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1. Introduction 2. This could be the year that 3. Calendar of events 4. Macro trends for 2013 5. Key themes for the year ahead Fiscal prudence and inflation management are needed to avoid stagflation Getting more out of existing capital will prove critical Rural consumption will continue to drive domestic demand Domestic reforms will be critical to Indias global competitiveness Increased trade liberalization will set the stage for more balanced business growth 1 2 3 4 5 5 6 7 8 9
6. Spotlight 10 Can India capitalize on demographic change? 10 7. Sector outlook Automotive Banking Chemicals Defense Education Fast-moving consumer goods (FMCG) Healthcare Information Technology Infrastructure Media and Entertainment Oil and gas Pharmaceuticals Power Real estate Retail Telecommunications 8. References 12 12 12 13 14 14 15 15 16 16 17 17 17 18 19 19 20 21
Introduction
The year 2013 will test Indian policymakers and industry leaders alike. During 2013, Indias gross domestic product (GDP) is expected to remain in the range of 6-6.5%well below Indias potential as a leading emerging economy. As 2013 unfolds, India will likely continue to face challenging macro-economic conditions. Indias deteriorating fiscal situation and high inflation are cases in point. Barring fiscal restraint and new sources of revenue, Indias annual fiscal deficit may increase to 6 percent of gross domestic product (GDP) in 2013.1 Moreover, inflation is expected to remain above 6 percent especially in sectors such as industrial raw materials and food. The 6-plus percent levels of inflation will provide little incentive to the Reserve Bank of India (RBI) to reduce interest rates substantively. Reduction in interest rates by 25 to 50 basis points due to monetary interventions by the RBI may not free up sufficient capital to invigorate the animal spirits in India.2 Stubborn inflation and a restrained credit environment are likely to continue to depress business leaders confidence as well as appetite for substantial investment in 2013. For instance, in the third quarter of FY2012-13, the Confederation of Indian Industrys Business Confidence Index fell below 50 points, down from 55 and 51.3 points in the first and second quarters respectively.3 Many corporations are expected to delay substantial long-term capital investment (CapEx) during 2013 and focus on realizing greater returns from their existing investments rather than striving to expand quickly. The situation on the external front is challenging too. India must rein in its current account deficit before the imbalance leads to further volatility in the rupee. The nations capacity to digest a larger current account deficit has increased over the last two decades. But its trade deficit is now testing these new limits. Indias trade deficit continues to be much higher than in the previous fiscal year, owing to falling exports and accelerating gold imports, and we expect this scenario to continue during the first quarter of 2013. Such a scenario may compel global investors to press the caution button in 2013 vis-a-vis India, even with recent reforms aimed at liberalizing foreign investment in certain sectors. This could lead to erratic flows of foreign direct investment (FDI) and portfolio investments. Such flows could in turn worsen volatility of the rupee and complicate the picture for Indian companies domestic and global expansion plans. But amid Indias gray clouds is a silver lining: bright spots that could drive business and economic growth. To the relief of industry, growth in consumption in rural India has pressed on. Between FY2009-10 and FY2011-12, rural consumption per capita in India grew annually at the jaw-dropping rate of 19 percent4. For the first time in the last 25 years, incremental cumulative rural spending exceeded incremental cumulative urban spending during that period. We expect this trend to continue in 2013, marked by growth in nonagricultural job opportunities across Indias hinterlands, especially in the construction, telecommunications and financial services industries. Moreover, with a rising number of Indian companies acquiring the capabilities needed to profitably serve Indias rural markets, job opportunities in the nonagriculture space could multiply. Beyond rising incomes and consumer demand in rural areas, India also has the potential to develop new sources of growth in 2013 by deepening its engagement with the global economy.
