Hear from a young mind at Krea on what transpired in an exclusive interaction with Dr Raghuram Rajan. Kathan, a freshman from SIAS reports.

Hear from a young mind at Krea on what transpired in an exclusive interaction with Dr Raghuram Rajan. Kathan, a freshman from SIAS reports.

When it was announced that Dr Raghuram Rajan was going to visit Krea for a talk, one could feel the energy shift in the student community. Dr Rajan, the former RBI Governor and a member of the Governing Council at Krea, was one of the most significant reasons that attracted us to the promise of Krea University. To listen to him in person, know about his experiences and draw from them is what all of us had eagerly waited for. And now the moment had arrived. 

Welcomed by cheerful applause, Dr Rajan began his talk with a succinct presentation on India and its economic vision. In the light of the 2022 Union Budget, he elucidated how India is changing – what is right with it and what is wrong. From the employment rates to the COVID-19 data, he highlighted the importance of statistics and what they reveal about the current world. Dr Rajan emphasized the importance of education and schooling in the future by narrating observations and anecdotes from his own life. Citing a few schemes and policies, he talked about how the present India connects to its past and how the same mistakes should be avoided in the future. With the graduation of the first batch of SIAS right round the corner, Dr Rajan laid out an outline of the situation of youth and jobs in the current India. Towards the end of the presentation, he gave a few brief alternatives to the existing vision that mainly involved the need to “focus on upskilling” the people and shifting to providing greener services.

The presentation was followed by a fruitful Q and A session where the students got a chance to directly interact with him. This was one of the best parts about the talk since it was visible how Dr Rajan’s presentation had intellectually stimulated the students to discuss the real issues in the world. From questions on the startup ecosystem and cryptocurrency to concerns about youth, employment and education, as time went by more and more number of hands went up. His witty humorous comments here and there kept the conversation light-hearted, encouraging the students to be more comfortable to open up. 

One of the main lessons that Dr Rajan accentuated on was to not dwell on the past for too long and rather focus on what we can change in the now – even if it concerned the past few years. Dr Rajan ended the talk by signifying how important it is to fight for a better India and how each of us can add value to the society simply by being the best we can be. 

About Kathan

Embracing the space-time continuum with some laughter and overthinking.

SIAS – Cohort of 2023

Majoring in Biology

The 7-35-25 CON[EU]NDRUM: Looking at the CAI deal

The 7-35-25 CON[EU]NDRUM: Looking at the CAI deal

THE BASICS

The EU-China Bilateral Investment Treaty (BIT), better known as Comprehensive Agreement on Investment (CAI), was agreed on Nov 2013. Just to set things straight, this is not a full-on trade agreement but a “pact” for the EU to create new investment opportunities for its native companies in Chinese market by eliminating discriminatory laws and practices (that were only accessed by Chinese companies and corporations from third world countries). It was the combined idea of German Chancellor, Angela Merkel, and anxious Chinese President, Xi Jinping, to get this deal finalized after enough [35] concessions. Disregarding the proposal of early consultations with Biden-led US, Merkel-Xi had other plans. History speaks that Germany do carry good trade relations with China. To think of it, the largest EU investment sector in China is the automotive industry which is obviously a big deal for Germany. But we can’t conclude that Germany will be the only beneficiary here - several fronts need to be considered. Above all, this is just an agreement in principle and the deal’s full text is yet to be published. So it is up to the European parliament to ratify and mark it green for the BIT to finally commence from 2022. Nonetheless, the following illustration would brief out things:

Image credits: https://www.globaltimes.cn/page/202012/1211466.shtml

For people with utmost curiosity, you can still refer to the key elements of “the most ambitious deal” published by the EU, here

THE RECIPROCITY GAP – a major concern

After noting the pros, challenges are now weighed in terms of imbalances created in EU-China FDI flows due to [buzzword] “lack of reciprocity”. Backtracking it shows that EU has been way more receptive to foreign investment than China with the latter operating in a restrictive FDI regime. And if reciprocity persists, anti-globalization sentiments might fuel an erosion of support for the European producers and consumers. So the treaty “is supposed to go” some way to rebalancing this. But in factuality, it supports the theory of one-sided fulcrum.

