India’s Foreign Debt Grows 13% to $390 Billion

[sankranti]

Does anyone know how the congress is planning to save India from this debt trap ?

Great economist MMS has come up with a fabulous solution .......since India's NRI remits close to 70 Billion $ per year ............MMS has decided to sell Indians to slave trade to make money. That is the congress solution. Don't believe me ?

Saudi to again hire Indian maids - on reduced salaries

Saudi Arabia will resume the hiring of Indian female domestic workersbut on less salaries than before, Xinhua reported Wednesday citing the Al Hayat newspaper.

This is part of an agreement recently signed by the two countries' labour ministries, according to Ahmed Al Faheed, under secretary (International Affairs) at the Saudi labour ministry.

He said that the hiring of Indian maids will be resumed soon after it was halted due to conditions imposed by the Indian government.

........No need to specify that most of these slave girls are going to be from 'minority' community. Here are some of the comments from the community after hearing this shocking news ...

shaik shahansha, QATARMonday, June 17, 2013
As a Indian citizen In my personal review and my experience in saudi arabia, they treat to our sisters in a very bad way, beating and too much work ,this work needs atleast two maids, but they use one house maid to complete all their needs, no sleep at all to our sisters, i believe our govt. could think not to send our sisters to any gulf countries especially to saudi arabia.

Ifthikhar, Mangalore / KSASunday, June 16, 2013
Coming here in reduced rates means they are spoiling their whole life. It is the responsibility of the Indian Govt to acquaint these aspirants about the situation in KSA. At any cost our sisters should not go to work as house maids. It is 1000 times better for them to work in India and stay with their families. My judgment is based on my personal experience in KSA in last 30 years.

eva, kirem, dohaFriday, June 14, 2013
Have you seen in Mangalore your helpers and how you and your children interact with them. Isn't it with respect? You dare not say anything which disrespects them or criticize them because if u do so next day you will not find them but these things are not happening in gulf countries. If the tea is served hot arabs throw this tea on their face,when a child falls down or runs to a unsafe area and if the housemaid shouts at the child, the maid is beaten because she is shouting at their child instead of appreciating her, even children of arabs spit on them, children beat them etc to name a few. I work in the hospital and i have seen lot of housemaids who are even afraid to talk to us in front of them. There are lot of other things which i cannot even write here.

fayaz, mangalore/dubaiThursday, June 13, 2013
Its very true please dont even dream to send indian females that to saudi,they treat them very badly
and also make there life hell.

Peter Lewis, Kalmady/k s aWednesday, June 12, 2013
As an Indian Citizen I love my Fellow Indian Citizens. I Request my Government please do not send female Domestic workers namely House maids, Nannies, Care Takers, Beauticians. Try to provide job to them in our country.

Congress is truly the protector or 'minorities' .....surely there is no alternative to the congress.

......Pimp it up

 

[sankranti]

Meanwhile this is what other nations are doing to show their concerns for their citizens.......

Sri Lanka bans sending maids to Saudi Arabia - Express India

Indonesia said on June 22 it would not send domestic workers to Saudi Arabia until Riyadh signed a deal on migrant-worker protection.

The moratorium came after the execution days earlier of an Indonesian maid convicted of murdering her Saudi employer's wife.
Indonesian officials complained they were not informed that the execution would be taking place.

In May, the Philippines rejected an appeal from Saudi Arabia to cut the minimum wage for Filipina maids in half and said it would not be sending new domestic helpers until the dispute was resolved.

 

[Soumitra]

Does anyone know how the congress is planning to save India from this debt trap ?

Great economist MMS has come up with a fabulous solution .......since India's NRI remits close to 70 Billion $ per year ............MMS has decided to sell Indians to slave trade to make money. That is the congress solution. Don't believe me ?

Saudi to again hire Indian maids - on reduced salaries

........No need to specify that most of these slave girls are going to be from 'minority' community. Here are some of the comments from the community after hearing this shocking news ...

shaik shahansha, QATARMonday, June 17, 2013
As a Indian citizen In my personal review and my experience in saudi arabia, they treat to our sisters in a very bad way, beating and too much work ,this work needs atleast two maids, but they use one house maid to complete all their needs, no sleep at all to our sisters, i believe our govt. could think not to send our sisters to any gulf countries especially to saudi arabia.

