2014

2013

Emerging Markets Roundup: India

STRONG RESPONSE TO NEW BANKING LICENSES By Aaron Chaze As of early May nearly 100 Indian corporate entities have expressed interest in the Reserve Bank of India’s invitation for applications for new bank licenses. Photo Credits: RUPA / Shutterstock.com The ...

Emerging Markets Roundup: India

HIGH INTEREST RATES AND RISING FUEL COSTS HIT AUTO SECTOR By Aaron Chaze Indian car sales slipped 12.5% year-on-year, to 141,083 units, in December, according to the Society of Indian Automobile Manufacturers (SIAM). Heavy-vehicle sales (trucks and buses) dropped 13%, ...

Emerging Markets Roundup: India

FDI Reforms Get Parliamentary Approval By Aaron Chaze Both the lower and upper houses of India’s parliament voted during the first week of December to allow foreign direct investment in India’s domestic retail sector—a major win for prime minister Manmohan ...

2012

Emerging Markets Roundup: India

RBI TIGHTENS CREDIT-PROVISIONING NORMS FOR INDIAN BANKS By Aaron Chaze As growth slows in India, the central bank is pushing banks to prepare for higher credit costs. One of the measures adopted by the Reserve Bank of India is an ...

Emerging Markets Roundup: India

CONFIDENCE RISING By Aaron Chaze Economic policy reforms are having the desired effect: The confidence level of Indian businesses is on an upswing. A survey by research firm Dun & Bradstreet shows that Indian companies now expect greater momentum for ...

Emerging Markets Roundup: India

DOMESTIC CONCERNS PUSH INDIAN COMPANIES TO INVEST OVERSEAS By Aaron Chaze Overseas direct investment by Indian companies rose to $1.95 billion in August from $1.24 billion the previous month. Sugar futures dropping on late monsoon season According to the Reserve ...

Emerging Markets Roundup: India

COCA-COLA AND IKEA STEP UP INVESTMENT IN INDIA, DESPITE SLOWING GROWTH By Aaron Chaze Ikea, the Swedish retailer, has applied to the Indian government for permission to open 25 stores across the country, investing $1.9 billion in the country. Coca-Cola ...

Emerging Markets Roundup: India

GOVERNMENT TO SELL OFF STAKES, REDUCE DEFICIT By Aaron Chaze The administration announced renewed efforts to sell stakes in government-run companies in order to reduce the fiscal deficit. It plans to raise INR300 billion ($5.4 billion) by selling stakes in ...

Emerging Markets Roundup: India

S&P, CITING POLICY PARALYSIS, CUTS INDIA’S RATINGS OUTLOOK By Aaron Chaze S&P cut India’s sovereign credit rating outlook to negative in April in response to growing paralysis in government policy. India’s rating remains at BBB-, the lowest investment-grade rating, and ...

Emerging Markets Roundup: India

FOREIGN INVESTORS MAY EXIT IF FAVORABLE TAX TREATMENT DISAPPEARS By Aaron Chaze Foreign investors routing investments to India through Mauritius could potentially be taxed on their short-term gains, under a tax law amendment that was proposed in the recently announced ...

Emerging Markets Roundup: India

PRIVATIZATION PROGRAM FAILS TO MEET TARGETS By Aaron Chaze The Indian government pushed to meet targeted privatizations for the 2011–2012 fiscal year. Powering up India’s thermal power plants The Indian government gave a final—and less-than-successful—push to meet its targeted sales ...

Emerging Markets Roundup: India

CHINESE BANKS TO REFINANCE INDIAN CORPORATE LOANS By Aaron Chaze Three major Chinese banks were central to one of India's largest-ever corporate refinancings of foreign currency debt. Reliance Communications, India's second-largest cellular operator, controlled by billionaire Anil Ambani, successfully raised ...

Mistry To Take The Helm At Tata Sons

NEWSMAKERS: INDIA By Aaron Chaze After two decades leading India’s largest and most respected conglomerate, Ratan Tata will step down in December 2012 as chairman of Tata Sons—the holding company that runs the $83 billion Tata group of companies, with ...

Emerging Markets Roundup: India

SINKING PUPEE AFFECTS CORPORATE DEBT REPAYMENT By Aaron Chaze Corporate borrowers in India have been hard hit by the rupee slide—the currency fell 18% over the dollar between January and November, 2011, and fell 7% in November alone. According to ...

