Junk Rating Looms for India

[freshmint]

Life expectancy: Life expectancy by country

The reference link to WHO is right below the article.

Dog meat markets still thriving in China | Farm Press Blog

Animal protein is highly exaggerated. Look at the bodies and IQ of Maoists in China who have been eating every creature that walks on earth for the past 3000 years.

 

[Chanakya's_Chant]

US economy is much bigger than Indian economy. So even a 1% growth is bigger than the 4.4% growth in India.

Also, its the rupee that is hitting the record low against the dollar. Not the other way around. US may be printing too much greenbacks, but India is in a much worse financial state despite what US is doing. Lets put it this way, when India is falling to record lows against USD, USD was actually weakening against major currencies. So this shows that India is in a financial dire strait. india is in affect in junk status.

Yes indeed the recent economic slowdown has made the Indian economy a bit vulnerable than its peers but the damage has not been done to an extent where the rating agencies can downgrade India's ratings to junk status, the worst is over for the Indian economy and now our economy is in the recovery mode. The news on the economy will only start getting better from now and it seems to be reflecting a growing view in many quarters that the Indian economy has bottomed out. I have many reasons to have faith in the same fact:-

->Rising exports in the second quarter; Outbound shipments of goods are projected to grow nearly 24% in the four months to December, and by about 16% during the entire 2013-14 fiscal, helped by a recovery in developed countries and newfound competitiveness because of nearly 15% rupee depreciation in the current financial year.

->The possibility that the US’s problems would be temporary and that lawmakers in that country would arrive at a fiscal deal.

->Stronger agricultural production on part of the good monsoons this year.

->The revival of many projects that were stalled. The Cabinet Committee of Investment was created to fast-track stalled projects. Since January, it has revived, 171 projects involving a total investment of Rs 1.69 lakh crore (or trillion) and work has been initiated on the same as expected.

Perhaps the first signs of revival would likely happen in the sector that went down first – large infrastructure projects. It was in 2010-11 that the first large projects started stalling which have been revived recently by the Cabinet Committee of Investment...

Source(s):- Indian exports set to grow 24% in the four months to December: FIEO report - Economic Times
Indian exports up 13% in August, trade deficit dips to $11 bn
CCI clears 171 projects worth Rs 1.69 lakh crore - Economic Times
http://www.thehindubusinessline.com...ives-for-consumer-durables/article5214505.ece
Monsoon-dependent sectors could make for good investment - Business Today
India

 

[idune]

India desperately cutting off public funding of development project just to avoid junk status. Less development means less growth on GDP. This is vicious cycle.

India Targets $3.2bn Public Spending Cut to Avoid Junk Credit Status

India will have to significantly cut its government spending in order to reach its budget deficit target and to avoid a downgrading of the country's credit rating to 'junk' status.
India Targets $3.2bn Public Spending Cut to Avoid Junk Credit Status - IBTimes UK

 

[tranquilium]

Dog meat markets still thriving in China | Farm Press Blog

Animal protein is highly exaggerated. Look at the bodies and IQ of Maoists in China who have been eating every creature that walks on earth for the past 3000 years.

Funny you should talk about IQ:

Nations and intelligence - Wikipedia, the free encyclopedia

 

[Destro]

Yes indeed the recent economic slowdown has made the Indian economy a bit vulnerable than its peers but the damage has not been done to an extent where the rating agencies can downgrade India's ratings to junk status, the worst is over for the Indian economy and now our economy is in the recovery mode. The news on the economy will only start getting better from now and it seems to be reflecting a growing view in many quarters that the Indian economy has bottomed out. I have many reasons to have faith in the same fact:-

->Rising exports in the second quarter; Outbound shipments of goods are projected to grow nearly 24% in the four months to December, and by about 16% during the entire 2013-14 fiscal, helped by a recovery in developed countries and newfound competitiveness because of nearly 15% rupee depreciation in the current financial year.

->The possibility that the US’s problems would be temporary and that lawmakers in that country would arrive at a fiscal deal.

->Stronger agricultural production on part of the good monsoons this year.

