The Possible Hike In EMI On Bank Loans – My Question For The Indian Banking Fraternity

With the Reserve Bank of India (RBI) hiking the Repo Rate, there has naturally been a possibility of commercial banks hiking their rates of interest (i.e. EMI) for various categories of loans, including car loan and home loan.

Despite being a layman with little grasp of financial issues, I had no problem in understanding the direct relationship between a hike in Repo Rate and a hike in the rates of interest for the loans provided by banks. In fact it is an issue that anybody will find to be crystal clear.

However, there is something that I will like the banking sector mandarins to take note of.

If RBI has hiked the Repo Rate, then it has also hiked the Reverse Repo Rate, right? Therefore, at the end of the day the matter is back to the square one, with neither a gain nor a loss for banks.

And in that case, the banks should not hike their rates of interest for loans. Because if a hike in the Repo Rate has caused a “compulsion” for them, then at the same time a hike in the Reverse Repo Rate has caused a “dilution” of that “compulsion”.

Yes, am I wrong in my analysis?

I came to know that the hike in the Reverse Repo Rate might result in a hike in the interests offered by banks on fixed deposits. Well, I do not think that will be of much help. Because the income made from the interest on one’s fixed deposits is taxable, and the tax will increase with the increase in that income.

The middle class is more interested in a less taxing EMI. And therefore I will humbly request banks to try to retain the present rates of interest on the loans offered by them.

Yes, they are welcome to change it, if they reduce it (just kidding).

Should Tulu Be Made The Second Official Language Of Karnataka?

I am not a native of Karnataka, and therefore probably do not have the right to make any remark on this issue.

However, on the basis of common sense I feel that the Tulu language should be made the second official language of Karnataka. The state has sizeable Tulu speakers, mainly concentrated in the districts of Udupi and Dakshina Kannada. And one key town of the state where the language has a prominent number of speakers is Mangalore. In a nutshell, the Tulu language does have a strong position in Karnataka. And therefore that position must be duly recognized by giving it the second official language status in the state.

The step will also help the Tuluva people in carving out a separate identity for themselves, in a stark contrast to the present situation where they are often confused with the Kannadigas. And this in turn will also stimulate the thriving and nourishment of the Tuluva culture (which includes the famous Udupi cuisine), which is right now probably a bit overwhelmed by the Kannadiga culture.

Key To Language Survival – Let’s Make One Another Feel Proud Of Our Native Tongues

It is a common knowledge that many languages of the world are now facing existential threat. And the reason for the same is also well known. Actually the young speakers of many languages are now more into speaking English and/or other major languages, for both professional as well as social reasons. And this is naturally resulting in a reduction in the use of their mother languages, eventually resulting in a threat for their existence.

A host of international and national organizations and initiatives have been set up, which are trying their level best to ensure the survival of the “threatened” languages. Many non-profit organizations, groups and associations are also working hard on this issue. Opinion makers like educationists, litterateurs, etc. are also often found to deliver speeches aimed at motivating youths to speak their mother languages.

However, I have a simple formula. I do not know how much effective it will be. Nevertheless I will love to put it forward for the feedback and views of other people.

I suppose (and I know most of you will agree) that the best way to motivate a person to speak his native tongue is to make him feel proud of the same. However, a person might not be that motivated if his language is praised by another person from the same community, as the former might feel that the other guy is praising the language as it is his language as well.

But the picture might be very different if I find that a speaker of a different language is praising my language, and is also showing eagerness to know about the same. For example, I was always proud of my mother language Bengali. But my pride got a huge boost when, after settling down in Delhi, I came across a number of north Indians who kept praising the richness and sweetness of my language.

So my simple formula to make people proud of their mother tongues is – let’s start learning at least a little about other peoples’ languages (of course as many as we can), and then discuss a few words on his language when we meet a speaker of a language which is not exactly a major language. This might make him feel proud of his language, eventually enthusing him to take more interest in the same.

I know that even if the scheme gathers any success, it will remain a very insignificant effort. But even an insignificant effort is an effort all the same. Right?

China’s Emergence As The World’s Top Aid Donor – Warning Bell For India?

A significant international development, at least for India, is the steady rise of China as the world’s top aid donor.