THE INVISIBLE HAND OF GEOPOLITICS

[1] THE IMPACT ON TRANS-ATLANTIC RELATIONS

In December 2019, Chinese Foreign Minister Wang Yi answered a question saying that it was unlikely for a “developing economy” like China to come to an agreement with the [Brexited] EU. But with strategic intentions, Xi intervened personally to snatch the deal within the window of opportunity. Thus the seven-year long-awaited video conferencing got a fair bit of coverage on December 30, 2020. But it got backlashed that the accord might create friction in EU’s relations with the incoming Biden administration. The view would clearly weaken Biden’s “efforts for a closer US-EU check on China”. Even if the CAI is neither signed [due to the US pressure] nor implemented, China is +1 for creating chaos and controversy amongst backers and opponents of the agreement in the European Parliament and among other member states. It is a symbolic win too good to pass for the dragon.

[2] AN IRON FIST (NO MORE) IN A VELVET GLOVE?

Romanticizing different versions and believing in soft power based on hardcore facts is what India has been through. But the changing world order did make the tables turn for the aforementioned. Indian diplomats and policymakers now deal in High Level Dialogues (HLD) circumscribing this BIT. But it transpires to be negative for India’s foreign policy assumption that Europe is in for the US’s ‘Indo-Pacific’ strategy that is meant to “rebalance” China’s reign. Without Europe as its ally, the strategy is a road to nowhere. Quite knowingly, Merkel hurriedly reached out to PM Modi to persuade India to accept CAI as a market access pact while continuously harping on the importance of the India-EU trade deal. To this, the French diplomat asserted NSA Ajit Doval on “forestalling China from manipulating Europe” thereby hinted at Raisina Dialogue (India’s premier foreign policy conference) to boost Indo-Pacific partnership. So, at the end of the day, India, fortunately, is not in the dire position and must climb down from its ivory tower to assess the reshaped world order. 

[3] THE FINAL WHISTLE‘THE DIPLOMAT’ concludes that the EU should rethink its China policy and introspect its coordination with the States. An EU-US solidification will have more leverage in relation to China and can be a “catalyst for a broader multilateral coalition of concordant countries to promote the rule of law and to blunt Beijing’s efforts at economic coercion”. But for the European geopolitics, the pact is still meant “to defend NATO territory” and achieve stabilization.

Krea Student Diaries | What is it like to begin University amidst a Pandemic

Krea Student Diaries | What is it like to begin University amidst a Pandemic

By Kathan Pandya

In the beginning of 2020, my peers and I would have never imagined attending college through laptops and mobile phones. Yet, here we are left with no choice but to hold on to the fragments of our expectations with a grateful heart and mind. As the year commenced with a fun-filled week of orientation in August 2020, I felt welcomed in this vibrant community of students, professors and staff. 

When virtual classes began, I admit it wasn’t easy. Sitting in front of the screen for hours and actively participating in classes soon became a mundane routine. I would often switch places to attend classes, would keep my camera on to make myself more visible, and try things to embrace the rigmarole of online classes. Professors would give a choice to students about turning cameras on because they understood our anxieties of presenting ourselves online. The courses were also modified well to suit an online setup. All the reading materials were available on Canvas – an online classroom tool. Group projects were tailored to suit the online medium. Amidst all this, we students would often talk and share how different things would be if we were on campus at that moment. Isn’t it funny how students would try to skip classes on campus in the pre-pandemic world and now we can’t wait to be on campus?

Attending Krea has been my first experience of meeting people from different places and cultures. I am learning how to communicate with others by striving for balance between openness and sensitivity. Creating WhatsApp groups for the whole batch is something I am truly grateful for since that was a major point of communication to socialise beyond classes. Of course, apart from the abandoned Discord groups!

We had a choice to join a maximum of five clubs, but it would become tough to engage in all of them. I was only active in two of the five I joined. It was refreshing since I could also talk to people who were not in the same class or cohort as me. Club activities are something I continue to look forward to whenever we get a chance to catch up.

Being at home while being a part of a university can be arduous. During the second wave, numerous students and professors struggled to balance the two. Whether there were house chores to do, family members to take care of, to recover and rest yourself or having to stay in the house for long periods of time- all of these reasons had naturally caused a lot of stress. But empathy being one of Krea’s core values, I am glad that the professors had given us students some leeway by simplifying assignments and allowing us to manage our time to make things easier for us. The first year is over. While it might be easier to lament about how one-third of my university life has already passed online, instead, I choose to look at each and every moment as precious lessons I learnt along the way. The university has played a huge role in making the transition smoother and more comfortable. More than anything, I feel like I have gained a peek into the possible futuristic lifestyle that will be dominated by technology.

