US offers $1 mn to find Laden son, calls him 'emerging leader of Al-Qaeda'

Current Affairs:

The United States on Thursday offered a $1 million reward for information on a son of late Al-Qaeda leader Osama bin Laden, seeing him as an emerging face of extremism.

The location of Hamza bin Laden, sometimes dubbed the "crown prince of jihad," has been the subject of speculation for years with reports of him living in Pakistan, Afghanistan, Syria or under house arrest in Iran.

"Hamza bin Laden is the son of deceased former AQ leader Osama bin Laden and is emerging as a leader in the AQ franchise," a State Department statement said, referring to Al-Qaeda.
The State Department said that it would offer $1 million for information leading to his location in any country.

Bin Laden, who according to the United States is around 30, has threatened attacks against the United States to avenge the 2011 killing of his father, who was living in hiding in the Pakistani garrison town of Abbottabad, by US special forces.

US intelligence agencies increasingly see t he younger bin Laden as a successor to his father for the mantle of global jihad, especially as the even more extreme Islamic State group is down to its last sliver of land in Syria.

In 2015, bin Laden released an audio message urging jihadists in Syria to unite, claiming that the fight in the war-torn country paves the way to "liberating Palestine."

 And in a message a year later, following in the footsteps of his father, he urged the overthrow of the leadership in their native Saudi Arabia..Read More

Pak to return IAF pilot, Sushma at IOC meet, more: Today's top events

Current Affairs:

Before you start the day, take a look at the major events in the country

1. Pakistan to release IAF pilot Abhinandan

Pakistan will release the captured IAF pilot Wing Commander Abhinandan Varthaman today. Calling it a "peace gesture", Pakistan Prime Minister Imran Khan told a joint session of the Pakistan National Assembly that the India-Pakistan situation should not "get out of hand" or otherwise Islamabad "will have to retaliate".

The announcement about Wing Commander Abhinandan Varthaman -- taken prisoner a day earlier -- came hours after India demanded his release and ruled out talks on the issue, saying Pakistan cannot use this issue for a peace deal.

2. Sushma Swaraj in Abu Dhabi to address OIC conclave today

External Affairs Minister Sushma Swaraj on Friday reached Abu Dhabi to attend a conclave of the Organisation of Islamic Cooperation (OIC) as a Guest of Honour.

"Recognising India's engagement with the Islamic world. EAM Sushma Swaraj arrives in Abu Dhabi for the Ministerial Meeting of India has been invited by HH Sheikh Abdullah bin Zayed Al Nahyan, Foreign Minister of UAE as the 'Guest of Honour'," tweeted Ministry of External Affairs Sushma Swaraj.


 Swaraj will address the plenary of the two-day 46th session of the Council of Foreign Ministers of the 57-member body. She has been invited by UAE Foreign Minister Abdullah bin Zayed Al Nahyan to address the OIC meeting...Read More

Linking PAN with bank mandatory for refunds from March: I-T to taxpayers

Economy & Policy :

The Income Tax Department will "only" issue refunds via the e-mode into bank accounts of taxpayers beginning next month and they should link PAN with their accounts, the taxman said in its latest public communication.

The department said refunds will be sent to bank accounts as it will issue "only e-refunds from March 1, 2019."

Link your PAN (permanent account number) with your bank account toget your refund directly, swiftly and securely, the department said in a public advisory issued Wednesday.
It added the bank account could be either savings, current, cash or overdraft.

Till now, the department used to issue refunds to taxpayers either in their bank accounts or through account payee cheques, in a case-to-case basis depending on the category of taxpayers.

The communication added taxpayers can check if their bank account is linked with their PAN by logging onto the e-filing website of the department-- https://www.incometaxindiaefiling.gov.in
It said those who have not linked their PAN with their bank account should provide it to their home bank branch and also validate this over the e-filing website of the I-T Department.

Recently, the linking of the PAN with the Aadhaar-PAN has been made "mandatory" for those filing an Income Tax Return (ITR) and this procedure has to be "completed" by March 31 this year.

 As per data updated till early this month, the I-T Department has so far issued 42 crore PANs, of which 23 crore have been linked with Aadhaar...Read More

How will Indian economy do in 2019? 'Animal spirits' hint to a tame start

Economy & Policy

India’s economy started the New Year still hungover from the sluggish showing in end-2018, stoking expectations for more monetary stimulus from the central bank.
A set of indicators tracked by Bloomberg to measure “animal spirits” -- a term coined by British economist John Maynard Keynes to refer to investors’ confidence in taking action -- showed weaker indicators outnumber stronger ones 4-3 in January. A pullback in exports and business activity weighed on sentiment.

While India’s inflation-targeting central bank cut interest rates earlier this month to prop up economic growth, Governor Shaktikanta Das kept the door open for more when he noted that “growth impulses have weakened and there is a need to spur private investment and strengthen private consumption.”
While a rates review is scheduled for April, a pulse check for the economy is due later Thursday, when the government will release gross domestic product data for the quarter ended December. As of Wednesday, economists forecast expansion to have slowed to 6.8 percent from 7.1 percent in the previous quarter.

Here’s a breakdown of what the indicators suggest:

Business Activity

The seasonally adjusted Nikkei India Composite PMI Index was unchanged at 53.6 in January. While the manufacturing sector was in robust shape, the dominant services sector, which contributes more than 50 percent of GDP, showed signs of cooling.
A key factor that kept a check on services activity was a softer expansion in new work, with companies noting only a moderate increase in sales.

Exports

On a sequential basis, exports declined in January from a month ago. While shipments grew 3.7 percent on an annualized basis, economists doubt the pick up

 will be sustained as the global economy slows...Read More

Star India standalone profit after tax dips 44% in FY18 on higher expenses

Star India Logo

Companies News:

Star India’s standalone profit after tax was down 44 per cent in FY18 as expenses increased at a faster pace while revenue growth was sluggish. According to the company’s filings with the Registrar of Companies, Star India's revenue for FY18 rose 5.8 per cent to Rs 9,199 crore as against Rs 8,698 crore in FY17. The company’s net profit slumped from Rs 1,155 crore in FY17 to Rs 642 crore in FY18, a 44 per cent decline.

Data provided by financial data accessed by business intelligence platform Tofler indicates that the company’s total expenditure for the year grew 18.6 per cent to Rs 8,242 crore. In September 2017, Star India won the global media rights to the Indian Premier League for Rs 16,347.50 crore for five years (2018-2022).

Sources reveal that the Uday Shankar-led network’s payout to the Board for Control of Cricket in India (BCCI), included Rs 4,300 crore in the first year of the deal, while the remaining amount is to be equally divided over the rest four years. Sources said a part of the payout would have been accounted in FY18 financials, though the details are not available. This would account for the steep increase in Star India’s expenditure for the fiscal under consideration.

Other expenses, which accounted for 87 per cent of the total expenses, went up 20 per cent year-on-year to Rs 7,182.5 crore in FY18. Queries to Star India went unanswered.