On one hand the USA – a prominent source of international aid – is suffering from a weakening economy. On the other hand another key international aid donor Japan has decided to restraint its supply of aids to the developing world. This combined development has resulted in an ample room for China to establish itself as a top international aid donor, with the Asian and the African regions in its focus area. In fact, it has already become a key aid donor to the developing nations of the African continent.

While it is otherwise a great news to find the emergence of yet another country as a prominent international aid donor, it is probably not a pleasant development for India given the fact that the country in question is China. And the reason is very simple. Its newly achieved status as a key aid donor will enhance China’s political status as well, and it is taken for granted that it will use its enhanced political status and weight to serve its political objectives. This will in fact be quite an easy game for China, with the countries dependent on Chinese aids having a moral and/or obligatory compulsion to toe China’s political stands on international issues.

And this is likely to be a matter of concern for India, as China’s political objectives are not always at par with India’s interests. On the occasion of an Indo-China face-off, China may try to gather the support of those countries dependent on its aid, thereby exerting a strong international pressure on India. And the heat sometimes may be too much for India.

So what can be done? Well, there seems to be only one way out. India should try to convince the USA that a significant expansion in China’s sphere of international influence is not likely to be a very healthy development for “Uncle Sam”, as well. And therefore the USA must try to ensure that China does not manage to achieve the status of a top international aid donor, a status that the Chinese government is trying to achieve very hard.

But how will the USA do it? Well, let’s leave it to the US government itself. The US government is well known for handling such developments in the past, and is very much likely to chalk out a suitable plan to address this issue.

Let’s Not Confuse Globalization With Cultural Homogeneity

Cultural Enrichment – When one culture learns something new from another culture, without losing its own characteristics.

Cultural Dilution – When one culture picks up new characteristics and practices from another culture, and loses its own characteristics in the process.

While Globalization has given us the opportunity to experience the first one, it has also made us vulnerable to the latter.

Now it is our responsibility to have a balanced approach towards Globalization, wherein we can successfully pick up the gems of other cultures that we come across, without losing the assets of our own culture.

On one hand we must not indulge in any flawed idea of cultural purity, therein tying to make futile attempts to “save” our culture from any sort of foreign influence. Rather we should have a proactive approach towards learning new things from other cultures.

However, on the other hand we must be able to retain our own cultural specialties, which help us have our own national identity in this multicultural world.

Let’s remember that Globalization stands for a harmonious and thriving co-existence of various cultures, and not a dull Cultural Homogeneity.

Sports Tourism In India – A Seemingly Undertapped Potential

The Indian government has seemingly not made full utilization of the rich Sports Tourism potential that this country is fortunate to enjoy. Given the fact that India enjoys a highly rich geographical diversity, there is little wonder that we witness the practice of such a vast range of sports on our soil – ranging from skiing in the snow covered Himalayan regions to water sports like scuba diving and snorkeling in the coastal regions.

And this vast range of sports opportunities offers a great destination marketing proposition to the “Incredible India” campaigners, i.e. the mandarins of the Indian Tourism Ministry.

The Indian Tourism Ministry can use these sports facilities to lure a huge number of potential foreign tourists who are sports freak, and will love to practice their favourite games in an ideal locale. So the question is, does the Tourism Ministry promote and market these sports facilities properly among the potential target audience?

One can argue that these sports facilities are already well known among foreign tourists. After all, it is a common experience to find foreign tourists participating in skiing and trekking in Himachal Pradesh, scuba diving and snorkeling in Goa or Lakshwadeep, etc. Yes, it is true. But we must remember that most of these tourists come to India primarily for traveling, and avail these sports facilities on the sidelines of their travel (or as part of their travel). It is not that common to come across foreigners who have come down precisely to play these sports (though sometimes we ofcourse find foreigners to have come down for trekking, mountaineering, etc.).

Personally I feel that the Tourism Ministry should market these sports facilities very aggressively, with a special team having exclusive focus on this area. The Ministry should try to ensure that almost all foreign enthusiasts of relevant sports (skiing, scuba diving, snorkeling, etc.) not only come to know about these sports facilities, but also get enthused to come down to India simply to experience them.

