Nasscom conclave focuses on future of Indian IT-ITeS industry

    Aiming to provide emerging firms insights on the changing user environment, IT-ITeS industry body Nasscom today organised a conclave, showcasing the evolution of the Indian IT Industry and its future road map.


The Emergeout Conclave 2013, pondered on opportunities from emerging and developed markets, the hot verticals for start-up successes, changing buyer landscape and the art of learning from failures among other pertinent issues. 

"The landscape of the IT industry is changing rapidly and many start-ups and emerging companies are finding themselves ill-equipped to address the changing needs of their customers" Nasscom President Som Mittal said here. 

These start-ups and new players are uncertain about the ways and means to tap the emerging SME (small and medium enterprise) customer base, gain deeper knowledge about their prospective buyers and enhance their engagement mechanisms with them, he added. 

"Keeping this in mind we have designed the sessions of today's conclave, to evangelise and support emerging IT companies to out-compete and perform in such a dynamic environment," Mittal said. 

The USD 108 billion India IT-ITeS industry faces challenges like employability, infrastructure, favourable policies and competition from other low cost countries, he added. 

Low employability of existing talent with only 10-15 per cent employable graduates in business services and 26 per cent of employable engineers in technology services continues to be a major bottleneck, Mittal said. 

The infrastructure development is largely constrained to about nine cities, which contribute more than 95 per cent of the country's exports and development of tier 2 and 3 cities has not taken off in a planned manner, he added. 

The lack of a supportive fiscal environment with a long- term policy framework is also leading to competition from other low-cost countries including China, Philippines and from Eastern Europe with potential erosion of India's opportunity, he said. 

"Another major issues is funding. Many start-ups require small funds to start and complete the first phase of their growth, fund like about Rs 20 lakh. Getting such small amounts is difficult," Mittal said. 

The participating companies shared their insights on working in the domain, focusing on new technologies, client needs and processes. 

Emerging IT players are not only setting new benchmarks in operational excellence, they are drawing vital VC and angel funding, building diverse product portfolios and foraying both the domestic and overseas markets, including non-traditional regions, Mittal said.


http://economictimes.indiatimes.com/tech/ites/nasscom-conclave-focuses-on-future-of-indian-it-ites-industry/articleshow/22097804.cms

The polity's crisis, not just the UPA's

       The UPA government in its second term is the favourite whipping boy for the country's current ills. Nuanced commentary examines institutional dysfunction. Such diagnosis is as helpful as detection of fever for treatment of cancer. 

Of course, UPA-II is in disarray. It turns defensive on record reduction of poverty, on sustained increase in rural wages, on setting up in five years one-fourth of India's installed power generation capacity, on laying power lines to 4.6 lakh villages, on initiating a programme that would give millions of Indians a way to proclaim and prove their unique identity, on thus paving the way to financial inclusion, on laying fibre optic cable to 2,50,000 panchayats, on ratcheting up rural tele-density from 1.7 in 2004 to over 40 in early 2013, on orchestrating structural transformation of the economy that finally sees the proportion of the workforce engaged in agriculture come down below 50%. 

UPA leaders leave uncontested the proposition that the current mess is solely the UPA's creation. Its scams have shorn it of authority and paved the way for the courts to hijack policy.Its dither has led to paralysis and missed opportunities on the foreign policy front. Its turn towards "socialism" of the giveaway kind has ballooned the fiscal deficit and widened the current account deficit. 

This picture of the UPA as a wrecking crew, targeting its own home, has one empirical flaw: all the scams summoned to call this the most corrupt government in history date back to UPA-I, whether the 2G, coal or Commonwealth Games scams. 

But, under UPA-I, things were going swimmingly. India was growing at its fastest pace ever, its global prestige was high, it won a breakthrough nuclear deal in the face of stiff opposition, Indian companies bought up foreign ones. 

India was an emerging market and emerging power. It was the same UPA, led by the sameSonia Gandhi and the same, won't-speak-unless-spoken-to Manmohan Singh. Why was this corrupt, dole-happy, socialistic leadership fine then, but not now? 

Systemic Corruption 

The problem is not just with the UPA but with the entire polity. Unless we accept this and tackle the real problem, India will continue to languish, whoever is in power. 

