Archive for May 31st, 2007

The latest GDP numbers

May 31, 2007

The latest GDP numbers for India have been released by CSO.

In 2006-07 the economy grew by 9.4% higher than 9.0% seen in 2005-06. The quarter-wise growth rates have been 9.6%, 10.2%, 8.7% and 9.1%.

If we look at sector-wise break-up, sectors in which growth has been higher than seen in 2005-06 are Manufacturing, Transport & Communication.  

I would try and put up a detailed picture later.

Assorted Links

May 31, 2007

1. Suman Bery says he is living in interesting times.

2. A good editorial from Business Standard on Power reforms. The summary is government needs to get some facts right on Power. Sample this:

While the government claims to have over 49,000 Mw of capacity “under various stages of construction”, Bharat Heavy Electricals Ltd, the main supplier of boilers and turbine-generator sets, which are the key components of a power plant, has orders for just 23,000 Mw…..

But what I loved was this:

And from where is the money to come for the proposed investment? The working group on power for the 11th Plan has estimated an investment requirement of $250 billion (about Rs 10,00,000 crore) for the power sector, including transmission, generation and distribution. This would require huge doses of private sector investment—domestic and overseas. Private investors do not go by glossy presentations. They need to know that they can turn off the switch on a non-paying consumer and find alternate buyers for the power they generate. They need to see open access in operation, rather than as a directive principle. Giving bulk consumers the option of changing their power supplier would ensure discipline on both sides—on the consumer and the supplier.

3. Another one from Economic Times on Indian railways. Sample this:

The objective of this article is to emphasise the need to put the financing decisions ahead of other decisions and the need to think out of the box in soliciting finances from the market. Private financing requires a totally different approach to project conception and formulation.

I have been blogging about this for sometime now. We need a detailed discussion on financing options for infrastructure.

4. Our Prime Minister has a supporter in Mr. T.T. Ram Mohan. He says salary system in India is to be looked upon. I like most of the articles from him as they give an alternative picture to most of the arguments/debates/facts on Indian Economy and Polity.

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