US and Europe 15 Nov 2012 by Alexin George

American CEOs, fried in British pan

American CEOs, fried in British pan

The top executives of three American MNCs ---- Google, Amazon and Starbucks were fulminated by British MPs, on allegations of tax avoidance. The rarest of the rarest event happened when these executives were called before the House of Commons’ Public Accounts Committee, to explain, their company’s complicated tax arrangements. It has enabled them to maintain minimal liabilities in Britain. The companies are accused for reporting losses in high tax countries like Britain and profits in low tax countries like Luxembourg. The corporations have been charged with diverting hundreds of millions of pounds to what The Guardian describes as "secretive tax ha

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China & East Asia 10 Nov 2012 by Alexin George

Will the pressure cooker burst?

Will the pressure cooker burst?

“If we fail to handle corruption well, it will result in the fall of the communist party and the State” -------- Says President Hu                                                                     As China prepares itself for a leadership change, the clouds of separatism and corruption cumulate over the Communist nation. Four Tibetans in

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US and Europe 08 Nov 2012 by Alexin George

Obama Crush down WORMS

Obama Crush down WORMS

Romney’s narrowed support base centered on White, Older, Richer Men have been crushed While the road was hard, the journey been long, he fought his way back. “Best is yet to come” --- tweets Obama.                                                           Out of the 538 electoral votes, he won 303, offering a comfortable ride to the Presidential seat. 45% of those who voted are rac

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US and Europe 29 Oct 2012 by Alexin George

Swiss Voice, Lone Voice but Bold Voice

Swiss Voice, Lone Voice but Bold Voice

The neutral state of Europe sets an example for the rest of the world. Switzerland shows the fortitude, to oppose the unilateral sanction of USA, EU and Israel over Iran. The Swiss policy of disfavouring any sanctions, by any alliance, outside UNSC, is reasserted here. Switzerland is not bound by the European Union sanctions, as it is not an EU member. The Swiss president Eveline Widner Schlumpf stated that, they will continue economic engagement with Iran. The National Iranian Oil Company will continue its Swiss office. Bern, had earlier exempted Iranian Central Bank from freezing its assets. Bern, backing Tehran, comes when Iran is being pictured as a rogue state by most of th

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US and Europe 10 Oct 2012 by Tojo Jose

IMF warns about the US fiscal cliff

IMF warns about the US fiscal cliff

The IMF has pointed out an additional threat to the world economy in the form of US fiscal cliff. The US being the largest debtor in the world is having a fiscal deficit of 14%  of GDP, compared to India’s 6%. This is the first major warning by the Fund about the worsening US fiscal situation. In its updated version of the GFSR, the fund has given clear indication that two of the world’s largest economies, the United States and Japan are facing fiscal crisis, whose scale is unsolvable by efforts from the rest of the world. Japan started recording untypical trade deficits from the last year indicating fast slowing of Asia’s first advanced economy. The Fund&r

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Emerging Markets 30 Sep 2012 by Tojo Jose

Control over foreign banks has helped India to survive the global crisis: says the IMF

The IMF, once a chief proponent of the deregulated financial system across the world and which criticized the developing countries like India for restricting the entry of foreign banks, now describes that India survived the financial crisis because it has restricted foreign banks.             The IMF’s Global Financial Stability Report for October 2012 contains a Chapter assessing the financial architecture of the member countries. The chapter titled ‘The Reform Agenda: An Interim Report on Progress towards a Safer Financial System’ analyses that India and Malaysia along with Australia and Canada were able t

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US and Europe 30 Sep 2012 by Tojo Jose

East clashes with the west at the UN

East clashes with the west at the UN

Samuel Huntington’s prediction of the clash of civilization had a miniature occurrence at the recent UN General Assembly meeting where the Muslim world has criticized the West’s attitude towards mixing freedom of speech with religion.                 The Foreign Ministers of the Organisation of Islamic Countries has attacked the West for the recent events lead to the release of the controversial film, ‘The Innocence of Muslims’.                 The divide between the two was very visible when the OIC members

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China & East Asia 28 Sep 2012 by Tojo Jose

China emulates the Indian repo model to keep stable liquidity

China emulates the Indian repo model to keep stable liquidity

The People’s Bank of China in three days has poured nearly $58 billion equivalent of Rm into the banking system to ensure adequate money. This is one of the largest in its central banking history given the short span of the time.     The Chinese economy was witnessing scarce fund availability indicated by increasing lending rate in the short term money market. Chinese interbank market rate which is synonymous to India’s call money rate has sky rocketed to 4.75%. The People’s bank is following the intra cyclical policy of maintaining high cash reserve ratio to keep bank activities tight. This was necessary to ensure soft landing because of the threat

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Emerging Markets 31 Mar 2012 by Nisha Chacko

The BRICS takes a political stand against the west

The BRICS takes a political stand against the west

The BRICS heads of states meeting in New Delhi has produced some interesting developments, especially its politically hard stand against the west. This is happened when the world was watching how the BRICS which involves the future titans of the world economy can challenge the over dominance of the declining west.             Of course, the leaders avoided depicting the BRICS as an alternative organization, correcting the wrong doings of the industrialized west. But overall, the meeting made a clear statement that on issues related with development and politics, the forum is going to make a stand of its own. The Delhi declarat

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Emerging Markets 27 Mar 2012 by Kavitha Balachandran

The BRICS’s March towards currency cooperation

There is no doubt; the BRICS is an organization capable of changing the world economic affairs. Members of the BRICS community are the economic powers of the future. Adding to their prospects is the current trend of shrinking economies in the west, and thus the organization holds more glamour.                 The BRICS is in a process to chalk out mutually beneficial strategies to withstand the crisis emanating from the recessionary trends in the industrialized countries.  As the heads of states of Brazil, Russia, India, China and South Africa meet in New Delhi, the world is watching the movement of th

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