TRS sweeps Telangana municipal elections, wins 105 of 120 municipalities

The Telangana Rashtra Samiti (TRS) on Saturday swept the municipal elections by capturing 105 out of the 120 municipalities and 6 out of 9 municipal corporations in the state. Elections to these urban local bodies were conducted on January 22.

The Congress and the Bharatiya Janata Party (BJP) could manage just 5 and 4 municipalities respectively while Asaduddin Owaisi's All India Majlis-e-Ittehadul Muslimeen (AIMIM) won majority wards in Bhainsa municipality in Adilabad district.

The independents and rebels have an important role in three municipal corporations of Nizamabad, Mirpet, and Ramagundam as no party got a clear majority. Parties falling short of a majority will try to win the support from independents increasing the chances of horse-trading.

Municipal elections came as a big shock for the Congress party, which was hoping for a revival of its prospects after decimation in the assembly elections in December 2018.

Though BJP has slightly improved its position, the results fell far short of the party's expectations. With the municipal elections, the TRS was able to establish a complete political dominance in all the local bodies in the state. Last year the party had won all the 32 Zilla Parishads besides 431 out of 537 Mandal Parishads.

The elections for Greater Hyderabad Municipal Corporation(GHMC) are due later this year.

India's factory growth hits 8-month low in April amid election caution: PMI

India's factory activity expanded at its slowest pace in eight months in April as growth in new orders and output dipped as national elections got under way, a private business survey found.

Optimism among manufacturing firms also ebbed in April as they remain concerned about what policies the new government will adopt when it takes office by end-May.

The Nikkei Manufacturing Purchasing Managers' Index, compiled by IHS Markit, fell to 51.8 last month from March's 52.6. It has stayed above the 50-mark separating expansion from contraction for nearly two years.

"When looking at reasons provided by surveyed companies for the (April) slowdown, disruptions arising from the elections was a key theme," noted Pollyanna De Lima, principal economist at IHS Markit, in a release.

"Also, firms seem to have adopted a wait-and-see approach on their plans until public policies become clearer upon the formation of a government."

Voting in India's multi-stage election began on April 11 and will end on May 19. Votes will be counted on May 23.

A sub-index measuring new orders slipped to 52.9 in April from March's 54.2, the lowest since August, due to a weaker expansion in domestic demand. That had a spillover effect on hiring, which barely increased.

The rate of increase in input costs was its weakest since September 2015 and output prices grew at a slow pace, suggesting overall inflation will remain below the Reserve Bank of India's medium-term target of 4 percent.

"With price pressures in the manufacturing economy cooling and growth losing momentum, it's increasingly likely that the RBI may cut its official rate for a third successive time in June," De Lima said.