October 2019 Economic Affairs

Sakshi Education

Tata Sons board okays 6,500 crore equity infusion in Tata Motors
Tata Motors Ltd its board approved an equity infusion of Rs.6,500 crores from its promoter Tata Sons Pvt. Ltd. Tata Motors will allot ordinary shares and warrants to the developer in return, subject to shareholder approval. The board approved raising Rs.3,500 crores via external commercial borrowing, which will be used to refinance its existing debt. The total debt stands at around Rs.50,000 crores, of which Rs.20,000 crore is in its stand-alone business.

The equity infusion from the promoters will help Tata Motors to reduce its absolute debt levels primarily. The fundraise will help Tata Motors' stand-alone business, where the balance sheet has debt issues. Jaguar Land Rover's (JLR's) balance sheet, however, is secure and is in no need of capital infusion currently.
EPFO warns provident fund account holders of fraud
Employees Provident Fund Organization (EPFO) started crediting interest to its six crore subscribers spread throughout India, provident fund account holders warned against a fraud.

The EPFO officials and seek personal details like Aadhaar card number, PAN card number, or even UAN (Universal Account Number), its password, or an OTP to siphon off money from your EPF account. The EPFO asked subscribers not to share these details with anyone over phone or email, as this could lead to fraud.
BACKGROUND:
EPFO never ask EPF account holders to share their details or deposit any amount in the bank. "Don't disclose your personal information over the phone. Sharing such details can help a hacker log in to your EPF account and compromise its security.

Those who have changed jobs but are yet to transfer their old PF account balance to the new one are usually the targets of such hacking attempts. In the past, there have been cases where PF account holders found that somebody had withdrawn money on their behalf several months ago. The EPFO has been taking several steps to strengthen its security system.

To prevent leakage of personal data of members and subsequent fraud, the UAN-based inquiry system for checking claim settlement status can now be accessed only through the member passbook application on the EPFO website where you have to log in with the user id and password to get the status of claim settlement. UAN has also been linked to the Aadhaar card.
RBI imposes fine on Janata Sahakari Bank & Jalgaon Peoples Co-operative Bank
The Reserve Bank of India (RBI) has imposed a fine of Rs 1 crore on Pune-based Janata Sahakari Bank and Rs 25 lakh on Jalgaon Peoples Co-operative Bank for violating income recognition, advances management and asset classification norms.

The penalty has been imposed in exercise of powers vested in the RBI under the provisions of the Banking Regulation Act, 1949, taking into account failure of the bank to adhere to the aforesaid directions issued by the RBI.

The action is based on deficiencies in regulatory compliance and is not intended to pronounce upon the validity of any transaction or agreement entered into by the bank with its customers.
US federal reserve damaging to economy more than China: Donald Trump
US President Donald Trump on 31 October, 2019 slammed the Federal Reserve, alleging that its policies are more damaging to the American economy than China.

Trump's remarks were the latest in a series of recent barrages he has unleashed at the Fed.

People are very disappointed with the central bank and its Chair Jay Powell.

China and the US are working on selecting a new site for signing of Phase One of Trade Agreement, about 60 per cent of total deal, after APEC in Chile was cancelled due to unrelated circumstances.
CBDT extends all ITRs filing deadline for J&K, Ladakh to November 30
The Central Board of Direct Taxes (CBDT) on 31 October, 2019 extended the deadline for filing of all kinds of income tax returns to November 30 in the newly-created Union Territories of Jammu and Kashmir, and Ladakh.

The policy-making body for the Income Tax department issued an order stating that on consideration of reports of disturbances in internet facility in certain areas of Jammu and Kashmir, the CBDT...further extends the due date for filing of ITRs and tax audit reports to November 30 in respect of all categories of income tax assessees in the UTs of Jammu and Kashmir, and UT of Ladakh.

The ITRs filed by individual taxpayers, post the set deadline of August 31, will also be considered valid as part of the latest order.
TRAI fixes ring timings for mobiles, landlines
In a couple of weeks from now, mobile phone users will get 30 seconds to answer or reject a call, before it is considered a missed call.

In a new regulation, the Telecom Authority of India (TRAI), has fixed the ring time for calls made to mobiles at 30 seconds, and those made to landlines at 60 seconds.

The notification is likely to impact interconnect usage charges between operators.

The new rules, which will come into effect after 15 days, bring to an end a face-off between two major operators — Reliance Jio and Bharti Airtel — over the issue. Last month, Bharti Airtel had cut the ringing time for calls made by its subscribers to 25 seconds from about 45 seconds, in retaliation to a similar move by rival Reliance Jio.

Authority felt that appropriate value of duration of alert is to be 30 seconds for Cellular Mobile Telephone Service and 60 seconds for Basic Telephone Service.
Sri Lankan economy gradually recovering from the impact of Easter Sunday attacks: IMF
The Sri Lankan economy is gradually recovering from the impact of the Easter Sunday attacks.

