The BBG submarine cable system, spanning nearly 8,000 km, will link Malaysia (through Penang) and Singapore to the Middle East (Oman and United Arab Emirates) with connections reaching out to India (Mumbai and Chennai) and Sri Lanka
International telecom carriers continue to play an integral role in providing connectivity, diversity and elevating the region’s telecommunications efficiency level when they formed a consortium for the establishment of the “Bay of Bengal Gateway” (BBG) submarine cable system. The collaboration was made official when the consortium members - Telekom Malaysia Berhad (TM) (Malaysia), Vodafone Group (UK), Omantel (Oman), Etisalat (UAE), Reliance Jio Infocomm (India) and Dialog Axiata (Sri Lanka)—signed the Construction and Maintenance Agreement (C&MA) and the Supply Contract for BBG in Kuala Lumpur today.
The BBG submarine cable system, spanning nearly 8,000 km, will link Malaysia (through Penang) and Singapore to the Middle East (Oman and United Arab Emirates) with connections reaching out to India (Mumbai and Chennai) and Sri Lanka.
The construction of BBG is planned not only to provide connectivity between South East Asia, South Asia and the Middle East, but also to Europe, Africa and to the Far East Asia through interconnections with other existing and newly built cable systems landing in India, the Middle East and the Far East Asia. BBG will also serve as an extraordinary opportunity for business growth as it will help supporting current and future high capacity requirements from the surrounding areas of the region as well as next generation Internet applications.
The construction of this cable system is a clear indication of the growing demand for bandwidth at the participating countries. The markets are expected to see strong growth with the continuous efforts in embracing the broadband technologies and infrastructure expansion.
The BBG cable system is designed to provide upgradable and transmission facilities by adopting the state-of-the-art 100Gbps technology. This cable system is expected to carry commercial traffic by the end of 2014.
The decline in the growth forecast is largely due to the decline in agriculture sector which is expected to grow at 2% during 2013-14 against the previous estimate of 2.7% despite normal monsoon projection
The World Bank today scaled down India’s growth forecast to 6.1% for the current fiscal from 7% projected six months ago.
The decline in the growth forecast is largely due to the decline in agriculture sector which is expected to grow at 2% during 2013-14 against the previous estimate of 2.7% despite normal monsoon projection.
However, the multilateral funding agency said that India is regaining economic momentum and growth is expected to recover gradually to its high long-term potential.
As per the latest India Development Update of the World Bank, the Indian economy would grow by 6.1% in 2013-14 on account of robust domestic demand, strong savings and investment rate.
Growth projections for 2013-14 have been arrived at by taking into account present internal and external factors.
“Economic growth is likely to accelerate to over 6% during the current financial year (April 2013-March 2014). Growth is expected to increase further to 6.7% in 2014-2015,” said Denis Medvedev, Senior Country Economist, World Bank, India.
“Recent data point to some improvements in economic activity: inflation and trade deficit came down in recent months, while private consumption and investment growth had accelerated in the third quarter of 2012-2013,” he said.
According to the Update, a twice yearly report on the Indian economy and its prospects, GDP growth during 2012-13 would be around 5%, the lowest in the decade.
As per the International Monetary Fund (IMF) report released on Monday India’s GDP is likely to improve to 5.7% during the calendar year ending December 2013 and further to 6.2% a year after.
Will Investors Finally Get Their Money?
A15th April order by the Securities and Exchange Board of India (SEBI) has finally closed a chapter on the liability of Osian’s Art Fund—an investment adventure backed by unprecedented media hype, mainly through the Page3 presence of art impresario Neville Tuli, its long-haired founder. So great was the hype, that when ABN Amro Bank began to sell the Fund, it found willing takers among CEOs of mutual funds, brokerage houses and partners in global consulting giants.
The three-year close-ended fund raised Rs102 crore in 2006 and was wound up in July 2009 with the promise to redeem the investment in 120 days with a paltry 6% return, which was never paid. Moneylife began to follow this Fund from November 2009 when it was clear that the payment wasn’t forthcoming. Initially, some investors received 40% and 100% using aggressive tactics. But soon, it was only promises.
Mr Tuli first reacted with anger and even had his lawyer send us a long note. But, to his credit, the firm responded to investors, even if it was with yet another promise to pay. We also pointed out that SEBI had failed to follow up on its initial show-cause notice to Osian’s. Finally, nearly four years later the sponsor company—Osian’s Connoisseurs of Art Private Limited—has been ordered to wind up the scheme and pay investors within three months.
This raises many interesting questions. The society pages of newspapers have reported many comeback attempts by Mr Tuli. Experts also point out that there may be a global financial crisis, but there is no slump in the value of artworks of artists like MF Hussian, Bikash Bhattacharjee, VS Gaitonde, Akbar Padamsee, Jogen Chaudhary, Somnath Hore and Tyeb Mehta, which were reportedly part of Osian’s investment. Three months down the line, we will tell you whether Osian’s complies with the order and liquidates its art to pay back investors or finds a way to buy more time. Or, more frighteningly, is it out of assets, money or artworks.
Moneylife has, by far, written the maximum number of articles on Osian's Art Fund which was launched, we argued, in violation of Sebi's rules for Collective Investment Schemes. Sebi has taken three years to finally move. Here is a partial list of our previous articles on Osian's.