Names of Top 20 Countries with Highest Gold Reserve Top 20 Countries Ranking as per Gold Stock Reserve
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Showing posts with label Money Investment. Show all posts
Showing posts with label Money Investment. Show all posts
Tuesday, May 17, 2011
Saturday, May 7, 2011
No Need to file Tax Return if income below Rs.5 Lakh – Will Benefit more than 85 Lakh Indians
No Need to file Tax Return if income below Rs.5 Lakh – Will Benefit more than 85 Lakh Indians
Read more »
Read more »
Thursday, March 24, 2011
List of Top 20 Indian Blue Chip Companies –
List of Top 20 Indian Blue Chip Companies –
Here is the list of Top 20 Indian Blue Chip Companies –
1.
Tata Group -
The $68-billion conglomerate, Tata Group, has become the first Indian brand to figure in the top 50 global companies.
Global rank: 50
2.
Reliance Industries - Global rank: 133, Brand Value: $6.99 billion
3.
State Bank of India - Global rank: 171 - Brand value: $5.67 billion
4.
Indian Oil Corporation - Global rank: 232 - Brand value: $4.35 billion
5.
Bharti Airtel - Global rank: 282 - Brand value: $3.69 billion
6.
Bharat Petroleum Corporation - Global rank: 347 - Brand value: $3.09 bilion
7.
Infosys Technologies - Global rank: 378 - Brand value: $2.91 billion
8.
ICICI Bank - Global rank: 442 - Brand value: $2.50 bilion
9.
Wipro - Global rank: 474 - Brand value: $2.35 billion
10.
BANK OF BARODA
11.
HDFC BANK
12.
KARUR VYSYA BANK
13.
THERMAX
14.
CUMMINS INDIA
15.
BHEL
16.
VOLTAS
17.
CIPLA
18.
LIC
19.
Dabur
20.
Blue Star
Keyword Tags – Top Indian companies, Top Blue Companies to invest in
Reality Views by sm –
Friday, March 25, 2011
Here is the list of Top 20 Indian Blue Chip Companies –
1.
Tata Group -
The $68-billion conglomerate, Tata Group, has become the first Indian brand to figure in the top 50 global companies.
Global rank: 50
2.
Reliance Industries - Global rank: 133, Brand Value: $6.99 billion
3.
State Bank of India - Global rank: 171 - Brand value: $5.67 billion
4.
Indian Oil Corporation - Global rank: 232 - Brand value: $4.35 billion
5.
Bharti Airtel - Global rank: 282 - Brand value: $3.69 billion
6.
Bharat Petroleum Corporation - Global rank: 347 - Brand value: $3.09 bilion
7.
Infosys Technologies - Global rank: 378 - Brand value: $2.91 billion
8.
ICICI Bank - Global rank: 442 - Brand value: $2.50 bilion
9.
Wipro - Global rank: 474 - Brand value: $2.35 billion
10.
BANK OF BARODA
11.
HDFC BANK
12.
KARUR VYSYA BANK
13.
THERMAX
14.
CUMMINS INDIA
15.
BHEL
16.
VOLTAS
17.
CIPLA
18.
LIC
19.
Dabur
20.
Blue Star
Keyword Tags – Top Indian companies, Top Blue Companies to invest in
Reality Views by sm –
Friday, March 25, 2011
Saturday, February 5, 2011
Know and Understand Islamic banking System – Kerala Government Planning to start Islamic Banks in Kerala.
Know and Understand Islamic banking System –
Kerala Government Planning to start Islamic Banks in Kerala.
Know and understand Islamic banking.
Easy approach to understand Islamic banking.
What is Islamic banking system?
A banking system which is based on Sharia Muslim law and principles is called as Islamic banking system.
This banking system do not allow to pay interest. Islamic banking system do not allow to invest money in the business which are contrary to Islamic principles and law, the term is harram is used in Islam for this.
Islamic banks currently operate in Muslim community mainly.
The first Islamic bank was started, savings bank based on profit-sharing in the Egyptian
town of Mit Ghamr in 1963.
The first modern commercial Islamic bank, Dubai Islamic Bank, opened its doors in 1975.
The basic principle of Islamic banking is the sharing of profit and loss and the prohibition of riba (usury).
Islamic or Shariah-compliant banking provides and uses financial services and products that Conform to Islamic religious practices and laws, which, in particular, prohibit the payment and receipt of interest at a fixed or predetermined rate.
In practice, this means that instead Of loans, Islamic banks use profit-and-loss sharing arrangements (PLS); purchase and Resale of goods and services, and the provision of services for fees form the basis of Contracts
In an Islamic bank, the rate of return on a deposit is directly dependent on the quality of the Bank’s investment decisions.
If the bank records losses as a result of bad investments, depositors may lose some (or all) of their deposits.
The contractual agreement between depositors and the Islamic banks does not predetermine any rates of return; it only sets the ratio according to which profits
And losses are distributed between the parties to the deposit contract.
Understand the Islamic banking through example:
Suppose Mr John wants a loan to purchase a car or say house and he goes to Islamic bank, then bank will purchase the car and keep the ownership with the car and give that car to
Mr. John .
The ownership remains with the Bank until Mr. John pays the loan amount to the bank. Same rule is applied to nearly everything just they use different names for transactions.
There are no late fees, penalites etc if john is not able to pay on time.
And finally, Islamic banking is restricted to islamically acceptable deals, which exclude
Those involving alcohol, pork, gambling, sex, movies, etc.
When Islamic bank is smaller it works very well as depositors and management of bank
Can watch, monitor every activity very closely.
But when Islamic bank becomes bigger crosses the state borders it becomes very difficult
To monitor.
Current banking system is good but what happened in USA and fallout of all
Economies is a result of greediness of politicians, bankers, executives.
To over this problem there should be international monitoring bank or body which will watch and detect the frauds, greedyness.laziness of banks.
Islamic Banking system is very popular in West Asia and in predominantly Muslim nations such as Malaysia and Indonesia. Leading international banks such as HSBC and Standard & Charted have exclusive Islamic banking windows.
India and Islamic Banking System –
Few weeks back The Kerala High Court dismissed a petition that said an Islamic bank violates the principle of secularism as laid out in India's constitution.
The petition had been filed by former Law Minister Subramanian Swamy.
Just for the Muslim Votes , Kerala Government has decided to start the Islamic Banking in Kerala. The sanction for the Islamic bank comes three months ahead of elections in Kerala. Muslims constitute 25 per cent of Kerala's vote bank
The Congress has not taken a stand on the issue, while the BJP has voiced its opposition.
The Kerala State Industrial Development Corporation will hold 11 per cent stake in the bank.
The bank plans to raise an initial capital of 500 crore rupees from NRIs and will avoid all interest-linked business activities.
It will provide interest-free loans for those looking to start new businesses and small-scale ventures.
It will also invest in the infrastructure sector.
The activities of the bank will be supervised by a Shariah Supervisory Board which will include Islamic scholars.
Opening Banks on religious grounds is not good for India.
This will again divide India, Hindu and Muslims population will get divided.
The good thing for India is nothing should be based on religion, caste and creed, every Indian should get as per his family status like reservation or anything.
This is the total wrong doing by politicians I will appeal to Muslims do not vote for such people, demand better schools and collages , good roads etc.
If this Bank is based on Islamic system, then do you think they will follow Islamic punishment of Hand cutting, or stone death in matters of such Bank.
This again proves that India is secular nation on the papers only to fool the world.
Where is democracy and equality?
Reality views by sm –
Saturday, February 05, 2011
Kerala Government Planning to start Islamic Banks in Kerala.
Know and understand Islamic banking.
Easy approach to understand Islamic banking.
What is Islamic banking system?
A banking system which is based on Sharia Muslim law and principles is called as Islamic banking system.
This banking system do not allow to pay interest. Islamic banking system do not allow to invest money in the business which are contrary to Islamic principles and law, the term is harram is used in Islam for this.
Islamic banks currently operate in Muslim community mainly.
The first Islamic bank was started, savings bank based on profit-sharing in the Egyptian
town of Mit Ghamr in 1963.
The first modern commercial Islamic bank, Dubai Islamic Bank, opened its doors in 1975.
The basic principle of Islamic banking is the sharing of profit and loss and the prohibition of riba (usury).
Islamic or Shariah-compliant banking provides and uses financial services and products that Conform to Islamic religious practices and laws, which, in particular, prohibit the payment and receipt of interest at a fixed or predetermined rate.
In practice, this means that instead Of loans, Islamic banks use profit-and-loss sharing arrangements (PLS); purchase and Resale of goods and services, and the provision of services for fees form the basis of Contracts
In an Islamic bank, the rate of return on a deposit is directly dependent on the quality of the Bank’s investment decisions.
If the bank records losses as a result of bad investments, depositors may lose some (or all) of their deposits.
The contractual agreement between depositors and the Islamic banks does not predetermine any rates of return; it only sets the ratio according to which profits
And losses are distributed between the parties to the deposit contract.
Understand the Islamic banking through example:
Suppose Mr John wants a loan to purchase a car or say house and he goes to Islamic bank, then bank will purchase the car and keep the ownership with the car and give that car to
Mr. John .
