Cover Story Is the irony of raising FDI limit
Outlook Coal
Stats Restructuring profile of PSU Banks
Emerging Country Hungary
In Focus E-Commerce Industry in India
This document analyzes various countries and their potential to be breakout nations based on their economic growth and development. It provides SWOT analyses for several countries, including Indonesia, South Korea, Czech Republic, Turkey, and Poland. Indonesia is highlighted as a potential breakout nation due to its high FDI inflows, growing infrastructure spending, development of secondary cities, and young workforce. South Korea is also noted for its consistent growth driven by high R&D spending and innovation.
It is a presentation of Bangladesh Studies,so here you will learn about how to growth up Bangladesh Economics from 1971.
Hopefully you will like this.
Thank you.
This document provides economic data and information on Bulgaria, Romania, Serbia, Ukraine, and Hungary. It includes GDP and GDP per capita figures, currency information, top exports and imports, trade partners, and highlights of each country's economy such as major industries and trade balances. Key data on population and capital cities is also presented for each nation.
The Development Of A Stake In India Baron Luc Bertrand AcBICCI
The document discusses India's economic growth and opportunities for investment. It summarizes that India is expected to recover from the global slowdown in Q3 2009 due to lower dependence on exports and stimulus measures. The cement industry in India is growing and there are opportunities in infrastructure, construction, and other sectors for foreign investment. Sagar Cements is presented as an established and efficient cement producer with expansion plans to triple its capacity.
India has an agriculture-based economy but is growing its manufacturing and services sectors, particularly in textiles, chemicals, software, and business services. The country experienced strong economic growth over the past decade but still faces challenges of poverty, inequality, and infrastructure weaknesses. It has pursued economic reforms and liberalization policies to attract foreign investment and trade to further develop its economy.
Presentation on Economics Growth of BangladeshJafor Sadik
The document discusses the economic growth of Bangladesh. It notes that Bangladesh has experienced average GDP growth of 5.4% in recent years, driven by development of microcredit and the garment industry. However, challenges remain including overpopulation, poor infrastructure, corruption, and political instability. Key constraints to improving growth are increasing export competitiveness, developing the financial sector, improving education and rural development, and investing in transportation infrastructure like roads, railways and inland waterways.
Impact of Inflation and GDP Of India And the United States on Its Foreign Exc...GurpreetSingh1986
- As various countries are now getting global and are opening their market for foreign companies, various
investors are investing in those countries, which means the demand for currency is increasing, affecting the
currency exchange rate.
In this research paper, the author tries to establish the relation between macroeconomic variables like
Inflation and GDP on the currency exchange rate. The author has collected the secondary data of Inflation rate
and GDP and tries to see its relationship with the currency exchange rate system. The author has used a correlation
and regression model to analyze the relationship between the dependent and independent variables.
This document analyzes various countries and their potential to be breakout nations based on their economic growth and development. It provides SWOT analyses for several countries, including Indonesia, South Korea, Czech Republic, Turkey, and Poland. Indonesia is highlighted as a potential breakout nation due to its high FDI inflows, growing infrastructure spending, development of secondary cities, and young workforce. South Korea is also noted for its consistent growth driven by high R&D spending and innovation.
It is a presentation of Bangladesh Studies,so here you will learn about how to growth up Bangladesh Economics from 1971.
Hopefully you will like this.
Thank you.
This document provides economic data and information on Bulgaria, Romania, Serbia, Ukraine, and Hungary. It includes GDP and GDP per capita figures, currency information, top exports and imports, trade partners, and highlights of each country's economy such as major industries and trade balances. Key data on population and capital cities is also presented for each nation.
The Development Of A Stake In India Baron Luc Bertrand AcBICCI
The document discusses India's economic growth and opportunities for investment. It summarizes that India is expected to recover from the global slowdown in Q3 2009 due to lower dependence on exports and stimulus measures. The cement industry in India is growing and there are opportunities in infrastructure, construction, and other sectors for foreign investment. Sagar Cements is presented as an established and efficient cement producer with expansion plans to triple its capacity.
India has an agriculture-based economy but is growing its manufacturing and services sectors, particularly in textiles, chemicals, software, and business services. The country experienced strong economic growth over the past decade but still faces challenges of poverty, inequality, and infrastructure weaknesses. It has pursued economic reforms and liberalization policies to attract foreign investment and trade to further develop its economy.
Presentation on Economics Growth of BangladeshJafor Sadik
The document discusses the economic growth of Bangladesh. It notes that Bangladesh has experienced average GDP growth of 5.4% in recent years, driven by development of microcredit and the garment industry. However, challenges remain including overpopulation, poor infrastructure, corruption, and political instability. Key constraints to improving growth are increasing export competitiveness, developing the financial sector, improving education and rural development, and investing in transportation infrastructure like roads, railways and inland waterways.
Impact of Inflation and GDP Of India And the United States on Its Foreign Exc...GurpreetSingh1986
- As various countries are now getting global and are opening their market for foreign companies, various
investors are investing in those countries, which means the demand for currency is increasing, affecting the
currency exchange rate.
In this research paper, the author tries to establish the relation between macroeconomic variables like
Inflation and GDP on the currency exchange rate. The author has collected the secondary data of Inflation rate
and GDP and tries to see its relationship with the currency exchange rate system. The author has used a correlation
and regression model to analyze the relationship between the dependent and independent variables.
This document provides an overview of India's economy, industries, foreign investment, trade, and strengths and weaknesses. It notes that India has a large agricultural sector focused on crops like wheat, rice and cotton. Manufacturing is led by textiles and chemicals, while services now contribute over half of GDP. India has experienced strong growth but remains a developing country with poverty and inequality issues. The government welcomes foreign investment and has created incentives. Key strengths include a large skilled workforce and consumer base, while weaknesses include corruption and infrastructure problems. India has become more open to international trade through trade agreements but faces a trade deficit.
Khan Mohd Eshtiaque, is currently a Masters in Management student at IE Business School. Previously, he interned as an M&A summer analyst at BDO's corporate finance division in Dubai, where he worked in deals in a variety of sectors including, natural resources, healthcare, facilities management, technology, real estate, utilities and agribusiness. Prior to that, Eshtiaque interned at the Private Banking department of HSBC.
This dissertation analyzes foreign direct investment (FDI) in China and India. It aims to determine why China has attracted more FDI than India and what lessons India can learn from China's success. The author develops hypotheses on the factors restricting FDI in India compared to those enabling higher FDI in China. Statistical analysis is conducted using OLS and autoregressive models to test the hypotheses. The findings suggest policy recommendations for how India can create a more congenial business climate to attract more FDI by learning from China's strategic initiatives and infrastructure development.
