Bonjour, new guests from small-town India
Puneet Dhawan of Accor is brimming with ideas on ways to revive the hospitality sector
Ensure credit flow
This refers to ‘After August, the road ahead for banks’ (July 17). MSMEs, small and marginal farmers, landless cultivators, and other partakers of the economy engaged in low scale economic activities contribute considerably to the generation of jobs and to the overall growth of the economy. However, the flow of adequate credit at low cost is vital and it is essential that these segments are able to borrow from the banking system.
As the economy is yet to resume activities in entirety, a major portion of the credit deployed in various economic activities hasn’t been productive enough and, therefore, there’s the likelihood of a huge rise in bad assets on the expiry of the moratorium.
The income recognition and asset classification norms based on Basel standards need some flexibility to suit the present situation, besides ensuring the financial soundness of the lenders. The government, on the other hand, must boost expenditure and give a push to economic activities.
VSK Pillai
Kottayam
Reliance AGMs
This is with reference to ‘The Ambani show’ (July 17). The AGMs of Reliance Industries have always been a huge spectacle, but due to Covid-19, the AGM this time had to be an online affair. With the kind of investment Mukesh Ambani has brought into RIL in the last 4-5 months, this AGM would have been the biggest until now. RIL now aims to become the biggest technology and telecom player.
Sooner or later, Jio Platforms will be listed and, in all probability, it will attract a lot of retail investors as well. But the key lies in judicious spending of the massive money it has been able to attract. Reliance needs to be aware that despite the massive launch of Jio, almost half the population still does not have access to the Internet.
Bal Govind
Noida
Focus on economy
A new study in Lancet projects India’s population peaking much earlier than expected, at 1.6 billion in 2048 before declining to 1.09 billion in 2100. This points to a narrowing window for demographic dividend. Sharp falls in working age population will require many countries to pursue liberal immigration policies or alternatively improve workforce participation rate among elderly and women.
Countries unable to stabilise their working age population are priming themselves for economic stagnation. The biggest challenge will be to sustain large public social security nets without overburdening a smaller workforce with higher taxes. Powered by a young workforce, India must utilise the narrowing window to lay a strong economic foundation and robust infrastructure.
B Ahsanullah
Delhi
Role of Quad
Apropos ‘Can the Quad rise to be an Asian NATO?’ (July 17), the author brings to fore the dire need for Asian nations and even Quad members to reduce their dependence on Chinese supply chains. This dependence has clipped the wings of nations in containing the geo-political prominence of China, which has expanded its supply chains worldwide, increased its infrastructure investments in financially weaker countries on loan basis, and is pushing ahead with its Belt and Road Initiative. At this juncture of a global pandemic, the Quad should take the lead role in weaning away Asian nations from their dependence on Chinese funding and products.
NR Nagarajan
Sivakasi
Protect depositors
This refers to ‘Interest payment during moratorium: There is no need for judicial activism’ (July 16). If for any reason ‘regulatory forbearance’ takes precedence over the ‘mandate’ of the central bank to stand for the protection of interest of depositors, then stability in the financial sector will be affected.
Small savers’ suffering will increase substantially. The not-so-well-off savers are also taxpayers in many cases. The interest of the depositors should not be sacrificed due to excessive regulatory forbearance being granted in favour of the borrowers.
RK Acharya
Bhubaneswar
LETTERS TO THE EDITOR Send your letters by email to bleditor@thehindu.co.in or by post to ‘Letters to the Editor’, The Hindu Business Line, Kasturi Buildings, 859-860, Anna Salai, Chennai 600002.
Puneet Dhawan of Accor is brimming with ideas on ways to revive the hospitality sector
Citroen’s first vehicle sports a novel design and European interiors. It is also meant to be as comfortable as ...
The pandemic is only the tip of the iceberg that the country’s cash-poor airlines — both regional and national ...
The government is yet to specify the framework of its recently announced old vehicle scrappage policy
Here is a checklist that equips you to discern the market nuances
Sensex, Nifty 50 have witnessed sharp decline
The fund has consistently outperformed S&P BSE 100 TRI over one, three and five years
Returns are superior to immediate annuity plans, but SCSS can secure better rates for new investors sooner if ...
With the public looking beyond mainstream media for reports from the ground, independent digital platforms are ...
The country hasn’t had a quiet moment since the military seized power on February 1
The Tatmadaw sees itself as an embodiment of the nationalist soul of Myanmar. But their brand of nationalism ...
While Supreme Court has cleared the way for women seeking longer tenures and senior roles in the Indian Army, ...
Its name is the starting point of a brand’s journey and can make a big difference in the success sweepstakes
Sober spirits are the in thing
A peek into where ad spends went last year and where they are headed tomorrow
Can Swiggy Instamart disrupt the ecommerce groceries space, currently ruled by the Amazons and Big Baskets? ...
Three years after its inception, compliance with GST procedures remains a headache for exporters, job workers ...
Corporate social responsibility (CSR) initiatives of companies are altering the prospects for wooden toys of ...
Aequs Aerospace to create space for large-scale manufacture of toys at Koppal
And it has every reason to smile. Covid-19 has triggered a consumer shift towards branded products as ...
Please Email the Editor