The Daily
BSERVER An IIJNM Publication
WORLD HEALTH DAY TOMORROW The world health day is celebrated on April 7 every year as the World Health Organisation (WHO) was founded on this day. This day brings an oppurtunity for different countries to spread health awareness and engage its citizens in various activites. In order to contribute our bit to this occasion, we will bring out some special stories on healthcare in tomorrow’s edition of The Daily Observer. We aim to make you aware of our position when it comes to our healthcare system, which will make you think twice about the extra dollop of butter that you ask from Ramu kaka.
Thursday, 6 April, 2017
RBI keeps its repo rate unchanged, increases reverse repo rate Farm loan waiver undermines honest credit culture, says RBI governor Urjit Patel Bhakti Tambe bhakti.t@iijnm.org Ahana Chaterjee ahana.c@iijnm.org In announcing its monetary policy for financial year 2017-2018, the Reserve Bank of India kept the rate at which banks borrow money – the repo rate - unchanged at 6.25 percent, but increased the reverse repo rate to 6 percent, up from 5.75 percent. In addition, the nation’s central bank cut the marginal standing facility (MSF) rate to 6.5 percent. “The expectation of the common man will not be met. People were looking for a cut in the repo rate, so that the interest on loans can decrease. However, the common man is disillusioned with this move,” said Sandeep Dam, vice president of Axis Bank. Last December when the monetary policy came out, both the
repo and reverse repo rates were kept unchanged. While explaining its decision to hike the reverse repo rate, the RBI said that a narrower interest rate corridor “can contribute to finer alignment of the operating target with the policy rate.” RBI further added the liquidity supply in the economy will be neutralised gradually using all tools
at its disposal. The gross value added (GVA) growth is projected to strengthen to 7.4 percent in the present year from 6.7 last year. RBI claims to have neutral stance on monetary policy. RBI has maintained a growth forecast for financial year (FY) 2018 at 7.4 percent while it has pared its forecast for FY16-17 at 6.7 percent
compared to 6.9 percent in the February policy review. The bank also says it expects inflation to pick up from current levels of 3.7 percent and hit 4.2 percent in the first quarter of the current year. It may rise further to 4.7 percent in the second quarter but briefly surpass 5 percent in the third quarter before coming down to near 4.9 percent by March 2018, said the bank. “It isn’t a very favourable move for the bank,” said Dam. “However, on the other side, the RBI cannot just keep decreasing the repo rate. It will have an unfavourable effect on them.” In explaining this decision to hike the reverse repo rate, the RBI said that narrower interest rate corridor “can contribute to finer alignment of the operating target with the policy rate.”
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Lorry strike intensifies as spectrum of organisations huddle up Azmia Riaz azmia.r@iijnm.org Arunava Banerjee arunava.b@iijnm.org The South Zone Motor Transporters Welfare Association organised a protest rally in Freedom Park demanding rollback of sharp increase in third party insurance premium along with several other demands. South Zone Motor Transporters Welfare Association (SIMTA) also protested against hike in RTO fees, scrapping of old vehicles, speed governor, toll barriers, liberalising interested state taxi permit system, reciprocal agreement for all India and state carriage permit buses). G.R Shanmugappa, the chief coordinator of the event, General Secretary of SIMTA and president of the Federation of Karnataka Lorry Owners and Agents Associations (FKLOAA) told The Daily Observer, “We have two main demandsrollback of insurance premium hike from the Insurance Regulatory and Development Authority of India
Truckers, tourist taxis and cab drivers associations organised a joint protest and threatened to continue it indefinitely . Courtesy: Azmia Riaz (IRDAI); secondly, rollback of state government’s decision to introduce tolls on the state highway.” The on-going lorry strike that began on March 30 saw massive increase in support from across different motor vehicle organisations. “Today most motor vehicle organisations have joined us. From 8 April, The All India Motor Trans-
port Congress will also join us, making the struggle national,” Shanmugappa emphasised. “We are supported by several organisations including Karnataka Goods Transport Association, Bangalore Tourists & Taxi owners Association, APMC (Agricultural Produce Market Committee) local lorry and Tempo Associations, Federation of
Bus Operators Association and others,” he added. Addressing the rally, he said, “Until these basic demands are not met, we will not withdraw the strike and will go on indefinitely.” App based taxi drivers also joined the protest today. Tanveer Pasha, president of the Ola, Taxi For Sure and Uber Driver and Own-
er Association said, “Insurance premium fees have nearly doubled in the recent days. We also get increments regularly from the income tax departments. In addition to this, the state government is planning to start 19 new toll plazas on the state highways across the state. It will leave us with a meagre amount for us to run our household.” Malli, a committee member of SIMTA said, “Petrol and diesel trucks have also expressed solidarity towards our struggle. Karnataka Tourist Taxi Owners association, Mr. Radhakrishna Holla pledged his support to the protest and spoke about the corruption within the RTO (Regional Transport Office), transport cells and the police during his address. Meanwhile, shop owners in the city are apprehensive about their supplies being hit due to the intensifying strikes by the truckers. Babu, a shop owner in K. R. Market said that he has had no problems till now but if the strike continues and the small tempos also join, he might face a shortage of supplies.