News (Archives):

Indian market 'a victim of its own success' (The Globe and Mail, Feb 07, 2011)
Inflation and interest rate concerns have foreign investors looking elsewhere, but many remain bullish in the long run. Indian stocks have been among the world's worst performers since the start of the year, a victim of investors' fears that some emerging markets may be in for a period of slower growth. More

The Great Invention Race (Foreign Policy, Jan 27, 2011)
Whatever we do, China and India will train more scientists and engineers. But America's still got the best environment for ideas to grow. More

K.K.R. is Bullish on India (The New York Times, Jan 06, 2011)
Kohlberg Kravis Roberts & Co. has about $1 billion invested in India, a small fraction of its total portfolio of $55.5 billion. India is not easily adaptable to traditional private equity buyouts because most businesses are owned by families that do not want to sell a majority stake in their companies. More

Ten money-making investment ideas for 2011 (WSJ Market Watch, Dec 17, 2010)
Take a good look at the impressive gains that both U.S. and global stock markets posted this year, to many investors' pleasant surprise. You don't want to miss the repeat performance in 2011. “It’s going to be either a good year, or a great year,” said Sam Stovall, chief investment strategist at Standard & Poor’s Equity Research. More

Asia is the place to be, again, in 2011 (Money Morning, Dec 08, 2010)
Asia was a great place to invest in 2010. Investors can expect more of the same in the New Year. The fact is that the Asian region - including Australia and New Zealand - was a profit powerhouse in 2010. And Asia's prospects for 2011 are even brighter: It's where a great majority of the world's growth is taking place.
And it's where investors can reap their biggest profits - if they pick the right investments in the best Asian markets. More

How U.S. Businesses Can Really Win in India (Business Week, Nov 16, 2010)
Western outfits looking to sell products should forget "glocalization" and embrace reverse innovation. More

China and India see what the US doesn't - the potential of natural gas (Financial Times, Nov 11, 2010)
This has been a busy week for US natural gas. It started off with the US signing an agreement to help India exploit its shale gas resources during President Barack Obama's visit to that country. The agreement mirrored one the US had signed with China some time back to also help that country make the most of its shale. More

Obama's Indian Odyssey (360° : Insights on Doing Business with India, Nov 10, 2010)
The messages for business - both overt and covert - from President Obama's game-changing and mesmerising visit to India. More

U.S. Seeks Billions in India Deals (Wall Street Journal, Oct 18, 2010)
The U.S. is aiming to sell up to $5.8 billion of military-transport aircraft to India and secure other major deals when President Barack Obama travels to New Delhi early next month, a visit that will seek to alter the tenor of an increasingly tense commercial relationship between the world's largest democracies. More

Asia Tops North America as Biggest Derivatives Market for the First Time (Bloomberg, Oct 15, 2010)
The Asia-Pacific has overtaken North America as the world's biggest derivatives market amid increasing demand for futures and options contracts in the region's fast-growing economies. Korea accounted for 42 percent of derivatives traded across the Asia-Pacific region in the first half of 2010, while those changing hands in Indian exchanges accounted for 32 percent, the association said. China's exchanges made up 16 percent. More

IMF projects India's growth at 9.7% in 2010 (Livemint.com, Oct 06, 2010)
The International Monetary Fund (IMF) has projected the Indian economy will grow by 9.7 % in 2010 and 8.4 % in the next fiscal, driven by robust industrial production and macro-economic performance. However, neighbouring China is expected to grow at an even faster rate of 10.5 % in 2010 and 9.6 % in 2011. More

How America Benefits from Economic Engagement with India (India-US World Affairs Institute, Inc., 2010)
This study is a comprehensive analysis of America's economic engagement with India for the period 2004 to 2009. It covers India's foreign direct investments into the United States and U.S. exports to India, as well as an assessment of their impacts on the American economy. Also included in the study are the economic impacts Indian Americans are having in the United States. It presents a case for even stronger business ties between the United States and India, which will benefit the United States (and India) especially with regard to jobs, the Number One policy issue in Washington and the Number One livelihood issue on Main Street America today. More

In India, surveys have shown strong growth in services but a deceleration in manufacturing, while exports growth has fallen month-on-month (LiveMint.com, Jul 08, 2010)
The International Monetary Fund's (IMF) upward revision of its estimates for global growth is a vote of confidence in the prospects for the world economy. MF's forecast of 9.4% growth for India in 2010 indicates it is confident that growth will be robust. This is particularly true because GDP growth during the March quarter was 8.6%, so growth in the next few quarters will be even higher if the annual average is to be 9.4%. More

