The rupee appreciated by 6 paise to 68.57 against the US dollar in opening trade Friday, driven by sustained foreign fund inflows and a higher opening of domestic equities.

The rupee opened at 68.60 at the interbank forex market, then gained further ground and touched 68.57, displaying gains of 6 paise over its last close.

The rupee Wednesday had recovered by 13 paise to close at 68.83 against the US dollar.

The forex market was closed Thursday on account of Holi.

Forex dealers said, selling of the American currency by exporters and positive opening in domestic equities supported the rupee.

Fresh foreign fund inflows and easing crude prices also supported the rupee, they added.

Foreign institutional investors (FIIs) remained net buyers in the capital markets, putting in Rs 1,771.61 crore on a net basis Wednesday, as per provisional data.

Brent crude futures, the global oil benchmark, slipped 0.18 per cent to $67.74 per barrel.

Meanwhile, the benchmark BSE Sensex was trading higher by 91.03 points, or 0.24 per cent, at 38,477.78; while the NSE Nifty was trading at 11,548, higher by 26.95 points, or 0.23 per cent.&nbsp;

The rupee appreciated by 6 paise to 68.57 against the US dollar in opening trade Friday, driven by sustained foreign fund inflows and a higher opening of domestic equities.

The rupee appreciated by 6 paise to 68.57 against the US dollar in opening trade Friday, driven by sustained foreign fund inflows and a higher opening of domestic equities. The rupee opened at 68.60 at the interbank forex market, then gained further ground and touched 68.57, displaying gains of 6 paise over its last close. The rupee Wednesday had recovered by 13 paise to close at 68.83 against the US dollar. The forex market was closed Thursday on account of Holi. Forex dealers said, selling of the American currency by exporters and positive opening in domestic equities supported the rupee. Fresh foreign fund inflows and easing crude prices also supported the rupee, they added. Foreign institutional investors (FIIs) remained net buyers in the capital markets, putting in Rs 1,771.61 crore on a net basis Wednesday, as per provisional data. Brent crude futures, the global oil benchmark, slipped 0.18 per cent to $67.74 per barrel. Meanwhile, the benchmark BSE Sensex was trading higher by 91.03 points, or 0.24 per cent, at 38,477.78; while the NSE Nifty was trading at 11,548, higher by 26.95 points, or 0.23 per cent.

Rupee rises 6 paise to 68.57 against US dollar

The benchmark BSE Sensex rose 83.10 points, or 0.22 per cent, to 38,178.17 in early trade on Tuesday. Nifty, on the other hand also opened in green at 11,500.30.&nbsp;

Meanwhile, the Indian currency edged 2 paise higher to 68.51 against the US dollar in early trade Tuesday ahead of the Federal Reserve's policy meet.

A higher opening in the domestic equity market influenced the currency's movement, they added, experts noted.&nbsp;

On Monday, the domestic unit had surged by 57 paise to close at an over seven-month high of 68.53 against the US dollar, also marking a sixth straight session of gains, driven by sustained foreign fund inflows and narrowing trade deficit.

The BSE Sensex gained over 70 points Monday. NSE Nifty finished 35.35 points or 0.31 per cent, higher at 11,462.20 after hitting the day's high of 11,530.15 and a low of 11,412.50.

(With inputs from PTI)&nbsp;

The benchmark BSE Sensex rose 83.10 points, or 0.22 per cent, to 38,178.17 in early trade on Tuesday. Nifty, on the other hand also opened in green at 11,500.30.

The benchmark BSE Sensex rose 83.10 points, or 0.22 per cent, to 38,178.17 in early trade on Tuesday. Nifty, on the other hand also opened in green at 11,500.30. Meanwhile, the Indian currency edged 2 paise higher to 68.51 against the US dollar in early trade Tuesday ahead of the Federal Reserve's policy meet. A higher opening in the domestic equity market influenced the currency's movement, they added, experts noted. On Monday, the domestic unit had surged by 57 paise to close at an over seven-month high of 68.53 against the US dollar, also marking a sixth straight session of gains, driven by sustained foreign fund inflows and narrowing trade deficit. The BSE Sensex gained over 70 points Monday. NSE Nifty finished 35.35 points or 0.31 per cent, higher at 11,462.20 after hitting the day's high of 11,530.15 and a low of 11,412.50. (With inputs from PTI)

Markets open in green, Rupee starts marginally higher against US dollar

Japanese exports declined for the third straight month in February while imports also fell, according to government data Monday, indicating a possible slowdown in the world's third-biggest economy.

Exports slipped 1.2 per cent from a year earlier to 6.38 trillion yen ($57 billion) and imports declined even more sharply -- by 6.7 per cent to 6.05 trillion yen.

"Concerns remain for the immediate future given worries over the global economy and weak demand in the IT sector," Asuka Sakamoto, an economist at Mizuho Research Institute, told AFP.

The weak import figure is also a source of concern as it may reflect declining orders for companies as they reduce production domestically, added Sakamoto.

Analysts will be closely watching export and corporate investment data for further clues on the economy's health, she said.

Exports to China increased 5.5 per cent while imports dropped 15.8 per cent, as imports declined of clothes, metal products and parts for audiovisual products.

Japan's politically sensitive surplus with the United States slipped 0.9 per cent from a year earlier to 624.9 billion yen.

With the European Union, Japan logged a 58.2 billion yen surplus.

Overall, the country logged a 339 billion yen trade surplus in February, the first surplus for five months.

Japanese exports declined for the third straight month in February while imports also fell, according to government data Monday, indicating a possible slowdown in the world's third-biggest economy.

Japanese exports declined for the third straight month in February while imports also fell, according to government data Monday, indicating a possible slowdown in the world's third-biggest economy. Exports slipped 1.2 per cent from a year earlier to 6.38 trillion yen ($57 billion) and imports declined even more sharply -- by 6.7 per cent to 6.05 trillion yen. "Concerns remain for the immediate future given worries over the global economy and weak demand in the IT sector," Asuka Sakamoto, an economist at Mizuho Research Institute, told AFP. The weak import figure is also a source of concern as it may reflect declining orders for companies as they reduce production domestically, added Sakamoto. Analysts will be closely watching export and corporate investment data for further clues on the economy's health, she said. Exports to China increased 5.5 per cent while imports dropped 15.8 per cent, as imports declined of clothes, metal products and parts for audiovisual products. Japan's politically sensitive surplus with the United States slipped 0.9 per cent from a year earlier to 624.9 billion yen. With the European Union, Japan logged a 58.2 billion yen surplus. Overall, the country logged a 339 billion yen trade surplus in February, the first surplus for five months.

Japan's exports decline for third straight month

<a href="http://www.wionews.com/business-economy/december-retail-inflation-rate-drops-to-219-lowest-since-june-2017-190234">Consumer inflation</a> in the month of February rose to 2.57 per cent, government data revealed on Tuesday. Consumer inflation was revised to 1.97 per cent in January this year from 2.05 per cent.&nbsp;

In a surprise move on February 7, the Reserve Bank of India's Monetary Policy Committee (MPC) cut the benchmark repo rate 25 basis points to 6.25 per cent, in its first cut in 18 months.

The MPC, which mainly monitors retail inflation data, also revised down its inflation projections for the period from April to September to 3.2 per cent to 3.4 per cent, from 3.8 per cent to 4.2 per cent.

Inflation pressures have eased in recent months, following falls in food and crude oil prices. India imports nearly 80 per cent of oil it consumes.

Meanwhile,&nbsp;India's industrial output in January rose 1.7 per cent from a year earlier, lower than forecast, government data showed on Tuesday.

January's growth was much slower than the upwardly revised 2.6 per cent year-on-year increase in December, the data showed.

(With inputs from Reuters)

Consumer inflation in the month of February rose to 2.57 per cent, government data revealed on Tuesday. Consumer inflation was revised to 1.97 per cent in January this year from 2.

Consumer inflation in the month of February rose to 2.57 per cent, government data revealed on Tuesday. Consumer inflation was revised to 1.97 per cent in January this year from 2.05 per cent. In a surprise move on February 7, the Reserve Bank of India's Monetary Policy Committee (MPC) cut the benchmark repo rate 25 basis points to 6.25 per cent, in its first cut in 18 months. The MPC, which mainly monitors retail inflation data, also revised down its inflation projections for the period from April to September to 3.2 per cent to 3.4 per cent, from 3.8 per cent to 4.2 per cent. Inflation pressures have eased in recent months, following falls in food and crude oil prices. India imports nearly 80 per cent of oil it consumes. Meanwhile, India's industrial output in January rose 1.7 per cent from a year earlier, lower than forecast, government data showed on Tuesday. January's growth was much slower than the upwardly revised 2.6 per cent year-on-year increase in December, the data showed. (With inputs from Reuters)

Retail inflation up to 2.57% in February: Government data

The consumer price index in China fell to its lowest level in a year last month, while producer prices hardly budged, according to figures published Saturday by the National Bureau of Statistics.

The consumer price index (CPI) -- a key measure of retail inflation -- rose just 1.5 per cent in February year-on-year, compared with 1.7 per cent in January. It has now declined for four consecutive months and is at its lowest point since January 2018.

China is grappling with a decline in global demand -- notably from the United States, which launched a trade war against Beijing last summer.&nbsp;

Growth in China dropped to 6.6 per cent last year, its lowest level in 28 years. The government this week announced it is aiming for growth of between just 6 and 6.5 per cent this year.

The producer price index (PPI) -- an important barometer of domestic demand -- edged up by only 0.1 per cent in February, in a further sign the Asian giant's economy is slowing.&nbsp;

That figure, matching January results, is the lowest for more than two years. The indicator has been in constant retreat for seven months.&nbsp;

The increase in consumer prices is in line with analyst forecasts, but the rise in producer prices is weaker than expected. A Bloomberg news survey found an average forecast growth of 0.2 per cent by economists.

"CPI inflation will most likely remain far below the 2019 government target of 3.0 per cent," said Nomura economist Ting Lu in a note.

Production prices could fall into negative territory this year, he added.

"Disinflation continues, and deflation in the manufacturing sector may be around the corner," said Hong Kong economist David Qu, according to Bloomberg.

"The weak consumer and producer price data underline the need for continued government support for the economy," he added.

Faced with a slowdown in activity, Premier Minister Li Keqiang announced a series of support measures on Tuesday including a reduction in company charges and VAT.

The consumer price index in China fell to its lowest level in a year last month, while producer prices hardly budged, according to figures published Saturday by the National Bureau of Statistics.

The consumer price index in China fell to its lowest level in a year last month, while producer prices hardly budged, according to figures published Saturday by the National Bureau of Statistics. The consumer price index (CPI) -- a key measure of retail inflation -- rose just 1.5 per cent in February year-on-year, compared with 1.7 per cent in January. It has now declined for four consecutive months and is at its lowest point since January 2018. China is grappling with a decline in global demand -- notably from the United States, which launched a trade war against Beijing last summer. Growth in China dropped to 6.6 per cent last year, its lowest level in 28 years. The government this week announced it is aiming for growth of between just 6 and 6.5 per cent this year. The producer price index (PPI) -- an important barometer of domestic demand -- edged up by only 0.1 per cent in February, in a further sign the Asian giant's economy is slowing. That figure, matching January results, is the lowest for more than two years. The indicator has been in constant retreat for seven months. The increase in consumer prices is in line with analyst forecasts, but the rise in producer prices is weaker than expected. A Bloomberg news survey found an average forecast growth of 0.2 per cent by economists. "CPI inflation will most likely remain far below the 2019 government target of 3.0 per cent," said Nomura economist Ting Lu in a note. Production prices could fall into negative territory this year, he added. "Disinflation continues, and deflation in the manufacturing sector may be around the corner," said Hong Kong economist David Qu, according to Bloomberg. "The weak consumer and producer price data underline the need for continued government support for the economy," he added. Faced with a slowdown in activity, Premier Minister Li Keqiang announced a series of support measures on Tuesday including a reduction in company charges and VAT.

China consumer price index at lowest level in a year

Gravitas: Litmus test for Xi Jinping

Prime Minister Narendra Modi Saturday laid out his vision for making India a US $10-trillion economy, and the third-largest in the world, saying he wants the nation to have countless startups, and be a global leader in electric vehicles.

Speaking at the Global Business Summit in New Delhi, he said his government inherited an economy in complete policy paralysis, plagued by runaway inflation and rising current account deficit.

Reforms in the last four and half years have changed the picture. "Change is clearly visible today," he said.

BJP-led NDA rule witnessed highest post-liberalisation growth rate of 7.4 per cent, and lowest inflation of less than 4.5 per cent, he said adding that reforms like goods and services tax (GST) have laid solid foundation for higher gross domestic product (GDP) growth.

Prime Minister Narendra Modi Saturday laid out his vision for making India a US $10-trillion economy, and the third-largest in the world, saying he wants the nation to have countless startups, and be a global leader in electric vehicles.

Prime Minister Narendra Modi Saturday laid out his vision for making India a US $10-trillion economy, and the third-largest in the world, saying he wants the nation to have countless startups, and be a global leader in electric vehicles. Speaking at the Global Business Summit in New Delhi, he said his government inherited an economy in complete policy paralysis, plagued by runaway inflation and rising current account deficit. Reforms in the last four and half years have changed the picture. "Change is clearly visible today," he said. BJP-led NDA rule witnessed highest post-liberalisation growth rate of 7.4 per cent, and lowest inflation of less than 4.5 per cent, he said adding that reforms like goods and services tax (GST) have laid solid foundation for higher gross domestic product (GDP) growth.

PM Modi sees India as US $10-trillion economy with countless startups

Alibaba Group Holding Ltd expects to avoid layoffs this year despite China's economic slowdown, CEO Daniel Zhang said on Friday.

The comments contradict Chinese media reports and market speculation about job cuts and a pull-back for China's internet sector amid weakening domestic demand and an prolonged trade dispute with the United States.

"This year we not only won't layoff employees, we will continue to utilise the resources on our platforms to boost consumption, bringing in more manufacturing and services orders," Zhang said in a Weibo post.

"When the economy is bad, the biggest advantage for online platforms is to create jobs."

This week reports circulated in Chinese media that e-commerce site and Alibaba rival JD.com Inc would lay off 10 percent of its senior executives. The company declined to comment directly on the cuts.

Days earlier, the CEO of ride-hailing company Didi Chuxing said it would lay off 15 percent of its employees, though he added that it intended to add as many jobs in new roles.

Just before Chinese New Year, social media firm ByteDance advised staff they would receive lower-than-expected holiday bonuses.

In November, Alibaba cut its full-year revenue forecast to between 375 billion yuan and 383 billion yuan ($54.4 bln-$55.6 bln), marking a 4-6 percent decrease from its initial target.

The company announces its earnings for the fiscal year in May.

Alibaba Group Holding Ltd expects to avoid layoffs this year despite China's economic slowdown, CEO Daniel Zhang said on Friday. The comments contradict Chinese media reports and market speculation about job cuts and a pull-back for China's internet sector amid weakening domestic demand and an prolonged trade dispute with the United States.

Alibaba Group Holding Ltd expects to avoid layoffs this year despite China's economic slowdown, CEO Daniel Zhang said on Friday. The comments contradict Chinese media reports and market speculation about job cuts and a pull-back for China's internet sector amid weakening domestic demand and an prolonged trade dispute with the United States. "This year we not only won't layoff employees, we will continue to utilise the resources on our platforms to boost consumption, bringing in more manufacturing and services orders," Zhang said in a Weibo post. "When the economy is bad, the biggest advantage for online platforms is to create jobs." This week reports circulated in Chinese media that e-commerce site and Alibaba rival JD.com Inc would lay off 10 percent of its senior executives. The company declined to comment directly on the cuts. Days earlier, the CEO of ride-hailing company Didi Chuxing said it would lay off 15 percent of its employees, though he added that it intended to add as many jobs in new roles. Just before Chinese New Year, social media firm ByteDance advised staff they would receive lower-than-expected holiday bonuses. In November, Alibaba cut its full-year revenue forecast to between 375 billion yuan and 383 billion yuan ($54.4 bln-$55.6 bln), marking a 4-6 percent decrease from its initial target. The company announces its earnings for the fiscal year in May.

