Can Indian Economy Bounce Back in Rest of 2009?

Tomorrow is 1 July 2009. Six months have already passed from the year and now there are 6months left. For Indian economy, it has been a tough time. Economic recession had its bad impact and many people lost job in export sector. My co-blogger Mehdi Hassan has written about the miserable condition that the workers have been facing in the diamond industry. I covered a lot about Satyam scandal and bad time in outsourcing industry. We also wrote about Obama’s negative attitude towards outsourcing. Monsoon rain did not come in time and less rainfall may cause some serious damage for the agriculture sector.

So, what may happen to the Indian economy in the next 6 months? There is a new government and this government is a stable one as the Congress Party and its alliance parties got enough seats in the election. I don’t think that the economy can recover this year. The global economy has little hope either. May be the worst is over but to go back to pre-recession condition, it will still take some more time.

Air India defers insurance premium for three months: Not a good move.

Already the Indian aviation industry is under serious financial pressure and the Air France aircraft crash added another problem for the Indian aviation companies; reinsurancing their planes. Before reading this news, I did not know that airlines have to insure their planes and they have to pay a large amount of money for premium. Already the Indian air lines, both private and public, incurred huge losses and facing cash crunch. At such a situation, paying premiums to renew their insurance is really a serious issue.

Vijay Mallya’s Kingfisher Airlines paid more than half billion rupees ($10.5-11 million) in foreign currency to cover its 74 aircrafts against Rs. 380 million in 2008. The company is looking forward to raise money to cover its losses. Kingfisher bought insurance worth $3.09 billion from ICICI Lombard that became effective from June 24, 2009. Indigo Airlines, another domestic airlines, is scheduled to pay its premium within July 31, 2009. Jet Airways cleared its insurance premium at the beginning of the current financial year and it did not have to pay higher insurance premium.

However, Air India, the state-run airlines, deferred the renewal by three months. It is afraid that it would have to pay higher amount of premium and it does not have the capacity to do so. Air India took government bailout money and could not even pay the monthly salaries of its employees. Under government rule, Air India has the capability to defer its renewal by three months.

Related article:

Business Standard

TVS Scooty Streak: The ladies will take the road now

TVS Motor Company is the third largest two-wheeler producer in India and one of the top ten two-wheeler producers in the world. The company produces motorcycles, variomatic scooters and mopeds.

In March 2009, the company launched TVS Scooty Streak, a stylish motor cycle for young women. The new Scooty Streak is the fourth scooter produced by TVS Scooty. TVS Scooty first launched Scooty Pep+, the popular girl bike which was followed by TVS Teenz and Teenz Electric. Now, TVS Scooty Streak makes the scooters more exciting for young girls. It is small stylish and fuel efficient which makes it an ideal vehicle for urban Indian girls.

The new TVS Scooty Streak is a perfect combination of style, performance and comfort. It has a smart unisex body. The uniquely designed LED tail lamps, headlamp gives the scooter a different look and the LiTech engine makes it a highly fuel efficient bike.

Famous Indian tennis player, Sania Mirza is endorsing the new TVS Scooty Streak. A young successful, self-sufficient girl, Sania Mirza represents the qualities reflected by TVS Scooty Streak.

Weight and color:

Kerb weight: 96 kg

Color: Breezy blue, Mystic Mauve, Perky Pink, Super red, Magic black.

Specifications:

• Engine type: Four stroke single cylinder forced air-cooled.
• Bore: 51 mm
• Stroke: 43 mm
• Displacement: 87.8 cc
• Max power: 3.68 Kw (5bhp)@6500 rpm
• Torque: 5.8 Nm @4000 rpm
• Wheel base: 1230mm
• Front brake: Drum brake 110mm
• Rear brake: Drum brake 110 mm
• Ground clearance: 135 mm
• Front and rear tyre size: 90X90-10"
• Fuel tank capacity: 4.7 liter

Electricals:

• Ignition system: Digital DC CDI
• Headlamp: 12 V, 35/35 W
• Tail lamp: 12 V, 16/1 W
• Turn signal lamp: 12 V, 10W
• Battery: 12 V, 5 Ah

Drive:

Clutch: Pivoted clutch centrifugally operated.