The growth is projected to strengthen to 3.5 percent in 2020, from 2.7 percent in 2019, as tourist arrivals and related activities gradually recover.

The authorities are taking actions to mitigate the revenue shortfalls caused by the terrorist attacks and preserve the hard-won gains made under the program.

IMF added that sustained efforts to mobilize revenues will be needed in 2020 to place public debt on a downward path, while preserving space for critical social and investment spending. Sri Lanka's extended arrangement was approved in 2016 for about 1.5 billion US dollars on concessional terms.
GeM signed MoU with Indian Bank & Canara Bank
Government e-Marketplace (GeM) signed MoU with Indian Bank and Canara Bank for payment- related services.

The MoU will provide a paperless, cashless, and transparent payment system on the GeM portal.

Ministry of Commerce launched the GeM initiative to offer a one-stop platform that provides an online procurement of common use goods and services.
MMTC offers discount on India Gold Coin to mark 150th birth anniversary of Mahatma Gandhi
The Public sector Metals and Minerals Trading Corporation of India (MMTC) is offering a three per cent discount on the India Gold Coin to mark the celebrations of the 150th birth anniversary of Mahatma Gandhi.

Despite the global slow down, MMTC witnessed a record selling of gold. He said that with Dhanteras festival around the corner, MMTC is geared up to cater to the city's festive season demand of gold and silver with a brand new edition of its festival of Gold Exhibition-cum-sale.
FPIs pour in Rs 5,072 crore in Indian Capital markets
Foreign portfolio investors (FPIs), have infused a net sum of 5,072 crore rupees into the Indian capital markets this month (October, 2019) so far amid the government's efforts to revive domestic demand.

As per the latest depositories data, foreign investors put in a net sum of 4,970 crore rupees in the equities and a net 102 crore rupees in the debt market during 1st to 18th October, 2019.

In the preceding month, FPIs had invested about 6,558 crore rupees in the domestic capital markets (both equity and debt).

This came following net outflows in July and August.
India Post launches mobile banking facility
The Department of Post announced that it has launched mobile banking for its savings account customers.

The facility will be available on all the post office savings account holders of the CBS (core banking solutions) post offices.

The launch of the mobile banking facility comes almost a year after the Department of Post launched Internet banking facility for its savings account holders.
World Bank Report: India takes Huge Strides in improving Ease of Doing Business
The World Bank released its latest Doing Business Report (DBR, 2020). India has recorded a jump of 14 positions against its rank of 77 in 2019 to be placed now at 63rd rank among 190 countries assessed by the World Bank.

India's leap of 14 ranks in the Ease of Doing Business ranking is significant considering that there has been continuous improvement since 2015 and for the third consecutive year India is amongst the top 10 improvers.

As a result of continued efforts by the Government, India has improved its rank by 79 positions in last five years (2014-19).

India has improved its rank in seven out of 10 indicators and has moved closer to international best practices (Distance to Frontier score). Significant improvements have been registered in ‘Resolving Insolvency’, 'Dealing with Construction Permits', ‘Registering Property’, ‘Trading across Boards’ and ‘Paying Taxes’ indicators. The changes in seven indicators where India improved its rank are as follows:

The important features of India's performance this year are:
- The World Bank has recognized India as one of the top 10 improvers for the third consecutive year.
- Recovery rate under resolving insolvency has improved significantly from 26.5% to 71.6%.
- The time taken for resolving insolvency has also come down significantly from 4.3 years to 1.6 years.
- India has reduced the number of procedures in granting construction permits.
- India continues to maintain its first position among South Asian countries. It was sixth in 2014.
GeM and Federal Bank signed MoU
The Government e-Marketplace (GeM) signed a MoU with Federal Bank to offer a number of services including transfer of funds through GeM Pool Accounts (GPA), advising of Performance Bank Guarantees (e-PBG) and Earnest Money Deposit (EMD) to the registered users on the portal.

The MoU will facilitate a cashless, paperless and transparent payment system on the portal.
Odisha and the World Bank signed agreement to support smallholder farmers
The Government of India, Government of Odisha and the World Bank signed a US$165 million loan agreement to support smallholder farmers strengthen the resilience of their production systems.

The Odisha Integrated Irrigation Project for Climate Resilient Agriculture will be implemented in rural areas vulnerable to droughts and largely dependent on rainfed agriculture.
Air India says jet fuel payment issues to be sorted out soon with oil PSUs
State-owned Air India on 13 October, 2019 said the aviation jet fuel payment issues are being sorted out and will be resolved soon with the oil PSUs, which have warned the carrier of snapping supplies at six key airports if it does not make monthly lump sum payment by 18th October, 2019.

