Expert Views: India consumer inflation accelerates to 3.36 percent in August

MUMBAI - India's annual consumer inflation in August jumped to a five-month high of 3.36 percent from a year ago, driven by higher food prices, according to government data on Tuesday.

The rise was higher than the 3.20 percent forecast by economists in a Reuters poll. Inflation rose to 2.36 percent in July, after falling for three straight months.

Cabinet approves 1% additional DA to central staff

 The Union Cabinet on Tuesday gave its approval for an increase of one per cent additional Dearness Allowance (DA) to central government employees and Dearness Relief (DR) to pensioners to compensate for price rise.

This additional instalment of DA represents an increase of one per cent over the existing rate of four per cent of basic pay/pension and is in accordance with the acc

India's retail inflation rises to 3.36 percent in August

NEW DELHI - India's annual consumer inflation in August jumped to a five-month high of 3.36 percent from a year ago, driven by higher food prices, government data showed on Tuesday.

The rise was higher than the 3.20 percent forecast by economists in a Reuters poll. Inflation rose to 2.36 percent in July, after falling for three straight months.

(Reportin

India bond market trading extended by 30 minutes on Tuesday: traders

MUMBAI  - The Reserve Bank of India extended bond market trading hours by half an hour until 1730 local time (1200 GMT) on Tuesday, according to traders who received a notification.

The RBI has not provided a reason for the extension, traders said, adding it was likely because the results of state bond auctions were announced late, and the central bank wanted to

Direct tax collections rise 17.5% in current fiscal: Report

The Indian Government has said that Direct Tax collections in the first five months of the current fiscal grew 17.5 per cent to Rs 2.24 lakh crore, mainly on account of income tax from individuals. As per reports, this is 22.9 per cent of the total budget estimates of direct taxes, which comprise personal income and corporate tax, for the current financial year.

Commenting on the issu

Waiver of farm loans to push inflation by 0.2%: RBI

A RBI paper has said that farm loan waiver amounting to Rs 88,000 crore likely to be released in 2017-18 by seven states, including Uttar Pradesh and Maharashtra, may push inflation on permanent basis by 0.2 per cent. As per reports, in India, farm loan waivers have been announced intermittently by both the central and state governments to provide relief to farmers facing distress due to natura

India Inc`s investment overseas dip 15% to $1.34 bn in August

India Inc's foreign direct investment (FDI) fell by about 15 per cent to USD 1.34 billion in last month, according to the Reserve Bank data. The overseas investment by Indian companies in August last year ago stood at USD 1.57 billion. The foreign investments were also down sequentially when compared with USD 1.77 billion July this year, showed the Outward Foreign Direct Investment (OFDI) d

India, Belarus agree to elevate bilateral relationship

With India and Belarus celebrating the 25th anniversary of the establishment of diplomatic ties this year, both countries on Tuesday agreed to further elevate their partnership.

"We reviewed the architecture of India-Belarus partnership and exchanged ideas to expand it," Prime Minister Narendra Modi said in a joint address to the media with Belarusian President Alexander Luk

India`s manufacturing sector must grow substantially for 9-10% GDP growth: Study

If India has to maintain a sustained gross domestic product (GDP) growth of 9-10 per cent per annum, it is crucial that the manufacturing sector grows steadily at 14-15 per cent per annum over the next three decades, a joint study has said.

The joint report by ASSOCHAM-EY stated that while the Goods and Services Tax (GST) has to a large extent addressed prevailing regulatory issues, s

RBI sets rupee reference rate at 63.9474 against dollar

The Reserve Bank of India today fixed the reference rate of the rupee at 63.9474 against the US dollar and 76.5514 for the euro. The corresponding rates were 63.8859 and 76.7334, on Monday.

According to a RBI statement, the exchange rates for the pound and the yen against the rupee were 84.3594 and 58.41 per 100 yens, respectively, based on reference rates for the dollar and cross-cur

Growth in food grain production likely to be lower this yr: Report

Growth in food grain production is expected to be much lower this year in the country as less progress has been made in the sowing of summer (kharif) crops than last year, says a Nomura report. According to the Japanese financial services major, the land area sown has fallen across all other crops: rice, pulses, coarse cereals, oilseeds and jute. "Overall, with less than three weeks left i

Indian banks face $65 bn capital shortage by FYE19: Fitch Ratings

Indian banks are likely to require around USD 65 billion of additional capital to meet new Basel III capital standards that will be fully implemented by the financial year ending March 2019 (FY19), according to Fitch Ratings' latest estimates. As per Fitch Ratings, weak capital positions have a major negative influence on Indian banks' Viability Ratings, which will come under more press

RBI net dollar purchase in July at $2.9 bn

The Reserve Bank purchased USD 2.953 billion of the US currency on net basis in July from the spot market, reported PTI. During the reporting month, it bought USD 4.893 billion and sold USD 1.940 billion in the spot market, according to the latest data from the central bank. In June, the central bank was also net purchaser at USD 3.291 billion after it bought USD 4.971 billion while it sold USD

