GST rollout will reduce disparity among states: CEA

Chief Economic Advisor (CEA) Arvind Subramanian said implementation of the goods and services tax (GST) will reduce disparities among the states leading to more "convergence", reported PTI. "It is true that people have not fully understood GST. Under GST regime, no state can offer incentives to attract investments.

GST will be placing some restriction on states in placi

Large corporates credit neutral , no rating change expected: India Ratings and Research

Even with cash shortage hurting businesses in some sectors, the impact of demonetisation on the credit profile of large corporates is "neutral", with no major rating changes expected due to the note-ban move, India Ratings and Research (Ind-Ra) said in a report as per the PTI. As per the rating agency, large corporates (revenues above Rs 250 crore) have sufficient liquidity buffers to

Indian paper on global services accord welcome move: WTO chief

The paper presented by India at the World Trade Organization for a proposed Trade Facilitation in Services (TFS) Agreement is a welcome initiative that has been well received by many member countries, WTO Director General Roberto Azevedo said here on Thursday.

"India's paper on a Trade Facilitation in Services Agreement is a positive move... a very welcome initiative that has

India only economy doing reforms: Arun Jaitley

Finance Minister Arun Jaitley on Thursday said in the global scenario where economies were turning protectionist, India stands out as the only economy doing reforms.

"We stand out as the only economy doing reforms because the rest are going towards protectionism," Jaitley said here at the 96th annual session of Assocham.

He listed opening of foreign direct investme

Have to find final solution to food stockpiling by December: WTO Chief

The World Trade Organization has the mandate to find a permanent solution to the contentious issue of public stockpiling of food by the end of 2017,its Director General Roberto Azevedo said on Thursday.

A temporary solution to the issue reached in 2014 allowed signing of the WTO's historic Trade Facilitation Agreement (TFA) in goods, he noted.

"We have a mandate to

Country needs faster rate cuts from RBI: Official

The Monetary Policy Committee (MPC) has been more concerned about global factors than domestic ones, former Chief Economic Advisor Arvind Virmani said on Thursday, adding the country needs faster rate cuts from the Reserve Bank of India (RBI).

"There are two factors -- global and domestic. The MPC was much concerned about global factors, which is exactly what has happened, and mu

No decision yet on imposing tax on cash transactions: Shaktikanta Das

The government has not taken any decision on levying a Banking Cash Transaction Tax (BCTT) on cash deals of Rs 50,000 and above as suggested by the high- powered Chief Ministers' panel, Economic Affairs Secretary Shaktikanta Das said as per the PTI report. Besides, expressing hope that GDP growth would be upwards of 7 per cent next fiscal, he said that reduction in corporate tax cannot be d

RBI's policy decision slightly negative for India equities, INR

The Reserve Bank's decision not to cut key policy rates is slightly negative for Indian equities and rupee in the near term, says a Nomura report. "The surprising decision not to cut rates is slightly negative for India equities and INR in the near term; however, we maintain our medium-term view of INR outperformance and long INR position in our RV portfolio," Nomura said in a res

RBI to be on hold unless inflation, growth undershoot targets

The Reserve Bank is expected to hold rates steady over the "foreseeable future", unless inflation and growth undershoot targets sharply, says an HSBC report as per the PTI. "If the RBI did not find space to cut when it was 'accommodative', the room to cut when it is 'neutral' will be even smaller," HSBC Chief India Economist Pranjul Bhandari said in a researc

RBI status quo disappoints demonetisation-hit India Inc

Disappointed with the Reserve Bank's decision to leave key policy rates unchanged, India Inc said that a rate cut was needed to revive demand hit by the cash crunch post demonetisation. Industry bodies also expressed concern over the apex bank shifting the stance of the monetary policy from 'accommodative' to 'neutral'.

"A cut in the repo rate would have boded

Cabinet okays 'Pradhan Mantri Gramin Digital Saksharta Abhiyan'

The Union Cabinet has approved 'Pradhan Mantri Gramin Digital Saksharta Abhiyan' (PMGDISHA) to make six crore rural households digitally literate, said an official statement. The outlay for this project is Rs. 2,351.38 crores to usher in digital literacy in rural India by March,2019. This is in line with the announcement made by Finance Minister Arun Jaitley in the Union Budget 2016-17.

Final number of junked notes to be revealed after June 30: RBI

The RBI has said that it is reconciling data on junked 500 and 1,000 rupee notes with physical cash and the "final numbers" will be divulged after June 30, the day when all windows for depositing old notes will be closed. As per reports, following the demonetization move, the government had asked people to deposit old notes in banks by December 30. Indians who were abroad during Novem

Inflation to remain below 5% in January-March quarter: RBI

Reserve Bank has said that inflation will remain below 5 per cent in the January-March quarter of this fiscal but hardening of global crude oil prices and volatility in exchange rates could put upside pressure in the next financial year.

