12.08.2009

Politics & the Nation

• Swine Flu gives the jitters to all of us
• The World Health Organisation (WHO) has cautioned India against the spread of swine flu virus (H1N1) in wider areas, including small towns. Currently, symptomatic cases of swine flu are reported from major cities such as Pune, Mumbai, Delhi and Gurgaon.
• THE H1N1 or swine flu virus is now a global pandemic, with WHO estimates putting it at 1.6 lakh cases reported worldwide and over 1,100 fatalities.
• Government so far has been absorbing the cost of the tests, estimated at Rs 10,000 each, but if some sections in India can afford what private hospitals might charge for it, there is no reason for the government to insist on subsidising everyone.
• Food security bill is the first drought casualty
• With the country’s northern and eastern regions facing the spectre of a drought, the Manmohan Singh government’s ambitious plans of providing food security to all has taken a hit, at least for the time being. The proposed National Food Security Bill, which had been included in the government’s 100-day roadmap, has been put on the backburner.
• Under the programme, the government was to provide 25 kgs of rice or wheat at Rs 2 per kg to all BPL families.
• Government officials confirmed that the bill, which was being drafted by the agriculture ministry, had been put on hold, given the fact that the country was experiencing a deficient rainfall, which had affected the sowing of the kharif crops.

Personal Advice

• At least some of you, if not many, may find yourself facing the kind of professional dilemma that Mr. Raghavan, the former CBI Director is finding himself in.
• Not getting what we are saying? Read this article.
• History forces us to limelight sometimes. While it shows you as shining, it can also blind you. Those who frequent the stages of the world know this too well.
• A very good read; to keep you informed of the hidden pitfalls in power and responsibility.

Finance & Economy

• Record breaking numbers in telecom no longer have news value
• We are so used to seeing record numbers in our telecom story that ever higher numbers are slowly not interesting anymore.
• The country’s GSM telecom operators such as Bharti Airtel, Vodafone Essar and BSNL, have together added 9.5 million subscribers in July (8.9 mn in June), taking their total subscriber base to 325.7 million.
• Govt. to roll out Rs. 225K cr Rajiv Awas Yojana to house slum dwellers
• In its most ambitious bid ever to house 6-crore slum dwellers and realise the vision of a slum-free India, the government is rolling out a massive plan to build 50-lakh dwelling units in five years across 400 towns and cities. The programme could free up thousands of acres of valuable government land across the country and generate crores worth of business for real estate developers.
• The ministry of housing and urban poverty alleviation has sought an allocation of Rs 225,000 crore, over one-fifth of the total budget expenditure for the current fiscal, for the entire scheme.
• The programme, named Rajiv Awas Yojana, draws from the experience of the government in housing the poor in urban areas under the ongoing Jawaharlal Nehru National Urban Renewal Mission (JNNURM), but is different as it is the first sincere attempt to rid India of slums.
• The programme involves a model legislation at the Centre, followed by separate legislations in states, which would give slum dwellers property right (as different from land rights). Slumdwellers are mostly squatters on government or private land, but this legislation will make them rightful owner of homes on such land.
• As per the government data, slums occupy as much as 4% of urban India, of which 78% belongs to the state and central government.
• Of the total population of 102 crore, 28 crore are urban slum dwellers in India. Eight crore are classified as urban poor and twothird of them live in slums. Almost 54% of Mumbai lives in slums, while it is 46% in Faridabad, 44% in Aligarh and 43% in Meerut.
• The government data shows that slums are no longer confined to major metros, but have spread to smaller towns. And the migration to urban centres is only going to gain momentum in the coming years. As per government estimates, urban population is all set to quadruple in the next 30 years.
• The proposed scheme recognises a group of 15 or more hutments as a slum, against the 60 hutments norm in the last census. This brings larger number of urban poor within the ambit of the scheme. Under Rajiv Awas Yojana, every state will undertake a city-level slum profiling.
• Under the scheme, a slum redevelopment project can be undertaken by a private developer, as is the case in Mumbai, with financial assistance extended to slum dwellers. The resident himself can undertake construction of his house, if he so chooses. Each slum household would get a mix of the Centre’s grant (maximum Rs 1.5 lakh), along with a 5% interest subsidy on home loan up to Rs 2.5 lakh for construction. Tenants living in slums for more than two years will also be eligible under the scheme.

International

• On the current global recession (Excerpts from an article by Neeraj Kaushal)
• It appears the US economy is not shrinking any more. Pundits are predicting a 2-3% growth in the Gross Domestic Product in the third quarter of the current year. If their predictions turn out to be correct, the length of the current recession would be about 19 months — the longest since the Great Depression, but just two or three months longer than the recessions of the early 1970s and early 1980s, and the sixth longest since the beginning of the 20th Century.
• The US economy remains fragile and job market conditions are terrible. The economy has lost close to seven million jobs in less than two years. The job loss continues although at a much lower pace than it did at the peak of the recession.
• What has spurred such quick recovery from what seemed like a global depression just a few months ago?
• In two words: government intervention.
• the government’s stimulus package raised GDP growth in the second quarter by at least two percentage points. Most of the $787 billion has not yet been spent. White House officials say that only $100 billion of the stimulus money had been spent through June. Hopefully, the remaining hundreds of billions would create green or nongreen jobs for those millions who have lost employment since the beginning of the recession.
• Perhaps the most important government intervention was the bailout of banks that restored confidence in the ability of the banking system to cater to corporate credit needs.
• Next to that was the role that the Federal Reserve played by creating a number of borrowing programs for financial institutions and businesses through which it channelled vast sums of money to thaw the credit freeze confronting corporate America.
• The Federal Reserve is also buying trillions of dollars worth of mortgage-backed securities which has lowered mortgage costs for homeowners and new buyers.
• These decisions have helped rescue the economy from what could have become a second Great Depression.

Sport

• Commonwealth games 2010 at Delhi
• The 19th Commonwealth Games are scheduled to be held in New Delhi between October 3 and 14. The Commonwealth Organising Committee has been assured Rs 1,000 crore by the government and an additional Rs 1,045 crore for infrastructure and development-related projects for the games.
• The Games are held every four years. According to an industry estimate, the previous Games, held in Melbourne in 2006, cost US $1.1 billion. The Games in Manchester in 2002 involved a cost of $420 million.
• Commonwealth Games Delhi 2010 director general: VK Verma

Language lessons

• hatchet: Noun
• Weapon consisting of a fighting axe; used by North American Indians; A small axe with a short handle used with one hand (usually to chop wood)
• bury the hatchet: verb
• End hostilities