Alibaba CEO rules out layoffs this year

Benchmark indices started on a negative note Friday as investors turned cautious after the release of the minutes of RBI's last policy meet, in which governor Shaktikanta Das argued the need to look at growth concerns.

Besides, subdued cues from other Asian markets too weighed on investor sentiment here.

The BSE Sensex was trading 75.24 points, or 0.21 per cent, lower at 35,823.11. Similarly, the 50-share NSE Nifty fell 25.95 points, or 0.24 per cent, to 10,763.90.

In the previous session, the 30-share index settled 142.09 points, or 0.40 per cent higher at 35,898.35. The broader Nifty gained 54.40 points, or 0.51 per cent, to 10,789.85.

Top losers in the Sensex pack in morning trade include Kotak Bank, Tata Steel, L&amp;T, RIL, Axis Bank, NTPC, Tata Motors, HDFC Bank, HDFC and ITC, falling up to 3.39 per cent.

On the other hand, Yes Bank, Sun Pharma, Maruti, ONGC, Bajaj Auto, IndusInd Bank, ICICI Bank, M&amp;M, Bharti Airtel and SBI rose up to 1.63 per cent.

According to traders, investor sentiment turned weak after the Reserve Bank of India (RBI) Thursday released the minutes of its last monetary policy meet.

The central bank's Monetary Policy Committee has noted the "weakened growth momentum" amidst inflation cooling off to lower the key policy rates to create a "congenial environment" for growth as the reasons for the surprise rate cut earlier this month.

In his debut policy review as RBI governor Shaktikanta Das argued that there was a need to look at growth concerns.

Meanwhile, on a net basis, domestic institutional investors (DIIs) were net buyers to the tune of Rs 202.10 crore, and foreign institutional investors (FIIs) also bought shares worth a net of Rs 55.48 crore on Thursday, provisional data available with BSE showed.

Domestic investors also tracked weak cues from global markets, traders said.

Hong Kong's Hang Seng slipped 0.26 per cent, Kospi fell 0.28 per cent, and Japan's Nikkei shed 0.42 per cent; while Shanghai Composite Index was trading 0.03 per cent higher in early trade.

On Wall Street, Dow Jones Industrial Average ended 0.40 per cent lower at 25,850.63 points on Thursday.

The benchmark Brent crude futures fell 0.28 per cent to $66.88 per barrel.

The rupee, meanwhile, was trading almost flat at 71.23 against the US dollar in early session.&nbsp;

Benchmark indices started on a negative note Friday as investors turned cautious after the release of the minutes of RBI's last policy meet, in which governor Shaktikanta Das argued the need to look at growth concerns.

Benchmark indices started on a negative note Friday as investors turned cautious after the release of the minutes of RBI's last policy meet, in which governor Shaktikanta Das argued the need to look at growth concerns. Besides, subdued cues from other Asian markets too weighed on investor sentiment here. The BSE Sensex was trading 75.24 points, or 0.21 per cent, lower at 35,823.11. Similarly, the 50-share NSE Nifty fell 25.95 points, or 0.24 per cent, to 10,763.90. In the previous session, the 30-share index settled 142.09 points, or 0.40 per cent higher at 35,898.35. The broader Nifty gained 54.40 points, or 0.51 per cent, to 10,789.85. Top losers in the Sensex pack in morning trade include Kotak Bank, Tata Steel, L&T, RIL, Axis Bank, NTPC, Tata Motors, HDFC Bank, HDFC and ITC, falling up to 3.39 per cent. On the other hand, Yes Bank, Sun Pharma, Maruti, ONGC, Bajaj Auto, IndusInd Bank, ICICI Bank, M&M, Bharti Airtel and SBI rose up to 1.63 per cent. According to traders, investor sentiment turned weak after the Reserve Bank of India (RBI) Thursday released the minutes of its last monetary policy meet. The central bank's Monetary Policy Committee has noted the "weakened growth momentum" amidst inflation cooling off to lower the key policy rates to create a "congenial environment" for growth as the reasons for the surprise rate cut earlier this month. In his debut policy review as RBI governor Shaktikanta Das argued that there was a need to look at growth concerns. Meanwhile, on a net basis, domestic institutional investors (DIIs) were net buyers to the tune of Rs 202.10 crore, and foreign institutional investors (FIIs) also bought shares worth a net of Rs 55.48 crore on Thursday, provisional data available with BSE showed. Domestic investors also tracked weak cues from global markets, traders said. Hong Kong's Hang Seng slipped 0.26 per cent, Kospi fell 0.28 per cent, and Japan's Nikkei shed 0.42 per cent; while Shanghai Composite Index was trading 0.03 per cent higher in early trade. On Wall Street, Dow Jones Industrial Average ended 0.40 per cent lower at 25,850.63 points on Thursday. The benchmark Brent crude futures fell 0.28 per cent to $66.88 per barrel. The rupee, meanwhile, was trading almost flat at 71.23 against the US dollar in early session.

Markets start on tepid note as investors turn cautious over minutes of RBI's policy meet

Britain's economy grew at the slowest pace in six years in 2018 with near-flat output in the final quarter, data showed Monday, as <a href="http://www.wionews.com/world/brexit-what-will-happen-in-the-british-parliament-on-february-14-196447">Brexit uncertainty</a> and weaker global growth bites.

Gross domestic product growth stood at 1.4 per cent last year, down from 1.8 per cent in 2017, while growth was only 0.2 per cent in the last three months of 2018, the Office for National Statistics said in a statement.

"Following a pickup in activity over the summer months -- in part due to warm weather and the World Cup -- real GDP growth slowed markedly in the final quarter of 2018, with GDP falling by 0.4 per cent in the month of December," the ONS said.&nbsp;

"Construction, production and services output fell in the month, the first time that there has been such a broad-based fall in monthly output since September 2012."

The data comes after the Bank of England last week slashed its forecast for UK growth this year to 1.2 per cent from 1.7 per cent, blaming the downgrade on a global economic slowdown and "the fog of Brexit".

It also comes as the British government is seeking to win more time to secure EU concessions on Brexit that could pass parliament and avert a chaotic split from the bloc on March 29.

Businesses and governments are on edge as Britain is just weeks away from its scheduled departure from the European project after 46 years and still has no firm arrangements in place.

The Bank of England last week stressed that Britain's economic output was also being dragged down by a global slowdown, with growth dampening in China, the United States and the eurozone.

The point was echoed by analysts reacting to Monday's data.

"Brexit uncertainty is certainly not helping matters on the economic front, but it is probably only a secondary factor in this slowdown, with the primary cause being a drop in overall global activity," noted David Cheetham, chief market analyst at XTB trading group.

"The eurozone in particular has been especially weak on the data front of late, and the focus now is very much on whether there can be a tangible breakthrough on the trade front between the US and China, with Beijing back after their New Year's holiday."

Britain's economy grew at the slowest pace in six years in 2018 with near-flat output in the final quarter, data showed Monday, as Brexit uncertainty and weaker global growth bites.

Britain's economy grew at the slowest pace in six years in 2018 with near-flat output in the final quarter, data showed Monday, as Brexit uncertainty and weaker global growth bites. Gross domestic product growth stood at 1.4 per cent last year, down from 1.8 per cent in 2017, while growth was only 0.2 per cent in the last three months of 2018, the Office for National Statistics said in a statement. "Following a pickup in activity over the summer months -- in part due to warm weather and the World Cup -- real GDP growth slowed markedly in the final quarter of 2018, with GDP falling by 0.4 per cent in the month of December," the ONS said. "Construction, production and services output fell in the month, the first time that there has been such a broad-based fall in monthly output since September 2012." The data comes after the Bank of England last week slashed its forecast for UK growth this year to 1.2 per cent from 1.7 per cent, blaming the downgrade on a global economic slowdown and "the fog of Brexit". It also comes as the British government is seeking to win more time to secure EU concessions on Brexit that could pass parliament and avert a chaotic split from the bloc on March 29. Businesses and governments are on edge as Britain is just weeks away from its scheduled departure from the European project after 46 years and still has no firm arrangements in place. The Bank of England last week stressed that Britain's economic output was also being dragged down by a global slowdown, with growth dampening in China, the United States and the eurozone. The point was echoed by analysts reacting to Monday's data. "Brexit uncertainty is certainly not helping matters on the economic front, but it is probably only a secondary factor in this slowdown, with the primary cause being a drop in overall global activity," noted David Cheetham, chief market analyst at XTB trading group. "The eurozone in particular has been especially weak on the data front of late, and the focus now is very much on whether there can be a tangible breakthrough on the trade front between the US and China, with Beijing back after their New Year's holiday."

Brexit uncertainty: UK economy posts slowest growth in six years

Lebanon's economy needs urgent "surgery" or it could collapse, Prime Minister Saad al-Hariri said on Sunday, though he also tried to reassure foreign donors that politicians remained fully united behind reforms agreed with them last year.

After nine months of wrangling over cabinet portfolios, Lebanon's politicians finally formed a government 10 days ago. The heavily-indebted country has said it will enact long-overdue reforms to avoid a worsening of economic, financial and social conditions.

"Today in Lebanon we don't have time for luxury in politics because our economy could be subjected to collapse if we do not carry out this surgery quickly and with (political) unanimity," he told the World Government Summit in Dubai.

International donor institutions and foreign governments want to see the new government enact reforms before releasing some $11 billion in financial assistance pledged at a Paris conference last April called "Cedre".

"I tell you there is political unanimity in Lebanon on all the reforms that happened at Cedre and there is a political consensus to fight corruption," he said.

While in the United Arab Emirates, Hariri met Dubai's ruler Sheikh Mohammed bin Rashid Al Maktoum and other Emirati officials.

Separately, Hariri met the International Monetary Fund's Managing Director Christine Lagarde.

Lebanon's economy needs urgent "surgery" or it could collapse, Prime Minister Saad al-Hariri said on Sunday, though he also tried to reassure foreign donors that politicians remained fully united behind reforms agreed with them last year.

Lebanon's economy needs urgent "surgery" or it could collapse, Prime Minister Saad al-Hariri said on Sunday, though he also tried to reassure foreign donors that politicians remained fully united behind reforms agreed with them last year. After nine months of wrangling over cabinet portfolios, Lebanon's politicians finally formed a government 10 days ago. The heavily-indebted country has said it will enact long-overdue reforms to avoid a worsening of economic, financial and social conditions. "Today in Lebanon we don't have time for luxury in politics because our economy could be subjected to collapse if we do not carry out this surgery quickly and with (political) unanimity," he told the World Government Summit in Dubai. International donor institutions and foreign governments want to see the new government enact reforms before releasing some $11 billion in financial assistance pledged at a Paris conference last April called "Cedre". "I tell you there is political unanimity in Lebanon on all the reforms that happened at Cedre and there is a political consensus to fight corruption," he said. While in the United Arab Emirates, Hariri met Dubai's ruler Sheikh Mohammed bin Rashid Al Maktoum and other Emirati officials. Separately, Hariri met the International Monetary Fund's Managing Director Christine Lagarde.

Lebanese economy needs urgent 'surgery' to avoid collapse: PM Hariri

Imploring industry bodies to weed out "black sheeps" who give a bad name to the business community, Vice-President Venkaiah Naidu Sunday asked various nations to reach a consensus to not provide shelter to fugitives involved in economic offences.

"In the wake of the economic offences by some individuals, I implore industry bodies to weed out black sheeps who give a bad name to the business community," he said at "The Huddle," a thought conclave held by 'The Hindu' here.

"Time also has come for various nations to arrive at a consensus in not providing shelter to economic fugitives," he added.

These remarks come in the wake of industrialist Vijay Mallya's possible extradition to India from the United Kingdom.

A UK court on December 10 last year had ordered the extradition of Mallya, who is wanted in India for alleged fraud and money laundering involving an estimated Rs 9,000 crore.

"It should be remembered that such economic offences pose a direct challenge to a nation's health and wealth," Naidu said.

Voicing concern about the disruptions in the functioning of Parliament and legislatures, Naidu said the time has come for political parties to evolve a code of conduct for their MPs and MLAs and ensure effective functioning if these Houses have to fulfil the aspirations of people.

"It is truly unfortunate that disorder and disruptions have become the order of the day," he said.

He said he also felt that political parties should not resort to populist, impractical and short-term promises to win elections as the country's economy would suffer in the long-term due to unproductive schemes.

 
"We need to empower people to stand on their feet, rather than making them increasingly dependent on governments," Naidu said.

The vice-president said the delicate balance between the executive, legislature and judiciary should be maintained at all times and nobody should encroach into the domain of the other.

"The wheels of democracy will run smoothly as long as each wing functions within its demarcated domain and not overstep into other's jurisdiction," he added.

Naidu said the other major challenge the country needs to address on a war footing is the deficiencies in infrastructure development and the central government is already addressing the issue by building road and highway networks, developing ports and promoting regional air connectivity.

The Public-Private Partnership projects have to be scaled up for accelerating the pace of infrastructure development and need to promote massive infrastructure projects for the country to compete with other countries, Naidu said.

On the media scenario in India, he said some of the news stories are slanted to suit the views of the management and media outlets are being started for commercial and political considerations, not for providing pure and unadulterated news to the people.

Mindless sensationalism and paid news are some of the concerns that media professionals themselves need to address, he added.

Media associations should also come out with a code of conduct for journalists to ensure professional integrity, the vice-president said.

Imploring industry bodies to weed out "black sheeps" who give a bad name to the business community, Vice-President Venkaiah Naidu Sunday asked various nations to reach a consensus to not provide shelter to fugitives involved in economic offences.

Imploring industry bodies to weed out "black sheeps" who give a bad name to the business community, Vice-President Venkaiah Naidu Sunday asked various nations to reach a consensus to not provide shelter to fugitives involved in economic offences. "In the wake of the economic offences by some individuals, I implore industry bodies to weed out black sheeps who give a bad name to the business community," he said at "The Huddle," a thought conclave held by 'The Hindu' here. "Time also has come for various nations to arrive at a consensus in not providing shelter to economic fugitives," he added. These remarks come in the wake of industrialist Vijay Mallya's possible extradition to India from the United Kingdom. A UK court on December 10 last year had ordered the extradition of Mallya, who is wanted in India for alleged fraud and money laundering involving an estimated Rs 9,000 crore. "It should be remembered that such economic offences pose a direct challenge to a nation's health and wealth," Naidu said. Voicing concern about the disruptions in the functioning of Parliament and legislatures, Naidu said the time has come for political parties to evolve a code of conduct for their MPs and MLAs and ensure effective functioning if these Houses have to fulfil the aspirations of people. "It is truly unfortunate that disorder and disruptions have become the order of the day," he said. He said he also felt that political parties should not resort to populist, impractical and short-term promises to win elections as the country's economy would suffer in the long-term due to unproductive schemes. "We need to empower people to stand on their feet, rather than making them increasingly dependent on governments," Naidu said. The vice-president said the delicate balance between the executive, legislature and judiciary should be maintained at all times and nobody should encroach into the domain of the other. "The wheels of democracy will run smoothly as long as each wing functions within its demarcated domain and not overstep into other's jurisdiction," he added. Naidu said the other major challenge the country needs to address on a war footing is the deficiencies in infrastructure development and the central government is already addressing the issue by building road and highway networks, developing ports and promoting regional air connectivity. The Public-Private Partnership projects have to be scaled up for accelerating the pace of infrastructure development and need to promote massive infrastructure projects for the country to compete with other countries, Naidu said. On the media scenario in India, he said some of the news stories are slanted to suit the views of the management and media outlets are being started for commercial and political considerations, not for providing pure and unadulterated news to the people. Mindless sensationalism and paid news are some of the concerns that media professionals themselves need to address, he added. Media associations should also come out with a code of conduct for journalists to ensure professional integrity, the vice-president said.