Ifthikhar, Mangalore / KSASunday, June 16, 2013
Coming here in reduced rates means they are spoiling their whole life. It is the responsibility of the Indian Govt to acquaint these aspirants about the situation in KSA. At any cost our sisters should not go to work as house maids. It is 1000 times better for them to work in India and stay with their families. My judgment is based on my personal experience in KSA in last 30 years.

eva, kirem, dohaFriday, June 14, 2013
Have you seen in Mangalore your helpers and how you and your children interact with them. Isn't it with respect? You dare not say anything which disrespects them or criticize them because if u do so next day you will not find them but these things are not happening in gulf countries. If the tea is served hot arabs throw this tea on their face,when a child falls down or runs to a unsafe area and if the housemaid shouts at the child, the maid is beaten because she is shouting at their child instead of appreciating her, even children of arabs spit on them, children beat them etc to name a few. I work in the hospital and i have seen lot of housemaids who are even afraid to talk to us in front of them. There are lot of other things which i cannot even write here.

fayaz, mangalore/dubaiThursday, June 13, 2013
Its very true please dont even dream to send indian females that to saudi,they treat them very badly
and also make there life hell.

Peter Lewis, Kalmady/k s aWednesday, June 12, 2013
As an Indian Citizen I love my Fellow Indian Citizens. I Request my Government please do not send female Domestic workers namely House maids, Nannies, Care Takers, Beauticians. Try to provide job to them in our country.

Congress is truly the protector or 'minorities' .....surely there is no alternative to the congress.

......Pimp it up

Pure vote bank politics. Didn't know congress could stoop so low

 

[sankranti]

Pure vote bank politics. Didn't know congress could stoop so low

I wish it was .....then it would not have been so bad.

Maid's in Saudia Arabia is routinely abused physically, emotionally and sexually.

Rape is pretty standard ......if you read some of the horror stories from SA it will make your skin crawl.

Most nations have banned sending maids to SA due to this. India had banned it too ....but with our dire economic condition congress has now stooped to selling Indian women to SA to make money.

Most of the maids who go from India are ignorant about the conditions there ........once there, their passports are confiscated and they become slaves. Most don't even get paid ! ....there are stories of them being sexually abused almost daily by multiple men of the family they serve......its too sick to mention on pdf.

 

[xuxu1457]

Wow... I wonder how you managed to bring religion into this topic.... surely it must be some mental problem.


OT: The deficit comes largely due to rising imports of resources like oil, in which we simply lack. And with the rising demand for it, I dont see any chance that it will come down.

And our needs for jewelry is also a factor.

Look at this (import side), it should illustrate it:

Coal oil and gold are top 3 import, 18000tons gold in India

 

[xuxu1457]

The price of a barrel of crude oil,
18.3 $ in 1999, now 1000$, US welcome high price of oil, bcs, the higher price of oil, more US dollar the world need, 90% oil is trade with $

 

[sankranti]

Unlike super duper congress 'secular' pimps ........ NaMo is making contingency plans to tackle the next problem to affect our Remittance.

'Rambo' Modi's next mission: Save Indians from Saudi crisis - Rediff.com India News

Gujarat Chief Minister Narendra Modi has started preparing the ground to rescue Indians who are expected to be deported from Saudi Arabia as it goes ahead with its new job law, Nitaqat. Sheela Bhatt reports

Gujarat Chief Minister Narendra Modi has activated his officers to meet the crisis that is expected to be created by the new Saudi Arabian labour law Nitaqat, which is expected to come into effect from July 3

Sources told rediff.com that the Gujarat government has contacted Rajiv Mehrishi, secretary in the Overseas Indian Affairs ministry, and preparation are in full swing to meet the emergency.

The Modi administration thinks that once the new law is implemented, the Saudi government may start deporting Indian labour not fitting into the new conditions of their law.

The Nitaqat law makes it mandatory for local companies to hire one Saudi national for every 10 migrant workers.

The Saudi government has repeatedly stated that only "illegal blue-collar Indian workers" would be affected by the Nitaqat law, but India is likely to face unprecedented crisis if the government there implements the new law firmly.

Last month, Foreign Minister Salman Khurshid had met his counterpart Prince Saud Al Faisal in Jeddah to put forward the case of the Indian workers, who have been feeling insecure and fearing a likely crackdown by the Saudi authorities.