India's Coming Urbanization Phase? (India Knowledge@Wharton, Jul 01, 2010)
Everstone Investment Advisors research head estimates about 380 million people are going to be added to India's urban spaces over the next few decades. That is more than the entire population of the U.S. moving into urban India and is one of the most defining changes being predicted for the next 3-4 decades. More

RCOM merges tower biz with GTL Infra (The Economic Times, Jun 28, 2010)
Reliance Communications (RCOM) on Sunday announced a deal that would see its tower business combine with smaller rival GTL Infrastructure to create what it claimed would be the world's largest independent telecom tower company with an enterprise value of Rs 50,000 crore and 80,000 towers. The GTL Infra-RCOM deal is one of the biggest domestic M&A deals.
The transaction will help RCOM reduce debt by more than half, as the Anil Ambani-led company prepares to roll out high-speed wireless services known as 3G. More

India State Oil Firms Expect Profit Boost (India Business News, Jun 28, 2010)
NEW DELHI, June 28, 2010 — India's state-run oil marketing companies expect their profit to rise, borrowing to fall and expansion projects to get a boost after the government raised fuel prices and said future changes in gasoline prices will be driven by the market and not dictated by the state.
Selling auto and cooking fuel at discounted prices to help the government control inflation hurts state-run oil refining and marketing companies' financial performance and their investment plans. Though the government partially compensates them for the revenue loss, the subsidy is often delayed and the size of the payout uncertain. More

India | Real estate: How the new tax code impacts you (Rediff News, Jun 24, 2010)
The revised draft for the Direct Tax Code released on June 15, is currently a hot topic of discussion among people. The code is an attempt by the government to simplify the existing income tax laws in the country. Assuming there are no further roadblocks, the government expects to implement DTC on April 1, 2011, after it is passed by the Parliament. More

India: Land of Global Business Opportunity (Knowledge @ Emory, Jun 17, 2010)
...behind closed doors, the country's new and increasingly time-strapped middle class is outsourcing at the family level-at least when it comes to cooking, cleaning, and child care.The rise of the "call center couple" epitomizes India's shift from an insular, socialist society to a globally integrated economy, says Jagdish Sheth, a chaired professor of marketing for Emory University's Goizueta Business School. More

Private funds flowing swiftly to infrastructure projects (Economic Times, Jun 09, 2010)
Private investments in India's infrastructure projects crossed $25-billion mark in the first three quarters of 2009, as conducive government policies and liquidity in capital market opened the floodgates of corporate funds into the booming energy and transport sectors. More

Global hiring prospects improve (Reuters, Jun 08, 2010)
Employers in most economies are more likely to add workers than three months ago, including those in the United States, but big gains are limited to booming emerging economies like Brazil, India and China, according to a quarterly survey by Manpower Inc. More

India's steady march toward superpower status (WSJ Market Watch, Jun 07, 2010)
The real story isn't that India's Reliance Communications and AT&T Inc. are reported to be hammering out a deal in which the U.S. telecom behemoth would have a significant stake in the Indian cellphone operation. But the real story here is the continuing drumbeat of India's influence on the American corporate system and the potential effects on the U.S. economy. More

Fear Returns (The Economist, May 27, 2010)
Now, thanks to incompetence and impotence, governments may become the problem that will drag the world economy down. (However) Fears about the fragility of the global recovery are exaggerated. Led by big emerging economies, the world's output is probably growing at an annual rate of more than 5%, far swifter than most seers expected. More

Abbott to Pay $3.7 Billion For Unit Of India's Piramal (Reuters via The New York Times, May 21, 2010)
Abbott Laboratories will pay $3.72 billion to acquire India's Piramal Healthcare's pharmaceutical solutions business, as global drugmakers look to boost their presence in emerging markets. More

Quote of the Issue (Forbes, May 18, 2010)
"Step back for a moment and take that in. India was once larded down by decades of Nehru socialism. China's economy was crushed by Mao's madman schemes, but now a major American CEO says that these countries offer a friendlier environment for manufacturers than the United States." -David Farr, CEO of Emerson Electric More

Wal-Mart steps up India rollout, hopes rules ease (Economic Times, May 12, 2010)
Wal-Mart Stores Inc, the world's biggest retailer, will accelerate its rollout of wholesale stores in India, a crucial growth market that has long frustrated overseas operators with restrictive rules. More

MNCs in Rural India: At a Turning Point (Knowledge@Wharton, May 06, 2010)
it is impossible to discuss multinational strategies in rural India without mentioning CSR. In its various forms, it is a critical part of their rural growth plans, often out of sheer necessity. Filling the gaps left by government, MNCs have built roads in rural India that help them deliver their goods, provided education and health care for communities whose workforces they rely upon, and implemented environmental programs to protect precious natural resources needed to keep supply chains running smoothly. More

