Schedules forming part of the Financial ... - Thomas Cook India
Schedules forming part of the Financial ... - Thomas Cook India
Schedules forming part of the Financial ... - Thomas Cook India
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10<br />
SPECIAL GOVERNMENT INITIATIVES<br />
The reform measures and policy initiatives taken by <strong>the</strong> Ministry <strong>of</strong><br />
Tourism in <strong>the</strong> areas <strong>of</strong> public private <strong>part</strong>nerships, alternate delivery<br />
mechanisms, social and gender empowerment processes, greater<br />
decentralization and transparency are as follows:<br />
� In order to give greater impetus to development and promotion<br />
<strong>of</strong> tourism through public private <strong>part</strong>nership, a National<br />
Tourism / Advisory Council which includes <strong>of</strong>ficials <strong>of</strong> various<br />
Ministries and De<strong>part</strong>ments concerning tourism and experts<br />
in <strong>the</strong> field <strong>of</strong> travel and tourism management from private<br />
industry continues to play its advisory role for <strong>the</strong> important<br />
aspects.<br />
� For promotion <strong>of</strong> MICE (Meetings, Incentives, Conventions and<br />
Exhibitions) <strong>the</strong> Ministry <strong>of</strong> Tourism has decided to provide<br />
assistance for construction <strong>of</strong> one convention centre at any well<br />
connected and accessible tourist destination in each State/UT.<br />
� For opening up <strong>of</strong> destinations in inaccessible remote areas,<br />
<strong>the</strong> Ministry <strong>of</strong> Tourism has decided to provide assistance for<br />
construction <strong>of</strong> heliports.<br />
� The Ministry is taking initiatives for development <strong>of</strong> nationally<br />
and internationally important destinations and circuits through<br />
Mega Projects. To date 38 mega projects have been identified<br />
and <strong>of</strong> <strong>the</strong>se 23 projects have been sanctioned. Efforts are<br />
being made for convergence with JNNURM (Jawaharlal Nehru<br />
National Urban Renewal Mission, a massive city modernisation<br />
scheme launched by <strong>the</strong> Government <strong>of</strong> <strong>India</strong> under Ministry<br />
<strong>of</strong> Urban Development, as a programme meant to improve <strong>the</strong><br />
quality <strong>of</strong> life and infrastructure in <strong>the</strong> cities) and development<br />
programmes/projects <strong>of</strong> o<strong>the</strong>r Ministries.<br />
� The Ministry <strong>of</strong> Tourism is focusing on development <strong>of</strong><br />
infrastructure in <strong>the</strong> identified destinations and circuits all over<br />
<strong>the</strong> country with due focus on North Eastern Region and Jammu<br />
& Kashmir. The new emerging areas like Rural Tourism, Heritage<br />
Tourism, Eco-Tourism and Wellness Tourism are getting priority<br />
under this scheme.<br />
� The Ministry <strong>of</strong> Tourism is continuing its efforts for providing<br />
assistance to tourism infrastructure in rural areas including<br />
capacity building <strong>of</strong> rural inhabitants to ensure development<br />
<strong>of</strong> rural tourism products, which fall on <strong>the</strong> way to well-known<br />
tourist circuits in <strong>the</strong> country. The aim <strong>of</strong> this initiative is to ensure<br />
social and gender empowerment and greater decentralization<br />
for <strong>the</strong> tourism products in <strong>the</strong> country.<br />
(Source: Outcome <strong>of</strong> Budget 2011-12, Ministry <strong>of</strong> Tourism)<br />
PRESENT SCENARIO<br />
<strong>India</strong>’s GDP growth for 2011-12 is estimated to be lower than <strong>the</strong><br />
previous period. The Reserve Bank <strong>of</strong> <strong>India</strong> has cut <strong>the</strong> baseline<br />
projection <strong>of</strong> GDP growth for <strong>the</strong> year 2011-12 from 7.6 per cent<br />
to 7.0 per cent in <strong>the</strong> wake <strong>of</strong> <strong>the</strong> increase in global uncertainty,<br />
weak industrial growth, and slowdown in investment activity and<br />
deceleration in <strong>the</strong> resource flow to <strong>the</strong> commercial sector. (Source:<br />
RBI website).<br />
The year 2011 witnessed rupee depreciation against major currencies.<br />
Net FII inflows turned negative from ` 1796.7 billion in 2010 to `<br />
393.5 billion in 2011 (Source: SEBI website).<br />
The national Indices, BSE SENSEX and NSE S&P CNX NIFTY, decreased<br />
<strong>Thomas</strong> <strong>Cook</strong> (<strong>India</strong>) Limited<br />
