Expert Economist Mr. Siddharth Shankar on S& P Outlook

"The outlook downgrade is no surprise, it is just that someone has come and told us what we actually know. I do not expect the 4th qtr GDP number of the last fiscal to be more than 5.5% and going forward too, the  probability of its going up sharply is low. US is stable and trying to settle, Europe is still struggling and it would be couple of years before Europe gets into a stable mode, growth will come post that. The way inflation in India is moving and the way RBI has cut interest rates the probability of savings going up is not there. Since banks offer a -ve interest rate gold imports will continue to rise putting pressure on the rupee and thus further inflation. I do not see oil prices coming down anytime soon thus worsening the deficit  situation. In case the monsoon plays a spoil sport this year we are in for very bad times.

The government faces perhaps one of the widest budget deficit among the emerging economies and borrowing needs for 12-13 are huge. The gap last year was about 6% and going forward there is no reason to believe that the deficit will fall. In case it falls due to disinvestment or auction of natural resources like the spectrum liquidity will be pulled out of the system which again would mean further inputs from RBI and thus inflation.

At the current stage of the Indian economy monetary policy or fiscal policy will be of no help, we need to improve efficiency, cut consumption and ask banks to lend to businesses as easily as they lend to buy cars."

MR. SIDDHARTH SHANKAR,  Director, KASSA INDIA 

Mr. Siddharth Shankar is a leading Economist & Financial Expert. He has been associated with KASSA group since its incorporation under various capacities as a Director, shareholder and consultant. An expert in the field of Macro-Economics, Mr. Siddharth Shankar has established himself as a mastermind in tackling financial hurdles for his clients. He has more than a decade's expertise in structuring financial products for companies to cover their financial risks that were generated due to their international exposure to money and commodity markets. He has been involved with the marketing systems of Google, Yahoo and other global search engine giants to achieve maximum effectiveness of their campaigns. His expertise also lies in Product Conceptualization and Web- based marketing of Products.

Being a thought leader in the field of Macro-economic, he can provide a detailed analysis on the subject for your esteemed publication.

 Mr. Siddharth Shankar started raising his career graph at the tender age of 19. He had set-up his first fully automatic diamond cutting plant production unit, the first of its kind in Delhi, employing 20 people. By the time he touched his 20`s, he initiated trading of diamonds in the world’s largest diamond market-Antwerp. During this period he simultaneously started giving consultancy on Financial Management to various corporate houses in Europe, India and South-East Asia.

At 22, as a seasoned Financial Risks Manager, he started structuring Financial Products for companies to cover their financial risks that were generated due to their international exposure to Money and commodity markets.

Expert Economist Mr. Siddharth Shankar on RBI Policy

“To my mind a 50 basis point rate cut was too aggressive. By cutting the rate by 50 basis points RBI has thrown the ball of growth into the court of the government.

This rate cut will lead only to demand that has for the first time started moderating and thus was helping contain inflation. Weak rupee, oil price increase, increased imports all will lead to higher inflation. While the RBI feels that inflation will be range bound, to my mind it is dependent on a number of external factors that are beyond our control. The way Indian trade deficit is moving I see rupee moving to the range of 54 to a dollar which in turn means inflation. Govet borrowing is not expected to fall, which in turn means inflation. The only way inflation can be contained is if the world economies don’t pick up and commodity prices remain low, which no one would want. Thus to my mind inflation is here to stay with substantial upside risk.

The GDP projection of 6.9% is too optimistic and to my mind it should not be over 6.5% for the entire 11-12. For the next year the way global economy is moving the GDP numbers may not be too impressive. Even if they are they need to co-related to what has constituted to their increase. Thus, whatever are the projections for the next year only reflect a status quo in terms of growth for the economy.

Going forward I would not expect RBI to reduce further anytime soon.”

MR. SIDDHARTH SHANKAR,  Director, KASSA INDIA 

Mr. Siddharth Shankar is a leading Economist & Financial Expert. He has been associated with KASSA group since its incorporation under various capacities as a Director, shareholder and consultant. An expert in the field of Macro-Economics, Mr. Siddharth Shankar has established himself as a mastermind in tackling financial hurdles for his clients. He has more than a decade's expertise in structuring financial products for companies to cover their financial risks that were generated due to their international exposure to money and commodity markets. He has been involved with the marketing systems of Google, Yahoo and other global search engine giants to achieve maximum effectiveness of their campaigns. His expertise also lies in Product Conceptualization and Web- based marketing of Products.

