New Delhi, October 10
An economic outlook survey conducted by industry body Ficci predicts that growth in the current year would be restrained and the economy is set for another year of slow growth.

The GDP growth forecast for 2013-14 has been cut to 5% from the 6% growth that was projected in the previous round of the survey. The Prime Minister’s Economic Advisory Council (PMEAC) also recently revised down its GDP growth estimate for 2013-14 to 5.3%. According to a majority of the participating economists, the overall economic situation in the country continues to remain weak. Though some positive developments like good monsoons, better performance of agricultural sector, improvement in exports and clearances granted to infrastructure projects make the case for recovery a little stronger, it will still take some more time to witness any firm signs of a turnaround. The survey results also indicate that inflation risks have resurfaced and headline inflation rate is expected to be around 6% by March-end 2014. Elevated food prices and the sharp fall in the rupee value continue to put pressure on prices.

The Ficci survey is the latest in the estimates of various agencies that have downgraded India’s growth forecast. Recently, the International Monetary Fund (IMF) had cut GDP growth forecast to 3.8% for the current year. However, this was rejected by government managers. Commenting on the IMF numbers, Commerce and Industry Minister Anand Sharma said, “I reject the IMF numbers. The Indian economy is seeing a turnaround both in terms of growth in manufacturing and domestic demand and a bouyancy in exports. It is encouraging to see that trade deficit is also progressively coming down."

ADB cut the GDP growth forecast to 4.7% while several brokerages numbers range between 4 and 5%.

The survey points out that expectations with regard to performance of the industrial sector have also taken a hit. The participating economists expect Index of Industrial Production to grow by 1.7% in financial year 2014 which is half of the 3.5% growth that was projected in the previous round of the survey. On the external front, CAD to GDP ratio is expected to witness an improvement in the second half of the fiscal.

The survey notes that if the current weak economic situation persists, it will have a significant impact on the asset quality of the banks which will substantially increase the provisioning requirement in the current financial year. It was also indicated that besides bad loans, restructured advances also pose a risk to the banking system.

Mumbai, October 10
Demand for gold in India is expected to surge during the October-December quarter when the festival season kicks in, the World Gold Council (WGC) said in a report released here on Tuesday.

According to WGC, demand for gold is set to surge to 300 tonne in this period from 260.3 tonne during the same period last year. "Given that the monsoon remained favourable this year and more agriculture output estimated, farmers will have additional disposable income," Somasundaram PR, managing director, WGC India, said.

India’s gold import fell sharply in the July-September quarter as the RBI imposed several restrictions on import of the yellow metal. Less than 100 tonne were imported in this period, WGC said.

The WGC said India was emerging as a major recycler of gold. India recycled 113 tonne of gold last year, the council said. India was a top fabricator and consumer of gold jewellery last year accounting for nearly one-third of global fabrication and consumer demand. 

Mumbai, October 10
The rupee bounced back by 54 paise to close at an almost two-month high of 61.39 against the dollar amid sales of the US currency by exporters, firm equities and capital inflows.

The local currency opened at 62.20 a dollar from the previous close of 61.93 and immediately touched a low of 62.29 at the interbank foreign exchange market.

It rebounded to a high of 61.32 on dollar selling by exporters and positive local equities before closing at 61.39, a rise of 54 paise or 0.87%. It was the highest close for the local currency since 61.19 on August 13. — PTI

New Delhi, October 10
Introducing yet another innovation, a first-of-its-kind in the Indian telecommunications industry, country’s largest telecom operator Bharti Airtel will now allow its post-paid customers to customise their bill plans according to their unique preferences.

Customers will have the freedom to create a tailor-made plan in just three steps which they can easily manage. A never-before capability for Airtel mobile customers to customise their post-paid plans basis individual usage preferences. MyPlan will offer unparallel flexibility, value-for-money, freedom and convenience.

Customers can now customise and manage post-paid plans in three simple steps. Choose a rental plan, pick your preference from a bouquet of five rental options and select myPacks. Each rental plan will offer pre-decided myPack units that a customer can select for a combination of one or more depending on the usage preferences.

Customers can further top-up their plan with myBoosters and enjoy custom-made additional benefits.

Washington, October 10
The International Finance Corporation (IFC), the World Bank's investment arm, plans to raise $1 billion by selling rupee-linked bonds to help finance private sector investments in India and strengthen capital markets.

The programme, the largest in the offshore rupee market, was launched here Wednesday.

IFC chief executive Jin-Yong Cai said the bond programme would help bring depth and diversity to the offshore rupee market and pave the way for an alternative source of funding for Indian companies.

India accounted for $4.5 billion of IFCA’s committed investment portfolio as of June 30, 2013, more than any other country.

In the financial year ended March 2013, IFC invested $1.38 billion in India to achieve several strategic priorities such as promoting inclusive growth in country's low-income states, addressing climate change, and supporting global economic integration.

Reacting on the bond programme, India's Economic Affairs Secretary Arvind Mayaram said it would help attract greater foreign investments and strengthen the country's capital markets.

“This programme will help in strengthening of India’s capital markets and to attract greater foreign investment in a time of renewed economic uncertainty across the world,” Mayaram was quoted as saying. — IANS

New Delhi, October 10
SpiceJet is leasing six Boeing 737-800 aircraft from Singapore-based firm BOC Aviation to expand its route network. It has taken delivery of the first of the six aircraft, with the balance to be delivered next year. 

"BOC Aviation welcomes a new customer in SpiceJet, as we grow our fleet and strengthen our position," said Robert Martin, CEO of BOC Aviation. — PTI

New Delhi, October 10
Country’s largest two-wheeler maker, Hero MotoCorp today launched 15 new models and variants based upon its existing line-up with aesthetic and technological upgrades which would run up to 2014 when it brings in n new platforms and new technology offerings across its two-wheeler portfolio. 

Though the company unveiled 15 products today, it is working towards producing a model of India’s first hybrid scooter ‘Leap’ which it would showcase during the Auto Expo next year.—TNS