Parrikar's last rite, full IPL schedule, new Goa govt : Today's top events

Current Affairs

Before you start the day, take a look at the major events in the country that are likely to make headlines today. From Manohar Parrikar's last rites to full IPL schedule, here are some of the most important news events scheduled for today that will be keenly watched.

Muzaffarpur shelter home case: Delhi court to pass order on framing of charges today

A Delhi court is likely to pronounce on Monday its order on framing of charges in the Muzaffarpur shelter home sexual assault case in which 21 accused have been chargesheeted by the CBI.

Several girls were allegedly raped and sexually abused at an NGO-run shelter home in Muzaffarpur, Bihar, and the issue had come to light following a report by the Tata Institute of Social Sciences (TISS).

All the accused have denied the allegations levelled against them by the CBI and said there was not enough evidence to prosecute them.

Blackstone-Embassy to launch India's first REIT on Mar 18 to raise up to Rs 4,750 cr
Global investment company Blackstone and realty firm Embassy will hit the capital market with the country's first real estate investment trust (REIT) to raise up to Rs 4,750 crore, while it has received Rs 876-crore commitment from strategic investors.


 Embassy Office Parks, joint venture of Blackstone and Embassy, has entered into unit subscription agreements with strategic investors to allot them 2,92,08,800 units for Rs 876.3 crore.The REIT issue will open on March 18 with a price band of Rs 299-300 per unit. The issue closes on March 20. Read on...

Political risks to rate cut, what India's women economists predict for 2019

Economy & Policy:

India’s economy, among the world’s fastest growing, faces risks from a global slowdown and political instability after a national election. That’s the view of the top women economists covering the nation.

Slower growth and benign inflation will boost chances of back-to-back interest rate cuts by the Reserve Bank of India in April, according to the three analysts, who are ranked among the most accurate female forecasters in Bloomberg surveys on growth and inflation. The rankings are based on two years of contributed surveys.

Political risks are also intensifying as tensions with Pakistan mount and Prime Minister Narendra Modi’s re-election bid gets more heated.

Here’s a look at what the economists expect for the rest of the year:

Sonal Varma

Chief India Economist, Nomura Holdings Inc.

Top woman forecaster for quarterly gross domestic product
Growth: Weaker global demand will affect everything from India’s exports to manufacturing, Varma said, while tight financial conditions will hurt domestic demand and political uncertainty will delay investment decisions. She forecast growth of 6.8 percent in the fiscal year starting April versus Reserve Bank of India’s 7.4 percent.


 Interest Rates: “The Reserve Bank reaffirmed its focus towards headline inflation and its willingness to support growth, which suggests the February policy cut was not a ‘one and done’,” Varma said. Based on her assessment of slower growth and inflation remaining below RBI’s projection, she expects another rate cut in April of 25 basis points...Read More

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.

No tax liability if your income is up to Rs 9.5 lakh, but conditions apply

Personal Finance News:

Stressing that tax concessions have been provided with a view to help poor and middle-class people living on a tight budget, Finance Minister Piyush Goyal said that now individuals earning up to Rs 9.5 lakh can escape liability by taking advantage of saving schemes.

Replying to the debate on the Finance Bill in Lok Sabha, the Minister said he did not propose any change in the tax rate but only provided few rebates which will boost spending and help the economy.
The Finance Bill, which contains tax proposals, was passed by the Lok Sabha with a voice vote, completing the budgetary process in the lower house.

In a swipe at the Congress, the Minister said that unlike the previous UPA dispensation, the present Modi government in the interim budget did not reduce levies of SUVs which are used by rich persons.

In the Finance Bill 2019, the Minister proposed to raise tax rebate for people having annual income up to Rs 5 lakh from Rs 2,500 to Rs 12,500, which will effectively ensure that they don't have to pay any tax.

In the Bill, standard deduction has also been raised from Rs 40,000 to Rs 50,000, besides a host of tax benefits to home buyers.

The concessions proposed in the Finance Bill, Goyal said, are aimed at helping "poor and middle-class people living on a tight budget...This is interim budget. We have not brought any tax proposal...we will bring them in July," he said.


 The next government, which will be formed after the upcoming general elections, will come out with a full budget in July. The next government will also come up with a Finance Bill containing the tax proposals for 2019-20.

Impossible job: India's pollsters face the uphill battle to call election

Economy & Policy:

Thousands of candidates, hundreds of parties, endless combinations of possible coalitions – spare a thought for India’s pollsters, tasked with making sense of the country’s fiendishly complicated politics ahead of a general election due by May.

The ruling Bharatiya Janata Party led by Prime Minister Narendra Modi won a surprise majority in 2014. Until last year, many predicted a similar result. But amid rising anger over unemployment and a fall in rural incomes, the BJP lost key state elections in December, making this contest more closely fought than first expected.

That means surveys conducted on behalf of newspapers and TV channels will be closely scrutinized. Some of India’s top pollsters however, told Reuters current surveys could be wide of the mark until the parties finalize alliances, which could be as late as April – and even then, there are challenges.
“In India there are certain relationships between caste, religion and allegiance,” said VK Bajaj, chief executive of Today’s Chanakya, the only polling firm to predict the BJP would win an outright majority in 2014. “We have to do checks and counter-checks when collecting our samples.”

CHECKERED PAST


 Opinion polls grew in popularity in India in the 1990s, after economic liberalization saw a boom in privately-owned newspapers and TV channels, all demanding their own surveys.