Drive: Automatic

Features:

• The stylish LED tail lamp of the new TVS Scooty Streak comes with an unique design and shape that adds up to the overall style quotient of the scooter.
• The external fuel fill of the TVS Scooty Streak is not only stylish but also very safe and secure. Situated on the rear of the scooter, the fuel fill comes with spill proof cap .
• The center stand of the new Scooty Streak makes parking very easy and effortless.
• There is a lockable glove box below the seat of the Scooty Streak. The rider can carry small objects like gloves, cell-phones and other small necessary things.
• The new TVS Scooty Streak has a mobile charger situated inside the lockable glove box which allows the rider to charge her mobile on the go.
• The small LiTech engine makes the new TVS Scooty Streak lighter, faster and maneuverable.
• The anti-skid tyres with 90/90-10" dimensions make the TVS Scooty Streak a safer ride. The tyres are made of “wet compound” and they are also puncture resistant.
• The contoured seat of the TVS Scooty Streak is made of high-density polyurethane foam offering great comfort.
• The TVS Scooty Streak may look small and stylish but it can run on rough roads. In India the roads are small and poorly maintained. The new TVS Scooty Streak is fitted with cast aluminium shock absorbers to reduce the shocks on rough roads.
• Aside from the small glove compartment situated below the seat, there is also a 14 liter capacity boot space under the seat where you can keep your helmet and other stuffs.
• The ABS Panels of the TVS Scooty Streak is very much fashionable and also makes the scooter very strong and safe.

Price:

The new TVS Scooty Streak is priced at Rs. 35,800.

Related articles:

The Hindu

TVS Motor.in

Scootygals.com

Trousers without Pockets: Airport staffs in Nepal

A new government order in Nepal: staffs at Kathmandu's Tribhuvan airport must work with trousers without pockets. Pockets are for comfort but the government wants that the workers cannot have this comfort. The main reason is that many workers are not good and they create problem for visitors for nothing in order to get some bribes.

As a result, it is creating a lot of bad feeling among foreign tourists. Tourism is one of the most important sectors of earning foreign exchange in the country. Nepal has seen civil war and political unrest for many years. From May 2006, the people are living in peace compared to the past. As a result, many tourists from other countries are interested to come here and enjoy the natural beauty. In fact, Nepal has 7 of the top 10 highest mountain peaks in the world. Tourism has generated a lot of jobs in remote rural areas. In 2008, some more than half million tourists came here and the country and Nepalese government is hopeful that the number will exceed 1 million in 2011.

It is needless to say that when the tourists are harassed in the airport for some bribe by the airport staffs then it creates a lot of negative publicity for the tourism sector. Until now, the government officials did not give that much importance to this problem. However, now, Nepalese economy is suffering from economic recession and export has been hurt. On the other hand, the expectations of people have increased a lot in the time peace. So, the government is under intense pressure about the economy.

I am happy that Commission for the Investigation of Abuse of Authority (CIAA) has taken this decision in Nepal. However, at the same time, the salary of the workers of airport should be increased some too so that the workers feel that the government is also looking at their condition too.

Related Articles

BBC

AFP

USA vs Brazil FIFA Confederations Cup 2009 Final: Live Updates

Brazil has won the match and is the winner of Confederations Cup 2009

USA (2) -------------- Brazil (3)

90+3 minutes: Brazil has won the match by 3-2

90 minutes: Now, just 3 minutes stoppage time

87 minutes: USA got a corner.

84 minutes: Bad luck for USA. Brazil has scoired the 3rd goal and now leading by 3-2

80 minutes: 80miunutes gone. Brazil had 58% match possession so far

77 minutes: Brazil wants to finish the game in 90 minutes

74 minutes: Brazil has scored the second goal and now score is 2-2

73 minutes: Time is running out for Brazil

69 minutes: Lucio of Brazil shown yellow card

66 minutes: USA now came close to a goal. The shot was saved by Brazlian goalkeepr.

63 minutes: brazil is playing much better now. They are coming with one after another attack.

60 minutes: bad luck for brazil. THe ball hit the bar and did not enter to goal. BraZLIAN PLAYERS appealed that the ball went inside the line but refree not interested.

