Here are some dashboard points that I expect after the clean up of the old currency what we can expect on the Indian economic scenario :
A huge amount of around 15-20 lakhs crore of black money would be identified
We will see a bump of 8 to 10% in deposit with banks
Out of the money identified 15 to 20 lakh would be withdrawn over a period of two to three months
Substantial amount of money around 2.5 to 3.5 lakh cr would still remain in system
There would be a wealth destruction of around 3-4 lakhs crores
30% of money will not reach back to RBI
Next 2 to 3 months property prices and land prices can drop till 30 to 35%
Since there is a surge of deposit huge demand for Govt bonds would be there Continue reading
It’s a Lazy Sunday sharing some of the random thoughts, observation that will come to your mind if you are in the Corporate financial jungle, or may be your boss have shared with you..if not you would love to read them for once :-
- Drinking is bad, but feelings are worse.
- What most people would call the greatest night of their lives, I call just another Friday.
- I thought there’d be worse nicknames to have for a girlfriend, but she didn’t find “The Warden” funny at all.
- Some of the best moments in life are the ones you can’t tell anyone about.
- A Blackberry and a 6-figure pay check is the crutch that single chicks call a career. That facade crumbles at 30.
- Haircuts are the ultimate economic indicator. In bad times, it’s every 8 weeks. In good, it’s every 6. I go every 3 weeks. 🙂 Continue reading
Polarization is a buzz in the Indian media and political parties after the Tsunami, tectonic shift , Modi wave in the political history of India . Now everyone is keeping an eye on the cabinet ministers. Coalition politics in India gave us the pressure to invent more ministries, more ministers of state, etc. With that compulsion behind us, we can now come back to a tight and simple design.
Just to quote : The US Cabinet consists of 15 ministries. The UK Cabinet has 22 members in all. In India, we have 33 ministers and then we have a long list of others who are cabinet members. Stopping it here and moving on the quotes that I wanted to share 😉
- The three most harmful addictions are heroin, carbohydrates and a monthly salary
- To bankrupt a fool give him information.
- Education makes the wise slightly wiser, but it makes the fool vastly more dangerous
- The best revenge for a Liar is to convince him that you believe what he said.
- The Opposite of success isn’t failure, it is name- dropping.
- Karl Max a visionary figured out that you can control a slave much better by convincing him he is an employee.
Yesterday FT did an interesting post on the 3 scenarios for the next government . The Good , The Bad and The Ugly directly impacting the economic scenario of India . The Fun fact: as many as 363 political parties participated in the 2009 general elections and only seven of them were national. India really does coalitions with gusto and there is a chance that anti-incumbwncy voting — embodied best perhaps by the anti-corruption poll-complicating AAP — might deny the BJP the seats they need to form the stable government apparently being priced in
The most interesting is to analyse the below scenario :
Caveat emptor : The above is subject to change if Congress is able to form the govt 😉
With all the Ukraine stuff, Missing Malaysia Airlines flight MH370, World’s biggest democracy getting ready for the exaggerate Melodrama and some procrastination from my side , some things got lost in my spindle. Time to catch up 🙂
In the banking sector, which features leveraged institutions operating in a principal capacity, capital requirements are designed with the goal of enhancing safety and soundness, both for individual banks and for the banking system as a whole. Bank capital requirements serve as an important cushion against unexpected losses.
They incentivize banks to operate in a prudent manner by placing the bank owners’ equity at risk in the event of a failure. They serve; in short, to reduce risk and protect against failure and they reduce the potential that taxpayers will be required to backstop the bank in a time of stress.