The ownership remains with the Bank until Mr. John pays the loan amount to the bank. Same rule is applied to nearly everything just they use different names for transactions.
There are no late fees, penalites etc if john is not able to pay on time.
And finally, Islamic banking is restricted to islamically acceptable deals, which exclude
Those involving alcohol, pork, gambling, sex, movies, etc.
When Islamic bank is smaller it works very well as depositors and management of bank
Can watch, monitor every activity very closely.
But when Islamic bank becomes bigger crosses the state borders it becomes very difficult
To monitor.
Current banking system is good but what happened in USA and fallout of all
Economies is a result of greediness of politicians, bankers, executives.
To over this problem there should be international monitoring bank or body which will watch and detect the frauds, greedyness.laziness of banks.
Islamic Banking system is very popular in West Asia and in predominantly Muslim nations such as Malaysia and Indonesia. Leading international banks such as HSBC and Standard & Charted have exclusive Islamic banking windows.
India and Islamic Banking System –
Few weeks back The Kerala High Court dismissed a petition that said an Islamic bank violates the principle of secularism as laid out in India's constitution.
The petition had been filed by former Law Minister Subramanian Swamy.
Just for the Muslim Votes , Kerala Government has decided to start the Islamic Banking in Kerala. The sanction for the Islamic bank comes three months ahead of elections in Kerala. Muslims constitute 25 per cent of Kerala's vote bank
The Congress has not taken a stand on the issue, while the BJP has voiced its opposition.
The Kerala State Industrial Development Corporation will hold 11 per cent stake in the bank.
The bank plans to raise an initial capital of 500 crore rupees from NRIs and will avoid all interest-linked business activities.
It will provide interest-free loans for those looking to start new businesses and small-scale ventures.
It will also invest in the infrastructure sector.
The activities of the bank will be supervised by a Shariah Supervisory Board which will include Islamic scholars.
Opening Banks on religious grounds is not good for India.
This will again divide India, Hindu and Muslims population will get divided.
The good thing for India is nothing should be based on religion, caste and creed, every Indian should get as per his family status like reservation or anything.
This is the total wrong doing by politicians I will appeal to Muslims do not vote for such people, demand better schools and collages , good roads etc.
If this Bank is based on Islamic system, then do you think they will follow Islamic punishment of Hand cutting, or stone death in matters of such Bank.
This again proves that India is secular nation on the papers only to fool the world.
Where is democracy and equality?
Reality views by sm –
Saturday, February 05, 2011
Friday, January 28, 2011
Paypal India changes agreement policy as per recommendations of RBI – New Restrictions and Limitations on Indians
Paypal India changes agreement policy as per recommendations of RBI – New Restrictions and Limitations on Indians
Read more »
Read more »
Saturday, November 20, 2010
Part Two - How Currency Exchange Rate is decided?How Currency exchange rate of Indian Rupee and Dollar is decided?
Part Two - How Currency Exchange Rate is decided?
How Currency exchange rate of Indian Rupee and Dollar is decided?
Suggested Reading -
Part One - How Currency Exchange Rate is decided?
How Currency exchange rate of Indian Rupee and Dollar is decided?
http://realityviews.blogspot.com/2010/11/part-one-how-currency-exchange-rate-is.html
Part Two -
After World War II –
Everything regarding international business changed and very slow America became the No.1 in everything, a Global leader with perfect policies and great intelligence of their politicians.
Bretton Woods system -
Bretton Woods system – regarding international trade and currency,
Bretton Woods system came into existence in year 1944.
This fixed rate system is also known as ‘Bretton Woods system’ or ‘pegged currency’
India also abandoned Fixed Rate system’ in 1975 and moved to the floating rate system.
British proposal of introducing a supranational currency
named as Bancor could not prevail against the interests of the United States, which then at the Bretton Woods conference established the U.S. dollars as world key currency.
That time U.S. dollar was the currency with the most purchasing power and it was the only currency that was backed by gold
Fixed Rate was –
Dollar to gold at the rate of $35 per ounce of gold.
After World war II European nations and United Kingdom required help and American government provided it.
When we take loan or benefits from other nation , we have to indirectly accept the wish of giver.
The government can not go against the wishes of loan giver country.
United States signed an agreement on December 6, 1945 to grant Britain aid of $4.4 billion after that British Parliament ratified the Bretton Woods Agreements (which occurred later in December 1945)
1945 – France took loan from the USA.
730 delegates from all 44 Allied nations gathered at the Mount Washington Hotel in Bretton Woods, New Hampshire, United States, for the United Nations Monetary and Financial Conference.
The delegates deliberated upon and signed the Bretton Woods Agreements during the first three weeks of July 1944.
Why the Bretton woods system was created ?
What was the Role of the Bretton woods system in world trade ?
To regulate the international monetary system, the planners at Bretton Woods established the International Monetary Fund (IMF) and the International Bank for Reconstruction and Development (IBRD), which today is part of the World Bank Group.
Under this system each country adopted a monetary policy that maintained the exchange rate of its currency within a fixed value—plus or minus one percent—in terms of gold and the ability of the IMF to bridge temporary imbalances of payments.
To promote the growth of world trade and to finance the postwar reconstruction of Europe, the planners at Bretton Woods created another institution, the International Bank for Reconstruction and Development (IBRD), World Bank
After this dollar American Dollar became trustworthy like the Gold, and dollar gave interest also.
So majority countries started to keep reserve of American dollar, dollar became the international trade currency.
Power of USA – and Problems of USA - Up to year 1970
Gold was guaranteed in exchange of dollar by government of America.
U.S. produced half of the world's manufactured goods and holding half its reserves but later this became problematic for USA as gold was guaranteed in exchange of dollar .
After world war two honest nations started to work hard towards developing their nations and very slowly japan, France and Russia started to compete with America
But after 1970 other nations started to lose the faith in the Dollar and started to demand gold in exchange of dollar.
U.S. President Richard Nixon changed the History – for the Benefit of America and to save American economy -
Today India needs a leader and Prime Minister like American President Richard Nixon who can take strict policy changing decisions for the benefit of India.
We can say that policies of President Richard Nixon took the world towards floating currency exchange
On 9 August 1971, as the dollar dropped in value against European currencies, Switzerland withdrew the Swiss franc from the Bretton Woods system.
On August 15, 1971, the United States declared that dollar will not be directly converted into Gold.
Will be available in open market only and thus Floating exchange rate system started.
1971 it reached $44.20/ounce,
1972 $70.30/ounce
1973 $44/ounce
Special Drawing Rights (SDRs) are international foreign exchange reserve assets created in year 1969 by IMF
SDR is used as a unit of account and is sometimes referred to as a "quasi currency".
Special Drawing Rights are allocated to nations by the IMF.
The SDR interest rate is determined weekly and is related with debt also.
In 1969 one SDR was defined as having a value of 0.888671 grams of gold, the value of one US dollar
Today SDR is a basket of Japanese Yen, US Dollars, British Pounds and Euro
And the proportion each of these four currencies contributes to the nominal value of a SDR
SDR is reevaluated every five years.
The IMF fixes daily the value of one SDR in terms of US dollars
March 2009 Zhou Xiaochuan, governor of the People's Bank of China, proposed using Special Drawing Rights as a worldwide reserve currency in place of the US dollar
In India currently we are using demand and supply based system as well as our central bank RBI also controls the price.This depends on our SDR and gold stock also.
Currently demand and supply is also decided by foreign exchange market –
That is also known as or called as FX market or currency market.
I am sure you know about the share market –
Share market is a place where we sell and buy shares of the companies.
Same way in short currency or FX, Currency market is the place where currencies of the nations are bought, sold and speculated.
When we buy oil from Iran or Iraq what happens?
They demand payment in Dollars, so we need to give those dollars or gold.
Or go to forex, currency market and purchase the dollars or get the loan from America or world bank or from other nation to pay for the goods which India imports from other nations.
This is reason each nation has to keep the stock of gold as well as dollars,
More the stock of gold and American dollar,
More the respect that nation enjoys.
Thus currency keeps changing as per the demand and supply and trade in currency market.
Currently china has saved, purchased lot of American dollars by purchasing American government bonds
this is reason America has to respect china and their leaders talk one to one.
Regarding our Indian currency value one has to consider Indian loans, Spending, RBI policies , government policies and spending.
Only after we can understand how the rate is fixed.
In short we must understand nothing comes free, our politicians do the corruption and become rich, our rich people do the corruption and become rich and
we lower class Indians pay all those debt and loans by staying and living life in a gutter.
Demand and supply, loans, debt = equal currency rate.
The topic is very difficult to explain hope you got the idea regarding how the currency exchange rate is fixed.
Reality views by sm –
20th November 2010
How Currency exchange rate of Indian Rupee and Dollar is decided?
Suggested Reading -
Part One - How Currency Exchange Rate is decided?
How Currency exchange rate of Indian Rupee and Dollar is decided?
http://realityviews.blogspot.com/2010/11/part-one-how-currency-exchange-rate-is.html
Part Two -
After World War II –
Everything regarding international business changed and very slow America became the No.1 in everything, a Global leader with perfect policies and great intelligence of their politicians.