Pentagon in Race for Raw Materials (Wall Street Journal, May 03, 2010)
The U.S. military is gearing up to become a more active player in the global scramble for raw materials, as competition from China and other countries raises concerns about the cost and availability of resources deemed vital to national security. More

World's Factories Manufacturing at Record Rates, Fueling Global Economic Recovery (Money Morning, April 21, 2010)
The world's factories are churning out products at record rates, fueling the global economic recovery at a faster pace than thought possible just a few months ago.
The latest figures show factory output is growing at a record rate from the United States to China to Europe and beyond. And as manufacturing expands, economists expect the world's economies to continue to expand, creating jobs and putting money in consumer pocketbooks. More

BRIC Nations Flex Muscles at Summit (Emerging Markets Speculator, April 15, 2010)
The two-day BRIC Summit (Brazil, Russia, India, China), started today in Brazil. And while this is only the second time this forum has taken place, it's gained a lot of international recognition. More

Speedy Recovery: India's Job Market Heats Up (Knowledge@Wharton, April 08, 2010)
In the United States, there has been a glimmer of hope on the employment front: According to job placement firm Challenger, Gray & Christmas, layoffs in March 2010 fell 55% to 67,611, from 150,411 in March 2009. Overall, however, the situation remains fairly grim. Cut to New Delhi, where officials and analysts are talking about numbers of a different magnitude. According to a report by the Associated Chambers of Commerce & Industry (Assocham), the Indian economy will create 87.37 million new jobs by 2015. More

America and India Make a Pledge to Cooperate on Economic Issues (New York Times, April 06, 2010)
China was never mentioned in a joint press conference afterward in New Delhi, and Indian officials said later that they had no plans to intervene in China's currency policies. The two countries may "come from different positions," Mr. Geithner said, but they have common problems, including the need to finance infrastructure projects and future innovation and to extend financial services to people outside the banking system. More

Why the Bulls Can Stand Strong at Home and Overseas (Money Morning, April 05, 2010)
Stocks enjoyed another plus week, closing one of the better Marches of the past 80 years. It seems like ages since volatility has been this low, and there have been many complaints about complacency and listlessness. Yet those concerns may be misplaced if indeed we are enjoying the second leg of a normal bull cycle. Low volatility in a bearish phase does suggest complacency, to be sure, but in a bullish phase it serves more to keep expectations in check. More

Does India's government pay any heed to its economic advisers? (Economist, March 04, 2010)
To help the poor plod a bit faster out of deprivation, the government will spend almost 1.9 trillion rupees ($41 billion) this year on social services and rural development-including education, health and a workfare scheme for the rural poor-by the end of this fiscal year. That some of this money has reached the poor ... is demonstrated by the rising price of the foods they buy. Indeed, inflation (or "skewflation", ... calls the lopsided rise in prices) is now the government's biggest political headache. More

India firm Bharti Airtel goes big into African cellphone market (Christian Science Monitor, March 01, 2010)
Bharti Airtel, an Indian company, paid $9 billion for access to an African cellphone market serving 45 million. The world's last unsaturated market holds a potentially huge payoff. Bharti has 119 million customers in India, making up 23 percent of the Indian market - but stiff competition and a punishing price war among several providers has brought down profit margins. This makes the Zain deal a chance to boost profits in a less competitive and high-growth market. More

Paper Tiger: China's No Threat to the U.S. (Business Week, February 27, 2010)
China is actually much more vulnerable than America, and has fewer economic options compared with the U.S. than is commonly assumed. China sold an estimated $34 billion in T-bills in December. Some people see this as evidence of Beijing's economic leverage. Unfortunately for their argument, though, the sell-off barely created a ripple. This is because Beijing's capacity to wreak havoc on the American dollar is overstated. More

Greece Not The Only Test for Eurozone (The Financial Times, February 22, 2010)
The Eurozone, while it may succeed in saving Greece, faces far larger problems because of more fundamental flaws, George Soros, the hedge fund billionaire, writes in The Financial Times. More

US wants Indian businesses to create jobs in America (Economic Times, February 18, 2010)
"However, if you are a multinational and you are investing in India, and your workforce is in India, and your plants and equipment are in India, but your headquarters are here, you are taking deductions on all the expenses in India, but you are keeping your profits outside the US; and that just doesn't seem entirely fair", he had argued. More

U.S.-China growing pains (The Washington Post, February 8, 2010)
Despite the recent squall in U.S.-Chinese relations, both countries have powerful reasons to cooperate with one another. These have grown over the past two decades, a progression that both countries seem to recognize. More

