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World Bank optimistic about India; projects 8 per cent growth next fiscal

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By Newsgram Staff Writer

The World Bank has forecast India’s growth accelerating to 8 per cent for the next fiscal year.

The World Banks’s projections came soon after the rating reports by Moody’s and Fitch changed India’s outlook from ‘stable’ to ‘positive’.

According to the World Bank, India’s gross domestic product (GDP) growth is expected to accelerate to 7.5 percent in fiscal 2015-16.

Riding on a significant acceleration of 12 per cent investment growth, India could reach 8 per cent in the fiscal year 2017-18, as cited by the economic focus report.

The report also pointed out that India is attempting to shift from a consumption-led to an investment-led growth, at a time when China is undergoing the opposite transition.

The think-tank of the rich nations, the Organisation for Economic Cooperation and Development (OECD), also endorsed India’s economic expansion projections.

Chief economist  at World Bank South Asia Martin Rama also added that cheap oil gives India the opportunity to rationalize energy prices, helping it in reducing the fiscal burden from subsidies.

However, World Bank’s bi-annual South Asia Economic Focus report hints at the exports sector in the region remains a cause for worry

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Here’s Why China is Predictable and Not Inscrutable

India could’ve easily predicted the Chinese coming on 5 August 2019

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The Chinese actions are far away from being Inscrutable. Pixabay

As the tensions rise between India and China along the borders in Ladakh, Shekhar Gupta in his article for The Print invokes an American political satirist P.J. O’Rourke.

Talking about his works Shekhar points out that in his ‘A Brief History of Man’, P.J. O’Rourke writes a small sentence “Meanwhile, in China, there were the Chinese.”. This sentence is relevant to us today.

Shekhar Gupta believes that the sentence conveys us a sense of resignation about the “inscrutable” Chinese. This thought happens to be familiar thought in the West.

“But we don’t live in the West. We’ve lived next door to China for as long as first civilisations grew.”, writes Shekhar Gupta

Let’s look at the history of Indian interactions with China since independance. What is inscrutable about it? Talking about the military assault across two fronts in 1962, it may have been a surprise to our leaders back then, but that is only because they were delusional.

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Chinese actions in respect to India are predictable now. Pixabay

From Chinese ultimatum to India to “return their stolen yaks and sheep” in 1965, to their appearance along the Ladakh frontier this year, China happens to be completely predictable and far from inscrutable. Especially keeping in mind Chinese actions in respect to India.

The push at Nathu La (Sikkim) in 1967 was probably to check out the resolve from India. Which they saw at its weakest — having fought two recent wars (1962 and 1965), famines, ship-to-mouth existence, political instability and a diminished Indira Gandhi. . The Indian response was a lesson they quickly learnt. What did the Chinese do after that? They have kept the peace for 53 years. Will you call that response evidence of Chinese inscrutability? They probed us, got a rude push-back, and decided to wait and stir the pot in different ways, at different times, says Shekhar Gupta in his artcile for The Print.

The Chinese kept the hold of what they wanted in 1962. According to Shekhar the truth is, they had it in their possession almost fully, barring small, tactically important slivers in Ladakh. They asserted their ownership and let their larger claim, Arunachal Pradesh, fully in Indian control, go militarily uncontested.

The Chinese never gave up claim on it. In 1986-87, they again checked us out at Wangdung-Sumdorong Chu (Arunachal), when they saw Rajiv Gandhi take India’s defence budget to a 4 per cent-plus of GDP. And once more, the response was firm and the Chinese backed off. The lesson we learnt according to Shekhar Gupta is that the Chinese won’t open fire randomly for the sake of it, Or when they are absolutely sure of an easy victory so they could be seen like ‘teaching an upstart a lesson’ as they did in 1962. Predictable.

Each and every action and response of China fits a pattern- Deliver a message, add leverage, and return, according to Shekhar Gupta.

India, China and Pakistan shared this unusual ‘triangulation’ in which China was using Pakistan to keep India preoccupied, said Former Indian Prime Minister Dr. Manmohan Singh during his tenure.

His idea was to break this ‘triangulation’ by seeking peace with Pakistan. He thought, that a country as big and powerful as China, would see less of an incentive for peace with India than Pakistan.

