-The Hindu The government’s claim that it will dampen inflation, bring higher prices for farmers and lower prices for customers may be somewhat exaggerated With the intention of signalling a strong commitment to reforms, the UPA government has announced a hike in the price of diesel and liberalisation of foreign direct investment (FDI) in multi-brand retail, justifying the measures as growth-enhancing and inflation-dampening. They have been termed bold by India’s corporate sector...

-The Hindu In its report on the road map to fiscal consolidation, the three-member committee headed by the former Finance Secretary and 13th Finance Commission Chairman, Vijay L. Kelkar, has suggested a host of “bold reform” measures on ways of slashing the subsidy bill which, it admitted, would result in some short term pain and hardships. The committee’s recommendations also include sale of surplus land with public sector undertakings (PSUs), fast-tracking of...

-The Hindu Organised retail involving FDI and international players can lead to a shrinking of traditional small merchant trade. That is bad news for political parties and governments. When discontent among traders brews, they act. A. Srivathsan looks at how Japan, Indonesia and Thailand responded, using zoning laws and size regulation as a control mechanism. Look East to find out what happens when foreign retailers set up shop. Asia’s recent economic history...

-PTI Unfazed by the uproar over FDI in retail and other tough decisions, Prime Minister Manmohan Singh on Saturday indicated that the government may continue with the reforms process and expressed willingness to discuss issues with allies. "We will do what is good for the country... reforms are not one-off process," he said. The Prime Minister was responding to questions on demands for rollback of decisions on FDI in multi-brand retail, diesel price...

-The Economic Times The government appears to have developed cold feet over implementing Kelkar panel's recommendations to slash subsidies drastically at a time when it is facing backlash for raising diesel prices and capping subsidised cooking cylinders. The report, which has been put out for public comments, warns that India is on the edge of a fiscal precipice. A senior finance ministry official has said that the report has not been accepted...