Bretton Woods system -
Bretton Woods system – regarding international trade and currency,
Bretton Woods system came into existence in year 1944.
This fixed rate system is also known as ‘Bretton Woods system’ or ‘pegged currency’
India also abandoned Fixed Rate system’ in 1975 and moved to the floating rate system.
British proposal of introducing a supranational currency
named as Bancor could not prevail against the interests of the United States, which then at the Bretton Woods conference established the U.S. dollars as world key currency.
That time U.S. dollar was the currency with the most purchasing power and it was the only currency that was backed by gold
Fixed Rate was –
Dollar to gold at the rate of $35 per ounce of gold.
After World war II European nations and United Kingdom required help and American government provided it.
When we take loan or benefits from other nation , we have to indirectly accept the wish of giver.
The government can not go against the wishes of loan giver country.
United States signed an agreement on December 6, 1945 to grant Britain aid of $4.4 billion after that British Parliament ratified the Bretton Woods Agreements (which occurred later in December 1945)
1945 – France took loan from the USA.
730 delegates from all 44 Allied nations gathered at the Mount Washington Hotel in Bretton Woods, New Hampshire, United States, for the United Nations Monetary and Financial Conference.
The delegates deliberated upon and signed the Bretton Woods Agreements during the first three weeks of July 1944.
Why the Bretton woods system was created ?
What was the Role of the Bretton woods system in world trade ?
To regulate the international monetary system, the planners at Bretton Woods established the International Monetary Fund (IMF) and the International Bank for Reconstruction and Development (IBRD), which today is part of the World Bank Group.
Under this system each country adopted a monetary policy that maintained the exchange rate of its currency within a fixed value—plus or minus one percent—in terms of gold and the ability of the IMF to bridge temporary imbalances of payments.
To promote the growth of world trade and to finance the postwar reconstruction of Europe, the planners at Bretton Woods created another institution, the International Bank for Reconstruction and Development (IBRD), World Bank
After this dollar American Dollar became trustworthy like the Gold, and dollar gave interest also.
So majority countries started to keep reserve of American dollar, dollar became the international trade currency.
Power of USA – and Problems of USA - Up to year 1970
Gold was guaranteed in exchange of dollar by government of America.
U.S. produced half of the world's manufactured goods and holding half its reserves but later this became problematic for USA as gold was guaranteed in exchange of dollar .
After world war two honest nations started to work hard towards developing their nations and very slowly japan, France and Russia started to compete with America
But after 1970 other nations started to lose the faith in the Dollar and started to demand gold in exchange of dollar.
U.S. President Richard Nixon changed the History – for the Benefit of America and to save American economy -
Today India needs a leader and Prime Minister like American President Richard Nixon who can take strict policy changing decisions for the benefit of India.
We can say that policies of President Richard Nixon took the world towards floating currency exchange
On 9 August 1971, as the dollar dropped in value against European currencies, Switzerland withdrew the Swiss franc from the Bretton Woods system.
On August 15, 1971, the United States declared that dollar will not be directly converted into Gold.
Will be available in open market only and thus Floating exchange rate system started.
1971 it reached $44.20/ounce,
1972 $70.30/ounce
1973 $44/ounce
Special Drawing Rights (SDRs) are international foreign exchange reserve assets created in year 1969 by IMF
SDR is used as a unit of account and is sometimes referred to as a "quasi currency".
Special Drawing Rights are allocated to nations by the IMF.
The SDR interest rate is determined weekly and is related with debt also.
In 1969 one SDR was defined as having a value of 0.888671 grams of gold, the value of one US dollar
Today SDR is a basket of Japanese Yen, US Dollars, British Pounds and Euro
And the proportion each of these four currencies contributes to the nominal value of a SDR
SDR is reevaluated every five years.
The IMF fixes daily the value of one SDR in terms of US dollars
March 2009 Zhou Xiaochuan, governor of the People's Bank of China, proposed using Special Drawing Rights as a worldwide reserve currency in place of the US dollar
In India currently we are using demand and supply based system as well as our central bank RBI also controls the price.This depends on our SDR and gold stock also.
Currently demand and supply is also decided by foreign exchange market –
That is also known as or called as FX market or currency market.
I am sure you know about the share market –
Share market is a place where we sell and buy shares of the companies.
Same way in short currency or FX, Currency market is the place where currencies of the nations are bought, sold and speculated.
When we buy oil from Iran or Iraq what happens?
They demand payment in Dollars, so we need to give those dollars or gold.
Or go to forex, currency market and purchase the dollars or get the loan from America or world bank or from other nation to pay for the goods which India imports from other nations.
This is reason each nation has to keep the stock of gold as well as dollars,
More the stock of gold and American dollar,
More the respect that nation enjoys.
Thus currency keeps changing as per the demand and supply and trade in currency market.
Currently china has saved, purchased lot of American dollars by purchasing American government bonds
this is reason America has to respect china and their leaders talk one to one.
Regarding our Indian currency value one has to consider Indian loans, Spending, RBI policies , government policies and spending.
Only after we can understand how the rate is fixed.
In short we must understand nothing comes free, our politicians do the corruption and become rich, our rich people do the corruption and become rich and
we lower class Indians pay all those debt and loans by staying and living life in a gutter.
Demand and supply, loans, debt = equal currency rate.
The topic is very difficult to explain hope you got the idea regarding how the currency exchange rate is fixed.
Reality views by sm –
20th November 2010
Friday, November 19, 2010
Part One - How Currency Exchange Rate is decided? How Currency exchange rate of Indian Rupee and Dollar is decided?
Part One - How Currency Exchange Rate is decided?
How Currency exchange rate of Indian Rupee and Dollar is decided?
Currently One American Dollar is equal to 40 to 44 Indian Rupees.
This exchange rate keeps changing daily; this exchange rate is not fixed.
How this ratio is fixed. How the value of the currency is decided.
Why Currency rate keeps changing ?
To understand this one has to understand how the dollar became important in world trade?
History of world trade after World War II and international market and financial markets system.
This is decided as per the rule of demand and supply and which currency is trustworthy and which currency is globally accepted by everyone.
The Indian rupee has a market determined exchange rate.
However, the RBI trades actively in the USD/INR currency market to impact effective exchange rates.
The rupee currency is not pegged to any particular foreign currency at a specific exchange rate.
The RBI intervenes in the currency markets to maintain low volatility in exchange rates and remove excess liquidity from the economy.
As per my Reading and Understanding RBI or government of India is not trying and is not interested in making 1 dollar = 1 Indian Rupee and 1 Euro = 1 Pound = 1 Indian Rupee.
Because of corruption, war and wrong policies of our Indian government,
Indian currency was devalued few times between 1960 and 1990.
In International Market when business is done
in advance it is fixed that how one nation will pay the another nation
example - payments will be done in American dollar or gold or currency of one nation.
Thus the demand for currency is created.
All the countries do business with each other, thus every country has to think about future payments while doing business, and how and which which form of currency will be required to do future business
This way the demand for particular currency is created and that currency rules ,
one has to pay more to get that currency as that currency is more trustworthy, has more demand.
If more countries want to use the Indian Rupee when they sell something to other nations
then value of the Indian Rupee will increase and value of the Dollar will decrease.
This is the principal of demand and supply, more the demand for currency more the value for currency.
Now a days majority nations follow the principal of demand and supply based exchange rate system.
Only few nations like china fix there own rate,
showing that china is the next super power, a country which is challenging the global position of America as the No. 1 country in the world.
Somewhat china got success also and is moving towards to become No.1 , it will all depend on American politicians and their intelligence.
History of Exchange Rate in Short -
In following ways from ancient times the payment system kept changing.
Methods of Buying and selling of Goods , services National as well as international
Barter system
Barter system and silver-based
Barter system, silver-based and gold based
silver-based and gold based,
silver-based , gold based and introduction of paper notes,
gold based and paper notes
In beginning international business was done using silver coins or we can say silver-based. But later on Gold became the standard.
Gold exchange standard –
Historically, the Indian rupee was a silver-based currency, while the major economies of the world were following the gold standard.
In the 19th and early 20th centuries gold played a key role in international monetary transactions.
In this system government of one nation agrees with the government of other nations to give gold, paper notes are convertible into pre-set, fixed quantities of gold.
Simple example - is giving for understanding the concept.
34 American dollar equal to 1 kilo gold.
Like this it is fix in advance.
Under this Governments can not pump unlimited money in the hands of citizens.
It all depends on how much gold is in the possession of the nation.
Number or quantity of Printing of notes is decided on
how much gold is possessed by that nation.
Thus central bank has limited function, can not help much to anyone.
But Gold is not available in unlimited quantity.
in 18th and 19th century European, British and American government started to fix standard currency exchange rate regarding international business.
Thus Gold became the standard. As gold is not available unlimited.
Benefit of gold standard is
if any nation has more gold , then that nation dominated the international business.
But this is not good for inventions, without money spending inventions are not possible.
Under this standard the power of politicians and government is limited as everything depends on how much gold is in the possession of nation.
So it becomes very difficult for any nation to take risks regarding any business or spending towards research and finding new medicines or innovations.
Thus in one way we can say politicians as well as government becomes somewhat powerless.