About Kathan

Embracing the space-time continuum with some laughter and overthinking.

SIAS – Cohort of 2023

Majoring in Biology

Krea Bytes: Aishwarya on her Krea journey

Krea Bytes: Aishwarya on her Krea journey

‘It was the Immersion Day experience that set my heart on getting into Krea!’

For a student who always stuck to exploring interests and topics within her comfort zone, Krea was a breath of fresh air. Surrounded by subjects that slightly nudged her away from familiar territory and exposed her to a plethora of disciplines, with talented peers from hundreds of cities across India, Aishwarya’s learning journey here has been nothing short of amazing. Straight out of St Thomas Residential School in Trivandrum into the hustle and bustle of University life at Krea in Sri City, Aishwarya shares with us her journey as a Krea student right from the unique admission process to experiencing Interwoven Learning in her first-year.

How did Krea happen?

I found out about Krea from an old school friend who went through the website and thought it was something I would be interested in. This was the first time I had come across the “liberal arts” concept, and it was very foreign and abstract to me. I must admit that I did not give much time or research into understanding the courses being offered, but the promise of a unique admission process is perhaps what pushed me. I was so busy preparing for various entrance exams and attending college interviews that I almost missed the application deadline for Round 3 of admissions. In hindsight, I cannot believe that I was ever that close to missing out on studying here!

What prompted you to pursue your learning journey at Krea in the beginning? 

It was the Immersion Day experience that made me set my heart on getting into Krea. I was not nervous, intimidated, or scared at any point of the process, unlike the interviews and selection processes I had been a part of before. I wanted my undergraduate experience to be stress-free, especially after the hectic schedule I had put myself through in school, and the very welcoming and friendly environment during the KIC made me realise Krea was the right place for me. 

Entering Krea right after school, how different was the experience?

In school, I was the kind of student who never stepped out of my comfort zone and I always stuck to rote learning and memorising concepts even if I did not fully understand them. I have always wanted to change this habit of mine, and the learning process at Krea has helped me learn, un-learn and re-learn several things. Initially, I was apprehensive about doing Mathematical Reasoning, Scientific Reasoning and Introduction to Topics in Computer Science in the first year, because I shied away from these subjects in high school. The course faculty helped me revisit concepts I had previously learned in school, and I developed the skills to approach problems differently. 

To sum it up, although learning in Krea is not always a cake walk, it is extremely rewarding and I always gain something new at the end of the day. 

What about Krea has changed you or given you a new perspective?

I would say that the people in Krea are what make the institution what it is today, and I have never before met such a diverse, motivated, and caring group of people in my life. I owe the kind of exposure I have received over the past two years to the professors, the staff, as well as my peers, and I know it would not be the same elsewhere.

How has Interwoven Learning (IWL) helped you discover or enhance your interests?

I always knew that college would be a formative experience, but Krea has turned my life topsy-turvy, in a good way! I ran for the position of Finance and Resources Representative in my first year and was fortunate to be a part of the first student government. This is something I would never have done before! I pushed myself to try new things, meet new people, and make the most of my newfound independence. 

I have to admit that the foundation courses in the first year, although they did open up a plethora of options, ended up making me a little more confused because my interests have always been all over the place. I always knew on some level that I wanted to pursue a major in Economics, and the Interwoven Learning aspect helped me figure out my other interests, and how I could pair them best with Economics. 

What are your future plans?

I don’t have solid plans yet– I am considering a Master’s in Public Policy or an MBA, but I’m keeping my options fairly open and I’m hoping to get a better idea once I’ve started my third year at Krea. Working with students has always been my passion, and I hope to build a career in the education field someday.

If you could share something with aspiring Krea students, what would it be?

I think the one thing that sets Krea apart from other universities is the fact that there is room for all kinds of people with diverse interests- and you will always find a space or group where you would fit in and be able to pursue your interests. Apart from the wonderful experiences (both academic and otherwise) I have had so far, I am most happy about the fact that I found wonderful friends here.