Foreign direct investment situation in BangladeshRifat Ahsan
The document summarizes the current state of foreign direct investment (FDI) in Bangladesh in 2016. It discusses that Bangladesh saw record FDI inflows of $2.235 billion in 2015, a 44% increase over 2014. Several factors that attract investors to Bangladesh are highlighted, such as a large, young and educated workforce, increasing trade integration and urbanization, and a favorable investment environment and economic growth. Upcoming challenges for FDI in 2017 include a potential decline in global FDI flows. Overall, the document provides an overview of recent FDI trends and the factors driving investment in Bangladesh.
China's economic slowdown isn't just bad for china94ajay
China's Economic Slowdown Isn't just bad for china, it's bad for everyone who trade with china, but India can take this opportunity to promote 'Make in India'
Wealth creation the invisible hand supported by the hand of trustDVSResearchFoundatio
OBJECTIVE
National Economic Survey (NES) is the flagship annual document of the Ministry of Finance of the Government of India. It reviews the developments in the Indian economy over the past financial year, summarizes the performance on major development programs, and highlights initiatives of the government and the prospects of the economy in the short to medium term.
The Bangladeshi economy has grown rapidly in recent years, with a GDP growth rate of 7.1% in 2016, according to the IMF. Bangladesh exports textiles, leather goods, and food, with its top export partners being the US, Germany, and UK. Imports include cotton, petroleum, and machinery, mainly from China, India, and Singapore. GDP is calculated through the production, income, and expenditure approaches and measures the value of finished goods and services produced domestically. Bangladesh's GDP growth rate was over 7% in 2018-2019 according to forecasts, higher than most other South Asian countries. Agriculture, industry, and services each contribute around 17%, 26%, and 56% respectively to Bangladesh's GDP.
This document provides an overview of investment opportunities in Bangladesh. It summarizes Bangladesh's strong economic growth rates and competitive advantages for foreign investment, including a large and growing domestic market, low costs, and a productive workforce. Specific sectors highlighted for investment potential include manufacturing, energy, infrastructure, and services. International organizations are optimistic about Bangladesh's prospects for continued economic growth. The country aims to attract more foreign direct investment through business-friendly policies and economic zones.
This reports gives reader an overview of India steel industry. It will explain India position from world prospective, its working and dominant players.
Dr Dev Kambhampati | Doing Business in Sri Lanka - 2014 Country Commercial Gu...Dr Dev Kambhampati
This document provides an overview of doing business in Sri Lanka for U.S. companies. It discusses Sri Lanka's population, GDP, imports/exports, and economic growth. While the end of the civil war has allowed growth, challenges remain such as a sluggish private sector, opaque government processes, and inefficient bureaucracy. However, opportunities exist in infrastructure, tourism, textiles, agriculture and other sectors. The document provides advice on market entry strategies and resources available to U.S. companies through organizations like the Board of Investment and American Chamber of Commerce in Sri Lanka.
Know how China's Economic Slowdown has a significant impact on key economies that have strong trade ties with the country? Download the Aranca special report on China Slowdown here.
China's economic growth is slowing down which poses risks to the global economy. China has long relied on exports and investment to drive growth but is now transitioning to a more consumer-based economy. The slowdown is being driven by falling exports, declining domestic investment and consumption, high debt levels, an aging population, and other challenges. Many countries will feel the effects, especially commodity exporters to China. Institutional reforms are needed in China to address issues like state-owned enterprises, education, and the aging workforce to help sustain economic growth over the long run.
The hospitality industry in India has seen significant growth in recent years and is projected to continue expanding. Some key points:
- India's travel and tourism sector contributed $234 billion to GDP in 2018 and is projected to contribute $492 billion by 2028, growing at a CAGR of 7.11%.
- Foreign tourist arrivals were 10.56 million in 2018 and are projected to reach 30.5 million by 2028. Foreign exchange earnings from tourism increased from $28.59 billion in 2018 to $2.55 billion in January 2019.
- The industry employs over 81 million people, accounting for 12.38% of total employment in India. Segments like medical tourism, cruise tourism,
The CPD IRBD 2019 Team would like to register its gratitude to Professor Rehman Sobhan, Chairman, CPD for his advice and guidance in preparing this report.
The Team gratefully acknowledges the valuable support provided by Ms Anisatul Fatema Yousuf, Director, Dialogue and Communication Division, CPD and her team in preparing this report. Contribution of the CPD Administration and Finance Division is also highly appreciated. Assistance of A H M Ashrafuzzaman, Deputy Director IT; Mr Hamidul Hoque Mondal, Senior Administrative Associate; Ms Tahsin Sadia, Executive Associate; Ms Nafisa Yasmin, Executive Associate are particularly appreciated.
Concerned officials belonging to a number of institutions have extended valuable support to the CPD IRBD Team members. In this connection, the Team would like to register its sincere thanks to Bangladesh Bank (BB), Bangladesh Bureau of Statistics (BBS), Bangladesh Investment Development Authority (BIDA), Dhaka Stock Exchange (DSE), Export Promotion Bureau (EPB), Ministry of Finance (MoF), National Board of Revenue (NBR), and Planning Commission.
The CPD IRBD 2019 Team alone remains responsible for the analyses, interpretations and conclusions presented in this report.
More Details of the event: https://bit.ly/2MIcu0L
The document summarizes news from Mongolia's business sector. Key points include:
- The private business sector appealed to Parliament to involve them more in drafting legislation that could impact their operations.
- Erdenes-TT revealed challenges to parliament such as debt, infrastructure limitations, and political interference in their operations.
- The EBRD is considering providing financing for the development of the massive Oyu Tolgoi copper and gold mine.
The document discusses the impact of global integration on economies and societies. It notes that globalization has integrated regional economies through increased trade, capital flows, technology diffusion, and cultural exchange. The document outlines both positive and negative impacts of global integration, including increased competition lowering prices but also millions of job losses as companies shift production overseas. It then discusses factors favoring and inhibiting India's globalization and the relatively mild impact of the 2008 economic recession on India. The stock market declined due to reduced foreign investment while the rupee fell against the US dollar and capital flows reduced. However, rural demand remained robust and exports are a modest percentage of GDP, insulating India. The conclusion is that globalization can improve efficiency if Indian firms adopt new technologies
Japan plans to double its investments in India over the next 5 years to over $35 billion. Japan and India signed a 5-point agenda to further trade, investment ties, and Asian economic integration. This includes developing Japanese industrial townships, infrastructure development, IT cooperation, and strategic sector cooperation. India-Japan bilateral trade was around $15 billion in 2014-15, with India's exports at $5 billion and imports at $9.3 billion. Japan is currently the 4th largest investor in India, and doubling investments would make it the 2nd or 3rd largest investor, after Mauritius and Singapore.
