GDP to grow at 6.9% in FY17, will recover to 7.2% in FY18: BofAML

India is expected to clock a GDP growth of 6.9 per cent this fiscal, which is likely to recover to 7.2 per cent in 2017-18, says a Bank of America Merrill Lynch (BofAML) report according to the PTI. "Looking ahead, we expect growth to end 2016-17 at 6.9 per cent and recover to 7.2 per cent in 2017-18, partly on base effects of the ongoing demonetisation shock," BofAML said in a resear

Indian food industry has huge economic potential: Amitabh Kant

The living tradition of diverse and healthy Indian food has a huge economic potential and will attract large scale investments as well as create more job opportunities, Amitabh Kant said as per the PTI report. "The potential of Indian food and retail segment is enormous. It is projected to touch 482 billion by financial year 2020 which is 250 billion right now.

"The sector h

India's core sector growth slows to 3.4% in January

The output of eight core sectors has declined to five-month low of 3.4 per cent in January compared to 5.6 per cent in December 2016, albeit higher than 2.9 per cent recorded in January 2016, according to data published by the commerce and industry ministry on Tuesday. The slump in the production was partially impacted by demonetization move by the government in November last year.

Th

Indian economy is expanding at a fast pace: OECD Report

The OECD in its new report said that, Indian economy is expanding at a fast pace, boosting living standards and reducing poverty nationwide. Further reforms are now necessary to maintain strong growth and ensure that all Indians benefit from it.

According to the latest OECD Economic Survey of India 2017, the acceleration of structural reforms and the move toward a rule-based macroecon

India’s factory activity gains momentum in February

Indian factory activity gathered pace in February as a rebound in export demand contributed to a stronger expansion of total new orders, signaling acceleration in Asia’s third biggest economy which expanded 7 per cent in the October-December quarter.

The Nikkei Markit India Manufacturing Purchasing Managers' Index (PMI) -- an indicator of manufacturing activity -- increased

CBDT signs 10 more advance pricing pacts

The Central Board of Direct Taxes (CBDT) has signed ten more Advance Pricing Agreements (APAs) over the last one week, including 7 unilateral APAs, two bilateral APAs with the United Kingdom and Japan, as per the government release. The Ministry of Finance said in a statement that, seven of these agreements have rollback provisions in them. Now, the total number of APAs entered into by the CBDT

Factbox - How India is trying to tackle its bad loans problem

MUMBAI - Reserve Bank of India Deputy Governor Viral Acharya has proposed setting up "bad bank"-type institutions to deal with the $133 billion in stressed assets accumulated by Indian banks after years of reckless lending.

The proposal is similar to one by the government's Chief Economic Adviser Arvind Subramanian, who has called for a bad bank.

India Inc pitches for reforms as economy grows 7% in Q3

With the GDP growing by 7 per cent in the third quarter, India Inc said the economy is getting back on track yet reforms are needed to revive investments and push demand hit by note ban. "Growth is expected to recover in the next financial year. The direction indicated in the Union Budget announced earlier this month is encouraging and will further strengthen the domestic economy.

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Sufficient capital to be made available for PSBs: Shaktikanta Das

Economic Affairs Secretary Shaktikanta Das has asserted that adequate capital will be made available for state-owned banks and every amount of tax payers' money given would be linked to their performance, said media reports.

Commenting on the issue, Economic Affairs Secretary Shaktikanta Das told the media, "The easier solution people have been talking about the problem of ba

India should introduce inheritance tax: OECD

Global think-tank OECD has said that India should bring down corporate tax rate to 25 per cent, introduce inheritance tax and provide certainty in rules. In its Economic Survey of India, the OECD said comprehensive tax reforms, especially the goods and services tax, would lift all boats and raise revenue helping the government effectively deal with high poverty rate.

As per reports, o

India's GDP to grow 7.1% in FY'17

The government pegged GDP growth at a higher-than-expected 7.1 per cent for the current fiscal despite note ban with agriculture sector doing exceptionally well, helping India retain the tag of world's fastest growing major economy, reported PTI.

The Central Statistics Office (CSO) put the growth rate for October-December -- the quarter in which the government banned 86 per cent o

Government sees FY17 per capita income rising 10% to Rs 1,03,818

India's per capita net national income is expected to rise 10.2 per cent to Rs 103,818 in the current fiscal, government data showed according to the PTI report. The per capita national income during 2015-16 stood at Rs 94,178, an increase of 8.9 per cent from the previous fiscal. "The per capita net national income during 2016-17 is estimated to be Rs 103,818 showing a rise of 10.2 pe

Banks stare at heavy treasury losses in Q4 as yields soar

Banks' heavy investments into G- secs since the note-ban may turn out to be a bad call as they await a treasury shock in the current quarter following the 45 -50 bps spike in bond yields, reported PTI. The bond yields gained after the Reserve Bank surprised the market with a status quo and more so with its negative stance on inflation, in the February 8 policy review.

