Daily News and Updates

Indirect Tax

Ficci welcomes panel report, says GST to add 2% to GDP 

Welcoming the recommendations put forth by the Arvind Subramanian panel on GST, Ficci today said rollout of the tax reform will add 2 per cent to India's growth and usher in efficiency and transparency in the indirect tax regime. In recommendations aimed at breaking the GST logjam, the panel today suggested dropping additional one per cent tax on inter-state sales over and above the Goods and Services Tax (GST) rate. "GST is expected to add about 2 per cent to our GDP and will lead to long-    [….] Read more at:

http://economictimes.indiatimes.com/articleshow/50047406.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

Doing away with 1% inter-state tax a +ve reco: Industry

A panel led by Chief Economic Advisor Arvind Subramanian today submitted its report to Finance Minister Arun Jaitley that outlines the scope of the ambitious tax that aims to create a national market. The key revenue neutral rate suggested by the CEA panel stood at 15-15.5 percent. The standard rate for GST stood at 17-18 percent, the rate at which most products would likely be taxed. However, the key revenue neutral rate suggested by the CEA panel stood at 15-15.5 percent. The standard rate for G   [….] Read more at:

http://www.moneycontrol.com/news/business/doing-away1-inter-state-tax+ve-reco-industry_4473061.html?utm_source=ref_article

SEBI

Sebi bans two cos from raising funds from investors

Markets regulator Sebi has barred two companies -- Regal Hitech Agro Projects (India) Ltd and G R Agro Project Ltd -- from garnering fresh funds from the public through the issuance of securities till further directions.  The Securities and Exchange Board of India (Sebi) found that Regal Hitech and G R Agro had raised funds by issuing redeemable preference shares (RPS) in 2012-13 to 204 and 302 people respectively.  Since these shares were issued to more than 50 investors by each     [….] Read more at:

http://www.business-standard.com/article/pti-stories/sebi-bans-two-cos-from-raising-funds-from-investors-115120400938_1.html

Sebi proposes making e-book must for pvt placement debt

Capital markets regulator Sebi today proposed norms to make electronic book mandatory for all private placement issues on debt basis, having a threshold of Rs 500-1,000 crore. The proposals are aimed at improving the "efficiency, transparency of the price discovery mechanism and also reduction of cost and time taken for such issuance." The move comes after the board of Securities and Exchange Board of India (Sebi), earlier this week, approved a proposal to introduce primary marke   [….] Read more at:

http://www.business-standard.com/article/markets/sebi-proposes-making-e-book-must-for-pvt-placement-debt-115120400463_1.html

 

Sebi orders Greentouch Projects, directors to refund investor money

Markets regulator Sebi has ordered Greentouch Projects and its four directors to refund the investors' money it had illegally raised by issuing securities. These five entities have also been barred from the securities market with immediate effect and the ban would be in place till the expiry of four years from the date of completion of refunds to the investors. Moreover, they have been ordered to refund the money along with 15 per cent annual interest. The regulator found that Greentouch Projects had     [….] Read more at:

http://wap.business-standard.com/article/markets/sebi-orders-greentouch-projects-directors-to-refund-investor-money-115120200545_1.html

RBI

 

RBI revises priority sector lending norms for RRBs

The Reserve Bank of India (RBI) on Thursday revised the priority sector lending target for regional rural banks (RRBs) to 75% of total outstanding loans from 60% earlier, effective January 2016. In a statement, the central bank said that during the last decade, RRBs have undergone significant structural and operational changes, be it two-phased amalgamation, implementation of CBS platform or recapitalisation. “Considering the growing significance of RRBs in pursuit of financial inclusion age    [….] Read more at:

http://www.financialexpress.com/article/industry/banking-finance/rbi-revises-priority-sector-lending-norms-for-rrbs/174084/

RBI declines to accept all bids at debt auction

The Reserve Bank of India (RBI) did not accept all bids at its scheduled bond auction on Friday, the first time in six months a debt sale has raised less than the announced amount, as the central bank sought to signal its discomfort about high yields. Out of the announced sale of Rs 15,000 crores ($2.25 billion) on Friday, the RBI "devolved" Rs 1942 crores of the 7.59% 2029 bond, while accepting all bids for the remaining three bond maturities being sold. The RBI can choose not to accept all     [….] Read more at:

http://www.business-standard.com/article/reuters/rbi-declines-to-accept-all-bids-at-debt-auction-115120400944_1.html 

 

As rupee teeters on brink of 67/USD, RBI steps in to break fall

The Indian rupee rapidly fell to 66.99 against the US dollar in opening trade Friday, prompting the Reserve Bank of India (RBI) to intervene in the market to prevent the domestic currency touching the psychological level of 67 a dollar.  The dip in the Indian currency came after the European Central Bank’s (ECB) stimulus move failed to enthuse global markets. The rupee opened at 66.91 against the dollar, a sharp deterioration over its Thursday’s closing of 66.66. The currency tumbled rapidly to 6   [….] Read more at:

http://www.business-standard.com/article/finance/as-rupee-teeters-on-brink-of-67-usd-rbi-steps-in-to-break-fall-115120400217_1.html

RBI cancels licences of 56 NBFCs

The Reserve Bank of India (RBI) has cancelled the registration of 56 non-banking financial companies (NBFCs). With this, these companies cannot transact the business of a non-banking financial institution. These include companies like Compact Lease Financing, Vapi Investments, Shree Holdings, Neelkanth Fintrade, ABNL Investment  among others. Bajaj Finserve Limited was also on the list, however since it is the holding company for Bajaj Finance (an NBFC), Bajaj Allianz Life and Bajaj     [….] Read more at:

http://wap.business-standard.com/article/finance/rbi-cancels-licences-of-56-nbfcs-115120400965_1.html 