The airline in statement also assured its customers of smooth operations, saying it has taken all the measures in the eventuality of the two sides failing to reach an understanding on the issue.

In a letter sent to Air India last Thursday, the three government-owned oil marketing firms -- Indian Oil Corporation Ltd (IOCL), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) -- the outstanding had not come down considerably in the absence of the committed monthly lump sum payment.
Bangladesh become 2nd fastest growing economy in South Asia: World Bank
Bangladesh has become the second-fastest growing economy in South Asia after Bhutan. World Bank in its report 'South Asia Economic Focus, Making (De) Centralization Work' released on 13 October, 2019 projected GDP growth rate from moderate to 7.2 per cent this fiscal year and 7.3 per cent in 2020 in Bangladesh.

The report points out that its economy is likely to maintain growth above 7 per cent, supported by a robust macroeconomic framework, political stability, and strong public investments. Bangladesh has reduced the current account deficit due to rising export and remittances which was above dollar 15.5 billion in 2018.

However, the report says financial sector vulnerability, fiscal pressures and loss of external competitiveness pose challenges to its growth rate.

Indicating vulnerability in the financial sector, World Bank report says, low deposit growth rate and rising bad loans along with low credibility of Letter of credit guarantees in the international market remain causes of worry for Bangladesh.

The report points out that despite slowdown in industrial growth rate, the industrial sector remains strong as the country’s garment industry benefited from the trade tensions between the United States and China.

Bangladesh need to address key structural challenges such as reducing the infrastructure deficit, enhancing human capital, improving urban management and managing climate change risks.
FM Nirmala Sitharaman scheduled to meet Chief Executive Officers of PSBs in New Delhi
Union Finance Minister Nirmala Sitharaman is scheduled to meet Chief Executive Officers of the Public Sector Banks(PSBs) in New Delhi.

The meeting is expected to discuss various issues including progress on credit off-take as part of the government's efforts to prop up the economy.

It will review the fund flow to stressed Non-Banking Financial Companies and Micro, Small and Medium Enterprises sectors.

According to sources, the banks are expected to present report card on partial credit guarantee scheme and fund raising from market to enhance their capital base.

This will be the second meeting of the Finance Minister with CEOs of the PSU banks in less than a month.
RBI raises withdrawal limit to Rs 40,000 for PMC bank account holders
Reserve Bank has enhanced the withdrawal limit for the account holder of Punjab and Maharashtra Cooperative Bank or PMC Bank to 40 thousand rupees from 25 thousand rupees.

This is the third time, RBI has raised the withdrawal limit since its clamp down on PMC Bank last month (September, 2019).

After reviewing the bank's liquidity position and its ability to pay its depositors, it has decided to further enhance the limit. With the revised relaxation, about 77 per cent of the depositors of the bank will be able to withdraw their entire deposits.

Finance Minister Nirmala Sitharaman is closely monitoring the developments at PMC Bank, and the RBI governor has assured to protect customers' interest.

Providing further relief to the customers, the move comes after the weekend assurance by Finance Minister Nirmala Sitharaman.

she will urge the Reserve Bank to look into the woes of the depositors of the cooperative bank with urgency. The irate depositors had met her in Mumbai.

Punjab & Maharashtra Cooperative Bank, which is among the top 10 urban cooperative banks, was placed under an RBI administrator on September 23 for six months due to massive under-reporting of dud loans.

The bank had come on regulatory radar after Housing Development & Infrastructure Ltd (HDIL) and its directors failed to repay a Rs 4355 crore putting the bank under liquidity stress. The regulator had capped deposit withdrawals first at Rs 1,000, which was subsequently increased to Rs 10,000 and Rs 25,000.
ED seizes assets worth Rs 3,830 crore in PMC Bank money laundering case
The Enforcement Directorate has seized and identified assets worth three thousand eight hundred 30 crore rupees in connection with its probe in the PMC Bank money laundering case.

It is valuing a number of properties of Housing Development and Infrastructure Limited, HDIL, its directors, promoters, Punjab and Maharashtra Co-operative, PMC Bank officials and others.

The identified assets will soon be attached under the Prevention of Money Laundering Act, PMLA. The ED said, further probe is in progress to identify and locate the balance proceeds of crime.

The ED case is based on an FIR filed by the Economic Offences Wing, EOW of Mumbai police. The central agency had conducted raids in the case early this month.
WTO gives nod to US to impose trade sanctions on EU goods worth 7.5 billion USD
The World Trade Organization, WTO, has formally given the go-ahead for the United States to impose trade sanctions on up to 7.5 billion dollars worth of European Union goods.

This follows a ruling that European planemaker Airbus received illegal subsidies.

The move by the WTO's dispute settlement body was largely a formality after the long-awaited ruling by a WTO arbitration panel on the 2nd of October, 2019.