The current global monetary system relies on the U.S. dollar as a reserve currency by which major transactions, such as the price of gold itself, are measured
Every nation keeps reserve currency.
A reserve currency, or anchor currency is a currency which is used by the government for the international transactions that is business related activities.
For doing international business this reserve currency is used by the government, not their own currency.
Example –
When India purchases Oil from Arab Nations India pays them in American dollar.
When India purchase arms from other nations we pay them in dollars and not in Indian currency.
As Indian currency is not globally accepted.
What is devaluation?
Devaluation means -
1 dollar = 4 Indian Rupees
When Indian rupee gets devalued this ratio changes and
1 Dollar equals to 7 Indian Rupees
with wrong policies of politicians this ratio and gap keeps increasing.
Effect of devaluation-
Devaluation means value of currency is decreased comparing to other currency or say gold.
When devaluation of currency happens -
country can sell more but the purchasing capacity is reduced ,is less,
this is reason government needs to keep the policy of never to devalue the currency without proper planning and intelligence.
Export Business = Selling goods or something to other nations
Import Business = Purchasing goods from other nations by paying cash or gold.
Which class of people benefit in export and import business ?
only rich people of the nation benefit in the export and import business.
Fix rate system is good for everyone; even in this global world the time has come to introduce the global one currency.
Continued -
Suggested Reading -
Part Two - How Currency Exchange Rate is decided?How Currency exchange rate of Indian Rupee and Dollar is decided?
http://realityviews.blogspot.com/2010/11/part-two-how-currency-exchange-rate-is.html
Reality views by sm -
20 Saturday 2010
How Currency exchange rate of Indian Rupee and Dollar is decided?
Currently One American Dollar is equal to 40 to 44 Indian Rupees.
This exchange rate keeps changing daily; this exchange rate is not fixed.
How this ratio is fixed. How the value of the currency is decided.
Why Currency rate keeps changing ?
To understand this one has to understand how the dollar became important in world trade?
History of world trade after World War II and international market and financial markets system.
This is decided as per the rule of demand and supply and which currency is trustworthy and which currency is globally accepted by everyone.
The Indian rupee has a market determined exchange rate.
However, the RBI trades actively in the USD/INR currency market to impact effective exchange rates.
The rupee currency is not pegged to any particular foreign currency at a specific exchange rate.
The RBI intervenes in the currency markets to maintain low volatility in exchange rates and remove excess liquidity from the economy.
As per my Reading and Understanding RBI or government of India is not trying and is not interested in making 1 dollar = 1 Indian Rupee and 1 Euro = 1 Pound = 1 Indian Rupee.
Because of corruption, war and wrong policies of our Indian government,
Indian currency was devalued few times between 1960 and 1990.
In International Market when business is done
in advance it is fixed that how one nation will pay the another nation
example - payments will be done in American dollar or gold or currency of one nation.
Thus the demand for currency is created.
All the countries do business with each other, thus every country has to think about future payments while doing business, and how and which which form of currency will be required to do future business
This way the demand for particular currency is created and that currency rules ,
one has to pay more to get that currency as that currency is more trustworthy, has more demand.
If more countries want to use the Indian Rupee when they sell something to other nations
then value of the Indian Rupee will increase and value of the Dollar will decrease.
This is the principal of demand and supply, more the demand for currency more the value for currency.
Now a days majority nations follow the principal of demand and supply based exchange rate system.
Only few nations like china fix there own rate,
showing that china is the next super power, a country which is challenging the global position of America as the No. 1 country in the world.
Somewhat china got success also and is moving towards to become No.1 , it will all depend on American politicians and their intelligence.
History of Exchange Rate in Short -
In following ways from ancient times the payment system kept changing.
Methods of Buying and selling of Goods , services National as well as international
Barter system
Barter system and silver-based
Barter system, silver-based and gold based
silver-based and gold based,
silver-based , gold based and introduction of paper notes,
gold based and paper notes
In beginning international business was done using silver coins or we can say silver-based. But later on Gold became the standard.
Gold exchange standard –
Historically, the Indian rupee was a silver-based currency, while the major economies of the world were following the gold standard.
In the 19th and early 20th centuries gold played a key role in international monetary transactions.
In this system government of one nation agrees with the government of other nations to give gold, paper notes are convertible into pre-set, fixed quantities of gold.
Simple example - is giving for understanding the concept.
34 American dollar equal to 1 kilo gold.
Like this it is fix in advance.
Under this Governments can not pump unlimited money in the hands of citizens.
It all depends on how much gold is in the possession of the nation.
Number or quantity of Printing of notes is decided on
how much gold is possessed by that nation.
Thus central bank has limited function, can not help much to anyone.
But Gold is not available in unlimited quantity.
in 18th and 19th century European, British and American government started to fix standard currency exchange rate regarding international business.
Thus Gold became the standard. As gold is not available unlimited.
Benefit of gold standard is
if any nation has more gold , then that nation dominated the international business.
But this is not good for inventions, without money spending inventions are not possible.
Under this standard the power of politicians and government is limited as everything depends on how much gold is in the possession of nation.
So it becomes very difficult for any nation to take risks regarding any business or spending towards research and finding new medicines or innovations.
Thus in one way we can say politicians as well as government becomes somewhat powerless.
The current global monetary system relies on the U.S. dollar as a reserve currency by which major transactions, such as the price of gold itself, are measured
Every nation keeps reserve currency.
A reserve currency, or anchor currency is a currency which is used by the government for the international transactions that is business related activities.
For doing international business this reserve currency is used by the government, not their own currency.
Example –
When India purchases Oil from Arab Nations India pays them in American dollar.
When India purchase arms from other nations we pay them in dollars and not in Indian currency.
As Indian currency is not globally accepted.
What is devaluation?
Devaluation means -
1 dollar = 4 Indian Rupees
When Indian rupee gets devalued this ratio changes and
1 Dollar equals to 7 Indian Rupees
with wrong policies of politicians this ratio and gap keeps increasing.
Effect of devaluation-
Devaluation means value of currency is decreased comparing to other currency or say gold.
When devaluation of currency happens -
country can sell more but the purchasing capacity is reduced ,is less,
this is reason government needs to keep the policy of never to devalue the currency without proper planning and intelligence.
Export Business = Selling goods or something to other nations
Import Business = Purchasing goods from other nations by paying cash or gold.
Which class of people benefit in export and import business ?
only rich people of the nation benefit in the export and import business.
Fix rate system is good for everyone; even in this global world the time has come to introduce the global one currency.
Continued -
Suggested Reading -
Part Two - How Currency Exchange Rate is decided?How Currency exchange rate of Indian Rupee and Dollar is decided?
http://realityviews.blogspot.com/2010/11/part-two-how-currency-exchange-rate-is.html
Reality views by sm -
20 Saturday 2010
Sunday, October 17, 2010
Know about Indian External Debt for year 2009 – 2010. Report on Indian External Indian Debt for year 2009 – 2010
Know about Indian External Debt for year 2009 – 2010. Report on Indian External Indian Debt for year 2009 – 2010
External debt stock of 128 developing countries stood at US$ 3,718.5 billion at end-December 2008, up by 7.8 per cent over its previous year's level of US$ 3,450.8 billion
India was the fifth most indebted country in 2008 in terms of absolute debt stock amongst
the top twenty debtor countries of the developing world, after Russian Federation, China, Turkey, and Brazil.
India's external debt increased from US$ 224.5 billion at end-March 2009 to US$ 261.5
Billion at end-March 2010.
The total increase was US$ 37.0 billion (16.5 per cent).
One American Dollar equal to nearly 50 Indian Rupees, this keep changing 48 or 50 like this.
External debt of a country indicates contractual liability of residents to non-residents. In
Rupee terms, India's external debt of Rs. 1,180,073 crore at end March 2010, registered a rise of Rs. 36,283 crore (3.2 per cent) over the end-March 2009 estimates.
The long-term debt at US$ 209.0 billion at end-March 2010, accounted for about 80 per cent of the total external debt.
The long-term debt increased by 15.4 per cent over the level at end-March 2009
Government (sovereign) external debt stood at US$ 67.1 billion at end-March 2010, higher by US$ 11.2 billion (20 per cent) over its level of US$ 55.9 billion at end-March 2009.
It accounted for 25.7 per cent of the total external debt as compared to 24.9 per cent at end-March 2009.
Government guaranteed external debt was marginally higher at US$ 7.7 billion (US$ 6.8 billion at end-March 2009)
As per the World Bank publication 'Global Development Finance, 2010', India was at fifth position among top twenty developing indebted countries in 2008 in terms of stock of external debt, after Russian Federation, China, Turkey and Brazil
The ratio between long and short-term debt was around 80:20 at end-March 2010. Among the long-term components, commercial borrowings accounted for the largest share followed by NRI deposits, multilateral, bilateral and export credit.
The share of private creditors increased from 60.3 per cent in 2005 to 70.5 per cent at end-March 2010.
The share of government debt was 25.7 per cent, while the share of non-government debt was 74.3 per cent in total external debt at end March 2010.
US dollar denominated debt, with its share of 53.3 per cent at end-March 2010, continues to dominate India's total external debt.
