Sunday, 7 July 2013

A huge loss at the door.

Recently the indian currency plummeted to a record low outshining all other degradation records to reach the nadir with Rs. 60.35 equalling $1 while the GDP (Gross Domestic Product) is at its decade's record low ranging to 5.4% and the finance calculations are at sixes and sevens discomfiting the whole nation. Despite of getting the tagline of being world's third largest economy its figures on human resource development are still ignominious as according to a world Bank report more than 1.2 billion people still continue to live below the poverty line earning mere Rs. 65/day or Rs. 1950/month or Rs. 23,400/year. But still we continue to get assurance from our great dedicated leaders that "We shall overcome someday." It might be true that our leaders meant that one day we will overcome all the barriers in the act of bribing and scams or some other wrongful and illegitimate works.

But talking about such things won't work as such people (not all leaders) are brought up to satiate their own cupidity not to do the welfare of the nation. Lets get apolitical today.

Today lets talk about the perspective of prodigious International Investors towards India. 

India is one of the world's largest markets for which International investors have a great penchant to do business. But still India ranks 132 in the Global Ease of Doing Business Index out of 185 country (that rule doesn't apply for our political group and government employees). Even after such horrifying figures India ranks 2nd most promising place for overseas business. Red tapes and lack of transparency are the pivotal reasons in support of the motion. 

Industry as a whole is an in toto mess in the Indian Inc. As the rolling out of the news of FDI came many great investors packed their bag to arrive in India but still all of them face the same fear- the fear that profits are going to elude them.

Big global star investors have everything to lose here on the global front because of the lax punishment rules. They risk losing their reputation as well as resources.

Lets for example take a big global company which has been investing in India. If post facto, they discover that the other company which they are corroborating with are at fault and is indulged in illegal practices which the company didn't know before striking the deal, the case end up in nothing with the company at fault being fined a small amount of money or some small charges and this thing aggrandizes the fear of the foreign investors in India.

International investors have a strong real feeling that they can't work in India without bribing (they should know that even Indian investors can't do that without shedding out their pockets in front of the official babus). But in India the guarantee of work being done then, is too unreliable. 

Policy flip-flops leads to huge unreliable changes leading to aggravation of the problems of global investors and after that most of their experiences are transferred to their next generation barring they new generation from investing in India.

This is the truth and that's why all the financial calculations are going wrong in India. Investors are ready to invest in China, a place where you pay and you get and that's why China is emerging as a great power.

To prevent such things Indian government needs to apply transparency in our business rules or we are going to lose something lavish, auspicious and promising.


God bless you.
God bless India
Jai Hind, Jai Bharat
Jai Ma Bharti