56 minutes: ANother impressive attack from Brazilbut Howard is the savior for USA again

52 minutes: Lovely attack from USA but Brazilian defense held on and then counter attack and Howard is again hero for USA

49 minutes: USA on attack now.

46 minutes: Brazil has scored a goal. USA is still leading 2-1

45 minutes: It is half time. Come after few minutes for second half updates.

43 minutes: Brazil on attack but US defense is holding on. Goalkeeper Howard is the hero tonight

40 minutes: 40 minutes gone and USA is leading by 2-0

36 minutes: USA got a freekick from dangeros position and now a corner

33 minutes: NO team is dominating at the moment

30 minutes: USA came agnozingly close to the third goal. Bad luck that they did not get it

28 minutes: What a goal. USA has scored the second goal. USA leading by 2-0

25 minutes: Brazilian player Mellow now shown yellow card

22 minutes: Good attack from Brazil and then counter attack from USA

19 minutes: FIrst yellow card of the match shown to Carlos (3) of USA.

17 minutes: USA on attack. WHat an exciting match. Both the teams are playing good football

13 minutes: Very good attack from Brazil. Robinho almost scored a goal but US goalkeeper came with the best save of the match

10 minutes: USA has scored the first goal of the match. Can you believe it? USA is leading by 1-0. Clint Dempsy (8) scored the goal.

7 minutes: Brazil got a corner but poorly taken

5 minutes: USA players are here with do or die mentality and is not giving Brazil an inch without a fight

1 minutes: The match just started. Be with us for live updates. USA had an attack but nothing happened

The much-anticipated final match of Confederations Cup 2009 between USA and Brazil will kick off from 18:30 GMT. Here, in this entry we will be giving you live score with text commentary of the match. So, be with us and enjoy the live updates of the match.

Maruti Suzuki’s new car will have Maruti Zen Estilo, WagonR, Alto-M800-A-Star, and Ritz platform

Few months ago, news came out that Maruti Suzuki India Ltd. (MSIL) is going to launch a car entirely made in India. Well, for the time being, the company is not going to produce any new Indian car. Due to its insufficient engineering strengt, MSIL decided to build the new car on its existing platform of WagonR, Zen Estilo, Alto-M800-A-Star and Swift Ritz. Only after the success of this car, the company will think of developing a car entirely in India and if everything goes well, then Suzuki Motor Corp. will outsource its entire small car operation in India.

Developing a new car from the scratch is quite expensive. Developing the platform of a new car makes up a significant portion of the entire production cost of the car. More over, the Indian car market could not fully recover from the economic recession. At such a critical situation, Maruti is trying its best to save money.

The development process of the car started more than a year ago at MSIL’s R&D facility in Gurgaon and by 2010, the company is looking forward to deploy one thousand engineers in the project. According to Maruti Suzuki officials, they have already finished the basic sketch of the car and working on other aspects of the design and in talks with machinery parts suppliers.

Related articles:

Business Standard

State Bank of India is offering Ezee Car Loan Scheme at an attractive rate

On June 27, 2009, State Bank of India (SBI) further slashed its interest rate on its Ezee Car Loan scheme to attract more credits. Till date, private banks such as the HDFC Bank, ICIC Bank were very popular for car loans but SBI is now is curving its niche in this segment.

Under the new Ezee Car Loan scheme of SBI, car buyers would pay 8% interest in the first year and then 10% interest in the second and third year. The scheme will continue till September 30, 2009. The Telegraph reports:

The EMI on Rs 1 lakh loan under the new scheme will be as low as Rs 1,559 in the first year and Rs 1,647 in the second and third year.

The interest rate will be reset from the fourth year at the card rate contracted as on the date of sanction, depending on the tenure of the loan.

The card rates are 25-75 basis points below the bank’s prime lending rate (PLR). The bank recently brought down its PLR to 11.75 per cent.

Earlier in February 2009, the interest rate for the Ezee car loan was 10%. Due to positive response from the customers, SBI decided to continue the scheme at an attractive interest rate. Under the new scheme, customers would not have to pay any processing fee. Aside from buying cars, SBI is also providing balance transfer facility which would allow customers, who took loans from other banks, to transfer their loans to SBI at lower rates.

