War casts shadow over new financial year

A new financial year also brings in new hopes and aspirations that all is going to be well. But the US-Iraq war seems to have dashed all hopes of Indian businessmen this time, most of whom sound very pessimistic.

This is the time of celebration, of new vision and future planning for the whole year, but due to the war this time, there is no enthusiasm... everyone just wants to survive the bad times, says Vijay Bhushan, a leading broker with the Delhi Stock Exchange.

There is hardly any business in the market, no new ventures are being planned and everyone is on a "cost cutting spree," rues Bhushan.

"The market has been dull since the last two to three years because of recession everywhere... things had slowly started improving after the Indo-Pak standoff was over last year. But the war has again spoiled things for business," says Madan Mohan, secretary, Rani Jhansi Market Association.

However, Rajendra K Sahoria, vice president of Karol Bagh Sarafa Association, is not all that pessimistic. "The uncertainty here was before the war... now it's more in US, Britain and Europe.

"Baisakhi is coming, the wedding season is also around the corner... things will automatically start looking up and the businessmen can be all happy in the new financial year," he says.

But Mohan says even if the war doesn't last very long, there are many pressing domestic issues which are going to affect business. Value        added tax is bound to spark off agitation all over, says Mohan, noting that deferring it by a month or so won't make much of a difference.

Says Bhushan, "If war continues for long, markets will not rise. Oil impacts Indian economy to a great extent and its prices have already started shooting up.

"Such things lower the confidence level... there is no index for measuring it, but at this time of the year, it is really, really low," he says.

While most say they are not making much effort and are taking things as they are coming, Sameer, a businessman says, "The new business year has to be greeted with happiness and optimism. "Whatever outlook we have on this day... the same way the whole year goes."

The new financial year is usually a very big day for businessmen, especially in India, explains Kumar. In most of North India, Goddess Lakshmi and Lord Ganesh are worshipped along with ledgers, log books and all that is used for doing business.

In Maharashtra too, it is a big day with people starting new ventures and doing Vastu puja, while in Tamil Nadu, the big day is celebrated on April 14 with prayers.

However, Pandit Shiv Saran, a priest carrying out these pujas for over two decades now, says "leave the US-Iraq war, not many are interested in welcoming the new financial year the traditional way anymore."

"While many have started celebrating it along with Diwali, others do it more as a formality. Computers have taken over log books and ledgers... there is nothing sacred about the whole affair," he says.