Economists said the 7.2 trillion yen plan, equal to about 1.5 per cent of gross domestic product, would not provide a significant lift to an economy dependent on overseas demand for machinery, electronics and cars.

While several other economies are already debating phasing out economic stimulus deployed to fight the financial crisis, Japan continues to struggle amid chronically weak consumer demand and falling prices.

The budget underscores the balancing act faced by Prime Minister Yukio Hatoyama and his Democratic Party.

The Democrats are keen to avoid a recession ahead of an upper-house election next year but are also under pressure to make good on their pledge of fiscal discipline as the country’s public debt nears 200 per cent of GDP, by far the worst among G7 nations.

“This may help the economy somewhat,” said Yasunari Ueno, chief market economist at Mizuho Securities. “But it doesn’t even begin to address the more fundamental issues facing Japan, such as weaknesses in the global economy and deflation.”

Japan pulled out of recession in April-June thanks to a recovery in exports but figures due on Wednesday are expected to show third-quarter growth was much slower than an initial estimate.

Growth is seen slowing further in the first half of next year as the effect of nearly 27 trillion yen stimulus agreed by the previous Liberal Democratic Party government, wears off.

The new package, earmarked for low-interest mortgages for new home buyers, incentives for users of “green” technologies and extended subsidies for energy-efficient cars and household appliances, aims to encourage reluctant Japanese consumers to spend more.

Analysts, however, were sceptical about the plan’s impact and while most expect Japan to avoid a double-dip recession, those who predict another slump were not swayed by the latest spending plan.

“This stimulus will have a limited impact on the economy. I don’t think we need a major change in our forecast,” said Hideki Matsumura, a senior economist at Japan Research Institute, who expects a contraction in both the first and second quarter.

“I would be surprised if the contribution to growth exceeded 0.5 percentage point,” said Simon Wong, regional economist at Standard Chartered in Hong Kong.

Source: http://ibnlive.in.com/news/japan-injects-81-bn-stimulus-into-its-economy/106717-7.html

“This is an attempt to join the price war scenario currently prevailing in the country,” BSNL chairman and managing director Kuldeep Goyal said, adding, “our primary aim is to bring the advantage of our network to our customers.” Operators resorting to per second billing have fuelled a tariff war in the industry.

Source: http://timesofindia.indiatimes.com/biz/india-business/BSNL-slashes-roaming-rates-to-1-paise/sec/articleshow/5312268.cms

With the economy on upswing, analysts said the rising food prices should prompt the government and the Reserve Bank of India to shift their focus on controlling inflation, otherwise it would increase manufacturing inflation as well.

The economy grew by 7.9 per cent in the second quarter of this fiscal against 6.1 per cent in the previous quarter, rekindling hopes of a faster and steady recovery.

On weekly basis, onions turned expensive by over 12 per cent, while it surged by 30.89 per cent on a yearly basis.

Rice and wheat prices also rose over 10 per cent on a year-on-year basis.

However, the rise in prices of potatoes that have been surging, declined to 94.17 per cent on yearly basis, against over 100 per cent increase a week ago.

Altogether, inflation of primary articles (items found in raw form) rose to 12.53 per cent during the week ended November 21 against 11.04 per cent in the previous week.

The Prime Minister’s Economic Advisory Council Chairman, C Rangarajan, has said food prices must be controlled, otherwise they have a tendency to lead to manufacturing inflation.

Under the per second billing plans which will become effective from December 2, subscribers will pay one paise per second for local and STD calls across the country on all networks, he said. MTNL, which also offers 3G services, will also offer video calls at one paise per second across the country. It has also slashed the local SMS rate to 25 paise per SMS, although the STD SMS rates remain Re 1 per SMS.

The tariffs are applicable for both prepaid as well as postpaid users and affect MTNL’s 4.4 million mobile customers which includes 1.65 lakh 3G customers. According to Sinha, MTNL wishes to mitigate the difference between 2G and 3G customers by making 3G more affordable. Its 2G customers can convert to 3G by paying a nominal conversion charge. This is a lure as this allows for usage of 3G content and quality at 2G rates.

With this, MTNL is one of the last to take the plunge and join other service providers like Airtel, Vodafone and Aircel as well as state-run BSNL who have already fallen over each to offer calls at one paisa per second (see chart). The price war, which is aimed at wooing new users ahead of fresh entrants waiting to launch their services, has raised concerns about the profitability of these firms.

Source: http://timesofindia.indiatimes.com/biz/india-business/MTNL-dials-1/2-paise-per-sec-plan/articleshow/5289923.cms

The Sensex, which had lost 223 points on Friday on the Dubai bubble, recovered to close with a gain of 294.21 points to 16,926.22 soon after a report showed the economy grew by a significant 7.9 per cent in the second quarter of this fiscal, up from 6.1 per cent in the previous quarter. This is the fastest GDP growth in over 18 months.

The Benchmark touched the day’s high of 17,026.91 during the day, as 26 of the 30-BSE Sensex counters closed higher and four ended lower.

The wide-based National Stock Exchange index Nifty also rose by 90.95 points to 5,032.70 with heavy-weight stocks recording handsome gains. The Nifty touched the day’s hgih of 5,066.35.

While firming trend in Asian markets supported the Sensex to some extent, a weak European open capped the gains.

The market rebounded as most battered sectors like metals, IT, banks and realty gained the most today.