As per reports, RBI projected inflation to be in the range of 4-4.5 per cent in the first half and 4.5-5 per cent in the second half of FY2017-18. Co

India to register more than 7% growth next fiscal: Shaktikanta Das

Economic Affairs Secretary Shaktikanta Das has said that India will be able to pull off a 7 per cent plus growth rate next fiscal as the Budget for 2017-18 has come up with several measures to provide a fillip to various sectors, Commenting on the issue, Economic Affairs Secretary Shaktikanta Das told the media, “Our sense is that the kind of momentum the Budget has given in various secto

government working to expand digital transaction at great pace: FM

Asserting that the government is working to expand digital transaction at a great pace despite criticism, Finance Minister Arun Jaitley asked Opposition not to eulogise the virtues of cash as it leads to temptation for shadow economy, reported PTI. "If an economy runs on cash, it is not credit to the country. ...Cash gives temptation for shadow and parallel economy. ...Don't find fault

RBI supports 'bad bank' idea floated by CEA

In a departure from its earlier stand, the Urjit Patel-led Reserve Bank appeared to be receptive of the 'bad bank' concept floated by Chief Economic Advisor Arvind Subramanian in the Economic Survey, said the PTI report. "We have to remain open to all solutions at this point because I think the problem is quite large," newly-inducted Deputy Governor Viral Acharya told reporter

Inflation concern led RBI to keep rates unchanged: Bankers

Concern over inflation weighed heavily on RBI when it decided to maintain status quo on policy rates today, bankers said as per the PTI report. Prospects for further cuts in key policy rates in the near future have receded after the apex bank shifted the stance of the monetary policy from 'accommodative' to 'neutral', they said.

The six-member Monetary Policy Committee

April -December 2016 saw rise in merchandise exports: Government

There has been a positive growth in exports to the tune of 4.37 per cent in rupee terms and 0.75 per cent in US Dollar terms between April and December last year in merchandise exports, compared to the corresponding period the previous year, government said as per the PTI report. During the Question Hour in Rajya Sabha, Commerce Minister Nirmala Sitharaman said during the period April to Decemb

FDI in manufacturing sector up 82 pc in April-November period: Nirmala Sitharaman

The government today said the manufacturing sector has received FDI equity inflow worth USD 16.13 billion during April-November period of this financial year. "The FDI equity inflow received in manufacturing sector during 2016-17 (upto November, 2016) is USD 16.13 billion.

It shows an increase of 82 per cent compared to corresponding period of previous financial year (USD 8.85 bi

RBI cuts FY17 growth forecast to 6.9%, pegs 7.4% for next yr

RBI Governor Urjit Patel today cut the economic growth forecast to 6.9 per cent for the current fiscal from 7.1 per cent estimated earlier, even as he said the economy will bounce back to 7.4 per cent rate next fiscal. The Reserve Bank today kept key interest rates unchanged saying it wants to assess how the transitory effects of demonetisation on inflation and the output gap play out. "GV

RBI to set up panel on strengthening cyber security

In a bid to strengthen cyber security system, the Reserve Bank (RBI) today decided to set up an inter-disciplinary panel on cyber security to examine various threats and suggest measures to deal with it. "While banks have taken steps to strengthen their defences, the diverse and ingenious nature of recent cyber-attacks necessitates an ongoing review of the cyber security landscape and emer

3.2% fiscal deficit target realistic; revenues to improve: Shaktikanta Das

Rejecting arguments that fiscal deficit target of 3.2 per cent is optimistic, Economic Affairs Secretary Shaktikanta Das said it is realistic and there is all possibility that revenues will exceed the target as Budget has not taken into account the demonetisation windfall.

"Revenue if at all can exceed because people are pointing out that you have not taken into account windfall

FDI zooms 60% to $4.68 bn in November

With the government taking steps to improve ease of doing business and relax regulations, foreign direct investment into the country surged by 60 per cent to USD 4.68 billion in November 2016, reported PTI. The FDI stood at USD 2.93 billion in November 2015. During the period, India received maximum FDI from Singapore, Mauritius, the UK, the US, the Netherlands and Japan, an official said.

RBI to lift all cash withdrawal limits from March 13

MUMBAI - The Reserve Bank of India (RBI) said it would remove the cash withdrawal limit from automated teller machines (ATMs) and savings accounts from March 13.

Cash withdrawal limit from savings bank accounts will be relaxed to 50,000 rupees ($743.27) a week between Feb. 28 and March 13, after which it will be removed, RBI Deputy Governor R. Gandhi said after the mo

RBI sets rupee reference rate at 67.3058 against dollar

The Reserve Bank of India today fixed the reference rate of the rupee at 67.3058 against the US dollar and 71.8759 for the euro. The corresponding rates were 67.3692 and 72.0716, yesterday.

According to an RBI statement, the exchange rates for the pound and the yen against the rupee were 84.1659 and 59.94 per 100 yens, respectively, based on reference rates for the dollar and cross-cu