PUBLICATION OF THE CONSULATE GENERAL OF IN

◆ India’s GDP touches 6.1% in Q1 of 2009-10 ◆ India to build 20 km of roads everyday ◆ Indian School gets a new block

VOL. 1 ISSUE 6 SEPTEMBER 2009 INDIAINDIA TURNSTURNS 6262

Celebrations in UAE FROM THE CONSUL GENERAL’S DESK India Matters is a monthly publication of the The 63rd Independence Day was celebrated with gaiety all across the UAE, with special functions held in the Consulate General of India Embassy in and the Consulate in Dubai. People from all walks of life participated in the events, which are (CGI) in Dubai. All rights covered in this issue of the magazine. reserved. No part of this journal Both the Prime Minister and the President expressed optimism about the future of India in their address to the may be produced, stored or transmitted in any form or by any contents nation. Dr. Manmohan Singh reiterated his confidence in India’s political stability and economic strength. “It is only a means – electronic, mechanical, result of our policies that the global crisis has affected us to a lesser extent than many other countries,” he said. photocopying, recording or The Bank of Baroda in Dubai conducted a brainstorming session on investment opportunities in India. We hope to otherwise, without the encourage more investments from UAE into India, especially in the infrastructure sector. We welcome suggestions from permission of the CGI Dubai. our readers on how India should go about this task. The inside back-cover of this issue features the highlights of our for- eign direct investment policy. Editorial correspondence and I would also like to take this opportunity to extend my Ramadan greetings to all the readers. Indians, in general, are manuscripts can be addressed to familiar with Ramadan and Eid. There are 150 million Muslims living across the length and breadth of India. Members [email protected] of all communities greet their Muslim brothers and sisters during the holy month of Ramadan and also during Eid Content and design by IANS Milan celebrations.I would like to urge all Indians living in the UAE to use this holy month of Ramadan as an opportu- (www.ianspublishing.com) nity to reach out to their Emirati friends and join them in their Ramadan activities as well as Eid celebrations. on behalf of Consulate General of India in Dubai.

Indians in UAE celebrate I-Day 4 As India turned 62 years old on August 15, 2009, Indians in the UAE, along with the rest of world, celebrated the occasion with LETTERS TO EDITOR daylong programmes. INDIA-UAE Please accept my hearty congratulations for the wonderful way of organising our Independence Day celebration in the Indian High School premises. Your message was very apt and inspiring. Even the entertainment programme was very appropriate 10 Brainstorming session on and was able to ignite patriotism. Thank you very much for giving me an opportunity to participate in the function. FDI opportunities in India Dr. S. Gurumadhva Rao Vice-Chancellor RAK Medical & Health Sciences University COMMUNITY This is in appreciation of the efforts by the Indian Consulate led by Consul General Venu Rajamony, in organising a wonder- 13 Sharjah Indian School gets ful gathering to celebrate our 63rd Independence Day. Most notable was that the event started at exactly 8 a.m. as planned and lasted precisely an hour. With good leadership, even with a significant gathering, it was demonstrated that time can be new block kept. The cultural programme by children was of good value and crisp. Great work by all concerned! Prakash Muthuswamy BUSINESS & ECONOMY Project Manager Parsons 17 India to build 20 km of roads a day I would like to thank the Consulate General of India, Dubai, and place on record my deep gratitude to Thomas Mathew (Vice The Government of India will spend $21 TRAVEL: CHIKHALDHARA Consul Labour) for the guidance and the counselling given to my mother whose passport was stolen after immigration at billion annually from this fiscal to build Dubai International Airport Terminal 2 on July 7, 2009. We were really tensed as she was alone without a family member 20 km of roads everyday. next to her and she was ill and running out of medicines. It was due to the quick process of paperwork, and help from 20 Thomas Mathew that she could board the next day’s flight. BUSINESS & ECONOMY Mohammed Zahmeer Operation Manager, 19 India’s growth touches Oryx Piping Associates FZCO Jebel Ali Free Zone (South) 6.1% in Q1 of 2009-10 This is just to acknowledge the wonderful experience I had in regards to renewing my passport with a jumbo booklet within India’s GDP hastened to 6.1 percent in three working days. The staff members at Karama branch for passport services were very helpful and the entire process was the first quarter of 2009-10 from 5.8 very smooth. percent for the quarter before due to Rajesh Bhatia strong showing by various services Expatriate Indian industries.

2| INDIA MATTERS INDIA MATTERS|3 SEPTEMBER 2009 SEPTEMBER 2009 COVER STORY

‘Enlightened citizenry nation’s greatest asset’

resident Pratibha ical to change the lives of the Patil on August 14 people,” Patil added. Purged the people of Urging administrators to India to help the Government be “responsive” to the needs battle the drought and the of the people, she said: “Their swine flu virus, saying “an work is a public service – enlightened citizenry” is the commitment, dedication and “greatest asset” of a nation. honesty should be the hall- “This year, the monsoon has marks of their work.” Patil been less than normal impacting agricul- also spoke of the need to draw the mar- ture and availability of water. We have to ginalised sections of society into the be prepared to face the situation. The mainstream to ensure they reaped the Government is taking all possible steps to benefits of development. deal with it,” Patil said in her address to “There are weaker and vulnerable sec- the nation on the eve of Independence tions of society who are not full partners Day. in the growth and development process Noting that the Government was “tak- and remain on the sidelines. These sec- ing necessary measures” to handle the tions of society need to be drawn into swine flu outbreak, she said: “Citizens the national mainstream,” the President have to come forward to contribute to the said. Government’s efforts in these areas and in Noting that these sections of society other development initiatives through need to be given access to education, public-private partnerships, NGOs, com- health and skill-building – the tools of Ambassador Talmiz Ahmad (centre) along Consul General Venu Rajamony arrives for munity groups or self-help groups. empowerment – Patil said: “This will with former Union Minister Mani Shankar the Independence Day celebrations at the “An enlightened citizenry conscious of equip them with abilities and capabilities Aiyar (right) and Sunita Mainee Ahmad at Independence Day Indian High School in Dubai. its civic duties and social responsibilities, and generate confidence about their the I-Day celebrations in Abu Dhabi. maintaining discipline, following good future prospects. This will give them a lion),” he added. habits particularly about hygiene and sense of control over their destinies.” ndians in the UAE celebrated India’s celebrated across UAE Former Union Minister Mani Shankar cleanliness, respectful towards nature’s Holding that it was “within the realm of 63rd Independence Day on August Aiyar was the chief guest at the Embassy bounty and sensitive to environmental possibility to achieve this”, Patil said, “signs 15 with great fervour and pride. A function. Speaking on the occasion, he said concerns is the greatest asset of a nation,” of change are becoming visible”. “Today, large number of expatriates from all As India turned 62 years old on August 15, 2009, Indians could be proud of their country the President maintained. there are girls joining colleges, whose par- Iwalks of life attended functions at the expatriate Indians in the UAE celebrated the occasion only if they were able to eradicate poverty At the same time, Patil noted that the ents had never ever been to school. This is Indian Embassy in Abu Dhabi and Indian with daylong programmes and preserve the inherent diverse culture of expectations of the people “are rising as a development that has happened within a High School in Dubai. India. they are becoming more aware of their generation. People are today realising the India’s Ambassador to the UAE Talmiz “Poverty eradication is another crucial rights and seek better opportunities”. advantages of being educated and are ready Ahmad hoisted the national flag at the task for Indians. What India requires is “Facilities, amenities and services meant to seize opportunities.” Embassy premises and read out President equitable growth – the benefits of high for them whether they are living in rural or In this context, she noted that the pas- Pratibha Patil’s message. growth that the country has been achieving urban areas can be delivered smoothly sage of the Right of Children to Free and Speaking on the sidelines of the event, in the recent years should percolate down,” only if there is an effective governance sys- Compulsory Education Bill was a “land- he said that the UAE acts as a bridge he added. tem that is less cumbersome but more mark legislation” for achieving the goal of between India and its neighbours. Aiyar said India had been immensely transparent and accountable,” she said. universal education. “Booming non-oil trade between the receptive to all divergent forms of culture Dwelling on the Government’s welfare This apart, the National Mission on countries means a huge quantity of Indian and faiths from various parts of the world schemes, the President said: “The flag- Empowerment of Women will “socially products are re-exported to and throughout history. “The unity of India ship programmes of the Government are and economically empower women”, Afghanistan, which normally do not have can be protected only by preserving its comprehensive, ranging from health to who constitute 50 percent of India’s pop- easy access to Indian products,” diverse culture,” he added. education, employment to expanding ulation, “to play an active role in nation Ambassador Ahmad said. He talked about the challenges of social and economic infrastructure. building”. “Indian goods also reach East Africa empowering the poor in India, and “Their implementation will have to be “Giving an equal chance to everybody through Dubai, which has opened a mar- stressed the relevance of Mahatma at optimal levels for an impact to be made to get ahead in life is an article of faith for ket with a large geographical area for India. Gandhi’s goal to empower the masses on the lives of the people. Hence, the the Republic of India, and building an During the first nine months of 2008-09, through panchayats. emphasis on reform of governance for inclusive society our objective,” Patil India’s non-oil trade with the UAE has Prominent members of the expatriate Indian community at the Indian High School The Embassy function was followed by effective delivery of public services is crit- added. reached $30 billion (about AED110 bil- celebrations. a cultural programme, organised by

