Kathleen Kahle, a professor at the University of Georgia's business school, offers another reason: the growth of high-tech companies, which tend to hold lots of cash. Younger, riskier firms have more difficulty raising money when credit is tight, so they keep more cash on hand, she says. "At the same time, they have a lot of growth opportunities and want to make sure that they have the funds necessary to invest in good projects," she adds.
SHANGHAI: As it scales up presence in China, India's top private sector lender ICICI Bank today said there is also enough space for Chinese banks to play a complementing role in the Indian growth story. Ruling out any threat from Chinese banks for the Indian banking sector, ICICI Bank's chief Chanda Kochhar said that India's growth is largely reliant on bank funding at present and "there are enough opportunities" for everyone to participate in the growth process of the nation.
Wall Street pundits talk about it all the time: corporations are sitting on record levels of cash. According to Moody's, non-financial corporations are sitting on around $1.5 trillion worth of cash. Bulls argue that this means companies could unleash this cash in the forms of capital expenditures, mergers and acquisitions, dividends, and share buybacks.
MUMBAI: Bank of India, one of the largest state-owned lenders, has shut its door to builders and corporates with lower credit rating, a move aimed at saving capital and checking bad loans. In an internal note to its offices across the country, the management of Bank of India has directed that fresh funds -such as loans and non-fund exposure like guarantees -to such corporate borrowers should be put on hold till end of September.
NEW DELHI: India has "better investment climate" than other BRIC nations even as regulatory and tax system-related challenges are impacting immediate investment plans, says a survey of top executives of German companies. More than 90 CEOs and CFOs from leading German high-tech companies participated in the survey done by global consultancy EY and research firm Delphi. Investors recognize India's market growth, large market size and efforts to attract FDI while the perceived obstacles, are its infrastructure, administration and regulation, the study said.
NEW DELHI: Giving thumbs up to PM Narendra Modi-led NDA government, Moody's on Thursday revised India's outlook to 'positive' from 'stable', while maintaining the credit rating at Baa3. According to Moody's the policymakers are establishing a framework that will allow the country's growth to continue to outperform that of its peers over the medium-term and improve India's macro-economic, infrastructure and institutional profile.
NEW DELHI: Employees in India are most engaged as compared to their global counterparts and are willing to put in extra hours without more pay to complete a task, says a report by Dale Carnegie Training. According to the report, Indian workforce has a significantly higher number of fully engaged working professionals (46 per cent), while the global average is 34 per cent and that of United States stood at 30 per cent.
NEW DELHI: Coolpad, Meizu and Phi-Comm are three popular Chinese smartphone brands that forayed into the hot Indian smartphone market in less than a month. All three would do well to keep in mind the fate of their better known and larger global peers — Huawei, ZTE and Korea's LG — while trying to make a mark in the surging and intensely competitive market. Huawei, ZTE and LG, which are all box-office hits globally and ranked in the top 10 by Gartner, have turned out to be duds so far in India — one of the largest and most sought after smartphone markets in the world.
Alibaba Group Holding Ltd (NYSE:BABA) reported the results of its Indian operations today. The Chinese e-commerce giant recorded net profits in the region, despite falling gross profits due to selling a lesser number of units.