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Reforms in late 2012 to liberalize FDI in key sectors (such as multi-brand retail) could further encourage foreign investors to snap up medium-term investment opportunities in 2013. In fact, enthusiastic about recent reforms, major global investors are beginning to consider ramping up investments in Indias equity markets.5 However, its not just about external investment flowing into India. Indian companies also have more opportunity to tap into sources of growth abroad. New foreign trade agreements (FTAs) are creating fresh opportunities for Indian companies to diversify their growth model by seizing opportunities in foreign markets in 2013. Like 2012, the coming year will test the nerves of business strategists and, most important, strategy execution teams. While some cash-rich public sector firms and large, financially stable conglomerates may continue cautious expansion, many companies will focus on tapping new markets, improving productivity, preserving margins and managing volatility. In this report, we present ideas that can help businesses in India and elsewhere prepare for the new realities of Indias changing macroeconomic and business environment. As always, we offer these ideas as starting points for lively dialogue about new business directions. We invite your comments and we look forward to the ensuing discussions. Please feel free to contact us at: raghav.narsalay@accenture.com and mamta.kapur@accenture.com
Calendar of events
2013 January 2013
Direct cash transfer scheme for subsidies goes live
February 2013
Insurance regulator IRDA discloses Bancassurance guidelines Nationwide mobile number portability comes into effect Indo-French joint-venture SARAL satellite launches
March 2013
State elections held in Nagaland, Tripura and Meghalaya National mobile roaming becomes free
April 2013
Basel III implementation deadline comes for banks New airline operator dedicated for North-East India starts operations
May 2013
Indian Navy brings home first of the eight P-8I maritime surveillance aircrafts from Boeing State elections held in Karnataka
June 2013
Companies comply with SEBI guideline of 25 percent public shareholding
July 2013
GPS-aided air traffic management and navigation system GAGAN becomes operational
August 2013
The ASEAN and India sign FTA on services and investments Old mobile handset models that do not comply with new radiation norms are phased out
September 2013
Indias first unmanned lunar landing mission, Chandrayaan II, is launched First phase of the US$1.5 billion Koradi supercritical thermal power plant project is commissioned
October 2013
Indias first Mars Orbiter mission is launched Mumbais offshore container terminal is commissioned
November 2013
Tata Motors compressed airpowered car is launched India receives delivery of aircraft carrier INS Vikramaditya from Russia
December 2013
Bharat Broadband project becomes operational
2014
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2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
FDI outflows
FDI inflows
Industrial production
(% change year-on-year)
Current account
-0 -0 -1 Percentage -2 -3 -4 -5
-20 -40 -60 -80 -100 -120 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
Business imperatives
Work with suppliers to plug inflationary pressure points along the supply chain. Develop public-private partnership (PPP) models to create profitable business opportunities and to help governments achieve efficiency in their spending. Improve business processes to cut costs along the value chain.
Business imperatives
Enhance operational efficiency of capital expenditure through better procurement and supply chain management. Invest in cutting-edge technologies and new outsourcing opportunities (such as cloud-based enterprise services) to redesign workflows and speed up project execution. Identify areas to leverage the power of product, process and business model innovation.
Business imperatives
Build a strategy for rural market entry and growth that leverages businesses existing footprint in traditional Indian consumer markets. Develop a corporate social responsibility (CSR) strategy that can help build infrastructure and relationships that have the potential to benefit future business initiatives. Invest in nascent technologies (such as GPS and context-based technologies) that can improve the efficiency of far-flung rural supply chains.
Business imperatives
Encourage foreign confidence by supporting the quick implementation of new FDI rules. Partner with government to demonstrate commitment to a stable and transparent regulatory environment. Proactively engage foreign partners to make them aware of the new opportunities created by regulatory change in India.
Increased trade liberalization will set the stage for more balanced business growth
Unlike most Asian economies, Indias economic rise has been driven primarily by domestic consumption. However, an over-reliance on domestic consumption to fuel business or macroeconomic growth is risky. In fact, the Economist Intelligence Unit forecasts that because of structural shifts in the Indian economy, growth in domestic consumption is unlikely to return to the pre-2008 rate of above 20 percent.25 The stage is set for Indian businesses to accelerate their transition to a more diversified growth model in 2013 one based on a balance of domestic and foreign demand. In recent years, India has taken steps to deepen its integration with the global community, particularly in the area of trade. The country continues to lead major Asian economies in the number of established FTAs and is negotiating to expand trade agreements with large economies such as China and Canada.26 Perhaps most important for Indian enterprises, the country is aggressively liberalizing trade ties with high-growth neighboring economies in Southeast Asia and Africa. Take the FTA in goods between India and the Association of Southeast Asian Nations (ASEAN) that went into effect in 2011. Implementation of this agreement immediately boosted trade flows between India and the ASEAN by a staggering 41 percent in FY2011-12.27 With a new FTA in services and investments set to come on line in 2013, the nations globally competitive services industry stands to make substantive gains. The government anticipates that the deal may help increase trade with the ASEAN by 20 percent by 2015.28 In 2013, Indian businesses have the opportunity to position themselves for more balanced, long-term growth. The continued deepening of trade ties with high-growth neighboring economies, as well the potential for moderation in rupee volatility, all bode well for India Inc.s ability to pursue a global and diversified growth strategy in the coming year.