4| INDIA MATTERS INDIA MATTERS|5 SEPTEMBER 2009 SEPTEMBER 2009 COVER STORY

(From left) Schoolchildren performing at (From left) A band playing at the Dubai the cultural function held as part of the I- Confident PM says India headed to ‘new glory’ function; schoolchildren performing at the Day celebrations at the Indian High School Dr. Singh said there was no place in cultural function held at the Indian High in Dubai; artistes performing at the Indian democracy to those who School after the flag hoisting ceremony. ‘Evening of Geet and Ghazals’ at India triking a positive note on India’s mate change and water shortage to econ- resorted to violence to voice their Club. 63rd Independence Day, Prime omy, terrorism and a new world order. disagreement. “The Government UAE by following its rules, customs and SMinister Dr. Manmohan Singh on But his tone was positive and he vowed to will deal firmly with such people.” traditions,” he said. Indian organisations in Abu Dhabi like August 15 asserted that Indians had return India to 9 percent annual growth. He said India’s security forces This was followed by a cultural pro- the Indian Social and Cultural Centre, immense faith and confidence in them- Around 700 invitees, including school- and intelligence agencies were gramme in which the Indian High School, Indian Islamic Centre, Indian Ladies selves, and the world’s largest democracy children attired in the national tricolour as being strengthened following the Dubai, Delhi Private School, Sharjah, and Association, Kerala Social Centre and was headed to “new glory”. well as political VIPs and diplomats, audacious terror attack on Delhi Private School, Dubai, participated. Abu Dhabi Malayalee Samajam. The In his sixth consecutive address from packed the seated and open enclosure fac- Mumbai by Pakistani terrorists From patriotic songs to classical dances, event was held at the Indian Social the ramparts of the , the Prime ing the Red Fort, the majestic Mughal- that left nearly 170 people dead the performances highlighted the spirit of Cultural Centre, where Aiyar was the Minister sought to allay fears emanating built 17th century monument that is at the last year. “I am sure that with coop- freedom and came in for high appreciation chief guest and Ambassador Ahmad guest from the global economic meltdown, heart of Independence Day celebrations. eration from all sections of our from the audience. of honour. unending terrorism and swine flu to The Prime Minister said India was society, we will be successful in In the evening the Consulate, in associ- In Dubai, the Consulate General of assert that India had the strength and confident of returning to its 9 percent eliminating terrorism.” ation with India Club, Dubai, hosted an India organised a function at the Indian resilience to overcome all obstacles. growth path despite the global economic ly boost its food output. He said the coun- Dr. Singh said his Government was ‘Evening of Geet and Ghazals’. High School. “Some people question whether India crisis, and also of achieving a 4 percent try needed to embrace more modern committed to eradicating backwardness The programme featured different genres It was attended by more than 2,000 peo- will ever be able to attain its true poten- annual growth in agriculture in five years. means to succeed in agriculture, and make and unemployment and reducing dispari- of Indian music such as classical, ghazals, ple, including prominent members of the tial,” Dr. Singh said, as a slight drizzle He urged people not to let swine flu dis- more efficient use of its scarce land and ties in income and wealth. bhajans and folk by the Gulwadi Quartet. community like Managing Director of the accompanied his first Red Fort speech rupt their lives. water resources. He said India wished to tackle the prob- The group from Delhi comprised ETA Ascon Star Group Syed M. since he was voted back to office in May. Pointing out that India’s economic “The country needs another Green lem of climate change along with other Shobhana Rao, Shaila Hattangadi, Salahuddin, Convenor of the Indian “I have no doubt about this. growth slid to 6.7 percent in 2008-09, he Revolution and we will try our best to countries. India also desired to live in Nirmala Jaishankar and Arun Gulwadi. Community Welfare Committee K. “We are rapidly moving forward. We said, “It is only a result of our policies that make it possible,” he said. He admitted peace with all its neighbours, he said, rais- The performance was enthusiastically Kumar, Chairman of Arabian Trading have faith in ourselves. We have political the global crisis has affected us to a lesser that deficit rains this year would have ing questions about the effectiveness of the received by the audience, which comprised Agency Maghanmal Pancholia, and stability. Our democracy is an example extent than many other countries.” “some adverse impact on our crops” and multilateral institutions without New Club members and select invitees. Executive Vice-chairman of the ITL- for the whole world. We are gaining in “Restoring our growth rate to 9 per- promised to help farmers in distress. Delhi’s active participation. UAE President HH Sheikh Khalifa Bin Group Ram Buxani. economic strength. Most importantly, we cent is the greatest challenge we face,” he Making a reference to swine flu that has Making promises to bring about sweep- Zayed Al-Nahyan greeted his Indian coun- Following the flag-hoisting ceremony, have confidence in our youth... I am sure said. “We expect there will be an claimed lives in India, Dr. Singh said while ing changes in the lives of millions of terpart Pratibha Patil on the occasion of Consul General of India in Dubai Venu that they will take our country to new improvement in the situation by the end the central and state governments would Indians in the economic, educational and India’s Independence Day. Vice President Rajamony read out the President’s message glory.” of this year.” do everything to contain the disease, “the social sectors, Dr. Singh said his Congress- and Prime Minister of the UAE and Ruler and urged all Indians in the UAE to work Speaking in Hindi from a prepared An economist of repute, Dr. Singh said situation doesn’t warrant a disruption of led coalition had won “a mandate for of Dubai HH Sheikh Mohammed Bin towards the country's progress and pros- text, the 76-year-old scholar-politician the time had come for India to unleash our daily lives because of fear and anxiety”. starting a new era of cooperation and Rashid Al-Maktoum and Crown Prince of perity. “UAE has always welcomed Indians referred to a wide range of issues from cli- another Green Revolution to dramatical- Describing terrorism as a global threat, harmony in our national life”. Abu Dhabi HH Sheikh Mohammed bin with open arms, and Indians living here Zayed Al-Nahyan also wished President must keep in mind the best interest of the Patil on the occasion. !

6| INDIA MATTERS INDIA MATTERS | 7 SEPTEMBER 2009 SEPTEMBER 2009 INDIA-UAE SBI Dubai launches corporate banking services

