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Share market shrugs off us rate rise as a result of GST increase, says industry body GST Council
Narendra Modi, the Prime Minister of India, on Sunday, made a bold statement about the country's fiscal situation. He said that as per a report in Business Standard, the country has witnessed an abrupt decrease in tax revenue.
"After the government cut taxes for 12 months, it has actually seen a hike in the tax revenue. I do not believe that we have a fiscal situation that could meet our obligations. If you look at the debt, it is $25 trillion. If we spend our tax collection on healthcare, education, transport, we will not be able to pay all our liabilities," he said in an interview with IANS.
"And if you look at public goods, what will be the output? Will there be a real output in 2015? We are not sure what the economy will do next year," he said.
Mr Modi said as per the Economic Survey, growth rates had declined to 6.1% in 2013-14, 8% in 2014-15 and 7% in 2015-16 from 7.5% in 2013-14. The gross domestic product (GDP) fell by 13.2% between 2013-14 and 2014-15 compared to a decline of 11.2% in 2014-15 according to official figures. This is the fourth consecutive year of negative growth and the highest growth rate in the last five years.
"And I did not hear about any of the statistics, if you have any of the figures - and by any measure - your growth rates have been much lower than the 7.5% which was the best performance in the last five years," he added.
This is what he said of the GST reform: "I do not believe that this will be a good time for India's economic growth. This is the first time in 50 years of independence when such an important issue is raised. There have been so many uncertainties at the core of our economic growth - and they have been very persistent. That we have to address these uncertainties and make sure our businesses and our citizens are better off is a big task for the government."
According to the report, the economic impact of the proposed Goods and Services Tax (GST) has been negative as much as 80% in the first year, with it causing about $300 billion of loss in business activities in the country.
"So, it has led to the slowdown in economic activity. And that is the reason why we are having so many challenges in our growth and so many challenges in our jobs and our economic confidence, just a few months ago," he added.
On the demand for new jobs, the Prime Minister did not seem too happ
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Climate change a threat multiplier for defence spending, says report
The report, published in the September/October edition of the New Economics Foundation, found a link between carbon emissions and a risk multiplier of 0.48 for defence spending.
The researchers used a model that included a simple explanation for all the possible effects, including the impact of climate change.
"The best explanation is the ability to respond differently to climate change in response to future events," said the report's co-author Andrew Weil, of the Australian National University.
"We conclude with the view that there may be no cost benefit of climate action to Australian government budgets, given the potential cost of defence under different circumstances," he said.
Weil's report also found that the number of people killed by climate change, which is expected to increase in coming decades, would increase by at least another 10 per cent in the next century.
In a statement, the Australian prime minister, Tony Abbott, said the report was "profoundly sobering" and described the findings as "truly concerning".
"The most compelling data on climate change's effects on Australian government budgets should be a sobering reality," Abbott said.
"We must continue the most ambitious climate action now in order to keep our children's future safe."
The new estimates, to be presented at a conference in Sydney on Monday, show that spending on defence would drop by $35 billion over the next 20 years if the United Nations climate change negotiations fail to produce a long-term agreement.
This reduction translates into about $5.7 billion over the next three years in defence savings.
Weil said he was surprised by the findings: "I could have anticipated they wouldn't come anywhere close," he said.
The new research from the US is the first to use the research to predict how climate change will impact defence spending.
One of the most dramatic effects is that climate change will drive up the cost of the Joint Strike Fighter, currently the most-powerful military aircraft on the planet.
The JSF, the plane from which aircraft from Nato allies and the United States join together for war, would cost $50 billion a decade if it went into service in 2050.
The report says the cost is far worse than that of some other countries, including a number of South American countries.
"The price of a fighter plane is rising faster in some of the fastest-growing economies in Asia than in a large swath of developed countries – with rising cost due to increased military spending," Weil said.
Other high costs include the costs of buying new weapons systems, new technology to keep up with emerging threats, more people and the military equipment and training that must be used
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Advice for nt politicians election 2016 from trish crossin. This is the only post here without any bias towards them. I want to ask whether they should focus on improving their electoral strength with strong party structures. I think this is a good question. Some people will not give a clear answer without having to explain.
1. The electoral strength of nt parties is still a long way off. It is close to nil.
2. It takes a long time for an elections to be fair. There is nothing else to say.
3. It does not have enough power to make nt a strong party, because of this, party structures need to be modified. They have to build a party system that doesn't favour any party.
4. People should not try to do their own electoral strength to achieve electoral power, just the other way around.
2. It is unlikely that any party will ever create an electoral strength like a political party, but I do not believe that it is a realistic option to think that we do not have a strong party structure which can win elections for us to be honest.
What do you think? Please comment below
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Basra buries dead as fallujah clashes continue
By Bassem Al-Khoulous and Zaid al-Sheikh
BEIRUT and KUWAIT (Reuters) - Iraqi forces pushed through Sunni areas to seize the Iraqi city of Fallujah on Saturday, killing dozens of militants, the interior minister said, as Kurdish forces launched an offensive towards Baghdad.
The assault on Baghdad's biggest Sunni city, the scene of frequent street battles between government troops and Islamic State militants, had caused alarm in Iraq, as Sunni Muslim fighters clashed among themselves across the country's south and east with Kurdish fighters backed by Shi'ite Iran and Lebanon's Hezbollah militia.
Iraqi forces on Friday pushed out a major rebel cell in Fallujah and advanced further inside the city as Shi'ite forces tried to prevent a Kurdish advance.
The advance, which felled at least 12 militants in Fallujah on Friday, is the largest offensive Iraqi forces have done since their defeat of Islamic State in October.
On Friday afternoon, the Iraqi army launched its largest offensive since the 2003 U.S.-led war in Iraq.
It was unclear why the assault on Fallujah, which includes large sections of Sunni areas and has been the target of frequent suicide car bomb attacks, was not in the same general area that Iraqi troops have been conducting operations since Friday.
An armed security source said that the force backed by the Iraqi army and militia of the Islamic State in Iraq and the Levant (ISIL) group had struck at the headquarters of al Qaeda's Islamic State in Iraq and Syria group, but it was not known what kind of weapons it had.
Iraqi forces also destroyed a car bomb, an explosive device and an improvised explosive device near an Iraqi army base in southern Fallujah.
An Iraqi government source said at least 14 fighters were killed in suicide car bombs planted by insurgents targeting vehicles on Saturday.
Militants in the northern Iraqi town of Rutba had clashed with the army on Friday in the area of the Fallujah base. Reuters reporters saw army and police forces firing at each other over a loudspeaker.
Fallujah is divided between the mainly Sunni, Shiite Muslim area of Anbar province west of Baghdad, and Sunni areas of Anbar, Mosul and Kirkuk province west of Baghdad.
The fighting came after the city suffered a string of suicide bombings.
A tribal leader in the city who was one of more than 300 militants killed on Friday by security forces said at least 250 other militants in Fallujah were not part of al Qaeda but were working to form a jihadist "network." He was speaking on condition of anonymity due to government rules.
The source said that Islamic State claimed responsibility for several attacks and that at least one of its fighters ha
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