Business imperatives
Determine which capabilities will translate into a differentiated competitive position abroad. Assess regional mergers and acquisitions (M&A) targets for inorganic expansion into regional markets. Redesign operating models to position for global growth.
Spotlight
Can India capitalize on demographic change?
Indias favorable demographic profile is often cited as one of the countrys key economic strengths. Its estimated that the country will host the worlds largest working-age population by 2020, surpassing that of China. Perhaps more important, Indias ongoing demographic transformation could add as much as 2 percent to the countrys annual growth in per capita GDP over the next two decades, according to the IMF.29 However, realizing the full benefits of demographic change, including its potential to accelerate GDP and income growth, will not be easy. India already needs innovative solutions to expand critical aspects of its economy including education, healthcare and job creation to meet the nations current requirements. With a population that is expected to continue expanding through 2030, the pain of these existing shortcomings will only grow more acute if the necessary action is not taken now to address the nascent demands of demographic change.30 One step in the right direction is to begin addressing the finer points of demographic change in India. Business strategies and policy reforms must take into account the significant local variations in demographic profiles. At the state level, for instance, managing demographic change is not only about addressing the needs of a growing working-age population. Many states, especially in the south, are also set to experience a spike in the number of older dependents (individuals aged
over 60). By contrast, the majority of states in the north will continue to see an increase in the number of young dependents (persons under age 15) and an explosion in the number of individuals entering the workforce. As a result, solutions sensitive to local demographic shifts are now required from business and policymakers if India is translate its demographic advantage into economic growth. On the one hand, states with booming populations of young people would benefit by ensuring that this age cohort is productive and healthy. Improving pediatric healthcare would be a good place to start. Moreover, training programs must reach many people while also building the skills that businesses are hungry for. Gujarats ICreate (International Centre for Entrepreneurship and Technology) project is an example of this kind of initiative. ICreate is a world-class incubation center that seeks to provide an ecosystem for young entrepreneurs who want to develop new ideas and products through the use of technology. The project will be guided by leaders from academia and industry. The state government has also launched 20 superior technology centers to provide specialized industry-led training using state-of-the-art technology. Each center is related to a specific industry, such as automotive servicing and solar technology.31 On the other hand, growth and the competitiveness of Indian companies will also depend on how well the spike
in older populations is managed (see Figure 1). In fact, its estimated that India will host the worlds largest population of individuals aged over 65 by 2020, with disproportionate growth in the countrys older dependents occurring in southern states.32 Ensuring that these individuals remain a valuable part of the workforce will be critical for economic growth and business competitiveness. Older individuals who leave the workforce earlier on could place a heavy dependency burden on the countrys working population. Perhaps more important, many of Indias older workers are among the most able to provide Indias younger workers with critical on-the-job training. In this case, government and businesses can learn from their counterparts in European countries that have aging populations. For instance, a UKbased BMW plant implemented 70 process changes on its assembly line to accommodate its aging workforce. The result: productivity improved 7 percent, bringing it on par with assembly lines staffed by younger workers.33 In 2013, government, business and civil society need to collectively accelerate efforts to manage Indias demographic transition. To do so, they will have to continue developing and implementing localized strategies. And they will need to recognize that there is no one-size-fits-all solution to using Indias demographic transition to spur growth.
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Kerala Tamil Nadu Himachal West Bengal Andhra Orissa Gujarat Maharashta Haryana Bihar Madhaya Pradesh Assam Uttar Pradesh 0 5 10 15 20
Source: ADB Working Paper. Demographic Dividends for India: Evidence and Implications Based on National Transfer Accounts, December 2011
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Sector outlook
Automotive
Superbikes market to gear up
The demand for superbikes and luxury sports cars is expected to gain greater momentum in 2013. Highend automotive manufacturers have begun to test the market in recent years and are now looking to launch newer models to expand with the growing market. Austrian motorcycle maker KTMs partnership with Bajaj Auto could bring forth at least two new high-powered motorcycles in the 350cc range, one under each brand.34 Yamaha, having already launched a line of superbikes, will focus on consolidating its presence in the highpowered segment during 2013 and will update its existing models.