he Dubai International Financial both fund-based and non-fund based. Centre (DIFC) branch of India’s “The DIFC branch now offers the entire largest bank, State Bank of India gamut of non-dirham fund-based and non- (SBI), launched its corporate fund based working capital and trade Tbanking services on August 16. finance facilities to corporates in UAE, in Formally inaugurating the services, addition to term loans and project finance,” Consul General of India in Dubai, Venu Vidyasagar added. “It also arranges or par- Rajamony, said, “At a time when there is ticipates in syndicated deals. It accepts non- gloom in the financial sector across the dirham deposits from professional clients in world, SBI is expanding operations. It non-local markets. Further, it offers invest- reflects its determination to serve the ment products of the SBI and other funds Indian business community and …the to retail or corporate investors.” growth of the UAE economy.” According to Vidyasagar, the SBI branch He urged UAE companies with their From left: Regional head and CEO (MENA in DIFC also caters to the needs of non-res- proven ability to access resources and and West Asia) of SBI Farooque Shahab, ident Indian (NRI) customers in the region expertise to look towards India’s massive DIFC CEO Abdulla Al Awar, and Consul by tying up with various exchange compa- From left: Mani Shankar Aiyar, India’s Ambassador to the UAE Talmiz Ahmad, Sunita infrastructure programmes, especially in General Rajamony at the launch of SBI’s nies through whom remittances to Indian Mainee Ahmad and Chairman of Jashanmal National Company Mohan Jashanmal the roads and logistics sectors. corporate services in Dubai. accounts can be made. He stated that the arrive at the Jashanmal Bookstore in the Abu Dhabi Mall. DIFC CEO Abdulla Al Awar said that as products. bank also catered to the needs of NRI cus- India’s largest bank, the SBI has an impor- CEO of SBI’s DIFC branch, A.J. tomers in the region, by tying up with vari- tant role to play in the growth of the region’s Vidyasagar, said that the branch could ous exchange companies through whom banking sector. “Our economic relationship now provide credit in currencies other remittances to Indian accounts can be made. Mani Shankar Aiyar visits UAE with India is historically strong. We can do than UAE dirhams, and could accept The Government of India holds a 59 a lot more by working together.” deposits in foreign currencies like the US percent stake in the 200-year-old SBI, ormer Union Minister for Dubai attended by Ambassador Ahmad and SBI had started its operations at the dollar, euro and pound sterling. “Our which today has around 12,100 offices Panchayati Raj, Mani Shankar Consul General Venu Rajamony, Aiyar spoke DIFC in 2007 under a Category 4 licence, services are open to all nationals as we are with more than 150 million customers. Aiyar, addressed members of the on the various features of democracy in India. and recently acquired an upgraded licence determined to acquire a more prominent The Bank has an international presence Indian Business and Professional “On adoption of the Constitution of for its operations in the UAE from the niche as a global player in international at 92 places spread over 32 countries. In FCouncil (IBPC) in Dubai, took part in a India on January 26, 1950, in one stroke, Dubai Financial Services Authority (DFSA). banking circles.” the Middle East, the Bank has two branch- book signing ceremony in Abu Dhabi, and the entire population of India was given The bank now has a Category 1 licence, The acquisition of the upgraded licence es – one in and another in interacted with prominent members of the the right to adult suffrage, while other great which allows it to offer corporate credit, would also enable the branch to provide a – apart from the DIFC branch. It will soon Indian and Emirati communities in the and older democracies of UK and USA accept deposits, arrange credit for invest- wide range of corporate credit facilities open new branches in Jeddah, Saudi course of a four-day visit to the UAE. gave rights to vote to women and other ments, and also offer advice on financial such as working capital and trade finance, Arabia, and the Financial Centre. ! India’s Ambassador to the UAE Talmiz minorities in many stages of time,” he said. Ahmad hosted a dinner in Aiyar’s honour “India gave the right to vote to all adults (From top) Aiyar with Sheikh Nahyan (centre) Diplomats greet Ruler of in Dubai, where the former minister inter- irrespective of gender, caste, creed and and Ambassador Ahmad at the IBPC Abu acted with leading Indian businessmen. colour at one go. It is amazing to see that Dhabi event; at the dinner hosted by Sharjah on Ramadan Aiyar also attended a book-signing event in a developing country like India, such Ambassador Ahmad in Dubai; interactions at organised by IBPC Abu Dhabi at the democracy is successful and functional, the Jashanmal Bookstore in Abu Dhabi Mall. Millennium Hotel. He spoke on two of his and has stood the test of a long 60-year HH Dr. Sheikh Sultan Bin well-known books, Confessions of a Secular period.” Mohammed Al Qassimi, Member of Fundamentalist and A Time of Transition: Aiyar also dwelt on various schemes to the contribution made by Aiyar to nation- the Supreme Council and Ruler of Rajiv Gandhi to the 21st Century. The func- improve the economic standards of rural al politics. Aiyar won Lok Sabha polls Sharjah received diplomats of various tion was attended by UAE Minister for citizens and empower them through vari- thrice. countries in the UAE, who came to Higher Education and Scientific Research ous schemes. Ahmad talked about Aiyar’s important extend greetings to him on the occa- Sheikh Nahyan Mabarak Al-Nahyan, “Rural empowerment will increase the contributions during his tenures as Union sion of the Holy Month of Ramadan. Ambassador Ahmad and his wife, growth potential of India for many decades Minister with important portfolios, and his (L-R) Consul General of Chairman of the Jashanmal National to come. The minimum wage bill, effective participation in the Parliament. Benito B. Valeriano, Consul General Company, Mohan Jashanmal, and various National Rural Employment Guarantee Rajamony praised his bold initiatives of Pasan Teparak, Consul members of the Indian and Emirati com- Act and various others schemes of the particularly when he was Union Minister General of India Venu Rajamony munities. Centre and states will further augment the for Panchayati Raj. He said that rural with Consuls from and The former minister also visited the process,” he said. India lived in the heart of Aiyar, and he South Africa. Jashanmal Bookstore at the Abu Dhabi Mall. In their speeches, Ambassador Ahmad initiated various schemes for rural At another function organised by IBPC and Consul General Rajamony admired growth. !

8| INDIA MATTERS INDIA MATTERS|9 SEPTEMBER 2009 SEPTEMBER 2009 INDIA-UAE Vayalar Ravi’s appeal to rich NRIs

inister for Overseas Indian The decision to create the ICWF was Affairs Vayalar Ravi has The ICWF is aimed at taken at a Cabinet meeting presided over asked rich Indians working providing the following by Prime Minister Dr. Manmohan Singh. abroad to contribute to a Ravi said the fund would be operated by Mnew diaspora fund created by the services: the heads of missions concerned. Government of India, so that welfare activ- Under the fund, Indian missions in ities could be undertaken for distressed cit- " Boarding and lodging for distressed seven countries – Qatar, the UAE, Saudi izens living outside the country. overseas Indian workers in house- Arabia, Oman, , Bahrain and “We request the rich and well to do to hold/domestic sectors and unskilled – would annually be provided contribute to this fund, so that the mis- labourers; Rs.1.5 million each to meet contingency sions can add to their corpus and do more " Extending emergency medical care expenditure incurred by them for carrying welfare activities for the needy. Recently in to overseas Indians in need; out various welfare activities for overseas Brainstorming session on FDI into India Russia, two businessmen sponsored the " Providing air passage to stranded Indian citizens who are in distress. tickets of 10 people from Kerala who had overseas Indians in need; Missions in 11 other countries – Libya, s part of efforts to promote positive aspects of the Indian economy, “We will be ready to provide funds to arrived there to work but got cheated,” he " Providing initial legal assistance to Jordan, Yemen, Sudan, Afghanistan, investments into India across and pointed out its healthier emergence the investors from both the countries, and told reporters in Thiruvanthapuram. overseas Indians in deserving cases; and , Syria, Lebanon, Thailand, the various sectors, the Dubai from the global recession, its GDP growth, help them identify viable projects and suit- In a major boon for Indian citizens who " Expenditure on incidentals and for Maldives and Iraq – will annually get Rs. branch of Bank of Baroda (BoB) investor-friendly FDI policies, stable polit- able partners at investment destinations,” find themselves in distress overseas, the airlifting mortal remains to India or 500,000 each. organisedA a discussion on ‘Increasing FDI ical scenario, and scope for investments in he said, adding that India currently has a Government has set up an annual Rs.16 local cremation/burial of deceased over- “Initially, we have set this up for three flow from UAE to India: Opportunities and India. very huge appetite for FDI considering its million Indian Community Welfare Fund seas Indian, in such cases where a spon- years, and this would be basically used to Strategies’ on August 11. Consul General Rajamony assured high economic growth levels and the mas- (ICWF) that will operate through the sor is unable or unwilling to do so meet contingency expenditure incurred for Among those who participated in the investors in the UAE full support in imple- sive expansion plans in infrastructure and country’s diplomatic missions in 18 according to the contract and the fam- carrying out welfare activities for overseas discussion were India’s Ambassador to the menting their plans for India. He also several other sectors. nations, mostly in the Middle East and ily is unable to meet the cost. Indian citizens who are in distress,” Ravi UAE, Talmiz Ahmad, Consul General in mentioned various sources through which Those who participated in the sesion Africa. said. ! Dubai, Venu Rajamony, and top executives investors can get information to facilitate included Chief Economist of the Dubai of various corporate groups, banks, invest- potential investments. International Financial Centre Nasser ment intermediaries and agencies. BoB Chief Executive for GCC Saidi, and representatives of Dubai Issues that came up for discussion Operations Ashok Gupta spoke about the International Capital, Sebastien Delasnerie included how the foreign direct investment emergence of India as a global economic Abu Dhabi’s Department of Economic ICWC organises blood donation camp (FDI) flow from the UAE to India can be power, and the increasing FDI flow to it Development, Economic Zones increased, initiatives needed by the from across the world. He said that the World/JAFZA, State Bank of India, he Indian Government of India, and difficulties faced share of the UAE in the overall FDI flows Limitless, Dubai Chamber of Commerce, Community by investors while investing in India. to India was only 1 percent, and there was Morgan Stanley, and Abu Dhabi TWelfare Ambassador Ahmad stressed the various tremendous scope to enhance this. Investment Company or Invest AD. ! Committee (ICWC), in association with the Dubai Health Authority and the Sharjah Crown Prince Blood Donation meets Consul General Centre in Al Wasl Hospital, organised a blood rown Prince and Deputy Ruler of Sharjah, HH donation camp on the August 5 at the Sheikh Sultan Bin Mohammed Bin Sultan Al- Indian Consulate. C Donors at the blood donation Qasimi, received Consul General of India in Dubai, As many as 112 persons volunteered camp organised by the ICWC Venu Rajamony, at the Ruler’s Court on August 18. to donate blood. Consul General of at the Indian Consulate in They discussed bilateral cooperation and ways to India Venu Rajamony and ICWC Dubai. boost relations, particularly in the areas of trade, culture Convenor K. Kumar were the first few and investment. donors. surgery and accident victims. Chief of the Ras al-Khaimah Ruler’s Office, Sheikh The hospital is constantly in need of The Dubai Tamil Sangam, and Esam bin Saqr Al-Qasimi, and Chairman of the Ras al- blood for transfusion to children suffer- members and patron of the Khaimah Department of Sea Ports and Customs, Sheikh ing from thalassemia. In addition, blood ICWC, provided light refresh- Khalid Bin Abdullah Al-Qasimi, were also present at the is also required for patients undergoing ment to donors at the camp. meeting. Rajamony with HH Sheikh Sultan Bin Mohammad Bin Sultan Al-Qasimi.