The element of concessionality in total external debt stood at 16.8 per cent at end-March 2010.
India's Short-term debt at end-March 2010 stood at US$ 52.5 billion, reflecting an increase
of 21 per cent over end-March 2009 level.
Trade related credits contributed 84 per cent of the total rise in short-term debt stocks at end-March 2010.
The share of trade credit in short-term debt was 90.7 per cent at end-March 2010 as against 92.2 per cent at end-March 200
Special Drawing Rights (SDR) –
Allocations of SDR 3082.5 million on August 28, 2009 and SDR 214.6 million on September 9, 2009 and the consequent increase in cumulative SDR allocations to US$ 6.2 billion at end-December 2009.
SDR allocations fall in the category of ‘long-term reserve-related liability’ of the country to the other participants of the IMF’s SDR Department and according to the
Rules prescribed in the sixth edition of the Balance of Payments and International Investment Position Manual (BPM6) is included as debt liability
The SDR was created by the IMF in 1969 to serve as an international reserve asset to supplement the official reserves of the member countries.
The SDR valuation basket, w.e.f January 1, 2006, consists of the following
Currencies with their associated weightages: US Dollar (44 per cent), Euro (34 per cent), Japanese Yen (11 per cent) and Pound Sterling (11 per cent) (Source: IMF).
The currency composition of India's external debt reveals that the US dollar denominated debt remained dominant.
The share of US dollar debt in total external debt was at 53.3 per cent at end-March 2010 (slightly less than the 54.1 per cent registered at end-March 2009), followed by the Indian rupee (18.7 per cent), Japanese yen (11.4 per cent) and SDR (10.7 percent).
Rupee Debt; The outstanding state credits (both defence and civilian) extended to India by the erstwhile Union of Soviet Socialist Republics (USSR).
The debt is denominated in Rupees and repayment of such debt is made primarily through the export of goods to Russia;
The NR (E) RA is categorized as an external debt liability since the principal amount held in such accounts as well as the interest accrued are repatriable. In case of the NRO Account, Norris and Persons of Indian Origin (PIO) are eligible to annually remit an amount up to US$ 1 million out of the balances held in such accounts.
Debt service projections based on long-term debt outstanding at the end of March 2010,
show that debt service payments will reach the high of US$ 21.3 billion (US$ 18.2 billion principal repayment and US$ 3.1 billion interest) in 2012-13
The analysis of external debt of 128 developing countries reveals that out of the total external debt stock of US$ 3718.5 billion in 2008, twenty developing countries accounted for US$ 2999.0 billion (80.7 per cent).
Among the top twenty debtor countries, the external debt stock of Argentina and Thailand declined between 2000 and 2008.
A sharp rise was noticed in the external debt stock of Romania (840.3 per cent), Latvia (767.3), Kazakhstan (765.4 per cent), Ukraine (658.6 per cent), Poland (236.3 per cent) and Russian Federation (151.5 per cent).
China recorded an increase of 159.6 per cent in its external debt stock, while India's external debt increased by 130.1 per cent during the period 2000-2008
Government of India has been borrowing only from the multilateral and bilateral sources. Other debt liabilities of the Government include defence debt, investments by Foreign Institutional Investors (FIIs) and other central banks in treasury bills and dated government securities and Rupee debt owed to Russia
During end-March 2009 and end-March 2010, sovereign external debt (SED) increased by US$ 11.2 billion (20.0 per cent) from US$ 55.9 billion to US$ 67.1 billion.
The share of US dollar in sovereign external debt has declined from 37 per cent in 1998 to 26.5 per cent at end-March 2010
Gross external debt, at a point in time, is defined as “the outstanding amount of those actual current, and not contingent, liabilities that require payment(s) of principal and/or interest by the debtor at some point(s) in the future and that are owed to non-residents by residents of an economy” (External Debt Statistics - Guide for Compilers and Users, International Monetary Fund (IMF), 2003).
Non Resident (External) Rupee Account {NR (E) RA} Deposits were introduced in 1970.
Any NRI can open an NRE account with funds remitted to India through a bank abroad. A NRE account maintained in Indian rupees may be opened as current, savings or term
deposit.
The amount held in these deposits together with the interest accrued can be
repatriated.
Foreign Currency Non Resident (Banks) Deposits {FCNR (B)} were introduced with
effect from May 15, 1993.
These are term deposits maintained only in Pound Sterling, US dollar, Japanese Yen, Euro, Canadian dollar and Australian dollar.
The minimum maturity period of these deposits was raised from six months to 1 year effective October 1999. From July 26, 2005, banks have been allowed to accept FCNR (B) deposits up to a maximum maturity period of five years against the earlier maximum limit of three years.
Non-Resident Ordinary Rupee (NRO) Accounts – Any person resident outside India may
open and maintain NRO account with an authorized dealer or in authorized bank for the
purpose of putting through bonafide transactions denominated in Indian rupees.
NRO Accounts may be opened/maintained in the form of current, saving, recurring or fixed deposits. NRI/Persons of Indian Origin (PIO) may remit an amount not exceeding USD 1 million per financial year out of the balances held in NRO Accounts.
So Much Debt on Indians and where does this all money go , everyone knows the answer
Reality views by sm –
Sunday, October 17, 2010
External debt stock of 128 developing countries stood at US$ 3,718.5 billion at end-December 2008, up by 7.8 per cent over its previous year's level of US$ 3,450.8 billion
India was the fifth most indebted country in 2008 in terms of absolute debt stock amongst
the top twenty debtor countries of the developing world, after Russian Federation, China, Turkey, and Brazil.
India's external debt increased from US$ 224.5 billion at end-March 2009 to US$ 261.5
Billion at end-March 2010.
The total increase was US$ 37.0 billion (16.5 per cent).
One American Dollar equal to nearly 50 Indian Rupees, this keep changing 48 or 50 like this.
External debt of a country indicates contractual liability of residents to non-residents. In
Rupee terms, India's external debt of Rs. 1,180,073 crore at end March 2010, registered a rise of Rs. 36,283 crore (3.2 per cent) over the end-March 2009 estimates.
The long-term debt at US$ 209.0 billion at end-March 2010, accounted for about 80 per cent of the total external debt.
The long-term debt increased by 15.4 per cent over the level at end-March 2009
Government (sovereign) external debt stood at US$ 67.1 billion at end-March 2010, higher by US$ 11.2 billion (20 per cent) over its level of US$ 55.9 billion at end-March 2009.
It accounted for 25.7 per cent of the total external debt as compared to 24.9 per cent at end-March 2009.
Government guaranteed external debt was marginally higher at US$ 7.7 billion (US$ 6.8 billion at end-March 2009)
As per the World Bank publication 'Global Development Finance, 2010', India was at fifth position among top twenty developing indebted countries in 2008 in terms of stock of external debt, after Russian Federation, China, Turkey and Brazil
The ratio between long and short-term debt was around 80:20 at end-March 2010. Among the long-term components, commercial borrowings accounted for the largest share followed by NRI deposits, multilateral, bilateral and export credit.
The share of private creditors increased from 60.3 per cent in 2005 to 70.5 per cent at end-March 2010.
The share of government debt was 25.7 per cent, while the share of non-government debt was 74.3 per cent in total external debt at end March 2010.
US dollar denominated debt, with its share of 53.3 per cent at end-March 2010, continues to dominate India's total external debt.
The element of concessionality in total external debt stood at 16.8 per cent at end-March 2010.
India's Short-term debt at end-March 2010 stood at US$ 52.5 billion, reflecting an increase
of 21 per cent over end-March 2009 level.
Trade related credits contributed 84 per cent of the total rise in short-term debt stocks at end-March 2010.
The share of trade credit in short-term debt was 90.7 per cent at end-March 2010 as against 92.2 per cent at end-March 200
Special Drawing Rights (SDR) –
Allocations of SDR 3082.5 million on August 28, 2009 and SDR 214.6 million on September 9, 2009 and the consequent increase in cumulative SDR allocations to US$ 6.2 billion at end-December 2009.
SDR allocations fall in the category of ‘long-term reserve-related liability’ of the country to the other participants of the IMF’s SDR Department and according to the
Rules prescribed in the sixth edition of the Balance of Payments and International Investment Position Manual (BPM6) is included as debt liability
The SDR was created by the IMF in 1969 to serve as an international reserve asset to supplement the official reserves of the member countries.
The SDR valuation basket, w.e.f January 1, 2006, consists of the following
Currencies with their associated weightages: US Dollar (44 per cent), Euro (34 per cent), Japanese Yen (11 per cent) and Pound Sterling (11 per cent) (Source: IMF).
The currency composition of India's external debt reveals that the US dollar denominated debt remained dominant.
The share of US dollar debt in total external debt was at 53.3 per cent at end-March 2010 (slightly less than the 54.1 per cent registered at end-March 2009), followed by the Indian rupee (18.7 per cent), Japanese yen (11.4 per cent) and SDR (10.7 percent).
Rupee Debt; The outstanding state credits (both defence and civilian) extended to India by the erstwhile Union of Soviet Socialist Republics (USSR).