The document discusses foreign direct investment (FDI) trends in India over several decades. It notes that sectors like telecommunications, construction, and computer software and hardware have been major recipients of FDI. India ranks highly in global FDI confidence indexes and saw FDI inflows increase significantly from the early 1990s after economic liberalization, reaching over $40 billion annually by 2008 despite the global economic crisis. Major international companies are finding ways to invest in India despite some restrictions.
George Eastman, a high school dropout, brought photography and images to our daily lives. He left behind a legacy that probably he thought would endure for generations.
However, buffeted by foreign competition, then blindsided by a digital revolution, photography icon Eastman Kodak Co. is now fighting for survival after a quarter-century of failed efforts to find its focus.
What went wrong with Eastman Kodak is a question that crossed my mind. Here I am presenting what I gathered and understood by flipping through pages of 131 year old company.
This document outlines a presentation on public narrative and strategy for building teams and fixing problems. It discusses the components of an effective public narrative, including telling the story of self, the story of us, and the story of now. It provides examples of these components, including one speaker's story of how she got involved in improving healthcare access. The document also covers key aspects of developing strategy, such as identifying the problem, key stakeholders, the desired solution or change, and who has the power to enact that change. It gives examples applying this framework to the Montgomery bus boycott and another speaker's efforts to create an interprofessional student-run free clinic.
This document provides an overview of India's economy, industries, foreign investment, trade, and strengths and weaknesses. It notes that India has a large agricultural sector focused on crops like wheat, rice and cotton. Manufacturing is led by textiles and chemicals, while services now contribute over half of GDP. India has experienced strong growth but remains a developing country with poverty and inequality issues. The government welcomes foreign investment and has created incentives. Key strengths include a large skilled workforce and consumer base, while weaknesses include corruption and infrastructure problems. India has become more open to international trade through trade agreements but faces a trade deficit.
Khan Mohd Eshtiaque, is currently a Masters in Management student at IE Business School. Previously, he interned as an M&A summer analyst at BDO's corporate finance division in Dubai, where he worked in deals in a variety of sectors including, natural resources, healthcare, facilities management, technology, real estate, utilities and agribusiness. Prior to that, Eshtiaque interned at the Private Banking department of HSBC.
This dissertation analyzes foreign direct investment (FDI) in China and India. It aims to determine why China has attracted more FDI than India and what lessons India can learn from China's success. The author develops hypotheses on the factors restricting FDI in India compared to those enabling higher FDI in China. Statistical analysis is conducted using OLS and autoregressive models to test the hypotheses. The findings suggest policy recommendations for how India can create a more congenial business climate to attract more FDI by learning from China's strategic initiatives and infrastructure development.
Foreign direct investment situation in BangladeshRifat Ahsan
The document summarizes the current state of foreign direct investment (FDI) in Bangladesh in 2016. It discusses that Bangladesh saw record FDI inflows of $2.235 billion in 2015, a 44% increase over 2014. Several factors that attract investors to Bangladesh are highlighted, such as a large, young and educated workforce, increasing trade integration and urbanization, and a favorable investment environment and economic growth. Upcoming challenges for FDI in 2017 include a potential decline in global FDI flows. Overall, the document provides an overview of recent FDI trends and the factors driving investment in Bangladesh.
China's economic slowdown isn't just bad for china94ajay
China's Economic Slowdown Isn't just bad for china, it's bad for everyone who trade with china, but India can take this opportunity to promote 'Make in India'
Wealth creation the invisible hand supported by the hand of trustDVSResearchFoundatio
OBJECTIVE
National Economic Survey (NES) is the flagship annual document of the Ministry of Finance of the Government of India. It reviews the developments in the Indian economy over the past financial year, summarizes the performance on major development programs, and highlights initiatives of the government and the prospects of the economy in the short to medium term.
The Bangladeshi economy has grown rapidly in recent years, with a GDP growth rate of 7.1% in 2016, according to the IMF. Bangladesh exports textiles, leather goods, and food, with its top export partners being the US, Germany, and UK. Imports include cotton, petroleum, and machinery, mainly from China, India, and Singapore. GDP is calculated through the production, income, and expenditure approaches and measures the value of finished goods and services produced domestically. Bangladesh's GDP growth rate was over 7% in 2018-2019 according to forecasts, higher than most other South Asian countries. Agriculture, industry, and services each contribute around 17%, 26%, and 56% respectively to Bangladesh's GDP.
This document provides an overview of investment opportunities in Bangladesh. It summarizes Bangladesh's strong economic growth rates and competitive advantages for foreign investment, including a large and growing domestic market, low costs, and a productive workforce. Specific sectors highlighted for investment potential include manufacturing, energy, infrastructure, and services. International organizations are optimistic about Bangladesh's prospects for continued economic growth. The country aims to attract more foreign direct investment through business-friendly policies and economic zones.
This reports gives reader an overview of India steel industry. It will explain India position from world prospective, its working and dominant players.
Dr Dev Kambhampati | Doing Business in Sri Lanka - 2014 Country Commercial Gu...Dr Dev Kambhampati
This document provides an overview of doing business in Sri Lanka for U.S. companies. It discusses Sri Lanka's population, GDP, imports/exports, and economic growth. While the end of the civil war has allowed growth, challenges remain such as a sluggish private sector, opaque government processes, and inefficient bureaucracy. However, opportunities exist in infrastructure, tourism, textiles, agriculture and other sectors. The document provides advice on market entry strategies and resources available to U.S. companies through organizations like the Board of Investment and American Chamber of Commerce in Sri Lanka.
Know how China's Economic Slowdown has a significant impact on key economies that have strong trade ties with the country? Download the Aranca special report on China Slowdown here.
China's economic growth is slowing down which poses risks to the global economy. China has long relied on exports and investment to drive growth but is now transitioning to a more consumer-based economy. The slowdown is being driven by falling exports, declining domestic investment and consumption, high debt levels, an aging population, and other challenges. Many countries will feel the effects, especially commodity exporters to China. Institutional reforms are needed in China to address issues like state-owned enterprises, education, and the aging workforce to help sustain economic growth over the long run.
The hospitality industry in India has seen significant growth in recent years and is projected to continue expanding. Some key points:
- India's travel and tourism sector contributed $234 billion to GDP in 2018 and is projected to contribute $492 billion by 2028, growing at a CAGR of 7.11%.
- Foreign tourist arrivals were 10.56 million in 2018 and are projected to reach 30.5 million by 2028. Foreign exchange earnings from tourism increased from $28.59 billion in 2018 to $2.55 billion in January 2019.