 Star India hosted the first IPL season on its network from April 2018, and the revenues for the same will be reflected in the FY19 numbers. Industry estimates peg Star India’s revenue from IPL 2018 at Rs 2,000 crore.

India-Pak tensions: Vistara waives cancellation fee for Leh, 3 other cities

Companies News:

Vistara airlines stated that no cancellation fee would be charged if a ticket has been booked to or from Amritsar, Jammu, Srinagar or Leh for travel up to March 31.

For those passengers who could not make it to the airport to fly "to or from" the aforementioned cities on Wednesday, the airline said it is waiving the no-show fees and providing full refund.

"For customers booked to or from Amritsar, Jammu, Srinagar or Leh for travel up to March 31, 2019, we are offering free cancellation with full refund," Vistara said in a Twitter post on Wednesday night.
"For those who want to cancel their bookings to or from these cities for travel up to March 31, please email your request along with PNR details and phone contact...We will strive to respond to all such requests within 4 hours, between the hours of 7am and 11pm," the airline said.

Vistara said it would be entertaining cancellation with full-refund requests only. "We will not be accepting any date change requests for these flights within the period specified."

Due to rising tensions between India and Pakistan, the Airports Authority of India (AAI) issued a notice to airmen (NOTAM) earlier on Wednesday, saying flight operations at the airports in Srinagar, Jammu, Leh, Pathankot, Amritsar, Shimla, Kangra, Kullu Manali and Pithoragarh would remain shut from February 27-May 27.


 IndiGo tweeted that it would take zero-cancellation fee for all Indian soldiers who are on leave and have been asked to resume their duties.

Mukesh Ambani's plans to take on Amazon and Walmart hit a legal firewall

Companies News:

There’s a wrinkle in plans made by Asia’s richest man to take on Amazon.com Inc and Walmart Inc on his home turf in India: his telecom and retail businesses can’t share data.

Billionaire Mukesh Ambani, chairman of Reliance Industries Ltd., has outlined how he will marry the might of his group’s 9,900-plus retail stores and 280-million strong telecom user base to bolster his e-commerce venture. A senior Reliance executive says that any data sharing on customers between the two, could run into a legal wall.

“They are different companies so there are data privacy rules,” Ashwin Khasgiwala, Reliance Retail Ltd.’s chief financial officer said at a conference in Mumbai on Tuesday. “They’re different platforms,” he said while declining to elaborate on how the group plans to overcome it.
While its brick-and-mortar retail businesses are housed in Reliance Retail, the telecom operations are in a separate legal entity Reliance Jio Infocomm Ltd. Legal hurdles in sharing information can stymie a variety of lucrative uses of that data to sell more products to customers.

Ambani, who calls data the ‘new oil’ and has warned of ‘data colonization’ by overseas firms in India, can potentially find workarounds for the legal snarl. One option would be to merge the two Reliance units.


 Data sharing between “two legal entities is going to be very difficult,” said Abheek Singhi, head of Boston Consulting Group’s consumer practice in India. “My view would be at some point in time, at least from a legal entity perspective, it will come together.”Read More

Indigo to China Airlines: Worsening pilot shortage sours Asia's travel boom

Companies News:

An unprecedented travel boom in Asia has spawned new budget carriers and millions of first-time fliers, but a shortage of pilots is threatening to choke that demand.

Bamboo Airways Co. in Vietnam was the latest low-cost carrier to start services this year and more are expected to join the race. In Southeast Asia alone, LCCs have about 1,400 aircraft on order, compared with fewer than 400 for full-service carriers, according to CAPA Centre for Aviation. With the supply of pilots lagging behind, the airlines will struggle to find skilled cockpit crew.

“There’s a real crunch coming,” Peter Harbison, executive chairman of Sydney-based CAPA said in Singapore. “For new airlines, it’s much, much harder and it’s going to be a real struggle.”

Global traffic is set to double in the next two decades with the biggest increase expected in the Asia-Pacific region, where almost 4 billion passenger journeys are expected, according to the International Air Transport Association. Boeing Co. forecasts the region needs 16,930 new planes and about 261,000 pilots through 2037. That means the current fleets and the number of pilots will need to double during that period, according to the planemaker.

The strain is already showing. IndiGo, Asia’s biggest budget carrier by market value, last month decided to scrap dozens of flights every day through March after many of its pilots exhausted their annual limit on flying hours. Taiwan’s China Airlines Ltd. averted a crisis this month by agreeing to improve working conditions at an annual cost of almost $4 million after the pilots union, citing fatigue among other complaints, went on a seven-day strike.


 Even some outside Asia are running into problems: Emirates, the world’s biggest long-haul airline, said in April that a shortage of pilots forced it to cut flights...Read More

Mukesh Ambani world's 10th richest with networth of $54 bn: Hurun Report

Companies News:

With a networth of $54 billion, Reliance Industries Chairman Mukesh Ambani has broken into the global top 10 richest billionaire list complied by Hurun Research.

"The only Asian in the Top 10, Ambani's wealth is based on telecom, retail and energy, and bucked the poor stock market trend in India last year," Hurun Research said in a statement.
The Hurun Global Rich List 2019 is topped by Amazon chief Jeff Bezos for the second year in a row, while the senior Ambani is placed 10th with a network of Rs 3.83 trillion, thanks to a rally in RIL shares, which had topped the Rs 8-lakh-crore-mark last month. Ambani owns almost 52 percent in Reliance.

Anil Ambani, held in contempt of court by the Supreme Court last week for not paying up Ericsson Rs 540 crore, has lost over $5 billion, from $7 billion seven years ago to $1.9 billion this year, even though both the brothers got off with more or less same amount of inherited wealth.
"Having started off similarly after the break-up of the family wealth, Mukesh added $30 billion to his wealth in the past seven years, while Anil has lost over $5 billion during the same period," says the Hurun report.

Other individuals from India who were named in the list include S P Hinduja (40th), Azim Premji (57) and Cyrus Poonawalla.

Cyrus S Poonawalla, chairman of the Poonawalla group that run Serum Institute, with a networth of $13 billion is not only ranked as the fourth richest Indian but also breaks into the top 100 global ranking.


 Steel giant ArcelorMittal's Lakshmi Mittal stands at fifth position, followed by Kotak Mahindra's Uday Kotak ($11 billion), Gautam Adani ($9.9 billion) and Sun Pharma's Dilip Shanghvi ($9.5 billion)...Read More

De-escalatory diplomacy: Can Trump administration avert an India-Pak war?

Current Affairs:

So far, Donald Trump has had remarkably good luck: His administration has avoided a major international crisis not of its own creation. That luck has run out, however, with a deadly dispute between India and Pakistan. In previous showdowns on the subcontinent, the US played a critical role in preventing tensions between nuclear-armed rivals from getting out of control. We are about to find out whether an erratic, hollowed-out Trump administration is capable of a similar performance.