2019 polls: Why govt should aim to create jobs, not offer basic income

General Election 2019:

During election season, which we’re entering in India, everyone likes the idea of giving voters more money. Congress Party President Rahul Gandhi, the de facto opposition leader, says his party will guarantee a minimum income for the country’s poor if victorious. Reports suggest that Prime Minister Narendra Modi’s government may compete by announcing some form of direct transfer of cash to farmers in the interim budget to be revealed on Friday, which could cost the exchequer nearly $10 billion annually.

While governments everywhere should take care of their most vulnerable citizens, the idea of guaranteeing a basic income is wrong for India right now. Fundamentally, it would only work if two conditions were met. First, large sections of the population would have to be mired in absolute poverty. And second, all other subsidies and welfare programs for them would have to be abolished in order to free up the necessary funds without completely blowing open India’s fiscal deficit, which is already strained.

ALSO READ: Interim Budget 2019: Before polls, govt wants expansionary economic policy


 Neither condition prevails in India. While there’s no recent government estimate of the number of people living below the poverty line, credible research by the Brookings Institution suggests that extreme poverty in India, defined as those living on less than $2 a day, now afflicts only five percent of the population. Granted, that’s still more than 70 million people. But, for the vast majority of Indians, the challenge is no longer subsistence, it’s aspiration. No basic income guarantee will be able to address rising aspirations unless it’s a very large sum of money. At India’s level of national income, providing anything more than a subsistence income would simply be unaffordable...Read More

What 2019 Budget can do to help India clean its air, reduce coal addiction

Interim Budget 2019:

India has one of the world’s largest programmes to expand renewables--a doubling of capacity over the next four years--but India’s ambitious 2022 target of generating enough non-coal energy to replace the equivalent of 175 coal-powered plants is veering off track.

On February 1, 2019, the ruling Bharatiya Janata Party (BJP) has a chance to get things back on track, help India reduce its addiction to coal, help clean the country’s air and meet the global climate-change commitments of the world’s fourth-fastest growing carbon polluter

After record growth in the installed capacity of renewables over the four years to 2017, capacity addition slowed down in 2018. The main reasons: an anti-dumping duty imposed by the government on imported solar modules to aid domestic manufacturing, higher rates of taxation under the goods and service tax (GST) and unclear policy.So, the last budget before 2019 general elections is of particular significance to the renewables sector, which comprises electricity from solar, wind, hydro and bio power.

These are the issues the budget must contend with:

• Due to a 2018 slowdown, the government will have to install 3.5 times more capacity every month than its average speed for the last four years.
• A new duty on imported solar modules--which meet more than 80% of the country’s need--increased production costs and threaten the competitiveness of solar tariffs against those of coal.
• Higher GST rates on solar modules and services are driving away investors and manufacturers. Delays in a long-term policy to remove uncertainty from the sector is holding back new investment.

Interim Budget 2019 must focus on skilled labour to tackle unemployment

Intrim Budget 2019:

Budgetary allocation to the ministry of skill development and entrepreneurship (MSDE) has witnessed a 237% increase over the last four years, from Rs 1,007 crore (actual expenditure) in 2015-16 to Rs 3,400 crore (budget estimate) in 2018-19, according to ministry data.

The 2018-19 allocation, however, represents a “drastic cut” by the ministry of finance against the Rs 7,696.54 crore requested by the MSDE, due to underutilisation of funds allocated to the MSDE in previous years, revealed a parliamentary committee report in March 2018. The committee warned that the budget cut would “adversely affect various schemes” implemented by the ministry tasked with skilling India’s youth.

In November 2018, the government’s aim to skill 10 million youth under the Pradhan Mantri Kaushal Vikas Yojana (PMKVY, or Prime Minister’s Skill Development programme) by 2020 was found to be 64% short of meeting the target. Just over 3.6 million people had been enrolled in PMKVY by November 30, 2018, government data showed. Among these, 3.39 million had received training and 2.6 million had received certification after training--66% and 74% short of the target, respectively.

There is a direct link between India’s underskilled workforce and high unemployment rates. Unemployment has been a key challenge for the National Democratic Alliance (NDA) government. The unemployment rate for people aged 15 years and above in India was 3.4% in 2013-14, which saw a further increase to 3.7% in 2015-16, according to a government reply to the Lok Sabha on July 23, 2018, which did not provide data on numbers of unemployed.The unemployment rate rose to a four year high (3.9%) in 2016-17, Business Standard reported on January 11, 2019, citing the labour bureau’s sixth annual employment-unemployment survey...Read More

Modi in panic mode, criticising EVM committee as elections near: Congress

Current Affairs:

The Congress said that because Lok Sabha elections are on the horizon, Prime Minister Narendra Modi has started panicking and therefore is criticising the formation of the four-member committee for EVMs.

Speaking to the media, Congress leader P L Punia said: "As elections are approaching, Prime Minister Modi is panicking and is in anxiety and doesn't know what to say. We have objections with EVMs and we have informed the election commission about the same."

"We want that vote should be done on ballot papers. Ballot paper should be used for voting instead of EVMs," Punia added.


 West Bengal Chief Minister Mamata Banerjee on Saturday said that a four-member committee had been formed to clarify opposition parties' stand on EVMs in view of the upcoming Lok Sabha elections..Read More