Since then a

India Inc pitches for reforms as economy grows 7% in Q3

With the GDP growing by 7 per cent in the third quarter, India Inc said the economy is getting back on track yet reforms are needed to revive investments and push demand hit by note ban, reported PTI. "Growth is expected to recover in the next financial year. The direction indicated in the Union Budget announced earlier this month is encouraging and will further strengthen the domestic eco

India's core infra industries' output grows by 3.4% in January

The output of India's eight infrastructure industries last month increased by 3.4 per cent from a growth of 5.6 per cent reported in December 2016, official data showed on Tuesday.

The Eight Core Industries (ECI) index had reported a rise of 5.7 per cent in January 2016. The cumulative growth during April to January stood by 4.8 per cent.

The data which represents the ou

Tough love for bad debt? RBI deputy targets Indian banks' toxic loans

By Rafael Nam and Suvashree Choudhury

MUMBAI  - Economist Viral Acharya spent nearly two decades studying banking crises around the world. Now, as a deputy governor at India's central bank, he is turning his attention to one that may be developing at home.

At issue is what to do with $133 billion in stressed assets accumulated by banks after years o

India's fiscal deficit breaches 2016/17 target in January

NEW DELHI - India's fiscal deficit in the first 10 months to January was 5.64 trillion rupees ($84.56 billion) or 105.7 percent of the budgeted target for the fiscal year ending in March 2017, government data showed on Tuesday.

The fiscal deficit was 95.8 percent of the full-year target during the same period a year ago.

Net tax receipts in the first 10

Inclusive growth, tax reforms remain challenges to India's growth: OECD

Inclusive growth and tax reforms remain key challenges to India's growth, Organisation for Economic Co-operation and Development (OECD) said on Tuesday, emphasising that revenue from income taxes needs to be increased.

"Firstly, India needs to finance access to quality public services for all, to reduce poverty and promote inclusive growth. Increasing tax revenues will help e

Banking sector may recover very marginally from low base: Standard and Poor

Country's banking sector is likely to recover very marginally over next few quarters due to low capacity utilisation in corporate segment and wait and watch approach of borrowers in some sectors, says a report. "We expect the country's banking industry's growth and profitability to gradually improve in financial year 2017-18, from the low base of the financial year 2016-17,&quo

RBI sets up panel to review cyber threats

The Reserve Bank today announced setting up of the inter-disciplinary standing committee on cyber security to review the threats inherent in the existing and emerging technology. The 11-member committee will also study adoption of various security standards and protocols, interface with stakeholders and suggest appropriate policy interventions to strengthen cyber security and resilience, the ce

GST to come into effect from July 1: Shaktikanta Das

  The Goods and Services Tax (GST) will be implemented from July 1 as all states have agreed on the implementation date, Economic Affairs Secretary Shaktikanta Das said on Tuesday.

"GST should be implemented by July 1. All states have agreed (on the date)," Das told reporters here.

The government plans to get the GST Council's approval on iGST (integr

India, Ukraine to strengthen bilateral ties through cinema

India and Ukraine has agreed to strengthen the bilateral cooperation between the two countries through the medium of cinema. The cooperation would be worked out through a policy and institutional framework to showcase films through festivals and utilizing the Film Facilitation Office (FFO) platform established by India, an official statement said.

The screening of films with subtitles

India improving connectivity with South East Asian nations: Minister

The Indian Government has said that India and the South East Asian nations, including Myanmar and Cambodia, are enhancing land and sea connectivity to boost trade and are working on various projects such as Kaladan Multi-Modal Transit Transport. Commenting on the issue, Union Minister Nirmala Sitharaman told the media, “Huge potential exists in the Cambodia, Laos, Myanmar and Vietnam (CLM

Government proposes 6-fold hike in urban reform incentive fund

The Urban Development Ministry has proposed a six-fold increase in 'reform incentive fund' to over Rs 3,000 crore annually over the next three years to push implementation of various schemes in the urban sector, reported PTI.

For providing the incentives, the cities will be ranked based on performance under five reforms -- getting credit ratings, initiatives for value capturin

RBI's next inflation expectations survey in March

The Reserve Bank announced the launch of the latest 'Inflation Expectations Survey of Households' across 18 cities aimed at capturing subjective assessments on price movements, reported PTI. The survey for March 2017 will cover around 5,500 households, based on their individual consumption baskets, across cities like Ahmedabad, Bengaluru, Bhopal, Bhubaneswar, Chandigarh, Chennai, Delhi