Related articles:

The Telegraph

The Hindu Business Line

New Jaguar Land Rover models will revive Tata Motors’ luxury car segment

Tata Motors was under huge financial pressure when it bought British car brand Jaguar Land Rover from Ford Motor Company. The acquisition was followed by the worst economic recession in the history of the world which brought down car sales around the world and India. Now, the car market is recovering but the sales did not go up much. Tata Motors is hopeful that the new car brands from Jaguar Land Rover will rejuvenate its luxury car business. Due to economic recession, the demand of luxury car has fallen significantly in the international market.

On July 9, 2009, Jaguar is going to unveil its new supermini XJ Sedan. The car will be available in V6 diesel variant and 510hp V8 engine variant. Analysts are hoping for good demands for luxury cars but there will be less car from Jaguar as it is a luxury brand. The official launch of the XJ Sedan will take place in London and delivery will start from 2010. Booking will start immediately after the car. The Jaguar XJ Sedan is similar to Mercedes Benz S Class, BMW 7 Series and Lexus LS. In January 2009, Jaguar launched the upgraded versions of the XF and XK sedans, the XFR and XKR.

The Land Rover brand is also developing a new model based on “the LRX concept vehicle platform.” In addition, upgrades of Range Rover, Range Rover Sport and Discover 4 were launched in April 2009.

Related articles:

Business Standard

Zig Wheels

India vs West Indies 2nd ODI 2009: Preview, Live Score

After winning high scoring first match, India is now looking to extend their lead to 2-0 by winning the second ODI over host West Indies tomorrow (28 June 2009) at the Sabina Park, Kingston in Jamaica. The home side must win tomorrow if they really want to win the four-match series. Another victory for India would ensure that they will not lose the series. So, it is pretty much certain that both teams will try their best to win the match.

Match: West Indies vs India, Second ODI, Four-Match ODI Series

Date: 28 June 2009

Venue: Sabina Park, Kingston, Jamaica

Kick off: 14:30 GMT (09:30 Local Time)

India might have won the first match by a 20-run margin, but Indian players showed some complacency after picking up 7 wickets within 40 overs, while defending a 339 run total. Captain Mahendra Singh Dhoni also admitted the fact and warned his teammates to not repeat such complacency in future.

The Hindu reported:

Dhoni also admitted they had to toil hard to defend their mammoth 340-run target because his teammates got complacent after removing the top-order of the West Indies.

"Most of the guys thought that we have won the game when they were seven wicket down but it was a mistake and hopefully we won't repeat that. It was more close than thought," he said.

Following a poor show in the twenty20 world cup, Dhoni is feeling some perhaps for the first time. Moreover, the team is missing some of the key players like Virender Sehwag, Suresh Raina, Sachin Tendulkar and Zaheer Khan. So, the experienced players need to step up to take some extra responsibility.

Yuvraj Singh played a fiery innings of 131 off 102 balls, hitting 10 boundaries and 7 over-boundaries. It is really good news for the visitors. In the absence of Sehwag, Tendulkar and Raina, Indian batting line has lost some of its strength, but it was not exposed due to excellent batting by Dinesh Karthik, Yuvraj as well as some effective contribution from Dhoni and Yusuf Pathan. Gautam Gambhir has not been in good form lately. Naturally, Yuvraj and Dhoni would have to take some extra responsibility. Ravindra Jadeja and Suresh Raina are still pretty young and it is a great chance for them to prove their skill and cement a place in the squad.

Ashis Nehra was successful to some extent and made a good come back to the ODI team picking up 3 wickets, while Ishant and RP Singh were not successful in the first game. Still, I do not think India would bring out any chance in its pace attack. Spin attack will remain same too in the presence of Harbhajan Singh, Yusuf Pathan and Jadeja.

West Indies showed their batting depth in the first match as they remained in the match till the end, despite loosing wickets pretty much regularly. In the top order, Gayle, Morton, Sarwan and Chanderpaul all got runs, while Taylor, Ramdin and Bernard showed they were capable of contributing significantly. Bravo brothers failed with bat, but they might come back in the second match. West Indies is sorely missing injured pacer Fidel Edwards. Ravi Rampaul might come back in place of Baker. Jerome Taylor and Suleiman Benn would lead their pace and spin attack respectively and would have to deliver at their top in order to restrict the Indian batsmen.