10|INDIA MATTERS INDIA MATTERS|11 SEPTEMBER 2009 SEPTEMBER 2009 COMMUNITY

IMAN Iftar in Dubai Sheikh Tahnoun Sharjah Indian School gets new block inaugurates Lulu he foundation stone of a new block of the Sharjah Indian School (SIS) was laid on August 4 by Consul General Venu Rajamony and Founder President of the TIndian Association, Sharjah (IAS) V. Damodaran. IAS General Secretary Abdullah Mallachery, Managing Committee Member Mohammad Theyyab, Acting General Secretary Chandraprakash Edamana, Acting Treasurer K. Nalakrishnan, SIS Vice-Principal Mini Menon, and students and staff members of the school also attended the event. Speaking on the occasion, Damodaran traced the humble beginnings of the institution, which had opened 30 years ago with 346 students and 22 staff members. Today it has 8,350 students and a 450-strong staff. H Sheikh Tahnoun bin Consul General Rajamony applauded the efforts and HMohammed Al Nahyan, dedication of the staff members and the office-bearers of Representative of Ruler for Eastern the IAS for the success of the school. He also urged the Region, inaugurated Lulu institute to consider adopting the coeducational system. onsul General of India in Ramadan,” MP Rahman, who had specially Hypermarket, the biggest multipurpose Rajamony said UAE authorities have assured that Consul General Rajamony and Founder President of IAS V. Damodaran lay- Dubai Venu Rajamony, and his come down from India to attend the func- shopping mall centre in Al Ain city on Indian schools wanting to turn to co-education may ing the foundation stone of a new block of SIS. wife Dr. Saroj Thapa joined the tion, said. “He sits on the floor with every- August 16. approach them to secure permission. Indian Muslim Association one and eats. This time he was also accom- Sheikh Tanhoun toured the hyper- “When I approached the higher leadership of the Government Ahmed Mohammad Hamad Al Midfa, is the patron of the school. C(IMAN) for Iftar at the Kuwait Mosque in panied by his wife and his children. These market and was briefed by Yousuf Ali and the Ministry of Education, they had no hesitation in offering The school fulfills the educational needs of children from all Deira, Dubai, on August 25. Iftar functions are a perfect example of com- M.A., Board Chairman of Lulu and to get it changed immediately. Now, the option is available with income groups. The low fee structure is a boon to many middle- He was accompanied by Member of munal amity and harmony,” he added. Falah Plaza about the new shopping the schools and I appeal that you take the consent of the parents income parents in search of quality education for their children in Parliament from Vellore, and former resi- From its humble inception in 1976, mall centre. and make the change as soon as possible,” he added. the UAE. The school has classes from kindergarten to class 12, and dent of Dubai Abdul Rahman, General IMAN Dubai has reached a commendable The new hypermarket is spread out The SIS is owned and managed by the Indian Association, a nursery for children below three years of age. Secretary of IMAN Liyaqat Ali and other position in attaining its goals and objec- over 200,000 square feet. Sharjah. It was officially inaugurated on September 5, 1979, by The first batches of students for the 10th and 12th Central office bearers. tives. This year, it completed its 28th year Lulu Hypermarkets, the retail divi- the then Ambassador of India to the UAE M.H. Ansari, who is Board of Secondary Education (CBSE) examinations were sent up IMAN, one of the leading organisations of service to the community. sion of the multidimensional and multi- now Vice-President of India in the years 1982-83 and 1984-85 respectively. Since then the of Indians in Dubai, has since its inception Apart from various charities and social national EMKE Group, has more than Chairman of the Sharjah Chamber of Commerce and Industry, school has always maintained a 98 to 100 pass percentage. ! in 1976 been organising Iftar everyday, activities, the organisation conducts func- 70 stores across the Gulf region. Apart during the holy month of Ramadan for tions during Eid ul Milad, Lailathul Qadr, from the UAE, it has stores in Oman, more than 5,000 devotees. Isra wal Mi’raj and Shab-e-Barat, where Qatar, Kuwait, Bahrain and Yemen and “The Consul General always joins us for scholars and special speakers are invited from will be soon seen in too. IBPC Sharjah conducts blood donation camp the Iftar feast during the holy month of India to speak on various subjects. ! o mark the 63rd the event, with 81 people donating Independence Day of India, blood. Tthe Indian Business and During the course of the event, an Padma Shri and Managing Director Professional Council (IBPC) of Indian Independence Day edition of and CEO of NMC Dr. B.R. Shetty’s Sharjah, in association with Al Zahra the IBPC Sharjah Newsletter was also book Sailing the 7even Cs was released Hospital, conducted a blood donation released. Chairman of IBPC Sharjah, by Consul General of of India in Dubai drive on August 15. Sudesh Aggarwal, gave away the first Venu Rajamony on July 31 in Abu IBPC Sharjah Managing copies of the newsletter to Consul Dhabi. The book, co-authored by Committee Member, Dr. Abhay General Venu Rajamony and Vijayan Nambiar and Dr. Ashoo Pande, spearheaded this initiative at Chairman of the Sharjah Council of Khosla, outlines the leadership role the Al Zahra Hospital in Sharjah. Commerce and Industry, Ahmad played by Dr. Shetty in developing the Donors received a general blood Mohammed Al Midfa NMC empire into a company of 15,000 pressure and lipid profile (cholesterol The event was also graced by mem- employees spanning five continents. check) and a blood test free of cost. bers of IBPC Sharjah and Al Zahra There was overwhelming response to officials among others. BOOK LAUNCHES BOOK