Nations should not give shelter to economic fugitives says Vice President Venkaiah Naidu

By Nisha Bellinger and Byunghwan Son

Democracy is at risk worldwide. And the economy may be, too.

Seventy-one out of the world’s 195 countries saw their democratic institutions erode in recent years, according to the 2018 year-end report by democracy watchdog Freedom House, a phenomenon known as “democratic backsliding.” Signs of backsliding include elected leaders who expand their executive powers while weakening the legislature and judiciary, elections that have become less competitive and shrinking press freedom.

When government institutions erode like this, it isn’t just bad for democracy - it also hurts countries economically, research shows.

To understand why, we applied our background as political scientists focused on developing economies to study Venezuela, Turkey and Hungary – all countries that have seen varying degrees of democratic backsliding in recent years.

The authoritarian economic problem

All three countries have struggled economically as their democratically elected leaders turned authoritarian over the past five years.

In Turkey, President Recep Erdoğan has been steadily consolidating presidential powers for years while attacking the independence of both the legislative and judicial branches, as well as restricting press and academic freedoms. Turkey’s economy has struggled in kind, with gross domestic product dropping about 60 per cent between 2013 and 2016. Its currency, the lire, also collapsed last year, plunging the country into crisis.

Under the autocratic leadership of President Nicolás Maduro – who is now in a bitter power struggle to retain the presidency – Venezuela has seen financial ruin. Inflation hit 80,000 per cent there last year, and food and medicine are scarce. Venezuela’s government stopped releasing economic data in 2014, but its gross domestic product is believed to have shrunk by around 15 per cent for each of the last three years.

Meanwhile, Hungary has stagnated as Prime Minister Victor Orbán has become increasingly undemocratic. Since the 2014 election, when Orban’s grip on power really tightened, growth has mostly dropped, from 4 per cent in 2014 to 2 per cent in 2016. The World Bank predicts that Hungary’s economy will continue to contract through 2020 and beyond.

Leaders are fallible

Authoritarianism isn’t always bad for the economy. Autocratic China and Singapore are both economic success stories, growing at double digits – a pace largely unseen in Western democracies.

But these countries were never set up to be democracies.

When a one-time democracy turns toward authoritarianism, however, the economic effect is often negative. That’s because, in a democracy, economic policy is meant to be made jointly, by various elected officials from the executive and legislative branches. Other independent government agencies, like the US Federal Reserve or central bank, help decide economic policy, too.

Lawmakers check impulsive decisions by presidents in a number of formal and informal ways, our research shows. Policies that relate to government investments, taxing and spending, among other issues, are generally the result of negotiation between the two branches.

When legislatures can no longer effectively serve this function – because they’ve been sidelined, as in Venezuela and Turkey, or because they are dominated by the ruling party, as in Hungary – there’s little to prevent authoritarian leaders from making bad choices that hurt the economy.

Turkey is a good example of the risks that come from having one all-powerful, fallible leader.

In July 2018, President Erdoğan expanded his executive powers to include making key appointments to Turkey’s central bank and appointed his son-in-law to lead economic policy in Turkey. Erdoğan then restricted the bank from raising interest rates to curb rising inflation – despite warnings from economists that this move would lead the value of the Turkish currency to plummet. And, of course, it did.

Social unrest is bad for the economy

Legislatures play an important role in setting economic policy also because, as representative bodies made up of different political parties, they serve as channels through which people and social groups can make demands on policymakers.

In a healthy legislative debate in a functioning democracy, opposing parties develop economic policies that help their constituents. They also try to change laws that they believe will hurt the people they represent.

When authoritarian leaders sideline opposition parties and stack the legislature with their supporters, the only way for citizens to air their grievances is on the streets.

Venezuelans staged months of mass daily protests in 2017 after President Maduro stripped Venezuela’s opposition-dominated parliament of its powers. They are marching again now, demanding Maduro’s ouster.

Social unrest can deepen economic woes, especially when it gets violent. Riots may destroy physical infrastructures like oil pipelines or block highways that keeps the country running. People may flee for their own safety, leaving jobs undone and critical positions unfilled.

Democratic backsliding reduces foreign investment

International markets, too, dislike social unrest. When protests are prolonged or if the governments crack down violently, it is common for investors to flee.

International investors get worried, too, when parliaments have too few opposition parties to effectively check the executive branch, our study finds.

When democratically elected leaders turn authoritarian, investors get nervous, withdrawing funds and reducing investments.

Since 2013, Hungary, Venezuela and Turkey have all seen notable declines in their foreign direct investment, a measure of global confidence in a country, according to the World Bank. Declines range from 66 per cent in Venezuela to 300 per cent in Hungary.

One reason investment drops as democracy erodes is because investors fear the government could begin meddling in their businesses in ways that reduce profits.

This is a common strategy of authoritarian leaders from both the right and the left.

Since taking sweeping control of Hungary’s parliament in 2018, for example, President Orban’s right-wing Fidesz party has reasserted government control over major energy firms, taking over public utilities and increasing government oversight of foreign companies that operate in the country.

In Venezuela, the left-wing Maduro has taken over food production in the country, ordering companies like Nestle and Pepsi to vacate their factories in 2015.

It’s all about the legislatures 
 
Our study found one condition that allows economies to thrive even when democracy is in decline: functioning political parties in independent legislatures.

In the Philippines, hard-right president Rodrigo Duterte has imprisoned, even killed, thousands of citizens as part of his “war on drugs.” Duterte has also arrested powerful people who criticize his policies. So far, however, the Filipino parliament is still fairly functional, with opposition parties that operate freely.

Consequently, the Filipino economy remains unaffected by Duterte’s authoritarianism. Gross domestic product has grown at a good rate of around 7 per cent since 2012. Foreign investments have also been increasing.

Sharing some power with lawmakers gives the economy a boost. Ultimately, that may help these authoritarian-leaning leaders stay in power longer.

(Nisha Bellinger is Assistant Professor of Political Science, Boise State University; &nbsp;Byunghwan Son is Assistant Professor of Global Affairs, George Mason University)

(This article was originally published on The Conversation. Read the <a href="https://theconversation.com/is-authoritarianism-bad-for-the-economy-ask-venezuela-or-hungary-or-turkey-106749">original article</a>)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

By Nisha Bellinger and Byunghwan Son Democracy is at risk worldwide. And the economy may be, too. Seventy-one out of the world’s 195 countries saw their democratic institutions erode in recent years, according to the 2018 year-end report by democracy watchdog Freedom House, a phenomenon known as “democratic backsliding.

By Nisha Bellinger and Byunghwan Son Democracy is at risk worldwide. And the economy may be, too. Seventy-one out of the world’s 195 countries saw their democratic institutions erode in recent years, according to the 2018 year-end report by democracy watchdog Freedom House, a phenomenon known as “democratic backsliding.” Signs of backsliding include elected leaders who expand their executive powers while weakening the legislature and judiciary, elections that have become less competitive and shrinking press freedom. When government institutions erode like this, it isn’t just bad for democracy - it also hurts countries economically, research shows. To understand why, we applied our background as political scientists focused on developing economies to study Venezuela, Turkey and Hungary – all countries that have seen varying degrees of democratic backsliding in recent years. The authoritarian economic problem All three countries have struggled economically as their democratically elected leaders turned authoritarian over the past five years. In Turkey, President Recep Erdoğan has been steadily consolidating presidential powers for years while attacking the independence of both the legislative and judicial branches, as well as restricting press and academic freedoms. Turkey’s economy has struggled in kind, with gross domestic product dropping about 60 per cent between 2013 and 2016. Its currency, the lire, also collapsed last year, plunging the country into crisis. Under the autocratic leadership of President Nicolás Maduro – who is now in a bitter power struggle to retain the presidency – Venezuela has seen financial ruin. Inflation hit 80,000 per cent there last year, and food and medicine are scarce. Venezuela’s government stopped releasing economic data in 2014, but its gross domestic product is believed to have shrunk by around 15 per cent for each of the last three years. Meanwhile, Hungary has stagnated as Prime Minister Victor Orbán has become increasingly undemocratic. Since the 2014 election, when Orban’s grip on power really tightened, growth has mostly dropped, from 4 per cent in 2014 to 2 per cent in 2016. The World Bank predicts that Hungary’s economy will continue to contract through 2020 and beyond. Leaders are fallible Authoritarianism isn’t always bad for the economy. Autocratic China and Singapore are both economic success stories, growing at double digits – a pace largely unseen in Western democracies. But these countries were never set up to be democracies. When a one-time democracy turns toward authoritarianism, however, the economic effect is often negative. That’s because, in a democracy, economic policy is meant to be made jointly, by various elected officials from the executive and legislative branches. Other independent government agencies, like the US Federal Reserve or central bank, help decide economic policy, too. Lawmakers check impulsive decisions by presidents in a number of formal and informal ways, our research shows. Policies that relate to government investments, taxing and spending, among other issues, are generally the result of negotiation between the two branches. When legislatures can no longer effectively serve this function – because they’ve been sidelined, as in Venezuela and Turkey, or because they are dominated by the ruling party, as in Hungary – there’s little to prevent authoritarian leaders from making bad choices that hurt the economy. Turkey is a good example of the risks that come from having one all-powerful, fallible leader. In July 2018, President Erdoğan expanded his executive powers to include making key appointments to Turkey’s central bank and appointed his son-in-law to lead economic policy in Turkey. Erdoğan then restricted the bank from raising interest rates to curb rising inflation – despite warnings from economists that this move would lead the value of the Turkish currency to plummet. And, of course, it did. Social unrest is bad for the economy Legislatures play an important role in setting economic policy also because, as representative bodies made up of different political parties, they serve as channels through which people and social groups can make demands on policymakers. In a healthy legislative debate in a functioning democracy, opposing parties develop economic policies that help their constituents. They also try to change laws that they believe will hurt the people they represent. When authoritarian leaders sideline opposition parties and stack the legislature with their supporters, the only way for citizens to air their grievances is on the streets. Venezuelans staged months of mass daily protests in 2017 after President Maduro stripped Venezuela’s opposition-dominated parliament of its powers. They are marching again now, demanding Maduro’s ouster. Social unrest can deepen economic woes, especially when it gets violent. Riots may destroy physical infrastructures like oil pipelines or block highways that keeps the country running. People may flee for their own safety, leaving jobs undone and critical positions unfilled. Democratic backsliding reduces foreign investment International markets, too, dislike social unrest. When protests are prolonged or if the governments crack down violently, it is common for investors to flee. International investors get worried, too, when parliaments have too few opposition parties to effectively check the executive branch, our study finds. When democratically elected leaders turn authoritarian, investors get nervous, withdrawing funds and reducing investments. Since 2013, Hungary, Venezuela and Turkey have all seen notable declines in their foreign direct investment, a measure of global confidence in a country, according to the World Bank. Declines range from 66 per cent in Venezuela to 300 per cent in Hungary. One reason investment drops as democracy erodes is because investors fear the government could begin meddling in their businesses in ways that reduce profits. This is a common strategy of authoritarian leaders from both the right and the left. Since taking sweeping control of Hungary’s parliament in 2018, for example, President Orban’s right-wing Fidesz party has reasserted government control over major energy firms, taking over public utilities and increasing government oversight of foreign companies that operate in the country. In Venezuela, the left-wing Maduro has taken over food production in the country, ordering companies like Nestle and Pepsi to vacate their factories in 2015. It’s all about the legislatures Our study found one condition that allows economies to thrive even when democracy is in decline: functioning political parties in independent legislatures. In the Philippines, hard-right president Rodrigo Duterte has imprisoned, even killed, thousands of citizens as part of his “war on drugs.” Duterte has also arrested powerful people who criticize his policies. So far, however, the Filipino parliament is still fairly functional, with opposition parties that operate freely. Consequently, the Filipino economy remains unaffected by Duterte’s authoritarianism. Gross domestic product has grown at a good rate of around 7 per cent since 2012. Foreign investments have also been increasing. Sharing some power with lawmakers gives the economy a boost. Ultimately, that may help these authoritarian-leaning leaders stay in power longer. (Nisha Bellinger is Assistant Professor of Political Science, Boise State University; Byunghwan Son is Assistant Professor of Global Affairs, George Mason University) (This article was originally published on The Conversation. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

Is authoritarianism bad for the economy? Ask Venezuela, Hungary or Turkey

The rupee on Monday dropped by 55 paise to close at 71.80 to the US dollar, the lowest level since December 17, ahead of the Reserve Bank of India's policy review meet.

This is the second straight session of loss for the domestic unit, during which it lost a total 72 paise.

Forex traders said foreign fund outflows and a stronger dollar following blockbuster US employment and factory data impacted the rupee sentiment.

Moreover, investors were cautious ahead of the next meeting of RBI's Monetary Policy Committee scheduled during February 5-7.

At the Interbank Foreign Exchange (forex) market, the rupee opened lower at 71.57 and fell further to touch the day's low of 71.82.

The domestic unit pared some losses before ending at 71.80 per dollar, down by 55 paise against its previous close.

On Friday, the rupee had settled 17 paise lower at 71.25 against the US dollar.

"Brent crude rose for fifth straight day to gain almost 6 per cent in last one week. The resultant pressure on Indian rupee is visible as it is trading lower," Sanctum Wealth Management Chief Investment Officer Sunil Sharma said.

Brent crude, the global oil benchmark, was trading at $62.97 per barrel, higher by 0.16 per cent.

Forex traders said concerns related to fiscal slippage weighed on the sentiment.&nbsp;

"The fiscal deficit for the current financial year is likely to be around 3.4 per cent of GDP, marginally higher than the targeted 3.3 per cent," said V K Sharma, Head PCG &amp; Capital Markets Strategy, HDFC Securities.

The benchmark BSE Sensex Monday recovered from the day's low to end 113.31 points or 0.31 per cent, higher at 36,582.74. The NSE Nifty also edged higher by 18.60 points, or 0.17 per cent, to close at 10,912.25.

Meanwhile, foreign funds sold shares worth Rs 112.13 crore from the capital markets on a net basis Friday, while domestic institutional investors sold shares worth Rs 65.22 crore, provisional data showed.

The Financial Benchmark India Private Ltd (FBIL) set the reference rate for the rupee/dollar at 71.6580 and for rupee/euro at 81.9997. The reference rate for rupee/British pound was fixed at 93.7067 and for rupee/100 Japanese yen at 65.29.

The rupee on Monday dropped by 55 paise to close at 71.80 to the US dollar, the lowest level since December 17, ahead of the Reserve Bank of India's policy review meet.