Government to slow Banking efforts to drive demand Rush of capital for hybrid cars injection into Public In mid-2012, as part of the National Electric Mobility Mission Plan 2020, Sector Unit (PSU) banks the Indian government formulated a
US$4 billion investment plan to boost production of electric and hybrid vehicles to meet its target of having 6 million electric vehicles on the market by 2020. While the government plans to contribute close to US$2.4 billion, auto companies will need to make up the remainder of the total. But the governments decision to invest in boosting supply in the coming year will no longer be complemented by efforts to drive demand for electric and hybrid vehicles. In April 2012, the government withdrew its plan to provide subsidies of US$2,500 per unit for electric and hybrid vehicle buyers.36 The central government has decided to fully invest the US$3 billion provisioned in the budget for the current fiscal year into public sector banks to meet the upcoming Basel III capital requirements.38 The three banks that need the most capital because of growing non-performing assets (NPAs) areIndian Overseas Bank, CentralBank of IndiaandBank of Maharashtra.
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Chemicals
Legislation may be simplified
The Indian chemical industry has had difficulty increasing its exports to the European Union over the past couple of years, owing to the new REACH legislation that governs and regulates the production and safe use of chemicals.43 With many Indian companies being unable to meet the REACH requirements, the Department of Chemicals and Petrochemicals drafted the National Chemical Policy 2012 to provide direction and guidance to the industry overall. The policy clearly states the need for integrated chemical legislation that will seek to replace the multitude of laws currently governing chemical production and use in India. The coming year could witness a greater effort by the government to unify many of these regulations.44
offloaded its textile, chemicals, paper specialties and emulsions businesses to US-based SK Capital for about US$550 million. Gulf Oil, a part of the Hinduja Group, acquired USbased specialty chemicals company Houghton International for US$1.05 billion in November 2012. This M&A trend will probably continue into the next year.45
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Defense
Mega deals in the near-term pipeline
In December 2012, Indias Ministry of Defense cleared numerous large defense deals, promising many more in the pipeline. In the coming year, India and Israel will probably decide on multiple joint weapons development programs, including missiles, defense systems and radar systems. The next year may see India finalize a US$127 million contract to fit the Indian Navys indigenous aircraft carrier (currently under construction) with long-range surface-to-air missile systems. In addition to Israel, India already has many upcoming defense deals in the pipeline with the Ukraine, France, Singapore and Italy that may be finalized before the general elections.47
minority stake in Pipavav. Even the Japanese conglomerate Mitsubishi has expressed interest in acquiring a stake in Larsen and Toubros shipbuilding subsidiary.48
Education
Rush of investments in higher education
With the education sector opening up to 100 percent FDI, private education could witness a massive surge in new investments. Large business groups have already drafted plans for setting up universities across the country. The UK-based Vedanta Resources Group has been in talks with the Odisha state government to develop a Vedanta University that will spread across 6,000 acres and that will receive an estimated investment of more than US$3 billion. Reliance Industries is also planning to kick-start its Reliance University project and has identified 800 acres of land on the outskirts of Vadodara in Gujarat for setting up the infrastructure.49 Private equity players have also shown keen interest in the education sector, owing to the increased government spending and private players growth plans.
has decided to invest US$7.5 million in a development project in India up to 2020.51 The EU will provide technical assistance in skills development in India in exchange for employment and social policy support. Moreover, the Australian Council for Private Education and Training signed a memorandum of understanding with the National Skill Development Corporation to exchange information and perspectives on education, training and skills development.52 The government of Switzerland has also expressed interest in collaborating with the Maharashtra state government to help the latter bridge its skill gap at the middle organizational level.53
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the sector does not mirror the return on investments or margins achieved by these firms. Some experts believe that these companies will require at least six to seven years to break even.57 Innovations such as cost optimization through warehouse and logistics management are expected to revolutionize the e-commerce market and enable companies to improve profit margins.