India-Pakistan tensions over the disputed area of Kashmir have persisted since the birth of the two nations in 1948. The current crisis broke when Pakistani militants carried out the suicide bombing of an Indian security convoy, killing more than 40 Indian troops. After more than a week of threats and counter-threats, Indian planes have bombed suspected militant camps on the Pakistani side of the so-called Line of Control — the first time Indian forces had carried out strikes on the Pakistani side in decades.

Although the amount of damage caused is unclear, the bombings raised concerns that Pakistan will feel compelled to respond militarily. The potential escalatory implications are severe — both countries have nuclear weapons, and Pakistani doctrine reportedly emphasizes using them early in a war with India due to its conventional military disadvantages.

Given the grave dangers of an India-Pakistan war — as well as recent Pakistani threats that it might respond to an Indian assault by derailing the peace talks in Afghanistan — the US has a clear interest in calming things down. In prior confrontations, in fact, American diplomacy has been vital to walking India and Pakistan back from the brink.


 During the Kargil War — a limited but fierce military conflict high in the mountains over Kashmir in 1999 — President Bill Clinton used personal diplomacy to convince Pakistani leaders to pull their fighters back from confrontation with Indian troops...Read More

RBI removes Allahabad Bank, Corp Bank, Dhanlaxmi from PCA framework

Economy & Policy:

The Reserve Bank of India (RBI) removed three commercial banks – Allahabad, Corporation and Dhanlaxmi -- from the prompt corrective action (PCA) framework. This will allow them to carry on normal business, especially lending.

Early this month, RBI had taken out three public sector banks - Bank of India (BoI), Bank of Maharashtra (Mahabank), and Oriental Bank of Commerce (OBC) out of the framework.
Mumbai-based IDBI Bank, Central Bank of India, Dena Bank, Chennai-based Indian Overseas Bank and two Kolkata-based lenders -- United Bank of India and UCO Bank -- are still under the PCA framework.

RBI in a statement said the Board for Financial Supervision (BFS), in its meeting held on February 26, 2019 reviewed the performance of banks under PCA. BFS noted that the Government of India has infused fresh capital on February 21, 2019 into various banks including some of the banks currently under the PCA framework.

RBI removes Allahabad Bank, Corp Bank, Dhanlaxmi from PCA framework

Two state-owned banks -- Allahabad Bank and Corporation Bank -- had received Rs 6,896 crore and Rs 9,086 crore respectively as capital from the Government of India. This has shored up their capital funds and also increased their loan loss provision to ensure that the PCA parameters were complied with.


 These two banks have also made the necessary disclosures to the Stock Exchange that post infusion of capital, the capital adequacy ratio (CAR), Common Equity Tier 1, Net Non-Performing Assets and Leverage Ratios are no longer in breach of the PCA thresholds...Read More

India defers higher duties on 29 key imports from US for 6th time

Economy & Policy:

India has decided to again defer the imposition of higher duties on 29 key imports from the US, for the unprecedented sixth time.

Originally set to go live from June 28, 2018, the tariffs have been repeatedly postponed by the government and are now expected to take hold from April 1 as opposed to March 2.
Despite them being notified by the Central Board of Indirect Taxes and Customs, the tariffs have been postponed repeatedly. In the meantime, four delegation level talks with Washington DC have been unable to solve the issue.

In response to an unilateral increase in steel and aluminium duties from India and other countries by the Trump administration, New Delhi had announced higher tax by up to 50 per cent on import of mostly agri goods like apples, almonds, walnuts and some industrial products.

The new taxes are proposed to rake in an estimated $240 million worth of additional taxes. Spread across sectors from which imports stood at $1.5 billion in 2017-18, New Delhi claimed the amount was equal to the estimated loss faced by India after the Trump Administration imposed a 25 percent extra levy on steel and 10 percent on aluminium products from many countries, including India in May, 2018.

Since then, other nations have been given an exemption by the US from the steel, aluminium duties. Now, we are working on a trade package to resolve this and other issues; a senior commerce ministry official said.


  This will include changes in import duties on the US information and communication technology products, and preferential tariffs for Indian exports, apart from data localisation norms, he added...Read More

Why Congress cannot afford speculation of Robert Vadra's political debut

Election News:

Just months ahead of the general elections, the Gandhi family faces a nagging dilemma: pressure from Robert Vadra to enter active politics.

Vadra’s desire to enter politics is hardly a secret. The Gandhi family’s palpable resistance to it is also evident. Vadra is a soft target and his political entry will only delight the BJP.

After Vadra hinted that he could contest in the election, posters have cropped up in his hometown of Moradabad, welcoming him as a Lok Sabha candidate. Union law minister Ravi Shankar Prasad, reacting to his speculated entry, said “Vadra could be important for the Congress but, we would not like to glorify him by reacting to it.”

After Priyanka Gandhi Vadra was appointed as the Congress party’s general secretary, it was only a matter of time before Robert Vadra followed. I asked Vadra if he planned to contest the general elections from Moradabad. Vadra said, “All in time. I will start working on it. But no hurry, as I have to earn it and people need to feel I can make a change.”

This means two things: clearly Vadra is extremely keen to enter politics but he is still hedging his bets by not saying that he will be the Congress’s Lok Sabha candidate from Moradabad.

Even the fevered speculation set off by Vadra’s hints is music to the BJP’s ears. Narendra Modi’s 2014 campaign hinged around the promise to jail the “damaadji” (son-in-law) for various cases of alleged corruption in land deals.


 Vadra, a controversial businessman, is facing several probes by the Enforcement Directorate for money laundering. Soon after Priyanka Gandhi’s entry into active politics, Vadra was summoned, along with his septuagenarian mother, by the ED...Read More

As investment in power projects dries up, Thermax eyes 'captive' biz boost

Companies News:

Thermax Ltd., an Indian maker of electricity-generation equipment, expects demand for captive power plants, typically small units to meet the internal needs of a business, to rise in the next 4-5 years as investments in large power projects slow down and state utilities struggle to give reliable supplies.

Industries such as food processing, textiles, pharmaceuticals and automobiles are expanding capacities and will look at generating their own power rather than depending on the unreliable grid, Thermax’s Managing Director M.S. Unnikrishnan said in an interview.

The expected revival of captive power in India points to a chronic problem in the country’s power industry -- indebted state utilities are unable to ensure reliable supply because they’re financially hamstrung to purchase adequate power. In addition, India’s thermal power sector suffers from fuel shortages, delayed payments and underutilized capacities causing investors to shun it. The industry is among the biggest contributors of bad loans in the country and lenders have struggled to find new investors.

Equipment orders for large thermal plants shrank to about 4 gigawatts in the year ended March 31, leaving more than three-quarters of the equipment-making capacity unused and intensifying price wars among constructors, Unnikrishnan said.

“Lack of investment in power plants in the country is going to compel many new investors to go for captive power plants,” said Unnikrishnan in an interview. “It is our bread and butter.”Generation capacity built for captive use has risen more than 26 per cent through 2018 to 51.5 gigawatts, according to data from the Central Electricity Authority.


