Indian shares slump; food bill raises fiscal deficit concerns
MUMBAI Aug 27 (Reuters) - India's NSE index fell as much as 2 percent as blue chip shares including HDFC Bank slumped on concerns that the passage of food security bill will weigh on the country's fiscal and current account deficits, raising fears of a sovereign rating downgrade.
The lower house of parliament approved a plan worth nearly $20 billion on Monday to provide cheap grain to the poor.
HDFC Bank Ltd fell 5.5 percent, while ITC Ltd lost 1.3 percent.
The broader NSE index fell 2 percent, while the benchmark BSE index slumped 1.8 percent. (Reporting by Abhishek Vishnoi; Editing by Subhranshu Sahu)
- Tweet this
- Share this
- Digg this
- India approves $2.6 bln mounted gun purchase - official
- Computer spying malware uncovered with 'stealth' features - Symantec
- 'Hunger Games' tops U.S. box office with $123 million opening
- Obama to Republican critics on immigration: 'Pass a bill'
- Celebrity song to aid fight against Africa Ebola crisis tops UK charts
India approved on Saturday the purchase of 814 mounted gun systems for the army at a cost of 157.5 billion rupees ($2.55 billion), a defence ministry spokesman said. Full Article