The rupee on Monday dropped by 55 paise to close at 71.80 to the US dollar, the lowest level since December 17, ahead of the Reserve Bank of India's policy review meet. This is the second straight session of loss for the domestic unit, during which it lost a total 72 paise. Forex traders said foreign fund outflows and a stronger dollar following blockbuster US employment and factory data impacted the rupee sentiment. Moreover, investors were cautious ahead of the next meeting of RBI's Monetary Policy Committee scheduled during February 5-7. At the Interbank Foreign Exchange (forex) market, the rupee opened lower at 71.57 and fell further to touch the day's low of 71.82. The domestic unit pared some losses before ending at 71.80 per dollar, down by 55 paise against its previous close. On Friday, the rupee had settled 17 paise lower at 71.25 against the US dollar. "Brent crude rose for fifth straight day to gain almost 6 per cent in last one week. The resultant pressure on Indian rupee is visible as it is trading lower," Sanctum Wealth Management Chief Investment Officer Sunil Sharma said. Brent crude, the global oil benchmark, was trading at $62.97 per barrel, higher by 0.16 per cent. Forex traders said concerns related to fiscal slippage weighed on the sentiment. "The fiscal deficit for the current financial year is likely to be around 3.4 per cent of GDP, marginally higher than the targeted 3.3 per cent," said V K Sharma, Head PCG & Capital Markets Strategy, HDFC Securities. The benchmark BSE Sensex Monday recovered from the day's low to end 113.31 points or 0.31 per cent, higher at 36,582.74. The NSE Nifty also edged higher by 18.60 points, or 0.17 per cent, to close at 10,912.25. Meanwhile, foreign funds sold shares worth Rs 112.13 crore from the capital markets on a net basis Friday, while domestic institutional investors sold shares worth Rs 65.22 crore, provisional data showed. The Financial Benchmark India Private Ltd (FBIL) set the reference rate for the rupee/dollar at 71.6580 and for rupee/euro at 81.9997. The reference rate for rupee/British pound was fixed at 93.7067 and for rupee/100 Japanese yen at 65.29.

Rupee slumps 55 paise to 71.80 US dollar

India's April-December fiscal deficit narrowed to 7.01 trillion rupees ($97.80 billion), or 112.4 per cent of the budgeted target for the current fiscal year, government data showed on Monday.

In April-November, the country's fiscal deficit was 7.17 trillion rupees or about 115 per cent of the budgeted target.

Net tax receipts in the first nine months of the fiscal year that ends in March were 9.36 trillion rupees, the data showed.

The government has revised upward its fiscal deficit target to 3.4 per cent of GDP in the current fiscal year from the previously estimated 3.3 per cent.

India's April-December fiscal deficit narrowed to 7.01 trillion rupees ($97.80 billion), or 112.4 per cent of the budgeted target for the current fiscal year, government data showed on Monday.

India's April-December fiscal deficit narrowed to 7.01 trillion rupees ($97.80 billion), or 112.4 per cent of the budgeted target for the current fiscal year, government data showed on Monday. In April-November, the country's fiscal deficit was 7.17 trillion rupees or about 115 per cent of the budgeted target. Net tax receipts in the first nine months of the fiscal year that ends in March were 9.36 trillion rupees, the data showed. The government has revised upward its fiscal deficit target to 3.4 per cent of GDP in the current fiscal year from the previously estimated 3.3 per cent.

India's April-December fiscal deficit narrows to 7.01 trillion rupees: Government

The Italian economy contracted in the fourth quarter of 2018, plunging the country into a technical recession, official data showed Thursday.

The 0.2 per cent contraction — following a 0.1 per cent fall in the third quarter — will put pressure on the populist government in the eurozone's third-largest economy, which took power in June on the back of big-spending electoral promises.

Italy's Prime Minister Giuseppe Conte had anticipated the bad news on Wednesday during a business conference in Milan.

"Analysts tell us we'll likely still suffer a bit at the start of this year," he said, pointing the finger at a slowdown in China and Germany which are hurting Italian exports.

"But all the elements are there to recover in the second half," Conte added.

The coalition government of the anti-establishment Five Star Movement (M5S) and the far-right League party was forced to water down its ambitious and costly budget in December to avoid being punished by the European Commission and the financial markets.

A slowdown will make it even harder to follow through on expensive vote-winning measures both parties promised their bases, from reform to the pension system and income support for the poor.

Thursday's data "reflect a marked worsening of the industrial sector's performance, and of a negative contribution of agriculture," national statistics institute Istat said.

The institute had earlier released December's unemployment rate, which fell to 10.3 per cent from 10.5 per cent, a positive sign. The jobless numbers rose 0.1 per cent for young people aged 15 to 24, however, bringing the rate to 31.9 per cent.

The Italian economy contracted in the fourth quarter of 2018, plunging the country into a technical recession, official data showed Thursday. The 0.2 per cent contraction — following a 0.

The Italian economy contracted in the fourth quarter of 2018, plunging the country into a technical recession, official data showed Thursday. The 0.2 per cent contraction — following a 0.1 per cent fall in the third quarter — will put pressure on the populist government in the eurozone's third-largest economy, which took power in June on the back of big-spending electoral promises. Italy's Prime Minister Giuseppe Conte had anticipated the bad news on Wednesday during a business conference in Milan. "Analysts tell us we'll likely still suffer a bit at the start of this year," he said, pointing the finger at a slowdown in China and Germany which are hurting Italian exports. "But all the elements are there to recover in the second half," Conte added. The coalition government of the anti-establishment Five Star Movement (M5S) and the far-right League party was forced to water down its ambitious and costly budget in December to avoid being punished by the European Commission and the financial markets. A slowdown will make it even harder to follow through on expensive vote-winning measures both parties promised their bases, from reform to the pension system and income support for the poor. Thursday's data "reflect a marked worsening of the industrial sector's performance, and of a negative contribution of agriculture," national statistics institute Istat said. The institute had earlier released December's unemployment rate, which fell to 10.3 per cent from 10.5 per cent, a positive sign. The jobless numbers rose 0.1 per cent for young people aged 15 to 24, however, bringing the rate to 31.9 per cent.

Italy in recession after economy shrinks in Q4 2018

In pics: Indians turn Dubai airport into World's busiest international airport in 2018

Cracks are opening in China's mighty economy: investors are backing away from deals, factories are moving abroad and companies are shedding jobs.

The world's second-largest economy is losing steam, hitting its slowest growth in almost three decades last year, and flagging further in recent months.

While gross domestic product grew at 6.6 per cent in 2018 -- a rate that would be the envy of most nations -- China's efforts to cut its debt mountain have weighed on the economy.

Private businesses in particular face new hurdles as costs rise and financing becomes harder to come by, while the trade war with the United States has not helped.

Here is a look at some of the struggles faced by Chinese companies and people:

Game over for gamers

Feeding China's addiction to video games seemed an easy bet for Beijing Yixin Technology, a tech startup behind the mobile game Farm Take Home.

The game allows players to harvest wheat, raise chickens and plant apple trees -- a bucolic refuge from the pressures of urban China.&nbsp;

But in real life, the tech firm has struggled to find investors.

"In December our company's funding ran out, we had an investment lined up, but the money never came through," said chairman Cui Yi.

"This month I arranged another investor, then he backed out too. I think we can't hold out."&nbsp;

His company is not alone.&nbsp;

Venture capital funding dried up at the end of last year. Total investment in the fourth quarter fell 13 per cent from a year earlier, according to data from Preqin market research.&nbsp;

Policymakers are partly to blame, pushing a war on debt and financial risk that has cut the funding flowing into investment firms, industry insiders say.

Another government diktat halted new video game approvals for months -- officially due to youth gaming addiction concerns -- sending firms like Beijing Yixin into a deep freeze.

Trade war

Other companies are facing the fallout from the trade war with the United States.

More than a handful of exporters have sought to get around US tariffs by building factories outside China, according to a review of public stock filings.&nbsp;

Others are sending workers home early for Chinese New Year or cutting overtime.

Last month China's exports fell.&nbsp;

"It has hit our profits," Harry Shih, manager of Runfine Bearings in eastern Zhejiang province, said of the trade war.

Washington slapped 25 per cent taxes on many types of ball bearings in July. Shih said he had shared the cost increase with his customers, roughly half of whom are from the US.

"Business is going down for most companies including factories. Like me they have the same problems, profits are going down" as costs rise, said Shih.

Dearth for a salesman

Slowing disposable income growth and tighter credit have hit consumer spending, with car sales falling last year for the first time in more than 20 years.

"Volumes have fallen by half," said Wang Jingjing, a fast-talking 23-year-old salesman at a Ford dealership in Beijing, noting about one-third of the salespeople had been fired or left.

Wang's own salary has roughly halved, he said, from around 10,000 yuan ($1,474) a month in 2017 down to less than 5,000 yuan ($737).

"I've definitely controlled my own spending, going out to eat less, buying less, cutting down on these things," he said, adding he believes things will turn around this year with new car models coming out.

Job crunch

Official data shows unemployment at a stable rate, rising slightly to 4.9 per cent last month.

But independent data paints a different picture.&nbsp;

In October-December advertised tech positions fell by 20 per cent from a year earlier, after declining 51 per cent in the third quarter, according to data from Zhaopin, China's largest recruitment website and Renmin University.

China's economy "faces downward pressure, and to some extent, this pressure will be transmitted to the job market," said Meng Wei, a spokeswoman for the National Development and Reform Commission, China's state planner.&nbsp;

A lawyer who consults on labour disputes, Guo Xuehai of Beijing Zhonghai Law Firm, said, "there are definitely more employees coming for help than before," but added this was usually the case at this time of the year.

At Beijing Yixin, Cui said he could only afford to pay his 30-odd employees 70 per cent of their salaries as money ran out in November. By December he paid them nothing and this month he cut their insurance and benefit plan, unofficially firing them.

"We worked 9 am to 9 pm plus Saturdays with no overtime pay and now no pay at all," said a 3D designer surnamed Li, who helped build Farm Take Home.

Employees looking for new jobs have found that companies are not hiring at the moment.&nbsp;

"Hopefully it will be better after Chinese New Year," Li said.

Cracks are opening in China's mighty economy: investors are backing away from deals, factories are moving abroad and companies are shedding jobs. The world's second-largest economy is losing steam, hitting its slowest growth in almost three decades last year, and flagging further in recent months.

Cracks are opening in China's mighty economy: investors are backing away from deals, factories are moving abroad and companies are shedding jobs. The world's second-largest economy is losing steam, hitting its slowest growth in almost three decades last year, and flagging further in recent months. While gross domestic product grew at 6.6 per cent in 2018 -- a rate that would be the envy of most nations -- China's efforts to cut its debt mountain have weighed on the economy. Private businesses in particular face new hurdles as costs rise and financing becomes harder to come by, while the trade war with the United States has not helped. Here is a look at some of the struggles faced by Chinese companies and people: Game over for gamers Feeding China's addiction to video games seemed an easy bet for Beijing Yixin Technology, a tech startup behind the mobile game Farm Take Home. The game allows players to harvest wheat, raise chickens and plant apple trees -- a bucolic refuge from the pressures of urban China. But in real life, the tech firm has struggled to find investors. "In December our company's funding ran out, we had an investment lined up, but the money never came through," said chairman Cui Yi. "This month I arranged another investor, then he backed out too. I think we can't hold out." His company is not alone. Venture capital funding dried up at the end of last year. Total investment in the fourth quarter fell 13 per cent from a year earlier, according to data from Preqin market research. Policymakers are partly to blame, pushing a war on debt and financial risk that has cut the funding flowing into investment firms, industry insiders say. Another government diktat halted new video game approvals for months -- officially due to youth gaming addiction concerns -- sending firms like Beijing Yixin into a deep freeze. Trade war Other companies are facing the fallout from the trade war with the United States. More than a handful of exporters have sought to get around US tariffs by building factories outside China, according to a review of public stock filings. Others are sending workers home early for Chinese New Year or cutting overtime. Last month China's exports fell. "It has hit our profits," Harry Shih, manager of Runfine Bearings in eastern Zhejiang province, said of the trade war. Washington slapped 25 per cent taxes on many types of ball bearings in July. Shih said he had shared the cost increase with his customers, roughly half of whom are from the US. "Business is going down for most companies including factories. Like me they have the same problems, profits are going down" as costs rise, said Shih. Dearth for a salesman Slowing disposable income growth and tighter credit have hit consumer spending, with car sales falling last year for the first time in more than 20 years. "Volumes have fallen by half," said Wang Jingjing, a fast-talking 23-year-old salesman at a Ford dealership in Beijing, noting about one-third of the salespeople had been fired or left. Wang's own salary has roughly halved, he said, from around 10,000 yuan ($1,474) a month in 2017 down to less than 5,000 yuan ($737). "I've definitely controlled my own spending, going out to eat less, buying less, cutting down on these things," he said, adding he believes things will turn around this year with new car models coming out. Job crunch Official data shows unemployment at a stable rate, rising slightly to 4.9 per cent last month. But independent data paints a different picture. In October-December advertised tech positions fell by 20 per cent from a year earlier, after declining 51 per cent in the third quarter, according to data from Zhaopin, China's largest recruitment website and Renmin University. China's economy "faces downward pressure, and to some extent, this pressure will be transmitted to the job market," said Meng Wei, a spokeswoman for the National Development and Reform Commission, China's state planner. A lawyer who consults on labour disputes, Guo Xuehai of Beijing Zhonghai Law Firm, said, "there are definitely more employees coming for help than before," but added this was usually the case at this time of the year. At Beijing Yixin, Cui said he could only afford to pay his 30-odd employees 70 per cent of their salaries as money ran out in November. By December he paid them nothing and this month he cut their insurance and benefit plan, unofficially firing them. "We worked 9 am to 9 pm plus Saturdays with no overtime pay and now no pay at all," said a 3D designer surnamed Li, who helped build Farm Take Home. Employees looking for new jobs have found that companies are not hiring at the moment. "Hopefully it will be better after Chinese New Year," Li said.

Businesses struggle as cracks appear in China's economy

<a href="https://www.google.com/url?q=http://www.wionews.com/sports/ronaldo-accepts-deal-in-tax-fraud-case-in-spain-with-fine-suspended-sentence-191989&amp;sa=U&amp;ved=0ahUKEwiynpe5sIbgAhXJbn0KHZmEB4sQFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw0AaiI-I4Wa-NaYCjCthlhS">Spain</a> on Thursday said fresh elections were the "only way out" for Venezuela after opposition leader Juan Guaido claimed the presidency amid anti-government protests.

"The scenario has changed radically, there have been deaths. We have to prevent the situation from worsening. This undoubtedly demands a process of intervention to guarantee the only way out which is elections," said Spanish Foreign Minister Josep Borrell.

The United States, Brazil, and other countries on Wednesday endorsed Guaido's declaration in repudiation of President Nicolas Maduro, as more protests rocked the economically strapped country.

Guaido's announcement came amid violence that has killed at least 13 people this week, according to a toll by the Venezuelan Observatory of Social Conflict.

When asked if Spain would also endorse Guaido's declaration, Borrell reiterated that "what is important" is that Venezuela holds fresh elections.

He said some 200,000 Spanish nationals live in Venezuela, a former Spanish colony.

Spain on Thursday said fresh elections were the "only way out" for Venezuela after opposition leader Juan Guaido claimed the presidency amid anti-government protests.

Spain on Thursday said fresh elections were the "only way out" for Venezuela after opposition leader Juan Guaido claimed the presidency amid anti-government protests. "The scenario has changed radically, there have been deaths. We have to prevent the situation from worsening. This undoubtedly demands a process of intervention to guarantee the only way out which is elections," said Spanish Foreign Minister Josep Borrell. The United States, Brazil, and other countries on Wednesday endorsed Guaido's declaration in repudiation of President Nicolas Maduro, as more protests rocked the economically strapped country. Guaido's announcement came amid violence that has killed at least 13 people this week, according to a toll by the Venezuelan Observatory of Social Conflict. When asked if Spain would also endorse Guaido's declaration, Borrell reiterated that "what is important" is that Venezuela holds fresh elections. He said some 200,000 Spanish nationals live in Venezuela, a former Spanish colony.

Elections only way out of Venezuela crisis: Spain

The rupee edged 5 paise higher to 71.23 against the US dollar in early session at the interbank forex market Tuesday on fresh selling of the American currency by exporters and banks.

Besides, the dollar's weakness against some other currencies amid lingering worries about a global slowdown supported the rupee, forex dealers said.

However, a weak trend in domestic equities in early trade limited the rupee's gain.

On Monday, the rupee had ended lower by 9 paise at 71.28 against the US currency amid the&nbsp;rise in demand for the greenback.

