Junk GST: Subramania Swamy

[PARIKRAMA]

I think Rajan was bang on target when he said, it is difficult to have low inflation and low interest rates at the same time atleast at this moment for India. He has brought a sense of discipline and when we talk of NPA gorwing in his tenure, we must remember, he forced banks to disclose bad assets and come clean on their balance sheets. So his moves have only forced banks (more specifically PSU banks) to see mirror and face reality. I still think, he not being around would be a loss to country.
As for Swamiji: Looks like NDA is going to get their own version of Digvijay Singh shortly

@Levina @nair @Abingdonboy @PARIKRAMA @GURU DUTT

I have refrained commenting anything about R3 owing to the fact that I do knw him and have met him in good number of time over years officially and unofficially.

The man will remain a talent unmatchable for most of the ppl. But he is also the one which any government irrespective of UPA or NDA will hate over long term.

His way is simple. His approach is even more simple. Beneath the world of all the big numbers and %, he simply considered our country's economy as a patient.

A good doctor does not necessarily starts antibiotics from day1 especially if the disease we have does nt need one in the first place.

In banking the fudging of books, the late disposition of stressed assets formally , making provisions and fudging bottomlines is done by all top management to showcase good credible numbers. That and hiding bad loans by giving a fresh loan to cover that up or simply evergreening is always a rampant abuse.

This is the disease which R3 was fighting. He wanted the banks to show the true picture. But showing true picture means banks won't be able to extend credit much, some may make public withdraw deposits beyond the stress test permissible scenario of 25-30%.

In such a situation the whole banking industry has to be given a bailout stimulus which no government would like to do as its basically the similar result of 2008 global crisis.

The other issue is no bank wants to pass the benefits what RBI extended them by cutting CRR and SLR and giving them benefit of liquity via repo/reverse repo and other mediums.

An example is the base rate calculations which is now a lot more corrected but still a long way to go for us.

Government is always wrong to think that to revive economic growth the interest rates should be accommodating. That's a short term gain and a long term disaster bcz everything gets attuned to such accommodating rates.

Of course post R3 also RBI will keep up the good work. It does nt require any party's certificate.

Sadly swamy witch-hunt agenda is a wrong focussing of hisnown calibre. He is already killing the Congress debates in rajya sabha. But somewhere he got to understand and distinguish positive criticism and it's difference from witch hunting ..

 

[noksss]

BJP of course. Modi screwed Advani who screwed Vajpayee. Now Swami screwing Modi (and I think Rajnath quietly screwing Modi too). I wouldn't mind Rajnath Singh as PM if we can somehow get this Joker Duo Modi Amit Shah out. Guess he'll bring back Parikkar, boot our Irani and bring some sanity to the administration.

Plz dont call them joker

 

[dray]

When you offer a yapping dog red meat, it usually yaps even louder for more. Sacrificing Rajan for this self important popinjay lune was perhaps the greatest piece of craven stupidity this BJP govt has commited so far.

We don't know if Rajan's term was not renewed because of Swamy!

 

[Piper]

I have refrained commenting anything about R3 owing to the fact that I do knw him and have met him in good number of time over years officially and unofficially.

The man will remain a talent unmatchable for most of the ppl. But he is also the one which any government irrespective of UPA or NDA will hate over long term.

His way is simple. His approach is even more simple. Beneath the world of all the big numbers and %, he simply considered our country's economy as a patient.

A good doctor does not necessarily starts antibiotics from day1 especially if the disease we have does nt need one in the first place.

In banking the fudging of books, the late disposition of stressed assets formally , making provisions and fudging bottomlines is done by all top management to showcase good credible numbers. That and hiding bad loans by giving a fresh loan to cover that up or simply evergreening is always a rampant abuse.

This is the disease which R3 was fighting. He wanted the banks to show the true picture. But showing true picture means banks won't be able to extend credit much, some may make public withdraw deposits beyond the stress test permissible scenario of 25-30%.

In such a situation the whole banking industry has to be given a bailout stimulus which no government would like to do as its basically the similar result of 2008 global crisis.

The other issue is no bank wants to pass the benefits what RBI extended them by cutting CRR and SLR and giving them benefit of liquity via repo/reverse repo and other mediums.

An example is the base rate calculations which is now a lot more corrected but still a long way to go for us.

Government is always wrong to think that to revive economic growth the interest rates should be accommodating. That's a short term gain and a long term disaster bcz everything gets attuned to such accommodating rates.

Of course post R3 also RBI will keep up the good work. It does nt require any party's certificate.

Sadly swamy witch-hunt agenda is a wrong focussing of hisnown calibre. He is already killing the Congress debates in rajya sabha. But somewhere he got to understand and distinguish positive criticism and it's difference from witch hunting ..

