Dependence on China
Apropos ‘Breaking up with China isn’t easy’ (August 2), Chinese technological advancement and economic strength have helped it to capture a large slice of world trade. The decline of the US and its voluntary withdrawal from several international spaces paved the way for increased expansion of Chinese global influence.
Though the US has been aggressively trying to claw back its lost glory and push back China, it has not been successful due to its heavy dependence on China for trade.
India is also in a similar predicament, and it shares a long physical border with the dragon nation. Galwan and the subsequent events have made China’s intentions clear, but India’s trade with China has been galloping, in spite of the realisation that there is a need for reducing our dependence on China. However, there is an opportunity for India in the US’s “decoupling” efforts and to move away from China, where it has been heavily invested. India should actively canvass and invite US companies that are shutting shop in China.
Kosaraju Chandramouli
Hyderabad
Bad loan write-offs
This refers to ‘Banks wrote off over ₹10.5-lakh crore in FY19-23’ (August 2 ) There were times earlier when there was no question of banks writing off bad loans. Bankers made Herculean efforts to recover every paisa lent to the borrowers. Over the years, some big corporate clients have fraudulently diverted bank funds. Banks should monitor each and every loan, irrespective of size, lest wilful defaults will proliferate and eat away the profits of banks. The names of large wilful defaulters should be widely publicised. This could act as a deterrent and help curb frauds.
Katuru Durga Prasad Rao
Hyderabad
GST collection
It is heartening to note that consumption is picking up in the country, leading to increase in goods and service tax collection. That it stood at ₹1.65-lakh crore in July 2023 is a case in point. Of course, GST is an indirect tax and hence there is better compliance. One hopes that the government would use the tax revenue receipts to lessen the fiscal deficit or borrowings. Interest payment is an unproductive revenue expenditure which should by all means be reduced or avoided. Also, the government, which is keen on capital expenditure, must ensure that it completes projects on time.
S Ramakrishnasayee
Chennai
India-US trade
This refers to ‘The US is sliding, India is rising’ (August 2). India should make optimum use of Prime Minister Modi’s US visit by encouraging India-US trade, especially in the field of textiles, tourism, research in healthcare and education.
Research in the health sector can get a fillip by tapping the advanced centres ofi research n the US.
As there are a large number of Indian origin doctors settled in the US, the government should try to utilise their expertise. As for tourism, the sector can get a boost by easing visa regulations for Americans. India with its ancient history, heritage sites and culture can be turned into a tourist hub by giving vast publicity to its tourist hotspots.
Veena Shenoy
Thane