2011

Emerging Markets Roundup: India

SLACKENING M&A; MAY PICK UP AS MONETARY POLICY EASES By Aaron Chaze Corporate dealmaking in India has declined in the period of the year through October 2011. Indian Internet penetration grows According to global consulting firm Grant Thornton, domestic and ...

Emerging Markets Roundup: India

DECLINING SALES HIT INDIAN AUTO INDUSTRY By Aaron Chaze The Society of Indian Automobile Manufacturers (SIAM) has significantly lowered the growth forecast for car sales in the domestic market for fiscal 2012 from between 10% and 12% to between 2% ...

Emerging Markets Roundup: India

FOREIGN INSTITUTIONAL INVESTOR FLOWS START TO DECLINE By Aaron Chaze Inflation fears, monetary tightening and slowing corporate growth may reduce foreign institutional investor interest. Reserve Bank of India cites strong outward investment by Indian firms Worries over inflation, monetary tightening ...

Emerging Markets Roundup: India

CENTRAL BANK CHOOSES SLOWER GROWTH OVER HIGHER INFLATION By Aaron Chaze The Reserve Bank of India (RBI) has become the most proactive central bank in Asia for monetary tightening. Indian stock exchanges are performing poorly in 2011 With inflation hitting ...

India: Tata Steel Sells Assets

EMERGING MARKETS ROUNDUP: INDIA by Aaron Chaze Tata Steel: Trimming debt In an attempt to trim its debt, India’s largest steel producer, Tata Steel, is to sell its 26.3% stake in Riversdale Mining, the Australian Stock Exchange–listed coal producer, for ...

Emerging Markets Roundup: India

INDIA SHORTLISTS EUROPEAN FIGHTERS FOR $11 BILLION CONTRACT By Aaron Chaze After a fiercely contested bidding process, which involved President Obama’s pitching in on behalf of US aerospace firms, the Indian government has announced the finalists in the competition to ...

Emerging Markets Roundup: India

Tata Steel Forges Ahead With Hybrid Securities Issue By Aaron Chaze Tata Steel is the first Indian company outside of the banking sector to raise capital by issuing a hybrid security. Mill power: Tata shows its muscle Tata Steel, India’s ...

Emerging Markets Roundup: India

POWER SECTOR INSTALLS RECORD GENERATING CAPACITY By Aaron Chaze India’s power sector has installed the highest generating capacity ever in any fiscal year during the first nine months of the 2010-11 fiscal year. India powers up its energy capacity A ...

Emerging Markets Roundup: India

ROUNDUP: INDIA By Aaron Chaze The Indian government’s Central Statistical Office (CSO) unveiled a new consumer price index that it says will measure inflation more accurately. Stepping up: India’s mobiles get boost The government currently uses the Wholesale Price Index ...

Emerging Markets Roundup: India

ROUNDUP: INDIA By Aaron Chaze New Delhi–based IndiGo, India's third largest domestic airline, placed the world's largest single order ever for commercial jetliners. Flying high: IndiGo places record-breaking aircraft order IndiGo ordered 180 aircraft with a list price total of ...

Emerging Markets Roundup: India

ROUNDUP: INDIA By Aaron Chaze India's craving for luxury cars grows Significant improvement in heavy industrial sectors drove up India's Index of Industrial Production (IIP) by nearly 11% year-on-year during October 2010, a significant step up from September's 4.4% year-on-year ...

2010

Emerging Markets Roundup: India

ROUNDUP By Aaron Chaze The other black gold: Coal India sparks investor frenzy Coal India, the world's largest coal mining company and one of the Indian government's mega disinvestments, became the largest IPO ever in India and one of its ...

Emerging Markets Roundup: India

ROUNDUP By Aaron Chaze Mining a rich seam: Coal India lines up India’s largest IPO India's financial markets regulator, the Securities and Exchange Board of India (SEBI), says it will soon allow the auction of Indian government bonds to come ...

Emerging Markets: India

ROUNDUP By Aaron Chaze With its fifth rate rise of the year India's central bank, the Reserve Bank of India, launched another attack on inflation last month. The bank upped its key rate to 6.0% from 5.75% in the face ...

Emerging Markets: India

Roundup By Aaron Chaze On the move: Car sales jumped significantly in India Auto sales in India increased sharply over the past year, with the Society of Indian Automobile Manufacturers claiming sales have jumped by 50% since January 2009. Commercial ...

