Letters to the editor dated January 2, 2020

This is with reference to the editorial ‘Time for a market refresh’ (January 1). The present market dynamics of stock prices, based on very few index shares and not supported by underlying companies with strong fundamentals and realistic asset valuations, is a serious concern. The markets may not sustain in the long run resulting in heavy loss to the ill-informed investors. As rightly suggested, a total revamp of the indexing structure of stock markets is vital. One of the objectives of the Investor Protection Fund is towards deploying the idle funds towards creating investor awareness, undertaking research and development of securities markets and protection of the interests of investors. In order to ensure a healthy and sustainable stock market, SEBI should bring out measures such as periodic monitoring and replacing of stocks of fundamentally weak companies with stronger ones. Also, there is need for inclusion scrips of some small platform-listed and efficient SME companies with certain benchmark market capitalisations, to give them the required trading impetus and for the sustained and realistic growth of the stock markets.

Bengaluru

This refers to ‘Socio-economic goals for next decade’ (January 1). Besides, health, education and industrial competitiveness, clothing is equally important in villages. In both winter and summers, villagers need season-appropriate clothing to save themselves from the impact of the changing climate. During monsoon, travelling with wet clothes and lack of proper shoes adds to the risk of ill-health and spreading infection. Seasonal clothing and wearable could be thought of distributing through PDS (Public Distribution system ) in future.

Vadodara

This is with reference to ‘Govt to spend ₹102 lakh-cr to build infrastructure’ (January 1). One of the main reasons for the underdevelopment of our economy is our failure to invest in infrastructure development, building of roads, health facilities and education. Hence the government should push through all the infrastructure projects which are half-completed or in the pipeline. Another cause for poor economic growth is that most of our economic decisions are taken with political angles and with an eye on elections. Hence more money is spent on subsidies and freebies instead of large industries, infrastructure development and health facilities A lethargic outlook towards development and economic growth of the successive governments, corruption and scams put the Indian economy out of gear and hence the country is still counted only among developing countries.The country is crying for economic reforms, investment-friendly policies and strong leadership which can push economic reforms and economic growth.

Also, the government should look to the problem of supply of electricity. Erratic supply of electricity is one of the main reasons for closure of many industrial units. Hence this sector should be given prime importance by the government.

Despite India being a vast country with historic sites and an ancient civilisation, we are failing badly to attract tourists to our country. One of the main reasons for this is non-maintenance of tourist sites and cleanliness. We should keep our heritage sites clean and with proper treatment of foreign nationals and tourists India can be a tourist hub.

Thane

It is gladdening to note that the government has decided to allocate ₹102 lakh crore to build infrastructure. This is the best way to kick-start an economy requiring stimulus. The past experience shows us that much of such allocation is lost in administrative costs and other avoidable margins of intermediaries. While it is essential that there are margins for those who undertake these implementation, care should be taken to stop anyone engaging in price fixing exercises which are detrimental to the long-term interest of the public.

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