Aishwarya Sivaramakrishnan

Currently majoring in Economics and taking courses in Business Studies and Psychology in the School of Interwoven Arts and Sciences at Krea University.

Krea Student Diaries | How I chose my Major

Krea Student Diaries | How I chose my Major

By Kathan Pandya

In school, we are given a range of subjects to study. In college, there is a world of difference! Yes, there are various courses to choose from and attend. However, it is also a deep-dive into that one field or subject for 2-3 years. With the increasing number of options available, I admit that I was confused about what to choose, which discipline to explore and figure out how it aligns with my interests. Unlike the many people who already had a clear idea of what they wanted, I took some time to accept that clarity doesn’t happen so quickly and it is perfectly okay to be clueless at first. 

In high school, like most teenagers, everybody gave different advice. Some advised that I should follow my interests. Some cautioned me to keep my future in mind, while others reminded me to be practical. After months of thinking and analysing my options, I realised that all it takes is three simple steps, a step-by-step process that I followed while selecting my Major as a sophomore. 

1. Know what you are good at

There is always the scope of surprising yourself by finding something you are unexpectedly good at in college. Krea’s first year, that way, will be a revelation of sorts. When the time comes for you to choose your Major, you would have a fair idea of what it is that you are looking to explore. It is not necessary to excel at that subject area, but be aware of the skills that are required and how it would help you in the future. 

2. Identify your interests

Here comes the typical question- what are your interests and what role does it play in your academics? You can like astronomy and nothing else in Physics, or enjoy creative writing but may not be interested in Literature otherwise. College is when you need to think broadly. When tasked to opt for your Major, answer the following questions: Which Major has courses where most of your interests lie?  In which Major are you ready to take a few courses you may not like just for the sake of the ones you do enjoy? Remember, to know about one’s interests is a superpower in itself! 

3.Yes, be practical too!

Creating a path for yourself, aka by choosing your Major, is a daunting task and requires you to account for every little aspect right from interests to occupations and future potential. I have learned that when we begin college, our knowledge on future careers is extremely limited. But the more you explore, like in the first year, the more your mind opens to a number of opportunities. Amidst all this, my curiosity really helped. So don’t hold back- Ask professors, the internet and people around you about the rich variety of careers available in your list of interests and strengths. Gaining knowledge about the paths that are built and then deciding on your own will also act as a motivator. 

Now imagine these three pointers intertwining like a venn diagram. Bear them in mind, weigh the pros and cons, but most importantly- be open to learning new things and embracing change. 

The core and skill courses in Krea have been very helpful that way, especially for someone who gets confused easily amidst a plethora of options. I would have never known that I would enjoy coding if it were not for the Coding Course! The first year is like a snapshot of different fields; there is a lot in the mix but with answers to these questions listed above, your Major selection in your second year at Krea becomes a cake walk!

About Kathan

Embracing the space-time continuum with some laughter and overthinking.

SIAS – Cohort of 2023

Majoring in Biology

Krea Student Diaries | How the ‘Krea Immersive Case’ is redefining rat races into magical portals

Krea Student Diaries | How the ‘Krea Immersive Case’ is redefining rat races into magical portals

By Chahna Ahuja, SIAS Cohort of 2024

If you ask the students of our education system to describe the process of entrance examinations for their tertiary phase of education, there is a high chance that you would hear the words “competitive”, “stressful”, “pressurising” in abundance. Some would say it is a rat race choked with stiff competition and undue pressure. 

But, how do these assessments truly define the multidimensional facets of a student in a myriad of sectors, be it academic or non-academic? Are these examinations considering the reflections and ideologies of the student? Are they exploring the portal into their mad-hatter imaginations, to see how they view the world? 

Well, I, for one, believe that the most terrible consequence of the system is bulky bags, heavy hearts, open textbooks, and closed minds. However, as a candidate for the Krea Immersive Case (KIC), I was led into a gateway for change…a window that opened multitudes of windows to the world! 

As most stories go, once upon a time, a few months ago, I came across the Krea University application form. When you log in to the dashboard, the first question that greets you is an essay to define your personal story. At first glance, this question filled me with a sense of existential dread, because it prompted me to ask myself the elusive philosophical question- “Who am I?” 