However, local companies can hire Indian workers who are either not having enough legal papers (living illegally in Saudi Arabia) or need the legal support to remain in the country beyond the July 3 deadline.

Out of Saudi Arabia’s 70 million expatriate workforce, around 20 per cent are Indians. Few local companies have come forward with job offers, but the deadline is too close to solve the issues.

Modi’s team has activated its machinery to face the eventuality of the Saudi government “forcing” Indian workers to return home

.

 

[Iggy]

Of the total loan by Gujarat state , International loan constitutes only 6% with an average interest rate of 4-5%. Gujarat GDP Growth rate is 10-11% .......That is what you were looking for, right ?

Rest is made up of Loan from Center, Provident fund, SDL and NSSF.

Foreign debt consists of everything. so in a single word..."Yes"

I am not bashing Gujrat.. What I am saying is, is it bound to happen? I mean every state is building Metros and other infras.. Lot of the states taken loan for these.. Here in Kerala only there are 3 metro rail to be constructed.. All these infra development are done by taking loans from various banks right?

 

[Backbencher]

I wish it was .....then it would not have been so bad.

Maid's in Saudia Arabia is routinely abused physically, emotionally and sexually.

Rape is pretty standard ......if you read some of the horror stories from SA it will make your skin crawl.

Most nations have banned sending maids to SA due to this. India had banned it too ....but with our dire economic condition congress has now stooped to selling Indian women to SA to make money.

Most of the maids who go from India are ignorant about the conditions there ........once there, their passports are confiscated and they become slaves. Most don't even get paid ! ....there are stories of them being sexually abused almost daily by multiple men of the family they serve......its too sick to mention on pdf.

Abbey yaar !! Chup ho ja.......rulaye ga kya

 

[sankranti]

I am not bashing Gujrat.. What I am saying is, is it bound to happen? I mean every state is building Metros and other infras.. Lot of the states taken loan for these.. Here in Kerala only there are 3 metro rail to be constructed.. All these infra development are done by taking loans from various banks right?

Whatever helps you sleep at night and vote again for congress..............

 

[cirr]

Even China has foreign debt of 8-9% so why this Kolaveri Di

You don't seem to know anything bout economics。

It is the NET debt that counts。

The fact that you have borrowed from overseas does not mean I have。

The fact that A company has borrowed from overseas don't not mean company B has。

Of course there are Chinese entities that have foreign debt and for all sorts of reasons。

That does not mean that China as a whole has NET foreign debt。

India is a completely different story。Its foreign debt is a lot higher than its foreign credit，for its foreign reserve。at 288 billion dollars，is tiny（less than 1/12 China's）。

More to the point：

China’s foreign debt at 7% of GDP = 600 billion dollars with 3400 billion in foreign reserves
India's foreign debt at 13% of GDP = 390 billion dollars with 288 billion in foreign reserves。

 

[AADHAAR]

I admit I contributed to increased India's debt.

India counts NRI deposits as debt ... and I increased my deposits significantly last year with great rates, both exchange rate and interest rate.

Most NRIs like myself have nil plans to actually convert rupees back to dollar... since that is the retirement PF fund, needed when I return to India.

As the news item states 70 billion of the "debt", is actually just NRI deposits.

And its like this year those deposits will go up substantially, because its the best investment option available.

We are benefitting at the expense of FIIs, who brought the funds in at 48 or 52, but are now withdrawing at 59.

At the same time, India's exposure to FII dollars reduces and is replaced by NRI deposits, which are stable. Good for both India and the NRIs.

 

[sankranti]

I admit I contributed to increased India's debt.

India counts NRI deposits as debt ... and I increased my deposits significantly last year with great rates, both exchange rate and interest rate.

Most NRIs like myself have nil plans to actually convert rupees back to dollar... since that is the retirement PF fund, needed when I return to India.

As the news item states 70 billion of the "debt", is actually just NRI deposits.

And its like this year those deposits will go up substantially, because its the best investment option available.

We are benefitting at the expense of FIIs, who brought the funds in at 48 or 52, but are now withdrawing at 59.

At the same time, India's exposure to FII dollars reduces and is replaced by NRI deposits, which are stable. Good for both India and the NRIs.