The debt is denominated in Rupees and repayment of such debt is made primarily through the export of goods to Russia;
The NR (E) RA is categorized as an external debt liability since the principal amount held in such accounts as well as the interest accrued are repatriable. In case of the NRO Account, Norris and Persons of Indian Origin (PIO) are eligible to annually remit an amount up to US$ 1 million out of the balances held in such accounts.
Debt service projections based on long-term debt outstanding at the end of March 2010,
show that debt service payments will reach the high of US$ 21.3 billion (US$ 18.2 billion principal repayment and US$ 3.1 billion interest) in 2012-13
The analysis of external debt of 128 developing countries reveals that out of the total external debt stock of US$ 3718.5 billion in 2008, twenty developing countries accounted for US$ 2999.0 billion (80.7 per cent).
Among the top twenty debtor countries, the external debt stock of Argentina and Thailand declined between 2000 and 2008.
A sharp rise was noticed in the external debt stock of Romania (840.3 per cent), Latvia (767.3), Kazakhstan (765.4 per cent), Ukraine (658.6 per cent), Poland (236.3 per cent) and Russian Federation (151.5 per cent).
China recorded an increase of 159.6 per cent in its external debt stock, while India's external debt increased by 130.1 per cent during the period 2000-2008
Government of India has been borrowing only from the multilateral and bilateral sources. Other debt liabilities of the Government include defence debt, investments by Foreign Institutional Investors (FIIs) and other central banks in treasury bills and dated government securities and Rupee debt owed to Russia
During end-March 2009 and end-March 2010, sovereign external debt (SED) increased by US$ 11.2 billion (20.0 per cent) from US$ 55.9 billion to US$ 67.1 billion.
The share of US dollar in sovereign external debt has declined from 37 per cent in 1998 to 26.5 per cent at end-March 2010
Gross external debt, at a point in time, is defined as “the outstanding amount of those actual current, and not contingent, liabilities that require payment(s) of principal and/or interest by the debtor at some point(s) in the future and that are owed to non-residents by residents of an economy” (External Debt Statistics - Guide for Compilers and Users, International Monetary Fund (IMF), 2003).
Non Resident (External) Rupee Account {NR (E) RA} Deposits were introduced in 1970.
Any NRI can open an NRE account with funds remitted to India through a bank abroad. A NRE account maintained in Indian rupees may be opened as current, savings or term
deposit.
The amount held in these deposits together with the interest accrued can be
repatriated.
Foreign Currency Non Resident (Banks) Deposits {FCNR (B)} were introduced with
effect from May 15, 1993.
These are term deposits maintained only in Pound Sterling, US dollar, Japanese Yen, Euro, Canadian dollar and Australian dollar.
The minimum maturity period of these deposits was raised from six months to 1 year effective October 1999. From July 26, 2005, banks have been allowed to accept FCNR (B) deposits up to a maximum maturity period of five years against the earlier maximum limit of three years.
Non-Resident Ordinary Rupee (NRO) Accounts – Any person resident outside India may
open and maintain NRO account with an authorized dealer or in authorized bank for the
purpose of putting through bonafide transactions denominated in Indian rupees.
NRO Accounts may be opened/maintained in the form of current, saving, recurring or fixed deposits. NRI/Persons of Indian Origin (PIO) may remit an amount not exceeding USD 1 million per financial year out of the balances held in NRO Accounts.
So Much Debt on Indians and where does this all money go , everyone knows the answer
Reality views by sm –
Sunday, October 17, 2010
Sunday, April 4, 2010
Friday, January 1, 2010
Saturday, November 28, 2009
Know 31 Ways to Save Energy - Save Money – Save Planet
Know 31 Ways to Save Energy - Save Money – Save Planet
Reality Views by sm -
When we save the power, reduce the energy consumption means we create less greenhouse as coal and gas consumption is also reduced.
1. Develop the habit to turn off, switch of light when not required. Turn off your ceiling fan when you leave the room.
2. Learn to use energy as per requirement like if you are reading or studying use the table lamp, if you are resting on sofa, why to use 40 watt bulb, use the 15 watt bulb.
3. Learn to keep your tube light and bulb clean as dirty tube light and bulb give you less light up to 50%.
4. Replace your ordinary bulb and tube light with Fluorescent tube lights and CFL tube light or bulb . CFL convert electricity to visible light up to 5 times more efficiently than ordinary bulb and thus save 70% of electricity for the same lighting levels. 90% of the energy consumed by an ordinary bulb [ incandescent lamp ] is given off as heat rather than visible light.
5. please start to replace your electricity eating ordinary demon bulbs with more efficient types like Compact fluorescent lamps [ CFL ] .CFL uses 75% less electricity than ordinary bulb and tube light ,thus help to reduce your electricity bills as well as they are environment friendly.
6. A 15-watt compact fluorescent bulb produces the same amount of light as a 60-watt incandescent bulb.
7. Learn to use ceiling fan or table fan also with air conditioners. Remind everyone in the family how thermostats work: Your house won’t cool down faster if you set the thermostat at low setting. It will waste the money.
8. Ceiling fan cost about 30 paisa an hour to operate much less than air conditioner which cost you minimum Ten Rupees per hour.
9. Air conditioning energy use by as much as 40 percent by shading your homes windows and walls.
10. Try to plant trees in your housing society, in your locality. Plant trees and shrubs help to keep the day’s hottest sun off your house.
11. Always set the air conditioner thermostat above 22°C (71.5°F), this will use 3 to 5 percent less energy for each degree. Recommended setting is 25°C (77°F) to provide the most comfort at the least cost. You can use the ceiling fan or room fan with air conditioner this way you can set the thermostat higher because the air movement will cool the room. Remember ceiling fan or room fan cost for one hour use is just 30 to 50 paisa that is below one rupee.
12. Always use air conditioner with timer as good air conditioner will cool and dehumidify room in about 30 minutes.
13. Keep doors to air conditioned rooms closed as often as possible. Clean the air conditioner filter every month. A dirty air filter reduces airflow and may damage the unit. Clean filters enable the unit to cool down quickly and use less energy.
14. If air conditioner is old and needs repair it will not save the energy and will not give you 100% performance so think about the life cycle and how much energy new air conditioner will save , thus purchase the new air conditioner with star rating.
15. Always keep refrigerator away from all sources of heat ,including direct sunlight ,radiators and appliances such as the oven and cooking range.
16. Test the Refrigerator seals, when it’s dark, place a lit flash light inside the refrigerator and close the door. If light around the door is seen, then you need to replace the seals.
17. Make sure that refrigerator's rubber door seals are clean and tight. They should hold a slip of paper snugly. If paper slips out easily, replace the door seals.
18. Always see that refrigerator has enough space for continuous airflow around it ,refrigerator motors and compressors generate heat , if heat can not escape ,the refrigerators cooling system will work harder and use more energy, which will increase your electricity bills, electricity consumption.
19. Inside refrigerator always place items ,food boxes in such a way that there is enough space for air circulation.
20. Always make sure that you put cool food inside the refrigerator ,let the hot food become cool outside the refrigerator. Thus you will reduce the energy consumption and condensation will reduce.
21. Do not keep refrigerator door open for long, make a habit to think before opening door what you want ,which food item you want .
22. Make sure that the refrigerators condenser coils are clean so that air can circulate freely. When dust builds up on refrigerators condenser coils , the motor works harder and uses more electricity.
23. Defrost freezer compartment regularly. Accumulation of ice reduces the cooling power by acting as unwanted insulation.
24. Try to use microwave oven instead of a regular oven , as microwave oven requires 50% less energy.
25. microwaves cook food from the outside edge toward the centre of the dish, so if you're cooking more than one item, place larger and thicker items on the outside.
26. When buying a new electric kettle, choose one that has an automatic shut-off button and a heat-resistant handle.
27. clean your electric kettle by combining boiling water and vinegar to remove mineral deposits. Dirty kettle takes more energy to heat.
28. Battery chargers, such as those for laptops, cell phones and digital cameras, draw power whenever they are plugged in and are very inefficient. Pull the plug and save.
29. Screen savers save computer screens, not energy. So if possible shutdown the computer or turn off monitor as it uses double energy than your CPU cabinet.
30. Setting computers, monitors, and copiers to use sleep-mode when not in use helps cut energy costs by approximately 40%.
31. Always turn off kitchen, bath and other exhaust fans within 20 minutes after you are finished cooking or bathing.
Reality Views by sm -
When we save the power, reduce the energy consumption means we create less greenhouse as coal and gas consumption is also reduced.
1. Develop the habit to turn off, switch of light when not required. Turn off your ceiling fan when you leave the room.
2. Learn to use energy as per requirement like if you are reading or studying use the table lamp, if you are resting on sofa, why to use 40 watt bulb, use the 15 watt bulb.
3. Learn to keep your tube light and bulb clean as dirty tube light and bulb give you less light up to 50%.
4. Replace your ordinary bulb and tube light with Fluorescent tube lights and CFL tube light or bulb . CFL convert electricity to visible light up to 5 times more efficiently than ordinary bulb and thus save 70% of electricity for the same lighting levels. 90% of the energy consumed by an ordinary bulb [ incandescent lamp ] is given off as heat rather than visible light.