expenditure to 2.5 percent of GDP by the end of the 12th Five Year Plan period, up from the existing 1.4 percent. In addition, the government has allocated US$18 million in the 2012-2013 budget for dispensing essential medicines for free in public health facilities.60 Healthcare major Apollo Hospital is adding 3,000 beds to its hospital chain in the next three years at an investment of US$327 million.61 Private equity funds quadrupled their investment in Indias primary healthcare sector in 2012, with Goldman Sachs, Warburg Pincus, Sequoia Capital and the Government of Singapore Investment Corp investing over US$520 million. In 2013, the interest in healthcare is only expected to rise, and experts forecast investment to surpass US$1 billion.62
Healthcare
Government expenditure to incentivize private investment
The Indian healthcare market is set to enjoy about 20 percent year-onyear growth, reaching an estimated value of US$100 billion by 2015.59 Meanwhile, the Indian government has decided to increase health
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Information Technology
IT exporters look east
Sluggish economic recovery in Indias traditional export markets such as the US and Western Europe have compelled Indian IT and IT enabled service (ITeS) providers to look east to other emerging economies. Exports to markets such Russia, the Philippines, some African countries and the Asia Pacific region are expected to grow steadily in the coming year. The Asia Pacific market is growing at 18 percent year-over-year and is expected to account for 8 percent of total IT-ITeS exports by the end of 2013. However, competition from countries such as China, Vietnam, Poland, Brazil and Egypt will present a tough challenge for India in these emerging markets, where it has yet to establish a strong presence.66
Infrastructure
Private sector interest in roads losing steam
Many road infrastructure projects under way in India were put on the back burner in 2012 owing to the general economic slowdown. The governments goal of building 20 kilometers (km) of highways per day hit a major roadblock when it was able to award contracts for only 1,100 km out of the targeted 8,800 km.69 Close to 50 different road infrastructure projects worth US$9 billion and totaling 5,000 km are up for sale in the secondary market, because the debt-ridden companies want to offload projects that they had won but are now finding tough to execute.70 Even prestigious projects such as the Golden Quadrilateral have experienced prolonged delays.71
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of urban subscribers and close to 40 percent of rural subscribers may have difficulty affording the service, and thus may be unable to bear the cost associated with migrating to digital cable TV.75
through joint studies in targeted areas. So far, ONGC has drilled four exploratory wells in the Damodar Basin, which may contain about 35 trillion cubic feet of gas, 8 trillion of which experts deem recoverable.79
Pharmaceuticals
Chronic disease drugs gaining share
With rising income levels in India, standard of living is also improving in urban and rural areas alike. But changing lifestyles are coming with a higher incidence of lifestyle-related, chronic diseases such as diabetes, heart attacks and cancer. The coming year will witness a rapid growth in such diseases as well as in the market for drugs developed to address them. In 2012, the acute therapeutic drug segment grew by almost 12 percent, while the chronic segment expanded by just over 20 percent.81 Chronic therapies now contribute 50 percent of US-based Lupins Indian revenues, up from about 33 percent five years ago.82
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companies into India. However, it will make the sector considerably less attractive for foreign investors. Moreover, buyers of Indian firms producing essential drugs will need to continue manufacturing the medicines after acquisition until the Competition Commission of India decides otherwise.88
increase to about 120 million tons by FY2013.91 The worlds largest coal miner, Coal India, recently signed 35 fuel supply agreements (FSA) that were pending for more than a year. These FSAs will help revive operations of many power units across the country that were facing severe input shortages. However, even Coal India will be unable to supply its customers solely through indigenous production; thus it will have to depend on imports to some extent. Imported coal will be supplied by Coal India on a cost-plus basis. This means that consumers will have to pay for the cost of imported coal plus any additional expenditures incurred by Coal India in handling the material.