The problem is that nobody pays for Indian democracy. India's biggest private sector company, Reliance IndustriesBSE -4.72 %, for example, makes zero contribution to political parties. The story repeats itself as you go down the rungs of the corporate ladder. Just a handful of companies admit to making political contributions. The rest pay off the books, to individual politicians, with a keen eye on the quid pro quo. 

Political parties file income-tax returns showing puny incomes. 2008-09 registered the highest incomes:Rs497 crore for the Congress and Rs220 crore for the BJP. In reality, these parties spend tens of thousands of crore rupees: not just for elections, but also for the regular functioning of their parties. Which means, quite simply, that India's great democracy is funded by the proceeds of corruption. 

This corruption takes three forms: loot of the exchequer (the fodder scam, commissions on procurement), sale of patronage (allocation of mining leases) and plain extortion (no clearance till you pay up, complex administrative procedures, each one of which serves as a rent-seeking opportunity).

This mostly involves use of the state machinery. Which means civil servants must collude, getting suborned in the process. They turn unaccountable as well. A dysfunctional legal system facilitates such corrupt funding of politics. 

In India, corruption is systemic, not opportunistic, as in most other countries. Without corruption, politics would come to a halt, democracy would cease to work. 

Democracy vs Dirty Funding 

This has been morally degrading and has turned politics predatory. But things still remained functional. Till prosperity threw up a body of people whose progress in life has little to do with state patronage and who thus resent being subjected to poor governance and extortion. 

Their anger and their ability to use institutions of the state, such as the courts, to challenge and oppose corruption, aided by democratic advances such as the Right to Information Act, have brought the conflict between democracy and funding it through corruption to the fore. 

The system has turned dysfunctional thanks to this basic conflict, which manifests as dithering bureaucrats, a glory-hunting CAG, judicial overkill and defensive politicians. 

Clean Up Funding 

And unless political funding turns transparent, the crisis will continue, whoever happens to be in power. Sure, the UPA is dysfunctional in its own way, much as each unhappy family is unhappy in its own unique way, with ministries other than finance pretending they have no role to play in tackling the economic crisis. 

But even if some other formation were to replace the UPA, the basic conflict between democracy and its corrupt funding would continue to stymie things. At hand is a crisis of political evolution. It must not be confused with a particular alliance's problems.


Source:http://blogs.economictimes.indiatimes.com/Cursor/entry/the-polity-s-crisis-not-just-the-upa-s

India cannot afford to grow at less than 8%: P Chidambaram, FM

     
          Blaming the political logjam in the Parliament for stalling economic decisions, Finance Minister P Chidambaram on Tuesday said that India cannot afford to grow at less than 8%. "There is no political consensus on how to mitigate economic woes," he said.

Chidambaram said that there are no signs of global crisis ending and the Indian economy is challenged by global factors. "India needs more reforms and less economic restrictions," he said while addressing the Lok Sabha. "India needs a more open economy to seed growth," he added.

"The polity needs to agree on a basic direction of policy making," he emphasised. "Political parties should agree on a common economic programme," he said.

Seeking to assure the house, Chidambaram said that the economy has sufficient reserves and the external debt is manageble. He, however admitted the need to shore up the reserves. :We will fully and safely finance FY14 CAD, it will contained at $70 billion or less," he added.

Chidambaram's comments come after BJP leader Yashwant Sinha said, "Rupee is tanking but government, Chidambaram keep saying All Izzz Well."

Earlier in the day, Sinha said that the government sowed the seeds for the current crisis, back in 2008-09. "In a move that was aimed to win elections, the government hiked consumption expenditure, as opposed to the recommended investment expenditure," Sinha hit out.

Sinha explained that a high fiscal deficit leads to higher inflation, which in turn impacts investments. When the fiscal deficit continues to be high, it is natural for it to spill into current account deficit, he added.