12|INDIA MATTERS INDIA MATTERS|13 SEPTEMBER 2009 SEPTEMBER 2009 BUSINESS & ECONOMY

The catalyst behind India’s telecom boom IN SHORT Special housing loan By Sam Pitroda political leadership of the day and compel small PBX was delivered for the business it to commit to realising that dream. It community. Then came a medium-sized Larsen and Toubro wins August marked the 25th required political will at the level of then 2,000-line digital exchange, a 16,000-line scheme pays dividends anniversary of what is now Prime Minister Rajiv Gandhi with nation- exchange and eventually a 40,000-line orders worth $217 mn widely acknowledged to be al visibility, unconditional support and large exchange to meet urban needs. All of ngineering and infrastructure he stimulus package issued by the from those borrowing Rs. 500,000, while India’s first defining steps egalitarian management approach. It also this was achieved with young talent whose Emajor Larsen and Toubro (L&T) Government in the form of spe- those borrowing Rs. 500,000 to Rs. 2 mil- towards an information and required unconventional and selfless lead- average age was 23 years without any expe- has bagged orders worth $217.45 mil- T cial home loans in December last lion had to pay 9.25 percent interest. communications revolution. ership at the helm of C-DOT with clarity, rience or background in digital communi- lion from Gulf-based firms to build year has started paying dividends, with The scheme had ended on June 30 this It was in August 1984 that the Centre for simplicity and values. cations technologies. Most of them were electrical substations, the company has housing loans disbursed by banks growing year, and demand under the scheme Development of Telematics or C-DOT The concept was to build indigenous right out of colleges like IITs with no expe- announced. L&T, in a regulatory state- by over four times to 353 percent during peaked in April and May. Citing RBI fig- was set up with the specific intention of Indian technology for a digital switching rience but a dream to help build the ment, said it would construct substa- the three months ended May 2009. ures, the report said housing loans indigenising digital switching technology system with focus on rural connectivity, nation. Today over 20 million lines of C- tions for Qatar Petroleum, Dubai According to the latest figures released increased by Rs 31.38 billion during the to meet India’s unique requirements. accessibility as opposed to telephone densi- DOT exchanges are in service. The rural Electricity and Water Authority, Oman by the Reserve Bank of India (RBI), this is three months ended May 22, compared to At the celebratory level, all those who ty, ancillary industries and young talent exchanges were used to provide STD/PCO Electricity and Transmission and in sharp contrast to the average 53 percent Rs 6.93 billion in the first three months of worked at C-DOT in one capacity or with new energy and new work culture, to improve access to telephones nation- Kahramma. These projects will be exe- decline in the three previous quarters. the scheme. another have come together on the work ethics, work norms and work values. wide. Because of the perceived benefit of cuted by L&T’s construction division “It was a right step to introduce the “The response to the scheme showed the Internet to create a virtual community The overall strategy was to design, develop STD/PCO to the masses, the privatisation in the Gulf region. stimulus package. This helped to ease out impending demand in the sector. April, spread from America to Australia and India and manufacture products to suit Indian of telecom had little resistance in India. the risk of interest rate volatility for at least May and June saw the maximum loan to Indonesia. Over a thousand profession- climate conditions, especially for rural It is gratifying that despite many ups Healthcare sector grew the initial years,” a report in The Economic applications,” I.C. Shetty, Divisional als have interacted from all over the world exchanges without airconditioning at sub- and downs, C-DOT stuck to its mandate Times business daily quoted Bank of India Manager of Canara Bank was quoted as to design a series of events to celebrate their stantially lower costs, and at the steadfastly and created telecom 42% in Q1 of 2009-10 Executive Director M. Narendra as saying. saying. work. This is a generation of young profes- same time train human resource infrastructure in areas of the ndia’s healthcare industry regis- Unless housing, real estate and construc- The special scheme helped bring a lot of sionals who believed in themselves 25 years in ICT to manage, maintain country, which suffered from Itered 42.44 percent growth in net tion sectors were boosted, core sectors like homebuyers back to the market and also ago and focussed on creating something and develop products for the woeful neglect until then. In profit during April-June, according steel and cement would not grow, he said. helped developers generate revenues. While unique from scratch for the nation as future. many ways, C-DOT became to a new study. The Associated When the special loan scheme was very few units were sold in the period opposed to merely copying Western prod- C-DOT made a public com- the signature project of India’s Chambers of Commerce and launched, home loans were drawing 11 between August last year and March this ucts from multinationals. mitment to develop products in quest for modernisation and Industry in India said in its study percent. Under the new scheme, public year, demand picked up in April with three C-DOT was established as an independ- 36 months for Rs. 360 million. infused new vigour in a tech- that, despite the global slowdown, sector banks charged 8.5 percent interest to four flats being sold every week. ! ent society to help develop a series of digi- As a result of openness, transparency and nologically diffident nation. C-DOT was India’s healthcare sector registered tal switching products to meet Indian public accountability, C-DOT was fortu- also an experiment in problem solving to healthy growth during the first requirements. Then we had over two mil- nate to get substantial support from make generational change with scalable quarter of the 2009-10 fiscal. The lion phones for 750 million people. It used national and local media. Right from day and sustainable systems to improve the 10 leading companies in the sector New JV to offer logistics to take 15 years to get a telephone connec- one, C-DOT focussed on public-private lives of the masses in India. posted a growth of 23.94 percent in tion. In the short span of 25 years, India partnership with a clear understanding that It is for technology historians to make a total income and 21.37 percent in services to Indian ports now has close to 500 million phones. We the products designed by C-DOT will be definite judgement, but in my limited and total expenditure during the quar- are adding 10 to 15 million phones every manufactured by public and private com- admittedly subjective view, C-DOT stands ter, it said. rench shipping and logistics firm lion),” a report in The Economic Times month. And a telephone connection can panies. It will require support of the unions at the vanguard of India’s rise as an infor- Louis Dreyfus Armateurs (LDA) quoted Saket Agarwal, Director of ABG be obtained on your way to buy grocery. C- and new regulations. All of this was not mation and communications powerhouse. India gets $7 bn FDI in Fand Mumbai-based ABG Ports have Bulk Handling, as saying. DOT planted the right seeds for this infor- possible without organisational innovation The C-DOT journey is a tribute to Rajiv inked a 49:51 JV for offering efficient port “Having established a formidable pres- mation and communication technology where hierarchies were systematically bro- Gandhi and the energy of the young engi- first quarter and logistics services to customers and ence in the growing infrastructure space of (ICT) revolution in the country a quarter ken, young people were empowered with neers. However, we have a long way to go. ndia received $7 billion in foreign Indian ports. ABG also plans to transfer the economy, being one of the two largest century ago. The spirit of private enterprise autonomy, freedom, and flexibility, to The next big challenge is to benefit from Idirect investment (FDI) during the the ABG group’s bulk handling division to crane rentals company in the country, and helped it grow to a substantial industry. work long hours and give their best. The the ICT revolution to improve education, first quarter of the current fiscal, this new JV. a presence on both the coasts of the coun- Now is a good time to review and reflect on mood at work was upbeat with a mission health, agriculture, financial services and according to Gopal Krishna, Joint Named ABG-LDA, the new company is try for container terminal operations at what was so unique about the C-DOT to help build an information infrastructure governance to bring growth and prosperity Secretary in the Department of looking at an investment of $80 million by Kandla and Kolkata, it was only logical endeavour. for India. Young people were systematical- to the doorsteps of the people at the bot- Industrial Policy and Promotion. October 2009, and is looking at a first full that ABG entered into the business of han- To begin with, it was a big idea with an ly shielded from the day-to-day bureau- tom of the pyramid. According to him, for the April-June year income of Rs. 1.8 billion to Rs. 3 bil- dling bulk cargo. Currently ABG is han- opportunity for generational change. It was cratic bottlenecks. It was their energy, self- (Sam Pitroda is Chairman of India’s period there was an approximate $2 bil- lion. The investment will include buying dling bulk cargo at three ports. It is operat- an idea, which could affect people in urban confidence, hard work and can-do mental- Knowledge Commission. He was head of lion FDI inflow every month. Services barges as well as cranes for its operations. ing mobile harbour cranes at New and rural areas in all walks of life and con- ity, which were the key to delivering vari- C-DOT and chaired the various technolo- including financial, non-financial, soft- “We hope to register a total tonnage of Mangalore, Paradip and Vizag ports,” he nect the nation in a very modern way. It ous products. gy missions set up by the late Prime ware, telecommunication, construction about 10-30 million tonnes during 2010- said. was crucial that this big idea was articulat- The first product was a small rural Minister Rajiv Gandhi. He can be con- and real estate are the areas where there 11. And with handling rates at Rs 75-100 ABG-LDA has also proposed to offer ed in a manner that would convince the exchange to connect villages. Thereafter a tacted at [email protected]) were large amounts of FDI inflows. per tonne, we are looking at a first year rev- customised barging solution to bring back enue of Rs 180-300 crore (Rs. 1.8-3 bil- volumes. !

14|INDIA MATTERS INDIA MATTERS|15 SEPTEMBER 2009 SEPTEMBER 2009 BUSINESS & ECONOMY New era of India-Arab economic ties India to build 20 km of roads a day

