สรุปข่าวเศรษฐกิจอินเดียประจำวันที่ 25 มีนาคม 2557

Markets scale new heights on hope of stable govt

Indian equities rallied to new highs on Monday as foreign institutional investors (FIIs) continued to bet on a stable coalition at the Centre that will drive reform and kickstart growth. The Sensex gained for the third consecutive session, rising 1.38% or 300 points to end at a new peak of 22,055.45, as political parties ready their manifestos. FIIs continued to be net buyers of Indian shares for the 10th straight session on Monday, shopping for $241 million of Indian shares — in the last 10 sessions they have brought $2.2 billion to the table. The strong flows into the equity and debt markets have pushed up the value of the rupee. On Monday the currency gained 0.226% against the dollar to end at 60.7875. India is now the second-best performing market in the emerging markets space, close on the heels of Indonesia; both seem to be favourites of FIIs with India having attracted foreign flows of close to $3 billion and Indonesia $2 billion since the start of 2014. While the Congress will release its manifesto on Wednesday, reports suggest that BJP is also likely to release its manifesto on the same day. “Of late, the upcoming elections, offering the possibility of a democratic 'refresh', seemingly rare among EMs, have added to India's relative attractiveness on macro parameters. We expect capital inflows to continue, driving mild currency strength and a drop in wholesale funding costs,” Credit Suisse analysts Neelkanth Mishra and Ravi Shankar said in a report. The latest set of surveys conducted by NDTV, in collaboration with Hansa Research Centre, suggest that the NDA will win 229 seats, UPA 129 and others 130 in the upcoming general election.

(Source: Financial Express)

Economy stable, growth will improve: Mayaram

Exuding confidence that growth will improve in coming months, the finance ministry on Monday said economy has stabilised, which is evident from the strengthening of the stock markets as well as the rupee. "I certainly believethe economy has stabilised and that is reflected in rupee and stock markets. And going forward, I think, we will see growth numbers also improving," economic affairs secretary Arvind Mayaram told reporters. On the back of strong foreign investor flows, the stock market barometer BSE Sensex jumped more than 1% to log new lifetime high while the rupee appreciated 24 paise to trade at 60.65 against the dollar. The 30-share Sensex was last trading nearly 300 points higher, or 1.39%, at 22,055. It surpassed its previous intra-day record high of 22,040.72 logged on March 18. "I think we are surely in a position where we can say that, India is the best among the emerging markets, and this will continue to be so in future," Mayaram said.

(Source: Financial Express)

Curbs on gold import norms leading to smuggling: Sharma

Commerce and Industry Minister Anand Sharma has favoured a review of curbs on gold import norms saying the restrictions are leading to smuggling. In order to check rising Current Account Deficit (CAD), the government raised import duties and the RBI imposed curbs on import of the metal and also laid down various pre-conditions for inward shipments of the precious metal.He said there is a need to have a balanced approach on the matter. Gems and jewellery exporters, which account for about 15 per cent of the country's total shipments, raised concerns over the restrictions on gold imports and demanded easing of norms in this regard.  Gems and jewellery exports dipped 4.18 per cent to $3.59 billion in February. During the 11-month period of the current fiscal, shipments declined by 7.15 per cent to $35.73 billion. Gold and silver imports declined 71.4 per cent to $1.63 billion in February. Sharma said his ministry is ensuring the exporters get adequate gold to enhance overseas shipments of jewellery. The enforcement agencies during the first nine months of 2013-14 have seized 1,074.41 kg of gold as against 326.23 kg during the entire 2012-13 fiscal. According to reports, sleuths of revenue department have seized gold worth about Rs 245 crore being pushed illegally through the country's borders in the past one year. As many as 700 cases of gold smuggling so far have been reported across the country during 2013-14.

(Source: Economic Times)

Strengthening markets, rupee reflect improvement in economy: Finance Ministry

Exuding confidence that growth will improve in the coming months, the Finance Ministry today said economy has stabilised which is evident from the strengthening of the stock markets as well as the rupee. As per the CSO estimates, the economy would expand 4.9 per cent in the current fiscal ending March, up from 4.5 per cent recorded in 2012-13. Growth in the first nine months (April-December) was 4.6 per cent. The economy must expand by 5.7 per cent in January-March quarter to achieve the estimated GDP expansion of 4.9 per cent in 2013-14. Growth in the first nine months (April-December) was 4.6 per cent. The economy must expand by 5.7 per cent in January-March quarter to achieve the estimated GDP expansion of 4.9 per cent in 2013-14. Inflation is showing signs of cooling. Wholesale price-based inflation fell to nine-month low of 4.68 per cent, while retail inflation slowed to a 25-month low of 8.1 per cent in February.

(Source: Economic Times)

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