The ruling found that the European bloc and member States Britain, France, Germany and Spain failed to remove improper subsidies for Airbus that hindered sales by US rival Boeing.
RBI issues guidelines on 'on tap' authorisation on payment systems
Reserve Bank has issued guidelines on ‘on tap' authorisation of payment systems, including minimum networth criteria for different players, with an aim to encourage innovation and competition.

RBI has been decided to offer on-tap authorisation for Bharat Bill Payment Operating Unit (BBPOU), Trade Receivables Discounting System (TReDS) and White Label ATMs (WLAs).

For entities desirous to function, operate, or provide platforms for BBPOU, the RBI should have a 100 crore rupees net worth and should be maintained at all times.

In case of TReDS, the minimum paid up equity capital should be 25 crore rupees.

The minimum net worth for entities desirous of entering the WLA segement should be 100 crore rupees.

Earlier in January 2019, the Reserve Bank had released a policy paper on authorisation of new retail payment systems.
Rupee appreciates by 11paise at 71.43 against USD
The rupee on 16th October, 2019 recovered from initial losses to settle 11 paise higher at 71 rupees and 43 paise against the dollar, tracking gains in domestic equity markets and softening crude oil prices.

Traders said, foreign fund inflows also supported the local currency.
PMC Bank Admin meets RBI Governor Shaktikanta Das, discusses bank's operations
RBI-appointed administrator of crisis-hit Punjab and Maharashtra Cooperative - PMC Bank, J B Bhoria, met Governor Shaktikanta Das and other senior officials in Mumbai to discuss the bank’s operations.

Mr Bhoria informed that PMC is in the process of recasting its balance sheet to present a true and fair picture of its accounts.

It further assured that the bank will make all efforts to safeguard the interests of depositors and other stakeholders.

With deposits of over 11,000 crore rupees and total loan assets of over 9,000 crore rupees, the bank is reported to have given over 6,500 crore rupees in loans to realty firm HDIL.

According to the Mumbai Police's Economic Offences Wing, HDIL's loans turned into non-performing assets, but the bank management shielded this huge exposure from RBI's scrutiny.
Government probing Flipkart and Amazon for alleged predatory pricing: Commerce Minister
The government is probing WalMart-owned Flipkart and Amazon over the alleged predatory pricing.

Stating that e-commerce companies have no right to sell products at discounts that will result in retail sector incurring major loss, these platforms are only allowed to connect potential sellers and buyers.

Stringent action will be taken, if there is violation of any law in letter or in spirit.

The matter comes after the Confederation of All India Traders had written to the Ministry seeking an audit into the business model of all e-commerce firms and the foreign-owned Amazon and Flipkart in particular.

The letter had asked the government to verify Amazon and Flipkart’s claims that individual brands are offering discounts and not them.

Mr. Goyal, who also holds the Railways portfolio, refuted rumours that the Railways might exit its ticketing arm IRCTC which had a stellar stock market debut earlier this week following a hugely successful IPO. Mr. Goyal said the government has no plan to fully sell IRCTC.
India on course to be 5 trillion economy by 2024
Prime Minister Narendra Modi has asserted that his government is on course to make India a five-trillion dollar economy in the next five years despite apprehensions being expressed by experts and the opposition.

Addressing an election rally in Pune, Mr Modi it is not just a figure for us.

It is the government's resolve to make India a 5 trillion dollar economy by 2024.

Indian economy is full of opportunities for the youth and the recent policy decisions will further boost its growth.

The government is also planning to pump in over 100 lakh crore rupees in infrastructure projects.

The nature of employment is changing and skill upgradation is the key.

That inclusive society brings investment and investment brings innovation.

That steps like abrogation of Article 370 will lead us towards inclusive society and it will not only benefit Kashmir but change the atmosphere of the entire country.
Despite IMF's projections, India remains among fastest growing economies: Finance Minister
India remains among the fastest growing economies of the world and efforts are being made to make it grow faster.

International Monetary Fund (IMF) has projected a reduced growth rate for India, but the country's economy is still growing as the fastest.

Mrs Sitharaman is certainly not risking a comparison with China, even though the two countries growth rates have been projected at 6.1 per cent in a latest IMF report.

The IMF in its latest projections reduced the growth rate for all the global economies. It reduced the growth for India too. But even with that India is still growing as the fastest growing economy.

As against India's real growth rate of 6.8 per cent in 2018, the IMF in its latest World Economic Outlook released, projected the country's growth rate at 6.1 per cent for 2019 and noted that the Indian economy is expected to pick up at 7 per cent in 2020.

Responding to a question on the status of the India-US trade deal currently been negotiated between the two countries she said there has been narrowing of trade differences between India and the US and hoped the two countries will be able to enter into a trade deal soon.