he Government of India will Emaar MGF to invest spend Rs. 1,000 billion or $21 in Shillong project billion this fiscal, and an equal amount in subsequent years, ealty major Emaar MGF Land said Twith a target of building 20 km of road Ron August 24 it will set up a resi- every day, acccording to Minister for Road dential complex in the northeastern city and Transport and Highways Kamal Nath. of Shillong, capital of the state of “This year we will build more road kilo- Meghalaya, with an investment of Rs. 4 metres than was done between 1999- billion. 2004,” Nath said while speaking at a sem- The 2010 Commonwealth Games Village in New Delhi is being built by a joint venture The 84-acre Windermere Estates inar on ‘Accelerating the Pace of Highways between Dubai’s Emaar and Indian real estate developer MGF. township will have world-class villas, a Development in India’, conducted by modern community retail centre, club- industry lobby Federation of Indian s the world fights an economic Indians in the Middle East are concentrat- house and a hotel, the company said in Chambers of Commerce and Industry downturn, a new dimension is ed in the Gulf countries, making this an a statement. (FICCI). being added to trade and busi- important factor in the growing ties “The development of Windermere “The target of building 7,000 km road ness relations between India between the two sides. Estate will have a multiplier effect on this year alone will make a visible differ- andA the Arab world, enhancing centuries- India’s trade with the Arab region, which the local economy and provide employ- ence in infrastructure,” he said. According no cost and time overruns. We would also (FDI) within the next two years. old ties between two sides of the Arabian gained prominence in the post-liberalisa- ment opportunities, which will directly to him, the target of 20 km a day is a big address the lack of capacity of the technical “I’m confident of bringing foreign Sea. Though Arab countries, particularly tion drive, accelerated in the first decade of and indirectly benefit over 1,000 peo- challenge before the Government. consultants,” the Minister said. investment into building roads and high- the Gulf nations, have traditionally been the new century as figures revealed by ple,” it added. “More importantly, this The Government is also considering fea- At a separate event, Nath said India’s ways in India,” he said at the Converging looked at as an important source of oil and Larbi Moukhariq, the Ambassador of move is a reflection of Shillong’s grow- sibility studies for the projects it plans to road construction sector is likely to receive India Leadership Summit 2009, organised gas for India, today it has changed into Morocco to India and Dean of the Arab ing stature as a prominent business and take up. “This would ensure that there are $10 billion of foreign direct investment by the Indian Chamber of Commerce. ! cooperation across multiple sectors marked Diplomatic Corps in New Delhi, show. education hub and a world-renowned by cross-investments from both sides. “India-Arab trade stood at $7 billion in tourist destination in the Northeast.” Following the signing of a memorandum 2001. This rose to $20 billion in 2005-06, of cooperation between India and the Arab and was nearing the $100 billion-mark in East India Hotels eyes countries during a visit of Amr Moussa, 2009,” Moukhariq said at the release of a phosphate, phosphoric acid and potash, all Consumer confidence high Gulf for expansion Secretary-General of the League of Arab manual on business and trade opportuni- of which translate into fertiliser for our Nations, to India late last year, the two sides ties in India and the Arab world, brought farmers,” Tharoor said. in India: Nielsen survey ast India Hotels (EIH), the flagship are in the process of putting in place a struc- out by the Associated Chambers of This apart, several Indian companies Ecompany of hospitality major The ture of multi-faceted cooperation. Commerce and Industry of India have either set up or are in the process of onsumer confidence in India is optimistic that the country would be out Oberoi Group, is setting up two hotels India is also working on sealing a free (Assocham) in cooperation with the executing a number of projects in the Arab on an upswing, with the country of the slowdown in the next 12 months. in the Gulf region. One is at Abu Dhabi trade agreement with the Gulf League of Arab Nations. world, including a thermal power plant in Cranking second only to Indonesia In the survey that covered 14,029 and the other in Oman, while its prop- Cooperation Council (GCC), which has True, energy security continues to be the Sudan, a cement plant in Djibouti, an in the Global Confidence Survey, con- online consumers in 281 countries, 62 erty in Dubai is progressing well, the Bahrain, Kuwait, Oman, Qatar, Saudi topmost priority for India as far as the Arab architecturally complex bridge in Jordan ducted by market tracker AC Nielsen percent of Indians thought their country group said in a statement on August 20. Arabia and the world is concerned. According to Minister and a variety of projects in Libya. during the second quarter this year. was in recession – a positive reduction of The company said plans for consolida- (UAE) as its members. of State for External Affairs Shashi Tharoor, And what do the Arab countries stand to In a report released on August 11, 10 points from 72 percent when the sur- tion and expansion were on track. These Nothing reflects the rapidly growing ties apart from the Gulf and Saudi Arabia, gain from this engagement with India? Nielsen said India registered a 13-point vey ran in March. include renovation of Trident Hotel in between the two sides across multiple sec- Egypt, Sudan and the Maghreb have “In many areas, countries of the Arab rise in its confidence survey, reflecting “This is the highest percentage for any Mumbai, one of the victims of last year’s tors more than trade figures. Of India’s emerged as important areas for India’s ener- world have the capital while India offers hopes of early revival of its economy. country globally that thinks the reces- terror attacks. The hotel is expected to total international trade of $414.54 billion gy security. the opportunities, especially in the devel- “Globally consumer sentiments are sion would be over in the next 12 reopen in the first quarter of 2010. in 2007-08, Arab countries accounted for “Indian companies have secured conces- opment of infrastructure,” Tharoor said. positive, with the Global Consumer months. A little less than half (38 per- The group has also signed a manage- 20.99 percent. sions or otherwise invested in the oil sector Beyond that, the Arab countries can Confidence Index, rising to 82 – an cent) think that India is not currently ment contract for an Oberoi hotel and Within the Arab world, India’s trade significantly in Sudan, Egypt and Libya,” look forward to India for sharing its vast increase of five points (from 77) from facing an economic recession (third residences in Marrakech, Morocco, for with the GCC nations alone rose to he said at the manual launch event. experience and expertise in institutional March,” it said. “This has been spurred highest globally),” says Vatsala Pant, which planning is under way. $66.75 billion in 2007-08, or 16.1 percent Besides energy security, the Arab world capacity building, governance, science by renewed consumer optimism and Associate Director of Consumer It is also scaling up its flight kitchen of the country’s total global trade. And has also gained importance for India from and technology, IT, biotechnology, stock market gains in BRIC markets Research at Nielsen. business. Operations in Mauritius, within the GCC, the country’s trade with the food security point of view. healthcare and higher education. Why (Brazil, Russia, India, and ) and The report added that the recent elec- Kochi and Kozhikode are expected to the UAE increased to $29.11 billion in the “Less publicised perhaps is the enor- this is important is because Arab countries key Asian countries.” tions in India also had a positive effect commence in 2010, while a new flight same period, making it India’s largest trad- mous importance for India’s food security, are shifting their traditional economic According to the survey’s findings, 66 on Indians’ sentiments towards its econ- kitchen in Delhi is expected to start in ing partner after China and the US. countries such as Jordan, , dependence from oil and gas to the percent of Indians polled said they were omy. 2011. Most of the five million expatriate Morocco, Tunisia as providers of rock knowledge sector. !

16|INDIA MATTERS INDIA MATTERS|17 SEPTEMBER 2009 SEPTEMBER 2009 BUSINESS & ECONOMY India, ASEAN sign free trade pact India’s growth hastens to 6.1% in Q1 ndia and the 10-member Association expected it to open up new market oppor- ndia’s economic growth logged a worst is finally over,” he told reporters Indian Chambers of Commerce and of South East Asian Nations tunities for Indian businesses with zero- notable acceleration to 6.1 percent here, reacting to the national income Industry (FICCI), said the chamber (ASEAN) on August 13 signed a tariff on 80 percent of ASEAN imports for the first quarter of the 2009-10 numbers. expected some sectors, especially services, major economic pact after six years within four years. fiscal from 5.8 percent for the quar- The best performance was from trade, to accelerate their growth in the ensuing Iof talks, hoping to widen the access to their The Confederation of Indian Industry Iter before due to strong showing by vari- hotels, transport and communications months. respective markets of 1.7 billion people said the agreement would give India access ous services industries, official data group, as also the financial services and “This growth on a sequential basis – and push bilateral trade beyond the cur- to a $1-trillion ASEAN economy, while showed on August 31. real estate sectors with an 8.1 percent from 5.8 percent in the fourth quarter of rent level of $40 billion. the Associated Chambers of Commerce The growth registered by the farm sec- expansion each, while mining came next 2008-09 to 6.1 percent in the first quarter The Free Trade Agreement was signed Commerce Minister Anand Sharma and Industry of India said it would push tor at 2.4 percent and manufacturing at with 7.9 percent, followed by construction in 2009-10 – is an indication of a turn- in Bangkok by Commerce Minister (second from left) after signing the FTA. two-way trade to over $60 billion shortly. 3.4 percent remained below the overall with 7.1 percent. around in the economy,” Singhania said in Anand Sharma and his counterparts from To be implemented in phases, the pact The ASEAN comprises Indonesia, expansion, showed the data on the coun- “The Indian economy has emerged a statement. the ASEAN member-countries, and comes calls for eliminating duties on some 4,000 Malaysia, the Philippines, Singapore, try’s gross domestic product (GDP) from the disruption created by the global “The economy will gradually bounce into force from January 1 next year. items by 2016 to cover 80 percent of Thailand, , , , released by the Central Statistical financial crisis,” said Chandrajit Banerjee, back on higher growth path as cement, “The agreement is a well balanced one, India’s imports from the 10 countries. Vietnam and Brunei. In 2007, these coun- Organisation (CSO) in New Delhi. Director General of the Confederation of steel and even real estate has started pick- it is very much in harmony with our Industry lobbies in India welcomed the tries exported merchandise goods worth “It is consistent with what we have been Indian Industry (CII). “The numbers ing up. Likewise, core infrastructure will country’s ‘Look East Policy’,” Sharma said agreement. The Federation of Indian $864.4 billion while the value of imports maintaining,” said Planning Commission indicate the economy has bottomed out.” also restore its growth pace,” added the after the signing ceremony. Chambers of Commerce and Industry amounted to $774.05 billion. ! Deputy Chairman Montek Singh Sharing similar sentiments, Harsh Pati Associated Chambers of Commerce and Ahluwalia. “This definitely shows the Singhania, President of the Federation of Industry (Assocham).

