Economy News 26-12

RBI may cut repo rate by 50 bps in Jan-Mar quarter: Citi
New Delhi | December 25, 2012 16:52 (IST)
According to a report, the positive surprises in the recent WPI inflation databoth headline and coreand likely ebbing of inflationary pressures may prompt the central bank to cut key interest growth in its next policy meet.

FDI won't come to Indian aviation till high costs prevail: IATA
Geneva, Switzerland | December 25, 2012 13:37 (IST)
Foreign airlines would not pick up stake in cash-strapped Indian carriers till steps are taken to stem the high costs of aviation operations in India, International Air Transport Association (IATA) chief Tony Tyler has said.

Natural gas price at $8 per unit? Rangarajan panel submits report
New Delhi | December 24, 2012 19:34 (IST)
The Rangarajan Committee is believed to have suggested a complex pricing formula that will lead to near doubling of natural gas price to about $8 per mmBtu.

RBI to infuse Rs. 8,000 crore into market via OMOs on Dec 28
Mumbai | December 24, 2012 19:27 (IST)
The Reserve Bank of India (RBI) today said it will pump in Rs. 8,000 crore in the market on December 28 by buying government securities to ease the liquidity situation.

FIIs pour $3.4 billion in December; inflows cross $23 billion in 2012
Mumbai | December 24, 2012 07:30 (IST)
Overseas investors have pumped in $3.4 billion in the Indian stock market so far this month, taking the total inflow for 2012 to a staggering $23 billion.

Economy News 24-12

Advance tax up marginally by 7.5 per cent; reflects impact of slowdown
New Delhi | December 23, 2012 13:32 (IST)
Advance tax collection registered a marginal increase of 7.5 per cent in the third quarter to Rs. 78,000 crore, reflecting the impact of slowing economy.

FIIs pour $3.4 billion in December; inflows cross $23 billion in 2012
Mumbai | December 23, 2012 13:28 (IST)
Overseas investors have pumped in $3.4 billion in the Indian stock market so far this month, taking the total inflow for 2012 to a staggering $23 billion.

Policy logjam can pull down growth rate to 5% in 12th Plan, warns panel
New Delhi | December 23, 2012 12:52 (IST)
The Plan panel has warned that persistent policy logjam could pull down the annual average economic growth rate in the 12th Five Year Plan (2012-17) to 5-5.5 per cent, from 7.9 per cent recorded in the 11th Plan.

More painful decisions needed to check deficit: Raghuram Rajan
New Delhi | December 23, 2012 12:19 (IST)
Steps like diesel price hike and cut in subsidised LPG cylinders are only the first of many -painful decisions- that the government needs to take to keep the subsidy bill under check, chief economic advisor Raghuram Rajan said in an interview to a news channel.

Gujarat remains an important state for investment: US
Washington | December 21, 2012 23:11 (IST)
Observing that Gujarat remains an important state for its investment, the United States today said it would continue to engage with the Indian state across a broad range of issues including trade, investment, university linkages and people-to-people exchanges.

Power, Coal Ministries resolve issues; FSAs to be inked in a month
New Delhi | December 21, 2012 20:34 (IST)
The government today said most of the issues relating to FSAs have been resolved and power companies are likely to ink fuel supply pacts with Coal India in a month's time, putting an end to the long drawn tussle between Coal and Power Ministries.

Foreign investment ceiling in ARCs raised to 74 per cent
New Delhi | December 21, 2012 20:27 (IST)
Foreign investment ceiling in Asset Reconstruction Companies (ARCs) has been increased to 74 per cent from 49 per cent, a move aimed at bringing more foreign expertise in the segment.

Indian economy likely to grow at 6.3 per cent in 2013: RBS
Mumbai | December 21, 2012 20:01 (IST)
Indian economy is likely to grow at 6.3 per cent next year largely due to favourable base effect, while inflation is expected to drop to a comfortable 5.4 per cent level in FY14, UK-based bank RBS said today.

Standard & Poor's expects India to grow at 6.5%, China at 8% in 2013
New Delhi | December 21, 2012 15:18 (IST)
In a report on global credit outlook for 2013, S&P said that "the ball is in the policymakers' court" to sustain the recovery in the global economy.

FDI inflows in October at $1.94 billion, up 67%
New Delhi | December 21, 2012 12:50 (IST)
Total FDI inflows in the first seven months for the current fiscal year that began in April were down 42 per cent from a year earlier at $14.79 billion (Rs. 81,578.8 crore), the statement said.

Economy News 21-12 Dec

Economic inequality rises marginally in 5 years to 2009-10: Government
New Delhi | December 20, 2012 21:14 (IST)
The economic inequality in terms of consumption expenditure amongst India's population has increased marginally for both rural and urban areas in five years to 2009-10, the Parliament was informed today.

Tata Consultancy to pump Rs. 1,350 crore in West Bengal campus, create 16,500 jobs
Kolkata | December 20, 2012 20:55 (IST)
Tata Consultancy Services's Rs. 1,350-crore special economic zone in West Bengal will be ready by 2014-15 creating 16,500 jobs, the first major investment by the Tata Group in the state since the Singur imbroglio.

Growth rate to improve in second half of FY13: Montek Singh Ahluwalia
New Delhi | December 20, 2012 15:52 (IST)
The government is doing a lot to push growth but the impact of its efforts will be felt in the second half of the fiscal when the expansion rate will show some improvement, Planning Commission Deputy Chairman Montek Singh Ahluwalia said today.

