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  • #46
    Since the S & P report is behind a pay wall, here is the gist

    Bangalore, Oct 1, 2014, DHNS:

    The international rating agency Standard & Poor’s decision to revise India’s sovereign rating from “negative’’ to “stable’’ is good for the economy.

    The upgradation will send positive signals to the investment community about the economy’s prospects. The BBB- status which it currently has is the lowest investment grade, and a further downgrading, about which there were indications some time ago, would have had bad consequences.

    S&P has only brought its rating in line with those of two other agencies — Moody’s and Fitch. The outlooks of all these agencies have changed in the last many years on the basis of the strength of various indicators of the economy and the environment, including the ability of the government to take necessary decisions. Moody’s outlook has not been negative in the recent past and Fitch upgraded it last year. The present convergence among all three agencies will make the ratings more credible.

    The agencies’ credibility had taken a hit during the 2008 global crisis because they had given good certificates to the financial instruments which later turned toxic and brought the banking industry down.

    But their ratings still carry a lot of weight because many investment firms can put their money only in investment-grade countries. A downgrade will also lead to the outflow of money. About $ 20 billion has come into India as investment till August this year. This would have been higher if the outlook and ratings on India had been higher. In any case, there is a stronger psychological and mandatory basis for investment in India now and it is for the government to build on it.

    S&P has clearly stated that it was upgrading India because the new government provided an improved political setting that offered a conducive environment for reforms. In line with the rating of the country, the agency has upgraded the rating of some major Indian companies also, including government companies. This can work to the advantage of these companies and generally the corporate sector.

    But much needs to be done to fully benefit from the rating revision. The economy is still not out of the woods. The S&P report used six parameters to assess the Indian economy. It found the economy was sufficiently strong in terms of external liquidity and international investment, taken together. It was neutral on two factors—monetary flexibility and governance.

    On three other factors – growth, fiscal flexibility and debt position—it found that the economy is weak. There is in fact a cautionary note also that another downgrade may be likely if performance does not improve in these weak areas. The government should therefore draw the right message from the report.

    Comment


    • #47
      Originally posted by ambidex View Post

      Could you direct link, your link just takes me to homepage

      Comment


      • #48
        Originally posted by Oracle View Post
        You all have seen the budget? Sadly, BJP is just a replica of the Congress.
        You were right on the budget and here's why..

        Subramanian has also been a strong critic of Finance Minister Arun Jaitley’s maiden budget calling it “disappointing but retrievable.”

        “In substance, this was a budget prepared by incumbent bureaucrats, not incoming politicians. It represented continuity — which surprisingly was endorsed by much of the post-budget commentary — when the need of the hour was change,” according to Subramanian.
        There is a fall guy.

        Replacing Finance Secretary Arvind Mayaram at a time when the ministry has commenced its budgetary exercise betrays the government’s discomfort with the Rajasthan cadre IAS officer, considered to be a trusted aide of former finance minister P Chidambaram.

        Mayaram was instrumental in the preparation of the new government’s budget in July. Modi’s first Budget was touted to be a dream Budget, but instead it was widely criticised as a carbon copy of Chidambram’s interim Budget with only superficial changes.

        The most vociferous critic of Modi’s Budget was Arvind Subramanian, who has been appointed as the Chief Economic Adviser on a day when Mayaram was shunted out to the Tourism Ministry.
        There's a new CEA (Chief Economic Adviser) in town, goes by the name Arvind. The CEA is responsible for producing the Economic Survey, a document on the state of the economy that provides the base for drafting of the budget. He also brings out a mid -year economic update that is presented to parliament.

        The 'real' BJP budget is in the works and should be out in Feb.
        Last edited by Double Edge; 18 Oct 14,, 12:19.

        Comment


        • #49
          The most vociferous critic of Modi’s Budget was Arvind Subramanian, who has been appointed as the Chief Economic Adviser on a day when Mayaram was shunted out to the Tourism Ministry.
          So this government is willing to listen to criticism and act. Yeah, they are exactly like the Congress.

          Comment


          • #50
            I don't know about 'most vociferous' he lays it out plain & clear.

            Modi’s First Budget for India: Disappointing but Retrievable | Peterson | July 14 2014

            Another post couple of weeks earlier with a scorecard

            A Provisional Scorecard for Recent Modi Government Measures | Peterson | Jun 30 2014
            Last edited by Double Edge; 18 Oct 14,, 12:24.