My first answer would probably be that I am a person who has grown up spilling ink on walls and notebooks, and it would also be my concluding statement because I still spill ink on notebooks and drawing paper (begrudgingly missing the presence of walls). However, I felt that the answer was too vast to encapsulate all the fragments of my heart. Then, I scrolled towards the end and realised an optional question in its stead. We could define our personal story through any medium, be it art, writing, or videos. At that moment, I was thrilled to see that someone finally wishes to see glimpses of my imaginations and ideas instead of my scholastic abilities first. 

I submitted an art and writing portfolio which took me a while to compile. But, as an artist, I felt that my words and art expressed the dwindling enigmas and epiphanies of my soul. The application had other features that stood out from the conventional process. There was a space to share your past academic and non-academic works, extra co-curricular activities, and so on. The application process substantiated why the liberal art programme was “the one” for me. 

I wanted to be a part of the liberal arts programme because I have so much love for learning, learning without restrictions, learning without fear of failure…learning for the love of learning. It is unconventional but multidimensional in all walks of life. I know that it will allow me to break boundaries. These boundaries are not only geographical, but also the boundaries that breed discrimination and indifference. I want to work for inclusivity and intersectionality through creative expression. If my dreams can be contained in an academic bucket, then that bucket is liberal arts. 

The prologue of my dreams began with the Krea Immersive Case. The Krea website will describe this “assessment” as an entire day of various events that learn more about the personality and the ideas of a candidate, beyond conventional academia. 

But before the official KIC, we had an informal ice-breaker with a senior buddy and other candidates to feel comfortable in the formal rounds. I still smile ear-to-ear when I look back at that event because it was wholesome to witness candidates befriending each other amidst a competitive set-up. 

On the day of KIC, we went through different events- a case study presentation, a group discussion, writing a reflective essay, an interview with the panel, and finally, a quantitative aptitude test. For me, the case study presentation was on “Art and Social Change”. It was filled with heart-wrenching works of art rooted in racism and poverty. It made me ponder and brim with emotions when I spoke about my ideas. It allowed me to examine my privilege and listen to the opinions of different people. It taught me that art will continue to exist in dark times as an essence of hope. 

If you Google the ‘top 10 ways to nail your university interview’, one of the tips that show up is to talk to the interviewers like you are talking to your friends. This analogy simply means that you should express your ideas freely, without hesitation. Theoretically, it is ideal advice. However, it is also an open secret that there are certain barriers not meant to be broken. But, my experience with Krea was all about breaking my pre-existing notions of the system. 

As a student, I truly felt heard and seen in my Krea admission process. It further made me realise that rat races make you develop personas, to camouflage your real identity. In contrast, a model like KIC allows you to wear your identity with a dazzling smile. Every assessment should give room for students to be open minds and closed textbooks. Education is a guide to be a good human, and I hope Krea nurtures me into one.

Chahna Ahuja (She/Her)

SIAS Cohort of 2024 

A surrealist spilling ink, dwindling between enigmas and epiphanies

Lockdown: A blessing in disguise

Lockdown: A blessing in disguise

The blog is written by Rajashree Sadhu. The Author is a MBA student of IFMR GSB at Krea University

“God always have a better plan for us, though the process might be hard and painful!” that’s what my grandfather told me always. Hey wait, I am not writing this article to give you philosophical advices.

But………. Then What?

Well, this abrupt lockdown of the entire world has bought a lot of unexpected dismay in our lives (especially migrant’s workers and not so privileged section of the society). Yet, isn’t that’s what life is, it happens to us when we are busy having other plans.

We are continuously worried and grumbling about negative things that we are facing due to this pandemic- loss of lives(due to Covid-19), job losses, salary cuts, internships cancelled, business at halt, economy is at a standstill, disruption in supply-chain and above all ‘THE GREAT RECCESSION’ (on its way).

But salute to the frontline warriors- doctors, nurses, policemen, sanitation workers and others who are working day in and day out to help us overcome this tough situation. This pandemic coupled with lockdown (which is the only solution to stay safe) has put humanity into a huge test. It’s an opportunity for all of us to serve the under-privileged section of the society who are not able to get their daily bread due to lockdown and no earnings.

