Can IAF afford all these planned modernisations ?

[surya kiran]

I AHVE EXPLAINED U SO MANY TIMES THAT

1)Due to the depleting squadrons we must induct fast and leave all these whims and fancies
which plane?

2)mmrca is already too late for this govt as this is election year and govt is unlikely to sanction it...........if it does well and good

3(there is no guarantee that next govt will support this contract,who knows?

The MMRCA contract is supported by all governments and parties. Again, these are pre-defined allocations. They exist.

4)And i never compared ous with china

5)Do u read newspaper,if yes then my prediction of economy is perfectly fine and growth rate of 8% days are certainly over.Just ask anyone on this
I am sorry. I don't read at all. Do you think the Indian economy needs a growth rate of 8% year on year for defence modernisation?

6)This year alone we have cad(current account deficit) of 70 billion plus,who will pay for that and expect the defence budget to remain unchanged??

Yes. It will remain unchanged. The current situation will change after the elections. The problem lies with regulations in promoting business and investments. There is fundamental problem in policy, not economics.

7)I reiterate that time taken in mmrca has nothing to do with complexity of subject but the amount of money to be spent
Again, have you been part of any negotiation with the government, for lets say selling a pin?

8)I am sceptical for timeframe because

a)look at scorpenes
b)project 75i
c)lca
d)kolkata class(i knoe due to barak 8 but still damn slow production)

Looking at the history i don't think we are gonna be in any hurry to speed up things

You may be sceptical of hundreds of things. Unfortunately, you do not have the patience to understand what the problem is and how complex the systems are. Sometimes you speak like most of the defence journos with the papers.

 

[sardar1987]

U don't know how current account deficit works......simple

1)It is ballooning due to huge amount of imports and falling exports and not only on policy paralysis(which also contributes)

2)Indian contract negotiations are the worst in the world,can u even deny that
On ur hey day u cn do whatever u can but these are exactly not those happy times and what has govt done to mitigate it??

NOTHING??


Yes it needs atleast 6-7% growth for increasing defence budget otherwise budget will remain stuck to 36 billion$ as it happened last year

We have only 6-8 operational submarines at any given point(others are in refit),,,,has the govt sped up project 75i??
No and its only now that we are considering of offering rfp next month or so.All or kilo class are very old,some about 25 years
What did govt do??Nothing


Thats why i don't trust govt,,,,,we are already pretty weak,consider 2018 scenario when we retire mig21 and 27 along with older submarine retirement too

 

[surya kiran]

U don't know how current account deficit works......simple

1)It is ballooning due to huge amount of imports and falling exports and not only on policy paralysis(which also contributes)

I have a double masters. One in economics and I run a business in the finance segment. So feel free to enlighten me, since, I am completely unaware of how CAD works. You can use monetary or financial or international or econometric reasoning. Feel free. But please do not give me gyan like you did on the Rafale thread. Open another thread for it btw.

2)Indian contract negotiations are the worst in the world,can u even deny that On ur hey day u cn do whatever u can but these are exactly not those happy times and what has govt done to mitigate it??

Like I mentioned, you have no experience with it. ANd after sandy tried explaining the same to you, you still fail to learn. Purchase negotiations are fairly simple and transfer of technology negotiations are quite complicated.

Yes it needs atleast 6-7% growth for increasing defence budget otherwise budget will remain stuck to 36 billion$ as it happened last year
Agreed. Defence expenditure is based on rational and proportional increase. Point made was growth of 6 to 7% is achievable by the end of the decade.


We have only 6-8 operational submarines at any given point(others are in refit),,,,has the govt sped up project 75i??
No and its only now that we are considering of offering rfp next month or so.All or kilo class are very old,some about 25 yearsWhat did govt do??Nothing

Off topic. IAF thread. Take this to a Submarine thread.

 

[sardar1987]

U don't know how current account deficit works......simple

1)It is ballooning due to huge amount of imports and falling exports and not only on policy paralysis(which also contributes)

I have a double masters. One in economics and I run a business in the finance segment. So feel free to enlighten me, since, I am completely unaware of how CAD works. You can use monetary or financial or international or econometric reasoning. Feel free. But please do not give me gyan like you did on the Rafale thread. Open another thread for it btw.

2)Indian contract negotiations are the worst in the world,can u even deny that On ur hey day u cn do whatever u can but these are exactly not those happy times and what has govt done to mitigate it??

Like I mentioned, you have no experience with it. ANd after sandy tried explaining the same to you, you still fail to learn. Purchase negotiations are fairly simple and transfer of technology negotiations are quite complicated.

