Mangalore : 'Power of Savings ' National Conference Inaugurated at SJEC
Media Release by by Smita Jesudasan, Senior Lecturer
Mangalore, Apr 29: The National Conference on ‘Economic Revival: Business Perspectives and Opportunities’ organized by the Department of Business Administration, St Joseph Engineering college was inaugurated on April 29, 2010 at 9.30 am in the Conference Hall, Mechanical Engg. Block, SJEC. Dr Gopal K Kadekodi, Former Director, Institute for Social and Economic Change, Bangalore in his Keynote Address highlighted the ‘the power of savings’ and commented on the underlying causes of the financial and economic crisis. He coined the term ‘Globalization of Domestic Crisis’ for the economic crisis scenario faced by the world since 2008.
He cited the examples of decline in the growth of output in the Western world, indicators of bank performances and the financial pressure coming from external debts in USA in comparison to India and China to clearly state that the crisis is only in the western world. He remarked that Indian economic growth has been financed predominantly by domestic savings unlike the USA who relied on the main driver of consumerism for recovery since World War II. The GDP growth rate continues to be around 7% as against 2.4% in USA and negative in 2008 and 2009.
He recommended several measures and policy actions that can boost savings such as correction of the disparity pattern of savings, creation of secondary value added employment, reversing the out migration trend, providing urban facilities to rural areas, formation of cluster model of production, processing and marketing and creating open access kiosks for knowledge production and access and effective right to information. He concluded the address by quoting the statement of ‘Paul Krugman’, the Nobel Prize Laureate in Economics, 2008, “…First they have to have up to the inconvenient reality that financial markets fall far short of perfection…Keynesian Economics remains the best framework we have for making sense of recessions and depressions…Third, they’ll have to do their best to incorporate the realities of finance into macroeconomics”.
Dr N.K. Thingalaya, Former Chairman, Syndicate Bank and Chairman, Academic Council, Justice K.S. Hegde Institute of Management, Nitte, and the Chief Guest of Inaugural Session in his address drew attention to the stability and growth of the Indian economy, banking and corporate sector. He narrated the statistics of various banks that have surpassed the profit margin of Rs 1000 crores. He compared the Central Banks measures of varying countries underlining the fact that RBI‘s provision for First Class Standard Assets is 0.04%. He added that fortunately the Public Sector Banks of India were not denationalized. He quoted the success rate of Regional Rural Banks and Grameen Banks, the delivery of credit mechanism in India who have implemented the system of ‘facility to save’ in addition to income and capacity to save.
He concluded his address by the statement, “Future is bright, and that the Indian corporate giants are creating a landmark in the world by competing with the world’s best brands.”
Dr Joseph Gonsalvis, Principal, SJEC in his Guest of Honour Address stated that the conference would throw light in the understanding of the intricacies of the market behaviour, impact of economic recession and wished the delegates a fruitful deliberation in the two day national conference.
Fr Valerian D’Souza, Director, SJEC in his Guest of Honour Address pronounced that it is a happy day for the MBA Josephite’s to organize the National Conference and that India is a shining star leading towards progressive growth. He hoped that the conference would benefit the august gathering and the deliberations would contribute to the growth of the nation.
Msgr. Denis Prabhu, Vicar General, Diocese of Mangalore in his Presidential Remarks reaffirmed the power of savings and asserted that it is the poorest of poor, viz., the craftsmen, farmers…insignificant people who saves and sustains the Indian Economy. He said, “Depression touches the White house and also the ordinary man’s kitchen” and recommended “Learn, Improve and be aware” to be in tempo with the changes in the economy, industry and market. He congratulated the team of MBA at SJEC to have shouldered the responsibility of organizing the conference.
Dr Prakash Pinto, Dean – MBA welcomed the august gathering. Rev. Msgr. Denis Prabhu, released the Proceedings of the National Conference. Dr Anjali Ganesh, Associate Professor gave a preview of the National Conference and proposed the Vote of Thanks.
One hundred delegates from various B-Schools and Colleges are attending the National Conference.