Restricting fiscal deficit to 5.3 per cent 'doable': Chidambaram
New Delhi | December 20, 2012 14:37 (IST)
The Finance Minister said despite the temporary deviation from stringent fiscal consolidation targets necessitated by global financial crisis, the fiscal policy is being steered rapidly back to the path of prudence.

Economy news 20-12

Russia's Putin seeks arms deals with India worth more than $7.5 billion
Moscow | December 19, 2012 22:33 (IST)
Russian President Vladimir Putin hopes to conclude deals on the sale of fighter jets and aircraft engines to India next week which could be worth more than $7.5 billion, defence industry sources said on Wednesday.

Internet to contribute $100 billion to India's GDP by 2015: McKinsey
New Delhi | December 19, 2012 19:11 (IST)
Internet services and devices industry has potential to increase its contribution to up to $100 billion (about Rs. 5.5 lakh crore) to India's GDP and generate about 2.2 crore jobs by 2015, a report by McKinsey & Company said today.

India lags several nations in per capita income: Government
New Delhi | December 19, 2012 17:01 (IST)
India is lagging behind several countries in per capita income due to different levels of development and various other factors, Parliament was informed today.

Indirect tax collection up 16.8 per cent at Rs. 2.92 lakh crore in April-November
New Delhi | December 19, 2012 16:58 (IST)
Indirect tax collection grew at a moderate rate of 16.8 per cent to Rs. 2.92 lakh crore in the April-November period as against the annual growth target of 27 per cent.

Public sector bank unions threaten to go on strike on December 20
December 19, 2012 10:41 (IST)
The All India Bank Employees Association (AIBEA), Bank Employees Federation of India (BEFI), All India Bank Officers' Association (AIBOA) and National Union of Bank Employees (NUBE) have given a call for one day country-wide strike.

Morning News -Economy 19 dec

Banking Bill passed by Lok Sabha: 5 facts
New Delhi | December 18, 2012 23:46 (IST)
In the works since around 2005, the amendments proposed in the Banking Laws Amendment Bill, 2011, have been passed in the Lok Sabha. The amendments pave the way for the Reserve Bank of India (RBI) to issue new bank licences, and also opens door for more foreign investment into the sector. Here are five facts about the Bill:

Lok Sabha passes revised Companies Bill, to improve governance and transparency in India Inc
New Delhi | December 18, 2012 21:55 (IST)
The Lok Sabha today passed the Companies Bill, with the government saying the aim is to protect interest of employees and small investors while encouraging firms to undertake social welfare voluntarily.

Banking Bill passed by Lok Sabha: Who said what
New Delhi | December 18, 2012 20:03 (IST)
Corporate India today welcomed the passage of the Banking Amendment Bill, which aims at drawing foreign investment to the banking sector by increasing shareholders' voting rights, among other things.

9-10 per cent GDP growth possible if manufacturing accelerates: Planning Commission
Mumbai | December 18, 2012 19:19 (IST)
Indian economy can grow at 9-10 per cent by the end of the 12th Five Year Plan if the coordination and collaboration of stakeholders accelerates the manufacturing sector by 2-4 per cent, Planning Commission member Arun Maira today said.

Lok Sabha passes Banking Bill, clears way for new banking licenses
New Delhi | December 18, 2012 19:03 (IST)
The Lok Sabha today passed the Banking (Amendment) Bill, aimed at attracting more foreign investment into the banking industry in yet another move by Prime Minister Manmohan Singh to open up Asia's third-largest economy.

Evening economy 18th dec

RBI holds repo rate, CRR; hints at change in January
New Delhi | December 18, 2012 18:18 (IST)
RBI governor Duvvuri Subbarao had said in the October policy review there was a "reasonable likelihood" of further easing in the January-March quarter, when inflation is expected to trend down.

Foreign funds seek redemption, cash out on South-East Asia
Hong Kong | December 18, 2012 17:08 (IST)
Pricy share valuations in Southeast Asia are steering the funds to cheaper markets after a bull run in which the Philippines and Thailand were some of the best performers in the world.

Subsidies need to gradually come down: Raghuram Rajan
New Delhi | December 18, 2012 16:35 (IST)
The Chief Economic Advisor says the removal of subsidies should start from the richest sections of the society.

CRR held steady as liquidity tight on slow government spending: RBI deputy governor
December 18, 2012 16:32 (IST)
The Reserve Bank of India did not cut banks' cash reserve ratio (CRR) on Tuesday as liquidity tightness was due to slow government spending, Subir Gokarn, a deputy governor, said.

India lost $123 billion in black money in a decade
December 18, 2012 15:19 (IST)
India lost a whopping USD 123 billion in black money in 2001-2010, making it the eight largest victim of illicit financial outflow, a US-based research and advocacy organisation said in a report.

Government to drop Forwards Markets Contract Clause in Banking (Amendment) Bill
December 18, 2012 14:14 (IST)
BJP leader and former finance minister Yashwant Sinha, who heads the Parliamentary Standing Committee on finance, had demanded that the Bill with this clause be referred back to the standing committee as it was introduced after the committee had submitted its report on the Bill. Finance Minister P. Chidambaram had ruled out sending the Bill to the standing committee for reconsideration.

Interest rate cut needed to boost growth: Montek Singh Ahluwalia
New Delhi | December 18, 2012 14:00 (IST)
Planning Commission today pitched for lowering of interest rate to boost economic growth which is beginning to look up after moderating to 5.4 per cent in the first half of the current fiscal.

Highlights of RBI policy review
Mumbai | December 18, 2012 13:24 (IST)
The RBI kept its policy repo rate at 8 per cent and also held the cash reserve ratio, or the amount of deposits that banks must keep with the central bank, at 4.25 per cent. Here are the highlights of the monetary policy statement.