            Comment


            • #51
              Trying to pick up the pieces after the SC ruling that disallowed coal allocations dating back to 1993. Power bills will have to go up but hopefully not power shortages.

              Open coal sector for private firms | Oct 25 | DH (Editorial)

              Open coal sector for private firms
              Oct 25, 2014, DHNS :
              The government has acted fast to deal with the uncertainties and problems created by the Supreme Court judgement which cancelled all coal block allocations made between 1993 and 2010.

              Since it had annulled all but four of 218 allocations and the order is to come into effect in March 2015, the government had to make arrangements to ensure that the mining and supply of coal is not disrupted. Supplies to power, cement and steel companies had become uncertain after the judgement. The government has decided to hold e-auctions to reallot the cancelled blocks and an ordinance is to be promulgated for this. It will facilitate direct allotment of mines to central and state PSUs and their captive use by end-user companies. E-auctions will make allotments transparent and lead to realisation of the best prices. It will put an end to the corruption and cronyism that marked coal field allocations for decades. It is also a welcome decision to pass on the proceeds from auctions to the states where the mines are located.

              While e-auctioning is an efficient method to allot resources it will result in higher prices for coal because the acquisition costs are bound to be high. Some companies which are operating the mines at present have power, steel or cement plants. They will have no right of first refusal and will have to reacquire the mines through bidding. This will lead to higher costs which will translate into higher prices for consumers in these industries. But an increase in coal prices can be checked if there is greater production and supply.

              India has large coal reserves but production is low and a good part of the requirements is imported. This is an undesirable situation. Coal India has a monopoly over production but it is an inefficient company which is unable to meet the nation’s demands. The government has given an assurance that in the new system, its interests will be protected. It should actually have gone further than what it is proposing to do and should have opened up the sector for private participation.

              Only those companies which use coal will be allowed to bid for captive mining in the proposed scheme of allotment. But a cement or power company will lack the best expertise and experience required for efficient mining. A better option would have been to allow commercial mining by private companies. At present, only Coal India and Singareni Collieries can do this. The government has indicated that it may allow commercial mining by private companies in future but has given no time frame for this. This should be the next reform measure in the vital mining sector.

              Comment


              • #52
                What our new CEA is saying..

                Bottlenecks need to be cleared to woo private investments:CEA | Oct 25 2014 | DH

                Bottlenecks need to be cleared to woo private investments:CEA
                Washington, Oct 24, 2014, PTI:

                Acknowledging that private investment is stifled in India due to "lots of regulations" and also scarcity of coal and electricity, new Chief Economic Adviser Arvind Subramanian has said that removing these bottlenecks will be key to kick start growth in the country.

                "The Indian economy needs a couple of big things, better governance, a stronger state delivering security of contract, protecting property rights, providing infrastructure," Subramanian said in a podcast interview to IMF.

                "You need a bigger role for the private sector, means getting rid of the lots of regulations that stifled the private sector, that stifled employment creation, that stifled the ability of the private sector to grow, to become big. These are the kind of broad twin challenges that India faces," said the former IMF economist, who was appointed Chief Economic Advisor in the Finance Ministry on October 16.

                Responding to a question, Subramanian said "a lot of projects are stalled, because there is not enough power, there is not enough coal, or the companies are over indebted."

                "So clearing these bottlenecks is going to be the biggest kick start to private investment and growth," he said. Bureaucrats were not taking some crucial decisions fearing that they would be sued in courts, he said.

                "So I think, just creating the conditions for more expeditious decision making and then you need to get the infrastructure going again, making power and coal and addressing those would be a big priority," he said.

                Subramanian said a five per cent growth rate is "remotely not enough" for India to grow and provide the jobs for the expanding labour force.

                "Growth would have to be brought back to seven-and-a-half and eight per cent consistently for about 10, 15, 20 years, if India is to really address all these challenges
                ," he said.

                The Chief Economic Advisor said, "As reforms were lagging, inflation was very high and growth decelerating for many consecutive quarters and there seemed to be a kind of government paralysis, there was a sense in 2012 of India lagging behind."

                "But it is clear there that there is a real optimism, because there is a sense that the new government can remedy some of those problems. Stock markets have risen tremendously; foreign capital has come pouring in and initial steps have been taken that kind of validate all that optimism," he said.

                "But that is just a start. A lot more needs to be done," he said, adding that the Narendra Modi Government is trying to replicate the "Gujarat model" all over India of good governance and attracting private sector.

                He emphasised that there are a set of macro challenges that needs to be addressed to bring down inflation further and to get the fiscal deficit down.