 However, captive power is not without its problems. The plants are at a disadvantage compared with conventional power producers in summer months when power demand surges and supplies are prioritized to non-captive consumers...Read more

Jet will re-emerge as a robust airline: Goyal, Etihad CEO in joint message

Companies News:

Jet Airways and Etihad Airways are working together on a resolution plan to make the airline robust and viable, the two airlines said in a joint statement .
The communication comes in the backdrop of lessor actions to ground planes and threats from a section of pilots to stop flying over salary delays.

“Jet Airways, its principal shareholders, including Etihad Airways, and key financial stakeholders are working towards the finalisation and subsequent implementation of the bank-led provisional resolution plan (BLPRP) to ensure the carrier emerges as a financially strong and resilient airline. The approval of the BLPRP by the board of directors of Jet Airways last week was an important step in this direction,” Jet Airways Chairman Naresh Goyal and Etihad’s Chief Executive Officer Tony Douglas said in a joint statement.

“We are confident that once the BLPRP is finalised and implemented, Jet Airways will re-emerge as a viable and robust airline to reclaim its rightful place as the airline of first choice for its customers,” it said.

The statement comes four days after the extraordinary general meeting to approve the increase in authorised share capital and conversion of debt into equity. While Goyal skipped the meeting, Etihad abstained from voting on the resolution. Etihad, which owns 24 per cent in the airline, is also laying stiff conditions to infuse fresh capital. The Abu Dhabi-based airline had earlier demanded stripping Goyal of all his powers and also wants a right of first refusal and waiver from the open offer.


 Jet Airways faces a cash crunch leading to defaults in lease and loan payments. On Saturday, the airline informed the stock exchange that lessors had forced the grounding of two additional aircraft. The airline is also negotiating the early return of some of its leased planes because of fund shortage. Meanwhile pilots are also getting impatient over salary delay...Read More

Amazon steps up diversity hiring, adds ex-PepsiCo CEO Indra Nooyi to board

Companies News:

In what appears to be Amazon's effort in increasing gender diversity among directors, the technology giant appointed former PepsiCo chief executive officer (CEO) Indra Nooyi to its board. According to the company's regulatory filing, Nooyi will also join the audit committee of the board, reported Reuters.

"On February 25, 2019, the Board of Directors of Amazon.com, Inc. (the “Company”) elected Indra K Nooyi as a director of the company, and also appointed her to the audit committee of the board," Amazon wrote in an 8-K SEC regulatory filing.

Nooyi's appointment comes soon after Amazon added former Starbucks chief operating officer Rosaling Brewer to its board earlier this month, the second African-American to serve on its board. The company now has five women — Nooyi, Brewer, Jamie Gorelick, Judith McGrath and Patricia Stonesifer — on its 11-member board.

In May 2017, Amazon adopted a proposal to apply the National Football League policy — the Rooney Rule — that requires teams to consider minority candidates, reported CNN.

Nooyi, who was born in India, is the second high-profile addition to Amazon's board. She had stepped down as PepsiCo's CEO in October 2018 after a 24-year-tenure at the snack and beverage company. She had served as the company's CEO from 2006 to 2018. Prior to becoming the CEO, Nooyi had served as the company's chief financial officer. She had also spearheaded the company's efforts to focus on healthier food and snacks. She was among a handful of women of colour leading a Fortune 500 company.


 Nooyi has also served as a director on the board of oilfield services provider Schlumberger since April 2015.

WhatsApp completes a decade of operations: How it signed up 1.5 bn people

Companies News:

As WhatsApp completes 10 years of operations, the Facebook-owned messaging service continues to be one of the most powerful platforms globally as well as in India.
This comes despite the messaging platform being embroiled in a slew of controversies in most of the countries it operates in.

WhatsApp, which has been able to hold its weight against Twitter, Google and Microsoft’s Skype, has about 1.5 billion users in 180 countries who find it easy to send messages across different countries and mobile devices.

“It’s been 10 years since we started WhatsApp! Over the past decade, we’ve heard from people across the globe who are using WhatsApp to stay in touch with their loved ones, connect with their communities, and build businesses,” said WhatsApp in a blog post. “We’re excited to continue building features that make WhatsApp even more simple and reliable for everyone,” it added.
Even Internet giant Google has not been able to create a platform such as WhatsApp. Last December, Google officially announced that it was shutting down its smart messaging app Allo.

Even though WhatsApp did not go for country-by-country launch to start with, the app was pretty much available in Google Play Store for all users, including those in India. However, its popularity in the country really picked up around 2010-11, especially as several of its early features were designed keeping Indian conditions in mind, given the choppy connectivity and existence of devices of different makes.


 In fact, India was the first country where WhatsApp rolled out in-app video calling services in 2016, ahead of its global launch, underlining the importance of the market for the company. It launched payments through the Unified Payments Interface (UPI) for a select number of users last year, but has been awaiting regulatory clearance to launch the service formally...Read More

More defaults on cards? Realty cash crunch threatens stressed shadow banks

Economy & Policy:

India’s property developers are finding it hard to borrow money, raising the prospect of a wave of debt defaults from the sector hitting shadow lenders that are trying to survive a funding crunch of their own..

Developers have to repay about Rs 1.29 trillion a year on outstanding debt but generate less than half the amount in income that can be used for repayments, according to an analysis of about 11,000 companies by research firm Liases Foras. Rolling over loans and tapping private-equity funds will be a struggle for all but the established names, like Oberoi Realty Ltd. and Godrej Properties Ltd., said Niraj Rathi, an analyst at India Ratings and Research.
3
This drying up of liquidity comes on top of years of sluggish home sales, mounting inventories and falling prices. The difficulties were masked over as non-banks lenders rapidly increased exposure to developer loans not protected by rental revenues in recent years, according to Jefferies Group LLC. They accounted for more than a third of lending to the sector last financial year. Now there’s a risk of a vicious cycle developing between struggling lenders and distressed builders.

“Non-bank financial companies were facing developer defaults for more than 12 months but were brushing them under the carpet," said Vikas Chimakurthy, CEO, Kotak Realty Fund, a $1.5 billion realty-focused private equity fund. “We may start to see some of these issues come to the surface in the next few quarters.”


 Already real-estate and allied businesses account for the largest number of cases referred to India’s two-year-old bankruptcy process after a 2016 crackdown on cash, tightened regulations and a new tax damped sentiment. The metropolitan areas around national capital Delhi and financial capital Mumbai have been the hardest hit.Developers in the north have been jailed and home prices in the Mumbai dropped in 2018 for a second year...Read More

Modi launches PM-Kisan scheme, transfers Rs 2,021 cr to over 10 mn farmers

Economy & Policy:

Gautam Pawar, a farmer with a wiry build, hailing from Maharashtra, was mobbed by news channels, jostling for his “bite” after he had shared the stage with PM Narendra Modi at the Fertiliser Factory Ground here. The occasion was the launch of arguably the world’s largest farm sector scheme, titled the Pradhan Mantri Kisan Samman Nidhi Yojana (PM-Kisan). Modi handed over Kisan Credit Cards to a few farmers, including Pawar. The yojana is estimated to cost the exchequer Rs 75,000 crore annually.