Mrs Sitharaman is in Washington to attend the annual meeting of the IMF and the World Bank.
Home Credit India tied with Karur Vysya Bank
Home Credit India (HCIN), has tied-up with Karur Vysya Bank (KVB) for joint lending using end-to- end automated processing which will help the customer get real-time approval and disbursement.

Under the agreement, HCIN and KVB will disburse loans in a single amount to customers.

With this partnership, Home Credit India will be able to reach out to a new segment of customer.
Finance Minister asserts India will continue to ensure inclusive development despite global slowdown
As per FM, India is committed to have a sound macro-economic environment conducive to fuel growth and ensure inclusive development, notwithstanding the recent slowdown.

Addressing the annual meeting of the International Monetary Fund (IMF) in Washington India is firmly committed to the path of fiscal consolidation. She said fiscal deficit has been budgeted to be 3.3 per cent of GDP in Financial Year 2019-20 compared to the 3.4 per cent in the preceding year.

The IMF in its latest World Economic Outlook released on Tuesday, projected the country's growth rate at 6.1 per cent for 2019 and noted that the Indian economy is expected to pick up at 7 per cent in 2020.

Sitharaman said India has provided impetus to growth by rationalising and reducing corporate tax rates that will stimulate private sector investment in infrastructure and industry.

Negotiations between India and the United States on a trade deal are going on in "full speed" and expressed hope that it will conclude soon.

The ongoing trade deal negotiations briefly came up for discussion during a pull-aside between Sitharaman and US Treasury Secretary Steven Mnuchin at the IMF headquarters.
Mumbai Police arrests former chairman of PMC Bank for alleged 4,355 crore rupees scam
The Economic Offences Wing of Mumbai Police has arrested Waryam Singh, former chairman of Punjab and Maharashtra Cooperative (PMC) Bank, in connection with the alleged 4,355 crore rupees scam at the bank.

This is a fourth arrest in the case.

In another development, former managing director of the bank, Joy Thomas, has been remanded to police custody till 17th of October.

The police had arrested directors of the bankrupt Housing Development and Infrastructure (HDIL) Rakesh Wadhawan and his son Sarang in connection with the case.
Bandhan Bank and Gruh Finance to merge
Bandhan Bank and Gruh Finance will merge, with the National Company Law Tribunal (NCLT) clearing the scheme of amalgamation.

The scheme has been approved by NCLT's Kolkata and Ahmedabad benches.

October 17, 2019, has been fixed as the record date following the effectiveness of scheme for determining shareholders of the merged entity
FM to inaugurate NeAC for better taxpayer service
Finance Minister Nirmala Sitharaman will inaugurate National e-Assessment Centre (NeAC) for better taxpayer service and promotion of ease of doing business in New Delhi.

Income Tax Department's NeAC, will avoid face-to-face interaction between taxpayers and tax officials.

The finance ministry said in a statement that setting up of NeAC is a step to reduce taxpayer grievances in line with the prime minister's vision of 'Digital India'.

The new initiative shall impart greater efficiency, transparency and accountability in the assessment process. Under the new system, taxpayers have received notices on their registered e-mails as well as on registered accounts on the web portal www.incometaxindiaefiling.gov.in with real-time by way of SMS.

The notice specifies the issues for which their cases have been selected for scrutiny.

Replies to the notices can be prepared at ease by tax payers and sent by email to the NeAC by uploading the same on the designated web portal.
WTO cuts global trade growth forecast
The World Trade Organization (WTO) trimmed by more than a half its 2019 global trade growth forecast to just 1.2%.

The WTO had in April projected a 2.6% rise in the volume of merchandise trade for 2019.

It also cut its forecast for 2020 to 2.7% from 3% predicted in April. World merchandise trade volume grew 3% in 2018.
GST authorities arrest 2 for fraudulently availing Rs 127 cr input tax credit
Directorate General of GST Intelligence (DGGI), Gurugram Zonal Unit in Haryana has arrested two persons for generating fake invoices and fraudulently availing input tax credit totalling 127 crore rupees.

The two individuals were found involved in fake invoices racket having taxable value of 931 crore rupees and fraudulently passing or availing Input Tax Credit (ITC) amounting to 127 crore rupees through a complex web chain of various entities.

Many of these entities were under their control and they also formed separate entities in the name of their employees/dummy persons and generated fake invoices without actual movement of goods.

The arrested persons Gulshan Dhingra and Sanjay Dhingra, both residents of Delhi, were arrested on October 7 under various sections of the Central Goods and Services Tax Act (CGST), 2017 for causing loss to exchequer by evasion of GST.
LIC refutes social media claims; assures policyholders' money safe
Refuting social media claims, Life Insurance Corporation (LIC) has assured millions of its policyholders that their money is safe and secure.

The clarification came after messages on social media claimed that LIC is in heavy losses.

The news on social media is factually incorrect, uncorroborated and intends to tarnish its image and also create panic in the minds of policy holders.

