The Financial Express -- Economy

Saturday, November 29 1997

United Front leaves huge unfinished economic agenda

The United Front government will be relinquishing office with a bagful of unaddressed economic reforms. Thanks to the political uncertainties faced by the minority UF government, the regime has not been able to push through crucial measures, especially with regard to the opening up of the insurance sector. The achievements of the government on the economic front are limited to the "dream budget" presented by finance minister P Chidambaram, which raised lot of hopes because of lowering of tax rates.

Bankers divided on the impact of Reserve Bank measures

Bankers are divided on whether the Reserve Bank of India (RBI) measures will stem the slide of the rupee. Senior bankers feel that the postponment in the reduction of the cash reserve ratio (CRR) could see a hardening of the interest rates. The withdrawal of the Congress support from the United Front government is unlikely to have a major impact on the market as this factor has already been discounted.

"Counter guarantee to be considered only with consensus"

Finance Minister P Chidambaram on Friday said the question of providing counter guarantees for the new private power projects as demanded by states could be considered only if there was a political consensus. Chief ministers demanded at the inter-state council meeting that the centre should provide counter guarantee for private power projects, especially in hydel projects involving large outlays in which private investors were offering to invest funds.

"Delink economic policies from politics"

Front trips as Congress pulls the rug; Kesri eyes gaddi

Reserve Bank of India defers CRR cuts

Cotton Advisory Board sees rise in cotton output

Temporary glitches mar Foseco valuations

"Euro will bite edge off dollar monoculture"

US, Japan to pitch for Asia crisis meet, says Singapore PM

Moody's lowers Thai debt rating

Rangarajan calls for greater financial reforms

Orissa bidders, AES Transpower knocked out by Gridco norms

RBI deputy governor warns exporters against sitting on their dollars

Bankers divided on the impact of Reserve Bank measures