Emerging Markets: India

ROUNDUP By Aaron Chaze Strong sales: Mahindra & Mahindra’s popular SUV In the face of rising inflation and GDP growth, India’s central bank, the Reserve Bank of India surprised observers with a higher-than-expected interest rate hike. The RBI upped its ...

Emerging Markets: India

ROUNDUP By Aaron Chaze Faced with a daunting budget deficit, the Indian government has decided to risk a painful backlash by India’s poor and eliminate price controls on gasoline. The government also cut subsidies on diesel, LPG and kerosene, which ...

Emerging Markets Roundup: India

Roundup By Aaron Chaze Desperate: India needs to spend $1 trillion on infrastructure The Indian government is planning to establish an $11 billion infrastructure debt fund with the objective of investing in the power sector and in roads and ports. ...

Emerging Markets: India

Roundup By Aaron Chaze Reliable growth: India’s largest company expands its reach Reliance Industries, India's largest company by market value and owner of both India's largest gas field and the world's largest crude-refining complex, has successfully acquired a 40% stake ...

Emerging Markets: India

Roundup By Aaron Chaze Calling plan: Bharti Airtel is expanding into new markets As the Indian wireless markets become ever more competitive, local companies are looking overseas for potential growth. South Asia’s largest wireless carrier, Bharti Airtel, for example, is ...

Emerging Markets: India

Roundup By Aaron Chaze Steeling the show: India enhances its steelmaking capacity As part of its drive to raise over $3 billion from power privatizations, the Indian government is poised to offer global institutional investors a 5% stake in the ...

Emerging Markets: India

Roundup By Aaron Chaze Not for sale: India’s farmers are resisting land acquisitions India’s government is forging ahead with its privatization program and has asked various ministries for a list of companies that could be considered for disinvestment— either by ...

2009

Emerging Markets: India

Roundup By Aaron Chaze Poor transport infrastructure weighs on India’s competitiveness The Indian government’s privatization program has received a shot in the arm after the Cabinet Committee on Economic Affairs (CCEA) gave the green light to a proposal to allow ...

Emerging Markets: India

Roundup By Aaron Chaze In a sign of returning confidence, corporate India is rushing to market with a rash of IPOs and share offerings. During the last week of September alone, 20 Indian companies filed draft prospectuses with the Securities ...

Emerging Markets: India

Roundup By Aaron Chaze India faces water shortages as summer rains fail India’s farmers face another tough year as it becomes clear that the southwest monsoon, which usually provides 70%-80% of India’s annual rainfall, has failed this year. India’s meteorological ...

Emerging Markets: India

Roundup By Aaron Chaze Surging ahead: India is set to outstrip China's growth According to the Global Development Finance Report released recently by the World Bank, India is expected to be the fastest-growing economy in 2010, with 8% year-on-year GDP ...

Regulars : EM Roundup India

Following the Congress (I) party’s best federal election showing since 1991, India’s stock markets began to price in an acceleration in the pace of economic reforms. By Aaron Chaze The equity indexes reported the best one-day showing in Indian stock ...

Emerging Markets : EM ROUNDUP India

Just three months after the management of Satyam Computers, India’s fourth-largest software company, confessed to accounting fraud, the company was acquired by Tech Mahindra, another Indian software company. Tech Mahindra, which is partly owned by British Telecom, prevailed in the ...

Emerging Markets : India

Electoral gains: Poll-related spending will help boost India's economy in 2009. According to a consensus taken from a group of prominent Indian economists, including those representing the Prime Minister’s Economic Advisory Council, J.P. Morgan India and S&P; Asia Pacific, the ...

Emerging Markets : India

Open for business: "Off-limits" investment sectors opened up. The Indian government revised its foreign investment policy guidelines in mid-February, with a changed methodology for computing foreign equity holdings in Indian companies. According to the new guidelines, any equity held by ...

Emerging Markets Roundup: India

Electoral gains: Poll-related spending will help boost India's economy in 2009 According to a consensus taken from a group of prominent Indian economists, including those representing the Prime Minister’s Economic Advisory Council, J.P. Morgan India and S&P; Asia Pacific, the ...

Emerging Markets : India

INDIA Caught in a jam: Many of India’s key indicators are slumping Following the revelation of accounting fraud by Satyam Computers, India’s fourth-largest IT services company, the stock recorded one of the worst drops in Indian stock market history for ...