Assuring policy holders of its sound financial health, the national insurer urged the not to take cognizance of any misleading news.

LIC had declared the highest-ever bonus amounting to 50,000 crore rupees and upwards to its policy holders for the year 2018-19.
Nirmala Sitharaman assures crisis-hit PMC Bank investors
Union Finance Minister Nirmala Sitharaman on 10 October, 2019 assured aggrieved investors of crisis-hit Punjab Maharashtra Co-operative - PMC Bank that she will speak to the Reserve Bank Governor on how the banking operations can be normalised at the earliest. The minister met a group of distressed customers of PMC bank in Mumbai.

RBI is doing whatever is necessary and as per law but she will still try to put forth the customers’ misery before the banking regulator.

The minister further informed that finance ministry is studying the issue in detail to find out what went amiss in case of PMC so as to avoid such cases in the future.

secretaries from the department of financial services and economic affairs will be meeting a deputy governor of RBI to suggest amendments in necessary laws that can help in prevention of such incidents and to empower the regulator.

Any necessary changes to law as suggested by this group will be introduced in the winter session of Parliament.

The Reserve Bank had imposed severe restrictions on Punjab Maharashtra Co-operative Bank last month due to its weak financials, sending a frenzy among depositors who are currently allowed to withdraw just 25000 rupees.

The bank was in bad health allegedly due to its exposure to the near bankrupt realty player HDIL.
National Fertilizers presents dividend of over 28 crore rupees to Government
National Fertilizers Limited on 10 October, 2019 presented dividend of over 28 Crore Rupees to the Government of India for the year 2018-19.

Chairman and Managing Director of National Fertilizers Limited Manoj Mishra presented Dividend Cheque of 28.22 crore rupees to the Union Minister for Chemicals and Fertilizers D.V. Sadananda Gowda in the presence of Fertilizers Secretary Chhabilendra Roul.

National Fertilizers Limited has presented a cumulative dividend of around 1157 crore rupees to the Government till date against paid up equity of 490.58 crore rupees.
U.K. to issue coin in honour of Mahatma Gandhi
The U.K. government has decided to issue a commemorative coin to mark the 150th birthday anniversary of Mahatma Gandhi.

The Pakistani-origin British finance minister said he had asked the UK’s Royal Mint to work on the coin so that the world never forgot what Gandhi taught it.

Announced this on 10 October, 2019 at the annual GG2 ceremony in London to celebrate the British Asian success.

Mr. Javid has topped the power list released annually by the Asian Media Group (AMG), UK-based publishers behind the GG2.

Awards celebrate the 150th birthday of Gandhi — a fitting time to announce that I’ve asked the Royal Mint of the UK to propose a new commemorative coin in his honour. We should never forget what Gandhi taught the world.

Gandhi taught us that power doesn’t just come from wealth or high office. We must always remember the values he lived his life by and that our parents brought with them when they arrived here all those years ago.
India extends over 60 million dollar line of credit to Comoros for Energy and Maritime Defence Cooperation
India will extend a Line of Credit of over 60 million US Dollars to Comoros in the field of energy and maritime defence cooperation.

Both the countries have signed some important agreements including cooperation in defence and energy sectors.

India will extend a Line of Credit of over 41.6 million US Dollars for setting up of 18 MW Power Plant in Moroni and another 20 million US Dollars for the procurement of High-Speed Interceptor Boats.

Even as political stability and peaceful transition takes place in Comoros, terrorism has, time and again, threatened to derail this process.

Terrorist groups, threaten peace and stability and render state institutions vulnerable. Piracy and maritime threats as well as cross border transnational crimes, including cybercrimes, have only added new dimensions to the problem.

As Comoros continues to be a victim of cross border terrorism, India is willing and ready to partner with it, and supplement its efforts to neutralise these threats, particularly in the maritime domain.

The Vice President was also conferred 'The Order of the Green Crescent', the highest Civilian Honour of Comoros, by Azali Assoumani, President of Comoros in Moroni.
Industrial output declines by 1.1% in August
Industrial output declined by 1.1 per cent in August due to poor performance by manufacturing, power generation and mining sectors.

The Index of Industrial Production (IIP) had expanded by 4.8 per cent in August 2018.

The overall IIP growth during April-August period was 2.4 per cent, down from 5.3 per cent in the corresponding period of the last fiscal.
GeM signed MOU with Union Bank of India
Government e-Marketplace (GeM) signed a MoU with Union Bank of India (UBI) in New Delhi on October 10, 2019.

Through this partnership, UBI will be able to offer an array of services including transfer of funds through GeM Pool Accounts (GPA), advising of Performance Bank Guarantees (e-PBG).