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Former Indian Prime Minister Dr. Manmohan Singh’s idea was to break this ‘triangulation’ by seeking peace with Pakistan. Wikimedia Commons

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Shekhar Gupta believes that today, that option is not so available, as hostility with Pakistan is central to the Modi-BJP politics. They’d rather make peace with China than Pakistan. That is why the lavish welcomes and frequent meetings with the Chinese leaders. The objective, still, is escaping that triangle.

Another instance of Vajpayee explaining the Chinese negotiating style. “Dekhiye, aap aur hum baithe hain aur vaarta kar rahe hain (see, you and I are sitting and negotiating),” he said. If two people require something and the first person asks to let go of something, the other will say no. Then the first person again asks for something little less, then again the other person might say no. But ultimately the second person will relent and let go of some. The Chinese would never do that.

Both these leaders underlined that the Chinese are consistent, and predictable. And that is why we should not be shoched or surprised by what they have unveiled across Ladakh. We should have anticipated it on 5 August last year when we made the big changes in Jammu & Kashmir. This Chinese move, like all others in 60 years, was fully predictable. Even the timing, says Shekhar Gupta in his article for The Print.

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Canada Faces Sharpest Downturn in GDP Since 2009

Canadian economy sees worst quarterly performance since 2009

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Canada witnesses worst quarterly performance since 2009 due to the COVID-19 outbreak. Pixabay

Canada’s national statistical agency said that the country’s economy saw the worst quarterly performance since 2009 due to the COVID-19 pandemic.

Statistics Canada said on Friday that it came as the GDP suffered a big drop in March as restrictions against the spread of COVID-19 began rolling out during the month, reports Xinhua news agency.

The downturn in GDP, the sharpest since the first quarter of 2009, reflects measures rolled out in March to contain the COVID-19 pandemic, such as closures of school and non-essential businesses, border shutdowns and travel restrictions, as well as events earlier in the quarter, mainly the Ontario teachers’ strike and rail blockades in February.

The country’s GDP fell 7.2 per cent in March from February, the most severe month-on-month fall, while annualized growth for the first quarter decreased by 8.2 per cent, the largest since the depths of the Great Recession.

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The country’s GDP fell 7.2 per cent in March from February, the most severe month-on-month fall. Pixabay

Household spending was reduced by 2.3 per cent in the first quarter of 2020, the steepest quarterly drop ever recorded.

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Spending reductions were influenced by substantial job losses, income uncertainty and limited opportunities to spend because of the mandatory closure of non-essential retail stores, restaurants and services, and restrictions on travel and tourism activities.

Real GDP plummeted by a record 11 per cent in April from March as most sections of the economy were shut down to fight the COVID-19 outbreak.

The March and April falls are likely to be the largest consecutive monthly declines on record, said the country’s statistics agency. (IANS)

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Apple Manages to Open Nearly Half of its Retail Stores Worldwide

Apple has reopened nearly 256 retail stores globally

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Nearly half of Apple retail stores are now open globally. Pixabay

Apple has managed to reopen nearly 256 retail stores out of more than 500 worldwide, as it aims to safely restart operations.

Apple closed all its retail stores outside Greater China in March as COVID-19 pandemic spread. All the Apple stores in Greater China are now open.

“In China, and later around the world, we were one of the first companies to close our stores. In Greater China, we saw the importance of swift action — and the critical importance of social distance — to slow the virus’ spread,” according to Apple’s head of retail Deidre O’Brien.

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Apple is conducting enhanced deep cleanings at their stores to prevent the spread of Coronavirus. Pixabay

“As time has gone on, we’ve continued to refine and expand our in-store health and safety measures, which have proven so effective in places like Greater China, where our stores have been safely open for months,” he added.

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Apple is taking some additional steps in most places. Throughout the day, Apple is conducting enhanced deep cleanings that place special emphasis on all surfaces, display products, and highly trafficked areas.

“Face coverings will be required for all of our teams and customers, and we will provide them to customers who don’t bring their own. Temperature checks will be conducted at the door, and posted health questions will screen for those with symptoms — like cough or fever — or who have had recent exposure to someone infected with COVID-19,” O’Brien elaborated. (IANS)