                At the same time there is a need to provide the conditions for greater infrastructure and create conditions for the private sector to start coming back again, he said.

                Oxford-educated Subramanian, who was economist with the International Monetary Fund (IMF) like his predecessor Raghuram Rajan, said private sector investment needs to rise again if India has to achieve eight per cent growth rate.

                Comment


                • #53
                  India requires Rs.65 lakh crores ($1 trillion) of investment for infrastructure from 2012 - 2017 according to the current five year plan ? how to do it.

                  presently $3 billion is invested in infrastructure sector such as power, telecom, roads, bridges and urban infrastructure.

                  SEBI set to allow foreign VCs to finance core investment firms | Hindu business | Nov 6 2014

                  At present venture capital investors are not allowed to invest in NBFCs

                  MUMBAI, NOVEMBER 6:
                  SEBI plans to allow foreign venture capital investors (FVCI) to invest in core investment companies (CIC) which fund the infrastructure sector.

                  CICs are companies which have their assets predominantly as investments in shares for holding stake in group companies which is neither for trading nor for carrying on any other financial activity.

                  Currently, venture capital investors are not allowed to invest in non-banking financial services (with certain exceptions). CICs are classified by the RBI as non-banking financial companies.

                  The proposal has been endorsed by the Government and the RBI and is one of the recommendations of High Level Committee on Financing of Infrastructure, said SEBI.

                  A consultative paper for amending the SEBI venture capital regulations has been put out for this purpose. The proposal is expected to infuse funds into the infrastructure sector and FVCI funds had already invested over 20,000 crore ($3 billion) or more than half their cumulative net investment in India’s infrastructure sector such as power, telecom, roads, bridges and urban infrastructure, said SEBI. According to 12th Five Year Plan, India requires an investment of about 65 lakh crore in the infrastructure sector between 2012 and 2017.

                  SEBI said the proposal was based on the fact that CICs were essentially holding companies and did not engage in financing activity similar to other NBFCs and, therefore, do not go against the intent of the FVCI regulations of not allowing FVCI investment in non-banking financial services.

                  Comment


                  • #54
                    How is India going to attract up to $1 trillion ? they will try to go after pension funds. Start by offering a good return after 20 years. Money goes into infrastructure it gets paid back by user tolls. However reforms need to occur soon.

                    Geoeconomics : using trade to influence geopolitical goals.

                    Why Modi must act in 120 days | ET (blog) | Nov 04 2014

                    Why Modi must act in 120 days
                    November 4, 2014, 5:00 AM IST Economic Times in ET Commentary | India, Times View | ET
                    13 28 0 36
                    By Sanjaya Baru

                    Before a plant blooms, goes a Japanese saying, the roots become active. The green shoots of economic recovery in India suggest that the roots have been active and this winter, spring may break out. Even if one discounts the stock market’s bullish enthusiasm, a range of other economic players are also suggesting that the much-awaited revival of investment activity may have started. Certainly, New Delhi’s big hotels are agog with the excitement of rising room occupancy.

                    That the Narendra Modi government was being cautious on the policy front till the Maharashtra elections were out of the way is by now clear. Not surprisingly, therefore, within hours of the polls closing in Mumbai, New Delhi responded with policy announcements. Winning Mumbai has always been vital to the exercise of political power in New Delhi.

                    After ensuring that political result, Prime Minister Modi and finance minister Arun Jaitley have taken steps to respond to investor and consumer expectations.

                    India analysts at major financial institutions and rating agencies, however, would like to wait and watch before taking a final view about the medium-term prospects for the economy. However, be prepared for the herd instinct to take over. When one rating agency decides to take the first step, others follow. While a western rating agency says it would like to wait for some more time before announcing a further ratings upgrade, it may well come under pressure if competitors, especially from an Asian country like Japan, take a firm view sooner rather than later.

                    Jaitley will have two important opportunities this week to set out his government’s economic agenda before domestic and overseas investors and analysts. The India Economic Summit during the week, and the India Global Forum (IGF) at the weekend, offer this opportunity.

                    The Right Platform
                    The IGF will bring together not just leaders of business and government but influential policy wonks and leaders of think tanks from India and abroad. IGF will also provide the minister of commerce and industry Nirmala Sitharaman the opportunity to explain the government’s external economic policies.
                    How analysts evaluate the green shoots of economic recovery in India and how the Modi government is seen responding to the new opportunities and challenges it faces will shape perceptions further afield, at home and abroad.