->The revival of many projects that were stalled. The Cabinet Committee of Investment was created to fast-track stalled projects. Since January, it has revived, 171 projects involving a total investment of Rs 1.69 lakh crore (or trillion) and work has been initiated on the same as expected.

Perhaps the first signs of revival would likely happen in the sector that went down first – large infrastructure projects. It was in 2010-11 that the first large projects started stalling which have been revived recently by the Cabinet Committee of Investment...

Exports usually get a temporary boost in the short term in a collapsed currency as it takes time for the inflation to work its way into the production process as input costs rise overtime. The Indian Rupee was around 40 a few years ago and now over 60 but India has not become an export powerhouse.
That's if you actually believe the numbers coming out of India because I think Indian export numbers and other numbers are grossly exaggerated for political gains.

The Indian economy is extremely dependent on Fed QE, so the next time they hint at tapering QE, watch the Indian Rupee to collapse further. India is not based on production but on constant short-term hot money inflows to shore up the current account deficit. The fact that the mere mention of QE tapering by the Fed caused the Indian Rupee to collapse and when they said they won't taper it caused the Rupee to recover a little shows the Indian economy is build on quicksand. It's a giant QE bubble India is riding, the day QE stops is the day the Indian growth story comes to an end.

Indian government tells the Indian economy is growing around 4-5% but the real numbers will show the Indian economy is in a recession now. You don't have a currency collapse like India had and expect the economy to grow 4-5%.

Besides your chart is a projection based on a survey by the Indian government. It's not even actual numbers. The actual numbers from India is suspect let alone a survey. Anyone believing the Indian government is a complete fool.

 

[shuttler]

Why IMF cut India's growth forecast
Press Trust of India | Updated On: October 08, 2013

Washington: The International Monetary Fund (IMF) today lowered its projection of India's growth rate to 3.75 per cent in 2013 from 5.7 per cent estimated earlier on account of poor demand and weak manufacturing and services sector performance.

The IMF, in its latest World Economic Outlook report, also said India is among the economies that may require more tightening to address inflation pressure.

More here:

Why IMF cut Indias growth forecast - NDTVProfit.com

 

[American_Millenium]

another india bashing thread by a false flag scum. good job mods.

Another incompetent douche-slime with severe personality disorders.

Someone should check your IP to see where you really live.

 

[faithfulguy]

Dog meat markets still thriving in China | Farm Press Blog

Animal protein is highly exaggerated. Look at the bodies and IQ of Maoists in China who have been eating every creature that walks on earth for the past 3000 years.

Base on your logic, than if Indians start to eat dog meat, than Indian economy would quadrdriple?

Yes indeed the recent economic slowdown has made the Indian economy a bit vulnerable than its peers but the damage has not been done to an extent where the rating agencies can downgrade India's ratings to junk status, the worst is over for the Indian economy and now our economy is in the recovery mode. The news on the economy will only start getting better from now and it seems to be reflecting a growing view in many quarters that the Indian economy has bottomed out. I have many reasons to have faith in the same fact:-

->Rising exports in the second quarter; Outbound shipments of goods are projected to grow nearly 24% in the four months to December, and by about 16% during the entire 2013-14 fiscal, helped by a recovery in developed countries and newfound competitiveness because of nearly 15% rupee depreciation in the current financial year.

->The possibility that the US’s problems would be temporary and that lawmakers in that country would arrive at a fiscal deal.

->Stronger agricultural production on part of the good monsoons this year.

->The revival of many projects that were stalled. The Cabinet Committee of Investment was created to fast-track stalled projects. Since January, it has revived, 171 projects involving a total investment of Rs 1.69 lakh crore (or trillion) and work has been initiated on the same as expected.

Perhaps the first signs of revival would likely happen in the sector that went down first – large infrastructure projects. It was in 2010-11 that the first large projects started stalling which have been revived recently by the Cabinet Committee of Investment...

Source(s):- Indian exports set to grow 24% in the four months to December: FIEO report - Economic Times
Indian exports up 13% in August, trade deficit dips to $11 bn
CCI clears 171 projects worth Rs 1.69 lakh crore - Economic Times
http://www.thehindubusinessline.com...ives-for-consumer-durables/article5214505.ece
Monsoon-dependent sectors could make for good investment - Business Today
India

Thanks for provide links and debate the topic. Very different from freshmint's personal and racial attack post #35. Do you support banning this guy for his post.