Online Live Score and Updates

You can get the live score and updates of the match from Cricinfo, Cricket Buzz, Cricket Next and some other cricket related websites.

Well, I am not interested to pick up any favorite in the match, given the performance of the two teams in the first ODI. Now, ahead of the second ODI, India must be aware of complacency, while West Indies must know their mistakes from the first match and how to avoid those mistakes. So, we can hope for a highly competitive match in the second ODI.

Pakistani Players Looking for More Money from IPL

Just last week, Pakistan became the champion of Twenty20 World Cup 2009. Now, the fans in the country are celebrating and the players are a lot of respect from the fans. Well, they feel that it is time that they get some respect from Indian Premier League in 2010. Because of bad relationship between India and Pakistan, the Pakistani players could not take part in IPL 2009. After becoming world champion, some Pakistani players feel that their salary should be increased significantly and they should get more money.

Times of India wrote:

He pointed out that top players like Kamran Akmal, Sohail Tanvir, Umar Gul and Misbah-ul Haq had signed contracts for $100,000 or less with the IPL when it was launched in 2008.

"But now the scenario is different. These players should talk to their agents in India and ask them to go for a hike in price from the IPL franchises," he said.

Pakistani players could not take part in the IPL second season which was shifted to South Africa from India due to security reasons.

It should happen because Pakistan has got quality players who are ideal for T20 format. However, I don’t think that the owners of the clubs and BCCI officials would be happy with this. They do not want to increase the expense as some of the clubs are yet to make any significant profit.

Maruti Zen Estilo is getting revamped for the Indian audience

Maruti Suzuki India Ltd. is one of the top small car makers in India.

Maruti Zen Estilo is one of the popular sub-compact cars produced by the company. If you are one of those people who are looking for a small family car, then the Maruti Suzuki Zen Estilo is the ideal car for you. It is small, comfortable and comes with features that not only fulfill your needs but also provide great comfort.

Maruti Zen Estilo is the upgraded version of Maruti Zen which was launched in 1993. Maruti Zen has been promoted by the company for more than fifteen years. The word “Estilo” is Spanish. It means style. Though compact, Estilo is quite spacious. Maruti Zen Estilo was first unveiled on December 6, 2006 at Gala fashion show. In 2008, a sports edition of the car was released. Though dubbed as sports edition, there were no major upgrades. It was more of a facelift to revive the sliding car sales.

The Maruti Zen Estilo is a mixture of Suzuki MR Wagon and Wagon R. It has got MR Wagon’s shape and Wagon R’s engine. The car has a monoform design which has been further modified in several steps. The car design followed the “tall boy philosophy.” In addition, to create more leg space in the front, the engine space has been decreased but it did not change the car’s performance. Simple yet elegant, the Maruti Zen Estilo is a car that will make your city driving a pleasant experience.

There is another great news for Maruti Zen Estilo buyers. Maruti Suzuki is going to revamp all its cars including the Zen Estilo. Maruti is going to fit its 1.5 litre K-series engine in the car. The move comes in the face of meeting the Bharat IV emission norms by the Indian government that will come into effect from April 2010. The new K Series engine is a very fuel efficient engine. If offers high mileage at lower fuel consumption. The 1.1 liter K-series engine produces around 67 bhp.

Currently available in three variants- LX, LXi, and VXi, the Maruti Zen Estilo competes with Hyundai Santro, Tata Indica, Maruti Swift and other subcompact cars in the market.

Dimensions, weight and color:

• Length: 3495 mm.
• Width: 1475 mm (LX, LXi), 1495 mm (VXi)
• Height: 1595 mm.
• Kerb Weight: 855 kg (LX, LXi), 875 kg (VXi)
• Gross vehicle weight: 1275 kg.
• Colors: Champaigne beige, Bright red, Pearl silver, Midnight black, Superior white.