Yes it needs atleast 6-7% growth for increasing defence budget otherwise budget will remain stuck to 36 billion$ as it happened last year
Agreed. Defence expenditure is based on rational and proportional increase. Point made was growth of 6 to 7% is achievable by the end of the decade.


We have only 6-8 operational submarines at any given point(others are in refit),,,,has the govt sped up project 75i??
No and its only now that we are considering of offering rfp next month or so.All or kilo class are very old,some about 25 yearsWhat did govt do??Nothing

Off topic. IAF thread. Take this to a Submarine thread.

all right then pls tell me the reasons for the current account deficit

my reason

1)loss of exports vis a vis imports

2)no significant foreign fdi in the last 2 years

other reasons(my previous post)
There is no need to be overtly negative.
The low growth is due to(pls read and comment)

1)policy paralysis of govt as govt has not passed any law on
a)pension reform
b)insurance reform
c)land acquisition
d)no policy on coal block allocation
e)goods and services tax(gst)

2)Environmental clearences have rattled the industry as most of the tribals are claiming the forests and the hills as their sacred property and refuse the companies to mine anything.As a result of that

a)Posco project for setting up steel unit in orissa has been hanging fire for 10 years
b)Yesterday vedanta group was refused by the tribals to let them mine bauxite from
a hill they say is sacred.By the way we have world's 3 rd largest bauxite reserves
and still remain net importer
c)Most of the coal plants and hydropower plants are stuck

So investors have no intention of facing unlimited delay and they are not investing

3)Supreme court of india(u heard it):After coal scam and iron ore mining scams supreme court has banned mining exports from goa and karnataka and this move alone has made india loose about 17 billion$ this year alone!!!

After 2g scam supreme court cancelled the licences of most of the companies so they are reluctant to invest again fearing such intervention in future too

Supreme court has told govt that gram sabhas must be convinced before mining anything fro that area.As expected foolish gram sabhas don't understand **** on how economics works!! and they are stalling everything

4)super corrupt govt.

5)rising interest rates to control inflation has led to fewer loans for capital ventures and has hit sme's(small and medium industries hard

6)Socialist policies of govt like food bill



So all i am saying is that there is no fundamental flaw here but a lot of foolish decisions that have deterred the investors to shy away from india



I must admit that i am not an economics expert so feel free to tell me where i am wrong,,,,i don't mind a rebut

You may be sceptical of hundreds of things. Unfortunately, you do not have the patience to understand what the problem is and how complex the systems are. Sometimes you speak like most of the defence journos with the papers.

and pls even those defence jurnos are not so foolish as we label them

here we have become accustomed to the workings of public companies like drdo and hal so we treat with ridicule anyone who says that things are fucked up

I will say this again,either prove that things are as should be or accept that change is long overdue.There is no other angle to this

 

[sardar1987]

BNP Paribas cuts India

We are definitely fucked for the time being

 

[he-man]

We will not be able to afford good food in the coming days i am afraid

 

[surya kiran]

CAD is the effect. Not the cause. like i said. start a different thread.

 

[he-man]

CAD is the effect. Not the cause. like i said. start a different thread.

It is the cause too as it will eat into our reserves

 

[surya kiran]

It is the cause too as it will eat into our reserves

cause = reason of an event
effect = an event due to a cause

Basic English.

 

[he-man]

cause = reason of an event
effect = an event due to a cause

Basic English.

its a viscious cycle dude............its not a linear equation

 

[surya kiran]

its a viscious cycle dude............its not a linear equation

not really. CAD arises due to a discrepancy in the inflow outflow or demand supply. unfortunately, we had a fundamental problem in policy making, which is leading to a cmplete mess. an economy which has a demand base and educated base, with the ability to pull in investment has been destroyed due to in-action and in certain areas unbelievable action. The person who presided over the unmitigated disaster, unfortunately is suppsed to be a super duper economist. Yaar. agar isse barabad discuss karna hai alag thread khol.

 

[he-man]

not really. CAD arises due to a discrepancy in the inflow outflow or demand supply. unfortunately, we had a fundamental problem in policy making, which is leading to a cmplete mess. an economy which has a demand base and educated base, with the ability to pull in investment has been destroyed due to in-action and in certain areas unbelievable action. The person who presided over the unmitigated disaster, unfortunately is suppsed to be a super duper economist. Yaar. agar isse barabad discuss karna hai alag thread khol.

The reasons specified by u are right however there are some things

1)Even prior to 2008 we used to have some CAD but it was eventually covered by FDI inflows

2)In the last 2 years along with rising imports and falling exports even FDI has stopped coming

This has exaggerated the problem