 

[Pakistanisage]

Third world country with junk credit rating where politicians campaign for more toilets than temples..... India shupa-powah 2030!

Indian Credit rating has always BBB which is the last rung of Investment Grade Credit Rating. A Minor slip in the Economy will send the Credit Rating to BB which is Junk Status.

 

[fast]

A junk nation deserves its junk rating.

 

[Chinese-Dragon]

Why IMF cut India's growth forecast
Press Trust of India | Updated On: October 08, 2013

Washington: The International Monetary Fund (IMF) today lowered its projection of India's growth rate to 3.75 per cent in 2013 from 5.7 per cent estimated earlier on account of poor demand and weak manufacturing and services sector performance.

The IMF, in its latest World Economic Outlook report, also said India is among the economies that may require more tightening to address inflation pressure.

More here:

Why IMF cut Indias growth forecast - NDTVProfit.com

3.75% growth! That is dire.

I thought India's finance minister Chidambaram said that India would surpass China's GDP growth rate by 2010?

 

[Chanakya's_Chant]

Exports usually get a temporary boost in the short term in a collapsed currency as it takes time for the inflation to work its way into the production process as input costs rise overtime. The Indian Rupee was around 40 a few years ago and now over 60 but India has not become an export powerhouse.
That's if you actually believe the numbers coming out of India because I think Indian export numbers and other numbers are grossly exaggerated for political gains.

The Indian economy is extremely dependent on Fed QE, so the next time they hint at tapering QE, watch the Indian Rupee to collapse further. India is not based on production but on constant short-term hot money inflows to shore up the current account deficit. The fact that the mere mention of QE tapering by the Fed caused the Indian Rupee to collapse and when they said they won't taper it caused the Rupee to recover a little shows the Indian economy is build on quicksand. It's a giant QE bubble India is riding, the day QE stops is the day the Indian growth story comes to an end.

Indian government tells the Indian economy is growing around 4-5% but the real numbers will show the Indian economy is in a recession now. You don't have a currency collapse like India had and expect the economy to grow 4-5%.

Besides your chart is a projection based on a survey by the Indian government. It's not even actual numbers. The actual numbers from India is suspect let alone a survey. Anyone believing the Indian government is a complete fool.

First of all exports are not the only working on which we are working on; Balance of trade and Current Account Deficit are more important as of now atleast for this fiscal year and secondly, Seventy percent of the projection is only based on the order books of the exporters till December. And the ground report concerning the same is also positive making atleast 70% of those exports confirmed on the go. Measures announced in the revised FTP (foreign trade policy), and rupee fall will yield a positive result. The low base of last year will also contribute to high growth. Exports rose 11.6% in July and 13% in August, helping to narrow the trade deficit to a less worrying $12 billion a month from $20 billion earlier. Now these are not merely speculations but facts too which denote that the exports are increasing month by month the immediate result of which is the September trade deficit which dipped to $6.76 billion; a two year low.

#In what will give comfort to foreign investors as well as global rating agencies is the fact that there is increasingly a sense amongst analysts that the CAD problem is under control. $70 billion that the government proposed as CAD after calculating it with us seems now imminently reachable and it will be at all cost.

The current account deficit grew less than expected in the June quarter and is tipped to ease in coming months as a pick-up in exports and lower gold imports improve the trade balance, offering relief to the battered rupee.There was a period where analysts were competing with each other to find a bigger number for the rupee-dollar exchange rate, now most people say wherever it is, few rupees this way, that way is a reasonable level.

Apart from this the trade deficit for the month of September reduced to $6.76 billion versus $10.9 billion in August. While exports were up 6% to $27.68 billion versus $26.1 billion in August, imports were down 7.1% to $34.44 billion versus $37.05 billion.

The trade deficit for the period April-September stood at $80.12 billion versus $91.82 billion year-on-year. The exports for the April-September period stood at $152.11 billion, up 5.14% year-on-year. The imports for the same period were reported at $232.23 billion, down 1.8% year-on-year which will imminently lead to the revival of the rupee and the economy as whole for it is bound to continue like that only.