Other specifications:

• Turning Radius: 4.6 m
• Seating capacity: 5 persons.
• Tyre type: Tubeless
• Tyre size (LX & Lxi): 145/70 R13
• Tyre size (Vxi): 155/65 R13
• Fuel tank: 35 liter
• Steering type: Electronic Power Steering (LXi and Vxi)

Engine

• Engine type: F10D
• Engine capacity: 1061cc
• Max Power (bhpm): 64 @ 6200 RPM
• Max Torque (Nm): 84 @ 3500 RPM
• Number of cylinders: 4
• Transmission: 5–speed manual transmission.
• Drive: 2WD
• Clutch type: Cable
• Front brake: Ventilated disc brake.
• Rear brake: Drum brake.
• Wheel Base: 2360 mm.
• Front tread: 1295 mm.
• Rear tread: 1290 mm
• Ground clearance: 165 mm

Suspension System:

• Front suspension: McPherson Strut with Torsion type roll control device
• Rear suspension: Coil Spring, Gas filled shock absorbers with three link rigid axle and isolated trailing arm.

Safety features:

• The Maruti Suzuki Zen Estilo comes with many safety features:
• SRS Airbag (Drive Side) & Anti-lock Braking System(ABS) (available in VXi only).
• Back Door Defogger (available in VXi only).
• iCATS (intelligent Computerised Anti-Theft system) security system.
• Side Door Beams
• High Mount Stop Lamp
• Rear Door Child Lock
• Front Wiper

Security features:

Central door locking system (available in LXi and Vxi)

Steering lock

Exterior features:

• Body coloured bumpers (available in LXi and VXi only)
• Body coloured side door handles (available in LXi and VXi only)
• Body coloured outside door mirrors (available in LXi and VXi only)
• Body side moulding (available in VXi only)
• Body coloured back door handle (available in VXi only)
• Black out film (available in VXi only)
• Front fog lamps (available in VXi only)
• Wheel Cap
• Antenna

Interior features:

• Moulded side door trims
• Moulded back door trim
• Moulded floor carpet
• Front seat adjustable head restraint
• Rear seat adjustable head restraint
• Front seat back pocket for driver seat
• Three spoke steering wheel
• ABC pillar trims

Console features:

• Centre Console with Cup Holders.
• IP Pocket.
• Ash Tray
• Lights - off and key reminder chime (available in VXi only)
• Tachometer (available in VXi only)
• Accessory Socket (available in VXi only)

Comfort features:

• Power windows (available in LXi and VXi only)
• Power steering (available in LXi and VXi only)
• Remote Keyless Entry System (available in VXi only)
• Front Door pocket
• Internally Adjustable Outside rear view mirror
• Air Conditioning
• Vanity Mirror
• Grip Assistant
• Four speakers attached to side doors.

Price:

Zen Estilo Lx - 3,19,403

Zen Estilo Lxi - 3,48,403

Zen Estilo Vxi - 3,73,403

Zen Estilo Vxi with ABS - 4,02,403

Related articles:

Maruti Zen Estilo official website

Car Trade India

Car Wale.com

Vicky.in

Can Tata Motors handle Jaguar and Land Rover?

There is perhaps nothing shocking that Tata Motors posted some loss in revenue for the last financial year. $520 million is a huge amount of money to lose. However, it is the time of economic recession and some other companies have posted much bigger loss. A good part of the loss came for Jaguar and Land Rover. It is also natural as because of economic recession, most people are not that much interested to buy expensive cars in rich countries. It is a same story in all the rich countries for all the auto makers.

Economic Times wrote:

Jaguar and Land Rover posted a loss of Rs 1,777 crore for the year. The deepening recession in the US and UK worsened the demand for luxury vehicles, forcing Tata Motors to cut jobs and consider plant closures. JLR has already shed 2,000 jobs and Tata Motors senior executives warned on Friday that more will be needed.

We will have to wait until the end of the recession to realize whether Tata Motors can handle expensive brands like Jaguar and Land Rover. These days, the company is getting a lot of attention from the media and the consumers because of its Nano- the cheapest car in the world.

$500 Million Loan for Pakistan from ADB

Just 2-3 years ago, there was a lot of news about Pakistani economy in the media. However, because of violence and unrest in the Swat Valley, the economy has taken a backseat. Instead, we find regular reports of violence and bomb blasts in different parts of the country. Anyway, the good news is that Asian Development Bank is giving $500 million to Pakistan government.

Daily Times reported:

The principal objectives of the programme are (i) to achieve and sustain higher economic growth in the medium-term (ii) Expand its social safety net and make it more targeted to protect the poor and vulnerable from the adverse impact of the recent global developments (iii) Adopt structural reforms to address inefficiencies in the agriculture sector, particularly with respect to wheat markets and food security policies and (iv) Take measures to address the energy crises.