from 20,509.09 and 6134.50 at <strong>the</strong> beginning <strong>of</strong> <strong>the</strong> year to 15,454.92<br />
and 4624.30 points respectively (Source: BSE & NSE websites).<br />
FINANCIAL SERVICES<br />
Forex market in <strong>India</strong> is a regulated market and volumes are closely<br />
tied up to Dollar-Rupee exchange rate.<br />
Your Company is <strong>the</strong> market leader in forex and <strong>of</strong>fers various<br />
services like currency exchange, money transfer, remittance, Travelers<br />
cheques, pay orders, wire transfers and pre-paid cards. It caters<br />
to <strong>the</strong> forex needs across various segments <strong>of</strong> customers such as<br />
business travelers, leisure outbound travelers, travelers for migration,<br />
employment and medical treatment, students travelling abroad for<br />
studies, inbound tourists, persons who want to remit money overseas<br />
for maintenance <strong>of</strong> family and relatives residing abroad, banks, non<br />
bank retailers and money changers.<br />
Your Company remains as one <strong>of</strong> <strong>the</strong> largest exporters in <strong>the</strong> world for<br />
currency notes. It also imports currency notes to fulfil <strong>the</strong> demand for<br />
certain South East Asian currencies in <strong>the</strong> country. It handles majority<br />
<strong>of</strong> <strong>India</strong>’s foreign currency bank notes. It has a largest distribution <strong>of</strong><br />
174 locations in 77 cities amongst <strong>the</strong> forex players in <strong>the</strong> country.<br />
The year 2011 too like <strong>the</strong> previous two years witnessed a volatility<br />
in <strong>India</strong>n Rupee (INR) Vs all <strong>the</strong> major currencies (Vs USD 24%, GBP<br />
22% and EURO 23%). The year 2011 saw INR at its life time low at<br />
54.30. Global sentiments due to <strong>the</strong> European economic crisis and<br />
<strong>the</strong> subsequent pulling back <strong>of</strong> Foreign Institutional investors inflows<br />
coupled with <strong>the</strong> economic challenges on <strong>the</strong> domestic front led to<br />
<strong>the</strong> weakening <strong>of</strong> Rupee. During this period various forex players<br />
witnessed a surge in <strong>the</strong> currency purchase and consequently bulk<br />
volumes increased due to INR weakening.<br />
On <strong>the</strong> retail side, <strong>the</strong>re was a moderate rise in demand <strong>of</strong> foreign<br />
exchange by corporate. They remained cautious in spending monies<br />
on overseas travel due to challenging economic environment both in<br />
<strong>India</strong> and in European and USA markets. Students who travel to UK<br />
and Australia for higher studies witnessed a reduction due to stringent<br />
visa norms as well as racial attacks. Leisure outbound travellers<br />
segment witnessed a surge in demand for overseas holidays in 2011.<br />
Your Company took various initiatives during <strong>the</strong> year 2011 such as<br />
network expansion, investment in marketing and visibility <strong>of</strong> products<br />
<strong>of</strong>fered, product innovations, new corporate customers etc. To delight<br />
<strong>the</strong> customers, <strong>the</strong> Company took various initiatives on improving<br />
customer service and training <strong>the</strong> employees on various skills.<br />
Overall, your Company handled 1.6 million transactions in 2011<br />
representing a growth 17% over 2010 for all <strong>the</strong> customers. The<br />
Company continued its focus on margin and cost management during<br />
<strong>the</strong> year.<br />
In addition to <strong>the</strong> above, your Company streng<strong>the</strong>ned its inward<br />
remittance business. According to <strong>the</strong> latest issue <strong>of</strong> <strong>the</strong> World Bank’s<br />
‘Migration and Development Brief’, released on December 1, 2011,<br />
<strong>India</strong> is expected to receive USD 58 billion this year and expected to<br />
remain <strong>the</strong> top recipient for <strong>the</strong> fourth consecutive year. Company<br />
took advantage <strong>of</strong> this boom and increased <strong>the</strong> distribution channels.<br />
It has appointed State Bank <strong>of</strong> <strong>India</strong>, a largest public sector bank<br />
in <strong>India</strong> as a sub-agent to MoneyGram which will enable <strong>the</strong>ir huge<br />
network <strong>of</strong> about 13,000 branches to receive <strong>the</strong> inward remittance.<br />
Your Company for <strong>the</strong> third year in a row won <strong>the</strong> “Best Forex<br />
Company” award by CNBC Awaaz.