If you have met him officially then you must know which watch he wears? It is quite noticeable and there is a story behind it.

And as for interest rates, I don't know what's the big deal? Consumer rates in India is very high and can be bought down as they are very secure and backed by quality collateral. The hoopla behind interest rates though is mainly cos of corporate sector as there is a tight squeeze on them but rates need to be high as the underlying mostly crap and since the lending is disproportionately higher to corp sector cutting rates or increasing them is unlikely to burden the overall lending scenario and inflation too much. It is not like India has a mature bond market to speak off in which case interest rates assume greater macroeconomic significance. Most of the Indians in rural sector are anyway not covered by organized lending.

The only losers of higher interest rate is 20-30% of middle class having home loans, educations loans etc. Rich are anyway not going to pay and when the judgement day comes all the bigwigs are going to hightail it and the poor will barely blink.

Rajan is ok economist. He is basically a status quo person. A true radical would have upended the Indian economy but Rajan became a sell out after coming to India. Not necessarily a bad thing mind you! even Ben did the same so as to not rock the boat. Come to think of it the entire global economy is busted.

 

[noksss]

I think Rajan was bang on target when he said, it is difficult to have low inflation and low interest rates at the same time atleast at this moment for India. He has brought a sense of discipline and when we talk of NPA gorwing in his tenure, we must remember, he forced banks to disclose bad assets and come clean on their balance sheets. So his moves have only forced banks (more specifically PSU banks) to see mirror and face reality. I still think, he not being around would be a loss to country.
As for Swamiji: Looks like NDA is going to get their own version of Digvijay Singh shortly

@Levina @nair @Abingdonboy @PARIKRAMA @GURU DUTT

That's the wrong perception created on Rajan but the reality is this

The NPA problem in the banking sector only came to light when the RBI asked banks to declare NPAs. Instead of delaying it further, the RBI in a way exposed the rot in the banking sector. Is that not the truth?

This is where I have a fundamental disagreement. He asked them to show it at the end of 2015. But he has been at the helm of affairs from 2008-2009 till 2016 when the whole problem cropped up. What did he do till then?

Who created the problem in the first place? He was in a position to prevent the terminal illness, but didn't do anything.He says he is the man who is fighting crony capitalism, but I am saying crony capitalism happened right under his nose.When he was the economic advisor and then RBI governor, the share of corporate lending went up from 25 per cent to 35 per cent.

He should have asked the banks to cut it down, say, in 2013, and if he had done that, you could say he did a wonderful job.Look at the Kingfisher loans that were converted to equity. What did Raghuram Rajan do?There are about 5,000 wilful defaulters. As a regulator, shouldn't he have intervened? Lastly, there was a news report that even as late as May 2016, some banks were reluctant to file cases against Vijay Mallya. The enforcement directorate had to force them to do so. What did the RBI do till then?

I am talking about the role Raghuram Rajan, the economist, played in India's economy. Let us not give unnecessary credit to this person.Unfortunately, we have this obsession to give undue credit to moustache-less, accented, foreign-educated, fair-looking Indians. That is our problem.

 

[Piper]

That's the wrong perception created on Rajan but the reality is this

The NPA problem in the banking sector only came to light when the RBI asked banks to declare NPAs. Instead of delaying it further, the RBI in a way exposed the rot in the banking sector. Is that not the truth?

This is where I have a fundamental disagreement. He asked them to show it at the end of 2015. But he has been at the helm of affairs from 2008-2009 till 2016 when the whole problem cropped up. What did he do till then?

Who created the problem in the first place? He was in a position to prevent the terminal illness, but didn't do anything.He says he is the man who is fighting crony capitalism, but I am saying crony capitalism happened right under his nose.When he was the economic advisor and then RBI governor, the share of corporate lending went up from 25 per cent to 35 per cent.

He should have asked the banks to cut it down, say, in 2013, and if he had done that, you could say he did a wonderful job.Look at the Kingfisher loans that were converted to equity. What did Raghuram Rajan do?There are about 5,000 wilful defaulters. As a regulator, shouldn't he have intervened? Lastly, there was a news report that even as late as May 2016, some banks were reluctant to file cases against Vijay Mallya. The enforcement directorate had to force them to do so. What did the RBI do till then?

I am talking about the role Raghuram Rajan, the economist, played in India's economy. Let us not give unnecessary credit to this person.Unfortunately, we have this obsession to give undue credit to moustache-less, accented, foreign-educated, fair-looking Indians. That is our problem.

What can Rajan do? He is a prima dona bought to India as a PR coup for Global investors. He will not play disruptive role and cause leadership crisis upending govts which would have happened had he spilled the beans on how screwed India really is.

Academics have luxury of theorycrafting. Rajan came to India as a boy now leaving it is as a man. I must say the stint has been a good learning exp for him.

