Government steps up rate cut pressure on RBI.
New Delhi/Mumbai, Aug 20: Finance Minister Arun Jaitley is stepping up pressure on the RBI to cut rates as the economy struggles and price rises slow, with some bureaucrats working behind the scenes to argue for an immediate cut of as much as 50 basis points.
"Hopefully, the impact of inflation being under control is a factor which ... the central bank, with all its wisdom, will take note of," Jaitley told a gathering of bankers and executives in Mumbai earlier this week.
Full details go to link below:-
http://www.greaterjammu.com/2015/20150821/business.html
Only the whole prices are down. The decrease in price enjoyed by middlemen. Retail prices are on the rise. Ultimate suffers are farmers and public.
Prices are down as mentioned above are just for the sake of decreasing business loan interest to corp orates. The subsequent decrease in FD interest from 10.25 to 8% now and further cut of 0.5% as mentioned above will make it 7.5%. The hard hit will be the senior citizen who have put their life savings and retirement benefits in fixed deposit. more
"Hopefully, the impact of inflation being under control is a factor which ... the central bank, with all its wisdom, will take note of," Jaitley told a gathering of bankers and executives in Mumbai earlier this week.
Full details go to link below:-
http://www.greaterjammu.com/2015/20150821/business.html
Only the whole prices are down. The decrease in price enjoyed by middlemen. Retail prices are on the rise. Ultimate suffers are farmers and public.
Prices are down as mentioned above are just for the sake of decreasing business loan interest to corp orates. The subsequent decrease in FD interest from 10.25 to 8% now and further cut of 0.5% as mentioned above will make it 7.5%. The hard hit will be the senior citizen who have put their life savings and retirement benefits in fixed deposit. more
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THE FARMER MUST GET FAIR PRICE WHICH HE NEVER GETS IN THIS COUNTRY.THE CONSUMER MUST GET THE FARM PRODUCTS AT REASONABLE PRICE WHICH HE NEVER GETS MOSTLY.THEN WHO PLAYS MISCHIEF?IT IS THE MIDDLE MAN WHO FINANCES THE FARMER,BUYS HIS PRODUCE,HOLDS THE STOCK,CREATES ARTIFICIAL SCARCITY AND CREATES PRICE RISE.IT IS HERE THAT THE GOVT.SHOULD INTERVENE AND REMOVE THE MIDDLE MAN WHO EXPLOITS THE FARMER AND CONSUMER AS WELL.THE FARMER SHOULD GET EASY LOANS FROM COMMRCIAL/RURAL/COOP BANKS COVERED BY CROP INSURANCE.THE FARMRS COOP SOCIETY SHOULD BUY FARMERS PRODUCE ON THE SPOT AND TAKE THE PRODUCE TO THE MARKET.THERE SHOULD BE SUFFICIENT WARE HOUSES TO STORE THE FOODGRAINS.FARMERS SUFFER BECAUSE EITHER THEY NEVER GET AT LEAST COST PRICE OR THEIR PRODUCE GET DESTROYED DUE TO NATURAL CALAMITIES.IN OTHER WORDS,THE FARMER SHOULD GET EASY AND CHEAPER LOAN,SECURITY AGAINST NATURAL CALAMITIES,FAIR PRICE FOR HIS PRODUCE ON THE SPOT.THE FARMERS MARKETING SOCIETY SHOLD LIFT THE PRODUCE EITHER TO THE MARKET OR WARE HOUSES.IF THIS HAPPENS SMOOTHLY,ALL THE FARMERS WILL PROSPER AND THERE WILL BE NO FARMERS SUICIDES.EVERY VILLAGE SHOULD BE STRENGTHENED IN THIS DIRECTION.THIS IS MORE IMPORTANT THAN THE SMART CITIES.STRONG AND PROSPERING VILLAGES DEFINITELY SUPPORT SMART CITIES. more
Aug 28
Dear Ranbirji, Senior citizens will not take the risk of investing in share market even if banks may suggest mutual funds. They have alternatives. There are State Governments taking deposits from public and if you open a Treasury savings Bank Account, your interest which is much higher than the banks peanuts, will be credited to it on monthly basis. Alternately State Governments run their own Finance Corporations and Financial Enterprises who have no obligation to Corporations to give loans at lower rates. Such institutions have their own SB Accounts to which monthly interests will be credited. If all senior citizens do this the Public Sector Banks already suffering depleting equity will have to face depleting working capital as well. Their condition will be that of a thunder stricken person bitten by cobra. more
Aug 28
THE GOLDEN FISCAL SYSTEM / THE REAL COST WORKING SYSTEM IS ONLY THE " MONITORING/ CONTROL OF PRODUCTION AND PRICES WHICH THE NON ECONOMISTS OR , THE POLITICAL SELFISTS DID NOT AND HAVE NOT CONFINED TO. more
Aug 28
If the interest rate is lower than the inflation rate, obviously you are losing money by putting it in the bank, as most senior citizens do. The entire modern economic system is designed that way - either you play with the risky system and lose horribly to the big players or you slowly lose. But the banks and economists will not tell you that. On a slightly different issue, the farmers are being squeezed from all sides. In West Bengal potatoes were below Rs. 6/kg, there is no way the farmers can survive on that price. Then the middlemen took that and sold in other states for Rs.16/kg, e.g. in Hyderabad. Farmer's probably got Rs.3, below their production cost. Then the farmers in A.P. were selling their lemons below cost. In this time of Information Technology, why can we not manage the production and prices so that the hard working farmers get their fair share? Is it really that difficult? Some places tonnes of wheat rots, and we know several million kids are malnourished. I think, we have just 2-3 years to straighten up the entire system, lest the public loses faith and hands the rein back to local parties out of frustration. Regards more
Aug 28