NRI deposit is indeed debt and for a good reason. It is money that have to be paid back.

Its strange that you see FII exiting India as beneficial to India....the reality is somewhat different.

Foreign institutional investors, or FIIs, who poured over $22 billion into Indian equities in 2012, have significantly reduced their holdings in struggling firms such as Moser Baer and Jindal Stainless.............

Take the case of Moser Baer. FII holding in the country's second biggest solar equipment maker was as high as 22% at the end of December 2011. But by the end of December 2012, their holding had come down to just 0.1%

The Moser Baer stock has shed over 72% of its value over the past one year, even as the Chinese government offered more incentives to private solar equipment manufacturers there, prompting even Indian institutional investors to head for the exit. The company has now clocked 11 consecutive quarters of net losses.

Similarly, overseas portfolio holding in Jindal Stainless has dropped from 21.58% to 1.27% between December 2011 and December 2012. That is hardly surprising given the fact that the company has incurred net losses in four out of the last five quarters because of subdued global economic conditions, exchange rate fluctuations and a mounting interest burden.

FIIs have also been paring holdings in companies such as integrated textiles firm Alok Industries, battery maker Eveready Industries and toothbrush maker JHS Svendgaard, in the face of a challenging business environment.

'Foreign institutional investors' in India are in an exit mode and in a 'no-holds barred' avatar and are deploying all possible means-ethical and unethical-to fully redeem their investments, according to private equity industry sources. FIIs are now realising it is better to invest in the US and Japan, than risk losing money in an underperforming market such as India.

Foreign investors have hauled out an astounding Rs 29,191 crore (over $5 billion) from the Indian debt and equities in less than a month due to the failing rupee, according to the provisional data on FII activities provided by the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).

What started as profit-booking in early 2008 accelerated into a massive sell-off following the collapse of US investment bank Lehman Brothers Holdings Inc., leading to a severe liquidity crisis. Most FIIs sold as their lenders, facing a cash crunch in their home markets, asked them to bring their money back. If this happens, the Indian companies are certain to incur huge losses, strangely for no apparent fault of theirs. Market factors can hardly be said to be in their control.

Lacklustre performance within the hedge fund industry has caused profit margins to shrink and that is taking its toll and reflecting in unpredictable behaviour.

According to the latest data, the number of registered FIIs in the country stands close to around 1,750. Many among them are seeing red and are in a mood to pull the plug on their investments.

Unconfirmed reports suggest big investment houses like Goldman Sachs, Morgan Stanley, JP Morgan, Mount Kellet, HSBC, Citigroup, Deutsche Bank AG and a few more have dropped hints at going for full redemption. If this happens, promoters like Kingfisher, Tulip Telecom, KS Oil and a few more are likely to spiral into chaos. Their stocks have already taken a nose-dive. Mount Kellett, a multi-strategy private investment firm, focused on global value, special situations and opportunistic investing, is already exhibiting signs of distress and exasperation, if industry insiders are to be believed

 

[Slayer786]

Well so much for for claiming that India does not beg for loans. LOL. It seems that it is falling behind. Maybe less spending on the military may help, but then fear of Pakistan will prevent that. So its good keep on taking loans and become beggars. Welcome to the club as we are also sadly one of the beggars country. But more the merrier............

 

[AADHAAR]

NRI deposit is indeed debt and for a good reason. It is money that have to be paid back.

Its strange that you see FII exiting India as beneficial to India....the reality is somewhat different.

FDI is much better than FII.

I don't see FII exiting as beneficial to India... but the FIIs that came due to loose QE policies was anyway "hot money". That is exactly why FDI is better than FII, because that's long term. They withdrew something like $ 7 billion (net amount) in the six months ($ 5 billion from debt capital markets and $ 2 billion from equity capital markets).

If they entered at say, 54-ish (last year) .. and now exiting at 59, while earning about 7-11% (about what debt or equities would have given them last year) .. net return would be just around what US treasuries earn.

NRI deposits are a different game .. because they are long term, if not permanent. (e.g. I have plans to retire in India.. both 54 and 59 look great exchange rates, given the real estate or stock prices in India). And the deposits are earning over 9% per annum (tax free).

I don't have a better investment return overseas .. naturally NRI deposits are the choicest investment option.