It will benefit more than 120 million small and marginal farmers in India, including 21.4 million in Uttar Pradesh (UP), the biggest beneficiary among the states of the country.

With the farmer outreach through the launch of the scheme, the BJP laid down its template for the Lok Sabha polls, with the development agenda of 2014 having been replaced with the farm narrative. This comes at a time when the Congress has been insisting on farm loan waiver, especially after the party tasted success in the recent Assembly polls in the Hindi heartland states of Rajasthan, Madhya Pradesh, and Chhattisgarh.

Modi in his speech was high on symbolism. He wore a light green kurta along with a saffron-hued waistcoat, subtly signifying the balance between the BJP’s twin agendas of agriculture and Hindutva.
The high turnout on the concluding day of the BJP Kisan Morcha’s two-day national convention was aimed at blunting the Opposition tirade on the purported farm distress under the Modi dispensation.

 Modi spiced his modulated speech with descriptions of farm-related achievements of his government. “You know when the PM-Kisan scheme was announced in Parliament, the faces of Opposition leaders became grim,” he said, alleging Opposition leaders had launched a misinformation campaign or just spreading lies...Read More

Explainer: How GST cut on under-construction houses will help home buyers

Economy & Policy:

The Modi government announced a cut in the goods and services tax charged on sales of residential properties under construction as it looks to stimulate the economy by driving up consumption.
The Goods and Services Tax Council, comprising central and state finance ministers, announced that the new rate will be 5 percent, down from 12 percent, on all new housing projects except those that are classified as af fordable housing. The council also decided to slash the tax rate on affordable housing projects to 1 percent from 8 percent.However, builders will not be able to claim input tax credit (ITC) under the new GST rates. The new rates will be applicable from April 1.

The Council also made changes in the definition of affordable housing carpet area and cost. Properties costing up to Rs 45 lakh will now be considered as affordable. Houses with a carpet area of 90 square metre in metro cities and 60 square metre in non-metro cities will be considered affordable, the Council said.

Properties, where the construction has been completed, attract stamp duty, not GST. Hence, ready properties that have received the occupancy certificate (OC) do not attract GST.

What does this mean for home buyers?


 The GST Council’s decision will benefit buyers who are currently on construction-linked payment schemes. Data from property consulting form shows there are 5.88 lakh under-construction homes lying unsold in India's top 7 cities. Of these, 34% are priced below Rs 40 lakh alone. With affordable housing now being defined within Rs 45 lakh budget, more properties qualify for this ‘sweet spot category. The GST cut, coupled with this critical change in definition, will induce more sales in homes falling in this budget range...Read More

Can Bangladesh beat India in development race? Here's what economists say

Economy & Policy:

There’s an old theory that as an organism develops, it progresses through the same evolutionary stages travelled by its ancestors. Traditionally, economic development has worked in a similar way. When a country first shifts from agrarian poverty to industrialization, it tends to start out in light manufacturing, especially textiles. Later it masters more complex manufactured products, and finally, it progresses to inventing its own cutting-edge technology. Thus, each country’s development tends to look a bit that of nations that already went through the process.

That certainly seems to describe the experience of South Korea and Taiwan, which reached developed-country status relatively recently. It’s also the path being followed by China. As these countries got richer and their wages rose, low-tech labour-intensive manufacturing industries tended to migrate to countries with cheaper workers.

Recently, one of the biggest beneficiaries of this process has been Bangladesh. The garment industry accounts for more than 80 per cent of the South Asian nation’s export revenue, and about a fifth of its gross domestic product. In 2017, Bangladesh was the world’s second-largest apparel supplier after China, with 6.5 per cent of the market, outpacing neighbouring India despite the latter’s much larger economy.

This economic development path has no doubt come at a real human and social cost -- Bangladesh's workers suffer harsh working conditions and many industrial accidents, including a horrific factory collapse in 2013 that killed more than a thousand people. But overall, the tried-and-true industrialization strategy seems to be working. Real GDP per capita has doubled since the turn of the century, and Bangladesh appears to be on a similar exponential growth path as its neighbour India:


 India, meanwhile, has generally underperformed in manufacturing. The country does have a few bright spots -- for example, it’s now the world’s sixth-biggest auto manufacturer, with an immense factory cluster in Gujarat,and has been increasing its production of smartphones...Read More

How Saudi Prince's visit to India indicates Modi's West Asia policy success

Economy & Policy:

For a moment leave, aside the immediate context that has overshadowed Crown Prince Mohammed bin Salman’s (MBS’s) visit to New Delhi – the Pulwama attack and its Pakistan connection. The visit has actually been very fruitful and is yet another indicator that Prime Minister Narendra Modi’s West Asia policy remains the one area of achievement in an otherwise indifferent record of foreign policy.
That said, it is important to acknowledge that Modi is building on the legacy of his predecessors – Atal Bihari Vajpayee and Manmohan Singh. Balancing relations with Saudi Arabia, Iran, Israel or Qatar is never easy, but New Delhi has managed to do it with considerable success. Instead of torpedoing legacy, as it did in its relationships with China, Pakistan, or for that matter Nepal, the Modi government has built on it.

In some ways this is brought out by the chief guests that India has had for the Republic Day. In 2003 it was President Mohammed Khatami of Iran, in 2006 it was King Abdullah bin Abdul Aziz al-Saud, and in 2017 it was Crown Prince Mohammed bin Zayed al Nahyan.

The reasons for this are not too far to seek. West Asia or the Middle East is the most important external region for India from the point of view of its security and its economy. It is the closest source of hydrocarbons for a country which needs to import them in considerable amounts. Sixty-three per cent of India’s oil imports are from the region, but equally important is that some seven million Indian nationals work in the Saudi peninsula sending back remittances worth $40 billion to the country.


 The strategy of balancing relations in the region were evident in the Vajpayee period, and the UPA government continued the process. In a remarkable interview, one of the first by an Indian prime minister to a Saudi newspaper, Vajpayee described his policy in this way:...Read More

Videocon loan row: CBI lookout circulars against Chanda Kochhar and husband

Companies News:

The Central Bureau of Investigation (CBI) has issued lookout circulars (LOC) against former ICICI Bank chief executive and managing director Chanda Kochhar, her husband Deepak Kochhar, and Videocon Group's Venugopal Dhoot. The development comes weeks after the Enforcement Directorate (ED) registered a criminal case against them for alleged money laundering .

At the behest of the CBI, lookout circulars were issued against Kochhar's husband and Dhoot for all airports last year. According to The Economics Times, this is the first time LOC has been issued against Chanda Kochhar.

“LOCs were filed after the FIR and are mandatory in cases where such economic offences are alleged. In recent times, keeping an eye on travel plans is a top concern for regulators,” ET quoted the official as saying.

Earlier this month, ED had registered a criminal case for alleged money laundering against Kochhar, her husband, Venugopal Dhoot, and others, to probe alleged irregularities and corrupt practices in sanctioning a Rs 1,875-crore loan by the bank to the corporate group.