Power
Coal shortage will continue to worry power companies
Despite numerous government initiatives to strengthen Indias power sector, the short supply of coal will continue to trouble domestic power companies. Estimates suggest that India will not be able to meet internal demand for coal through indigenous supplies until 2022.90 Moreover, the coal supply shortfall is projected to
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and accountability norms and to fast-track dispute resolution in real estate transactions. However, the government has set no definite time frame for approval and implementation of the bill.96
Real estate
Regulations to support growth of low-cost housing
In December 2012, the RBI permitted realty firms and housing finance companies to borrow up to US$1 billion through external commercial borrowing instruments to fund low-cost housing projects. Even slum rehabilitation projects will be eligible to raise such funds. The funds raised may be used to develop low-cost housing projects or to provide loans of up to US$45,000 to individuals who buy units priced at US$55,000 or less. The move seeks to incentivize the development of low-cost housing options for the economically disadvantaged. While international investors are excited about the prospects of investing in residential real estate in India, developers continue to feel apprehensive about the projects low margins.95
procurement requirement will have to be met with the first instance of FDI entry as an average of five years total value of the products purchased. The government believes that this stipulation will benefit small and medium-size enterprises (SMEs) and farmers by enabling them to sell directly to retailers. Yet the requirement seems to really be about pacifying the large voting block comprising small traders and farmers. This unusual procurement clause has already made foreign retail giants apprehensive about investing in India. In addition, at least 50 percent of total FDI brought in must be invested in back-end infrastructure needed for activities such as processing, manufacturing, distribution, design improvement, quality control, packaging, logistics, storage and warehousing. This percentage must be achieved within three years of the first tranche of FDI, with a minimum of US$100 million brought in by the foreign investor. While this clause has excited Indias real estate and infrastructure sectors, it is already spawning further concerns among retail investors about high sunk costs and overall financial feasibility. Finally, Indias state governments have been given the authority to choose whether to allow FDI in their respective states. Moving forward, the FDI policy allows retailers to set up outlets with majority foreign investment only in cities with populations of more than 1 million. Although 53 cities meet this criterion, only 18 of those are in the 10 states and union territories that have agreed to permit FDI in multi-brand retail. Moreover, state governments continue to feel immense pressure from regional merchant associations to block entry of FDI into the multibrand retail sector.
Retail
FDI rules come with risks
In December 2012, the Parliament passed a bill allowing 51 percent FDI in Indias multi-brand retail sector, opening up the sector to international retail majors. While FDI in singlebrand retail was already permitted, outside investment in multi-brand retail has excited retail investors, consumers and real estate developers. However, a deeper look into the bill may dampen the mood.98 For one thing, the Department of Industrial Policy & Promotion says that 30 percent of the value of manufactured/processed products purchased by multi-brand retail giants should be sourced from Indian small industries, whose total investment in plant and machinery does not exceed US$1 million. The 30-percent
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operations
With the NTP 2012 gaining approval, telecom licenses have been uncoupled from the band spectrum made available to them. Operators will now be able to provide any kind of service based on any technology, removing earlier restrictions on usage of specific frequency bands for specific services. Starting in 2013, the government will also develop capabilities for online real-time submission and processing of license requests.100 The NTP 2012 replaces a 13-year-old policy from 1999.
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References