The MoU will facilitate a cashless, paperless and transparent payment system on the portal.
RBI approves merger of DCBs
The RBI has given approval to the Kerala government to amalgamate 13 district cooperative banks (DCBs) with the Kerala State Cooperative Bank to form Kerala Bank.

Except the Malappuram District Cooperative Bank, all district banks had approved the scheme of amalgamation proposed by the State government at their respective general body meetings.
Mumbai is the 12th wealthiest city in the world
According to 'The Wealthiest Cities Worldwide in 2019 list' by New World Health, Mumbai is the 12th richest city in the world with a total wealth of $960 billion.

It is the only Indian city to feature in the top 20 list of wealthiest cities in the world.

Delhi is the second Indian city with 22nd position on the list.

New York City topped the list with a total wealth of $3.0 trillion.
Moody’s cuts India’s GDP growth forecast
Moody, the rating agency has lowered its 2019-20 GDP growth forecast for India to 5.8% from 6.2%.

It stated that the Indian economy is experiencing a pronounced slowdown partly due to long- lasting factors.

It expects growth to pick up to 6.6% in FY21 and around 7% over the medium term.

India’s economic growth slumped to a six-year low of 5% in the April-June quarter.
Foreign investors pour in Rs 7,714 cr into capital markets in September
After remaining net sellers for the past two months, foreign investors infused a net 7,714 crore rupees into the domestic capital markets in this month following a slew of economic reforms by the government.

The Centre last week slashed corporate tax rate by around 10 percentage points and also clarified that the enhanced tax surcharge will not apply on capital gains arising from sale of any security, including derivatives, in the hands of foreign portfolio investors (FPIs).

Besides, the Securities and Exchange Board of India (Sebi) simplified KYC requirements for FPIs and granted them permission to carry out off-market transfer of securities.

As per latest depositories data, FPIs poured around 7,850 crore rupees into equities and withdrew around 136 crore from the debt segment between 3rd to 27th this month, translating into a cumulative net inflow of 7,714 crore rupees.

Prior to this, foreign investors had pulled out a net 5,920 crore rupees in August and 2,986 rupees crore in July from the domestic capital markets (both equity and debt).
16th Global SME Business Summit held
The 16th Global SME Business Summit 2019 was held in New Delhi on 24 September 2019.

The Summit is organized every year by the Ministry of MSME and Confederation of Indian Industries (CII).

The theme this year is 'Making Indian MSMEs Globally Competitive'.

The summit was attended by more than 500 delegates from more than 15 countries.
APTEL approves acquisition of Prayagraj power project by Tata Power JV
APTEL approved transfer of ownership of Prayagraj Power Generation Company Limited (PPGCL) to Resurgent Power Ventures Pte. Ltd, but without any reduction of adopted tariff.

Resurgent is a joint venture between Tata Power International Pte. Ltd, ICICI Bank, Kuwait Investment Authority and State General Reserve Fund of Oman set up to acquire assets in the Indian Power Sector

Prayagraj Power owns and operates a 1980 MW (3X660MW) coal based thermal power project in the state of UP and had become an NPA due to financial and operational stresses.

They selected as the successful bidder in resolving this stressed asset and had signed a Share Purchase Agreement with the Lenders for acquisition of 75 per cent shares of PPGCL.

The judgment of APTEL is a positive development for power sector and specifically for resolution of stressed assets. The APTEL judgement protects economic viability of stressed assets post resolution, thus providing certainty for the bidders who wish to participate in the resolution process of stressed assets in the future.
ITI Limited enters Cloud Services business
Public sector telecom firm ITI Limited launched its cloud services and solutions platform for central and State government entities, banks, public sector undertakings, small and medium enterprises and Start-ups in India.

The services, which include Infrastructure as a Service (IaaS), Platform as a Service (PaaS), Software as a Service (SaaS) and Storage as a Service (STaaS) will be offered through a partnership with Connectivity IT Solutions, which is a data center provider.

ITI claimed that its cloud facility is expected to achieve optimum utilization of the infrastructure and speed up the development and deployment of various ICT-IOT based applications for customers help government and non-government enterprises to procure ICT services on demand.

The data will be stored in Connectivity IT Solutions’ data center facility while the systems integration firm will also support ITI with Cloud infrastructure, R&D capabilities and technical manpower.

The new cloud service offered by ITI Data Center are expected to provide end-to-end IT infrastructure. They including new age cloud services to all its customers in the coming years. The initiative also exhibits ITI’s commitment to the Government of India’s flagship initiatives like Digital India.

The ITI cloud initiative is one of the outcomes of the guidelines recommended by Government of India in 2017 on setting up of IT infrastructure by government departments using cloud computing technology with a clause mandating that all data must be stored within the country. The cloud services of ITI Data Center will enable PSU Banks, Central, and State Government undertakings, MNCs, corporate and large enterprises to have their data located within the country.
State Bank of India becomes first Indian bank to have office in Australia's Victoria
State Bank of India opened its Melbourne office to become the first Indian bank to have a branch in the Australian state of Victoria.