- The industry employs over 81 million people, accounting for 12.38% of total employment in India. Segments like medical tourism, cruise tourism,
The CPD IRBD 2019 Team would like to register its gratitude to Professor Rehman Sobhan, Chairman, CPD for his advice and guidance in preparing this report.
The Team gratefully acknowledges the valuable support provided by Ms Anisatul Fatema Yousuf, Director, Dialogue and Communication Division, CPD and her team in preparing this report. Contribution of the CPD Administration and Finance Division is also highly appreciated. Assistance of A H M Ashrafuzzaman, Deputy Director IT; Mr Hamidul Hoque Mondal, Senior Administrative Associate; Ms Tahsin Sadia, Executive Associate; Ms Nafisa Yasmin, Executive Associate are particularly appreciated.
Concerned officials belonging to a number of institutions have extended valuable support to the CPD IRBD Team members. In this connection, the Team would like to register its sincere thanks to Bangladesh Bank (BB), Bangladesh Bureau of Statistics (BBS), Bangladesh Investment Development Authority (BIDA), Dhaka Stock Exchange (DSE), Export Promotion Bureau (EPB), Ministry of Finance (MoF), National Board of Revenue (NBR), and Planning Commission.
The CPD IRBD 2019 Team alone remains responsible for the analyses, interpretations and conclusions presented in this report.
More Details of the event: https://bit.ly/2MIcu0L
The document summarizes news from Mongolia's business sector. Key points include:
- The private business sector appealed to Parliament to involve them more in drafting legislation that could impact their operations.
- Erdenes-TT revealed challenges to parliament such as debt, infrastructure limitations, and political interference in their operations.
- The EBRD is considering providing financing for the development of the massive Oyu Tolgoi copper and gold mine.
The document discusses the impact of global integration on economies and societies. It notes that globalization has integrated regional economies through increased trade, capital flows, technology diffusion, and cultural exchange. The document outlines both positive and negative impacts of global integration, including increased competition lowering prices but also millions of job losses as companies shift production overseas. It then discusses factors favoring and inhibiting India's globalization and the relatively mild impact of the 2008 economic recession on India. The stock market declined due to reduced foreign investment while the rupee fell against the US dollar and capital flows reduced. However, rural demand remained robust and exports are a modest percentage of GDP, insulating India. The conclusion is that globalization can improve efficiency if Indian firms adopt new technologies
Japan plans to double its investments in India over the next 5 years to over $35 billion. Japan and India signed a 5-point agenda to further trade, investment ties, and Asian economic integration. This includes developing Japanese industrial townships, infrastructure development, IT cooperation, and strategic sector cooperation. India-Japan bilateral trade was around $15 billion in 2014-15, with India's exports at $5 billion and imports at $9.3 billion. Japan is currently the 4th largest investor in India, and doubling investments would make it the 2nd or 3rd largest investor, after Mauritius and Singapore.
The document discusses foreign direct investment (FDI) trends in India over several decades. It notes that sectors like telecommunications, construction, and computer software and hardware have been major recipients of FDI. India ranks highly in global FDI confidence indexes and saw FDI inflows increase significantly from the early 1990s after economic liberalization, reaching over $40 billion annually by 2008 despite the global economic crisis. Major international companies are finding ways to invest in India despite some restrictions.
George Eastman, a high school dropout, brought photography and images to our daily lives. He left behind a legacy that probably he thought would endure for generations.
However, buffeted by foreign competition, then blindsided by a digital revolution, photography icon Eastman Kodak Co. is now fighting for survival after a quarter-century of failed efforts to find its focus.
What went wrong with Eastman Kodak is a question that crossed my mind. Here I am presenting what I gathered and understood by flipping through pages of 131 year old company.
This document outlines a presentation on public narrative and strategy for building teams and fixing problems. It discusses the components of an effective public narrative, including telling the story of self, the story of us, and the story of now. It provides examples of these components, including one speaker's story of how she got involved in improving healthcare access. The document also covers key aspects of developing strategy, such as identifying the problem, key stakeholders, the desired solution or change, and who has the power to enact that change. It gives examples applying this framework to the Montgomery bus boycott and another speaker's efforts to create an interprofessional student-run free clinic.
Cloud computing offers many benefits like on-demand access to computing resources and pay-per-use billing. However, there are also security risks and concerns about losing control over sensitive data. While cloud services provide location-independent resources, enterprises worry about relying on providers to safeguard valuable data. Additional challenges include ensuring manageability of cloud infrastructure and platforms as they currently lack robust management capabilities. Overall, cloud computing presents opportunities but also risks that must be addressed for organizations to fully embrace the technology.
The document discusses several economic news items from emerging markets:
- Russia's central bank held interest rates steady and signaled a slightly more dovish tone going forward as a new central bank head is nominated.
- Indonesia's state-owned coal miner is seeking to acquire stakes in other coal mining sites to expand its operations.
- The Philippines reported that its consolidated public sector deficit reached $27.5 billion in the third quarter of 2012.
- South Africa reported a 3.9% year-over-year increase in manufacturing production for January 2013.
- Brazil's main oil producing states are reviewing their budgets and preparing for potential revenue cuts after Congress overturned a presidential veto related to oil royalty redistribution.
Cover Story Narayana Murthy’s Second Innings
Outlook US Dollar
Stats Major Global Currencies Recent Movement
Emerging Country South Africa
In Focus Target Gold, Again
FDI inflows into India have been increasing, reaching their highest level during April 2006 to November 2006. India's rank as an FDI destination has improved, rising to number 2 according to an index in 2006. FDI brings economic and job growth as well as technology and skills transfers that boost India's competitiveness. Key sectors receiving FDI include services, IT, telecom, and automobiles. Top investors in India come from the US, Mauritius, Singapore and Netherlands. India liberalized its FDI policy in 1991 and now has a mostly open policy, though some sensitive sectors remain restricted.
The Indian cement industry has grown significantly over the past decade, outperforming other major economies. It is now the second largest cement producer in the world, growing at a faster rate than China's cement industry. Key drivers of growth have been increased infrastructure development, housing sector growth, and industrial projects. The government is investing over $500 billion in infrastructure projects over the next five years, which will further drive cement demand.
The Indian cement industry has grown significantly over the past decade, outperforming other countries and becoming the second largest producer worldwide after China. Cement demand in India has increased at around 8% annually, faster than GDP growth, driven primarily by growth in infrastructure, housing, and industrial construction. Looking forward, continued government investment in infrastructure and expansion of sectors like real estate, ports, and IT are expected to further increase cement demand in India.
The Indian cement industry has grown at an average rate of 8% over the last ten years, making it the second largest producer globally behind China. Key drivers of cement demand are the real estate, infrastructure, and industrial expansion sectors. The government plans to invest over $500 billion in infrastructure projects which will further drive cement demand. Several global cement companies have entered the Indian market to take advantage of its strong growth prospects.