They said the central probe agency had filed an Enforcement Case Information Report (ECIR) under the Prevention of Money Laundering Act, taking cognizance of a CBI complaint filed on the matter last month.

An ECIR is the ED's equivalent of a police FIR.

The officials said the agency would probe if alleged kickbacks generated in the loan deal were laundered to create tainted assets.
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 The ED is soon expected to summon the accused named in the ECIR. The list of accused in the ED case is the same as that of the CBI, they said.

Tata Starbucks plans to improve sales, cut losses: CEO Navin Gurnaney

Companies News:

Joint venture company Tata Starbucks, which runs the Seattle-based cafe chain in India, is looking to cut losses and improve sales even as it expands its footprint in the country. Speaking to Business Standard in his first interaction since taking over as company chief executive officer (CEO) in January, Navin Gurnaney said the focus for the firm was on “unit economics” as it sought to widen operating profit. “It is all about thoughtful aggression,” Gurnaney said. “Our endeavour is to select our locations carefully where we can derive maximum mileage and sales throughput. Starbucks is positioned as the third place globally and that thinking guides us locally too,” he said.

In 2017-18 financial year (FY18), Tata Starbucks had reported its first operating profit at Rs 1.26 crore on a total revenue of Rs 345 crore. But at the bottom line level, the company remained in the red, reporting a net loss of Rs 30.5 crore (in FY18). While lower than the previous year (net loss of Rs 32.3 crore in FY17), analysts expect Tata Starbucks to break-even in the next few years as competitive intensity from the likes of Cafe Coffee Day, McCafe (from McDonald’s) and Barista apart from fast-food joints such as Domino’s, KFC and Pizza Hut (all of whom serve beverages) remains high.

Cafe Coffee Day, for the uninitiated, has over 1,700 stores, while McCafe has over 180 stores and Barista has over 200 outlets in India. In August last year, Coca-Cola globally acquired Costa Coffee in a $5.1-billion transaction, with plans to rejuvenate the brand here.


 Gurnaney said the JV company would close FY19 with a total store count of 144 in eight cities, adding nearly 30 stores in the current financial year. “We have steadily increased the number of stores we add per year. In 2017-18, we added 25 stores. The year before that (2016-17), we added 16 stores (per year) and before that (2015-16) we added 10 stores a year,” Gurnaney, who took over from Sumitro Ghosh, the erstwhile Tata Starbucks CEO, said. Ghosh returned to the US after a three-year stint with the JV company. He has picked up a role within the Starbucks organisation, Tata Starbucks said when announcing his exit in October.

Lok Sabha passes quota Bill for economically weak in general category

Politics News:

A landmark Bill seeking to provide 10 per cent reservation in jobs and education for the general category poor was passed by the Lok Sabha , with most parties backing the measure, described by the government as "historic" and in the country's interest. As many as 323 members voted in support of the Bill and only three voted against it, underlining the cross-party support the politically crucial Bill elicited.

Replying to an over four and half hour debate, Social Justice Minister Thawar Chand Gehlot sought to allay doubts raised by several Opposition members about the legislation's fate if challenged in the Supreme Court, saying he can say with confidence that the apex court will accept it. The Modi government's policy and intention is good and that is why it has enabled the reservation for the poor in the general category with constitutional amendment, he said, seeking support of all parties for the passage of The Constitution (124th Amendment) Bill 2019.

"Your doubts are unfounded. Put them to rest," he told Opposition members, many of whom dubbed the Bill as "jumla" and "gimmick", questioned its legal standing and accused the government of bringing it in haste with an eye on the Lok Sabha polls. Gehlot claimed that the Bill is in line with Prime Minister Narendra Modi's assertion when he assumed power in 2014 that his government would be devoted to the cause of the poor and work for "sabka saath sabka vikas (With all, development for all)".

"This is an historic decision and in the interest of the country," he said.


 Modi and Congress president Rahul Gandhi were present in the House when the Bill was passed. The government will table the Bill in the Rajya Sabha on Wednesday.

Reservation should be based on population, says BJP UP ally Apna Dal

Politics News:

Diverse views of BJP allies Suheldev Bhartiya Samaj Party (SBSP) and Apna Dal (Sonelal) in Uttar Pradesh on reservation to backward classes have become thorn in the flesh for the ruling party ahead of Lok Sabha polls.

While the SBSP has given 100 days' ultimatum to the BJP to implement recommendations of a social justice committee on backward reservations, the Apna Dal (Sonelal) has raised questions on the basis of the report without caste census.

The committee constituted in May last year had in its recommendations to the state government favoured division of backward castes in three categories -- backward, 'ati picchda' (very backward) and 'sarvadhik picchda' (most backward).

"The recommendations of the committee cannot be implemented without caste census. The government should first do caste census and then implement any such recommendation.

The reservation should be according to 'jiski jitni sankhya bhari, uski utni bhagidaari' (based on population). And when the government has not done any census, how can it provide quota within quota," Union minister and Apna Dal (S) leader Anupriya Patel said.

"If without caste census, the government implements the recommendations, it will be seen as a move of the government to create infighting among backwards," she said.


 On the other had, SBSP chief and cabinet minister Om Prakash Rajbhar said, "If the government does not implement recommendations of the report within 100 days, my party will leave the BJP and contest on all 80 Lok Sabha seats in Uttar Pradesh."

Congress has shown its true colours: BJP hits back over Pulwama allegations

Politics News:

Slamming the Congress for targeting Prime Minister Narendra Modi on the Pulwama attack, the BJP dubbed its allegations "shameful" and said they have exposed its "true colours" after it kept a "facade" of standing with security forces and the government following the terror strike.

At a party event in Andhra Pradesh, BJP president Amit Shah said it was condemnable that the Congress has "politicised" the Pulwama attack, in which 40 CRPF personnel were killed on February 14, and asserted that people have full trust in Modi's commitment of ending terrorism.

Citing media reports, the Congress claimed that Modi continued shooting for a film in the Corbett National Park for his "propaganda and publicity" and stayed put in the area till the February 14 evening despite the Pulwama attack taking place in the afternoon that day.

Congress' chief spokesperson Randeep Surjewala also claimed that the prime minister continued to "have tea, samosas, at seven o'clock in a PWD guest house" that evening.

Union minister and BJP leader Ravi Shankar Prasad rejected the Congress' charge as "shameful" and said Modi was there as part of an official programme related to tiger conservation.

"Was the Congress aware of the Pulwama attack? We were not aware," the BJP leader said in a jibe at the opposition party.


 The Congress attack on the Modi government would have pleased Pakistan, he said, adding that styles of what Pakistan prime minister Imran Khan and the opposition party have said may be different but their contents bore striking resemblance...Read More

India's coal power plants unhealthiest, should be upgraded or shut: Study

Current Affairs:

China and the US may be the largest producers of coal power, but power plants in India take the highest toll in the world when it comes to health, a global study claims.
Coal-fired power plants produce more than just carbon dioxide, which contributes to global warming, said researchers from ETH Zurich in Switzerland.