Stating that the rupee has fallen despite Reserve Bank of India's (RBI) efforts, Sinha said that it is the responsibility of the government and central bank to curb the volatility in the currency. "Such rapid volatility does not bode well for the economy," he said. "Foreign investors shying away from India's growth story," he added.

source: http://economictimes.indiatimes.com/news/economy/indicators/India-cannot-afford-to-grow-at-less-than-8-P-Chidambaram-FM/articleshow/22097263.cms

Indian Women Won Gold Medal in Archery World Cup

Double Treat for Indians yesterday. After India U-23 Cricket team lifted the Emerging Nations Cup by defeating Pakistan U-23, Indian Women Team too won the Gold Medal in The Archery World Cup.

Wroclaw, (Poland): The Indian trio of Bombayala Devi, Deepika Kumari and Rimil Buriuly won back-to-back World Cup titles beating the formidable South Korea in the women's recurve team final here on Sunday.

India got the better of Koreans Yun Ok-Hee, Ki Bo Bae, and Joo Hyun Jung 219-215 for their second major title in as many months. They had won the World Cup Stage 3 in Medellin, Colombia last month.

The Danish women were the surprising bronze medallists with their 210-194 win over Russia. It was a surprising result in the title clash too as Korea had not shot less than 222 in their elimination matches against the United States, Italy and Russia. India defeated Indonesia, Mexico and Denmark en route to the final.

There was little to choose between India and Korea with the score tied at 163-163 by end three. The wind played its part in the contest as archers on both sides shot an odd 7.

Ki Bo Bae opened the final end with a disappointing 6. The next two arrows for Korea were 9 and 9.

India responded with three 10s to wrest the advantage going into the last six arrows. The Koreans managed 9-8-10 before the Indians came up with 10-10-7, winning the end 56-52 and thus the match and the title of World Cup Stage 4.

The World Cup Finals will be held next month in Paris.

Oil companies demand one-time hike in diesel price

       
        With 12 per cent drop in rupee value against the US dollar making imports costlier, state- owned oil companies have demanded a one-time steep increase in diesel rates to make for the widening losses. Losses on sale of diesel at government controlled rates, had dropped to under Rs 3 per litre in May following monthly increases of up to 50 paise a litre. But with the rupee depreciating against the US dollar, the losses have widened to Rs 10.22 per litre.

"We had requested the government for an increase in prices on ad-hoc basis. The decision on the increase rests with the government. The government of India has to take a decision on it. I have no comments on it," IOC director ( finance) P K Goyal said. Losses on diesel sales have widened to Rs 10.22 from Rs 9.29 a litre in the bigging of the month. Besides diesel, the oil companies are losing Rs 33.54 per litre on kerosene and Rs 412 per 14.2-kg cooking gas (LPG) cylinder.

Speaking to reporters after flagging off a biking expedition to Ladakh, Goyal said the total revenue loss or under- recoveries on diesel and cooking fuel was estimated at Rs 80,000 crore at the beginning of the fiscal, which have now widened to Rs 140,000 crore. "Rupee has depreciated 12 per cent since April. It was 59.39 to a dollar and today it is 64.10. Rupee depreciating by one against the US dollar adds Rs 8,000 crore to our under- recoveries (revenue loss)," he said.
The government had in January allowed oil companies to raise diesel rates by up to 50 paisa per month till such time that the losses on the most consumed fuel in the country are wiped out.
With prices being raised regularly, the losses on diesel had come down to below Rs 3 per litre in May but rupee falling by 12 per cent since April has resulted in the difference climbing to Rs 10.22 per litre. Oil companies feel 50 paisa increase is insufficient and there should a one-time steep increase to cover for fall in rupee.

  Oil minister M Veerappa Moily had on August 14 stated that oil company suggestion of one-time hike was under consideration but no decision has been taken yet.

"That's under consideration, but we have not yet decided," he said.

Moily, however, said there is no proposal to raise LPG or kerosene rates.

Diesel price was last hiked on August 1 when prices in Delhi went up by 56 paisa (after including local taxes) to Rs 51.40 per litre. IOC, Bharat Petroleum and Hindustan Petroleum had lost Rs 25,579 crore in revenue in the first quarter ended June 30, of which the government made good Rs 8,000 crore by way of cash subsidy.

Oil companies demand one-time hike in diesel price

Under Raghuram Rajan, RBI to focus on currency; rupee to hit 69: Reuters poll

      
         Incoming Reserve Bank of India Governor Raghuram Rajan will prioritise currency stability over inflation and growth, according to a Reuters poll which also showed the worst is not over for the rupee. 