Yet some miserable incidents are happening in few places – like pelting of stones at policemen, doctors when they are trying to help us in this pandemic, such incidents are really unforgiving. This is not the time when we should believe in rumors, be arrogant and thereby create violence in society. We all have to fight this together and cooperate with the frontline workers.

This time too shall pass, so we should focus on the positive things that we are experiencing and how can we make the most of the time that is available to us. If you ever felt that you lack time to do the things you wanted to do then this the opportunity. Up-skilling ourselves, improving our fitness, spending time with family these are the things we always wanted to do. Life always comes to us with surprise gifts, blessings and of course hurdles which makes our lives even better.

We neither know how long will this pandemic last nor how long will this lockdown continue, but we can hope that this period will be over really soon. Optimist will always love to see the positive side of things and so if we look deeper we will realize the good things that we are experiencing at this point.

The environmental pollution levels have gone down drastically, rivers are cleaner than we have ever seen before, we are able to breathe fresh air again and a few endangered species have started to appear in few places. This makes us realize that apart from human beings other animals too have equal rights to live in this planet. Nature always has its own healing process but in our rat race to achieve more we forget that, what we are experiencing now is nothing but the collective karma to humankind! Mother Earth will come alive again and it will be more vibrant than ever before.

There is another aspect of this pandemic- a lot of business opportunities will come up. Make in India and manufacturing sectors will be boosted up far more. Every country from now on will try to be self-reliant. The change in consumer behavior will open up new avenues for businesses. Fintech, digital payments, e-commerce will experience a big boom in the days to come. Medical infrastructure will gain more importance than ever before.

Most importantly this lockdown has provided us a huge lesson- no work is small, everyone has its own importance starting from a rag-picker to a top notch celebrity. Today, we should all be grateful to the doctors, paramedical staffs and nurses who are saving millions of lives in this pandemic.

Life always allows some crisis to occur, before revealing its full bright side. As every cloud has silver lining so does everything in life, for a period we are having a tough time but we will be victorious one day. This crisis will give us the zeal to put the best in whatever we do as don’t know when our day is. This Corona Virus will take away a lot of things from us, but in return it will provide us a life time lesson that will help us in the long run.

Non-Banking Financial Companies in India: A study on their crisis and revival strategies

Non-Banking Financial Companies in India: A study on their crisis and revival strategies

By Sourav More

IFMR GSB – MBA Batch of 2023

“An essential feature of the evolution of the financial system has been the emergence of non-banking financial institutions,” read an RBI press release on 2 January 2012. Time and again, they have emerged as an epicentre to support the often credit-starved MSMEs and Rural India. The NBFCs landscape in India is a story in itself, as it has been a rollercoaster ride for them right from their humble beginning in the 1960s to finding innovative ways to drive the growth of MSMEs; and then the sudden shakeup due to the default in debt repayment by IL&FS group in the latter half of 2018, which ultimately resulted to a liquidity crunch and had negatively impacted their stock prices.

Growth Drives

  1. NBFCs mainly targeted the customers who are from the unorganised and under-served segments, customised their products as per their preference, and thus, NBFCs created a niche for themselves.
  2. NBFCs have always come up with newer and better technology for their customers, with 24/7 service and reaching the Tier-2, Tire-3, and Tier-3 markets. This helped them have a wider reach.
  3. NBFCs have been trying to set up co-lending arrangements with digital platforms and commercial banks, like Punjab National Housing Corporation – a part of Punjab National Bank.
  4. NBFCs are investing in data analytics and artificial intelligence to enhance their business operations and also commensurating technological advances.
  5. NBFCs are focusing on lending to the subprime customer segments through proactive, robust and agile risk management modules, in comparison to commercial banks.

 NUMBER OF NBFCs IN INDIA AND ITS DECLINE OVER THE YEARS

Roadblocks to these growth prospects

  1. NBFCs have been trying to offer customers the kind of products that they want through constant customisation and innovation, and this has led to misalignment in product offerings with customers and a rise in the cost of investment and operations.
  2. The asset-liability mismatch, which became the cause of concern for the Liquidity Crisis of 2018, was mainly because NBFCs borrow funds at a lower rate for a shorter time period and lend the same at a higher rate for a longer time period, and after four to five years the interest rate usually increases and ultimately it leads to a loss for the company. Due to this, their liabilities were maturing faster for payment compared to the loans advanced.
  3. NBFC payroll had a downward spiralling effect on their quality of sourcing due to the absence of direct sales agents. Effective underwriting was required to form personal relationships with prospects. 