This is good news but the main thing is that this money has to be utilized properly. Because of security problems, the economy is suffering a lot.

No Hope for Nepalese Economy Until People Unite

It is just over one year that Nepal totally abolished monarchy and became a democratic republic. The expectations were huge one year ago but for most people, hardly anything has changed. The political condition has not improved and the same goes for the economy of the country. There is hardly any hope among the people. However, the people have to realize a very important thing: they have to be united for the national interest or else nothing will change or improve.

The country has not got yet any kind of political stability. In fact, the Maoist government could not survive more than one year and now, there is a new government in power. This is a coalition consisting of more than 20 parties. It is needless to say that when 20 parties are in a coalition then political stability is the last thing you can expect. The Maoists are in opposition and we have already seen that they have taken a strategy to remind everyone about their strength and popular support through carrying out a lot of protests in different parts of the country. There is no doubt that a significant portion of the population is behind them.

The ruling government is a mixture of parties of all backgrounds. The current Prime Minister Madhav Kumar Nepal comes from Communist Party of Nepal (Unified Marxist-Leninist). Naturally, this party should have been with the Maoists but they are now with other parties. In 2008 Constituent Assembly election, Communist Party of Nepal (Unified Marxist-Leninist) was in the third position. They have some dedicated supporters.

Nepali Congress has been the largest political party in the country for the last 5-6 decades. In election 2008, they suffered an unexpected setback and were in second position behind the Maoists. Nepali Congress has strong organization base in all over the country.

Madhesi Jana Adhikar Forum, Nepal was in 4^th position in the election and they are a regional party. They are strong in the Terai region.

Then, there is the former King Gyanendra and his supporters. You should not rule them out because they have close ties with the Nepalese army. Not only that, for many generations, Gyanendra’s family was closely related to the major religious activities and that is why, they have some sympathetic supporters among the religious groups. For the last one year, Gyanendra was more or less silent about political affairs. It seems that he is planning to make a comeback in the political scenario. It will not be difficult for him because the parties who threw him out of power are themselves bitterly divided.

The economy is suffering because of political instability and global economic recession. However, I do not see any hope for the economy because of deep political division among the parties. As I stated earlier in this entry, the political parties and even the King has some loyal and dedicated supporters among ordinary people. This matter is hurting the economy more than politics. The major challenges for the Nepalese economy are:

Extreme Poverty

Unemployment

Illiteracy

Shortage of Electricity and Fuel

Impoverished rural areas with no infrastructure

It is true that these problems cannot be solved overnight. For this, a strong government is needed at the center. At least, a stable government is a must to fight against any of these problems. If the ministers are busy in fighting for their own survival then naturally, they will not have any time to fight against such big problems.

I don’t think that the political leaders would become noble and suddenly they would decide that there would be no fighting. It does not happen at least in third world countries. So, the ordinary people have to realize this simple matter that if any improvement has to happen for the economy then the first precondition is that the people have to become united.

Tata Motors Experienced Rs 2,505.25 crore Net Loss During 2008-09

There were many who were excited when Tata Motors acquired two global brands Jaguar and Land Rover from Ford last year. However, the Indian auto maker now seems to be struggling with its Jaguar Land Rover business. In fact, Tata Motors posted an annual net loss of Rs 2,505.25 crore during 2008-09 fiscal year. The falling demand for Jaguar and Land Rover contributed a lot to this huge loss.

The Indian automakers experienced a net loss, even though the company’s income last year increased to 70,938.85 crore, a sharp rise from Rs 35,660.07 crore income in the previous year. Well, I am not sure whether it was a right decision to buy Jaguar and Land Rover at a time when global auto market was struck by economic recession across the world.

Tata is now gearing up to make some quick cash in through its much-awaited ‘people’s car’ Nano which is dubbed as world’s cheapest car. Tata received considerable amount of orders for Nano and the company is now planning to launch an upgraded version of Nano in European and US market in order to capitalize on the economic recession. Tata should also take some realistic initiatives to make its Jaguar Land Rover divisions profitable.

Related article:

Market Watch