|Cabinet approves pacts by EXIM Bank under BRICS mechanism||28 September 2017|
|India Ranked 40th On World Economic Forum's Global Competitiveness Index||27 September 2017|
|Google’s digital payment app 'Tez' launched||18 September 2017|
The IMF has suggested a 3-pronged approach for structural reform in India that includes Addressing the banking and corporate sector weaknesses, continued fiscal consolidation through revenue measure, and Improving the efficiency of labour and product markets.
The Union Minister for Communications, Manoj Sinha has launched the Sampoorna Bima Gram Yojana, an initiative for expansion of client base of Postal Life Insurance. The main objective of the scheme is to cover all households in the identified Sampoorna Bima Gram village.
RBI has announced a fresh guideline on the issuance and operation of PPI (Prepaid Payment Instruments). It has also has issued stricter Know Your Customer (KYC) norms for the users of prepaid instrument or mobile wallets. With these guidelines to complete full KYC formalities, the mobile wallet user can now send-receive money between wallets of different companies and banks seamlessly through Unified Payments Interface (UPI).
The Tamil Nadu Cabinet has approved the implementation of the 7th Pay Commission recommendations to benefit the state government employees and teachers. The decision was taken at a cabinet meeting after receiving a report from a high-level committee led by State Finance Department Principal Secretary K Shanmugam.
SANKALP is Rs 4455 crore centrally sponsored scheme including Rs 3300 crore loan support from World Bank whereas STRIVE is a Rs 2200 crore central sector scheme with half of the scheme outlay as World bank loan assistance.
Gujarat Government would be setting up 16 new Gujarat Industrial Development Corporation (GIDC) townships in 2400 hectare area to encourage the Small and Medium Enterprises (SMEs).
The Reserve Bank of India (RBI) has decided to launch a financial literacy drive in 80 blocks in 9 states on a pilot basis to educate people on e-transactions, formal sector borrowings and insurance purchases.
The RBI (Reserve Bank of India), issued instructions for NBFC (Non-banking Financial Companies) that operate peer-to-peer (P2P) lending platforms. According to the new guidelines, no NBFC can start or carry on the business of a P2P lending platform without attaining a Certificate of Registration from now onwards. These guidelines issued by Reserve Bank of India will be known as the Non-Banking Financial Company - Peer to Peer Lending Platform and will come into force with immediate effect.
Government of India and European Investment Bank (EIB) on 5 October 2017 signed the Finance Contract for lending of €300 million for Bangalore Metro Rail Project Phase II Line R6. The agreement was signed by S. Selvakumar, Joint Secretary (BC), Department of Economic Affairs, Ministry of Finance and Andrew McDowell, Vice President of EIB.
India is expected to retain its position as the top remittances receiving country, with its Diaspora set to bring in money worth almost 65 billion US Dollars in the year 2017. Remittances to India are expected to grow by 4.2 per cent in 2017 to 65 billion dollar following a decline of 9 per cent in 2016.
India will outshine China as the fastest-growing petroleum product market in Asia on the back of a 6 per cent demand growth says a report. This seems possible as Chinese stipulated growth is seen halving to 2.5-3% in 2017-18 from a higher 6% in 2016-16.
Prime Minister Narendra Modi led Union Cabinet has given its nod for the signing of Interbank Local Currency Credit Line Agreement (ILCCLA) and (ii) Cooperation Memorandum Relating to Credit Ratings by Exim Bank with participating member banks under BRICS Mechanism. The Agreements signed by EXIM will promote multilateral interaction within the BRICS nations in the area of mutual interest. It will also deepen economic and political relations with BRICS nations.
India has been positioned as the 40th most competitive economy on the World Economic Forum's Global Competitive Index (GCI) 2017-18. It has slipped one place from the last year ranking. Switzerland is at the top of the world global index followed by US Singapore at the second and third places, individually.
