INDIAS DEBT AND FOREX MARKETS CENTERED IN LONDON?

modi-cam

Putting economic engagement at the centrestage of their relations, India and the United Kingdom said Thursday that they will sign commercial deals of 9.2 billion pounds over the next three days

Earlier, British Prime Minister David Cameron said, “ We want to become the number one partner to finance the immense economic vision of Prime Minister Modi and make London the centre for offshore rupee trading with the launch of 1-billion worth of bonds including the first government-backed rupee denominated bond.” Source

images

IN ORDER FOR LONDON TO BE CENTER FOR RUPEE TRADING  INDIA WILL HAVE TO MOVE  TO A FULL CONVERTIBILITY REGIME FROM THE PRESENT CURRENT ACCOUNT COVERTIBILITY 

Full convertibility of rupees means unified market determined exchange rate regime, converting rupees in to foreign currencies on both sides i.e. from “current account” and from “capital account” side. Current account Convertibility means the exporters and importers are allowed a free conversion of rupee. Also remittances  to or from relatives living abroad means current account convertibility.

Capital account convertibility means, that rupee can now be freely convertible into any foreign currencies for acquisition of assets like shares, properties and assets abroad. Further, the banks can accept deposits in any currency.Similarily foreigners can buy Indian assets with foreign currency (if buyer wants it) or buy Indian assets after buying Indian currency without any permissions

What is restricted at the moment (partial list)

  • Investment into certain sensitive sectors (like real estate) by foreigners
  • Cap on debt that Indian company can raise in foreign currency
  • Annual cap on how much money an Indian investor can transfer abroad (this used to be quite large something like $250,000 and then probably reduced during the 2013 crisis. )
  • Short term borrowing restriction for Indian companies

In short if London does indeed become the center of a thriving Rupee trade the pressure to do away alltogether with such pesky restrictions will be tremendous

The International Forex Market itself is corrupt and manipulated In May 2015  there was a massive Forex Exchange Rate Scam in the US and Europe Regulators fined six major banks including Citigroup (C.N) and UBS (UBSN.VX) a total of $4.3 billion for failing to stop traders from trying to manipulate the foreign exchange market

Indian debt market can be classified into two categories:

Government Securities Market (G-Sec Market): It consists of central and state government securities. It means that, loans are being taken by the central and state government. It is also the most dominant category in the India debt market.

Bond Market: It consists of Financial Institutions bonds, Corporate bonds and debentures and Public Sector Units bonds. These bonds are issued to meet financial requirements at a fixed cost and hence remove uncertainty in financial costs.

CT7ZQJVU8AETkgf

Indias public debt (Govt Debt) is nearly 1.5 trillion dollars or $1,532,750,819,672 to be exact according to Economist.com Its Public Debt as percentage of GDP is 53.9% Now if borrowing can be done in rupees (as opposed to dollars) and the process becomes  simpler and easier Indias already high debt will just balloon up as raising rupee s just became easier

MOST OF INDIAN GOVT DEBT(ANND TO A LESSOR EXTENT INDIAN CORPRRATE DEBT) IS OWNED TO RESIDENT INDIAN CITIZENS AND THE FOREX RUPEE MARKET CONTROLLED BY THE RBI …….SO MANIPULATION BY FOREIGNERS IS NOT EASY

Guess which family controls the debt market in UK if not the whole world ?

JACOB ROTH

 

And in the currency  guess which gentle man “Broke the Bank of England”  whilst happily letting the Pound go on a free fall? And then repeated the process in Thailand ?

SOROS

THE FIRST IS BASED IN LONDON THE SECOND OFTEN FUNCTIONS FROM LONDON …..DOES MODI STILL WANT INDIAS DEBT AND FOREX MARKETS TO BE BASED IN LONDON?

Advertisements
This entry was posted in Uncategorized. Bookmark the permalink.

3 Responses to INDIAS DEBT AND FOREX MARKETS CENTERED IN LONDON?

  1. thestoker says:

    Reblogged this on The Stoker's Blog and commented:
    Modi and Xi in the RCE/LC reception area and then into LC itself to make sure who ever wins in the massive Hyperlittoral War the drug runners in LC will be swimming in lucre whilst everyone else swims in blood.

    LC really could not give a flyingphukk what happens in the ME unless it feeds into the HW.

  2. Pingback: Meet the Jew Who Single-Handily Turned the European Conflict Into World War 2 | aladdinsmiraclelamp

  3. Lasse says:

    So the ‘british’ banking empire never left India
    http://en.metapedia.org/wiki/British_Empire

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s