Inflation rate falls further to 5.44 per cent
New Delhi: Inflation continued to fall for the second consecutive week, going down by 0.21 per cent to 5.44 per cent for the week ended May 31 although manufactured items and food articles became costlier. Indicating increased cost of living, the general price line, measured by the Wholesale Price Index (WPI), stood far lower at 1.93 per cent in the previous year period. WPI, however, rose by 0.2 per cent to 172.5 points in the latest reported week even as prices of primary articles and fuels were stuck at the previous week’s level. The index was 163.6 in the year-ago period. The final WPI stood at 172.9 for the week ended April 5 as compared to the provisional level of 172.1, while the final point-to-point inflation was pegged at 6.66 per cent, against the provisional figure of 6.17 per cent. Primary articles’ group index stood firm at the previous week’s level of 180.6 though food items became costlier while the prices of non-food articles fell. The index was 170.8 in the year-ago period.
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CII poll favours repositioning of small units
New Delhi: The Indian small industry has to reposition itself to achieve compatibility with the international trade scenario and become globally competitive, according to a snap poll conducted by the Confederation of Indian Industry (CII). Simplification of labour laws was found to be crucial to most respondents, followed by legislative support, which involves the enactment of the Small Enterprises Development Act, Limited Liability Partnership Act and legislation regarding factoring of debts. Some respondents also mentioned the transition from small scale industries (SSIs) to small and medium enterprises (SMEs). A majority of the respondents reiterated that SMEs were global trendsetters and identified the unfolding scenario in the next 17 years. Starting 2005, the poll found, by which time SMEs would complete their restructuring processes, the sector would consolidate by 2010 and eventually launch themselves into the global markets by 2015.
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8 Asian apex bank governors to discuss monetary issues today
Bangalore: The Reserve Bank Of India will host the 32nd annual meeting of the Asian Currency Union (ACU) here on Monday. Besides RBI governor Bimal Jalan, central bank governors of Pakistan, Bangladesh, Iran, Nepal, Bhutan, Myanmar and Sri Lanka will participate in the meeting. The meeting will also be attended by two senior officials from the Central Bank of Thailand as observers. Formed in 1974, the Teheran headquartered ACU at present has eight members. The objective of the ACU are multilateral settlement of current account payments, conservation of forex, promotion of monetary cooperation among central banks, increasing relationships among the banking systems of member countries and providing currency swap arrangements. In the meeting here, the governors will exchange information on the monetary and economic conditions in their respective countries and also discuss the future role of ACU. Addressing a press conference here on Sunday, State Bank of Pakistan governor Dr Ishrat Husain said Pakistan was likely to achieve 6 per cent GDP growth rate in the next two years. The economic reform process in the past three years has brought the country back to the growth path and this year it would have a GDP growth of 5.1 per cent, Dr Husain said.
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