With the buying activity spilling over a wide-front, smallcap index rose by 2.08 per cent to 7,522.98 and midcap index by 1.63 per cent to 6,415.47.

Source: http://timesofindia.indiatimes.com/biz/india-business/Sensex-soars-on-robust-Q2-data/articleshow/5284635.cms

For the moment it seems K Rosaiah will stay on as the Chief Minister and YSR’s son YS Jagan Mohan Reddy will be accommodated in Delhi. Moreover, YSR’s wife may contest from the late chief minister’s constituency where elections are also to be held on December 19.

So finally, the Congress seems to have got the pawns in the right place. The Congress Legislative Party meet will take place to formally elect Rosaiah as its leader.

According to sources, YSR’s close aide Rosaiah will stay as Chief Minister. he had taken over when YSR died, but faced strong resistance from YSR’s son ‘s supporters.

They wanted Jagan to be made the chief minister and there was open rebellion following threats of a split in the party.

Congress President Sonia Gandhi had to intervene and a mellow Jagan came back to Hyderabad after meeting her and said he would abide by the party high command’s decision.

“Rosaiah or whosoever may be the chief minister, the entire party must back him. I request the party members to support the chief minister,” Jagan had told his supporters.

Congress is keen that no second power structure should emerge in the state but at the same time it understands the clout of Jagan.

So, Jagan may be adjusted at the Centre as a minister of state.

It is believed that Jagan was keen to contest from his father’s constituency Pulivendla, but Sonia felt it was safer to keep him out of Andhra.

It is almost certain that YSR’s wife Vijayalakshmi will contest from her husband’s seat as it will also keep other contenders from the family at bay.

It has been almost three months since YSR died and Rosaiah took charge.

Congress obviously thinks that’s enough time for him to have firmed his base and in politics power gives strength.

Rosaiah’s formal anointment may finally end bickering within the party and stop the Telugu Desam Party from fishing in troubled waters.

Source: http://ibnlive.in.com/news/rosaiah-to-stay-as-andhra-cm-jagan-to-move-to-delhi/106026-37.html

Raju, the only Indian on the list dominated by Americans, owes his place on the list to his disclosure in January about committing the country’s biggest ever corporate fraud.

Raju, said the magazine, “was living in his own fantasy world. The founder of the Indian outsourcing company Satyam Computer Services, he confessed in January to overstating Satyam’s profits over several years and creating a fictitious cash balance of more than $1 billion.”

“He invented more than 10,000 fictitious employees to help him steal money from the company, and he used his mother’s name to buy land with the proceeds. He confessed, but has yet to face charges in court,” it noted.

The police arrested Raju, his co-founder and brother, B. Rama Raju, and former CFO Srinivas Vadlamani on charges of cheating, forgery and breach of trust.

Forbes said the investigators have now found the fraud to be “much worse than expected after they discovered another $1.25 billion beyond what was already known”.

Raju on this list is followed by American businessman Thomas Petters (fifth), who went on trial in October for allegedly orchestrating a $3.5-billion fraud.

Source: http://www.samaylive.com/news/satyams-raju-put-in-forbes-2009-hall-of-shame/669142.html

Additionally, 64 percent of Indian CIOs proactively push IT as an innovation element and push low-cost business processes for their organisations against 55 percent abroad. The study is based on a global survey of more than 2,500 CIOs including 100 from India.

“Indian CIOs are more focused than their counterparts anywhere in the world,” said IBM India-South Asia’s chief technologist Guruduth Banavar.

According to the study, 56 percent of Indian CIOs decide on business strategy as a member of a senior management team, while globally this was 33 percent.

“Over 70 percent Indian CIOs expect to explore newer channls for end-customer interactions and greater transparency with customers in the next five years,” Banavar told reporters here.

Global responses rank between 56 and 64 percent, he added.

The study also said over 40 percent of CIOs in India have direct access to their chief executives.

“In India, it appears to be that CIOs are more progressive as compared to their global counterparts. Indian CIOs are looking to make innovation real and expand business impact,” said Nipun Mehrotra, Vice President of General Business, IBM Asia Pacific.

According to him, Indian CIOs want to lead their organisations into the league of the most successful companies worldwide.

“Due to intense competition across every industry, CIOs are compelled to do things very differently and they think out of box more often than many of their average global counterparts,” Mehrotra added.

Source: http://www.samaylive.com/news/cios-in-india-most-focused-globally-says-ibm/668411.html

No interest will, therefore, accrue on the bonds after January 8,2010 and no request for transfer will be allowed after December 9, 2009 the bank said in a press release here.

Investors holding the bonds in the form of promissory notes may tender its at the concerned branch of IDBI Bank by December 9, 2009, to facilitate the repayment in time, the release said.

Investors, having investment in the form of entry-in-account with IDBI Bank, should furnish a receipt in the prescribed form.

For those who held the bonds in demat form, the bonds will automatically be debited and the redemption proceeds will be sent to the investors, the release said.

Source: http://www.zeenews.com/news580743.html

Bharti Airtel, which accounts for more than 23 per cent of mobile users in the world’s fastest-growing market, has in recent months lagged smaller rivals in monthly subscriber additions due to a price war in the industry.

Source: http://ibnlive.in.com/news/bharti-airtel-cuts-mobile-roaming-charges-by-60-per-cent/105624-7.html