Close

Anantha Nageswaran

Indian financial code: real risk of financial capture

The biggest risk that the draft financial code poses to Indian economic and financial stability is that it vests tremendous powers in the executive branch of the government. India’s factor markets are broken. Land acquisition is next to impossible. Labour market reforms are threatened by a coalition of international agencies and molly-coddled labour unions. Banks have […]

Read More

The ‘Troika’ goal is not Grexit from EMU but Syrexit from Greece

Unless timely financial assistance is forthcoming, Greece will default on its payment and this might trigger a process of reactions and actions . In January, Greece elected a left-of-centre political party, Syriza, to office. Syriza has pledged to repudiate the debts it owed to international creditors and relax the fiscal austerity programme it had been […]

Read More

The incredibly myopic fund

Prosperity has dulled the appetite for the heavy-lifting and pain-bearing required to restore sustainable economic growth in the world. It was an eventful week for the world economy. First, OECD slashed its global growth forecast for 2015 from 3.7 percent to 3.1 percent but kept its forecast for 2016 at 3.8 percent. Everything will always […]

Read More

China currency devaluation – matter of when and not if

India is not ready to step in as China’s economic engine stutters and stops. In October 2014, the Takshashila Institution published a discussion document on the China outlook for 2015. Events have followed that pattern that the document anticipated. China’s economy is slowing and the domestic economy is not rebalanced. Net exports constitute an increasingly larger share […]

Read More

What is the defining legacy of the Indian budget 2015-16?

Examining the budget for its revenue and expenditure projections and other announcements. Analysing and Indian budget is a tricky job. At its core, it is a statement of government revenue and expenditure. At another level, it is a statement of economic policies of the government. Governments, over the years, have used the occasion of the […]

Read More

ECB launches (or joins) World War III

The European Central Bank has rung the bell on the last act for both paper currencies and for modern central banks. ON 22 January, Mario Draghi, the President of the European Central Bank (ECB) announced a new programme of asset purchases. This is not the first time that ECB will be buying debt securities. However, this […]

Read More

Global economy: a zero-sum game

In the name of free trade in services and financial liberalisation, the US should not try to rob sovereigns of their policy space.  This article is being written in the backdrop of the disclosure that the previous Indian government might have left itself with no escape clause when it signed the trade agreement in Bali. […]

Read More

Modinomics and not Reaganomics

India needs contextual and not ideological policy-making. This piece is not a review of Professor Ha-Joon Chang’s book, 23 things they don’t tell you about capitalism. It merely draws heavily from it. In this book published in 2010, Ha-Joon argues that capitalism was a bad way to organise an economic system but for all others. […]

Read More

Investors continue to whistle in the dark

Investor attitude means that the next financial crisis could be worse than 2007-09 in some ways. Things are moving fast on the world political stage. Now, Islamic insurgents are threatening to overrun the elected government in Iraq. IF press report are correct, Iran and the US are on the same side of the fence, in […]

Read More

Emerging economies and capital flows – the poisoned chalice

It may take another international financial crisis for a more balanced approach at the IMF towards liberal capital flows and capital-flows management. “If there is little way for countries across the globe to avoid the spillover effects of unconventional policies emanating from the large central banks, should the large central banks internalise these spillovers? How? […]

Read More