge of bad loans on bank books, for which the RBI will unveil a new Prompt Corrective Action framework by the middle of this month. Without this, a virtuous cycle of healthy credit growth necessary for investment and job creation will remain elusive. Second, the RBI has reminded the government there will be “clearly more demand for capital” in the coming days. The government’s allocation of Rs.10,000 crore to recapitalise public sector banks is obviously inadequate. Third, while banks have reduced lending rates, the RBI has pointed out there is room for more cuts if rates on small savings schemes are corrected. Though a formula-based rate was adopted to set these rates last April, small savings schemes still deliver 61-95 basis points higher returns than what they should if the formula is followed, as per the RBI. Most important, the government must not ignore Mr Patel’s categorical call to eschew loan waivers of the kind just announced in Uttar Pradesh. This, he warned, would crowd out private investments and dent the nation’s balance sheet.

The SC should examine the consequence of its order on the liquor trade

The liquor trade, as the Supreme Court has emphasised, is indeed res extra commercium, something outside the idea of commerce. It exists solely at the discretion of policymakers without any concomitant fundamental right that other businesses enjoy. The point was cited by the court while ordering that liquor sales be prohibited within 500 metres from national and State highways. In a different sense, it only underscores how much the executive is, and ought to be, involved in policy-making on the subject. Imposing restrictions on the location of liquor outlets, applying them in a differential manner to vends, hotels and standalone bars is undoubtedly an executive decision. It is possible to argue that the executive will be lax in enforcement, corrupt in licensing or too revenue-centric to worry about the social costs of its decisions. However, is that reason enough for the judiciary to impose norms without regard to the problems that they may give rise to? Frankly, the answer is no. The court’s ill-considered order is wholly concerned with the availability of liquor — to the point that it bans sale of liquor on highway stretches even within city and town limits, where police checks are quite common — and does not touch upon strengthening the enforcement of the law against drunk driving. With the same moral outrage against high fatalities on our roads, and with much less economic cost, the court could have ordered stricter patrolling on highways and regular check-points.

The order has come down like a sledgehammer not only on the liquor vends and the hospitality sector but also on the revenues of State governments, on the business of hotels and bars, and the tourism potential of many parts of the country. The inventive responses of State governments and the industry give an idea of how much they are affected by it — and indeed how absurd the court’s order is. States are downgrading highways into ‘urban roads’ or ‘major district roads’, moves fraught with consequences as safety and quality norms may be compromised; local bodies, which now have to maintain them, may not find the required resources. Some luxury hotels situated on highways are creating alternative entrances to claim that their bars are located beyond 500 metres. An enterprising owner has built a maze of sorts to create a longer walking distance from a highway to his bar. It is not clear how the 500-metre distance is to be measured — as a straight line from the highway in any direction or along the paths leading to an outlet. One may denounce or laugh away these moves to circumvent the order; but they can be also seen as desperate responses from those fearing loss of income, jobs and business. The court should have the wisdom and the humility to examine the consequences of its order and do the necessary thing — amend it.

The by-elections in Kashmir were marked by a mix of indifference and violent anger,,,,,,

An election that isn’t free is not fair either. With violence by political protesters marring the by-election in the Srinagar Lok Sabha constituency, resulting in the lowest-ever voter turnout of around 7%, the Election Commission was left with no choice but to put off the by-election in Anantnag. After ignoring the advice of the Union Home Ministry against the conduct of elections in the Kashmir Valley, the EC had to perforce go by the report of the State administration that the law and order situation in Anantnag constituency was not conducive to holding of polls on April 12. Certainly, the EC is right in maintaining that it was not bound to consult the Union Home Ministry before deciding to conduct elections, but as demonstrated by subsequent events, the Centre had called this matter correctly. The security forces were unprepared for the scale of violence, and failed to ensure conditions for free, unrestricted polling. Whatever the reasons or provocations for the violence in Srinagar, which left eight people dead and more than 170 injured, the end result was that most voters chose to stay away from polling stations. One polling station was set afire; many were temporarily shut following attacks. Unlike a general election, where a change of government is possible, a by-election does not interest voters to any great degree. And, unlike in a general election protesters find it easier to disrupt the polling process in a by-election. For voters, the political stakes are low and the physical risks high. Whether they were too scared to vote or they heeded the calls for a boycott of the poll process, the by-election appeared like an elaborate farcical exercise that was robbed of all political legitimacy.


