Indian Economy : News,Discussions & Updates

FPIs remain net buyers in August first week; pump in Rs 8,327 crore
Overseas investors remained net buyers in Indian markets by investing a net Rs 8,327 crore in the first week of August amid better than expected results by big Indian companies. Foreign portfolio investors (FPI) invested a net Rs 7,842 crore in equities and Rs 485 crore in the debt segment between Aug 3-6, according to depositories data.
FPIs have been net buyers in the past two months. They invested Rs 3,301 crore in July and Rs 24,053 crore in June on net basis.

Harsh Jain, co-founder and COO at Groww, said that India’s biggest companies have posted better than expected results despite lockdowns and the rising number of COVID-19 cases and FPIs’ investment preferences have also evolved accordingly. “The popularity of bluechip stocks has increased while small and mid-cap stocks are losing favour,” he added.

The corporate fundamentals have been improving over the quarter and making many bluechip companies attractive for FPI investors. In addition, the continuous increase in liquidity due to printing of money in western economies is supporting the rise of all equity markets across the globe, Jain said.

According to Himanshu Srivastava, associate director – manager research, Morningstar India, “A mix of domestic and global factors led to this huge net inflow.” Risk appetite among foreign investors apparently enhanced after a slew of encouraging economic data from the US, Europe and China raised hopes that there could be a chance of a quicker rebound in the global economy from the COVID-19 pandemic, Srivastava noted.

On the domestic front, there have been few major block deals in the market where either the management or promoters led shareholders sold their stakes. FPIs bought into these deals, especially in that of Bandhan Bank, where the promoter sold his stake, he added.

“The sustainability of net inflows by FPIs in Indian equities is hard to ascertain at the moment as there are several concerns looming large. Surge in coronavirus cases globally, increasing tension between the US and China and limping of Indian economy may act as a deterrent for foreign investors,” Srivastava said.
 
PM Modi to present new outline for self-reliant India on August 15: Rajnath Singh
Prime Minister Narendra Modi will present a new outline for a self-reliant India in his address to the nation from the ramparts of the Red Fort on August 15, Defence Minister Rajnath Singh said on Sunday.

The defence minister said various departments and ministries of the government are working seriously to implement Modi’s initiative for a self-reliant India and that it is an attempt to give a fresh dimension to Mahatma Gandhi’s push for ‘Swadeshi’.

Singh was speaking at an online event organised to pay tributes to revolutionary freedom fighter Udham Singh.

Talking about the ‘Atmanirbhar’ initiative, the defence minister said that the coronavirus pandemic has shown that a country may not be able to effectively protect its sovereignty if it is not self-reliant.

“Our government will not allow any harm to India’s self respect and sovereignty at any cost,” he said.

“Prime Minister Narendra Modi will present before the nation a new outline for a self-reliant India in his address from the ramparts of the Red Fort on the Independence Day,” Singh said.

Referring to the defence ministry’s decision to ban import of 101 military weapons and platforms, Singh said major and tough decisions are being taken to promote self-reliance in defence production.

He said big weapons systems will now be produced in India and the country will look for their export to make it a hub for defence manufacturing.

In a major push to promote the domestic defence industry, Singh on Sunday morning announced restrictions on import of 101 weapons and military platforms including light combat helicopters, transport aircraft, conventional submarines and cruise missiles by 2024.
 
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Lockdown impact: Rural survey paints a grim picture
2020-04-28T145329Z_651589609_RC2QDG9ZZGTM_RTRMADP_3_HEALTH-CORONAVIRUS-SOUTHASIA_1588132567257_1597052134137.JPG

Over 68% of rural Indians were in a monetary crisis while 78% found work coming to a complete standstill.

Almost 80% of rural Indians saw their work coming to a standstill during the COVID-19 lockdown, with only 20% getting work under the Centre’s employment guarantee scheme, according to a survey conducted by Gaon Connection Insights and the Lokniti-Centre for the Study of Developing Societies about two months into the lockdown.

However, three out of four respondents said they were satisfied with the manner in which Prime Minister Narendra Modi-led government has handled the COVID-19 pandemic situation.

