Relevance of Debt-to-GDP Ratio in Discerning an Economy’s Health

By Deepika S Sovereign debt is the debt owed by the central government. It is issued in foreign currency in order to fund the country’s development needs. This debt can be further categorized as internal and external debt. Recession, ad-hoc spending and a quest for higher economic growth have resulted in higher levels of sovereign debt […]

#Fincabulary 11 – Champagne Stock

Meaning:  A slang term used to describe a stock that has appreciated dramatically. A champagne stock is typically one that has at least doubled or tripled in value in a relatively short period, creating a huge profit for the company’s shareholders. The term is used because individuals who hold such stocks will often order an […]

WEATHER DERIVATIVES – CONCEPT, CHALLENGES, AND FEASIBILITY

By  Ishan Kekre & Girish C Introduction A weather derivative is a tool for managing weather risk. It is a financial contract that allows a firm to hedge itself against unexpected and adverse weather. A weather derivative contract or WD derives its value from future weather conditions. Contrary to stereotypical weather insurance, the payout of […]

RISING NPAS IN INDIAN BANKING SECTOR: CAUSES, EFFECTS, IMPLICATIONS AND REMEDIES

By Charudutt Sehgal Introduction The economic progress of a nation and development of its banking sector is invariably interrelated. The banking sector is an indispensable financial service sector supporting development plans through channelizing funds for productive purpose, intermediating flow of funds from surplus to deficit units and supporting financial and economic policies of the government. Banks […]

EFFECTS OF DEMONETIZATION ON INDIAN AGRARIAN ECONOMY

By Pushkar Moni and Purvee Khandelwal Introduction The currency (notes) is the most liquid legal tender issued by the RBI which can be used to extinguish a public or private debt. The Indian economy, until 8th November 2016 had an estimated ₹14.18 trillion worth of currency notes in circulation, making India predominantly a cash-based economy. […]

EFFECTS OF DEMONETIZATION ON THE FINANCIAL SECTORs OF INDIA

By The Editorial Board of TJEF (Anil Shankar, Gandhali Inamdar and Isha Varma) Introduction Demonetization has been the buzz word since November 8th 2016 when our Prime Minister made the historic announcement about the decision to discontinue the 500 and 1000 rupee notes. This historic decision has affected almost all the sectors. Some have benefited while […]