Finance Minister Arun Jaitley has launched Google’s Unified Payments Interface (UPI)-based digital payment service called ‘Tez’. The new digital payments app is expected to make a major change in the digital payments landscape in India. It would support several local languages including Hindi, Bengali, Gujarati, Kannada, Marathi, Tamil and Telugu.
The facility for composition scheme was opened for taxpayers with a turnover of up to Rs 75 lakh. These taxpayers will be allowed to be a part of the scheme, which offers easy compliance for business as returns are to be filed only quarterly, till 30 September 2017. The scheme was reopened to facilitate about 75 lakh registered businesses who opted for the scheme but failed to be a part of the scheme till 16 August 2017.
The UNCTAD’s recently released Trade and Development Report (TDR) 2017, stated that India and China at their current levels of growth will not serve as “growth polls” for global economy in near future. The world economy in 2017 is picking up but not lifting off. The global growth is expected to reach 2.6%, well below pre 2008 financial crisis average of 3.2%. The Trade & Development report is a flagship report of the UNCTAD which evaluates the global economic climate.
The Cabinet gave its approval for release of additional 1 per cent Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners with effect from 1 July 2017. The release of the additional 1 per cent instalment of DA over the existing rate of 4 per cent of the Basic Pay or Pension has been done to compensate for price rise.
The Dairy Processing & Infrastructure Development Fund will be set up as a corpus of Rs 8004 crore with National Bank for Agriculture and Rural Development (NABARD). The project will focus on building an efficient milk procurement system by setting up infrastructure & installation of electronic milk adulteration testing equipment, creation of processing infrastructure and manufacturing faculties for Value Added Products for Milk Producer Companies.
The project involves engagement of large number of workers at local level where work is to be executed. This will likely generate direct as well as indirect employment for about 11000 people in the form of skilled and unskilled workers and suppliers for support services.
As per RBI, the Currency Verification & Processing (CVPS) machines are way superior to the note counting machines. RBI uses these machines in two shifts and has also been using other machines that are temporarily drawn from commercial banks after suitable modifications. RBI is also exploring other options to augment processing capacity even further.
As per the government rules, a firm is eligible for Maharatna status if it is already a listed Navratna firm, has an average turnover at least Rs 25000 crore, net worth of Rs 15000 crore and an annual net profit after tax of Rs 5000 crore in the last three years. In addition, the fim should have significant global operations.
The Union government has set up an online service facility that can be used by importers and exporters to resolve all foreign trade-related issues.
The RBI has identified private sector lender HDFC Bank Ltd as a Domestic-Systemically Important Bank (D-SIB).
The Central Board of Direct Taxes (CBDT) was on 4 September 2017 honoured by Minister of State for Personnel Jitendra Singh for successfully resolving public grievances.
Five banks of the BRICS (Brazil, Russia, India, China and South Africa) Bank Cooperation Mechanism have agreed to establish credit lines in the national currencies and cooperate on credit ratings.
The due-date for filing Income Tax Returns and various reports of audit prescribed under the Income-tax Act, 1961 has been extended from 30 September 2017 to 31 October 2017.
The high-value currency notes of Rs 500 and Rs 1000 were banned by Union Government in November 2016 as a means to combat counterfeiting, black money and the financing of terrorist activities.
The DIPP announced the initiation of new Industrial Policy. This new industrial policy will be aimed at making India a manufacturing hub through ‘Make in India’. It will suitably incorporate the use of modern smart technologies such as IOT, artificial intelligence and robotics for advanced manufacturing.
For the first time, the policy has included start-ups. As per the norms, start-ups can raise up to 100 per cent of funds from Foreign Venture Capital Investor (FVCI)
The Pradhan Mantri Jan Dhan Yojana started on the eve of Independence day in 2014. Since then this project has linked 30 crore families with the banking network and has deposited more than 65000 crore rupees in their accounts. In three years, Jan Dhan scheme unleashed JAM revolution which includes PMJDY, AADHAR and mobile.It is that effort which resulted into linking of 73.62 crore accounts with about 52.4 crore unique Aadhaar numbers in India.