Meanwhile, benchmark BSE Sensex fell 71.47 points, or 0.18 per cent, to 36,507.49 and the NSE Nifty was down by 30.95 points, or 0.29 per cent, at 10,930.90 in opening trade Tuesday.&nbsp;

The rupee edged 5 paise higher to 71.23 against the US dollar in early session at the interbank forex market Tuesday on fresh selling of the American currency by exporters and banks.

The rupee edged 5 paise higher to 71.23 against the US dollar in early session at the interbank forex market Tuesday on fresh selling of the American currency by exporters and banks. Besides, the dollar's weakness against some other currencies amid lingering worries about a global slowdown supported the rupee, forex dealers said. However, a weak trend in domestic equities in early trade limited the rupee's gain. On Monday, the rupee had ended lower by 9 paise at 71.28 against the US currency amid the rise in demand for the greenback. Meanwhile, benchmark BSE Sensex fell 71.47 points, or 0.18 per cent, to 36,507.49 and the NSE Nifty was down by 30.95 points, or 0.29 per cent, at 10,930.90 in opening trade Tuesday.

Rupee rises 5 paise against dollar to 71.23

After remarkable growth and change for decades, most economists believe <a href="http://www.wionews.com/world/china-to-introduce-policies-to-strengthen-domestic-consumption-report-189109">China's economy</a> is entering a period of slower, steadier growth.

The world's second-largest economy grew 6.6 per cent last year, government figures showed on Monday, the slowest rate since 1990.

Here is a brief look at China's economic roller-coaster since 1949:

The Mao Years

When Mao Zedong's communists seized control in 1949 after decades of strife, China was a basket case, agricultural output had cratered, the industry was hopelessly backward and hyper-inflation raged.

Adopting Soviet-style central planning, Mao's regime brought stability by nationalising industries, regulating the monetary system, and redistributing land to boost agriculture.

But leaders courted crisis with ideologically-driven campaigns like the "Great Leap Forward"— an ill-advised bid to super-charge industry and agriculture that caused widespread famine.

Stability was eventually restored but Mao brought China to its knees again through his radical leftist "Cultural Revolution" from 1966-76, which severely weakened the economy.

Deng takes charge

After Mao's death in 1976, Deng Xiaoping — purged twice by Mao over his reform tendencies—rose again, taking power in 1978.

He turned away from ideology and isolationism toward a more pragmatic, results-oriented approach, and slowly re-connected China with the world.

Reforms began to modernise the economy and introduce market-based mechanisms, best exemplified by a handful of new coastal "special economic zones" like Shenzhen, where foreign investment in export-oriented industries was welcomed.&nbsp;

Such zones posted rapid growth, encouraging more reforms that would eventually give China the reputation as the "factory of the world".

The Boom

By the early 1980s, Deng's reforms had re-energised China, which became the fastest-growing major economy for most of the next four decades.

This was briefly threatened in 1989, however, when Deng and other party elders sent tanks to crush Tiananmen Square demonstrations demanding commensurate political reform.

Growth sputtered in the aftermath and hard-liners pushed back against further reform.

But the wily Deng visited coastal export zones in 1992 in his famous "southern tour" that cemented "reform and opening" once and for all as China's guiding philosophy.

Incomes and living standards soared, Shanghai's stock exchange re-opened in 1990 after a four-decade hiatus, and China symbolically rejoined the global economy with WTO membership in 2001.

But growth brought other ills like inflation, corruption, and environmental degradation, and reform of inefficient state enterprises in the 1990s deprived millions of the "iron rice bowl" of cradle-to-grave employment.

Slowing Down

By 2010, China had become the world's second-biggest economy after the United States, a commercial, technological and military juggernaut which used that growing clout to extend its global influence.

But the era of double-digit expansion also ended around that time, due to an ageing workforce, a gradual shift of foreign investment to lower-cost developing countries, and other factors.

China also began deliberately downshifting to curb environmental damage, wealth inequities, and other growth side-effects, while launching a re-balancing of the economy to rely more on domestic consumption, and less on volatile foreign export demand.

New challenges

Slower, but more stable, expansion is forecast in the years ahead, but economists say that may limit China's ability to grow its way out of two major new challenges: huge domestic debt and US trade hawkishness.

A $586-billion stimulus package helped China weather the 2008-09 world financial crisis better than other major economies, but it contributed to a mountain of debt that the IMF has called "dangerous".

Beijing launched a debt crackdown a year ago, but it faced a new challenge as US President Donald Trump launched a trade war with China that has prompted both sides to slap tariffs on more than $350 billion in two-way commerce. 
&nbsp;

After remarkable growth and change for decades, most economists believe China's economy is entering a period of slower, steadier growth. The world's second-largest economy grew 6.

After remarkable growth and change for decades, most economists believe China's economy is entering a period of slower, steadier growth. The world's second-largest economy grew 6.6 per cent last year, government figures showed on Monday, the slowest rate since 1990. Here is a brief look at China's economic roller-coaster since 1949: The Mao Years When Mao Zedong's communists seized control in 1949 after decades of strife, China was a basket case, agricultural output had cratered, the industry was hopelessly backward and hyper-inflation raged. Adopting Soviet-style central planning, Mao's regime brought stability by nationalising industries, regulating the monetary system, and redistributing land to boost agriculture. But leaders courted crisis with ideologically-driven campaigns like the "Great Leap Forward"— an ill-advised bid to super-charge industry and agriculture that caused widespread famine. Stability was eventually restored but Mao brought China to its knees again through his radical leftist "Cultural Revolution" from 1966-76, which severely weakened the economy. Deng takes charge After Mao's death in 1976, Deng Xiaoping — purged twice by Mao over his reform tendencies—rose again, taking power in 1978. He turned away from ideology and isolationism toward a more pragmatic, results-oriented approach, and slowly re-connected China with the world. Reforms began to modernise the economy and introduce market-based mechanisms, best exemplified by a handful of new coastal "special economic zones" like Shenzhen, where foreign investment in export-oriented industries was welcomed. Such zones posted rapid growth, encouraging more reforms that would eventually give China the reputation as the "factory of the world". The Boom By the early 1980s, Deng's reforms had re-energised China, which became the fastest-growing major economy for most of the next four decades. This was briefly threatened in 1989, however, when Deng and other party elders sent tanks to crush Tiananmen Square demonstrations demanding commensurate political reform. Growth sputtered in the aftermath and hard-liners pushed back against further reform. But the wily Deng visited coastal export zones in 1992 in his famous "southern tour" that cemented "reform and opening" once and for all as China's guiding philosophy. Incomes and living standards soared, Shanghai's stock exchange re-opened in 1990 after a four-decade hiatus, and China symbolically rejoined the global economy with WTO membership in 2001. But growth brought other ills like inflation, corruption, and environmental degradation, and reform of inefficient state enterprises in the 1990s deprived millions of the "iron rice bowl" of cradle-to-grave employment. Slowing Down By 2010, China had become the world's second-biggest economy after the United States, a commercial, technological and military juggernaut which used that growing clout to extend its global influence. But the era of double-digit expansion also ended around that time, due to an ageing workforce, a gradual shift of foreign investment to lower-cost developing countries, and other factors. China also began deliberately downshifting to curb environmental damage, wealth inequities, and other growth side-effects, while launching a re-balancing of the economy to rely more on domestic consumption, and less on volatile foreign export demand. New challenges Slower, but more stable, expansion is forecast in the years ahead, but economists say that may limit China's ability to grow its way out of two major new challenges: huge domestic debt and US trade hawkishness. A $586-billion stimulus package helped China weather the 2008-09 world financial crisis better than other major economies, but it contributed to a mountain of debt that the IMF has called "dangerous". Beijing launched a debt crackdown a year ago, but it faced a new challenge as US President Donald Trump launched a trade war with China that has prompted both sides to slap tariffs on more than $350 billion in two-way commerce.

From Mao to Trump: China's economic roller-coaster since 1949

China's economy grew at its slowest pace in almost three decades in 2018, losing more steam in the last quarter as it battles to quell massive debt and a US trade war, official data showed Monday.

The 6.6 percent growth comes in above the official target of around 6.5 percent and matches a forecast by analysts polled by AFP, but is down from the 6.8 percent chalked up in 2017, according to the National Bureau of Statistics (NBS).

And in a sign of <a href="http://www.wionews.com/opinions/the-dilemmas-of-chinas-economic-rise-170616">the battle Beijing faces in getting things back on track</a>, growth in the last three months of the year clocked in at 6.4 percent, matching a low seen during the global financial crisis 10 years ago, with economists widely expecting the slowdown to deepen.

"The 'three critical battles' of preventing and defusing financial risks, conducting targeted poverty alleviation, and controlling pollution got off to a good start," said NBS commissioner Ning Jizhe in prepared remarks.

The slowing growth prompted Premier Li Keqiang last week to vow the government would not let the economy "fall off a cliff".

Relations with top trading partner the US deteriorated sharply last year after President Donald Trump hit roughly half of Chinese imports with new tariffs in an attempt to force trade concessions.

The trade war is on hold for now after President Xi Jinping and Trump agreed to a three-month ceasefire while the two sides try to find a resolution, with top negotiators set to meet in Washington at the end of the month.

While analysts say the standoff has dented confidence -- leaving the stock markets battered and the yuan weakened -- they attribute most of the downturn to the government policies to tackle growing debt, financial risk and pollution.

China hit the brakes on major projects such as subway lines and motorways and held off on mountain-moving endeavours to keep a lid on debt last year, with infrastructure investment rising by just 3.8 percent, down from 19 percent the year before.

China's exports to US and the world also fell in December, reinforcing the need for its legions of domestic consumers to fuel the economy.

'Massive market' 
Li last week touted China's "massive market" and vowed to spur on consumption, but the data shows difficulty ahead.

Overall credit growth decelerated every month last year.

"The slowdown in credit growth is causing economic momentum to falter," said Mark Williams, chief Asia economist at Capital Economics, in a note last week.

Tighter credit has hit consumer spending with car sales falling last year for the first time in more than 20 years.&nbsp;

Retail sales growth slowed to 9.0 percent, down from a 10.2 percent increase the previous year. In December, sales grew 8.2 percent.&nbsp;

Output at factories and workshops ticked up 6.2 percent for the year, down from 6.6 percent in 2017.&nbsp;

Reliable data? 
The official figures could be painting an overly rosy picture, analysts say.

Economists in China and abroad have long suspected data is massaged upward, often noting that full-year gross domestic product hits Beijing's pre-set targets with suspicious regularity.

The governor of northeastern Liaoning admitted in 2017 that the industrial province had falsified data for years.

Even Li said in 2007, when he was Liaoning's top political official, that results were often "man-made" and he used his own calculations to guide provincial policymaking, according to a confidential memo released by WikiLeaks.

"The NBS is part of the government... that is why it is legitimate for the outside world to worry about potential adjustment of data on the economy," said Louis Kuijs of Oxford Economics.

The US-based Conference Board, a widely respected global business think tank, said its methodology indicates growth of 4.1 percent for 2018.

On Friday, China revised its 2017 economic growth down to 6.8 percent from 6.9 percent -- a move some analysts say may have been aimed at beefing up this year's growth rate.

"Sceptics will be forgiven for questioning whether NBS is trying to smooth GDP growth by shifting some of the recent weakness into the 2017 figures," said Julian Evans-Pritchard of Capital Economics in a note.

China's economy grew at its slowest pace in almost three decades in 2018, losing more steam in the last quarter as it battles to quell massive debt and a US trade war, official data showed Monday.

China's economy grew at its slowest pace in almost three decades in 2018, losing more steam in the last quarter as it battles to quell massive debt and a US trade war, official data showed Monday. The 6.6 percent growth comes in above the official target of around 6.5 percent and matches a forecast by analysts polled by AFP, but is down from the 6.8 percent chalked up in 2017, according to the National Bureau of Statistics (NBS). And in a sign of the battle Beijing faces in getting things back on track, growth in the last three months of the year clocked in at 6.4 percent, matching a low seen during the global financial crisis 10 years ago, with economists widely expecting the slowdown to deepen. "The 'three critical battles' of preventing and defusing financial risks, conducting targeted poverty alleviation, and controlling pollution got off to a good start," said NBS commissioner Ning Jizhe in prepared remarks. The slowing growth prompted Premier Li Keqiang last week to vow the government would not let the economy "fall off a cliff". Relations with top trading partner the US deteriorated sharply last year after President Donald Trump hit roughly half of Chinese imports with new tariffs in an attempt to force trade concessions. The trade war is on hold for now after President Xi Jinping and Trump agreed to a three-month ceasefire while the two sides try to find a resolution, with top negotiators set to meet in Washington at the end of the month. While analysts say the standoff has dented confidence -- leaving the stock markets battered and the yuan weakened -- they attribute most of the downturn to the government policies to tackle growing debt, financial risk and pollution. China hit the brakes on major projects such as subway lines and motorways and held off on mountain-moving endeavours to keep a lid on debt last year, with infrastructure investment rising by just 3.8 percent, down from 19 percent the year before. China's exports to US and the world also fell in December, reinforcing the need for its legions of domestic consumers to fuel the economy. 'Massive market' Li last week touted China's "massive market" and vowed to spur on consumption, but the data shows difficulty ahead. Overall credit growth decelerated every month last year. "The slowdown in credit growth is causing economic momentum to falter," said Mark Williams, chief Asia economist at Capital Economics, in a note last week. Tighter credit has hit consumer spending with car sales falling last year for the first time in more than 20 years. Retail sales growth slowed to 9.0 percent, down from a 10.2 percent increase the previous year. In December, sales grew 8.2 percent. Output at factories and workshops ticked up 6.2 percent for the year, down from 6.6 percent in 2017. Reliable data? The official figures could be painting an overly rosy picture, analysts say. Economists in China and abroad have long suspected data is massaged upward, often noting that full-year gross domestic product hits Beijing's pre-set targets with suspicious regularity. The governor of northeastern Liaoning admitted in 2017 that the industrial province had falsified data for years. Even Li said in 2007, when he was Liaoning's top political official, that results were often "man-made" and he used his own calculations to guide provincial policymaking, according to a confidential memo released by WikiLeaks. "The NBS is part of the government... that is why it is legitimate for the outside world to worry about potential adjustment of data on the economy," said Louis Kuijs of Oxford Economics. The US-based Conference Board, a widely respected global business think tank, said its methodology indicates growth of 4.1 percent for 2018. On Friday, China revised its 2017 economic growth down to 6.8 percent from 6.9 percent -- a move some analysts say may have been aimed at beefing up this year's growth rate. "Sceptics will be forgiven for questioning whether NBS is trying to smooth GDP growth by shifting some of the recent weakness into the 2017 figures," said Julian Evans-Pritchard of Capital Economics in a note.

China economy grew at slowest pace in 28 years in 2018

<a href="https://www.google.com/url?q=http://www.wionews.com/world/zimbabwes-president-hikes-fuel-prices-to-tackle-shortages-190043&amp;sa=U&amp;ved=0ahUKEwjIx6OJrfffAhULTY8KHckxDfYQFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw25hwBThvhCEzx9_qjfJGUz">Zimbabwe</a> imposed a "total shutdown" of the internet on Friday, a major provider told customers, after protests early this week triggered a ruthless security crackdown.

The internet had been partially restored after a first shutdown started on Tuesday.

"We were served with another directive for a total shutdown of the internet until further notice," Econet, the country's biggest provider, said in a text message on Friday.

"Our lawyers advised we are required to comply with the directive pending the court decision on its legality. The earlier directive(s) are already the subject of pending high court application.

"We sincerely apologise for all inconveniences caused by the acts of government."

The EU on Thursday joined the US and Britain in criticising the authorities' response to the protests.

"The escalation of violence in Zimbabwe over recent days has been aggravated by the disproportionate use of force by security personnel," European Commission spokeswoman Maja Kocijancic said in a statement.