The rupee has lost around 15 per cent to the dollar, hitting record lows almost daily, since the US Federal Reserve hinted in May that it would soon begin paring back its massive economic stimulus programme, sparking an investor exodus from emerging markets seen as the most exposed to foreign funding.

Rajan, a widely acclaimed economist, takes over as governor of the RBI from incumbent Duvvuri Subbarao on Sept 5, at a time when the Indian economy is facing its worst crisis since 1990-1991. 

Eleven of 17 economists polled by Reuters said the currency will be the top priority for Rajan but the consensus showed it will likely weaken to 69 per dollar before rising, implying a further 7 per cent fall from Monday's spot rate of 64.10. 

Most expected it to bottom out in September. 

The Indian economy is caught in a quagmire of slow growth, high inflation, rickety government finances and a tumbling currency that is the among the worst performing in emerging markets. 

"Rajan could streamline the RBI's focus to stabilising the currency and inflation while being supportive of growth," said Nizam Idris, head of FX strategy at Macquarie Bank in Singapore. 

"The RBI must realise it cannot control the rupee, rates, capital flows and inflation all at the same time." 

Most of the RBI's moves to break the currency's fall so far have not helped. 

Since mid-July, it has tightened cash conditions which have failed to support the rupee, partly as Subbarao later said those measures were temporary. 

Changing tack, it announced last week it would buy longer-dated bonds to lower borrowing costs, but that led markets to question the RBI's resolve in defending the currency. 

Even Rajan's appointment earlier this month failed to calm markets and the rupee rallied for only a few hours after the announcement. 

Analysts, however, said the RBI will likely make some important changes under the new regime. 

While most expected greater focus on the currency and prices, a few economists said the RBI might begin targeting an inflation level while bringing the consumer price index into the realm of policy making. 

RBI VS NEW DELHI 

With elections due in 2014, New Delhi's subsidy programme, most recently the food security bill, could blow a hole into the country's weak finances -- one of the biggest causes of the rupee's thrashing. 

Policymakers are struggling with both trade and current account deficits. 

Despite that and the clamour for easy monetary policy, the RBI will be expected to maintain its tough stance on inflation and check currency volatility. 

Analysts also said under Rajan the RBI could be expected to improve its communication with markets. 

"It's a difficult job, especially when the government lacks a majority in the parliament and due to the upcoming elections which can tie Rajan's hands," said Amy Yuan Zhuang, analyst at Nordea. 

"The RBI should make efforts to increase transparency and communication in its policy making."



RBI to focus oncurrency

Scientists amazed by how much dolphins remember

     Perhaps this could be one of the reasons why our club is named as Dolphins Club......Amazing fact abut dolphins.....


     A scientific study shows that dolphins are the animals with the greatest memory-storage capacity after humans, according to the British magazine Proceedings of the Royal Society B.

The research, carried out by a scientific team from the University of Chicago, found that dolphins were able to recognize the whistle of a former member of their school, even if it went its separate ways 20 years before.

According to the study, these long-term memories are a product of complex social connections that dolphins developed over their eons of evolution.

The scientists based their research on relations among 56 bottlenose dolphins in captivity, brought together from six different aquariums in the US and the Bermudas for breeding purposes.

They first recorded their whistles and, decades later, played the recordings back to them on underwater loudspeakers to observe the dolphins' reactions when they heard the call of animals they had not seen for many years.

"When the dolphins heard a call, they were much more likely to hang around the loudspeakers for a long time," research chief Jason Bruck said.

According to Bruck, finding that dolphins recall such old memories is an "unprecedented" phenomenon in the study of animal behaviour.

The most astonishing case for researchers involved two female dolphins, Bailey and Allie, that had lived together during the first years of their lives.

Bailey instantly recognized Allie's whistle 20 years and six months after they had last been in contact.

The scientists concluded that dolphins also have a great ability to recall certain events, which places their knowledge-storing ability at a level comparable to that of humans, chimpanzees and elephants.


Dolphins memory power

..............................Share your opinions......................................