ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Articles by EPW Research FoundationSubscribe to EPW Research Foundation

Misplaced Focus on Fiscal Deficit

One of the disconcerting aspects of fiscal management since the beginning of the stabilisation programme in 1991-92 has been the failure to focus on correcting the growing revenue deficit of the central government. The focus instead has been on reducing gross fiscal deficit without taking into account the structure of financing of this deficit.

Supreme Industries, United Breweries, Videocon Appliances

SUPREME INDUSTRIES Successful Restructuring CONTROLLED by the Taparias, Supreme Industries is engaged in the manufacture of injection moulded plastic products, extruded products and machinery and moulds. It also trades in polymers, yarn and colourants. The company performed well in 1997-98, when its net sales increased by 14.8 per cent over the pervious year. While operating profit improved by 7.4 per cent, a fall in interest charges helped the company post a 30.2 per cent increase in its bottomline. Though earnings per share increased from Rs 11.9 to Rs 14.6, the company did not raise the dividend rate but maintained it at last year

Correcting Interest Rate Distortions

While the monetary authorities have sought to correct the distortions in the yield rates on government debt, they have not addressed the question of high interest rates on commercial sector bonds for which the FIs and PSUs have been mainly responsible. The situation calls for policy initiatives by the RBI.

Excel Industries, Novartis India, Nocil

EXCEL INDUSTRIES Lower Production 1997-98 was a difficult year for agrochemical major Excel Industries. The slow down in the economy and the imbalance between demand and supply affected the company


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