                    The window of opportunity for the Modi government is between now and Budget day at the end of February. Whatever policy measures the BJP government wishes to take, it must do so in the 120 days, starting now. All policy initiatives aimed at implementing the government’s ‘Make in India’ strategy, at stepping up investment in infrastructure, housing and other construction projects and measures aimed at boosting employment, export trade and tourism must all be taken within this relatively short time frame.

                    The finance minister would know that his second Budget will be his last chance to make a difference. His decision to change his policy team has obviously been taken to signal a new resolve. Expectations run high that substantial legislative action would be taken in the winter session itself.

                    It should be remembered that almost all the now-famous radical policy action of Prime Minister P V Narasimha Rao and his finance minister Manmohan Singh in 1991 was, in fact, taken during June 1991 and February 1992. Very little happened after that. In 2014, PM Modi could afford to wait till the Maharashtra elections were over since he was not facing a ratings downgrade like the one Rao and Singh stared at in 1991. On the other hand, there has been an upgrade from negative to stable even with the steps taken so far because of the expectation of more action.

                    While the Sun Shines
                    Modi cannot expect that his popularity will forever remain high. His government may face unexpected challenges at home and abroad over time. Right now, however, the stars still favour the prime minister and his government, and the time to act is within this window.

                    Apart from generating employment and improving livelihood opportunities, India’s economic performance is critical for India’s national security, regional stability and global profile. The prime minister has shown clarity of understanding in this regard by repeatedly stating that development remains his only priority —at home and abroad.

                    Economy as Foundation
                    The economic performance-national capability link will be echoed at the IGF. It is a happy coincidence that the person opening the conference happens to be both a minister of finance and of defence. A key precept of Kautilya’s Arthashastra is that not only must a sovereign state have a strong treasury and a strong army, but that “it is from the strength of the treasury that the army is born”.

                    The writer is director for geoeconomics and strategy, International Institute of Strategic Studies

                    Comment


                    • #55
                      Presently, Bangladesh offers more transparency to overseas investors than India (!)

                      Ever-changing maze of taxation policies | DH | Nov 02 2014

                      S Narayan, Nov 2, 2014

                      Two recent events have served to highlight the complex taxation issues that multinationals face in India and the difficulties in arriving at a resolution.

                      Nokia, whose closure of its plant in Chennai comes with effect from November 1, faced two tax related issues. The service tax authorities alleged that Nokia failed to deduct service tax on Rs 25,000 crore in royalty payments made to its Finnish parent for proprietary software used in the handsets manufactured at the plant. The Revenue Department froze the assets of Nokia. The total tax demand including penalties was Rs 21,000 crore ($3.5 billion) —almost half of Nokia’s world market value! This was compounded by a demand from the state government for value added tax on the handsets sold in Tamil Nadu.

                      The well documented Vodafone case is another example. Vodafone acquired the entire shares in CGP Holdings, a Cayman Islands company, which enabled it to gain control over all its downstream subsidiaries, including Hutchinson Essar Limited, a company that held telecom licences in India. The tax department argued that these transfer of shares amounted to transfer of assets situated in India, and hence was liable for capital gains tax. At the core of the dispute was whether transfer of shares in the entity also constituted transfer of assets.

                      It was argued that the assets belong to the entity, not to the shareholders, and hence there was no liability on capital gains. The Supreme Court, in 2012, held that Indian tax authorities did not have territorial jurisdiction to tax the offshore transaction, and therefore, Vodafone was not liable to withhold Indian taxes. The Government of India, in response, introduced an amendment to the Income Tax Act, retrospective from 1962. This amendment stated that “any share or interest in a company or entity, registered or incorporated outside India, shall be deemed to be situated in India if the share or interest derives, directly or indirectly, its value substantially from the assets located in India.”

                      This reopened the Vodafone tax case, and there was doubt about the meaning of the word ‘substantially’ in the clause. The Delhi High Court has recently ruled that for the transaction to attract this section, the seller should derive more than 50 per cent of the value from assets in India.

                      Multinational companies operating in India have become very wary of the shifting positions in taxation. The new government at the Centre promised to do away with retrospective taxation, but the budget of 2014-15 did not follow through on cancelling the amendments. The tax position of Vodafone, and of Nokia, remains uncertain.

                      Overseas entities
                      There was another case some years back when Cairn Energy sold its assets to Vedanta—an issue that had to be resolved through negotiation with the tax authorities. The examples illustrate the changing maze of taxation that overseas entities have to encounter. In all sessions that the prime minster has had with foreign investors and businessmen, this has been a common refrain- a request for transparency and continuity in taxation and regulation.