5. please start to replace your electricity eating ordinary demon bulbs with more efficient types like Compact fluorescent lamps [ CFL ] .CFL uses 75% less electricity than ordinary bulb and tube light ,thus help to reduce your electricity bills as well as they are environment friendly.
6. A 15-watt compact fluorescent bulb produces the same amount of light as a 60-watt incandescent bulb.
7. Learn to use ceiling fan or table fan also with air conditioners. Remind everyone in the family how thermostats work: Your house won’t cool down faster if you set the thermostat at low setting. It will waste the money.
8. Ceiling fan cost about 30 paisa an hour to operate much less than air conditioner which cost you minimum Ten Rupees per hour.
9. Air conditioning energy use by as much as 40 percent by shading your homes windows and walls.
10. Try to plant trees in your housing society, in your locality. Plant trees and shrubs help to keep the day’s hottest sun off your house.
11. Always set the air conditioner thermostat above 22°C (71.5°F), this will use 3 to 5 percent less energy for each degree. Recommended setting is 25°C (77°F) to provide the most comfort at the least cost. You can use the ceiling fan or room fan with air conditioner this way you can set the thermostat higher because the air movement will cool the room. Remember ceiling fan or room fan cost for one hour use is just 30 to 50 paisa that is below one rupee.
12. Always use air conditioner with timer as good air conditioner will cool and dehumidify room in about 30 minutes.
13. Keep doors to air conditioned rooms closed as often as possible. Clean the air conditioner filter every month. A dirty air filter reduces airflow and may damage the unit. Clean filters enable the unit to cool down quickly and use less energy.
14. If air conditioner is old and needs repair it will not save the energy and will not give you 100% performance so think about the life cycle and how much energy new air conditioner will save , thus purchase the new air conditioner with star rating.
15. Always keep refrigerator away from all sources of heat ,including direct sunlight ,radiators and appliances such as the oven and cooking range.
16. Test the Refrigerator seals, when it’s dark, place a lit flash light inside the refrigerator and close the door. If light around the door is seen, then you need to replace the seals.
17. Make sure that refrigerator's rubber door seals are clean and tight. They should hold a slip of paper snugly. If paper slips out easily, replace the door seals.
18. Always see that refrigerator has enough space for continuous airflow around it ,refrigerator motors and compressors generate heat , if heat can not escape ,the refrigerators cooling system will work harder and use more energy, which will increase your electricity bills, electricity consumption.
19. Inside refrigerator always place items ,food boxes in such a way that there is enough space for air circulation.
20. Always make sure that you put cool food inside the refrigerator ,let the hot food become cool outside the refrigerator. Thus you will reduce the energy consumption and condensation will reduce.
21. Do not keep refrigerator door open for long, make a habit to think before opening door what you want ,which food item you want .
22. Make sure that the refrigerators condenser coils are clean so that air can circulate freely. When dust builds up on refrigerators condenser coils , the motor works harder and uses more electricity.
23. Defrost freezer compartment regularly. Accumulation of ice reduces the cooling power by acting as unwanted insulation.
24. Try to use microwave oven instead of a regular oven , as microwave oven requires 50% less energy.
25. microwaves cook food from the outside edge toward the centre of the dish, so if you're cooking more than one item, place larger and thicker items on the outside.
26. When buying a new electric kettle, choose one that has an automatic shut-off button and a heat-resistant handle.
27. clean your electric kettle by combining boiling water and vinegar to remove mineral deposits. Dirty kettle takes more energy to heat.
28. Battery chargers, such as those for laptops, cell phones and digital cameras, draw power whenever they are plugged in and are very inefficient. Pull the plug and save.
29. Screen savers save computer screens, not energy. So if possible shutdown the computer or turn off monitor as it uses double energy than your CPU cabinet.
30. Setting computers, monitors, and copiers to use sleep-mode when not in use helps cut energy costs by approximately 40%.
31. Always turn off kitchen, bath and other exhaust fans within 20 minutes after you are finished cooking or bathing.
Wednesday, September 30, 2009
India – Twenty Five Easy And Simple Tips to Save Money –
India – Twenty Five Easy And Simple Tips to Save Money –
Let’s know 25 ways, ideas how we can save money with little awareness.
1. Cook Intelligently , Use Pressure Cooker
2. In advance decide the meals, plan the lunch and dinner.
3. Do not cook more, cook only as per requirement of one meal, as fresh and hot food is good for our health. Do not cook more so there will not be wastage of food
4. Do not overcook; when food is overcooked we lose the vitamin and mineral this way you can save your gas also or electricity bill also.
5. Serve smaller portions, eat less and stay healthy Avoid wastage of food.
6. Do not run behind sweets they will ultimately give you the gift of different diseases.
7. Teach kids not to waste the food, finish the dish always.
8. Do not through leftovers; see that it’s given to the Pets. This will increase your bond with pet.
9. Do not drive to go to a particular shop or mall to save few rupees and check your petrol expenses and how much time you are wasting to reach to that particular shop.
10. Start to drink Tea if you are coffee fan, this way both the prices will have demand and supply and markets will keep the prices steady.
11. Take lunch box to your work; avoid eating outside food, its costly and not good for our health.
12. Purchase what you need, compare the prices do not run behind the brand name and pay more.
13. Always use the discount coupons, and use them, don’t feel shy to use them, if you got extra coupons give them to your friends.
14. Try to purchase from the same shop which is near to your home so this way if you feel you need to change the food item it will be easy for you and will save your time and petrol.
15. Compare the prices of different malls, advertisements, make it a habit, so you will know which product is cheaper at which shop.
16. Please make the habit of checking weights and expiry date of food item if it is mention.
17. Before getting into the car ask the question is it possible you can walk to the shop, does the use of car is required?
18. Try walking and bicycling when distance is short.
19. Share a car, plan the trips with the friends so you can share the petrol bills and this will give you more fun while shopping.
20. Plan the trip and make use of every minute do not waste time.
21. Don’t speed, Drive slowly it will save petrol and will save you from rash driving penalties or accidents.
22. Use air condition when required, when go outside switch of fans and air conditioners and lights.
23. Don’t overfill petrol or gas, with this precaution there will be less possibility of leak.
24. Use all the driving rules and prevent yourself from penalties and blood pressure.
25. While driving do not fight with others on small problems.
Let’s know 25 ways, ideas how we can save money with little awareness.
1. Cook Intelligently , Use Pressure Cooker
2. In advance decide the meals, plan the lunch and dinner.
3. Do not cook more, cook only as per requirement of one meal, as fresh and hot food is good for our health. Do not cook more so there will not be wastage of food
4. Do not overcook; when food is overcooked we lose the vitamin and mineral this way you can save your gas also or electricity bill also.
5. Serve smaller portions, eat less and stay healthy Avoid wastage of food.
6. Do not run behind sweets they will ultimately give you the gift of different diseases.
7. Teach kids not to waste the food, finish the dish always.
8. Do not through leftovers; see that it’s given to the Pets. This will increase your bond with pet.
9. Do not drive to go to a particular shop or mall to save few rupees and check your petrol expenses and how much time you are wasting to reach to that particular shop.
10. Start to drink Tea if you are coffee fan, this way both the prices will have demand and supply and markets will keep the prices steady.
11. Take lunch box to your work; avoid eating outside food, its costly and not good for our health.
12. Purchase what you need, compare the prices do not run behind the brand name and pay more.
13. Always use the discount coupons, and use them, don’t feel shy to use them, if you got extra coupons give them to your friends.
14. Try to purchase from the same shop which is near to your home so this way if you feel you need to change the food item it will be easy for you and will save your time and petrol.
15. Compare the prices of different malls, advertisements, make it a habit, so you will know which product is cheaper at which shop.
16. Please make the habit of checking weights and expiry date of food item if it is mention.
17. Before getting into the car ask the question is it possible you can walk to the shop, does the use of car is required?
18. Try walking and bicycling when distance is short.
19. Share a car, plan the trips with the friends so you can share the petrol bills and this will give you more fun while shopping.
20. Plan the trip and make use of every minute do not waste time.
21. Don’t speed, Drive slowly it will save petrol and will save you from rash driving penalties or accidents.
22. Use air condition when required, when go outside switch of fans and air conditioners and lights.
23. Don’t overfill petrol or gas, with this precaution there will be less possibility of leak.
24. Use all the driving rules and prevent yourself from penalties and blood pressure.
25. While driving do not fight with others on small problems.
Friday, April 17, 2009
World Recession: A different type of danger for India.
Reality Views by sm
World Recession: A different type of danger for India.
India : Culture of Saving , last 50 years in India , one generation is giving to the next generation a gift which is called as an Art of saving money.
Our economy is in recession from last 50 years, but we did not realize it because of our tradition of saving money first and then buying the article, products which we need really.
But today America, West is facing recession and one of the most important and simple reason is that American people, British people do not save money, they purchase the products on loans that is also on the future salary, earning.
Now as American people will have to stop this luxury, those companies will come to India and will use the same policies and will encourage all the Indians to purchase products on loans.
Before arrival of those policies and companies, our own Indian companies have already started those policies, tricks and many Indians have already got this ill habit of purchasing products without need or requirement of replacement of product.
Today if you visit shops and see around you, you will see that people are without requirement, purchasing new washing machine, when there old washing machine is in good condition.
