Challenging China

Apropos ‘BCCI faces ‘chin music’ for retaining Vivo as IPL 2020 title sponsor’ (August 4). Banning 59 Chinese apps was an emotional response to the Galwan Valley attack. But beyond that, any action against Chinese companies needs to be taken after thorough introspection. ‘Vocal for local’ is a great idea, but without a clear roadmap, it is not possible to match Chinese companies globally or even domestically. Vivo has not been banned in India and there is no reason why it should not be allowed to be a sponsor for the forthcoming IPL in the UAE. Our government must come out with details as how it is going to boost domestic production, if it is to challenge China.

Bal Govind

Noida

Respite for depositors

This refers to the editorial ‘Protecting savers’ (August 4). The continuous policy rate cuts during the last two years have induced financial intermediaries, especially banks, to cut deposit rates and thus the deposit products of banks have turned unattractive for savers. The government’s saving products have also disappointed. The rising prices of the goods and services and the diminishing returns on deposits/ financial assets have adversely affected the standard of living of the savers, particularly that of the senior citizens.

While it is essential to cut the lending rate of banks to boost economic activities, it is also equally necessary to ensure that the growth of the household savings do not get negatively impacted. If the returns on deposits continue to dwindle, depositors may divert the savings from the banking system to non-financial assets, which will curtail the availability of resources for lending and investment. Among others, capital and deposits are two critical factors for expanding the loan business and in view of that lenders need to be extra careful in reducing the rate on deposits.

Operating costs, provisioning for loan losses, and loss of income owing to standard loans turning bad are increasing the cost, besides pulling down earnings and net interest margins. It is, therefore, paramount for the lenders to sustain their asset portfolio, which will enable the banks to cut the lending rate in sync with the repo rate sans reducing the interest on deposits.

VSK Pillai

Kottayam

Dispute resolution

This refers to ‘Take online route for better justice delivery’ (August 4). The need for enhancing the online dispute resolution mechanism, especially for e-commerce and related activities, has become vital. With courts and judicial machinery facing lockdown, consumers are bound to suffer in case of any delinquency in services or unfair trade practicesby e-commerce players. Better access to a remotely operated judicial process, which depends mostly on the support of technology for effective implementation, would facilitate easy redress of disputes. Providing adequate online dispute redress infrastructure and creating consumer awareness about ODR should be geared up for the benefit of all.

Sitaram Popuri

Bengaluru

Doctors’ plight

This is with reference to ‘Saluting the medicos’ (August 4). It is high time the government realised the importance of the medical profession and the doctors who put their lives at risk to save patients, especially during the present pandemic. Medical professionals are treated shabbily by the government, and this is the main reason that many qualified doctors have left India looking for greener pastures. It has been gathered that nearly 3.5 lakh doctors of Indian origin are settled in the US. The main reason for this ‘brain drain’ is poor pay, lack of facilities, assault, etc. Doctors who are posted in rural and tribal areas live in pathetic conditions. How can we expect them to discharge their duties, when they are not even provided basic facilities?

The government spends hundreds of crores of rupees on unnecessary issues/ceremonies, but when it comes to the genuine responsibility of paying our medicos, it lacks interest. The pandemic has brought out the importance of this profession and it is high time the government treated our doctors with due respect and and arrest the brain drain.

Veena Shenoy

Thane

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