India Inc.

First, the increased investment opportunities; and second, considerably high retained earnings of India Inc. – which grew at a pace of 24.9% to increase their share in GDP from 4.4% to 4.8% in 2005. However, with interest rates firming up globally, capital investment plans by the private sector will have to take a backseat. A rise in interest rates means an increased demand for alternate sources of raising money. Rishi Sahai, Director, Indus View Advisors points out that “An increase in borrowing cost from banks will encourage demand for investment through the private equity route, which has infused $3.5 billion in H1 2006.” For companies sitting on huge cash balances, increased borrowing costs hardly mean much; but investment plans of small companies might take a hit. Clearly, they will have to look for other sources of raising funds.

For Complete IIPM – Editorial , Please Click on IIPM-Editorial Link

Source:- IIPM-B&E , Initiative:- Prof. Arindam Chaudhuri - 2006

Rashmi Bansal Publisher Of JAMMAG Magazine Caught Red-Handed, for details click on the following links:-

• Hindustan Times Article - Publisher goes underground
• Rashmi Bansal (Editor of JAMMAG)
• Rashmi Bansal (Publisher of JAMMAG)