The liquidity crisis of 2018: Case of DHFL

Dewan Housing Finance Limited (DHFL) provides home loan services and was one of the biggest housing finance companies in India. Unexpectedly, their share prices fell down by more than 60% after 21 September 2018 which created panic in the market. There was a rumour that DHFL may have defaulted in one of its debt payments, and people said that DSP mutual fund sold short term DHFL papers at 11 percent yield which was at a discount of 18 percent to its actual yield. Investors were worried why an AAA-rated company sold its short-term papers at such a discount.

Upon further discussion, it was identified that the fund house had IL&FS debt and IL&FS was roiled by a lot of defaults in commercial papers, which led to a shortage of INR 1000 billion in the system. Exposure to IL&FS formed the base of all the rumours and it spoiled DHFL’s valuation, and the same thing happened for other NBFCs as well.

Steps taken by the Reserve Bank of India   

  1. On 2 November 2018, RBI announced Partial Credit Enhancement (PEC) to bonds, the period of occupancy of which should not be less than three years. These were issued by systemically important non-deposit takings of NBFCs amid the liquidity crisis.
  2. To reduce the stress of NBFCs, RBI relaxed its rules to sell or securitise the loan books. Therefore, NBFCs can securitise loans of more than five-year maturity after holding those for six months.
  3. Harmonisation of different categories of NBFCs into fewer ones was done for greater operational flexibility. AFC, LCs and ICs were merged into a new category called NBFC-Investment and Credit Company (NBFC-ICC).

Krea Student Diaries | 5 affirmations to help your school-to-college transition

Krea Student Diaries | 5 affirmations to help your school-to-college transition

By Apoorva Peri, SIAS Cohort of 2024

Graduating from high school and embarking on the next chapter of your life in an entirely new atmosphere. You may feel as if you have compromised every sense of your identity and belonging. On the contrary, you actually learn to adapt. Making the transition to college life at Krea was a life-changing experience for me. Right from academics to exploring new interests– my journey to a new learning experience has only just begun!

It’s a new dawn. It’s a new day. It’s a new pedagogy!

It is natural to feel overwhelmed when you witness a new curriculum unfolding, which encourages you to think for yourself. After being used to nearly two decades of following a certain pattern, University life brings you the real world. As someone who felt overwhelmed immediately, instead of adding more tasks to your plate and being productive, take your time and get used to the environment. 

It’s going to be okay.

Once you have immersed yourself in the new environment and made progress, move on to the next step– Accept that it is okay to fall back and ask for help. College is new to you and other students, some are probably used to this unique learning model. Others take time. There will be students who race you to the top, with answers that you may not know. Don’t hold back. Ask for help, communicate with professors and classmates, join activities that you are comfortable with. These are your halcyon days! 

It’s good to have a plan.

You know yourself better than anyone. Hence, you can anticipate your reaction and needs accordingly. So, plan your first few months well. You can do this by talking to your seniors, professors or even your family to gauge your challenges and strategically move forward.

One of the distinctive features of Krea’s curriculum and teaching approach is the pride and enthusiasm that they foster, which helps shape our minds as we continue to grow and learn. The Krea culture is an integral part of the experience, and it can help you meet people from diverse backgrounds. This can be as easy as actively participating and engaging in orientation week and open mics, or getting involved in the many clubs and committees. 

The only constant in life is change.

It’s easier than ever for us to stay connected to our high school life and the same perspectives we have always had. However, this can stunt our ability to really engage with new perspectives and thoughts. If you find yourself obsessing over how you used to do things or how so much has changed, remember that progress is impossible without change. We must learn to focus your energy not on fighting the old but on building the new. 

Push the boundaries of learning.

Put yourself out there and explore; don’t isolate yourself from the outside world, learn to push the boundaries and over time you will become accustomed with your new college lifestyle. Exploring the world is one of the best ways of exploring the mind. 

You don’t have to completely abandon your roots to fit in at college. Consider it an opportunity to explore new aspects of yourself that you may not have had the opportunity to do previously, and be open to new experiences and perspectives.

About Apoorva Peri

SIAS Cohort of 2024

Living in ruins of the palace within my dreams