Sunday, May 17, 2015

PONDER UPON IT....


The visits of our PM at UAS, CANADA, CHINA and other countries have created a hype that Indian Economy will take off at a brisk speed. Hopes were high and investments were pouring in from FIIs. After nine months or so what happened that all of FIIs started leaving Indian Market ???There are many reasons given for the nose dives of Sensex and Nifty from top of 9000 to 8000...Let us examine all of them and find the truth behind then.
1. The very first reason given by share market pundits is that Chinese Companies are coming up with very attractive public issues and hence FIIs are selling their stocks to invest in better options.
My argument against this is very realistic. World Bank has anticipated Indian growth story more realistic and better then China. Then why FIIs are scurry from India ?? Fiis are related with profit and not with social work. That means India Growth story is Weak then China ???
Secondly MAT issue is also lingering since a long time. Why speedy solution is not found of that issue ??? A clarity is needed before committing a fund from FIIs.
Thirdly, any revival in economy will long lasted when infrastructure sector start booming. After so many announcements the sector is not showing sign of revival..( remember China's growth story. It was started with booming activities in infrastructure industry..
Fourthly, those companies who are already in India are also involved in litigation related to taxes and levies. Will that give any signals for FIIs and MNCs to park their money in India????
Fifthly, There are only few companies that are taking advantages of NDA govt. claimed opposition party. That is also clearly visible by the share prices of such companies. The price hikes in other companies' shares have been deflated after nine months of the current government.
What this all indicate ?
A. Functioning of Government is not transparent. It is playing figure game by showing enhanced figure of growth. But fact is reverse. The hike in petroleum Prices are evidence of the same.
B. The Companies and sectors that have minimum interferences of Government are performing well. IT and Pharma. While Steel , Mining , infrastructure and Fertilizer and Chemical Industries are reeling under pressure. PSU Banking sector is also bleeding as shown in the recent results..
C. the Publicity and hypes about work is there but on ground the work is not seen. The statement of PM that he is working long hours is criticized does not attract good response from any mature community..
D. India Pride will be back only after strong recovery in Economy and that will be a fatal blow for extremists who are against Indian Interest. ( In Tibet the development activities are very fast and people of Tibet are enjoying fruits of development. While Dalai lama and his followers are protesting on Delhi street without having any international importance. On the contrary engaging Indian Police and administration for unproductive works.
To SUM UP ALL , I DO SUSPECT AND HAVE DOUBT THAT THE STORY SHOWN BY NDA HAS LITTLE CREDANCE. THE WAT IS FOUGHT IN MODERN TIME ON ECONOMY FRONT AND NOT ON BORDER. IF WE LOSS BUSINESS TO CHINA , THEN KASMIR AND ARUNACHAL WILL NOT BE PART OF INDIA

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