1. Economist Intelligence Unit. Country data. Accessed 22 December 2012. 2. Confederation of Indian Industry. Economy update: 31 December 2012 6 January 2012. January 2013. 3. Ibid. 4. Calculations based on government of India and CMIE data. 5. Livemint. Reforms push makes India preferred investment destination. 18 December 2012. http://www.livemint.com/ Money/FBeZScIjXqSmjLBv9j3fuO Reforms-push-makesIndia-preferred-investment-destination.html. 6. CMIE. Monthly review of the Indian economy. December 2012. 7. Ibid. 8. Ibid. 9. Ibid. 10. Economist Intelligence Unit. Country data. Accessed 23 December 2012. 1 1. Economist Intelligence Unit. Viewswire India. Accessed 8 December 2012. 12. CMIE. Economy watch: November 2012. November 2012. 13. MasterCard. Business confidence index continues to decline: NCAER MasterCard Worldwide Index of Business Confidence. 4 December 2012. http://newsroom. mastercard.com/press-releases/business-confidenceindex-continues-to-decline-ncaer-mastercard-worldwideindex-of-business-confidence/. 14. CMIE. RBI keeps CRR, repo rate unchanged. 18 December 2012. http://economicoutlook.cmie.com/kommon/bin/ sr.php?kall=wshreport&nvdt=201212181 13654830& nvpc=035000000000&nvtype=TIDINGS. 15. Economist Intelligence Unit. Country data. Accessed 15 December 2012. 16. Economist Intelligence Unit. Viewswire India. Accessed 1 1 December 2012. 17. Calculations based on government of India and CMIE data. 18. Calculations based on government of India and CMIE data. 19. Calculations based on government of India and CMIE data. 20. Crisil. Rural India outpaces urbanites in spending growth. 29 August 2012. http://crisil.com/Ratings/Brochureware/ News/CRISIL-Research-rural-indians-pr_290812.pdf. 21. Government of India. Framework for Planning for works and preparation of labour Budget and Work and execution. 24 August 2012. http://nrega.nic.in/netnrega/ WriteReaddata/Circulars/Framework_Planning_Works_ Prep_LBWork_Exe.pdf. 22. Ibid. 23. Financial Express. FDI inflow jumps more than twofold to 4.67bn in Sept. 3 December 2012. http://www. financialexpress.com/news/fdi-inflows-jumps-overtwofold-to-4.67-bn-in-sept/1039813/1. 24. World Economic Forum. The global competitiveness report 2012-2013. January 2012. 25. Economist Intelligence Unit. Viewswire India. Accessed 12 December 2012. 26. Foreign Affairs and International Trade Canada. Free trade agreements. Accessed 15 December 2012. http:// www.international.gc.ca/trade-agreements-accordscommerciaux/agr-acc/index.aspx?view=d. 27. Economic Times. India-ASEAN conclude free trade agreement in services, investments. 20 December 2012. http://economictimes.indiatimes.com/news/ economy/foreign-trade/india-asean-concludefree-trade-agreement-in-services-investments/ articleshow/17695475.cms. 28 Ibid. 29. IMF working paper. The demographic dividend: Evidence from the Indian states. February 201 1. 30. LA Times. Population crisis: Amid global population growth, a loss of urgency. 22 July 2012. http://www. latimes.com/news/nationworld/world/population/la-fgpopulation-matters1-20120722-html,0,7213271.htmlstory. 31. The Economic Times. iCreate will promote nextgeneration entrepreneurship: Narendra Modi. 4 April 2012. 32. Deccan Herald. Experts call for better senior care; warn of dipping life expectancy. 20 September 2012. http://www. deccanherald.com/content/280007/experts-call-bettersenior-care.html. 33. Accenture. New waves of growth. 201 1. 34. Moneycontrol.com. KTM eyes Indian bike mkt with plans to roll-out 3 models. 30 November 2012. 35. Hindu Business Line. Maruti to hike car prices by up to Rs 20,000 from Jan. 6 December 2012. 36. Business Standard. Govt approves Rs 23,000 crore green vehicle push. 29 August 2012. 37. www.cartoq.com. Five upcoming car trends in India for 2013. 21 December 2012. 38. Economic Times. Government to infuse Rs 15,000 crore capital in PSU banks by March 2013. 22 December 2012. 39. The Financial Express. Banks must share credit info from January 1: RBI. 23 November 2012. 40. Economic Times. RBI wants involvement of private banks in governments joint lending plan. 29 November 2012. 41. Economic Times. Finally, RBI gets power to issue new bank licences. 19 December 2012. 42. Economic Times. Banking services on your palm: Just dial *99# from any handset. 26 November 2012. 43. Society of Chemical Industry. REACH threatens exports. 21 March 201 1. 44. The Planning Commission. Working paper No. 12 on the Indian chemicals industry. 2 March 2012. 45. The Hindu. Hinduja owned Gulf Oil to acquire US-based Houghton International for $1.05 bn. 7 November 2012. 46. The Planning Commission. Working paper No. 12 on the Indian chemicals industry. 2 March 2012. 47. The Indian Express. MoD clears mega deals for radars, missiles, Navy vessels, A W ACS. 31 December 2012. 48. Economic Times. Frances DCNS to acquire 15% stake in Pipavav Defence for Rs 1,350 crore. 15 December 2012. 49. NDTV. Reliance University is next big project: Nita Ambani. 20 January 2012. 50. Economic Times. Government to set up 1,500 new ITIs in next 5 years. 