Karnataka grew at 8% under Congress rule: Chidambaram
Bengaluru, May 8: Betting on the Congress to win the May 12 Karnataka Assembly polls, former Finance Minister P. Chidambaram on Tuesday said the state grew at 8 percent of the Gross Sate Domestic Product (GSDP) during the last five years of its rule.
"Karnataka's GSDP under the five-year stable Congress rule increased 8 percent annually to Rs 9,49,111 crore in fiscal 2017-18 from Rs 6,43,292 crore in fiscal 2013-14 at constant prices," Chidambaram told reporters here ahead of the crucial poll on Saturday.
Asserting that an average citizen in the state was richer than five years ago, he said the per capita income had shot up 125 per cent to Rs 1,74,551 from Rs 77,309 in 2013 as against the all-India growth of 59 per cent.
"The state has an enviable macro-economic record with average 2.26 percent fiscal deficit while the average revenue surplus was 0.08 per cent."
Unemployment in the state is also lowest among the states at 2.6 percent as against 5.9 per cent at the national level.
Lauding Chief Minister Siddaramaiah for completing a full tenure, the first in 40 years since D. Devaraj Urs in the late seventies, Chidambaram said development and welfare had gone together as evident from 40 per cent spending on the social sector.
"In contrast, the BJP gave the people during its 5-year tenure (2008-13) a weak and unstable government with three chief ministers," he said.
Cautioning the people against voting for the BJP, the former minister said the same incompetent men and women were leading its poll campaign this time.
"No one has forgotten the sad spectacle of 2008-2013. The people gave 110 seats to the BJP. What did they get in return? It was perhaps the worst government in the state's history."
On the twin challenges before the next government, Chidambaram said the first was to maintain the growth momentum and the other was to confront the design of the RSS-BJP set up which was out to wreck the federal system, weaken states and impose its agenda of one history, one culture, one religion, one language and one code of behaviour.
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Rupee plunges 28 paise to settle at 93.44 against US dollar
Mumbai (PTI): The rupee declined 28 paise to close at 93.44 against the US dollar on Tuesday, weighed down by a steady American currency and volatile crude oil prices amid uncertainties over the progress of West Asia peace negotiations.
Positive domestic equity markets failed to boost local currency, which also had some impact of the Reserve Bank's latest move to ease curbs on speculative bets in non-deliverable forward markets, forex analysts said.
The Reserve Bank on Monday partially withdrew directives taken on April 1 to curb excessive speculation in the rupee. The banking regulator had capped the net open positions in non-deliverable forward markets at USD 100 million, mandating banks to comply by April 10.
Under revised directives, authorised dealers or banks can resume offering non-deliverable derivative contracts involving INR to resident or non-resident users, but must comply with certain restrictions on related-party transactions. Also, the USD 100-million cap in net open position is still effective.
At the interbank foreign exchange market, the rupee opened at 93.25 and fell to an intra-day low of 93.63 before ending the session 28 paise lower at 93.44 against the greenback.
On Monday, the rupee settled with a loss of 25 paise at 93.16 against the US dollar. The currency had gained 47 paise in the preceding two sessions.
Anuj Choudhary, Research Analyst at Mirae Asset ShareKhan, said the rupee fell on uncertainty over US-Iran talks and a surge in crude oil prices. A strong dollar also pressured the rupee; however, positive global markets cushioned the downside.
"Traders may take cues from retail sales and ADP employment change data from the US. USD-INR spot price is expected to trade in a range of Rs 93.30 to Rs 93.90," Choudhary said.
Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities, said the rupee traded weaker as recent RBI adjustments and partial rollback of earlier currency-support measures added pressure on the local unit.
"At the same time, the dollar remains steady while crude and gold are relatively stable, with markets closely watching the outcome of US-Iran ceasefire developments expected tomorrow. The rupee is likely to remain highly event-driven, with direction dependent on geopolitical clarity and RBI stance," Trivedi said.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, rose 0.19 per cent to 98.09.
Brent crude, the global oil benchmark, was trading 0.70 per cent down at USD 94.81 per barrel in futures trade.
Analysts attributed the volatility in crude prices to persistent worries over disruptions of supplies of oil from the Strait of Hormuz. Also, the ceasefire agreement between the United States and Iran is scheduled to expire on Wednesday.
In a latest development, Iran's chief negotiator on Tuesday said Tehran would not negotiate in the face of threats, while US President Donald Trump hinted that he was in no rush to end the conflict with Iran.
In the domestic equity markets the 30-share Sensex rose 753.03 points, or 0.96 per cent, to settle at 79,273.33, while the Nifty rose 211.75 points, or 0.87 per cent, to 24,576.60.
Foreign Institutional Investors offloaded equities worth about Rs 1,918.99 crore on Tuesday, according to the exchange data.