The Melbourne office will assist the growing trade and investment relations between Victoria and India and is the outcome of the state's 10-year India Strategy our shared future.

This investment by India's largest commercial bank is a testament to our thriving financial services sector and our highly skilled workforce.

The two-way merchandise trade between Victoria and India was to the tune of 1.76 billion Australian dollars in 2018.

The presence of leading Indian businesses, including Cipla, Cyient, HCL, Infosys, Ramco, Samvardhana Motherson Group, TCS, Tech Mahindra, Ugam Solutions, Wipro, Zoonga and Zomato. Victoria's financial sector employs more than 122,000 people and generates around 40 billion Australian dollars every year.
GST collection stands at 91,916 in September
Goods and Services Tax (GST) collection in the month of September has stood at 91,916 crore rupees as against 98,202 crore rupees in the preceding month.

Out of which, CGST is 16,630 crore rupees, SGST is 22,598 crore and IGST is 45,069 crore rupees.

The total number of GSTR 3B Returns filed for the month of August up to 30th September is 75.94 lakh.

According to an official release, the government has settled 21,131 crore rupees to CGST and 15,121 crore rupees to SGST from IGST as regular settlement.

The total revenue earned by Central Government and the State Governments after regular settlement in the month of September is 37,761 crore rupees for CGST and 37,719 crore rupees for the SGST.

The revenue during September this year has declined by 2.67 per
RBI appoints Jai Bhagwan Bhoria as administrator for PMC Bank
The Reserve Bank of India has superseded the Board of Punjab and Maharashtra Cooperative Bank Limited, Mumbai and appointed Jai Bhagwan Bhoria as the bank's administrator with all powers of the board.

According to an official release, the amount of withdrawal from the bank allowed to depositors has been increased from one thousand to ten thousand rupees.

The RBI's directives will remain in force for a period of six months. The depositors can access the website <www.pmcbank.com> for any grievance redressal and call on a toll-free number - 1800223993 - for enquiries.
RBI Cuts Repo Rate For Fifth Time
The Reserve Bank of India cut the repo rate by 25 basis points to 5.15 per cent. This marks the fifth straight reduction in the key lending rate so far this year. Repo rate is the key interest rate at which the Reserve Bank of India lends short-term funds to commercial banks.

In last four bi-monthly reviews, the six-member Monetary Policy Committee - chaired by Reserve Bank of India Governor Shaktikanta Das - had reduced the repo rate by 110 basis points (1.1 percentage point).

The government's fiscal space has been squeezed on account of cut in rates of corporate tax as well as lowering of GST rate on various goods. Revenue collection too has been below the Budget estimates.

With liquidity concerns in the NBFC sector almost taken care of, the real estate sector too is hopeful that the RBI will go in for the much-needed rate cut to boost demand for affordable housing.
Reserve Bank cuts repo rate by 25 basis points
The Reserve Bank of India (RBI) has slashed the policy repo rate under the liquidity adjustment facility (LAF) by 25 basis points to 5.15 per cent from 5.40 per cent with immediate effect.

Consequently, the reverse repo rate under the LAF stands reduced to 4.90 per cent, and the marginal standing facility (MSF) rate and the Bank Rate to 5.40 per cent.

Announcing its fourth bi-monthly monetary policy statement in Mumbai, RBI has revised the GDP outlook for 2019-20 to 6.1%, from 6.9% in previous Monetary Policy committee meet.

For 2020-21, RBI has revised the GDP outlook to 7.2%. The Monetary Policy Committee (MPC) also decided to continue with an accommodative stance as long as it is necessary to revive growth, while ensuring that inflation remains within the target.

The repo rate, at which it lends to the system, has been brought down to help reduce borrowing costs for home and auto loans, which are now directly linked to this benchmark. Reverse repo rate is the rate at which the RBI borrows money from commercial banks within the country.

This is the fifth straight cut in rates by the Reserve Bank in its key rates in as much policy reviews in 2019, and takes the total quantum of reductions to 1.35 per cent.
Cabinet approves new strategic disinvestment process
The Cabinet has approved a new process of strategic disinvestment with a view to expediting privatization of select PSUs.

The Cabinet approved the new policy under which the Department of Investment and Public Asset Management, DIPAM under the Ministry of Finance has been made the nodal department for the strategic stake sale.

DIPAM and NITI Aayog will now jointly identify PSUs for strategic disinvestment.

The decision has been taken with a view to streamlining and speeding up the process.

Finance Minister Nirmala Sitharaman during the presentation of the Budget had announced about increasing the divestment target from 90 thousand crore rupees to 1.05 lakh crore rupees for the current fiscal year, focusing on consolidation of public sector undertakings and strategic disinvestment.