Hike in interest rates will not impact growth: Rangarajan
Mumbai: According to C Rangarajan the chairman of the Prime Minister's Economic Advisory Council the hike in interest rates will not impact the high economic growth in the face of strong fundamentals and the economic growth momentum will be sustained at over eight per cent levels this year. He implied that there was no overheating of the economy. Dr Rangarajan said the fall in industrial output to six per cent in October could not be taken as an indication of a 'slow down in the Indian economy. He admitted that agricultural growth had not been of the order necessary to maintain a high level of employment, he nevertheless said that the growth process would not be affected.
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Kolhapur is the next IT destination: Deshmukh
Pune: Addressing the Promoters and Builders Association of Kolhapur (PBAK) Maharashtra chief minister, Vilasrao Deshmukh said Kolhapur would be the next investment destination. He said as Hinjewadi, the Pune IT park were already full, Kolhapur has risen as the next IT destination in the State. Mumbai and Pune are the other locations in the State, which has almost reached a saturation stage.

He said the State Government would soon set up the single-window clearance for all the approvals to be obtained by the companies for setting up their sites.

To begin with in Phase I, about 80 acres have been committed for it, though there is another 100 acres available for the companies which would like to set shop, according to the members of the association.
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Cabinet decision on telecom FDI expected today
New Delhi: The Union Cabinet is likely to come out with a decision on the proposed amendments to Press Note 5 related to FDI in telecom on Thursday. The Department of Telecom has proposed amendments to Press Note 5 to allow foreigners to hold key posts such as CEO, chairman and CFO in a company but with a rider that such appointments have to be cleared by the Ministry of Home Affairs on a yearly basis.

In a note prepared for the Cabinet, DoT also said that the chief technical officer and chief security officer will have to be an Indian citizen. The proposal is aimed at taking a middle path between the concerns raised by the security agencies and the demands of the telecom industry.
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US advises adopting sweeping reforms to India
Washington: The United States has advised India to adopt sweeping reforms, which include lifting ownership caps and reducing high tariff rates, that will bring more foreign investment into the country and fuel rapid growth.

After the signing of the historic nuclear treaty between the two countries by US president George W Bush, the under secretary of commerce Franklin Lavin called for the opening of India's retail sector to foreign multi-brand retailers, saying it would allow Indian consumers access to the "best products at the lowest prices" and improve supply chain efficiencies in the world's second most populous nation.

Lavin, in charge of the US Commerce Department's international trade portfolio, also suggested that India eliminate foreign equity caps in the financial services, banking and insurance sectors.
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