The survey, based on face-to-face interviews with 25,300 respondents, was carried out in 179 districts across 20 States and three Union Territories, according to a report on the key findings published by Gaon Connection on Monday.

With two out of every three Indians living in the villages, the survey sought to document the hardships faced by rural India after the pandemic struck.

More than 68% of respondents faced “high” to “very high” monetary difficulties, with 23% forced to borrow money during the lockdown. While 8% sold a valuable possession such as phone or watch, 7% mortgaged jewellery, and 5% sold or mortgaged land.

Over 70% of households reported a drop in total monthly household income compared to pre-lockdown months, including 75% of poor families.

There was some relief for ration card-owning households, with 71% saying they got wheat or rice from the government during the lockdown. Of the 17% who did not have ration cards, however, only 27% said they got grains from the government.

Health services were affected, with 38% having gone without necessary medicine or medical treatment often or sometimes during the lockdown. In Assam, as many as 87% of households said they did not receive the required treatment. Among households with pregnant women, 42% did not get pregnancy check-ups or vaccinations. In West Bengal and Odisha, that figure was as low as 29% and 33% respectively.

Employment was hit, with 78% respondents seeing their work largely coming to a standstill. Over 60% of skilled workers and manual labourers faced a complete shutdown. Among migrant workers who returned home during the lockdown, 23% migrant workers said they walked home from work sites. Over a third of migrant workers said they want to go back to the cities to work.

Only 20% of respondents said they got work under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) scheme during the lockdown. In Gujarat, only 2% of households got MGNREGA work, the lowest in the country, ( shinning Gujarat :) )....followed by Jammu and Kashmir-Ladakh, with 4%. At the other end of the spectrum, Chhattisgarh reported the highest percentage of such households at 70%, followed by Uttarakhand (65%) and Rajasthan (59%), said the report.

Agriculture is widely seen as the industry sector that has been most resilient during the pandemic. However, marketing of produce was disrupted. More than half the farmers managed to harvest their crops in time in the lockdown, but only a fourth could sell them on time. More than half of dairy and poultry farmers said they faced difficulty in taking their produce to the buyers, with 35% saying they did not get the right price for their produce.

@Milspec @Gautam @Ashwin @STEPHEN COHEN @_Anonymous_
 
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Lockdown impact: Rural survey paints a grim picture
2020-04-28T145329Z_651589609_RC2QDG9ZZGTM_RTRMADP_3_HEALTH-CORONAVIRUS-SOUTHASIA_1588132567257_1597052134137.JPG

Over 68% of rural Indians were in a monetary crisis while 78% found work coming to a complete standstill.

Almost 80% of rural Indians saw their work coming to a standstill during the COVID-19 lockdown, with only 20% getting work under the Centre’s employment guarantee scheme, according to a survey conducted by Gaon Connection Insights and the Lokniti-Centre for the Study of Developing Societies about two months into the lockdown.

However, three out of four respondents said they were satisfied with the manner in which Prime Minister Narendra Modi-led government has handled the COVID-19 pandemic situation.

The survey, based on face-to-face interviews with 25,300 respondents, was carried out in 179 districts across 20 States and three Union Territories, according to a report on the key findings published by Gaon Connection on Monday.

With two out of every three Indians living in the villages, the survey sought to document the hardships faced by rural India after the pandemic struck.

More than 68% of respondents faced “high” to “very high” monetary difficulties, with 23% forced to borrow money during the lockdown. While 8% sold a valuable possession such as phone or watch, 7% mortgaged jewellery, and 5% sold or mortgaged land.

Over 70% of households reported a drop in total monthly household income compared to pre-lockdown months, including 75% of poor families.

There was some relief for ration card-owning households, with 71% saying they got wheat or rice from the government during the lockdown. Of the 17% who did not have ration cards, however, only 27% said they got grains from the government.

Health services were affected, with 38% having gone without necessary medicine or medical treatment often or sometimes during the lockdown. In Assam, as many as 87% of households said they did not receive the required treatment. Among households with pregnant women, 42% did not get pregnancy check-ups or vaccinations. In West Bengal and Odisha, that figure was as low as 29% and 33% respectively.

