The Opposition stalled the Lok Sabha proceedings for the entire day on Wednesday demanding the withdrawal of the action taken report of the Government on the securities scam. The Opposition said the action taken report of the Government was an insult to the joint Parliamentary Committee (JPC) which probed the scam. The Government, which prepared the action taken report on JPC’s findings, said the Opposition could agree or disagree with the follow-up action of the Government, but its demand for its withdrawal was unjustified.

Enron financiers to wait and watch

The two principal financiers for the Enron project, US Exim Bank and Lament Brothers, who were to commit over $400 million for phase I, have, according to sources, decided not to commit any funds till the Bombay High Court hears the BJP councillor, Mr. Ramdas Nayak’s petition challenging the project on August 8. As a result, the financial closure of the project, which was expected to be completed by the end of this month, has been delayed indefinitely. The-695-MW first phase of the project is estimated to cost $910 million of which $662 million is the debt component.

IMF raps India for high interest rates

The International Monetary Fund has recommended that India take quick and decisive fiscal adjustment measures to counter the persistent high domestic interest rates and to perk up the sluggishness of the industrial recovery.

The IMF annual report 1994, released here on Wednesday, stresses the need for lower domestic interest rates which it feels would promote the recovery of private investment, facilitate progress in financial sector reform and help strengthen bank portfolios.

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