"The<a href="https://www.google.com/url?q=http://www.wionews.com/world/trump-blocks-pelosi-trip-as-tensions-mount-over-government-shutdown-191083&amp;sa=U&amp;ved=0ahUKEwjtjNGarfffAhWFuY8KHRdGDyYQFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw1lO_iPmAvemXofAbp_y84Z"> shutdown</a> of access to the internet should also be reversed."

The US embassy in Harare it was "alarmed by credible reports that security forces are targeting and beating political activists and labour leaders".

Nationwide demonstrations erupted on Monday after President Emmerson Mnangagwa announced that fuel prices were being doubled in a country suffering regular shortages of fuel, food, and medicine.

Mnangagwa, who succeeded ousted authoritarian president Robert Mugabe in 2017, had promised a fresh start for Zimbabwe after decades of repression and economic decline.

Trade unions called the national strike on Monday and the demonstrations took place in several cities with widespread rioting and looting.

Security forces have made about 600 arrests.

Police and soldiers have been accused of indiscriminately dragging people from their homes and beating them.

 
&nbsp;

Zimbabwe imposed a "total shutdown" of the internet on Friday, a major provider told customers, after protests early this week triggered a ruthless security crackdown.

Zimbabwe imposed a "total shutdown" of the internet on Friday, a major provider told customers, after protests early this week triggered a ruthless security crackdown. The internet had been partially restored after a first shutdown started on Tuesday. "We were served with another directive for a total shutdown of the internet until further notice," Econet, the country's biggest provider, said in a text message on Friday. "Our lawyers advised we are required to comply with the directive pending the court decision on its legality. The earlier directive(s) are already the subject of pending high court application. "We sincerely apologise for all inconveniences caused by the acts of government." The EU on Thursday joined the US and Britain in criticising the authorities' response to the protests. "The escalation of violence in Zimbabwe over recent days has been aggravated by the disproportionate use of force by security personnel," European Commission spokeswoman Maja Kocijancic said in a statement. "The shutdown of access to the internet should also be reversed." The US embassy in Harare it was "alarmed by credible reports that security forces are targeting and beating political activists and labour leaders". Nationwide demonstrations erupted on Monday after President Emmerson Mnangagwa announced that fuel prices were being doubled in a country suffering regular shortages of fuel, food, and medicine. Mnangagwa, who succeeded ousted authoritarian president Robert Mugabe in 2017, had promised a fresh start for Zimbabwe after decades of repression and economic decline. Trade unions called the national strike on Monday and the demonstrations took place in several cities with widespread rioting and looting. Security forces have made about 600 arrests. Police and soldiers have been accused of indiscriminately dragging people from their homes and beating them.

Total internet shutdown' in Zimbabwe: Provider

<a href="https://www.google.com/url?q=http://www.wionews.com/opinions/why-there-will-be-no-winners-from-the-us-china-trade-war-191220&amp;sa=U&amp;ved=0ahUKEwibl46ClfffAhUFQH0KHX_NBDUQFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw3otA3INlmP6sCB8rwcjZGA">China</a>'s economy grew at its slowest pace in almost three decades in 2018, analysts in an AFP poll said, as the government struggles to contain ballooning debt and a bruising trade war with the United States.

And in a sign of the battle Beijing faces in getting things back on track, the survey of 13 economists also forecast expansion in the last three months to be at its weakest since the global financial crisis 10 years ago.

The figures are the latest in a long-running trend that has prompted officials to vow they will not let the economy "fall off a cliff" and announce support measures including tax cuts and making it easier for banks to lend.

The full-year figure of 6.6 per cent would be the worst since 1990 when the economy was hit by outrage over the Tiananmen Square crackdown a year earlier.

The October-December rate of 6.4 per cent marks the slowest quarter since 2009 and indicates China faces a tough year ahead.

"Economic momentum is clearly slowing," said Raymond Yeung, an economist at ANZ bank.

Economists in China and abroad have long suspected data is massaged upward, often noting that full-year gross domestic product hits Beijing's pre-set targets with suspicious regularity.

A widely respected global business think tank, the US-based Conference Board, says its methodology indicates growth of 4.1 per cent growth for the year.

Relations with a top trading partner the United States deteriorated sharply last year after <a href="https://www.google.com/url?q=http://www.wionews.com/world/trump-says-record-long-government-shutdown-could-be-resolved-in-15-minutes-189918&amp;sa=U&amp;ved=0ahUKEwiu1YmflfffAhWLqY8KHb1HB_cQFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw2WItk1bJRC5Ldh7JuLUsA-">President Donald Trump</a> hit roughly half of the Chinese imports with new tariffs in an attempt to force trade concessions from Beijing.

The trade war with the US is on hold for now after President Xi Jinping and Donald Trump agreed to a three-month ceasefire while the two sides try to find a resolution.

China's top negotiator is heading to Washington for talks this month ahead of a March deadline to avoid further tariff hikes, while a report said the US is considering lifting some levies in return for reforms by Beijing.

While analysts say the standoff has dented confidence — leaving the stock markets battered and the yuan weakened — they attribute most the downturn to government policies to tackle growing debt, financial risk, and pollution.

Stimulus measures 
&nbsp; 
The 2018 growth forecast is above the official target of around 6.5 per cent but down from the 6.8 per cent chalked up in the year before — after officials on Friday revised down the 2017 figure.&nbsp;

The National Bureau of Statistics will release its official results on Monday.

After halting some major infrastructure<a href="https://www.google.com/url?q=http://www.wionews.com/india-news/government-clears-rs-4242-crore-it-filing-project-selects-infosys-as-developer-190802&amp;sa=U&amp;ved=0ahUKEwi62J6xlfffAhXKQY8KHVusBC8QFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw1Ah_DbpMf6YyZ__4swefIq"> project</a>s such as subway lines and motorways in the first half of the year to keep a lid on debt, policymakers gradually eased up and encouraged more infrastructure spending in the autumn.

"The squeeze on shadow financing activity took a particularly heavy toll on infrastructure investment," economists at Fitch Ratings wrote in a report, referring to off-the-books loans.

Analysts say the credit tightening also made loans harder to come by for some would-be car buyers, which contributed to annual car sales falling for the first time in more than 20 years.

It is one of a raft of recent economic indicators that point to a deepening slowdown. Imports and exports fell in December while the manufacturing sector contracted for the first time in more than two years.

Chinese officials have announced tax cuts, fee reductions, and cutting red tape, among other measures to stimulate the economy.

"We propose to keep the Chinese economy operating in a reasonable range, which means that we allow the economic growth rate to have certain fluctuations," Chinese Premier Li Keqiang told academics and businessmen this week.

"But it cannot have major ups and major downs, and it cannot 'fall off a cliff'," he said.

'Sword of Damocles'&nbsp;

Li vowed to help private businesses and "take advantage of our massive domestic <a href="https://www.google.com/url?q=http://www.wionews.com/business-economy/pound-stands-firm-after-may-loss-asian-equity-markets-rise-190681&amp;sa=U&amp;ved=0ahUKEwjRldD4lfffAhVIqI8KHRw5B-QQFggFMAA&amp;client=internal-uds-cse&amp;cx=006054055338965708568:09spwrlibei&amp;usg=AOvVaw3ixutNsCQbGuNL0Q91UIzE">market</a>".

With officials intent on not further inflating the debt bubble, and the export picture dimming, it has reinforced the need for China to rely on its legion of consumers to grow its economy.

"We see a fast deceleration on investment and also retail sales, which weigh on the growth slowdown," said Liu Ligang, chief China economist at Citigroup.

"The financial deleveraging made it really hard for the private sectors to get funding," he said.

Exports still drive a significant chunk of China's economy and Washington's targeting of cars, machinery, electronics, consumer appliances, and other products have led some firms to shift production out of the country.

Most exporters sped up their shipments across the Pacific to beat the tariff deadlines, with exports to the US holding up until November.&nbsp;

"The trade war with the US should be regarded as a ... Sword of Damocles for the Chinese economy, but its impact is only really visible in the very last months of 2018," said Bjorn Giesbergen, senior economist at Rabobank.

China's economy grew at its slowest pace in almost three decades in 2018, analysts in an AFP poll said, as the government struggles to contain ballooning debt and a bruising trade war with the United States.

China's economy grew at its slowest pace in almost three decades in 2018, analysts in an AFP poll said, as the government struggles to contain ballooning debt and a bruising trade war with the United States. And in a sign of the battle Beijing faces in getting things back on track, the survey of 13 economists also forecast expansion in the last three months to be at its weakest since the global financial crisis 10 years ago. The figures are the latest in a long-running trend that has prompted officials to vow they will not let the economy "fall off a cliff" and announce support measures including tax cuts and making it easier for banks to lend. The full-year figure of 6.6 per cent would be the worst since 1990 when the economy was hit by outrage over the Tiananmen Square crackdown a year earlier. The October-December rate of 6.4 per cent marks the slowest quarter since 2009 and indicates China faces a tough year ahead. "Economic momentum is clearly slowing," said Raymond Yeung, an economist at ANZ bank. Economists in China and abroad have long suspected data is massaged upward, often noting that full-year gross domestic product hits Beijing's pre-set targets with suspicious regularity. A widely respected global business think tank, the US-based Conference Board, says its methodology indicates growth of 4.1 per cent growth for the year. Relations with a top trading partner the United States deteriorated sharply last year after President Donald Trump hit roughly half of the Chinese imports with new tariffs in an attempt to force trade concessions from Beijing. The trade war with the US is on hold for now after President Xi Jinping and Donald Trump agreed to a three-month ceasefire while the two sides try to find a resolution. China's top negotiator is heading to Washington for talks this month ahead of a March deadline to avoid further tariff hikes, while a report said the US is considering lifting some levies in return for reforms by Beijing. While analysts say the standoff has dented confidence — leaving the stock markets battered and the yuan weakened — they attribute most the downturn to government policies to tackle growing debt, financial risk, and pollution. Stimulus measures The 2018 growth forecast is above the official target of around 6.5 per cent but down from the 6.8 per cent chalked up in the year before — after officials on Friday revised down the 2017 figure. The National Bureau of Statistics will release its official results on Monday. After halting some major infrastructure projects such as subway lines and motorways in the first half of the year to keep a lid on debt, policymakers gradually eased up and encouraged more infrastructure spending in the autumn. "The squeeze on shadow financing activity took a particularly heavy toll on infrastructure investment," economists at Fitch Ratings wrote in a report, referring to off-the-books loans. Analysts say the credit tightening also made loans harder to come by for some would-be car buyers, which contributed to annual car sales falling for the first time in more than 20 years. It is one of a raft of recent economic indicators that point to a deepening slowdown. Imports and exports fell in December while the manufacturing sector contracted for the first time in more than two years. Chinese officials have announced tax cuts, fee reductions, and cutting red tape, among other measures to stimulate the economy. "We propose to keep the Chinese economy operating in a reasonable range, which means that we allow the economic growth rate to have certain fluctuations," Chinese Premier Li Keqiang told academics and businessmen this week. "But it cannot have major ups and major downs, and it cannot 'fall off a cliff'," he said. 'Sword of Damocles' Li vowed to help private businesses and "take advantage of our massive domestic market". With officials intent on not further inflating the debt bubble, and the export picture dimming, it has reinforced the need for China to rely on its legion of consumers to grow its economy. "We see a fast deceleration on investment and also retail sales, which weigh on the growth slowdown," said Liu Ligang, chief China economist at Citigroup. "The financial deleveraging made it really hard for the private sectors to get funding," he said. Exports still drive a significant chunk of China's economy and Washington's targeting of cars, machinery, electronics, consumer appliances, and other products have led some firms to shift production out of the country. Most exporters sped up their shipments across the Pacific to beat the tariff deadlines, with exports to the US holding up until November. "The trade war with the US should be regarded as a ... Sword of Damocles for the Chinese economy, but its impact is only really visible in the very last months of 2018," said Bjorn Giesbergen, senior economist at Rabobank.

China growth hit slowest pace in decades in 2018: Report

The <a href="http://www.wionews.com/world/trump-says-record-long-government-shutdown-could-be-resolved-in-15-minutes-189918">US government shutdown</a> on Saturday became the longest in history and is taking a growing bite out of the world's largest economy with each passing day, economists say.

While most of the 21 "lapses" in government spending since 1976 left barely a scratch on economic growth, the length of this shutdown makes it harder to say just how bad the impact could get.

"It's not a hard stretch to say that initially it's smaller and then it expands, the pain starts to widen," Beth Ann Bovino, chief US economist at S&amp;P Global Ratings, told AFP. "Think of it as a butterfly effect."

With about a quarter of the federal workforce affected, the shutdown is currently squeezing an estimated $1.2 billion a week out of the economy, Bovino said, but that figure could grow if it drags on.

At the current rate, within two weeks it will have cost America more than the $5.7 billion <a href="http://www.wionews.com/world/was-trump-working-for-russia-us-president-blasts-fbi-for-opening-probe-189894">US President Donald Trump</a> is demanding for a wall on the border with Mexico, the dispute with Congress that led to the failure to pass funding for government operations.

Following extended closures in 1995 and 2013, the US economy continued to grow while stock markets mainly went sideways.

And GDP growth lost in one quarter can rebound in the next as the government springs back to life and workers recoup lost salaries. But some losses can never be recovered.

In myriad but often unseen ways, the $4 trillion federal budget is felt in the daily lives of all Americans, well beyond the 800,000 government workers now going without pay -- many of whom missed their first paychecks on Friday.

Switching off even a part of the government means that life force quickly begins to bleed away.

Payments to farmers and poor families, craft beer labels, food inspections and economic data all have fallen victim to the budget impasse.&nbsp;

Meanwhile, tax refunds and borrower income verifications crucial to the mortgage industry were briefly up in the air with billions at stake.

"The tentacles start to touch many avenues of life and that's a very sad thing," Bovino said.

US Coast Guard cutters, their crews working without pay, on Monday began icebreaking at commercial ports in the frigid waters of Great Lakes near the Canadian border so local steel mills can remain supplied with iron ore.

Meanwhile, farmers cannot collect aid payments designed to help ease the pain caused by Trump's trade war with China.

Hurting the poorest most&nbsp;

Small Business Administration loans to help mom-and-pop businesses trying to invest, hire and grow have been delayed.

There are no government loans for seeds or cattle feed and none of the regular Agriculture Department data about crop yields and commodity prices that farmers depend on to plan for the coming year.

Permits from some oil and gas drilling -- which feeds into GDP calculations -- are delayed.

Bloomberg estimates that government contractors are losing $200 million a day, cutting revenues for defense industry giants like Boeing, General Dynamics and Leidos.

Tourism at the country's 400 national parks normally generates a reported $18 million a day, but with some parks unattended and many services halted, local restaurants, hotels and shops are losing customers.

Government assistance to feed the poorest Americans is funded through next month only.

None of this includes the hardships felt by the 380,000 federal workers who have been furloughed or the 420,000 who are deemed "essential" but are working without pay.

They owe an estimated $438 million a month in rent and mortgage payments, according to the real estate firm Zillow.

Around the Washington region, home to about 20 percent of the federal work force, restaurants are sitting empty, taxis are idled and traffic increasingly moves with eerie ease along the capital's choked boulevards.

Yingrui Huang, an engineer for a defense contractor at NASA's Goddard Space Flight Center in Maryland, told AFP his company is normally at work building weather satellites and telescopes for the government but is shuttered until further notice.

To fight boredom, he is now driving for the mobile ride hailing service Lyft but said he was most concerned hourly employees like janitors, cafeteria workers and secretaries.

"Their salaries are definitely lower than most of the engineering staff. They don't get the limelight. We don't think about them," he said.

Economic research on the last major shutdown in October 2013 found many federal workers were largely able to avoid sinking into debt -- delaying mortgage payments and shifting balances between credit cards.

But that shutdown lasted for barely two weeks -- one pay cycle -- and lawmakers at the time had quickly promised workers would receive back pay.