Another example is Television there 29 inch LCD is new brand, but they are buying new 32 inches Lcd TV, because companies are giving them zero percent loans, or with good advertisements and promotion ads, they are making them fools.
When you purchase a product without need, when your home product is in good condition still you are buying new product, replacing it, then you are fool.
Remember we do not have social security or pension system like USA and UK.
If today you don’t save, in old age you will have to live in a village and have to rent your city flat to survive.
So learn and keep and follow our traditional system of saving money and purchasing products which are really necessary for your home, just some film star and cricket star is saying on TV ,don’t purchase the product
Beware from Indian as well as multinational companies they will lure you into the traps of loans, No one will make you aware about this, even politicians will support them by reducing the interest rates on your fix deposits and PPF or EPF accounts, so you will stop saving money.
Beware your money is in danger, Think about old age, retirement.
Your kid’s education expenses.
Otherwise be ready to stay in slum or old house by renting your posh flat to stay alive in old age and to support your medicine.
Currently I don’t see any way we will get any type of social security like USA from our Indian politicians.
I always listened old people proudly saying to there kids and friends that , son I don’t have to pay any loans so after my death you don’t have to pay anybody. All property is safe.
I am sure as an Indian you also must have listened such dialogues from your grandparents or neighbors even many times you can hear this type of dialogues in movies also.
So learn to save, learn to spend don’t be fool
It is easy to earn money, but it is more difficult to save and spend money wisely.
World Recession: A different type of danger for India.
India : Culture of Saving , last 50 years in India , one generation is giving to the next generation a gift which is called as an Art of saving money.
Our economy is in recession from last 50 years, but we did not realize it because of our tradition of saving money first and then buying the article, products which we need really.
But today America, West is facing recession and one of the most important and simple reason is that American people, British people do not save money, they purchase the products on loans that is also on the future salary, earning.
Now as American people will have to stop this luxury, those companies will come to India and will use the same policies and will encourage all the Indians to purchase products on loans.
Before arrival of those policies and companies, our own Indian companies have already started those policies, tricks and many Indians have already got this ill habit of purchasing products without need or requirement of replacement of product.
Today if you visit shops and see around you, you will see that people are without requirement, purchasing new washing machine, when there old washing machine is in good condition.
Another example is Television there 29 inch LCD is new brand, but they are buying new 32 inches Lcd TV, because companies are giving them zero percent loans, or with good advertisements and promotion ads, they are making them fools.
When you purchase a product without need, when your home product is in good condition still you are buying new product, replacing it, then you are fool.
Remember we do not have social security or pension system like USA and UK.
If today you don’t save, in old age you will have to live in a village and have to rent your city flat to survive.
So learn and keep and follow our traditional system of saving money and purchasing products which are really necessary for your home, just some film star and cricket star is saying on TV ,don’t purchase the product
Beware from Indian as well as multinational companies they will lure you into the traps of loans, No one will make you aware about this, even politicians will support them by reducing the interest rates on your fix deposits and PPF or EPF accounts, so you will stop saving money.
Beware your money is in danger, Think about old age, retirement.
Your kid’s education expenses.
Otherwise be ready to stay in slum or old house by renting your posh flat to stay alive in old age and to support your medicine.
Currently I don’t see any way we will get any type of social security like USA from our Indian politicians.
I always listened old people proudly saying to there kids and friends that , son I don’t have to pay any loans so after my death you don’t have to pay anybody. All property is safe.
I am sure as an Indian you also must have listened such dialogues from your grandparents or neighbors even many times you can hear this type of dialogues in movies also.
So learn to save, learn to spend don’t be fool
It is easy to earn money, but it is more difficult to save and spend money wisely.
Sunday, November 9, 2008
Know and understand Islamic banking
BY- SM
Know and understand Islamic banking .
Easy approach to understand islamic banking.
what is islamic banking system ?
A banking system which is based on Sharia muslim law and principles is called as islamic
banking system.
This banking system do not allow to give interest . this banking system do not allow to invest
money in the business which are contrary to islamic principles and law ,the term is harram
is used in islam for this.
this banks currently operate in muslim community mainly.
The first islamic bank was started ,savings bank based on profit-sharing in the Egyptian
town of Mit Ghamr in 1963. The first modern commercial Islamic bank, Dubai Islamic Bank, opened its doors in 1975.
The basic principle of Islamic banking is the sharing of profit and loss and the prohibition of
riba (usury).
Islamic or Shariah-compliant banking provides and uses financial services and products that
conform to Islamic religious practices and laws, which, in particular, prohibit the payment
and receipt of interest at a fixed or predetermined rate. In practice, this means that instead
of loans, Islamic banks use profit-and-loss sharing arrangements (PLS), purchase and
resale of goods and services, and the provision of services for fees form the basis of
contracts
In an Islamic bank, the rate of return on a deposit is directly dependent on the quality of the
bank's investment decisions.If the bank records losses as a result of bad investments, depositors may lose some (or all)
of their deposits. The contractual agreement between depositors and the Islamic banks
does not predetermine any rates of return, it only sets the ratio according to which profits
and losses are distributed between the parties to the deposit contract.
understand the islamic banking through example :
suppose Mr john wants a loan to purchase a car or say house and he goes to islamic bank,then bank will purchase the car and keep the ownership with the car and give that car to
mr.john .The ownership remains with the Bank until Mr.john pays the loan amout to the bank.same rule is applied to nearly everything just they use differet names for transactions.there are no late fees,penalites etc if john is not able to pay on time.
And finally, Islamic banking is restricted to Islamically acceptable deals, which exclude
those involving alcohol, pork, gambling, sex,movies, etc.
When islamic bank is smaller it works very good as depositers and management of bank
can watch ,monitor every activitiy very closely.
But when islamic bank becomes bigger crosses the state borders it becomes very difficult
to monitor .
current banking system is good but what happend in usa and fallout of all
economies is a result of greddyness of politicians, bankers,executives.
To over this problem there should be international monitoring bank or body which will watch
and detect the frauds,greedyness.laziness of banks .
Know and understand Islamic banking .
Easy approach to understand islamic banking.
what is islamic banking system ?
A banking system which is based on Sharia muslim law and principles is called as islamic
banking system.
This banking system do not allow to give interest . this banking system do not allow to invest
money in the business which are contrary to islamic principles and law ,the term is harram
is used in islam for this.
this banks currently operate in muslim community mainly.
The first islamic bank was started ,savings bank based on profit-sharing in the Egyptian
town of Mit Ghamr in 1963. The first modern commercial Islamic bank, Dubai Islamic Bank, opened its doors in 1975.
The basic principle of Islamic banking is the sharing of profit and loss and the prohibition of
riba (usury).
Islamic or Shariah-compliant banking provides and uses financial services and products that
conform to Islamic religious practices and laws, which, in particular, prohibit the payment
and receipt of interest at a fixed or predetermined rate. In practice, this means that instead
of loans, Islamic banks use profit-and-loss sharing arrangements (PLS), purchase and
resale of goods and services, and the provision of services for fees form the basis of
contracts
In an Islamic bank, the rate of return on a deposit is directly dependent on the quality of the
bank's investment decisions.If the bank records losses as a result of bad investments, depositors may lose some (or all)
of their deposits. The contractual agreement between depositors and the Islamic banks
does not predetermine any rates of return, it only sets the ratio according to which profits
and losses are distributed between the parties to the deposit contract.
understand the islamic banking through example :
suppose Mr john wants a loan to purchase a car or say house and he goes to islamic bank,then bank will purchase the car and keep the ownership with the car and give that car to
mr.john .The ownership remains with the Bank until Mr.john pays the loan amout to the bank.same rule is applied to nearly everything just they use differet names for transactions.there are no late fees,penalites etc if john is not able to pay on time.
And finally, Islamic banking is restricted to Islamically acceptable deals, which exclude
those involving alcohol, pork, gambling, sex,movies, etc.
When islamic bank is smaller it works very good as depositers and management of bank
can watch ,monitor every activitiy very closely.
But when islamic bank becomes bigger crosses the state borders it becomes very difficult
to monitor .
current banking system is good but what happend in usa and fallout of all
economies is a result of greddyness of politicians, bankers,executives.
To over this problem there should be international monitoring bank or body which will watch
and detect the frauds,greedyness.laziness of banks .
Tuesday, January 31, 2006
stock market is a safe investment
Yes stock market is a safe investment.
when some one uses any thing carelessly he will suffer the consquences bad effects of that carelessness.
If any person wants to invest in stock he has to study the company , keep his eyes and ears open and after that he makes investment i am sure it will be profitable for him.
Just stock market is not a childs play. when someone use knife to cut vegetables if he do not pay attention, do not do it carefully his fingers will get cut, you will find same case with the stock market investment. so stock market is safe investment
when some one uses any thing carelessly he will suffer the consquences bad effects of that carelessness.
If any person wants to invest in stock he has to study the company , keep his eyes and ears open and after that he makes investment i am sure it will be profitable for him.
Just stock market is not a childs play. when someone use knife to cut vegetables if he do not pay attention, do not do it carefully his fingers will get cut, you will find same case with the stock market investment. so stock market is safe investment
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