Wednesday, January 29, 2014

BOP : Balance Of Payment

An accounting record of all monetary transactions between a country and the rest of the world. It includes  payments for the country's exports and imports of goods, services financial, capital and financial transfers. It is also known as balance of international payments encompasses all transactions between a country’s residents and its nonresidents involving good, services and income financial claims on and liabilities to the rest of the world and transfers such as gifts.

Types
1.current account: shows the net amount a country is earning if it is in surplus, or spending if it is in deficit. It is the sum of the balance of trade (net earnings on exports minus payments for imports), factor income (earnings on foreign investments minus payments made to foreign investors) and cash transfers.
2.Capital Account records the net change in ownership of foreign assets. It includes the reserve account (the foreign exchange market operations of a nation's central bank), along with loans and investments between the country and the rest of world (but not the future regular repayments/dividends that the loans and investments yield; those are earnings and will be recorded in the current account).
BOP identity assumes that any current account surplus will be balanced by a capital account deficit of equal size – or alternatively a current account deficit will be balanced by a corresponding capital account surplus.

“Balance of payments surplus" (or deficit  a deficit is simply a negative surplus) refers to the sum of the surpluses in the current account and the narrowly defined capital account (excluding changes in central bank reserves). Denoting the balance of payments surplus as BOP surplus
BOP surplus = Current Account Surplus + Narrow Capital Account Surplus

IMF Definition : Current a/c +Financial a/c +Capital a/c +Balancing Item = 0

While the overall BOP accounts will always balance when all types of payments are included, imbalances are possible on individual elements of the BOP such as the current account the capital account excluding the central bank's reserve account or the sum of the two. Imbalances in the latter sum can result in surplus countries accumulating wealth, while deficit nations become increasingly indebted.
The term "balance of payments" often refers to this sum: a country's balance of payments is said to be in surplus.

Monday, January 27, 2014

Highlights : 12th Five Year Plan

Estimated growth rate at 8.2% but the National Development Council (NDC) on 27 Dec 2012 approved 8% growth rate for 12th five-year plan.
Increasing green cover by one million hectare every year and adding 30,000 MW of renewable energy generation capacity in the Plan period.
To reduce emission intensity of the GDP in line with the target of 20-25 reduction by 2020 over 2005 levels.
Raising agriculture output to 4 per cent for the full Plan.
Manufacturing sector growth to 10 per cent for the full Plan.
Target of adding over 88,000 MW of power generation capacity in the 12th five year plan.
The plan aims towards achieving a growth of 4 percent in agriculture and to reduce poverty by 10 percentage points, by 2017.

Saturday, January 25, 2014

Wish you Happy Republic Day

 
Dear indians,

Greetings…!  We all know very well that our country is REALLY GREAT irrespective of all the societal, political, economical  and global fight we all Indians sharing now a days . But, you might ask me that if we are fighting in these areas, how can you call India is great ..Mani..? … (I can hear your mind voice). My answer is…” at present we are fighting but 65 years before we were STRUGGLING in several areas which was seemed as imaginative aspirations by other countries especially British when they left India. 

Our progress was initially slow but determinedly steady. India now has.,
  1. Biggest and vast Constitution
  2. 2nd biggest democratic country
  3. Biggest Electoral system
  4. Fast growing super power
  5. Fast growing Economy
  6. Nuclear power
  7. Accomplished Chandrayan mission
  8. Accomplishing Manglayan mission
  9. Excellence in scientific and other areas
  10. Biggest food buffer stock
  11. Even we can war against developed nations if necessary
  12. We produce indigenous Smart phones and advanced medicinal equipments and medicines
We have come long successful way but still are there……

Lets build our future India more STRONG ! POWERFULL ! ENLIGHTED ! RICH ! SOVERIGNITY ! SECULAR ! UNITY ! MATURITY ! HAPPY ! COURAGEOUS ! And last but not least A REPUBLIC