"It's possible that the effects will be greater for this shutdown," University of Chicago economist Constantine Yannelis, who studied the 2013 shutdown, told AFP.

"The longer a shutdown lasts, the more persistent a change in habits you could see."

The US government shutdown on Saturday became the longest in history and is taking a growing bite out of the world's largest economy with each passing day, economists say.

The US government shutdown on Saturday became the longest in history and is taking a growing bite out of the world's largest economy with each passing day, economists say. While most of the 21 "lapses" in government spending since 1976 left barely a scratch on economic growth, the length of this shutdown makes it harder to say just how bad the impact could get. "It's not a hard stretch to say that initially it's smaller and then it expands, the pain starts to widen," Beth Ann Bovino, chief US economist at S&P Global Ratings, told AFP. "Think of it as a butterfly effect." With about a quarter of the federal workforce affected, the shutdown is currently squeezing an estimated $1.2 billion a week out of the economy, Bovino said, but that figure could grow if it drags on. At the current rate, within two weeks it will have cost America more than the $5.7 billion US President Donald Trump is demanding for a wall on the border with Mexico, the dispute with Congress that led to the failure to pass funding for government operations. Following extended closures in 1995 and 2013, the US economy continued to grow while stock markets mainly went sideways. And GDP growth lost in one quarter can rebound in the next as the government springs back to life and workers recoup lost salaries. But some losses can never be recovered. In myriad but often unseen ways, the $4 trillion federal budget is felt in the daily lives of all Americans, well beyond the 800,000 government workers now going without pay -- many of whom missed their first paychecks on Friday. Switching off even a part of the government means that life force quickly begins to bleed away. Payments to farmers and poor families, craft beer labels, food inspections and economic data all have fallen victim to the budget impasse. Meanwhile, tax refunds and borrower income verifications crucial to the mortgage industry were briefly up in the air with billions at stake. "The tentacles start to touch many avenues of life and that's a very sad thing," Bovino said. US Coast Guard cutters, their crews working without pay, on Monday began icebreaking at commercial ports in the frigid waters of Great Lakes near the Canadian border so local steel mills can remain supplied with iron ore. Meanwhile, farmers cannot collect aid payments designed to help ease the pain caused by Trump's trade war with China. Hurting the poorest most Small Business Administration loans to help mom-and-pop businesses trying to invest, hire and grow have been delayed. There are no government loans for seeds or cattle feed and none of the regular Agriculture Department data about crop yields and commodity prices that farmers depend on to plan for the coming year. Permits from some oil and gas drilling -- which feeds into GDP calculations -- are delayed. Bloomberg estimates that government contractors are losing $200 million a day, cutting revenues for defense industry giants like Boeing, General Dynamics and Leidos. Tourism at the country's 400 national parks normally generates a reported $18 million a day, but with some parks unattended and many services halted, local restaurants, hotels and shops are losing customers. Government assistance to feed the poorest Americans is funded through next month only. None of this includes the hardships felt by the 380,000 federal workers who have been furloughed or the 420,000 who are deemed "essential" but are working without pay. They owe an estimated $438 million a month in rent and mortgage payments, according to the real estate firm Zillow. Around the Washington region, home to about 20 percent of the federal work force, restaurants are sitting empty, taxis are idled and traffic increasingly moves with eerie ease along the capital's choked boulevards. Yingrui Huang, an engineer for a defense contractor at NASA's Goddard Space Flight Center in Maryland, told AFP his company is normally at work building weather satellites and telescopes for the government but is shuttered until further notice. To fight boredom, he is now driving for the mobile ride hailing service Lyft but said he was most concerned hourly employees like janitors, cafeteria workers and secretaries. "Their salaries are definitely lower than most of the engineering staff. They don't get the limelight. We don't think about them," he said. Economic research on the last major shutdown in October 2013 found many federal workers were largely able to avoid sinking into debt -- delaying mortgage payments and shifting balances between credit cards. But that shutdown lasted for barely two weeks -- one pay cycle -- and lawmakers at the time had quickly promised workers would receive back pay. "It's possible that the effects will be greater for this shutdown," University of Chicago economist Constantine Yannelis, who studied the 2013 shutdown, told AFP. "The longer a shutdown lasts, the more persistent a change in habits you could see."

US shutdown sends economy into uncharted waters

The government wants to focus on the districts as part of a bottom-up approach for boosting growth, industry minister Suresh Prabhu said here Saturday.

The idea is to focus on one district at a time and increase its GDP growth by 3-4 percentage points annually, which will help increase the national GDP, the minister said speaking at an Association of National Exchanges Members of India event here.

Accordingly, the government has identified six districts, mapped its baseline of their economy with help from reputed bodies like IIM and NCAER and then work on specifics to increase their economic output.

"We've been focusing on the macro all these while, and while that continues, now we feel the need to also have the micro or the bottom," said Prabhu, who also heads the commerce and aviation ministries.

He said the chosen districts are in Maharashtra, Andhra Pradesh, Bihar, Himachal Pradesh, and Uttar Pradesh, and these districts will get special attention in ease of doing business.

The minister said it is now a certainty that the $2.6-trillion economy will scale the $5-trillion mount over the next seven-nine years, and touch the $10 trillion mark by the turn of 2035.

The measures being undertaken to push growth at district level are aimed at achieving this higher target earlier, he said, adding there will be a launch event in the financial capital next Tuesday regarding the same.

Prabhu said the country is now targeting to increase the annual FDI inflows to $100 billion.

The government has identified the sectors which can attract investments and has prepared a list of 150 companies sitting with huge cash balance which will be targeted to get investments, he said.

He said a vibrant capital market is essential both for mobilising capital as well as make it work effectively, such that it delivers the maximum returns for the economy.

The minister also assured government help to ensure that the capital markets keep performing better.

Prabhu said it is one of the most challenging times for global trade and we'll have to increase our focus on services and merchandise exports and that government has asked Exim Bank to undertake an analysis both from a product as well a geographical perspective to increase exports.

Addressing the event, a top Anmi functionary flagged taxation issues being faced by investors, terming it as a price for transparency which domestic investors have to play and sought to be heard as the government is currently preparing the direct tax code.

M Damodaran, a former Sebi chairman, said he has reservations on self-regulatory organisations and pointed to the lack of success on this front at the chartered accountants, medicines and the legal profession.

The government wants to focus on the districts as part of a bottom-up approach for boosting growth, industry minister Suresh Prabhu said here Saturday. The idea is to focus on one district at a time and increase its GDP growth by 3-4 percentage points annually, which will help increase the national GDP, the minister said speaking at an Association of National Exchanges Members of India event here.

The government wants to focus on the districts as part of a bottom-up approach for boosting growth, industry minister Suresh Prabhu said here Saturday. The idea is to focus on one district at a time and increase its GDP growth by 3-4 percentage points annually, which will help increase the national GDP, the minister said speaking at an Association of National Exchanges Members of India event here. Accordingly, the government has identified six districts, mapped its baseline of their economy with help from reputed bodies like IIM and NCAER and then work on specifics to increase their economic output. "We've been focusing on the macro all these while, and while that continues, now we feel the need to also have the micro or the bottom," said Prabhu, who also heads the commerce and aviation ministries. He said the chosen districts are in Maharashtra, Andhra Pradesh, Bihar, Himachal Pradesh, and Uttar Pradesh, and these districts will get special attention in ease of doing business. The minister said it is now a certainty that the $2.6-trillion economy will scale the $5-trillion mount over the next seven-nine years, and touch the $10 trillion mark by the turn of 2035. The measures being undertaken to push growth at district level are aimed at achieving this higher target earlier, he said, adding there will be a launch event in the financial capital next Tuesday regarding the same. Prabhu said the country is now targeting to increase the annual FDI inflows to $100 billion. The government has identified the sectors which can attract investments and has prepared a list of 150 companies sitting with huge cash balance which will be targeted to get investments, he said. He said a vibrant capital market is essential both for mobilising capital as well as make it work effectively, such that it delivers the maximum returns for the economy. The minister also assured government help to ensure that the capital markets keep performing better. Prabhu said it is one of the most challenging times for global trade and we'll have to increase our focus on services and merchandise exports and that government has asked Exim Bank to undertake an analysis both from a product as well a geographical perspective to increase exports. Addressing the event, a top Anmi functionary flagged taxation issues being faced by investors, terming it as a price for transparency which domestic investors have to play and sought to be heard as the government is currently preparing the direct tax code. M Damodaran, a former Sebi chairman, said he has reservations on self-regulatory organisations and pointed to the lack of success on this front at the chartered accountants, medicines and the legal profession.

District-focused approach to boost GDP growth faster: Suresh Prabhu

Domestic stock markets on Monday opened in green with BSE Sensex gaining over 300 points to touch 36,033.20. Nifty, on the other hand, rose marginally by more than 90 points to 10,822.45.&nbsp;

Meanwhile, the national currency appreciated by 33 paise to 69.39 against the US dollar in opening trade Monday, driven by strong gains in domestic equities and weakening of the greenback in overseas markets.

The rupee opened strong at 69.38 at the interbank forex market against the previous close of 69.72 per dollar amid sustained foreign fund inflows and positive opening in domestic equities, news agency PTI reported.

<a href="http://www.wionews.com/business-economy/sensex-jumps-181-points-psu-banks-rally-188269">On Friday, the rupee had ended higher</a> by 48 paise at 69.72 against the US dollar.&nbsp;

The BSE benchmark Sensex jumped 181 points Friday while the NSE Nifty reclaimed the 10,700-mark, driven by robust buying in banking, metal and pharma stocks amid positive global cues and a strengthening rupee.

(With inputs from PTI)&nbsp; 
&nbsp;

Domestic stock markets on Monday opened in green with BSE Sensex gaining over 300 points to touch 36,033.20. Nifty, on the other hand, rose marginally by more than 90 points to 10,822.

Domestic stock markets on Monday opened in green with BSE Sensex gaining over 300 points to touch 36,033.20. Nifty, on the other hand, rose marginally by more than 90 points to 10,822.45. Meanwhile, the national currency appreciated by 33 paise to 69.39 against the US dollar in opening trade Monday, driven by strong gains in domestic equities and weakening of the greenback in overseas markets. The rupee opened strong at 69.38 at the interbank forex market against the previous close of 69.72 per dollar amid sustained foreign fund inflows and positive opening in domestic equities, news agency PTI reported. On Friday, the rupee had ended higher by 48 paise at 69.72 against the US dollar. The BSE benchmark Sensex jumped 181 points Friday while the NSE Nifty reclaimed the 10,700-mark, driven by robust buying in banking, metal and pharma stocks amid positive global cues and a strengthening rupee. (With inputs from PTI)

Markets open in green, Sensex surges over 300 points 

A sudden surge in crude prices can upset the nation's key macro-stability parameters, as it can sharply spike the current account deficit (CAD), inflation and the fiscal numbers, whittling the benefits of higher growth, warns an RBI study.

Since the country is heavily dependent on oil imports

To the tune of over 80 per cent for meeting its domestic demand, it remains susceptible to global crude price shocks.

Besides CAD, the rise in crude prices can also impact inflation and fiscal deficit, says the report.

The international crude prices increased by around 12 per cent between April and September 2018.

The mid-year spike in crude prices happened mainly due to spurt in demand, on the back of global growth revival, and partly due to geopolitical risks that led to supply-side shocks.

However, since mid-November 2018, the crude prices have declined significantly but they remain volatile.

"An increase in crude price worsens the CAD and this adverse impact cannot be significantly contained through higher growth. So, a crude price shock will be followed by high CAD to GDP ratio," says the latest issue of the Mint Street Memos titled 'The Impact of Crude Price Shock on CAD, Inflation and Fiscal Deficit' pencilled by in-house economists at the central bank.

The finding shows that in the worst case scenario, when crude prices hit $85/barrel, the deficit on account of oil balloons to $106.4 billion, which is 3.61 per cent of the GDP.

"Every $10/barrel increase in crude prices leads to an additional $12.5 billion deficit, which is roughly 43 bps of the country's GDP. So, every $10/barrel increase in crude price will shoot up the CAD/GDP ratio by 43 bps," it says.

The study says crude price shock will increase inflation if the price increase is passed on directly to the final consumers.

"Under the most conservative estimate, we quantify that a $10/barrel increase in crude price at the price of $65/barrel will lead to a 49 basis points increase in headline inflation. A similar increase at $55/barrel gives around a 58 bps increase in headline inflation," it says.

Further, if the government decides on a zero pass-through to the final consumers, a $10/barrel spike in crude prices could increase the fiscal deficit by 43bps.

This zero pass-through scenario allows us to put an upper band on the amount of fiscal slippage, it adds.

The actual inflation and fiscal deficit will finally depend on the level of government intervention (changes in tax and subsidy) in the domestic oil market, the study concludes.

A sudden surge in crude prices can upset the nation's key macro-stability parameters, as it can sharply spike the current account deficit (CAD), inflation and the fiscal numbers, whittling the benefits of higher growth, warns an RBI study.

A sudden surge in crude prices can upset the nation's key macro-stability parameters, as it can sharply spike the current account deficit (CAD), inflation and the fiscal numbers, whittling the benefits of higher growth, warns an RBI study. Since the country is heavily dependent on oil imports To the tune of over 80 per cent for meeting its domestic demand, it remains susceptible to global crude price shocks. Besides CAD, the rise in crude prices can also impact inflation and fiscal deficit, says the report. The international crude prices increased by around 12 per cent between April and September 2018. The mid-year spike in crude prices happened mainly due to spurt in demand, on the back of global growth revival, and partly due to geopolitical risks that led to supply-side shocks. However, since mid-November 2018, the crude prices have declined significantly but they remain volatile. "An increase in crude price worsens the CAD and this adverse impact cannot be significantly contained through higher growth. So, a crude price shock will be followed by high CAD to GDP ratio," says the latest issue of the Mint Street Memos titled 'The Impact of Crude Price Shock on CAD, Inflation and Fiscal Deficit' pencilled by in-house economists at the central bank. The finding shows that in the worst case scenario, when crude prices hit $85/barrel, the deficit on account of oil balloons to $106.4 billion, which is 3.61 per cent of the GDP. "Every $10/barrel increase in crude prices leads to an additional $12.5 billion deficit, which is roughly 43 bps of the country's GDP. So, every $10/barrel increase in crude price will shoot up the CAD/GDP ratio by 43 bps," it says. The study says crude price shock will increase inflation if the price increase is passed on directly to the final consumers. "Under the most conservative estimate, we quantify that a $10/barrel increase in crude price at the price of $65/barrel will lead to a 49 basis points increase in headline inflation. A similar increase at $55/barrel gives around a 58 bps increase in headline inflation," it says. Further, if the government decides on a zero pass-through to the final consumers, a $10/barrel spike in crude prices could increase the fiscal deficit by 43bps. This zero pass-through scenario allows us to put an upper band on the amount of fiscal slippage, it adds. The actual inflation and fiscal deficit will finally depend on the level of government intervention (changes in tax and subsidy) in the domestic oil market, the study concludes.

Crude shocker can be rude shocks for economy: RBI economists

Average growth will no longer represent the economy. One number will not rule all, whether it’s the GDP growth number or inflation rate.&nbsp;

Even the vote share per cent will no longer determine the winning seats. The narrative of derived numbers will not represent what is happening in the Indian economy, politics or even society.&nbsp;

The reason for that is rather obvious - in-spite of continuous change in these digits, they do not represent the situation on the ground. 
 
To present them or depend on them is not the way forward. The farm distress, for instance, is not captured by GDP growth numbers or even the inflation number. In other words, when the largest constituent in an economy is not representative enough, what good is that number?

Moreover, macroeconomics as a discipline is also losing its importance. The inequity of growth is rising and most of these numbers do not represent it.

