BUDGET-2011-12. HIGH LIGHTS

The budget 2011-12 was announced today 11 am by the Finance Minister Parnap Mukarji .The indian market witnessed huge volatality after 11.30 hering the flash news in media.The speculators took it up in no time and at the end during market closing the Nifty and Banknifty almost back to squre one ...!! in between the jerk in banknifty was shown 430 +points and Nifty was 170+points.Anyway lets see the budget highlights now.

• The Fiscal deficit was down from 5.5 to 5.1 and it was below the expectation levels.
• The income Tax slap is raised for male tax payer from 1.6 lak to 1.8 laks.
• The senior citzen age limit has reduce from 65 to 60.
• The priority home loan raised to 25 lakhs.
• The service tax for hotels above rs.1500/-

The FM also indicated the inflation can be controlled in 2012 and new tax for Goods&services will be introduced.

• The limit for investment in corporate bonds by foreign investors will be doubled to $40 billion, with the entire additional investment to be eligible only in bonds issued by infrastructure companies.
  •Education was in focus as well, with the finance minister saying a whopping 520 billion rupees has been set aside for the sector.
  •Stocks of iron ore companies fell as the finance minister said the iron ore export tax rate would be increased to 20%.
• Mr. Mukherjee said it is crucial to sustain agricultural production, a key political issue now with food inflation drawing protests across the country. The government will provide 3 billion rupees each to raise the output of coarse cereals, pulses and palm oil. "Maybe 3 will be my lucky number," Mr. Mukherjee said.
  •Other measures to help the agricultural sector include: A plan to set up 4 million tons of additional foodgrain storage space by March 2012, a 4.75 trillion rupees farm loans target for the fiscal year and setting aside 78.6 billion rupees for the country's farmer development program.
  •300 billion rupees of tax-free bonds will be issued to help fund infrastructure Development.
  •India will aim to raise 400 billion rupees by selling stakes in state-owned companies in the fiscal year, but the government will retain least 51% ownership and management control, as stated in the previous year's budget speech.
  •Mr. Mukherjee expects a net revenue loss of 115 billion rupees from changes in direct taxes, and a net revenue gain of 113 billion rupees from amendments to indirect taxes. The Direct Tax Code will be effective from April 1, 2012. The overall net tax revenue is likely to be 6.64 trillion rupees.
  

Mumbai office mkt sixth most expensive globally - survey

On Wednesday 23 February 2011, 5:07 PM
MUMBAI (Reuters) - Mumbai has been ranked as the sixth-most expensive office market in the world, according to a global survey by property services firm Cushman & Wakefield.

With office rentals in its main business district averaging $114 a square foot per year, Mumbai ranks behind Hong Kong , London, Tokyo, Rio de Janiero and New York, the report said.

Rentals for Class A space at the Nariman Point area in south Mumbai typically range between 300 to 400 rupees per square foot per month. Mumbai had been ranked No. 5 last year in a similar survey.

Cushman & Wakefield said lack of new supply and limited demand for office space is likely to keep office rentals stagnant in Mumbai.

Property prices in Mumbai and Delhi have more than doubled over the past 18 months, spurred by rising incomes and a firm stock market, but sales volumes are down by a third from a year ago as high prices and rising borrowing costs deter buyers.

The Reserve Bank of India (RBI) has raised interest rates seven times since March 2010 to curb stubbornly high inflation, further hurting demand.

India's top seven cities hold total office space of 280 million square feet, and this is expected to rise by another 50 million square feet in 2011.
(Reporting by Prashant Mehra; Editing by Aradhana Aravindan )

Source:-http://in.finance.yahoo.com/news/Mumbai-office-mkt-sixth-most-reuters-108625834.html

2: Never forget rule No.1.

"Rule No.1: Never lose money.

Rule No.2: Never forget rule No.1."

There seems to be some perverse human characteristic that likes to make easy things difficult."

"Wall Street is the only place that people ride to in a Rolls Royce to get advice from those who take the subway.""We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful.""If a business does well, the stock eventually follows."..."It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price.""Look at market fluctuations as your friend rather than your enemy; profit from folly rather than participate in it.""Why not invest your assets in the companies you really like? As Mae West said, "Too much of a good thing can be wonderful".""Wide diversification is only required when investors do not understand what they are doing."

Guardian Angel

A man was walking in the street when he heard a voice. “Stop! Stand still! If you take one more step, a brick will fall down on your head and kill you.” The man stopped and a big brick fell right in front of him. The man was astonished.

He went on, and after awhile he was going to cross the road. Once again the voice shouted: “Stop! Stand still! If you take one more step a car will run over you and you will die.” The man did as he was instructed, just as a car came careening around the corner, barely missing him.

“Where are you?” the man asked. “Who are you?”

“I am your guardian angel,” the voice answered.

“Oh yeah?” the man asked. “And where the hell were you when I got married?”