IBBI needs to quickly provide for cross border insolvency

The Insolvency and Bankruptcy Board of India (IBBI) needs to quickly put in place the framework for cross border insolvency since many cases also involve foreign creditors, says a studyaccording to the PTI report. The joint study by industry body Assocham and consultancy EY said the existing provisions of the Insolvency and Bankruptcy Code may not be adequate to deal with matters related to ove

April-August income tax revenue up 17.5% at Rs 2.24 lakh cr

  The Indian Income Tax Department's collections in the first five months of the current fiscal at Rs 2.24 lakh crore grew 17.5 per cent over the same period last year, an official said on Monday.

A Central Board of Direct Taxes (CBDT) statement here said the collections for the period April-August amount to 22.9 per cent of the total budget estimates of direct taxes for the

Modi, Abe to lay high-speed rail line`s foundation this week

Prime Minister Narendra Modi and his Japanese counterpart Shinzo Abe will take part in the ground-breaking ceremony of the much-anticipated Mumbai-Ahmedabad high-speed rail project on Thursday, a senior official said here on Monday.

"On September 14, the two Prime Ministers in the morning will attend the ground-breaking ceremony of the Mumbai-Ahmedabad high speed rail which is a

Need to build India-Belarus investment ties: Belarus Deputy Prime Minister

Agriculture, pharmaceuticals, nano technology and infrastructure projects were some of the key sectors which can be explored for collaboration by Indian and Belarusian industry, Belarusian Deputy Prime Minister Vladimir Semashko said here on Monday.

With an aim to enhance bilateral investment ties, Semashko, addressing the 'India-Belarus Business Forum' organised jointly by bu

ARC Ratings retains BBB+ rating for India with stable outlook

Global rating agency ARC Ratings today affirmed the BBB+ rating to the country and maintained a stable outlook on expectation of the strong economic growth. The rating action comes even as the first quarter GDP growth slowed to a three-year low of 5.7 per cent and every agency that monitors Asia's third largest economy lowered their year-end forecast to under 7 per cent.

The repor

GST registration for TDS deductors to begin from September 18

The Indian Government has said that GST registrations for entities instructed to collect and deduct tax at source will start from September 18. However, the date from which tax deducted at source (TDS) or tax collected at source will be done will be notified later. Commenting on the issue, a Government Official told the media, “The Goods and Services Tax (GST) Council, at its 21st meeting

RBI sets rupee reference rate at 63.8859 against dollar

The Reserve Bank of India today fixed the reference rate of the rupee at 63.8859 against the US dollar and 76.7334 for the euro. The corresponding rates were 63.8664 and 77.0357 on Friday.

According to an RBI statement, the exchange rates for the pound and the yen against the rupee were 84.2591 and 58.86 per 100 yens, respectively, based on reference rates for the dollar and cross-cur

GST returns filing date further relaxed till October 10

Giving a long rope to industry, the GST Council extended the last date for filing final returns by a month to October 10, reported PTI. Also, for easier compliance, the council allowed businesses to file simplified GSTR-3B for four more months till December. Briefing reporters after the 21st GST Council meeting here today, Revenue Secretary Hasmukh Adhia saidfor companies with turnover of over

Big defaulters responsible for swelling bank NPAs: Finance Minister

Finance Minister Arun Jaitley has said that big defaulters are responsible for higher NPAs of banks and recovery of money from these big people has become a big challenge. Commenting on the issue, Finance Minister Arun Jaitley told the media, "Wherever small borrowers are taking loans from banks, there is lesser NPA.

NPA is low where smaller amount of loans taken for agricultural

RBI using sophisticated machines to tally demonetised notes

The Reserve Bank of India (RBI) has refuted reports of it not using 'counting machines' for tallying the total number of demonetised notes of Rs 500 and Rs. 1,000 in any of its offices, saying that Currency Verification and Processing (CVPS) machines are being used by the central bank for checking the numerical accuracy and genuineness of the currency notes, including Specified Bank Not

India August inflation seen at 5-month high on rising food costs: Reuters poll

By Vivek Mishra

BENGALURU  - India's retail inflation is expected to have picked up to a five-month high in August, largely driven by higher food costs, a Reuters poll showed, easing pressure on the Reserve Bank of India (RBI) to cut interest rates again after poor growth data.

Consumer prices were forecast up at 3.20 percent in August from a year a

'Pliant' RBI governor loses respect: Raghuram Rajan

Former RBI Governor Raghuram Rajan said if a central bank head is "pliant and subservient", he risks losing the respect of his team members, reported PTI. He, however, added that RBI governors, once in office, "develop backbone very quickly". He also advocated protecting the governor's term on the lines of the judiciary. Rajan, the first RBI governor not to get a second