For that the Ministry has to carefully craft very captivating marketing campaigns, which will unfailingly catch the fascination of the target audience. The Ministry should also be careful about marketing the right “product” to the right “potential customer”. For example, while marketing the skiing facilities in Himachal Pradesh, the Ministry can target the USA and the European countries, where people are known for their love for skiing. And while marketing water sports facilities like scuba diving and snorkeling, primary focus may be given on countries like Australia and New Zealand, where people are known to be passionate about water sports. It may be true that while marketing a geographical feature (such as mountains), our main focus should be on countries where people are not familiar with it (for example Singapore), and will therefore be thrilled to come to India to see the feature themselves. However, while marketing a sports facility we must focus mainly on the country where people are familiar with the sports, and can identify themselves with the same. In case they are not interested in the sports, they will not get enthused. (Just imagine marketing a gala Cricket Event in the USA).

Since Sports Tourism caters to a niche market, it is comparatively easier to formulate “cumulative” marketing and promotional campaigns covering a huge chunk of appropriate target audience at one go. For example, while marketing Goa-based scuba diving facilities in Australia, the Ministry can make a direct campaign at the scuba diving associations and organizations of Australia.


I suppose the Tourism Ministry should immediately form a special team exclusively focused on promoting and branding India as an ideal “Sports Destination”. And it should come up with various customized punch lines depending on the target audiences, such as “Himachal Pradesh – Your Ideal Skiing Destination” or “Goa – The Heaven of Scuba Diving”.

The “Ideal Utilization” Of Tourism Generated Revenue

Tourism has the proven potential to usher in significant economic development for an area.

However, we can “tap” that potential only if we channelize the Tourism generated revenue in the appropriate manner. And unfortunately a gross problem with us is that most of us perceive Tourism just as a means to generate revenue, without bothering much about the “ideal utilization” of the revenue that has been generated.

We must remember that the revenue generated by the tourism activities in a place should ideally be utilized for the economic growth of the local people. Yes, that is the only way to translate the Tourism activities in a place into a strong economic development of the latter.

Fine. But how can we maximize the utilization of the revenue for the benefit of the local people?

Well, for that we have to ensure that the largest possible chunk of the revenue generated by Tourism goes to the hands of the local community.

Fine again. But how can we ensure that the local community gets the largest possible share of the revenue generated by the local Tourism activities?

Well, the flow of the Tourism-generated revenue to the local community is directly proportional to the involvement of the latter. In a simpler language, more the local people will be associated with the local Tourism activities, more will be their share in the revenue generated by those activities.


So if the government is serious about using Tourism as a means to uplift the economic condition of the local people in remote and/or underdeveloped areas, then it must craft the tourism infrastructure in those places in such a way that it has ample room for the involvement of the local people. In fact, involvement of the local community must be made one of the “thrust areas”, enjoying the same focus and importance as enjoyed by other key issues like building of roads and air/railway connections, setting up of hotels, formulation of marketing/promotion strategies, etc. It should be the government’s responsibility to identify each and every way to involve the local community, e.g.

• As employees in local hotels/restaurants (like in-house tourist guide of a hotel, waiter in a restaurant, etc.)
• As entrepreneurs, either selling commodities directly to tourists (like selling local handicrafts in the market) or playing vendors to other players who are directly interacting with tourists (like supplying food ingredients to local hotels/restaurants)




As of now, the success of a tourist spot is judged mainly (if not only) on the basis of the tourist inflow and the eventual revenue generation, i.e. how many tourists it has received in a specific period of time, and the revenue generated therein. Now the government should add another parameter, i.e. what percentage of the Tourism-generated revenue has been utilized for the economic upliftment of the local people. After all, what is the benefit of the revenue if the same is not utilized for the gains of the local people?

Now it is often found that the civil society (NGOs, intellectuals, etc.) keeps a track of the environmental-friendliness of a Tourism project, i.e. whether the project is causing any damage of any sort to the natural resources, etc., of that spot. It is time the civil society also got watchful about whether a successful Tourism project is resulting in appropriate economic gains for the local community, and questioned the government if that is not the case.

Tourism at a spot cannot flourish without the co-operation of the local people. And if they do not get proper “dividend” from the local Tourism business, then they will not only feel isolated from it but will also get hostile to the same. And for any business initiative (Tourism-related or otherwise) no threat can be graver than the hostility of the local people.


So the issue of “revenue sharing” is not only a question of ethics, but also of sustainability.