Remember that note from Goldman Sachs? The one where the US investment bank upgraded its assessment of the Indian economy on hopes that Narendra Modi, the pro-business prime ministerial candidate for the opposition Bharatiya Janata Party (BJP), would lead India’s next government?
Then, New Delhi was up in arms and accused Goldman of interfering. Now, it seems Goldman was only saying what all investors were thinking. Indian markets closed at record highs on Thursday and again on Friday, after the Election Commission announced dates for the voting and opinion polls showed Modi gaining popular support. Continue reading »
Its population is bigger than Brazil’s. The way its people vote can decide the direction taken by world’s largest democracy. No state in India is more important in the country’s forthcoming general election than Uttar Pradesh, the underdeveloped northern state of 200m people.
Of the 814m eligible voters mentioned by the Election Commission when it announced the April and May polling dates this week, 134m are in Uttar Pradesh. Continue reading »
It’s official. Jaiprakash Associates, the Indian energy and infrastructure conglomerate, has sold off two hydroelectric plants in northern India.
The last time one of the group’s subsidiaries did something similar, its shares rallied on hopes that the move would bring down the group’s debts. But this time the stock has tanked because of signs the plants may have been sold too cheaply. Continue reading »
A further twist in the tumultuous case of Vodafone and the Indian tax authority.
After deciding to scrap conciliation talks with Vodafone India just two weeks ago, the Indian government has put the offer back on the table – just as the opposition Bharatiya Janata Party (BJP) is making noise about resolving these kinds of conflicts if it comes to power following this year’s general election.
It is just the latest in a protracted $2.6bn dispute over capital gains taxes allegedly due in connection with Vodafone’s acquisition of Hutchison Essar back in 2007. Continue reading »
Last year, eBay began a partnership with Snapdeal, an Indian online marketplace, investing an undisclosed sum. Now it has said it will lead a funding round of over $133m in the company.
It is part of a wider move by international groups to foster the Indian ecommerce industry and a sign of consolidation in a sector which still has a lot of scope for growth. Continue reading »
Maruti Suzuki, India’s largest car maker by sales, may have thought it would appease investors and critics with an empty set of clarifications on Wednesday, following a backlash against the company’s controversial $500m factory tie-up with its Japanese parent group.
Indian markets are closed for a holiday on Thursday, muting the reaction, but it seems the announcement is unlikely to mollify investors. Continue reading »
He lives in a property modelled on the White House. He had his company’s name emblazoned on the shirts of India’s beloved cricket team. And his group owns some of the world’s most prestigious properties, including London’s Grosvenor House.
Subrata Roy, head of Sahara India Pariwar, an unlisted hotel to sugar conglomerate, doesn’t jump at anyone’s demand. Or so he thought. Continue reading »
Eleven parties came together on Tuesday to launch a ‘third front’ in India’s elections, seeking to overcome the incumbent Congress party and its main opposition, the Bharatiya Janata Party (BJP).
Commentators warn that such a nebulous grouping – though unlikely to come to power – wouldn’t provide the strong leadership and decision making India needs to get economic reforms off the ground and kick start its sputtering economy. Continue reading »
Last week India’s Central Electricity Regulatory Commission (CERC) made two big announcements. Both have moved shares – and both mark a step change in the country’s power sector.
First, the commission published tariff regulations for the next five years – an announcement which helping push shares in NTPC, the power producer, down 11.4 per cent on Monday and another 0.9 per cent on Tuesday to close at Rs115.85. Continue reading »
Here comes the MBA
In many countries, people debate the professional merits of an MBA. But in India, people are doing MBAs not just to up their chances in the competitive job market but also to make themselves more eligible in the even-more-gruelling marriage market.
Is that because these qualifications are exclusive and well respected in the country – a sign of economic and social status? Quite the opposite. It is ‘qualification inflation’ that makes the business degree an essential for any would-be bride or groom. Continue reading »
At a time when everyone is nervous about emerging markets, Henry Kravis, a well-recognised pioneer in the private equity industry, is optimistic about India.
And given his New York-based company, KKR, made a return on equity of 27 per cent last year, it’s worth hearing why. Continue reading »
India’s policy makers clamped down on gold imports last year, repeatedly hiking duties and introducing quantitative restrictions which squeezed supplies and pumped up premiums in the local market.
As a result China knocked India off the top spot to become the world’s biggest gold market in 2013, according to research by the World Gold Council (and as beyondbrics predicted a while before). What’s surprising is that demand for the yellow metal is still growing rapidly in India, where love for gold is deeply ingrained in culture and religion. Continue reading »
** FT NEWS **
India’s tax laws are deterring investors | Foreign companies are becoming alarmed by the unpredictable and notoriously aggressive treatment they receive from government authorities
Turkey scores success with long-dated bond | The success of the bond issue will cheer Turkish policy makers, coming after S&P cut its outlook on Turkey’s sovereign debt from stable to negative Continue reading »