Coal burning also releases particulate matter, sulphur dioxide, nitrogen oxide and mercury -- thus damaging the health of many people around the world, they said.
To estimate where action is most urgently required, the researchers modelled and calculated the undesired side effects of coal power for each of the 7,861 power plant units in the world.

The results, published in the journal Nature Sustainability, show that China and the US are the two largest producers of coal power, but power plants in India take the highest toll in the world when it comes to health.

Central Europe, North America and China all have modern power plants, but Eastern Europe, Russia and India still have many older power plants equipped with insufficient flue gas treatment, said Stefanie Hellweg from ETH Zurich's Institute of Environmental Engineering, who led the study.
As a result, these power plants only remove a fraction of the pollutants -- while also often burning coal of inferior quality.


 "More than half of the health effects can be traced back to just one-tenth of the power plants. These power plants should be upgraded or shut down as quickly as possible," said Christopher Oberschelp, the lead author of the study.

Walmart CEO unfazed by new e-commerce law; hopeful of future with Flipkart

Companies News:

Walmart, the world’s largest retailer, it was “disappointed with the recent change in law and lack of consultation” with regard to the new e-commerce regulations in India. But, it was confident of the long-term prospects of its India unit, Flipkart.

The Bentonville-headquartered company, which announced its 2018-19 (Walmart follows the February-January financial year) results on Tuesday, got a major leg up from Flipkart in its gross sales, despite divestment of its Brazilian unit. However, its operating income and profitability took a hit due to continued investment in its Indian subsidiary.

“In terms of the regulatory environment in India, we are disappointed with the recent change in law but the team is working to ensure we are in compliance with the new rules. We hope for a collaborative regulatory process in the future. This will result in a level playing field,” said Doug McMillon, president and chief executive officer, Walmart, during an analyst call.

The change in e-commerce policy came into effect from February 1. It bars e-commerce companies from selling products through firms in which they have a stake. Companies operating in this space also cannot earn more than 25 per cent of total revenue from a single platform.

McMillon, however, said the new regulations have not shaken Walmart’s “confidence and excitement” about Flipkart’s long-term prospects as the business has behaved in line with their expectations.


 The company, he said, remained optimistic about India’s e-commerce opportunity, given the size of the market, the low penetration in the retail channel, and the pace at which it was growing.

IL&FS crisis: ED files PMLA case, conducts raids in Delhi-NCR, Mumbai

Companies News:

The Enforcement Directorate (ED) conducted raids on at least six locations in Mumbai and Delhi-NCR region in connection with the multi-crore IL&FS payment default crisis, officials said.

They said the action by the central probe agency came after it registered a criminal complaint under the Prevention of Money Laundering Act (PMLA) in the alleged payment default case and searches were being conducted at the residential locations of executives linked to the Infrastructure Leasing and Financial Services (ILFS) including its former chairman Ravi Parthasarathy and few others.
The raids are on in Mumbai and locations in Delhi and the national capital region (NCR) including Gurugram, they said.

Officials added that the investigators are looking at collecting additional evidences and documents apart from what they have obtained till now as part of the probe.

The debt crisis at the infrastructure lender came to light following a series of defaults by its group companies beginning September, 2018.

IL&FS has defaulted on payment of loans to SIDBI and along with its subsidiaries has a combined debt of over Rs 91,000 crore.

The ED's case is based on an FIR filed before the Economic Offences Wing (EOW) of the Delhi Police in December last year.


 Ashish Begwani, Director of Enso Infrastructures (P) Ltd, had filed the case against officials of IL&FS Rail Ltd for allegedly causing Rs 70 crore loss to his company by fraudulent means.

Over 7,000 cash-starved start-ups may benefit from angel tax relief

Companies News:

A series of changes made to the so-called angel tax by the government could give wing to 7,000 cash-starved start-ups, sources in the Department for Promotion of Industry and Internal Trade (DPIIT) said.

According to industry observers, an investment of around $12 billion might come from 2,000 angel investors and hundreds of smaller backers of start-ups by the end of the year. Of this, about $7 billion will come in the form of corporate investment.

After facing sustained pressure over the past three years from start-ups and venture capital funds over the tax, the government introduced changes in tax norms, giving in to most of the demands raised by the sector.

Providing a wider set of exemptions from the angel tax, the Centre allowed start-ups which have raised capital up to Rs 25 crore to claim tax benefits, as distinct from the earlier Rs 10 crore. It also gave a slew of waivers and a tweak in definition industry demanded.

Expecting big gains: DPIIT

According to officials at the DPIIT, around 6,700 firms of the 16,000 start-ups registered with the nodal agency will benefit from the changes in the angel tax over the next six months.

 “Around 7,000 firms will get immediate benefit. It would be many more over time. Many companies on our list have grown beyond just being start-ups and fall in the tax bracket,” an official from the DPIIT said...Read More

Money laundering case: Vadra appears before ED a day after skipping summons

Current Affairs:

Robert Vadra, brother-in-law of Congress President Rahul Gandhi, Wednesday appeared before the Enforcement Directorate (ED) in a money laundering case probe, officials said.
He reached the agency's office at Jamnagar House in central Delhi at about 10:30 AM along with his lawyers, they said.

This is a scheduled appearance of Vadra before the investigating officer (IO) of the case in a criminal complaint related to allegations of money laundering to purchase assets abroad.
He had skipped the summons Tuesday, citing bad health.

Vadra has been questioned by the ED in this case for 23 hours over three days of deposition earlier this month.

He has been asked by a Delhi court to cooperate in the probe being conducted by the central probe agency.

The ED case against Vadra relates to allegations of money laundering in the purchase of a London-based property located at 12, Bryanston Square worth 1.9 million GBP (British pounds), which is allegedly owned by him.

The agency had told the court that it has received information about various new properties in London which belong to Vadra. These include two houses, one worth 5 million GBP and the other valued at 4 million GBP, six other flats and more properties.


 Vadra has denied the allegations of possessing illegal foreign assets and termed them a political witch hunt against him. He said he was being "hounded and harassed" to subserve political ends...Read More

Pulwama attack: UN Secretary General calls on India, Pak to defuse tension

Current Affairs:

UN Secretary General Antonio Guterres has called on India and Pakistan to take "immediate steps" to deescalate tension that soared after 40 Indian security personnel were killed in an attack by Jaish-e-Mohammed in Pulwama.

"The Secretary General stresses the importance for both sides to exercise maximum restraint and take immediate steps to de-escalation, and his good offices are always available should both sides ask," the UN Chief's spokesperson Stephane Dujarric told reporters here Tuesday at the daily press briefing.

Dujarric was asked about a meeting Pakistan's Permanent Mission to the UN has sought with the Secretary General and also about Pakistani Foreign Minister Shah Mahmood Qureshi saying the UN must step in to defuse tensions between the two nations.
"...Looking at the situation in general between India and Pakistan, we're deeply concerned at the increase in tensions between the two countries in the wake of the attack on Indian security personnel on 14 February in Pulwama," Dujrraic said.

