Making Hyderabad the joint capital of Telangana and Seemandhra is the right thing to do. Only this will assuage the feelings of the Seemandhra people who played a major role in developing Hyderabad. This move will also help avoid wastage of huge public money in creating a new capital. What the Telangana people wanted was separate administration which has now been given. Let them now share Hyderabad with the people of Seemandhra.
V. S. Ganeshan
Bangalore
This is with reference to the editorial “Unshackling Big Retail” ( Business Line , August 5). The Government’s move in easing FDI norms in multi-brand retail is indeed a game-changer in the long run. Allowing multi-brand retailers to operate in any city or town will increase the quantum of their investment and enable farmers to integrate the farm economy with urban markets. Raising the SME investment limit will encourage the FDI investor to enter into long-term contract with suppliers. Of course, the existing domestic malls and shops will have to compete with foreign multi-brand retail investors.
N.R. Nagarajan
Sivakasi
Crippling move
The RBI’s instruction (“RBI approves reforms in primary co-ops”, Business Line , August 5) effectively cripples the functioning of cooperative banks. Primary cooperative banks (PCB) are the last resort in financial inclusion and farmers look upon them as their saviours. Though nationalised banks have made inroads, PCBs have been effective due to their proximity to villagers and a foolproof KYC system because staff and customers co-exist. Many pensioners have parked their retirement benefits in PCBs. NABARD should revamp and rectify anomalies instead of closing shop.
When financial inclusion is the need of the hour, such drastic steps will have adverse effects. Relying on business correspondents rather than on an established institution does not make prudent business sense. Further, the fate of around one lakh employees will be at stake.
S. Veeraraghavan
Madurai