DUBAI CRISIS: WHAT AILS DUBAI? AND WHY SHOULD WE CARE?

In order to transform its economy as a major tourist and financial hub, Dubai borrowed US$80bn. However, it suffered a massive property slump in last year’s credit crisis. Now, it is not able to repay its liabilities, and asking borrowers to postpone repayments. There were 53 lakh Indians in the Gulf, of which 31% were in the UAE, mostly employed by construction sector for Dubai’s real estate boom. The Gulf region accounts for over half the total inward remittances worth over USD 25 billion annually from expatriate Indians, out of which 10% of overall remittances to India could be from construction workers. If Dubai were to default, there would be repercussion in other parts of world, where banking would take a hit from lending to Dubai. Though the overall size of the liabilities are not very big compared to US banking problems, this could be a taken as an excuse for the markets to correct at lower levels.

Financial panel for gradual opening up of sector to foreign banks

Courtsey: Business Standard, Mumbai

Rural focus excites Microfinance Sector

Altough the Interim budget might be disappointing for India Inc. but the article clearly speaks that it will augur well for Microfinance sector.

TATA Capital Secured Non-Convertible Debentures (NCDs)

Issue details

• No income tax is deductible at source as per the provisions of Section 193 of the I.T Act on interest on debentures issued by a company in a dematerialized form listed on recognized stock exchange in India
• The NCDs will be issued in Demat mode only.

Finally, Mahindra XYLO Launched

Mahindra and Mahindra inforemd the market that it launched the much hyped and much expected new vehicle Mahindra Xylo in four variants and 8 shades and the booking is almost open in all the Mhaindra dealership , the starting prioce is 6.25 lacs, My first impression after seeing XYLO why the heck they want to release a vehicle like this , but you never know.

Image source:autos maxabout.
Read more details here.

Rupee appreciates against dollar

The Indian rupee appreciated 22 paise against the US currency today in early trade after ending at a five-week low of 49.12/14 yesterday.

Infosys Q3 net up 33% at Rs 1,641 cr, beats expectations

Software major Infosys Technologies on Tuesday announced a 33.31 per cent growth in consolidated net profit at Rs 1,641 crore for the third quarter ended December 31, over the corresponding period a year ago.