 

[guest11]

Damnit, did a coup just happened?

When I woke up this morning, Modi was still the PM of this country and Swami was a RS member, one of the 245.

 

[Mufflerman]

That's the wrong perception created on Rajan but the reality is this

The NPA problem in the banking sector only came to light when the RBI asked banks to declare NPAs. Instead of delaying it further, the RBI in a way exposed the rot in the banking sector. Is that not the truth?

This is where I have a fundamental disagreement. He asked them to show it at the end of 2015. But he has been at the helm of affairs from 2008-2009 till 2016 when the whole problem cropped up. What did he do till then?

Who created the problem in the first place? He was in a position to prevent the terminal illness, but didn't do anything.He says he is the man who is fighting crony capitalism, but I am saying crony capitalism happened right under his nose.When he was the economic advisor and then RBI governor, the share of corporate lending went up from 25 per cent to 35 per cent.

He should have asked the banks to cut it down, say, in 2013, and if he had done that, you could say he did a wonderful job.Look at the Kingfisher loans that were converted to equity. What did Raghuram Rajan do?There are about 5,000 wilful defaulters. As a regulator, shouldn't he have intervened? Lastly, there was a news report that even as late as May 2016, some banks were reluctant to file cases against Vijay Mallya. The enforcement directorate had to force them to do so. What did the RBI do till then?

I am talking about the role Raghuram Rajan, the economist, played in India's economy. Let us not give unnecessary credit to this person.Unfortunately, we have this obsession to give undue credit to moustache-less, accented, foreign-educated, fair-looking Indians. That is our problem.

The RBI was asked to disclose top defaulters. Rajan refused. Your theory flushed by that one inexplicable act.

 

[Juggernautjatt]

Subu & his indiscriminate firings making bhakts nervous. He was recruited to destroy the so called enemy but now he is going to destroy his own party from within. His callous & autonomous methods are going to give Modi sleepless nights. The BJP may well rue their decision of bringing this man into the Rajya Sabha as he is bound to cause mayhem for them.

 

[Mufflerman]

Subu & his indiscriminate firings making bhakts nervous. He was recruited to destroy the so called enemy but now he is going to destroy his own party from within. His callous & autonomous methods are going to give Modi sleepless nights. The BJP may well rue their decision of bringing this man into the Rajya Sabha as he is bound to cause mayhem for them.

Well some of you need constant consolation. After all it's been just 2 years since a monumental pasting by bhakths.

 

[Guynextdoor2]

...thought you would like it..!!

View attachment 312662

Very Droll

 

[Bitter Melon]

Subu & his indiscriminate firings making bhakts nervous. He was recruited to destroy the so called enemy but now he is going to destroy his own party from within. His callous & autonomous methods are going to give Modi sleepless nights. The BJP may well rue their decision of bringing this man into the Rajya Sabha as he is bound to cause mayhem for them.

I don't see any nervousness. We Bhakts are very comfortable with Dr. Swamy's fight against moles in the govt working against India's interests. The govt itself asked so many nonperforming bureaucrats to go home. That is why Modi govt was elected. To weed out corruption and give a govt that puts the country's interests first over global investors concerns. Modi govt knew about Dr. Swamy and has never spoken against Dr. Swamy. He has its blessings in going after whomsoever he may think necessary.

 

[Guynextdoor2]

Read this as to why Dr. Swamy was against R3. This is also the view held by Swadeshi Jagran Manch leaders and RSS.


http://www.rediff.com/business/interview/interview-crony-capitalism-happened-right-under-rajans-nose/20160622.htm

@Levina this is the best proof why the move to fire Rajan was a f*cking disaster.

Swadeshi Jagaran Manch is a STUPID organization run by idiots who don't know ABC of economics. In all their ill educated they throw in BS like nationalist, hindu interest etc.

S Gurumurthy was one of it's luminaries (another chartered accountant turned journalist and policy maker). He used this philosophy in the ING Karur Vyasa Bank merger. Instead of looking at overall organizational efficiency and economics he used the logic of 'the caste group (of the founders) wanted to keep a role for themselves' and so on. Finally the merger turned out to be a flop, destroyed both organizations and ING had to be taken over by Kotak. These kinds of retards should not be talking economics.

 

[Juggernautjatt]

Well some of you need constant consolation. After all it's been just 2 years since a monumental pasting by bhakths.

Well condition of modi bhakts is like a poor woman who got married 2 years ago but now daily suffers from her druken husband but still she thinks that her husband is a god. So I can see who needs 'constant consolation'.

 

[Mufflerman]

Well condition of modi bhakts is like a poor woman who got married 2 years ago but now daily suffers from her druken husband but still she thinks that her husband is a god. So I can see who needs 'constant consolation'.

Very creative. **Slow clap and exit**