Being a thought leader in the field of Macro-economic, he can provide a detailed analysis on the subject for your esteemed publication.

 Mr. Siddharth Shankar started raising his career graph at the tender age of 19. He had set-up his first fully automatic diamond cutting plant production unit, the first of its kind in Delhi, employing 20 people. By the time he touched his 20`s, he initiated trading of diamonds in the world’s largest diamond market-Antwerp. During this period he simultaneously started giving consultancy on Financial Management to various corporate houses in Europe, India and South-East Asia.

At 22, as a seasoned Financial Risks Manager, he started structuring Financial Products for companies to cover their financial risks that were generated due to their international exposure to Money and commodity markets. 

Expert Economist Mr. Siddharth Shankar on the latest Inflation numbers

The WPI figures released today do not seem to be very comforting, the inflation is up across the board. Food inflation is here to stay in the coming months and with the rupee depreciating I feel that non-food articles inflation will continue to see an upward move. Based on the IIP numbers I feel that demand is falling but at a slow rate, thus demand pull may not contribute to the overall inflation but supply side inflation will continue to remain and would keep pressure on the overall inflation. Personally I feel that RBI should not cut the interest rates in the meeting on April 17, 2012. The macro economic factors still do not favour a rate cut. Saving rate is dropping, the liquidity in the system still remains tight -  thus rate cut would not help and rupee is deprecating and will continue to do so.

MR. SIDDHARTH SHANKAR,  Director, KASSA INDIA 

Mr. Siddharth Shankar is a leading Economist & Financial Expert. He has been associated with KASSA group since its incorporation under various capacities as a Director, shareholder and consultant. An expert in the field of Macro-Economics, Mr. Siddharth Shankar has established himself as a mastermind in tackling financial hurdles for his clients. He has more than a decade's expertise in structuring financial products for companies to cover their financial risks that were generated due to their international exposure to money and commodity markets. He has been involved with the marketing systems of Google, Yahoo and other global search engine giants to achieve maximum effectiveness of their campaigns. His expertise also lies in Product Conceptualization and Web- based marketing of Products.

Being a thought leader in the field of Macro-economic, he can provide a detailed analysis on the subject for your esteemed publication.

 Mr. Siddharth Shankar started raising his career graph at the tender age of 19. He had set-up his first fully automatic diamond cutting plant production unit, the first of its kind in Delhi, employing 20 people. By the time he touched his 20`s, he initiated trading of diamonds in the world’s largest diamond market-Antwerp. During this period he simultaneously started giving consultancy on Financial Management to various corporate houses in Europe, India and South-East Asia.

At 22, as a seasoned Financial Risks Manager, he started structuring Financial Products for companies to cover their financial risks that were generated due to their international exposure to Money and commodity markets.

Expert Economist Mr. Siddharth Shankar on IIP Numbers

“The IIP numbers released today point towards a very good picture. Looking at the numbers it seems that going forward the inflation would come somewhat under control as demand would ease. While the growth numbers of manufacturing are on the lower side but this was very much expected and this decline to my mind is very seasonal in nature and we should see a revival of the manufacturing number in the March figures. Looking at the current numbers I would not expect RBI to cut the rates in the next week’s meeting.”

MR. SIDDHARTH SHANKAR,  Director, KASSA INDIA 

Mr. Siddharth Shankar is a leading Economist & Financial Expert. He has been associated with KASSA group since its incorporation under various capacities as a Director, shareholder and consultant. An expert in the field of Macro-Economics, Mr. Siddharth Shankar has established himself as a mastermind in tackling financial hurdles for his clients. He has more than a decade's expertise in structuring financial products for companies to cover their financial risks that were generated due to their international exposure to money and commodity markets. He has been involved with the marketing systems of Google, Yahoo and other global search engine giants to achieve maximum effectiveness of their campaigns. His expertise also lies in Product Conceptualization and Web- based marketing of Products.

Being a thought leader in the field of Macro-economic, he can provide a detailed analysis on the subject for your esteemed publication.

 Mr. Siddharth Shankar started raising his career graph at the tender age of 19. He had set-up his first fully automatic diamond cutting plant production unit, the first of its kind in Delhi, employing 20 people. By the time he touched his 20`s, he initiated trading of diamonds in the world’s largest diamond market-Antwerp. During this period he simultaneously started giving consultancy on Financial Management to various corporate houses in Europe, India and South-East Asia.

At 22, as a seasoned Financial Risks Manager, he started structuring Financial Products for companies to cover their financial risks that were generated due to their international exposure to Money and commodity markets.