                      The interesting comparison here is with another South Asian country, Bangladesh. It is a country of strong political rivalry with two parties violently opposed to each other in an atmosphere of charged emotions. Yet, the economy has been growing consistently at five to six per cent over the last 10 years, the currency is stable, foreign exchange reserves adequate and growing, exports robust, and significant FDI flowing into manufacture. The social indicators of infant mortality, women’s health and education and sanitation are much better than in India.

                      This has been possible primarily because there have not been any major changes in taxation laws or FDI policies in a decade. Irrespective of political wars, all the governments have been benign towards development and growth, and most especially, have ensured that economic policies have continuity over regimes. It has not suffered from intellectual disputes about inclusive growth versus economic reform, and over the same period 2004-14, the real per capita incomes have risen faster than in India. Not that the laws there do not suffer from infirmities, but there is a predictability that gives confidence to the investors. There have been no cases where tax laws have been changed retrospectively just because of a single assessment order.

                      There is a lesson in this. We have a strong digital architecture and institutions like the SEBI, RBI, CCI keep close watch over corporate mergers and acquisitions. There are also agencies of the taxation department and the corporate affairs department that monitor corporate activities. There is no need to change laws just to meet individual situations—it is only necessary to effectively implement existing laws fairly and transparently. This is the simple assurance sought by industry.

                      In going forward to the next budget, perhaps this is the assurance that all companies – both local and foreign – seek that laws will be firm and unchanging, and that they would be implemented fairly and transparently. And, hopefully, no annual changes in income taxes!

                      (The writer, a retired IAS officer, was Union finance secretary)

                      Comment


                      • #56
                        This article gives a summary of work completed and pending battles to be fought in the coming year.

                        Push comes to shove when govt talks labour | DH | Dec 31 2014

                        Anil Sinha, New Delhi, Dec 31, 2014, DHNS:
                        The government aggressively pushed through labour reforms, even during its early months in power.

                        The government took up changes in law that were pending for some years, and got some of them passed despite strong opposition from trade unions.

                        The coming months may see speeding up of more controversial reforms. If 2014 saw ideological confrontations and symbolic protests, 2015 may see incidents of aggressive stances.

                        The Rajasthan government has already passed acts and is implementing changes that were seen as anti-labour, including amendments to the Industrial Dispute Act. The Modi government may introduce some of these acts sometime next year.

                        The Centre successfully amended two major laws — the Apprentice Act and Labour Laws (Exemption from Filing Returns and Maintaining Registers).

                        Strong protests
                        The Winter session of Parliament passed amendments to both the acts despite strong protests by trade unions namely CITU, AITUC, INTUC, HMS, and the Bharatiya Majdoor Sangh (BMS). The amendments also faced opposition inside Parliament from parties including the CPM, CPI and the Janata Parivar parties.

                        The labour law amendment will exempt companies employing up to 40 workers from many obligations. Earlier, the exemption was available to companies that had 10-19 workers.

                        The Bill further amends the original law, the Labour Laws (Exemption from Furnishing Returns and Maintaining Registers by Certain Establishments) Act, 1988, which had made maintenance of registers and filing returns in a specified format mandatory.

                        This amendment provides for maintaining registers in computers or other electronic media. Companies can now file returns electronically and submit electronic data to labour inspectors when they are asked for it.

                        However, there will be no penalty for non-compliance.

                        The Bill has also amended the list of legislations covered by the original law. Earlier, exemption was available for nine laws, to which seven more laws were added.

                        The amendments to the Apprentice Act contain major changes like freedom from obligation to regularise 50 per cent of apprentices. The stipend during apprenticeship could be the minimum wage of an unskilled worker. The employer will not be imprisoned for non-compliance, as was provided in the basic act.

                        CITU leader A K Padmanabhan has alleged that the amendments would allow employment of workers at low wages in the name of apprenticeship.

                        Power-driven factories
                        Amendments to the Factories Act, passed by the Lok Sabha but pending with the Rajya Sabha, propose further liberalisation of the labour scenario.

                        They exempt power-driven factories with less than 20 workers, and 40 workers in those without it, from compliance with labour laws.

                        Trade unions allege that these changes will deprive about 70 per cent of workers of statutory benefits.

                        The changes in the Factories Act permit deployment of women in night shifts, albeit with an arrangement of dropping them off securely.