The document discusses the development of various industries in India including manufacturing, gems and jewelry, auto components, aerospace, automobiles, capital goods, chemicals, and others. It notes that manufacturing contributes 15% of India's GDP and employs over 58 million people. The gems and jewelry industry is one of the fastest growing segments and India is the largest consumer of gold in the world. The auto components industry has emerged as a supplier to global automakers. India is also poised to become a large aircraft market. The chemicals industry is poised for explosive growth in the coming years.
This document discusses foreign direct investment (FDI) in India. It outlines the history of India's approach to FDI from cautious in the 1940s-1960s, to restrictive in the 1960s-1970s, to semi-liberalization in the 1980s-1990s. Recent FDI has increased significantly, with major investments from countries like Mauritius, Singapore, and the US. Key challenges to increasing FDI include developing infrastructure, promoting equitable growth between rural and urban areas, gaining political support for reforms, and addressing taxation issues. Overall, the document analyzes India's changing policies toward and recent trends in foreign direct investment.
The document discusses expectations for key sectors in India's upcoming Union Budget for 2011-2012. It is expected that the budget will focus on increasing investments in agriculture and infrastructure to address issues like higher inflation, lower industrial growth, and lack of infrastructure investments. Specifically, the budget may increase funding for agriculture, irrigation, research and development, and infrastructure projects. It also discusses expectations for other sectors like power, metals, mining, oil and gas, cement, and automobiles. The overall aim of the budget is seen as accelerating GDP growth through these sectors while maintaining fiscal deficit targets.
The document discusses expectations for India's Union Budget 2011. Investors expect the budget to focus on three key areas: 1) controlling inflation without hurting growth, 2) controlling the fiscal deficit, and 3) increasing investments in infrastructure to support growth. There is also discussion on possible steps the government may take to address issues like inflation, fiscal deficit, subsidies, and the current account gap.
India is a large country with a growing economy across many sectors such as automotive, banking, IT, healthcare and infrastructure. The government allows 100% foreign direct investment in most sectors and has policies to encourage private sector participation. Common forms of business include proprietorships, partnerships, private and public companies. Economic laws regulate contracts, intellectual property, labour and competition. Mergers and acquisitions require regulatory approvals. Repatriation of profits and capital follows certain norms.
Rajesh Nath has experience in engineering, business management, and currently heads the Indian office of the German Engineering Federation.
The document provides an overview of opportunities in the ceramic tile industry in India. It notes that India has a large population and growing middle class, with an annual GDP growth rate of 9-10%. The ceramic tile industry in India is valued at around €1.26 billion and has been growing at 12-15% annually. Major drivers of growth are increased purchasing power, expansion of the construction industry, and government investment in housing and infrastructure. The industry provides direct and indirect employment to over 2 million workers in India.
The document discusses several topics related to globalization and its impact on Indian business and industry. It provides details on the meaning of globalization, its effects on the Indian industry since the 1990s, and how it has impacted specific industries such as automobile, sugar, banking, insurance, and aluminum. It also outlines some of the advantages and disadvantages of globalization.
Foreign Direct Investment. Political Economic Digest Series - XVIAkash Shrestha
In this issue, we will be discussing about Foreign Direct Investment (FDI).
Foreign Direct Investment has been a very productive tool for the economic growth of many countries. Recently after the government made the decision to celebrate 2012/13 as investment year and after the agreement with India i.e. Bilateral Investment Promotion and Protection Agreement, the topic of Foreign Direct Investment has been highly discussed among the lawmakers, policymakers and general public. The examples provided in this issue of different countries regarding FDI has shown how the growth rate is positively affected by the investment from outside the country.
The trade landscape, as we know it, is changing: Is India prepared?aakash malhotra
In report of August 2022, Deloitte India discusses the crucial changes occurring in the Indian economy and how exports contribute to India's GDP and vision of becoming a US$5 trillion economy.
This document provides an overview of the Indian industry and infrastructure sectors. It discusses key industrial production and growth statistics. It outlines various government initiatives to boost the industrial sector, including improvements to ease of doing business, the Startup India program, and foreign direct investment policies. It also examines sector-specific issues and performance in industries like steel, gems and jewelry, leather, MSMEs, textiles, and others. Finally, it analyzes the importance of infrastructure development for the economy and provides details on sectors like roads, railways, aviation, shipping, telecom, power, housing, and smart cities initiatives.
Fdi and impact on pharmaceutical industry in indiaSayonie Bose
Foreign direct investment (FDI) in India's pharmaceutical industry has increased since liberalization began in the 1990s. While equity restrictions helped local firms form joint ventures, today 100% foreign ownership is allowed. While research and development requirements were once imposed on foreign firms, there are now no performance standards. Skilled labor costs and supply chains attract multinational pharmaceutical firms to India for production. Overall FDI and competition in the industry are necessary for its growth and to provide affordable healthcare to Indians.
1) Global value chains have become dominant in world trade, with the production of goods fragmented across countries based on available skills and costs.
2) While firms drive participation in global value chains, government policies play a role in creating an enabling environment for firms.
3) India's integration in global value chains peaked in 2008 but has declined since, however increased participation could significantly boost India's GDP and exports. Deeper involvement in manufacturing value chains may help India become a $5 trillion economy by 2024.
The document discusses the history and impact of foreign direct investment (FDI) in India. It traces FDI back to the East India Company and notes that India faced a severe economic crisis in 1991 that led the government to liberalize FDI policies. Major reforms starting in 1991 aimed to attract FDI through privatization and globalization. The document outlines several advantages and disadvantages of FDI and details India's FDI policies and approval processes over time. It provides statistics on FDI inflows and major investing sectors in India as well as several recent high-profile FDI announcements.
International business1. What is the current status of Pakistan in.pdflohithkart
International business
1. What is the current status of Pakistan in the world market place? support your answer with
research. please give citiation.
2. What is the ease of doing business in Pakistan? support your answer with research. please give
citiation.
3. Are other countries wanting to invest in Pakistan? support your answer with research. please
give citiation.
4. What do you see as the future of your country in the world market place? support your answer
with research. please give citiation.