Invested Interests (Economist, January 21, 2010)
China aside, most Asian economies need to invest more, not consume more. More

Is China the Next Enron? (New York Times, January 12, 2010)
Reading The Herald Tribune over breakfast in Hong Kong harbor last week, my eye went to the front-page story about how James Chanos - reportedly one of America's most successful short-sellers, the man who bet that Enron was a fraud and made a fortune when that proved true and its stock collapsed - is now warning that China is "Dubai times 1,000 - or worse" and looking for ways to short that country's economy before its bubbles burst. More

Excerpts from the Address by Azim Premji, Founder-Wipro, at IIT Delhi's Convocation Ceremony (ICA Institute, January 09, 2010)
"The funny thing about life is that you realize the value of something only when it begins to leave you..." More

India, Not China Is Safest Emerging Market (CNBC, January 04, 2010)
The long-term investment trend is definitely pointing toward Asia, but China may not be the best opportunity in the region while India could be a safer bet, Robin Griffiths, technical strategist at Cazenove Capital, told CNBC Monday. More

China and India: Greater Economic Integration (American Chronicle, December 05, 2009)
Economic ties between China and India will play a large role in one of the most important bilateral relationships in the world by 2020. Bilateral trade has already surged from under $3 billion in 2000 to nearly $52 billion in 2008. More

Obama welcomes Singh, hails India's 'leadership role' in Asia (Washington Post, November 25, 2009)
President Obama welcomed Prime Minister Manmohan Singh, who is in Washington for the first state visit under the Obama administration, and moved to calm India's concerns that the United States is neglecting the Asian power as it seeks closer ties with China and Pakistan, India's competitors. More

A New Global Investment Landscape (The Wall Street Journal, October 28, 2009)
The dollar's rally and faltering U.S. stocks are a timely reminder that despite the global recovery, we still haven't shaken last year's financial crisis from our system. Truth be told, we won't shake it out for years. But the real legacy of the crisis isn't in the risk-appetite-to-risk-aversion pendulum that dominates the dollar's relationship with shares. Rather, it's in a worldwide paradigm shift that will permanently reshape the investment landscape. More

Interview: India more balanced than typical Asian growth model (The Economic Times, September 23, 2009)
Stephen Roach explains what is happening in economies and markets around the world, how India and China stack up individually & with respect to each other and the path global economies will take to come out of the global crisis. More

Reliance Infratel plans Rs 5,000-crore IPO (September 2, 2009)
Reliance Infratel, the tower subsidiary of India's Reliance Communications, is aiming to raise up to 50 billion rupees ($1 billion) in an initial public offering, The Business-Standard reported. More

India Real Estate Facing An Estimated 4 Year Depression (Nuwire Investor, August 21, 2009)
Despite a growing economy, the Indian real estate market faces a long list of challenges. A lack of mortgage financing, low rental yields, and stalled development projects are just some of the reasons India is looking at an estimated 4 year depression in housing. More

Infosys among world's 100 fastest growing companies (The Economic Times, August 19, 2009)
NEW YORK: IT bellwether Infosys Technologies, along with Internet major Google and software giant Apple, has been named among the world's 100 Top fastest growing companies by American publication Fortune. The league of 100 is topped by Canada-based Research In Motion, the maker of Blackberry phones. The list also features Cognizant Technology Solutions, headed by India-origin Chief Executive Francisco D'Souza. Infosys is placed at the 100th place while Cognizant is ranked 90. More

Investors Pull Out $365 Million from Asia Funds; India Sees Inflows (The Economic Times, July 13, 2009)
India-focused funds saw net inflows of $52 million even as global investors pulled out over $365 million from Asia-dedicated equity funds in the first week of July. More

Carlyle Raises $1.04 Billion for New Asian Growth Fund (Reuters, July 1, 2009)
Carlyle Group on Tuesday said it raised $1.04 billion for a new fund targeting investments in fast-growing Asian companies, finding appetite among pension funds and financial institutions for exposure to China and India. The new fund is a bet on the resilience of Asia's underlying economic growth in the face of a global downturn. Focused primarily on China and India, Carlyle's team is looking to pick companies that have emerged from the financial crisis relatively unscathed and with potential for rapid growth. More

Some Economies Show Signs of Less Reliance on U.S. (The New York Times, June 30, 2009)
Data have revealed a growing divergence between Western economies and those in much of Asia, notably China and India. The World Bank last week forecast that the economies of the countries that use the euro and the United States would contract 4.5 percent and 3 percent, respectively, this year - compared with 7.2 percent and 5.1 percent growth forecast for China and India. More