Number of the week: 6.98 per cent

Business Standard
5th March

6.98 per cent: Decline in the BSE Sensex in a week’s time — from 41,170.12 at close on February 21 to 38,297.29 at close on February 28.

  • Indian investors lost nearly Rs 11.43 trillion due to the decline, with total market capitalisation falling from Rs 158.51 trillion on Feb 21 to Rs 147.07 trillion on Feb 28.
  • The Indian stock markets mirrored a collapse in global equities, which have seen little relief from the impact of the Coronavirus outbreak.
  • Globally too, share prices were staring at their worst week since the financial crisis of 2008.
  • Moody's Rating agency says a Coronavirus pandemic could trigger global and US recessions in the first half of the year.

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A few links for further reading

Invest and emigrate

The great Indian dream of settling abroad is achievable if one has a few crores to invest. Rich nations offer a variety of investment options in a quid pro quo arrangement: immigrants get a better quality of life and revenue from them helps these countries’ finances. Wealthy Indians, troubled by polluted cities and the red tape holding up entrepreneurship, may want a quick ticket out of the country. Sanjay Kumar Singh lists a range of options: from a Canadian province’s investor programme to America’s US EB-5 plan.

Small savings schemes

Investors in small savings schemes breathed a sigh of relief when the government announced on October 1 that interest rates on these instruments would not be revised for the fourth quarter of the calendar year. With the economy witnessing a slowdown, and the stock markets also turning volatile, many investors are looking for alternative avenues to park their savings. Small savings schemes, with their sovereign guarantee, have emerged as a viable alternative.

Hard path to growth

The signals for the economy are not positive: overall demand is yet to pick up; the share of total exports in India’s GDP is declining, and industrial output pattern remains worrying.

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