Hopefully, this will make policymakers go granular and stop persisting with their one-policy-fits-all approach for India. BJP’s district growth plan is the reality going forward.

In an election year, populist measures will surely occupy centre stage. When such a large section of the population is denied benefits of growth and development, they are bound to be vociferous.&nbsp;

We have already seen newly-elected state governments throw caution to the winds and announce populist measures, including loan waivers.&nbsp;

Such populist moves along with universal basic income will become the norm in 2019. The rising possibility of coalition governments means each regional party will outdo the other to dish out more populist moves.

This means fiscal discipline will be thrown out of the window and state finances will deteriorate. It may have an impact on the future ability of these state governments to raise funds and invest in infrastructure.&nbsp;

All this will affect the urban middle class in cities, as investment on waste, water and transportation will slow down.&nbsp;

The middle class as a vote bank is losing its attractiveness, as it is difficult to be harnessed by any political party. A clear division is visible and the middle class will blame the rural classes more often than not for its woes.&nbsp;

The conflict of class and caste will determine and define the elections of 2019. Populism versus nationalism and the shrillness of ‘isms‘ will dominate the narrative.&nbsp;

Hopefully, it will be a quick cycle and will fade out fast, without damaging the faith in the democracy.

Amidst all this noise, there are invisible structural changes underway in the global economy, which will impact India. The structure of jobs and even work is changing and the correlation between investment and jobs will break in 2019.&nbsp;

Large investments do not result in a large number of jobs, as investment goes in land and automation or in shareholders’ pockets.&nbsp;

Tenure of jobs is reducing and only the millennials are adaptable across industries. Adapting old skills for new industries is the mantra for those of the older generations. Technology is destroying industries and processing power is eating up jobs.

The ability of processing power giants like Amazon, Google, Facebook is rising exponentially at warp speed.&nbsp;

Google’s Deep Mind defeated Ke Jie in the Chinese game of Go in May, 2017. Defeating a human in a complicated strategic game like Go is like landing a person on the moon for artificial intelligence (AI). &nbsp;

Over the last one year, China has pushed more money into AI than even the Silicon Valley.&nbsp;

Zhongguancun in China is the AI capital of world. While China will drive innovation, development and technical expertise in this area, India will bear the brunt of this drive. &nbsp;

While manufacturing jobs shrink due to automation and investment, the service sector job engine will feel the icy cold winds sweeping across from AI.

The impact of AI on outsourced services jobs is massive. Voice-based call centres have either closed down or become dens of crime and fraud. Soon transaction matching and recording jobs, a critical component of finance and accounting, will disappear.&nbsp;

This change is rarely reported, but it has a huge impact on cities like Hyderabad, Chennai, Noida, Gurgaon and Mumbai. The outsourcing job engine also has an impact on the education system, new graduates and aspirational class in tier-2 towns.&nbsp;

Rising protectionism will affect trade and relations and most populist leaders in developed countries are against globalisation.&nbsp;

China is emerging as the lone flag bearer of globalization as US, Britain, and a substantial part of Europe are firmly in the grip of populist protectionism.

While US markets outperformed emerging markets in 2018 as Trump dropped corporate taxes, an economic slowdown is always round the corner.

The global economy growth is turning soft. Trump’s trade war is affecting Chinese companies and economy. If global growth remains soft and OPEC behaves, than oil prices will remain low.&nbsp;

This will help India’s oil bill and current account deficit and may improve the central government’s balance sheet.&nbsp;

It remains to be seen how much of this benefit will be passed on to the consumer. Lower oil prices are not always good as consumers need to move away from oil to renewables.&nbsp;

The promise of everyday low prices hollowed out the US economy in the last 20 years. E-commerce giants and global supply chains have already disrupted several MSME and job-intensive industries in India.

They may have been halted briefly by the e-commerce regulations, but they will be back jumping in through other loopholes. As they say, once you have tasted how to break the rules, following the rules does not make much sense.

Several things will get broken and made during 2019; hopefully, the nation and its citizen will maintain its position as the world’s most optimistic people. 
 
(This article was originally published on DNA. Read the original article)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL) 
&nbsp;

&nbsp;

Average growth will no longer represent the economy. One number will not rule all, whether it’s the GDP growth number or inflation rate. Even the vote share per cent will no longer determine the winning seats.

Average growth will no longer represent the economy. One number will not rule all, whether it’s the GDP growth number or inflation rate. Even the vote share per cent will no longer determine the winning seats. The narrative of derived numbers will not represent what is happening in the Indian economy, politics or even society. The reason for that is rather obvious - in-spite of continuous change in these digits, they do not represent the situation on the ground. To present them or depend on them is not the way forward. The farm distress, for instance, is not captured by GDP growth numbers or even the inflation number. In other words, when the largest constituent in an economy is not representative enough, what good is that number? Moreover, macroeconomics as a discipline is also losing its importance. The inequity of growth is rising and most of these numbers do not represent it. Hopefully, this will make policymakers go granular and stop persisting with their one-policy-fits-all approach for India. BJP’s district growth plan is the reality going forward. In an election year, populist measures will surely occupy centre stage. When such a large section of the population is denied benefits of growth and development, they are bound to be vociferous. We have already seen newly-elected state governments throw caution to the winds and announce populist measures, including loan waivers. Such populist moves along with universal basic income will become the norm in 2019. The rising possibility of coalition governments means each regional party will outdo the other to dish out more populist moves. This means fiscal discipline will be thrown out of the window and state finances will deteriorate. It may have an impact on the future ability of these state governments to raise funds and invest in infrastructure. All this will affect the urban middle class in cities, as investment on waste, water and transportation will slow down. The middle class as a vote bank is losing its attractiveness, as it is difficult to be harnessed by any political party. A clear division is visible and the middle class will blame the rural classes more often than not for its woes. The conflict of class and caste will determine and define the elections of 2019. Populism versus nationalism and the shrillness of ‘isms‘ will dominate the narrative. Hopefully, it will be a quick cycle and will fade out fast, without damaging the faith in the democracy. Amidst all this noise, there are invisible structural changes underway in the global economy, which will impact India. The structure of jobs and even work is changing and the correlation between investment and jobs will break in 2019. Large investments do not result in a large number of jobs, as investment goes in land and automation or in shareholders’ pockets. Tenure of jobs is reducing and only the millennials are adaptable across industries. Adapting old skills for new industries is the mantra for those of the older generations. Technology is destroying industries and processing power is eating up jobs. The ability of processing power giants like Amazon, Google, Facebook is rising exponentially at warp speed. Google’s Deep Mind defeated Ke Jie in the Chinese game of Go in May, 2017. Defeating a human in a complicated strategic game like Go is like landing a person on the moon for artificial intelligence (AI). Over the last one year, China has pushed more money into AI than even the Silicon Valley. Zhongguancun in China is the AI capital of world. While China will drive innovation, development and technical expertise in this area, India will bear the brunt of this drive. While manufacturing jobs shrink due to automation and investment, the service sector job engine will feel the icy cold winds sweeping across from AI. The impact of AI on outsourced services jobs is massive. Voice-based call centres have either closed down or become dens of crime and fraud. Soon transaction matching and recording jobs, a critical component of finance and accounting, will disappear. This change is rarely reported, but it has a huge impact on cities like Hyderabad, Chennai, Noida, Gurgaon and Mumbai. The outsourcing job engine also has an impact on the education system, new graduates and aspirational class in tier-2 towns. Rising protectionism will affect trade and relations and most populist leaders in developed countries are against globalisation. China is emerging as the lone flag bearer of globalization as US, Britain, and a substantial part of Europe are firmly in the grip of populist protectionism. While US markets outperformed emerging markets in 2018 as Trump dropped corporate taxes, an economic slowdown is always round the corner. The global economy growth is turning soft. Trump’s trade war is affecting Chinese companies and economy. If global growth remains soft and OPEC behaves, than oil prices will remain low. This will help India’s oil bill and current account deficit and may improve the central government’s balance sheet. It remains to be seen how much of this benefit will be passed on to the consumer. Lower oil prices are not always good as consumers need to move away from oil to renewables. The promise of everyday low prices hollowed out the US economy in the last 20 years. E-commerce giants and global supply chains have already disrupted several MSME and job-intensive industries in India. They may have been halted briefly by the e-commerce regulations, but they will be back jumping in through other loopholes. As they say, once you have tasted how to break the rules, following the rules does not make much sense. Several things will get broken and made during 2019; hopefully, the nation and its citizen will maintain its position as the world’s most optimistic people. (This article was originally published on DNA. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

2019: The crucial year ahead

Domestic equities benchmark BSE Sensex plunged over 350 points Wednesday as investors turned jittery over political uncertainty in the US and fears of a global economic slowdown amid heavy selloff by foreign investors.

The 30-share index slumped 360.95 points, or 1.02 per cent, to 35,109.20 in early trade. It had fallen 271.92 points, or 0.76 per cent, to 35,470.15 in the previous session Monday. The NSE Nifty too shed 112.30 points, or 1.05 per cent, to 10,551.20.

The losses on Dalal Street were led by metal, realty, banking, IT, pharma and auto stocks.

Top losers include Yes Bank, TCS, HUL, Kotak Bank, M&amp;M, Sun Pharma, Tata Motors, Infosys, Bajaj Auto, Tata Steel, Reliance, ICICI Bank and SBI, falling up to 3 per cent.

HDFC was the only gainer on Sensex, trading marginally higher than its previous close.

Financial markets were closed Tuesday on account of Christmas.

According to experts, investors are jittery over the political unpredictability in the US.

US President Donald Trump Tuesday ruled out an end to the partial government shutdown till the Congress approve funds for building a wall along the Mexican border to prevent entry of illegal immigrants.

Democrats and some Republicans have rejected Trump's demand for the US-Mexico border, following which on last week he refused to sign a wider spending bill, temporarily stripping funding from swaths of the government.

Global investors also took cues from Wall Street stocks which plunged for a fourth straight session Monday amid rising doubts over the US economy after Treasury Secretary Steven Mnuchin's efforts to reassure investors fell flat.

Markets were also unnerved by weekend news reports that US President Donald Trump was weighing whether to fire Federal Reserve Chairman Jerome Powell, accounts that Mnuchin said Trump had denied.

The rupee, meanwhile, gained against the US dollar, and was trading at 69.82 a dollar, up 0.46 per cent from its previous close.

Brent crude, the international benchmark, was down 0.43 per cent at USD 50.55 per barrel.&nbsp;

Stocks of aviation and oil marketing companies rose as crude prices fell. Spicejet and Jet Airways rose up to 2 per cent, while IOC and BPCL gained up to 1 per cent.

On a net basis, foreign portfolio investors (FPIs) sold shares worth Rs 577.10 crore Monday, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 186.14 crore, provisional data available with BSE showed.

Elsewhere in Asia, Hong Kong's Hang Seng was fell 0.40 per cent, Kospi dropped 1.57 per cent and Shanghai Composite Index shed 0.02 per cent; while Japan's Nikkei was up 0.65 per cent in early trade.

On Wall Street, the Dow Jones Industrial Average index cracked 653.17 points, or 2.91 per cent, to 21,792.20 on Monday.&nbsp;

Domestic equities benchmark BSE Sensex plunged over 350 points Wednesday as investors turned jittery over political uncertainty in the US and fears of a global economic slowdown amid heavy selloff by foreign investors.

Domestic equities benchmark BSE Sensex plunged over 350 points Wednesday as investors turned jittery over political uncertainty in the US and fears of a global economic slowdown amid heavy selloff by foreign investors. The 30-share index slumped 360.95 points, or 1.02 per cent, to 35,109.20 in early trade. It had fallen 271.92 points, or 0.76 per cent, to 35,470.15 in the previous session Monday. The NSE Nifty too shed 112.30 points, or 1.05 per cent, to 10,551.20. The losses on Dalal Street were led by metal, realty, banking, IT, pharma and auto stocks. Top losers include Yes Bank, TCS, HUL, Kotak Bank, M&M, Sun Pharma, Tata Motors, Infosys, Bajaj Auto, Tata Steel, Reliance, ICICI Bank and SBI, falling up to 3 per cent. HDFC was the only gainer on Sensex, trading marginally higher than its previous close. Financial markets were closed Tuesday on account of Christmas. According to experts, investors are jittery over the political unpredictability in the US. US President Donald Trump Tuesday ruled out an end to the partial government shutdown till the Congress approve funds for building a wall along the Mexican border to prevent entry of illegal immigrants. Democrats and some Republicans have rejected Trump's demand for the US-Mexico border, following which on last week he refused to sign a wider spending bill, temporarily stripping funding from swaths of the government. Global investors also took cues from Wall Street stocks which plunged for a fourth straight session Monday amid rising doubts over the US economy after Treasury Secretary Steven Mnuchin's efforts to reassure investors fell flat. Markets were also unnerved by weekend news reports that US President Donald Trump was weighing whether to fire Federal Reserve Chairman Jerome Powell, accounts that Mnuchin said Trump had denied. The rupee, meanwhile, gained against the US dollar, and was trading at 69.82 a dollar, up 0.46 per cent from its previous close. Brent crude, the international benchmark, was down 0.43 per cent at USD 50.55 per barrel. Stocks of aviation and oil marketing companies rose as crude prices fell. Spicejet and Jet Airways rose up to 2 per cent, while IOC and BPCL gained up to 1 per cent. On a net basis, foreign portfolio investors (FPIs) sold shares worth Rs 577.10 crore Monday, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 186.14 crore, provisional data available with BSE showed. Elsewhere in Asia, Hong Kong's Hang Seng was fell 0.40 per cent, Kospi dropped 1.57 per cent and Shanghai Composite Index shed 0.02 per cent; while Japan's Nikkei was up 0.65 per cent in early trade. On Wall Street, the Dow Jones Industrial Average index cracked 653.17 points, or 2.91 per cent, to 21,792.20 on Monday.

Sensex cracks over 350 points on global selloff; Nifty below 10,600

The Reserve Bank of India (RBI) will soon introduce a new Rs 20 currency note with additional features, according to a document of the central bank.

The central bank has already issued new look currency notes in the denominations of Rs 10, Rs 50, Rs 100, and Rs 500, besides introducing Rs 200 and Rs 2,000 bank notes.

The new look notes are being introduced since November 2016 under Mahatma Gandhi (New) series. These are different in size and design compared to the notes issued previously.

The currency notes, except for banned Rs 500 and Rs 1,000, issued under old series continue to remain legal tender.

According to the RBI data bank, there were 4.92 billion pieces of Rs 20 note in circulation as on March 31, 2016. The number more than doubled to about 10 billion pieces by March 2018.

The Rs 20 notes accounted for 9.8 per cent of the total number of currency notes in circulation at the end of March 2018.&nbsp;

The Reserve Bank of India (RBI) will soon introduce a new Rs 20 currency note with additional features, according to a document of the central bank. The central bank has already issued new look currency notes in the denominations of Rs 10, Rs 50, Rs 100, and Rs 500, besides introducing Rs 200 and Rs 2,000 bank notes.

The Reserve Bank of India (RBI) will soon introduce a new Rs 20 currency note with additional features, according to a document of the central bank. The central bank has already issued new look currency notes in the denominations of Rs 10, Rs 50, Rs 100, and Rs 500, besides introducing Rs 200 and Rs 2,000 bank notes. The new look notes are being introduced since November 2016 under Mahatma Gandhi (New) series. These are different in size and design compared to the notes issued previously. The currency notes, except for banned Rs 500 and Rs 1,000, issued under old series continue to remain legal tender. According to the RBI data bank, there were 4.92 billion pieces of Rs 20 note in circulation as on March 31, 2016. The number more than doubled to about 10 billion pieces by March 2018. The Rs 20 notes accounted for 9.8 per cent of the total number of currency notes in circulation at the end of March 2018.

RBI to soon release new Rs 20 bank note

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