 

 

 

Miscellaneous Laws

Swachh Bharat partnership with India one of the best: Gates

Microsoft founder and philanthropist Bill Gates on Friday promised to extend all support to Centre's efforts to expand the reach and effectiveness of sustainable sanitation services under the Swachh Bharat Mission. Urban Development Minister M Venkaiah Naidu and Gates, who is Co-Chair of Bill & Melinda Gates Foundation, discussed at length implementation of the sanitation campaign in urban areas of the country. "Foundation's cooperation with India to promote safe     [….] Read more at:

http://www.moneycontrol.com/news/current-affairs/swachh-bharat-partnershipindia-onethe-best-gates_4464401.html?utm_source=ref_article

 

 

Economy & News

HDFC Bk sees green shoots as Indian companies borrow again

HDFC Bank  , India's largest lender by market value, said it is beginning to see "green shoots" in corporate loan growth, as companies begin to borrow and spend again after almost two years of reining in. The combination of a more conservative stance among state-run banks - hit by bad loans - and a lack of demand as the economy slowed, has held back Indian business lending. But there are signs of a change. HDFC Bank's long-time managing director, Aditya Puri, said he saw early hints of a     [….] Read more at:

http://www.moneycontrol.com/news/business/hdfc-bk-sees-green-shoots-as-indian-companies-borrow-again_4474181.html?utm_source=ref_article

Chennai floods: Relief for citizens as water levels decline

A relatively dry spell in Chennai and its neighbourhood brought relief to the flood affected residents and rescue agencies as hopes of water fast receding went up. Mobile phone services, which had taken a severe beating following the heavy downpour on Tuesday, were partially restored even as other services such as ATMs continued to remain shut. After a day-long dry spell on Thursday, some areas in and around the city including Kodambakkam, T Nagar and Tambaram received showe     [….] Read more at:

http://www.moneycontrol.com/news/current-affairs/chennai-floods-relief-for-citizens-as-water-levels-decline_4468101.html?utm_source=ref_article

Chennai: 18 patients die after power outage at hospital cuts oxygen supply to ICU

In the midst of a disastrous flood, Chennai saw another tragedy as 18 patients in an ICU died after power outage at the hospital allegedly cut off oxygen supply to ventilators.  The patients were reportedly on ventilators at the Madras Institute of Orthopaedics and Traumatology (MIOT) hospital in Chennai when the power cut occurred.  According to The NewsMinute, staff at the hospital had abandoned patients and left after the MIOT hospital was flooded.  The patients who died were 'highly critical',  J   [….] Read more at:

http://www.ibtimes.co.in/chennai-14-die-after-power-outage-hospital-cuts-oxygen-supply-icu-657986

‘India to become $4-5 trillion economy in short time: Lord Meghnad Desai 

India will become a $4-5 trillion economy in a very short period of time, London-based economist Lord Meghnad Desai said today. The size of Indian economy at present is $2 trillion. "Imagine that even at 7 per cent annum the India economy will double every 10 years and if it grows at 10 per cent that will be even faster. This is going to become $4-5 trillion economy in a very very short time," Desai said at the first edition of international real estate expo (IREX) here. Stating that India and Indians are     [….] Read more at:

http://economictimes.indiatimes.com/articleshow/50045433.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

Mumbai Trans Harbour project worth Rs 11,000 crore gets green nod from Maharashtra forest department 

The ambitious Mumbai Trans Harbour Link project worth Rs 11,000 crore has got an in-principle approval from Maharashtra forest department. According to sources, the state forest department has given an in-principle approval for the 22 km-long cable stay bridge between Sewri in city of Mumbai and Nhava-Sheva. Japan International Cooperation Agency ( JICA) has agreed to fund 80 per cent cost of the project for which the bidding process is likely to commence from December. The     [….] Read more at:

http://economictimes.indiatimes.com/articleshow/50047364.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

Indian economy can still grow 8% this fiscal: NITI Aayog VC Arvind Panagariya 

NITI Aayog vice chairman Arvind Panagariya on Friday expressed hope that the country's economic growth rate will touch 8% this fiscal year. "I remain optimistic that first quarter GDP numbers will be revised and by the time we reach the fourth quarter economy will touch 8%," he said but, cautioned that government should take action on the rural economy. Panagariya's comments come on the back of 7.4% GDP growth in the second quarter ended September, up from 7% in the first quarter,    [….] Read more at:

http://economictimes.indiatimes.com/articleshow/50045130.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

Finance ministry seeks scheme details from all ministries to assess fund need 

The Union Finance Ministry wrote to all ministries last month, asking them details on their schemes and projects with a view to assess the requirement of funds required for the same up to the year 2020 and 2025 in an effort to take a longterm fiscal view. The Department of Economic Affairs wrote to all ministries on November 2 seeking information on approved schemes or projects under Non-Plan heads while the Planning Unit, Integrated Finance Division sought information on the same     [….] Read more at:

http://economictimes.indiatimes.com/articleshow/50049692.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

 

Smart cities would cater to common man's needs: Maharashtra Chief Minister Devendra Fadnavis 

Maharashtra Chief Minister Devendra Fadnavis today said it was a misconception that the smart cities were meant only for the rich. This misconception should be removed from people's minds, he said, while launching the Navi Mumbai (South) Smart City which is being developed by the state-owned planning body CIDCO with an investment of around Rs 53,000 crore. He was "extremely elated" to launch "the country's first ever Smart City CIDCO Navi Mumbai (South)", he later tweeted.    [….] Read more at:

http://economictimes.indiatimes.com/articleshow/50048401.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

Thanks & Regards,

Meetesh Shiroya