Thursday, July 28, 2011
Links for July 28, 2011
Lower CRR will not help liquidity---Republica
A week ago, the central bank announced that it would lower the Cash Reserve Ratio (CRR) for banks from 5.5 percent to 5 percent. This 0.5 percent lower CRR was expected to result in a cash infusion of Rs 4 billion into the market.
Rameshwor Khanal, however, writes that this is a myth. Since Statutory Liquid Ratio (SLR) is still unchanged at 15 percent, whatever money is saved from the lower CRR simply goes towards maintaining the SLR. Therefore, no money is actually infused into the market to ease the liquidity. He claims that the liquidity claim by NRB is a "myth".
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Nepal tops FIFA ranking in South Asia---Nepalnews
Despite 9-0 loss to Jordan in the World Cup qualifiers, Nepal now ranks 136th. Here are the latest rankings:
Nepal ranks 136
Bangladesh ranks 147
India ranks 153
Maldives ranks 160
Pakistan ranks 171
Sri Lanka ranks 176
Afghanistan ranks 179 (I don't how Afghanistan is in "South Asia"?)
Bhutan ranks 201
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200 percent incentive for Revenue staff?---Republica
Incentives should be passed by the cabinet, so claim many. But, Ministry of Finance in the latest budget tried to pass the 200 percent incentive to revenue staff through the backdoor. That is the accusation.
Who's right? Who's wrong? Never easy to tell since this is Nepalese government, bureaucracy and politics. But, 200 percent incentive? In my layman's mind, that is a ridiculous provision. The revenue staffs are also government employees. They already get incentives for doing their job. It's called "monthly wages". They should be treated like any other government employee.
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India halts tea export from Nepal via Kakarvitta---Kantipur
Nepalese exporters had to have their tea tested by India every 6 months. Now, the Indian customs is saying that the tea being exported from Nepal through India has to be tested "EVERY TIME". This means every batch of export has to be tested.
This is the exact reason why SAARC has been an utter failure. Do we have a SAFTA (South Asian Free Trade Agreement)? If we do, then it's useless.
My neighborhood club has made more contributions to Nepal's well-being than SAARC and SAFTA have ever made.
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AND, just for fun, the top countries of Africa in terms of GDP are (hat-tip to www.marginalrevolution.com) :
A week ago, the central bank announced that it would lower the Cash Reserve Ratio (CRR) for banks from 5.5 percent to 5 percent. This 0.5 percent lower CRR was expected to result in a cash infusion of Rs 4 billion into the market.
Rameshwor Khanal, however, writes that this is a myth. Since Statutory Liquid Ratio (SLR) is still unchanged at 15 percent, whatever money is saved from the lower CRR simply goes towards maintaining the SLR. Therefore, no money is actually infused into the market to ease the liquidity. He claims that the liquidity claim by NRB is a "myth".
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Nepal tops FIFA ranking in South Asia---Nepalnews
Despite 9-0 loss to Jordan in the World Cup qualifiers, Nepal now ranks 136th. Here are the latest rankings:
Nepal ranks 136
Bangladesh ranks 147
India ranks 153
Maldives ranks 160
Pakistan ranks 171
Sri Lanka ranks 176
Afghanistan ranks 179 (I don't how Afghanistan is in "South Asia"?)
Bhutan ranks 201
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200 percent incentive for Revenue staff?---Republica
Incentives should be passed by the cabinet, so claim many. But, Ministry of Finance in the latest budget tried to pass the 200 percent incentive to revenue staff through the backdoor. That is the accusation.
Who's right? Who's wrong? Never easy to tell since this is Nepalese government, bureaucracy and politics. But, 200 percent incentive? In my layman's mind, that is a ridiculous provision. The revenue staffs are also government employees. They already get incentives for doing their job. It's called "monthly wages". They should be treated like any other government employee.
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India halts tea export from Nepal via Kakarvitta---Kantipur
Nepalese exporters had to have their tea tested by India every 6 months. Now, the Indian customs is saying that the tea being exported from Nepal through India has to be tested "EVERY TIME". This means every batch of export has to be tested.
This is the exact reason why SAARC has been an utter failure. Do we have a SAFTA (South Asian Free Trade Agreement)? If we do, then it's useless.
My neighborhood club has made more contributions to Nepal's well-being than SAARC and SAFTA have ever made.
----------------------------------------------------------------------
AND, just for fun, the top countries of Africa in terms of GDP are (hat-tip to www.marginalrevolution.com) :
Labels: central bank of nepal, CRR, FIFA ranking, revenue, SAARC, SAFTA, SLR, tea
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