24.10.2007

• RBI calls for ban on automatic FDI in real estate
• At present upto 100% FDI is allowed in realty projects through the automatic route, with certain conditions like a three year lock in on investments and minimum capitalization of $5 mn.
• But RBI wants the real estate sector removed from the list of sectors where FDI can come in through the automatic route. This is because it is worried about the rising inflow of foreign funds into the sector.
• Investor interest in the sector has been substantial. Just look at the figures of FDI that have flown in over the years:
• 2005-06: $38 mn
• 2006-07: $467 mn
• 2007-08: $627 mn (from April to July)
• Do you know how the new cinema distribution business is conducted?
• Note this just for the sake of curiosity:
• A movie distributor charges 50% revenue share for the first week, and 30% revenue for the second and third weeks.
• More on ChangE-1, the Chinese lunar probe
• China successfully launched the satellite at 6.00 PM today.
• It is named after the legendary Chinese goddess who flew to the moon.
• The lunar probe is expected to enter earth-moon transfer orbit on October 31 and arrive in the moon’s orbit on November 5. The satellite is scheduled to relay its first picture of the moon in late November and continue scientific survey for a year. The orbiter will carry out a series of projects, including acquiring three dimensional images and analyzing the distribution of elements on the moon’s surface.
• See what we noted about this earlier in our blog.
• Farmer training by retail companies may turn mandatory
• With a view to ensure inclusive growth of organized retail, the food processing sector and the Indian farmers, the food ministry is proposing this move.
• A few important areas in which the farmers will be trained by the corporate sector are third party intervention, technical input and water management. The people involved in the supply chain will be trained too.
• At present, the agricultural supply chain is the source of sustenance for about 2 crore families in rural India. It is estimated that by 2010, organized retail and food processing industries will have to directly recruit over 5 crore people. Clearly there appears to be a synergy waiting to be exploited.
• BTW look at what we noted about what is meant by inclusive growth.
• Forex trading figures
• India’s share in the total geographical distribution of foreign exchange market turnover has risen from 0.3% in 2004 to 0.9% in 2007.
• The amount traded on an average per day has risen from $7 bn in 2004 to about $34 bn in 2007.
• Look at some of the major forex trading nations in 2007:
• UK: $1359 bn
• US: $664 bn
• Switzerland: $242 bn
• Mevlana Jalal Ud-Din Rumi
• He was a famous sufi mystic, poet and humanist from Turkey.
• Born in the City of Balkh in Afghanistan, he lived most of his life in Konya, seat of the Seljuk Empire, located in present day Turkey.
• The 800^th birth anniversary of this great sufi poet was celebrated recently in Hyderabad.
• How large a home is India for the Asian poor?
• Of the 1 bn poor people in the world, India accounts for 25.9%.
• China accounts for 16.7% and the rest of Asia-Pacific accounts for 18.3%.
• On dryland farming
• ICRISAT’s research has shown that drylands can produce 5.1 tonnes of grain per hectare a year, supporting 21 persons as compared to 1.1 tonnes of grain per hectare per year supporting 4.8 persons in case of farmers’ practice.
• Its research further has shown that legumes in general and pigeon pea in particular have the ability to sequester more carbon in tropical soils.
• India has 66% of the 142 mn hectares of arable land as rainfed area.
• Pakistani politics and Ms. Bhutto
• Somehow we can’t keep away from watching Pakistan from time to time. While I do admire Ms. Bhutto for whatever she stands for – she represents to me the modern face of Islam. A leader in her own right and a well educated one at that. All this may be fine; but do take a look at some criticism that comes her way from other keen Pakistani watchers.
• “Her terms in office are marked by incompetence, extra-judicial killings and brazen looting of the treasury” says Jemima Khan. She further says “Make no mistake, Benazir may look the part, but she’s as ruthless and conniving as they come – a kleptocrat in Hermes headscarf.”
• Ahh, beautiful words from a beauty about another beauty. J
• I do agree with the assessment that she knows how to press the right buttons when it comes to being accepted by the western governments. Clichés of female empowerment, democracy, poverty eradication, human rights and war against the terror are all very endearing. I also agree that her actual record as Prime Minister twice is at odds with these clichés being mouthed by her.
• Lets keep watching, how the Pakistani politics evolve over the next few months.