2. Reliance Retail works out JV with Toys ‘R’ Us Close to signing pact with world’s leading toy retailer after UK based ’Hamleys’ Toys ‘R’ Us is headquartered in New Jersey has an annual revenues in excess of $13 billion and owns world’s largest toy store at New York City’s Times Square. Reliance retail will now look at launching foreign brands after pausing their expansion plans during slowdown. The Toy Retail market worth 6000 Cr is highly untapped with unorganized player controlling more than 60%market share
3. Six ministries to decide on FDI retail Department of industrial policy and promotion, department of commerce, department of economic affairs, agriculture ministry and ministry of micro, small and medium enterprises At present, foreign investment is not allowed in multi-brand retail. The Confederation of Indian Industry have stated that the FDI cap should be within the range of 49-51%. Now foreign companies can operate the single-brand retail format or in the wholesale cash-and carry business with FDI cap of 51%.
4. IMF pegs India growth at 9.7% The IMF has projected the Indian economy will grow by 9.7% in 2010 and 8.4% in next fiscal , driven by the robust industrial production and macroeconomic performance. China is expected to grow at faster rate of 10.5% in 2010 and 9.6% in 2011 The global recovery remains fragile because strong policies to foster internal rebalancing of demand from public to private sources and external rebalancing from deficit to surplus economies are not yet in place
5. Drug seizure issue settled, EU agrees to amend laws India has resolved the dispute with the European Union over confiscation of Indian generic drugs by countries such as the Netherlands and France Ending uncertainty for Indian pharma firms which use Europe as a transit point for exports to Africa and Latin America. India pointed out that GATT (the WTO’s former avatar) had specific rules on goods in transit which did not allow such confiscation The EU has accepted the Indian position and amended its rules
6. China currency must rise to fix imbalances: Soros The global currency system is "lop-sided" and "controlled" by China A weak USD and relatively strong currencies could push nations into a round of currency depreciations to help their exports. China's currency should be allowed to appreciate, but a sudden jump of 20 %or more would lead to reduced exports and unemployment in China, reducing consumption there. The IMF and World Bank meetings continue over the weekend.