Indian economy: the road ahead Kerala, Britain to form India among most mature joint business group By Anoop Bhargava over 6 percent of the country’s GDP in " It has limited reliance on the external 2007-08. world, with external debt/GDP ratio of 19 erala will form a joint working espite the global economic slow- " Government savings: From being a net percent. For the US, it is 90 percent, UK is emerging forex markets Kgroup with Britain to explore busi- down, figures show India is on “dis-saver”, the Government has been sav- 379 percent, and China 17 percent. ness opportunities in that country as well Dtrack to become a global power- ing 2-3 percent of the GDP since 2003-04. "The country has an exports/GDP ratio of ndia, along with Russia and South and Thailand – and Brazil, Hungary, as attract foreign investments to the state. house due to its track record due to its " Corporate savings: Increasing GDP only 21 percent. For the GCC, it is 65 per- Africa, are the most mature out of the Mexico, Poland, Russia, South Africa and The decision to set up the joint busi- track record of reforms in the past 20 years growth and profitability has seen corporate cent, UK 26 percent and China 39 percent. I14 emerging forex markets, according Turkey. ness group was taken on August 6 in a and a high rate of capital formation. savings grow from 4 percent to 8 percent of Given the emergence of a new class of to new research. The MMI enables a more tailored way meeting between top Kerala officials led Today, advanced economies account for the GDP. consumers, the long-term outlook for India Leading forex firm Mecklai Financial of looking at different elements of maturi- by Industries Minister Elamaram Kareem three-fourths of the global GDP. The BRIC " Household savings: This has been steady is good. The total population of middle class conducted the research and has developed ty and can assist central banks by providing and a visiting British business delegation. (Brazil, Russia, India and China) nations and at 23-24 percent of the GDP and is expect- (earning more than Rs 200,000 per annum) a market maturity index (MMI) using data direction to deregulation. According to the Robert Kelly, Deputy Head of the Gulf Cooperation Council (GCC) con- ed to grow to 28 percent due to India’s was 52 million in 2005, which is projected from the last (2007) BIS survey of central report, the study also said that despite the Mission at the British Deputy High tribute 14.3 percent to the global GDP, with growing working population. to 270 million in 2015. For Russia, it is 55 banks. China has been placed last, The continuing constraints on the capital Commission in Chennai, led the British India accounting for 1.7 percent. By 2012, million and for Brazil 38 million. Financial Express business daily reported account, the Indian market has matured in team, which included members repre- the BRIC and GCC nations will drive most Outlook for the Indian economy: Household consumption analysis indi- citing survey figures. several other ways. senting the UK Trade and Investment of the world GDP growth, contributing 20 2009 and beyond cates that most sectors can expect good “Of course, as we are anecdotally aware, “There is increasing breadth of partic- (UKTI). UKTI is a business promotion percent, with India’s share being 10 percent domestic demand. For instance, the food the Indian market has developed quite ipation, and a substantial increase in the body of the British government. in incremental global growth. India’s GDP grew at 7.4 percent last sector, which contributes 43 percent of considerably since 2007, both in liquidity volume of options and other derivatives “It (the business group) would include From a $60-million economy in 1950 year, in spite of the global economic melt- household consumption, has seen stable and sophistication,” the newspaper quoted being traded; the offshore non-deliver- people from both public and private sec- (population: 365 million), India is today down. In comparison, the US GDP grew growth, while the non-food sector has seen the research report as stating. able forwards (NDF) market has also tors from here as well as from the UK. among the fastest-growing economies in by only 1.1 percent, while ’s declined moderate growth. “In parallel, its risk management index grown in liquidity and depth. Most We expect to get the group to be formed the world with a GDP of $1.1 trillion in by 0.7 percent. In addition, India is supported by a has also improved. In 2008-09, when risk importantly, two-way movements in the shortly,” Jane Owen, Director of UKTI, 2008 (population: 1.147 billion) India is structurally better positioned strong and growing working age popula- management has been particularly difficult price of the rupee are now a matter of told reporters in Thiruvananthapuram. All categories of savings have witnessed to combat the crisis compared to devel- tion. It is likely to be the “largest working in all markets, including the fully devel- course, confirming that the domestic FX Both sides have identified areas like a robust increase, thereby providing capi- oped countries because: nation” with 960 million working popula- oped FX markets, like EUR and USD, market is certainly coming of age,” it tourism, IT and healthcare to boost tal for growth. Consider: " It has lesser reliance on “leveraged con- tion by 2025. India ranked first of all the emerging mar- said. cooperation. “Quite a number of UK " Foreign capital: Foreign direct invest- sumption” with an investment/GDP ratio In summary, irrespective of the current kets in the study,” it added. India scored second highest to Russia on companies are looking forward to work ment (FDI) and foreign institutional of 34 percent. This compares well with that crisis, India will continue to grow and The research selected the currencies of the real sector subindex, confirming con- in Kerala's tourism sector. Another investment (FII) have increased at a com- of the US which is at 19 percent, UK become a global economic powerhouse. 14 countries to develop the MMI. These siderable anecdotal evidence that Indian important area is the skill category in pound annual growth rate (CAGR) of 40 which is at 18 percent, and China which is (The writer is the Head of Consumer included seven in Asia – China, India, companies are extremely savvy and pro- healthcare,” Owen said. percent over the past six years, contributing at 43 percent. Affluent Business for Dunia Finance.) Indonesia, Malaysia, , active in hedging their risk. !

18| INDIA MATTERS INDIA MATTERS|19 SEPTEMBER 2009 SEPTEMBER 2009 TRAVEL

HOW TO REACH BY AIR: The nearest airstrip at is 150 km away from Chikhaldara. The next nearest airstrip is at Nagpur, 230 km away. place, Robinson even had suggested trans- BY RAIL: Badnera, 110 km away, is devotees. The original temple is located on for all those early risers who wish to see The splendid isolation of ferring the seat of power of the British the nearest railway station. the west side of the Vairat hills and one the morning hues spread across the sky. empire to Chikhaldara! BY ROAD: Chikhaldara is well con- has to pass the valley and then with the Chikhaldara also has its share of histor- The hills of Chikhaldara are believed to nected by roads to Nagpur and help of ropes reach the underground way. ical heritage in the form of the Gavilgad have been named after the villainous Amravati. Buses are available from Blessed with numerous small waterfalls fort and the Akola fort. Situated Keechaka, who was killed by Bheema, the Nagpur, which is 230 km away, and and enchanting valleys, the beauties of at an altitude of 1,103 m on the Satpuda Chikhaldara great Pandava warrior. According to the from Amravati, 100 km away. Chikhaldara are best observed from range, the fort is named after the Gavlis, Mahabharata, after a long, drawn-out ACCOMMODATION: Resorts man- Hurricane Point, Devi Point, Prospect the rulers of the shepherd community, fight, Bheema threw Keechaka into the aged by the tourism department are Point and Panchbol. Devi Point, near the who had built a mud fort on this hill cen- Situated at a height of 1,118 m, Chikhaldara in valley. Thus it was named ‘Keechakadara’. available. Another option is the Chikhaldara bus station, houses a temple turies ago. The new fort was built in is a reflection of the beautiful English countryside Chikhaldara is the corruption of the origi- Satpura Resort. built inside a huge stone for the local god- 1425 AD by Ahmad Shah Wali of nal name. After his fight, he bathed in a dess. The entrance to the natural temple is Baharmani. The most beautiful remnant nearby lake, which is today known as draped with the curtain of a waterfall, of the fort is a mosque, situated at the eandering through the Situated at an altitude of 1,118 m in Bhimkund. Nearly 3,500 feet deep, situ- introduction of the Semadhoh Tiger which finds its source in the nearby highest vantage of the fort. The minarets green hills, the water of Maharashtra, ated near the Alladhoh village, Bhimkund Project at in 1973. The 25-km Shakkar Lake. and carvings are a tribute to the Pathan courses ahead to enter a Chikhaldara is not only the ‘sole’ resort of offers a spectacular view of the waterfall. forest stretch from Chikhaldara to One of the most famous landmarks is style of architecture. forest. Lost in the lush the Vidarbha region, but also the only Abounding in scenic beauty, this place Semadhoh is home to abundant wildlife. the Panchbol Point. One can experience Excursion trips are available to these Mgreen vegetation, suddenly the water coffee growing area in Maharashtra. is home to a variety of exotic flowers, Panthers, sloth bears, sambar, the Indian the marvels of nature at this scenic spot. A forts as well as the Nehru Botanical emerges and crashes down at breakneck Chikhaldara’s beauty first caught the eyes birds, wildlife and beautiful butterflies. bison, wild boars and wild dogs inhabit huge common valley formed by the edges Garden and the Tribal Museum, which speed, a white shimmering sheet, offering of Captain Robinson of the Hyderabad Developed as a hill station for the officers the area. of five hills, this place is also known as the are must-sees. a delightful visual treat. The fresh air of Regiment in 1823, who found the of the empire, the plateau boasts of a Mythologically important for pilgrims, Five Echo point. As the valley is fenced Away from the crowds, hiking in this the hill tinged with the lingering fragrance English countryside reflected in the hues ‘Company Bagh’, which is now the pride Chikhaldara is also home to an ancient off by the five hills, the echos can be dis- canopy of nature offers the perfect of coffee offers repose to the tired summer of this Indian valley. The lush green of the forest department. A variety of temple in the Vairat village. Situated nearly tinctly heard five times. Thus the name, panacea to the stressed soul, but do soul. This little beauty, tucked away from reminded him of an English spring and roses adorn the garden while a mini train 150 feet underground, visiting the original ‘Panchbol’. At Vairat hills, named after remember to carry a pair of binoculars to the hustle and bustle of a city, is called the brown and orange hues of an English occupies pride of place in the midst of it temple is not an easy task. The locals, King Vairat, the brother of Keechaka, is observe the lovely and exotic birds of Chikhaldara. autumn. Blinded by the beauty of the all. The area became well known with the however, have made a new temple for the Sunrise Point. This spot is a must-see Chikhaldara. !