Solution
Answer 1). According to World Bank report Pakistan ranks fourth in terms of value (4.2 billion
dollars) with the same global market share as Sri Lanka, although apparel’s share of total country
exports is lower at 19 percent. Foreign direct investment (FDI) has not played an important role;
in the apparel sector, the share of foreign-owned firms is estimated to be less than 2 percent, and
only slightly higher in the textile sector. Wages and working conditions are better in the formal
industry than in the large cottage sector, but short term or temporary contracts are widely used,
particularly for women. The September 2012 factory fire in Karachi recently highlighted poor
safety standards in the country. Pakistan can benefit from the following policies: increase
product diversity by reducing barriers on imports so as to ease access to manmade fibers (such as
duty and tax remission for exports, and export processing zones); attract foreign direct
investment (FDI) by adopting policies to reduce red tape and increase transparency to close the
gap with South Asian countries whose textile and apparel industries are located primarily on the
coast; diversify markets by taking advantage of access to emerging markets; shorten lead times
by improving road infrastructure to facilitate access to ports for exporting firms; shorten lead
times by clustering strategies to provide key infrastructure and common facilities; enhance
perceptions of stability as many buyers will not travel to Pakistan, which makes sourcing
complicated.
Answer 2) Pakistan has slipped three places on the Word Bank’s Ease of Doing Business Index
and is now ranked a lowly 147th among 190 economies, denting the government’s pro-business
image ahead of next general elections.
The index is mostly used as a guide by foreign investors to learn more about a country, aiding
decisions on pouring in money in the economy.
Pakistan, however, slipped from its last year’s rating despite the introduction of some reforms in
areas of starting a business and making international trade relatively easier. If one government
department is to be blamed for the overall poor performance, it is the Ministry of Finance, as the
country’s ranking nosedived on the indicators of paying taxes and getting credit.
The World Bank released the Doing Business 2018 report on Tuesday that covers 190 economies
and measures how close each economy is to global best practices in business regulations.
In South Asia, Bhutan.
A research paper prepared by me on the Manufacturing Sector In India. It contains a SWOT analysis and possible outcomes in the future for the industry.
This document presents a case study on foreign direct investment (FDI) and economic growth in India. It discusses trends in FDI inflows to India by sector and top investing countries. Regression analyses show positive relationships between FDI and GDP/exports growth. The manufacturing sector is analyzed, showing India's rising global rankings. Challenges to FDI include crowding out domestic investment. The services, insurance, agriculture, retail, and tourism sectors are also examined in terms of attracting more FDI and related policies. A comparison of FDI policies and inflows between India and China is provided.
Cover Story Indian Entrepreneurs Are More Measured Than The Chinese
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Stats Share of Public sector in capital formation
Emerging Country Peru
In Focus USA is second to China in monetary stimulus
The Tata group withdrew its application for a banking license in India, deciding that its current financial services model better supports its domestic and overseas strategy. This leaves 25 other applicants, including companies from the Aditya Birla, Bajaj, and Reliance groups, still in the running for new private banking licenses that the Reserve Bank of India is expected to issue. Some analysts believe the high capital requirements and regulations around priority sector lending deterred some large corporate groups from applying for a banking license.
Cover Story King of the pack-Indigo Airlines
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Emerging Country Ukraine
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Outlook Chinese Yuan
Stats India Gloom on GDP, Fiscal Deficit and Mining and Manufacturing output
Emerging Country Nigeria
In Focus Facts on Food Security Bill
Raghuram Rajan has been appointed as the next Governor of the Reserve Bank of India (RBI), replacing Duvuri Subbarao whose term ends in September 2013. Rajan faces several challenges in his new role, including improving RBI's relationship with the finance ministry, strengthening the rupee, replenishing foreign exchange reserves, keeping inflation in check, and overseeing the licensing of new banks in India during a period of economic uncertainty. As RBI Governor, Rajan will have to balance various economic goals and guide monetary policy prudently through the difficult economic conditions.
Cover Story China Running out of Breath
Outlook Crude Oil
Stats India Trade Deficit FY-2014
Emerging Country Russia
In Focus Land Acquisition Bill- A Snapshot
Cover Story Is India's food security bill the magic pill?
Outlook Euro
Stats Currency Composition of Foreign Exchange Reserve
Emerging Country Philippines
In Focus US Becoming a Surveillance State. Right or Wrong?
- Ranbaxy Laboratories Ltd, an Indian generic drug maker, pleaded guilty to felony charges related to drug safety and agreed to pay $500 million in fines to the US Department of Justice. This is the largest settlement ever with a generic drug maker over drug safety issues.
- The settlement is due to drugs manufactured at two Indian plants not meeting safety standards and false statements being made. The civil settlement is for $350 million for false claims submitted to US healthcare programs from 2003-2010.
- The case raises questions about quality standards of drugs manufactured in India and could damage the reputation of the Indian pharmaceutical industry. It may make it more difficult for Indian drug companies to secure contracts in the US market.
Back in Limelight-“Saradha chit fund scam brings in focus deficiencies in Financial sector”
Steel Outlook
Moonsoon trend in India
Emerging Country-Turkey
Should India issue Sovergin Bonds
The document discusses the bailout deal reached for Cyprus to avoid exiting the eurozone. Key points:
- Cyprus agreed to restructure its second largest bank, Laiki, dissolving it and transferring guaranteed deposits to the largest bank, Bank of Cyprus, which also faces major restructuring.
- Large depositors in both banks face significant losses of up to 40% of their money. The banking sector will shrink greatly and thousands of jobs will be lost.
- Capital controls will be imposed temporarily on bank withdrawals and cash movements.
- However, Cyprus' debt levels remain very high and its economy will shrink drastically, so it may require further bailouts.
- The deal sets a precedent that worries
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13 Jun 24 ILC Retirement Income Summit - slides.pptxILC- UK
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Contributors included:
Jo Blanden, Professor in Economics, University of Surrey
Clive Bolton, CEO, Life Insurance M&G Plc
Jim Boyd, CEO, Equity Release Council
Molly Broome, Economist, Resolution Foundation
Nida Broughton, Co-Director of Economic Policy, Behavioural Insights Team
Jonathan Cribb, Associate Director and Head of Retirement, Savings, and Ageing, Institute for Fiscal Studies
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Sue Lewis, ILC Trustee
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Sarah O'Grady, Journalist
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Daniela Silcock, Head of Policy Research, Pensions Policy Institute
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Understanding Ponzi Schemes
A Ponzi scheme is an investment scam where returns are paid to earlier investors using the capital from newer investors, rather than from legitimate profit earned. The scheme relies on a constant influx of new investments to continue paying the promised returns. Eventually, when the flow of new money slows down or stops, the scheme collapses, leaving the majority of investors with substantial financial losses.
Historical Context: Charles Ponzi and His Legacy
Charles Ponzi is the namesake of this deceptive practice. In the 1920s, Ponzi promised investors in Boston a 50% return within 45 days or 100% return in 90 days through arbitrage of international reply coupons. Initially, he paid returns as promised, not from profits, but from the investments of new participants. When his scheme unraveled, it resulted in losses exceeding $20 million (equivalent to about $270 million today).
