-The Telegraph The enormity of the real challenge before Manmohan Singh is far higher than that posed by Mamata Banerjee. A “perfect storm” is gathering around the economy, according to a Centre-commissioned report packed with suggestions for a series of tough measures that will affect daily life and test the government’s resolve to wade further into unpalatable waters. The report presented by the Vijay Kelkar panel, which was asked to suggest a road...

-NDTV The Kelkar committee has said subsidies pose the greatest risk to the country's fiscal situation, while suggesting that the excise and service tax rates should be cut to 8% over the next few years. The panel calls for the need to step up disinvestment drive in state-run firms for fiscal consolidation. It says diesel should be deregulated by 2014 and all subsidy on cooking gas be cut by 2015. All subsidies must be...

-The Economic Times Prime Minister Manmohan Singh has taken charge of the UPA's initiatives to directly transfer welfare benefits and subsidies into individual beneficiaries' bank accounts - a system that would plug the rampant leakages of funds earmarked for the poor via schemes such as NREGA on which the government spends over 3,00,000 crore annually. A new ministerial co-ordination committee under the PM would now fast-track the architecture for cash transfers while...

-PTI Pawar resigned after reports alleged his involvement in Rs 20,000 crore irrigation scam Maharashtra Governor K Sankarnarayanan today accepted the resignation of Deputy Chief Minister Ajit Pawar, who quit following reports about his alleged involvement in a Rs 20,000 crore irrigation scam. Maharashtra Chief Minister Prithviraj Chavan met the Governor this morning and handed over Pawar's resignation. "The Governor has accepted Ajit Pawar's resignation as recommended by the Chief Minister," a Raj...

-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...