Employment was hit, with 78% respondents seeing their work largely coming to a standstill. Over 60% of skilled workers and manual labourers faced a complete shutdown. Among migrant workers who returned home during the lockdown, 23% migrant workers said they walked home from work sites. Over a third of migrant workers said they want to go back to the cities to work.

Only 20% of respondents said they got work under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) scheme during the lockdown. In Gujarat, only 2% of households got MGNREGA work, the lowest in the country, ( shinning Gujarat :) )....followed by Jammu and Kashmir-Ladakh, with 4%. At the other end of the spectrum, Chhattisgarh reported the highest percentage of such households at 70%, followed by Uttarakhand (65%) and Rajasthan (59%), said the report.

Agriculture is widely seen as the industry sector that has been most resilient during the pandemic. However, marketing of produce was disrupted. More than half the farmers managed to harvest their crops in time in the lockdown, but only a fourth could sell them on time. More than half of dairy and poultry farmers said they faced difficulty in taking their produce to the buyers, with 35% saying they did not get the right price for their produce.

@Milspec @Gautam @Ashwin @STEPHEN COHEN @_Anonymous_

Government needs to do more

At least credit some money in Jan Dhan Accounts
 
Lockdown impact: Rural survey paints a grim picture
2020-04-28T145329Z_651589609_RC2QDG9ZZGTM_RTRMADP_3_HEALTH-CORONAVIRUS-SOUTHASIA_1588132567257_1597052134137.JPG

Over 68% of rural Indians were in a monetary crisis while 78% found work coming to a complete standstill.

Almost 80% of rural Indians saw their work coming to a standstill during the COVID-19 lockdown, with only 20% getting work under the Centre’s employment guarantee scheme, according to a survey conducted by Gaon Connection Insights and the Lokniti-Centre for the Study of Developing Societies about two months into the lockdown.

However, three out of four respondents said they were satisfied with the manner in which Prime Minister Narendra Modi-led government has handled the COVID-19 pandemic situation.

The survey, based on face-to-face interviews with 25,300 respondents, was carried out in 179 districts across 20 States and three Union Territories, according to a report on the key findings published by Gaon Connection on Monday.

With two out of every three Indians living in the villages, the survey sought to document the hardships faced by rural India after the pandemic struck.

More than 68% of respondents faced “high” to “very high” monetary difficulties, with 23% forced to borrow money during the lockdown. While 8% sold a valuable possession such as phone or watch, 7% mortgaged jewellery, and 5% sold or mortgaged land.

Over 70% of households reported a drop in total monthly household income compared to pre-lockdown months, including 75% of poor families.

There was some relief for ration card-owning households, with 71% saying they got wheat or rice from the government during the lockdown. Of the 17% who did not have ration cards, however, only 27% said they got grains from the government.

Health services were affected, with 38% having gone without necessary medicine or medical treatment often or sometimes during the lockdown. In Assam, as many as 87% of households said they did not receive the required treatment. Among households with pregnant women, 42% did not get pregnancy check-ups or vaccinations. In West Bengal and Odisha, that figure was as low as 29% and 33% respectively.

Employment was hit, with 78% respondents seeing their work largely coming to a standstill. Over 60% of skilled workers and manual labourers faced a complete shutdown. Among migrant workers who returned home during the lockdown, 23% migrant workers said they walked home from work sites. Over a third of migrant workers said they want to go back to the cities to work.

Only 20% of respondents said they got work under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) scheme during the lockdown. In Gujarat, only 2% of households got MGNREGA work, the lowest in the country, ( shinning Gujarat :) )....followed by Jammu and Kashmir-Ladakh, with 4%. At the other end of the spectrum, Chhattisgarh reported the highest percentage of such households at 70%, followed by Uttarakhand (65%) and Rajasthan (59%), said the report.

Agriculture is widely seen as the industry sector that has been most resilient during the pandemic. However, marketing of produce was disrupted. More than half the farmers managed to harvest their crops in time in the lockdown, but only a fourth could sell them on time. More than half of dairy and poultry farmers said they faced difficulty in taking their produce to the buyers, with 35% saying they did not get the right price for their produce.

@Milspec @Gautam @Ashwin @STEPHEN COHEN @_Anonymous_
Where is the article link? Only 20% got MGNREGA? hard to believe.