Notable American Ponzi Schemes
1. Bernie Madoff: Perhaps the most notorious Ponzi scheme in recent history, Bernie Madoff’s fraud involved $65 billion. Madoff, a well-respected figure in the financial industry, promised steady, high returns through a secretive investment strategy. His scheme lasted for decades before collapsing in 2008, devastating thousands of investors, including individuals, charities, and institutional clients.
2. Allen Stanford: Through his company, Stanford Financial Group, Allen Stanford orchestrated a $7 billion Ponzi scheme, luring investors with fraudulent certificates of deposit issued by his offshore bank. Stanford promised high returns and lavish lifestyle benefits to his investors, which ultimately led to a 110-year prison sentence for the financier in 2012.
3. Tom Petters: In a scheme that lasted more than a decade, Tom Petters ran a $3.65 billion Ponzi scheme, using his company, Petters Group Worldwide. He claimed to buy and sell consumer electronics, but in reality, he used new investments to pay off old debts and fund his extravagant lifestyle. Petters was convicted in 2009 and sentenced to 50 years in prison.
4. Eric Dalius and Saivian: Eric Dalius, a prominent figure behind Saivian, a cashback program promising high returns, is under scrutiny for allegedly orchestrating a Ponzi scheme. Saivian enticed investors with promises of up to 20% cash back on everyday purchases. However, investigations suggest that the returns were paid using new investments rather than legitimate profits. The collapse of Saivian l
2. Cover
Story
The government's modest attempt to open up to more foreign direct investment (FDI) might not bring in a flood of dollars immediately, but it is a step in the
right direction. The most significant measure is to hike the ceiling for FDI in telecom from 74 per cent to 100 per cent, though investors who want to go up to
that level will still need clearance from the government. This could see the exit of several Indian stakeholders in telecom as valuations go up, once policy
confusion is over. The limits to FDI in civil aviation and supermarkets remain unchanged and there is no point allowing more overseas investment in insurance
and pension funds without legislative action. In defence production, FDI is restricted to 26 per cent but, in theory, overseas investors that bring in state of the
art technology can go up to 100 per cent. It has been left to the discretion of the defence ministry to decide exactly what qualifies as state of the art, something
that leaves ample scope for graft and a future scandal in defence production units.
However, there is an underlying irony here. The government raises foreign direct investment (FDI) limits in various sectors, and in the two days after that,
instead of a flood of dollars coming in, projects worth Rs. 80,000 crores have been shelved, with Posco, the South Korean giant, and steel-maker Arcelor-Mittal
calling it quits.
The economy struggling and the rupee weakening may have forced the central government into action, but the fate of many big infrastructure projects in India
is in the hands of other powers: the state of the world economy and state governments, to name a few as also evident from the statement of Yong Won Yoon,
Chairman of Posco.
Demand for steel from the world's largest consumer, China, has fallen from the heights of 2010, when many of these projects were signed. Commodity prices
were booming at the time. Given today's growth scenario, internal reviews on the viability of such major investments is natural. Add to that the state
government machinery in many of the mineral-rich states such as Jharkhand, Odisha and Bihar. While they play a critical role in facilitating these projects, the
states simply lack the capacity to cut through the red tape. Frustrated by such delays, investors have begun to question whether it is worth it.
Though the hurdles are many, one of the biggest and most controversial is land acquisition. And not just for foreign companies. Just ask Ratan Tata about the
Singur affair. Vedanta's $9 billion investment aluminium project has been marred by the acquisition battle in the Niyamgiri hills of Odisha. Reaching a balance
between the rights of land owners and needs of companies has so far eluded policymakers.
Today, prospective overseas investors in India are spooked by the wide holes in policy, its implementation and the scope of graft in the system. For example
there is no point allowing FDI in commercial real estate without putting in place a transparent policy to convert agricultural land to commercial/residential
use. These powers of conversion belong to state governments, where petty bureaucrats, brokers and politicians demand huge bribes to get the conversion
done.
The irony of raising FDI limit
3. Cover
Story
Countries like the US and Britain, which now have powerful laws that bar their companies from bribery
anywhere in the world, will soon find that despite its obvious demographic dividends, India is indeed a
complex place to invest in. Wal-Mart is already under the scanner in the US for alleged bribery in
Mexico; the probe has widened to include its Indian and Chinese operations.
Raising FDI caps along with streamlining the approval process and ironing-out stringent and
complicated procedural matters is required. Fixing the investment climate requires a multi-pronged
approach which goes beyond tinkering with FDI limits.
Some of the improvement areas are:
Political instability: With the Central government relying on regional political parties for support in a
shaky coalition, economics sometimes takes a back seat. Add to it corrupt and inefficient bureaucracy,
and the poor accountability of politicians.
Corruption: India is afflicted with a crisis in governance. Complex approval systems have made giving
project clearances a fertile ground for corruption.
Infrastructure: The weakest link. Power cuts remain daily events, and transporting goods takes weeks.
This bottleneck discourages foreign investors from putting their money in India.
Government regulations: The government has sent mixed signals to investors by changing it tax and
tariff policies without notice. The retrospective tax amendment brought in the 2012 budget, and
successive flip-flops, hurt investor sentiment.
Labour laws: Inflexibility in retrenchment policies has been a perennial sticking point.
Just the announcement of opening up of FDI cannot be termed as a reform. The announcement in no
way makes India an attractive investment destination. It is the ease of doing business that attracts
entrepreneurs. Indian businessmen are also not investing in India and prefer other countries because of
various hurdles and government’s policy of repeatedly changing the rules of the game after capital has
been committed.
Just setting FDI limits higher is not enough; to get funds flowing, we need better and cleaner governance
at all levels. That takes political resolve at the highest level, because corruption in India is systemic,
rather than opportunistic, tied to how politics is funded.
Highlights
• FDI cap in telecom raised to 100% from 74%; up
to 49% through automatic route and beyond via
FIPB
• No change in 49% FDI limit in civil aviation
• FDI cap in defence production to stay at 26%,
higher investment may be considered in state-of-
the-art technology production by CCS
• 100% FDI allowed in single brand retail; 49%
through automatic, 49-100% through FIPB
• FDI limit in insurance sector raised to 49% from
present 26%, subject to Parliament approval
• FDI up to 49% in petroleum refining allowed
under automatic route, from earlier approval
route
• In power exchanges 49% FDI allowed through
automatic route, from earlier FIPB route.
• Raised FDI in asset reconstruction companies to
100% from 74%; of this up to 49% will be under
automatic route
• FDI limit increased in credit information
companies to 74% from 49%.
