Declining dollar- effect on our economy

Stalinist · Posted: Mon May 05, 2008 10:54 pm Post subject:

Indian government had worsely neglected agriculture and concentrated more on service sectors like IT and it resulted suicides of many farmers. Poor farmers won't get loan easily from banks and they mostly depend on loans from private money lenders. Rural banks are mostly concentrating on higher middle class farmers. Higher middle class didn't lose any thing after liberalisation of economy and their life became more luxurious. Poor and lowe middle classes have been worsely effted by the so called free market economy.
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statesman · Posted: Tue May 06, 2008 9:19 am Post subject:

But banks freely arranges loans to realtors at their door step,SSI and Agricuture are the victims of banker's indifferent attitude in rural areas and small towns. Most of the SSI loans were sanctioned in yesteryears in Rangareddy, hYderabad districts to more than 25000 units and the no. of units presently operating are less than 3000 with more than 80%enterpeneurs became insolvent/absconding. The worst scenario is bankers donot finance to genuin enterpeneurs but deliver the loans at their door steps to recommended candidates of politicians. Bankers have now totally stopped finance or funding to SSI and the loans to any sector in this country. The loans from banks have just become mortigage loans now.
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STATESMAN

Stalinist · Posted: Tue May 06, 2008 2:07 pm Post subject:

In 2004 elections, 90% dalits voted for Congress only. It proves that most of the proletarian class people don't trust Telugu Desam party. In BCs, 40% voted for Telugu Desam because of Devender Goud and Yanamala Ramakrishnudu. If there are no caste feelings in people, TDP would disappear soon from Andhra politics.
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ved · Telugu Veera Joined: 26 Feb 2006 Posts: 2024

Looking at the Economic situation in India, it suddenly appears that all the planets are aligned against India. The star studded economic team of UPA govt buckled to populist measures at wrong time. In hindsight, the Rs 70000 crore populist loan waiver looks like a horrible economic decision. This govt is stretched so thin and they have no ammunition left to tackle the run way inflation and Oil prices. The Oil companies are incurring a loss of Rs 500 crore/day. Any increase of less than Rs 5/liter, the oil companies will be shut down. In fact they are begging for Rs 10/liter or more. One of the abject lesson for the govt is not to tamper with free market principles for political gains. Had the oil prices been progressively amended in relation to market, the economy would have absorbed the cost with minor shocks. Now Rs 10/liter will be a tremendous shock and it will aggravate the run way inflation further. If the interest rates shoot up to 15% range, we have to say goodbye to the Indian economic miracle and back to the usual hindu rate of growth that this country languished for 5 decades. That is the danger we are facing now.