WB projected economic growth rate of 5.7% for India in 2014-15 fiscal

1.    WB projected economic growth rate of 5.7% for India in 2014-15 fiscal

i. The World Bank on 9 April 2014 projected that the economic growth rate of India for the fiscal year 2014-2015 will be 5.7 percent.

ii. In its forecast the World Bank said that the growth would be backed on the more competitive exchange rate and many large investments going forward. 

iii. World Bank in its latest edition of South Asia Economic Focus has said that the Indian conditions would be bolstered by the permanently more competitive exchange rate and progress towards clearance of important investment projects; India may see an acceleration of growth (factor costs) in financial year 2013-14 to 4.8 percent further increase to 5.7 percent during fiscal year 2014-15.

iv. Apart from this, the International Monetary Fund (IMF) in its release has also forecasted that the Indian economy would recover from 4.4 percent growth in 2013 to 5.4 percent in 2014. 

2.    Viktor Orban re-elected as Prime Minister of Hungary

i. Viktor Orban was re-elected as Prime Minister of Hungary for the second consecutive four-year term. The results of general elections were announced on 8 April 2014. The General parliamentary elections were held on 6 April 2014.

ii. Out of the total votes casted, Orban's Fidesz party won 133 of 199 parliament seats. The left alliance which was led by Attila Mesterhazy won 38 seats while the far-right Jobbik party won 23 seats.

iii. Orban was first elected as the PM of Hungary in 1998 and for the second time in 2010. His re-election for the second consecutive term does not augur well for the already strained relationship between European Union (EU) and Hungary. 

3.    State Bank mops up record $1.25bn in overseas bond sale

i. Nation’s largest lender State Bank of India has mopped up $1.25 billion in overseas debt sale through a dual tranche bond programme, making it the largest ever offering from a domestic issuer.

ii. The bank raised $750 million in 5-year money at US treasury interest rate plus 205 basis points, while it priced the 10-year $500 million issue at 225 bps over the treasury, one of the merchant bankers .

iii. SBI has broken the record set by Oil India earlier this week by raising 25 per cent more than the oil explorer.

iv. The SBI issue is also cheaper than OIL issue as the oil PSU had priced the five-year of $500-million at US treasury rate plus 222.5 bps, and the 10-year money of the same size at treasury plus 272.5 bps.

v. On Tuesday, Oil India had raised $1 billion from a dual tranche issue, making it the single largest dual tranche Reg S issue from the country by then.

4.    Infosys on the hunt for new CEO

i. Infosys said it has begun the search process to select a successor to its Chief Executive Officer and Managing Director S.D. Shibulal.

ii. In a statement, the company said, “The Nominations Committee of the company’s Board of Directors has begun the search to select the successor to Mr. S.D. Shibulal, CEO and MD.”

iii. It added that Mr. Shibulal has expressed his desire to retire as the CEO and MD of the company and as a member of the Board of Directors either on the date of the last board meeting before his superannuation - January 9, 2015 - or when his successor is ready to assume office, whichever date is earlier.

iv. Till now, the CEO position at the company has been held by it co-founder - starting with N.R. Narayana Murthy, followed by Nandan Nilekani, Kris Gopalakrishnan and now Shibulal. Once the selection is made, it will be the first time that a non-founder will occupy the post.