                        The changes also include raising the limit of overtime from 50 to 100 hours per quarter in some cases, and from 75 to 125 hours in works of public interest.

                        The new year may see the introduction of the Small Factories Bill, which proposes to exempt employers of small factories — those employing up to 40 workers — from complying with 14 Labour Acts.

                        It also proposes to restrict trade union activities and permit easy firing by employers. The working hours and leave procedures are also in favour of employers
                        .

                        The government claims that the amendments are aimed at increasing production and making business easy. These major reforms are sure to meet stiff opposition form trade unions, leading to industrial unrest in the coming year.

                        Comment


                        • #57
                          The issue not being addressed is exploitation by employers, which as we all know is quite rampant. If violation of rules is not a crime then the industries better be prepared for violent trade unionism, of the types witnessed in West Bengal.

                          Cheers!...on the rocks!!

                          Comment


                          • #58
                            The much talked about ease in land acquisition reforms have taken place.
                            Govt approves ordinance to ease Land Acquisition Act to push reforms - The Times of India

                            It still has to go through the Parliament though.

                            Cheers!...on the rocks!!

                            Comment


                            • #59
                              Originally posted by lemontree View Post
                              The issue not being addressed is exploitation by employers, which as we all know is quite rampant. If violation of rules is not a crime then the industries better be prepared for violent trade unionism, of the types witnessed in West Bengal.
                              The bigger issue is companies cannot grow beyond 20 employees or they take on existential liabilities. I cannot imagine a better way to keep the country and its people back than to hold down its most productive citizens. How can Indian companies take on foreign competition or even make products that will sell abroad. They can't this is why so much is imported. The govt is trying to address this imbalance.

                              Export sector is different where hire & fire is the norm but it makes up a minority of the country, what about the rest ? However this small sector shows what can be achieved if the right policies are in place. That this performance can be replicated in other sectors to a certain extent.

                              Yeah, we will likely see major strikes in the coming year. Have to weather it.

                              Originally posted by lemontree View Post
                              The much talked about ease in land acquisition reforms have taken place.
                              Govt approves ordinance to ease Land Acquisition Act to push reforms - The Times of India

                              It still has to go through the Parliament though.
                              Can't help thinking the Japanese have had a role to play here. They were frustrated with the snails pace that infrastructure was developing over the last couple of decades and decided if they provided suitable incentives whether things would move faster. Enter Delhi-Bombay corridor.

                              Japanese would love to 'make in India' will take time though. The vision is the golden quadrilateral that links up the major metros but one step at a time.

                              Land acquisition is a contentious issue though. We don't push people off the land and grab it. The govt has a tendency to do this at times though. If you don't develop a large plot they create problems. They took away the right to property in '78, the excuse public interest is used to take over land for a pittance. As land increases in value those on the land expect to be suitably compensated. This raises the input costs to development. A number of industrial projects were stalled in the last govt over this point.

                              These are the five proposed areas

                              Arun Jaitley said the five areas were clearance for land for
                              - defence purposes,
                              - rural infrastructure,
                              - affordable housing and housing projects for poor,
                              - industrial corridors, and
                              - infrastructure or social infrastructure projects, including those in public-private projects in which ownership of land will remain with the government.
                              lol, at some of the TOI comment, Alex Jones influence i think

                              In whole of world, except certain commonwealth countries which were once 'British Colonies", Army is never allowed to acquire irrigated lands, lands within the civil habitation, prime commercial lands, orchards etc BUT in our country situation is different.

                              Our Governmment, may be Nehruvian or Modi-an, sticks to British rules on acquisition. Britishers, in fact, wanted these acquisition rules to set up their military bases within civil areas to spy over the activities of freedom fighters. That reason is over now and so there is no need to forcibly acquire irrigated lands and orchards for Army or for civil projects. Unfortunately common man has no say.
                              Last edited by Double Edge; 02 Jan 15,, 12:12.

                              Comment


                              • #60
                                The opposition simply does not seem to want to give this govt any breathing room on legislative reform, I suspect everything Modi has proposed will be opposed for the sake of it. The land acquisition and insurance reform will likely not make it through Parliament.

                                Remarkably stupid on every level, since it hurts the aspirations of that young demographic which voted Modi to power overwhelmingly. In all probability he will ram the changes through parliament through a joint session, then triangulate against an obstructionist opposition like Clinton did. Sometimes I wonder if the Indian opposition parties are bent on self destruction, leaving the BJP the only political pole.

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