And please the growth rates and other indicators are drawn by the Reserve Bank of India (RBI) which has got nothing to do with the government and the election season in India and let the RBI update its figure we will come to know of the ground situation. BTW no matter what the hell this corrupt and inefficient Congress led UPA government tries to do to save itself at the center but its a known fact that NOTHING CAN SAVE IT FROM THE WRATH OF ITS CITIZENS; Change is inevitable....

Sources(s):- September trade deficit dips to $6.76 billion, gold imports decline sharply - The Economic Times
CAD can be contained at $70 billion this fiscal: Raghuram Rajan - Indian Express
Twin deficits widen, trade gap may soon ease | Reuters

#At last to conclude as I said in my earlier post that the news on the Indian economy will only start getting better from now onwards; maybe here comes the first one this morning - Trade deficit for the month of September reduced to $6.76 billion; a two year low and $70 billion that the government proposed as CAD after calculating it with us seems now imminently reachable and it will be at all cost; a fact which will give comfort to foreign investors as well as global rating agencies. And as far as the "junk status" hype is concerned let it be there for the satisfaction of the cheerleaders all around; no offence afterall!!!

 

[Chanakya's_Chant]

6 reasons why economy will strengthen from now onwards:-

#1 The country has had above normal monsoons this year and this could heighten economic activity in the second half of the year as good crops lead to higher consumption amongst half of India’s population.

#2 The run up to 2014 general elections leads to higher spending from official and non official sources and this leads to increased economic activity.

#3 Eurozone economy is showing signs of coming out of a recession with manufacturing showing uptick over the last two months and GDP growth coming in positive for the second quarter of 2013. Eurozone coming out of recession is good for global trade and its effects will be felt on India’s exports going forward.

#4 US economy is showing strength with unemployment rate down to multi year lows and equity indices at close to record highs. Strength in the world’s largest economy will filter down to India.

#5 China’s economy is showing signs of bottoming out with growth stabilizing at around 7.5% levels, exports picking up for the last couple of months and domestic consumption showing strength. Stability is the second largest economy in the world leads to improved economic activity across the globe.

#6 Despite the Fed indicating withdrawal of additional stimulus through bond purchases, interest rates in the US, Eurozone and many other parts of the world will stay at record low levels for a while to come. Risk aversion by global investors based on prospects of higher rates will die down and flows will resume into countries like India that faced the brunt of FII selling in the May- August 2013 period.

 

[walle]

6 reasons why economy will strengthen from now onwards:-

#1 The country has had above normal monsoons this year and this could heighten economic activity in the second half of the year as good crops lead to higher consumption amongst half of India’s population.

#2 The run up to 2014 general elections leads to higher spending from official and non official sources and this leads to increased economic activity.

#3 Eurozone economy is showing signs of coming out of a recession with manufacturing showing uptick over the last two months and GDP growth coming in positive for the second quarter of 2013. Eurozone coming out of recession is good for global trade and its effects will be felt on India’s exports going forward.

#4 US economy is showing strength with unemployment rate down to multi year lows and equity indices at close to record highs. Strength in the world’s largest economy will filter down to India.

#5 China’s economy is showing signs of bottoming out with growth stabilizing at around 7.5% levels, exports picking up for the last couple of months and domestic consumption showing strength. Stability is the second largest economy in the world leads to improved economic activity across the globe.

#6 Despite the Fed indicating withdrawal of additional stimulus through bond purchases, interest rates in the US, Eurozone and many other parts of the world will stay at record low levels for a while to come. Risk aversion by global investors based on prospects of higher rates will die down and flows will resume into countries like India that faced the brunt of FII selling in the May- August 2013 period.

NONE of these address core issues that plagues the Indian economy. Face it, without drastic reforms your economy is going down the gutter.

 

[Contrarian]

3.75% growth! That is dire.

Indeed it is.

I thought India's finance minister Chidambaram said that India would surpass China's GDP growth rate by 2010?

I hope Chinese people are aware of the differences between projections, attempt and finally the results.

Or is this a simple attempt to troll? In which case, there are many things that I would like to say about the high IQ nation.