So Called Stimulus Package...

we have seen the bad effects of global slowdown and Rising Inflation in in recent past, Now government is claiming that they will withdraw the Stimulus given to indian industry. i dont think any stimulus is given rather i have a point that in the bad times government has mismanaged the rising inflation and due to this we have seen such a bad phase in recent past.

How the RBI has managed the Inflation has put a question mark on their Expertise, it seems like someone has told them that they want inflation figure below 8, this is just a number and if RBI want they can easly make the inflafion No. whatever they want because they have liquidity in their control, and surprisenglly what the RBI has done is the most easy way to get inflation down, they have increased the CRR(cash reserve ratio) and SLR(Sttutory Liquidity Ratio) this leads to rise in interest rate and directly hits the growth projects of Indian industry which is already get hit by global slowdown. In reaction the indian industry have stopped the growth projests and started reducing the manpower they have hired because of growth in their mind.

Do you think this type of exactly rubbish moves are so called stimulus Package, I Dont.

Global Meltdown- Subprime Crisis.

There is a Interesting topic now a days almost all people are discussing and because it has affected our life to some extent all people made certain assumption about it , the topic is not other then Global recession, i just want to share my views on the same.

Global Meltdown- Subprime Crisis.

The global financial system have divided the masses as per there financial status and there previous behaviour in repaying any type of credit

as Prime borrower and sub prime borrower, the prime borrower have better financial status and good record of repaying any credit then subprime

borrower. The Global banks started giving Loans to sub prime customers on higher rate to take more revenue on security of the property That is

Real estate(house), because of more Real property and less demand in global market the property prices dips down and suprime borrowers started

Defaulting the loan and banks started selling the property this again increases the demand and pushes the price down further ,

Because of that there are more defaults of loan occurs.

banks are not the only financial institution which lost money in this situation becuse they already have sold some part of it to investment bankers

and they also have taken insurance on the loan, that's why it affected the whole financial institution all over the globe, Thanks to RBI(Reserve bank

of India) conservative and extreme regulations that has restricted our Nationalised banks to invest in that global securities, otherwise our position is

also like American and British financial system.

We have not get hurt as America, but yes we have also affected to some extent because of less demand of software from global financial market.

Foreign Institutional investors have also take there money out from our market only because they dont have funds to run there organisation not

because of any fundamental reason, this all phenomena has let to meltdown of stock market of india from 21000 to 7000(BSE SENSEX), this

has affected Mutual fund houses and insurance sector most.

Believe me now the market is reviving, and i find myself fortunate that i have seen such a condition and have seen persons making good money

By investing systematically, its really a lifetime experience for any person who is in financial market.