Inter-caste marriages

Amit Ahuja’s findings (‘Why caste matters less in urban India’, July 20) reveal a gradual change in mindset on inter-caste marriages. Whether such marriages will foster better relations and changed attitudes among castes is debatable. It is disturbing that some marry or entertain proposals from those outside their caste to upgrade their standing in society.

Marriages are meant to last, in principle, and as such should be based on compatibility. An inter-caste marriage should be the result of genuine disregard for caste and of course the basic reason of wanting to spend a lifetime together. To incentivise such marriages as a way of breaking the caste barrier is not a fool-proof idea. Let such marriages happen in spite of caste and not because of caste.

Anand Srinivasan

Bengaluru

Knee-jerk reaction

NGT’s ban on old diesel vehicles is nothing but an effort to find a scapegoat (‘Time for action’, July 20). After all, only 2 per cent of total emissions comes from diesel cars, which is too minuscule even for consideration. We have not been able to implement the BSIV fuel plan till date. If this ban comes into effect, there would be loss of jobs for thousands of people along with loss of huge investments made by automobile companies. It is a knee-jerk reaction.

Bal Govind

Noida, Uttar Pradesh

Push up production

In a populous country such as India, core growth aided by influx of the working class into the job stream is always taken for granted. But this growth is primarily in the services sector which has got the capacity to increase the demand for goods. It is now time to map other economic parameters such as growth in manufacturing and farming for increase in employment and skill development aided by technology or human skills.

Incidentally, China’s growth in the last two decades is primarily attributed to the creation of manufacturing hubs which reduced margins by mass manufacturing and by cutting down on transport costs. This is possible in India only by creating manufacturing hubs both for factory goods and farm produce. We can make a beginning by allotting barren lands to companies with a mandate to start farm production akin to tea or coffee plantation. Such moves can accelerate farm production and exports.

P Esakki Muthu

Chennai

Liquidity and lending

Infusing Rs.₹22,915 crore may help banks maintain their capital adequacy ratio and enhance their fund-raising capability for different tiers of capital. But this cannot be an effective tool to support liquidity and lending. Considering the deposit of banks at ₹87,45,700 crore and stipulation of 21 per cent of statutory liquidity ratio, a major chunk of bank resources are deployed in government securities. Even 1 per cent reduction in SLR will release funds to the tune of ₹87,000 crore for lending.

S Kalyanasundaram

Email

PSBs should straighten up

‘Bank crisis calls for twin-track approach’ by R Viswanathan suggests interesting options for PSBs to raise capital. PSBs that are performing well and are efficient should be able to tap the market easily. The Government should take back their investment at a premium when such shares are issued at a premium. The plea that the losses suffered by PSBs are a result of supporting government-sponsored lending programmes and priority sector targets is not entirely true. Lending decisions are taken independently by committees and boards of banks. If a bank has no expertise or is short of capital, it should refrain from sanctioning large loans. Decisions have to be based on commercial considerations. It is not a good idea to always get capital infusion through tax-payers’ money.

George Varghese

Kochi

Erratum

b In the article, ‘Bank crisis calls for twin-track approach’ (July 20), an editing error suggests that the World Bank commissioned the Narasimham Committee. The fear psychosis in PSBs was pointed out by the bank earlier and by the committee independently. The error is regretted.

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