• FDI up to 49% in stock exchanges, depositories
allowed under automatic route
• FDI up to 100% through automatic route allowed
in courier services
• FDI in tea plantation up to 49% through
automatic route; 49-100% through FIPB route
• No decision taken on FDI cap in airports, media,
brownfield pharma and multi-brand retail.
4. COAL prices in Asia are showing little sign of recovery after the biggest quarterly decline in a year amid subdued demand and increasing supply from Australia
and Indonesia, the world’s largest exporters.
Prices of coal at the Australian port of Newcastle, the Asian benchmark grade, may trade on an average $86 a tonne this year. Coal has dropped 7.5% to $81.20 a
tonne in the second quarter, the most since the three months ended June last year. Supplies are forecast to rise at least 30-million tonnes as new mines start this
year. About 15% of Australia’s coal is extracted at a loss when prices fall below $90 a tonne.
The market has been impacted by oversupply, particularly from Indonesia, Australia and the US. For the next couple of months, it looks like things will remain
relatively weak. However, the second half of the year is expected to witness modest recovery in demand through emerging markets and USA, which will
eventually result in prices moving slightly higher from the existing level.
On the domestic front, till now, the depreciating rupee has nullified the benefit of easing global prices.
Stats
Outlook-Coal
Gloss
Liquidity trap
A situation in which prevailing interest rates are low and
savings rates are high, making monetary policy
ineffective. In a liquidity trap, consumers choose to avoid
bonds and keep their funds in savings because of the
prevailing belief that interest rates will soon rise.
5. Emerging Country- Hungary
Hungary is a landlocked country in Central Europe.It is situated in the Carpathian Basin and is bordered by Slovakia
to the north, Ukraine and Romania to the east, Serbia and Croatia to the south, Slovenia to the southwest and Austria
to the west.
With regard to manufacturing industry performance, Hungary’s ranking (16th) is prestigious considering the entire
list. Hungary’s economic freedom score is 67.3, making its economy the 48th freest in the 2013 Index.
During the Soviet era, the bulk of Hungarian economic activity comprised of agriculture and various types of factory
work including coal mining and small scale manufacturing. Today agriculture in Hungary accounts for less than 5% of
economic production in Hungary, while the bulk of GDP comes from the services sector. Manufacturing accounts for
about 30% of the economy in Hungary and in recent years several foreign consumer goods manufacturers have set
up operation in Hungary.
On a quarter-on-quarter basis, GDP increased a seasonally adjusted 0.7%, which marks an improvement over the
0.4% drop recorded in Q4. The Gross Domestic Product (GDP) in Hungary was worth 126 billion US dollars in 2012.
The GDP value of Hungary represents 0.20 percent of the world economy. The improvement in Q1 was mainly due to
a stronger external sector, whereas domestic demand remained depressed. Private consumption dropped 1.2% in the
first quarter (Q4: -1.1% yoy), while government spending fell 2.6% (Q4: +0.9% yoy). In addition, fixed investment
contracted 5.6%, which is broadly unchanged from the 5.7% drop seen in Q4. Industrial Production in Hungary
decreased 2.10 percent in May of 2013 over the same month in the previous year. The inflation rate in Hungary was
recorded at 1.90 percent in June of 2013.
In May 2013, according to first estimates, exports amounted to EUR 6.9 billion (HUF 2,023 billion), while imports to
EUR 6.3 billion (HUF 1,832 billion). The trade balance was EUR 653 million (HUF 191 billion) in the fifth month of the
year, which is a deterioration of EUR 76 million (HUF 23 billion) compared to the same month of the previous year.
Foreign direct investments totaled EUR 10.462bn in Hungary, which exceeds the previous year’s figure by EUR 6.7bn
and which is the largest amount ever recorded. The amount of outbound FDI by Hungarian enterprises in 2012 was
EUR 8.210bn, EUR 5bn above the level registered one year earlier .It is expected that FDI to Hungary will be some
EUR 3bn in 2013, excluding large, one-off transactions. In the medium term, inbound FDI is expected to be around
EUR 3.5bn per
Bilateral economic and commercial engagements are gradually increasing with Indian investments in Hungary
reaching a record level of $ 1.5 billion. Bilateral trade reached $840 million in 2011 but dipped to $641.9 billion in
Vital Economic Statistics of Hungary
Economy
Particulars Details
GDP (nominal) $126.873 billion
(2012 estimates)
GDP growth rate 0.70% (2013
estimates)
Currency Forint (HUF)
Credit Rating BB (S&P)
BB+ (Fitch)
Fiscal Deficit 1.90% of GDP (2012)
Current account
Surplus
2.30% (2012)
6. In FocusForex
E-Commerce Industry in India
E-Tailing (business of selling retail goods online on the Internet )major Flipkart ,
recently made the Fund Raising Announcement of USD 200 Mln from its existing
investors such as Naspers, Accel & Tiger Global quashing some Doubts about the
Future of E-Commerce Industry in India. It’s positive more so for Flipkart, which has
been through bad times & is yet to get out of the woods. Hence it’s surprising for a
Company to have long been in the market for funds, to make the cut, with its estimated
valuation rising $1.2 to $1.5 billion from around $900 million last year. Moreover, we
have recently witnessed a slowdown in the e-commerce space. And, after the recent
entry of Amazon.in, doomsayers have been writing off Indian e-commerce players. As
for the Amazon connect, analysts argue the entry of the American biggie has made it all
the more necessary for Flipkart to scale up, and, therefore, it is raising more funds.
Both Amazon and Flipkart are similar in their outlook in ignoring profits in favour of
growth. Also, the recent shut-down of international retail chains across Europe and the
US has sparked global investors' interest in parking their funds once again in e-
commerce companies. No Doubt those Investors do not want to miss out on the
opportunity to ride a sunrise industry. This logic compels investors to make calculated
bets on this sector & the biggest player, Flipkart. E-commerce, in general, & more
specifically in India due to the lack of infrastructure, is a capital-intensive business,
where companies burn more cash than they are generating &will continue to do so in
the foreseeable future. According to a study by Technopak, a retail consulting firm, e-
commerce in India, which is pegged at $1billion currently, is set to touch $76 billion by
2021. Overall e-commerce market is expected to reach US$ 24 bln by the year 2015
with both online travel and e-tailing contributing equally. E-commerce analysts said
the fund infusion is good news for the industry & shows consolidation and maturity in
the market. However, Flipkart's fund raising should not be seen as one-size-fits-all, as
it may not signal a turnaround for the entire online retail industry. It may, however,
step up investor confidence in the medium term.
Sensex Nifty
19,324
.77
20,149
.85
5811.
55
6029.
20
Gold (10 gm) Silver (1 Kg)
26125
26685
40468
40308
Crude Oil ($/barrel) Dollar/INR
107.43
108.07
61.05
59.80
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