He said Pakistan's mission at the UN requested for the meeting with the Secretary General.
"We have seen press reports of a letter having been delivered to the UN. As far as we've ascertained, none has been received as of this very minute," he added.


 Last week, Guterres had "strongly" condemned the terror attack against security personnel in Jammu and Kashmir's Pulwama district, perpetrated by Pakistan-based terror group Jaish-e-Mohammed, calling for those behind the attack to be brought to justice...Read More

Pulwama attack: Sitharaman slams Pak for seeking proof of its involvement

Current Affairs:

Defence Minister Nirmala Sitharaman lammed Pakistan for seeking proof of its involvement in the Pulwama terror attack and said it was India which has been providing evidence but the neighbouring country has not taken any action on it.

She was reacting to Pakistan Prime Minister Imran Khan's message to India to share 'actionable intelligence' if his country was involved in the terror attack for any action.

"Since the Mumbai attacks, not just this government, the earlier government also had sent dossiers after dossiers, evidence after evidence, what action has Pakistan taken on them?" she asked.
Also, at every level India has been following the process of law and the Mumbai attackers had been brought to book and punished by court of law, she told a press conference here.
"In Pakistan not even the first court is doing its job. There is nothing for Pakistan to show," she added.

Reacting to Khan's comments over the attack, Sitharaman said she would not want to say how the government was going to respond to it as no word is sufficient enough to assuage the anger and disappointment of every person of the country.

Prime Minister Narendra Modi has already allowed the Indian Army to respond at any given time and as they see fit, Sitharaman said.


 On the defence forces morale following the Pulwama terror attack, Sitharaman said "The morale is not affected at all, they are absolutely ready to do their job...Read More

Strategies for Pulwama-like attacks trace back to ISI HQ: Christine Fair

Current Affairs:
In the wake of the Pulwama terrorist attack, India needs a discussion about what is in its best interest — should it continue with its strategy of restraint or change its behaviour — says C Christine Fair, author of In Their Own Words: Understanding Lashkar-e-Tayyaba and Fighting to the End: The Pakistan Army's Way of War. Fair tells Bhaswar Kumar in an interview that terrorist attacks like Pulwama will continue because this is the only way Pakistan can show India that it is not defeated, no matter how powerful India becomes. Edited excerpts:

Indian governments do not say so. Unlike the US, India does not have a written National Security Strategy (NSS). Each American President has to issue an NSS and this is the standard by which informed citizens can monitor the budget and other applications of national powers. Few countries have NSS documents. These are helpful documents, as they effect a public debate and provide a road map for the elected government.

So, though one could not be certain, one could infer a general avoidance of confrontation from the Indian government's behaviour. And, it seems to be a constant since the post-Kargil time.
India understands that if it can keep focusing on its economy, it can continue increasing its defence allocation in real terms, with its overall economy continuing to grow. That will allow India to outgrow the Pakistan threat.


 For its part, Pakistan understands that it has an army that cannot win the wars that it starts, and nuclear weapons that it cannot use, so it must demonstrate that India's hegemonic goals are not unchallenged. This means Pakistan must attack India through proxy actors under its nuclear umbrella, just to demonstrate that India has not defeated it or forced it into accepting the status quo...Read More

UAE to invest in refining, petrochemical projects, oil storage in India

International News:

Betting big on rising oil demand in the world's third largest energy consumer, oil-rich UAE it is looking at investing more in refining and petrochemical projects as well as stocking more crude in India.

UAE's Abu Dhabi National Oil Co (ADNOC) and its partner Saudi Aramco have jointly taken a 50 per cent stake in the planned $44 billion refinery-cum-petrochemical complex at Ratnagiri in Maharashtra.

It has hired space at the underground strategic oil storages built at Mangalore and Padur in Karnataka.
"We are looking at expanding investment portfolio in the downstream sectors (particularly) oil refining and petrochemicals," said Sultan Ahmed Al Jaber, Minister of State in the United Arab Emirates and CEO of the ADNOC.

UAE, he said, is looking to go beyond merely selling crude oil to India and wants to develop a strategic partnership.

"We are only looking at strategic partnership given that we can also bring our own crude," he said. "India is not only an important market for us. India is a very strategic partner."
UAE, he said, is looking to expand its cooperation with India and it will look at enhancing avenues of cooperation.

The minister was talking to reporters after receiving Lifetime achievement award at the Petrotech Conference from Prime Minister Narendra Modi.


 Like other major producers, Aramco and ADNOC are looking to lock in customers in the world's third-largest oil consumer through investments...Read More

US-China talks to resolve trade war will resume in Washington today

International News:

A new round of talks between the United States and China to resolve their trade war will take place in Washington, with follow-up sessions at a higher level later in the week, the White House said .
The talks follow a round of negotiations that ended in Beijing last week without a deal but which officials said had generated progress on contentious issues between the world's two largest economies.

The talks are aimed at "achieving needed structural changes in China that affect trade between the United States and China.

The two sides will also discuss China's pledge to purchase a substantial amount of goods and services from the United States," the White House said in a statement.

The higher-level talks will start and be led by US Trade Representative Robert Lighthizer, a strong proponent of pressing China to end practices that the United States says include forced technology transfers from US companies and intellectual property theft.

China, which denies that it engages in such practices, confirmed that Vice Premier Liu He will visit Washington on Thursday and Friday for the talks.

The White House said Treasury Secretary Steven Mnuchin, Commerce Secretary Wilbur Ross, economic adviser Larry Kudlow and trade adviser Peter Navarro would also take part in the talks.

 US tariffs on $200 billion in imports from China are set to rise to 25 percent from 10 percent if no deal is reached by March 1...Read More

Facebook behaved liked 'digital gangsters' by flouting privacy laws: UK MPs

International News:

A scathing British parliamentary report branded Facebook "digital gangsters" that knowingly violated data privacy and competition laws.
Lawmakers' 18-month investigation into disinformation and "fake news" also accused Facebook of failing to faithfully fight Russia's alleged attempts to influence elections.

Cultural select committee chair Damian Collins said Facebook "deliberately sought to frustrate our work by giving incomplete, disingenuous and at times misleading answers to our questions." Facebook co-founder and chief Mark Zuckerberg turned down three requests to appear before the committee.

"Companies like Facebook should not be allowed to behave like 'digital gangsters' in the online world, considering themselves to be ahead of and beyond the law," the report said.
"Social media companies cannot hide behind the claim of being merely a 'platform' and maintain that they have no responsibility themselves in regulating the content of their sites." The committee urged a compulsory code of ethics for all tech companies that would be overseen by an independent regulator.

It said Facebook should be obliged to take down "sources of harmful content" and disinformation.

 "We further recommend that the Government launches an independent investigation into past elections - including the UK election of 2017, the UK Referendum of 2016, and the Scottish Referendum of 2014 - to explore what actually happened with regard to foreign influence," the report said...Read More