15 November 2012. 51. Hindu Business Line. EU to invest Rs 42 cr in skills development project in India. 23 May 2012. 52. Economic Times. Australian body ACPET ties up with NSDC to meet Indias skilling needs. 1 November 2012. 53. Economic Times. Switzerland can help India fill skill gap, says ambassador. 5 December 2012. 54. Economic Times. No extension of deadline for enforcing RTE Act: Pallam Raju. 8 November 2012. 55. Financial Chronicle. Godrej to focus on FMCG, realty over next decade. 1 January 2013. 56. Press Trust of India. Online shopping touched new heights in 2012, garnered $14 billion in revenue. 1 January 2013. 57. www.techcircle.vccircle.com. Top 5 e-commerce trends in 2012. 24 December 2012. 58. Business Standard. Centre may roll out direct selling guidelines soon: Amway.17 November 2012. 59. Overseas India Facilitation Centre. Healthcare in India. 30 November 2012. 60. Economic Times. Government plans to supply essential medicines free. 24 August 2012. 61. Economic Times. Apollo Hospitals to have 150 multispecialty clinics by October, 2014. 28 August 2012. 62. Business Standard. PE pours money into India health care. 30 December 2012. 63. Hindu Business Line. Narayana Hrudayalaya plans to set up 100 low-cost hospitals. 3 May 2012. 64. The Financial Express. Eye-Q to invest Rs 160 cr investment to open 80 more hospitals. 2 December 2012. 65. www.ibef.org. Healthcare industry. Accessed 15 December 2012. 66. India Infoline. Sector outlook 2013 for IT/ITeS sector: Dun & Bradstreet. 24 December 2012. 67. The Hindu. Super optic highway to connect 2.5 lakh villages. 4 October 2012. 68. CIOL. National optic fiber network reality in 2013. 30 March 2012. 69. Economic Times. Highways hit roadblocks in 2012 as infrastructure sector lost its fancy with banks and financial institutions. 27 December 2012. 70. The Times of India. India Inc shuns govt road projects. 20 December 2012. 71. Economic Times. Delays reflect NHAIs deficiency in project planning: Parliamentary Panel. 9 December 2012. 72. The Financial Express. Govt proposes PM-led National Investment Board to axe mega projects hurdles: Chidambaram. 30 November 2012. 73. The Financial Express. About Rs 64k cr investment needed for strong backend infra. 17 November 2012. 74. India Infoline. Indias entertainment & media industry to clock over Rs. 1,750 bn by 2016: CII-PwC. 29 October 2012. 75. http://www.telecomlead.com. 16 December 2012. 76. Economic Times. GAIL to buy 25 LNG cargoes in 2013, says chairman. 19 December 2012. 77. Hindu Business Line. India in talks with US for LNG imports. 18 May 2012. 78. Economic Times. BPCL plans up to Rs 45,000 crore CapEx by 2017. 22 September 2012. 79. Economic Times. ConocoPhillips-ONGC partnership for exploration of shale gas resources in India likely next month. 26 November 2012. 80. Press Trust of India. Indian Oil, BPCL, HPCL stop producing premium petrol, diesel. 15 October 2012. 81. Economic Times. Indian Pharma cos market revenue share up at 32%. 2 December 2012. 82. Hindu Business Line. Opportunities back home for Indian pharma. Accessed 15 December 2012. 83. Economic Times. Pharma exports to touch $25 bn by 2014-15. 21 November 2012. 84. Ibid. 85. Hindu Business Line. New drug pricing policy notified. 13 December 2012. 86. Economic Times. Department of Pharmaceuticals to revive Jan Aushadhi scheme. 28 July 2012. 87. Economic Times. Health Ministry pushes for end to sale of branded drugs. 16 October 2012. 88. The Financial Express. All FDI in domestic pharma cos to be cleared by FIPB. 3 December 2012. 89. Economic Times. Department of Pharmaceuticals to revive Jan Aushadhi scheme. 28 July 2012. 90. www.domain-b.com. Not possible to meet coal demand till 13th Five-Year Plan period: Coal India CMD. 19 November 2012. 91. www.ersaf.com. INDIA power sector: Emerging developments & critical issues. Accessed 15 December 2012. 92. Business Standard. India to add 30,000 MW renewable energy capacity in 12th Plan. August 30, 2012. 93. Economic Times. Tata Power, RInfra say no solar power to meet RPO targets. December 9, 2012. 94. Economic Intelligence Unit. Perspectives on Indias energy future. 2012. 95. Business Standard. RBI allows $1 bn ECB for promoting low-cost housing. 17 December 2012. 96. The Times of India. No time-frame for real estate bill, December 13, 2012. 97. www.moneycontrol.com. India real estate forecast for 2013. 12 December 2012. 98. Hindu Business Line. Dangers posed by FDI in retail. 9 December 2012. 99. Economic Times. No roaming charges within India from 2013, says Telecom minister Kapil Sibal. 25 September 2012. 100. Press Information Bureau. National Telecom Policy-2012 and Unified Licensing Regime. 31 May 2012.
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