20|INDIA MATTERS INDIA MATTERS|21 SEPTEMBER 2009 SEPTEMBER 2009 QUIZ

This magazine will accept contributions from readers in the form of Q&As, factoids, quiz news, announcements of upcoming quiz events and also photographs. You can write in to [email protected].

1. Established in 1911 by Sir Sorabji Pochkhanawala, this was Lama, Mera Lama, while searching for a place to construct a the first Indian commercial bank to be wholly owned and man- monastery in 1681, saw his horse standing quietly on a hilltop aged by Indians. Can you name this bank, which is today a and took it as a divine sign. The 1997 Bollywood hit Koyla, star- nationalised one? ring Shah Rukh Khan and Madhuri Dixit, was shot extensively near this town. Can you name this town? 2. If you are a tourist in Karnataka’s Shimoga district and looking at Raja, Rani, Roarer and Rocket, at which tourist attraction 10. In this traditional cuisine of India, etiquette demands that would you be? the meal is served in groups of four – in other words, four people share a ‘tarami’ or a large plate after initially washing their hands 3. Scottish inventor John Adrian Shepherd-Barron, who was in a ‘takht-i-nari’ or basin that is passed around. Can you name born in Shillong, the capital of India’s northeastern state of this cuisine? Meghalaya, first developed it in today’s form. It was first installed at the Enfield branch of Barclay’s Bank in north London in 1967. 11. Which major event was held at the Sports Authority of What is it? Andhra Pradesh (SAAP) Indoor Stadium at Gachibowli in Hyderabad from August 10 to 16, 2009? 4. Formed in 1988, it calls itself the only family-run football club India Welcomes Global Investment in India. It won the inaugural 2008-09 edition of Indian foot- 12. The person in ball’s premier event, the I-League. Can you name the club? the picture here is INFRASTRUCTURE Development Authority (IRDA). nents sector through the automatic route. known as the ! 100% FDI is allowed in real estate ! 100% FDI is permitted in the gems 5. Teen Murti House in New Delhi served as the official resi- ‘Father of the ! 100% FDI permitted in generation, development subject to minimum scale and jewellery sector through the auto- dence of which Indian leader? Pentium chip’ for transmission and distribution of power – norms of either 25 acres in case of serv- matic route. his role in the the Government is keen to draw private iced plots or integrated townships or ! 100% FDI is permitted under the 6. Launched on September 20, 2004, by the Indian Space development of investment into the sector. 50,000 square metres of built-up area for automatic route for the agro-processing Research Organisation, it is the first Indian satellite built to the chip while he ! 74% to 100% FDI permitted for construction development projects. industry. exclusively serve the educational sector. Can you name the satel- was working in various telecom services. ! 100% FDI is allowed in cash and carry lite? Intel. He is also ! 100% FDI under the automatic route is wholesale formats in the retail sector. NATURAL RESOURCES famous as a suc- permitted for all road development Franchisee arrangements are also per- 7. Which recent Bollywood release, directed by Sabir Khan, is a cessful venture projects. mitted in retail trade. ! 100% FDI allowed under the remake of the 2002 Tamil film Pammal K. Sambandam? capitalist. Can you ! 100% FDI under the automatic route is ! 100% FDI is permitted in hotels and automatic route for coal and lignite identify him? permitted for port development projects. tourism through the automatic route. mining for captive consumption. 8. Ka Hsaw Wa of Myanmar, Antonio Oposa Junior of the ! 100% FDI is permissible for airports. ! 100% FDI is allowed under the ! 100% FDI is allowed in petroleum automatic route for mining of metal ores. Philippines, Ma Jun and Yu Xiaogang of China and Krisana THE 13TH QUESTION MANUFACTURING Kraisintu of Thailand are five of this group of six people who refining, petroleum product and gas ! 100% FDI is allowed in the exploration were in the news recently. Name the sixth. Why is Army Day in India observed every year on pipelines and marketing/retail through the ! 100% FDI is allowed under the auto- of crude oil and natural gas through the January 15? automatic route. matic route for metallurgy and processing automatic route. 9. This town in northeastern India came up after the fifth Dalai ! 100% FDI under the automatic route of all metals. permitted for townships, housing, built-up ! 100% FDI is allowed in textiles and gar- KNOWLEDGE ECONOMY ANSWERS infrastructure and construction-develop- ments sector through the automatic route.

ment based projects subject to minimum ! 100% FDI is allowed in the electronics ! 100% FDI is permitted through the

ian Army. ian Ind the of Commander-in-Chief Indian first the became Cariappa K.M. Marshal) Field (later Gen. Lt. that 1948 in day that on was It

The 13th Question 13th The scale norms. hardware sector under the automatic automatic route for the manufacture of

Vinod Dham. Vinod 12. 2009. Championships Badminton World 11.

Kashmir. route with a few exceptions. drugs and pharmaceuticals provided the

The Wazwan cuisine of cuisine Wazwan The 10. Pradesh. Arunachal in Tawang 9.

sector in India by effectively combining ‘head’ and ‘heart’ in the transformative work of rural development”. rural of work transformative the in ‘heart’ and ‘head’ combining effectively by India in sector ! 100% FDI under the automatic route is activity does not attract compulsory

to bring professionalism into the NGO the into professionalism bring to Ramon Magsaysay Awards, considered the Asian equivalent of the Nobel Prize. Joshi was recognised for his “vision and leadership leadership and “vision his for recognised was Joshi Prize. Nobel the of equivalent Asian the considered Awards, Magsaysay Ramon SERVICES

allowed for all chemical items except licensing or involve the use of 7. Edusat. 6. Museum. Memorial Nehru the into turned of India. They are all winners of the 2009 the of winners all are They India. of Joshi Deep 8. Kapoor. Kareena and Kumar Akshay starring ,

Kambakht Ishq Kambakht ! Indian private banks can be 74% for- hazardous chemicals where govern- recombinant DNA technology and Jawaharlal Nehru, India’s first prime minister. It has now been now has It minister. prime first India’s Nehru, Jawaharlal 5. Goa. Salcette, at based Brothers, Churchill 4. ATM. or machine teller automated The 3.

form the Jog Falls. Jog the form eign owned, with a 5% cap on ownership ment/FIPB approval and licence to man- specific cell/tissue-targetted formulations. the four tracts that tracts four the are Rocket and Roarer Rani, Raja, river. Sharavathi the by created waterfall plunge highest India’s Karnataka, in Falls Jog The 2. India. of Bank Central

1. by any one entity. ufacture are required. ! 100% FDI is permitted for all health- ! FDI up to 26% is permitted in the ! 100% FDI allowed in automobile man- related services under the automatic route. insurance sector under the automatic ufacturing sector through the automatic ! 100% FDI is permitted in IT and IT- route subject to obtaining a licence from route. enabled services sector under the 22|INDIA MATTERS SEPTEMBER 2009 the Insurance Regulatory and ! 100% FDI allowed in the auto compo- automatic route. Source: www.investmentcommission.in ! Indian Community Welfare Committee Iftar

Scenes from the Iftar hosted by the Indian Community Welfare Committee on August 27 in Dubai to celebrate the holy month of Ramadan.

Consulate General of India P.O. BOX 737, DUBAI, UNITED ARAB EMIRATES Tel: +971 4 3971222/ +971 4 3971333, Fax: +971 4 3970453, Tlx.: 46061 CGIND EM Email: [email protected]

CONSULATE HOTLINE NUMBERS: +971 50 9433111 (For women/housemaids in distress and counseling for stress and depression) +971 50 7347676 (For death formalities on holidays and after office hours) 600 522229 (Passport and Visa Services Centre) Embassy of India, Abu Dhabi Plot No. 10, Sector W-59/02, Diplomatic Area, Off the Airport Road P.O. Box 4090, Abu Dhabi, United Arab Emirates Tel: +971 2 4492700, Fax: +971 2 4444685 / +971 2 4447768 Email: [email protected]