Top Business India News Stories of 23rd October 2008

Daily news summary

Fall in vegetables, fruits price bring down inflation to 11.07 percent
India's annual rate of inflation, based on official wholesale price index, fell further today to 11.07 percent for the week ended Oct 11, due to a 0.8 percent decline over the previous week in prices of primary articles. The inflation rate stood at 11.44 percent for the week before. According to statistics released by the commerce and industry ministry today, the drop in the index was caused by several factors, including a fall in the prices of fruits and vegetables, eggs and bajra, a coarse cereal. Prices of maize and rice, however, moved up. The fresh statistics also revealed that the inflation for the week ended Aug 16, based on final data for the period, actually stood at 12.82 percent, against 12.40 percent reported earlier based on provisional data.

Govt to decide on oil price within a week, says Murli Deora
With global crude oil dipping below USD67 per barrel, Petroleum Minister Murli Deora today said the government would decide within a week what prices oil retaining companies should charge for transport and cooking fuels. "The matter is being examined and an announcement will be made within a week," Deora told the Lok Sabha, replying to supplementaries during the question hour. However, entire opposition remained dissatisfied, resulting in their walking out of the house. Deora said even though the prices of crude had, indeed, fallen, oil marketing companies were still incurring losses because of the depreciation in the value of the rupee.

HDFC Bank’s first overseas branch inaugurated in Bahrain
India's leading private bank, HDFC Bank, has opened its first full-fledged overseas commercial branch at a new financial district in Bahrain. The branch was inaugurated by Central Bank of Bahrain Governor Rasheed Al Maraj on the 49th floor of the Bahrain Financial Harbour today. The new branch will offer cash management and trade finance solutions for corporate clients and wealth management services for expatriate Indians. "We also intend to provide appropriate wealth management advice to those who have taken a beating in the current global turmoil," Aditya Puri said. Bahrain is home to around 290,000 expatriate Indians.

EU says India, China, Japan must play role to overcome market crisis
Major Asian economies Japan, China and India must play a full role in overcoming the global financial crisis, president of the European Commission Manuel Barroso said today. "We need to take the lessons of the crisis for reform of the global financial system," Barroso told reporters ahead of a summit of Asian and European leaders. "We need Asia on board," he said, adding that the participation of China, India and Japan was vital for a global solution to the crisis.” He also emphasized that fighting climate change remains as important as before the financial crisis. The EU accepted the UN principle of "common but differentiated" responsibilities for developed and developing nations to reduce greenhouse gas emissions, but it believed that developing nations "need to make a substantial contribution", he added. Many leaders of Asian and EU nations arrived in Beijing today ahead of the ASEM summit.

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