After the higher voter participation in recent years in the Valley, the way the Srinagar by-election unfolded is indicative of a dramatic slide in the political situation. The killing of Burhan Wani, a ‘commander’ of the Hizbul Mujahideen, by security forces in July last year set off a new cycle of violence in Kashmir that does not seem to have ended to this day as stone-pelting is met with pellet guns. In these circumstances, by-elections may have no political meaning. In any case, without free re-polling in all the booths that witnessed violence, the result in this election counts for little. Ideally, re-polling in Srinagar too should be put off by a few weeks. But Kashmiris will also need a larger political motivation to go to the polling booths, a belief that they are in charge of their own lives and that their vote will count for something. Otherwise staying at home might seem the better option to facing the stones of protesters and the guns of security forces. Time alone will not heal wounds.

Kulbhushan Jadhav death sentences announced by Pakistan government criticize the International constitution

Pakistan sudden announcement on Monday that former Indian Naval officer kulbhushan Jadhav has been sentenced to death by a field general Court materials easy development fraught with danger.

It could lead to a rapid escalation in bilateral tensions that the region can I'll afford. The trial sentencing and it's confirmation by Pakistan army chief general Qamar Javed Bajwa were carried out so secretly that the news took many in Pakistan as well by surprise.

Pyar clearing holds in the procedures followed by Pakistan Government and military in the investigation and trial of Mr Jadhav.

He is recorded confession that was broadcast at a Press Conference with in weeks of his arrest in March 2016 appeared to have been spliced.

At various points in the tapes and in the transcript of the confession made available Mr Jadhav contradict his own statement suggesting that he had been tutored.

Even if the confession was admissible in a court of law the little by the a way of cooperative evidence has been offered by Pakistan to backup in the claim that Mr Jadhav who was allegedly arrested in Balochistan last years had been plotting operation against China Pakistan economic corridor.

Swachhagrah ,bapu ko karyanjali ,

Prime Minister Narendra Modi today inaugurated in exhibition Satyagraha to Mark hundred years of Champaran satyagraha at the national archieves in New Delhi.

Addressing a gathering after the inauguration Mr Modi said Mahatma Gandhi Road people through the Champaran satyagraha peaceful protest can achieve.

He said his sister girl changed Mohandas Karamchand Gandhi to Mahatma Gandhi and added a new vigor to freedom movement.

He said Himachal Pradesh Sikkim and Kerala have been declared open defecation free and many states are moving toward this goal.

On the occasion Mr Modi also launched an online interactive quiz.

The exhibition is showcase in the Champaran satyagraha.

The reservations will also showcase the ground covered by Prime Minister's swachh Bharat mission in creating a mass movement toward a clean India.

So let take a step toward the mission of swachh Bharat Abhiyan, every citizen every inhabitant and every people of our country must provide their hand to hand to uplift our mission goal and vision.

India and Australia agreement bilateral ties

India and Australia sign 6 agreements including expanding counterterrorism cooperation.
Prime Minister Narendra Modi says Global strategy is required to fight terrorism and improve cyber security.

Indian Australia have reaffirmed their commitment to a peaceful and prosperous into specific region based on mutual respect and cooperation.

In a joint statement issued in New Delhi today Prime Minister Narendra Modi and his Australian counterpart Malcolm turnbull agreed to draw on the strength of each other to create jobs and investment and raise living standards.

Mr Modi said he and Australian Prime Minister have decided to hold decision on comprehensive economic partnership between the two countries.

it is very important to know everybody about the comprehensive economic relationship between the two countries.

Prime Minister and I reviewed the entire gamut of bilateral relations.

The 2 Prime Minister committed to Depending the bilateral defence and security partnership Mr Modi said they iterated there is strong commitment to combat terrorism in all its form and manifestation.

Both letters agreed that Australia resources and experience code support India's mbcs economic reform path and that India's strong growth of heard opportunities for Australian investment looking for long term stable return.

In his statement Australian Prime Minister Malcolm turnbull said not only cricket but commitment to democracy and role of The Lodge connect the two  Nation.

Alia India and Australia linked six agreements in areas including expanding counter tourism Corporation , Civil Aviation security sports Health and Medical and satellite navigation.
In the evening Mr Modi and Mr turnbull travelled on Delhi Metro and visited Akshardham temple.

No Quantum of disaster fund can ease

For the last 3 weeks Jantar Mantar in Central Delhi has been home to demonstration that has been using innovative methods in desperation one minute to Grab the attention of the central government.

Around 8 to farmers from Tamilnadu for gest with skulls and rates and date snakes to impress upon the central government. Their plight due to the severe draught in  their state.

The deepening water crisis in South India.

The farmers was demanding that their loans from nationalised bank to be waived.
Pyar and just prices be set for their produce and to come up with realistic solution to the water scarcity in the state.

The farmer claimed that they are loans from cooperative banks were written off under jayalalithaa's directives.

However loans from nationalised bank required the central governments go ahead.

The farmers have been reeling under the influence of what has been reportedly called the oldest draught faced by the state in 140 years and the cyclone vardah that hit the state in the December last year.

All the 32 district of Tamil Nadu have been declared drought affected.