For the India Post, the Union government is likely to earmark Rs 1,300 crore to enable it to make a foray into the banking space. The Expenditure Finance Commission will meet this month and finalise the fund to be provided to India Post for the proposed Post Bank of India, a finance ministry official said. The Department of Post, which has applied to the Reserve Bank for a new bank licence, had last month approached the Finance Ministry for sanctions of Rs 1,300 crore for its banking foray and t
Author: admin (Infratructure Today)
Post
Post
Union Bank to raise Rs 3K cr to meet Basel-III norms
Mid-sized lender Union Bank of India plans to raise Rs 3,000 crore towards equity to meet Basel-III norms after 2015. Though it may not need any fresh equity until 2015, the bank has given a proposal to the Ministry of Finance for the additional capital and it is currently being studied, Union Bank Chairman and Managing Director D Sarkar said. The government roughly holds 58 per cent in the bank as on June 30, 2013.
Post
RBI tightens hedging rules for overseas investors
The Reserve Bank of India on August 1 tightened hedging rules for foreign institutional investors in the currency market, requiring investors who have issued so-called participatory note contracts, or P-notes, to gain approval from the note-holder before hedging. The order was the latest in a series of measures intended to shore up a battered rupee and helped push the currency higher to 60.48 per dollar. The rupee, which has been the worst performing currency in emerging Asia so far in 2013, is
Post
Govt to finalise Rs 14,000 cr infusion for its banks
To meet global capital requirement norms (or Basel III norms) of public sector banks in the country, the Union Finance Ministry is likely to finalise Rs 14,000-crore capital infusion into the banks by the end of this month. An official concerned said that the government has received capital requirement proposals from all public sector banks and it is evaluating their proposals at the moment. Hopefully, capital allocation to banks would be finalised by August-end.
Post
Reliance Capital to strengthen footprint in financial services sector
In his annual letter to shareholders as Chairman of Reliance Capital, Anil Ambani said the company prepared a plan to strengthen its footprint in the financial services industry. Reliance Capital, which is the financial services arm of Reliance Anil Dhirubhai Ambani Group (ADAG), intends to more than double its customer base in the next 3-5 year
Post
Ficci suggests govt to promote R&D
In a statement, industry body Ficci asked government to stick to its commitment for a steady increase in budget outlay for research and development (R&D) and double the current investments over next 5-8 years. The chamber also suggested the government to create an aggressive policy environment for boosting private sector investment in R
Post
Promoters, investors prefer debt instruments
Media reports indicate that promoters of Indian companies are increasingly preferring to raise funds through debt and investors are also willing to offer it through structured deals or their NBFC arms that could either be a part of their investment group or backed by them. Compared to equity funding, these investors prefer to deploy in debt instruments, reports indicate
Post
State-run banks recover bad loans
Several state-run banks have announced improvement in the recovery of bad loans as they took steps like setting up specialised asset management recovery branches (ARMBs) for this purpose. For example, Corporation Bank could reduce non performing asset (NPA) through cash recovery and upgradation to the extent of Rs 1,509.30 crore in the fisca
Post
Disinvestment of 10% govt’s equity in IOC okayed
Disinvestment of 10 per cent paid-up equity in the Indian Oil Corporation (IOCL) has been approved by the Cabinet Committee on Economic Affairs, as per the government's disinvestment policy. The disinvestment will be through Offer for Sale (OFS) method in the domestic market according to the SEBI rules and regulations. After this disinvestment, the government shareholding in the company would come down to 68.92 per cent, after deducting the 10 per cent in the present equity capital holding of
Post
Pvt refiners made Rs 10k cr on flawed pricing: CAG
Comptroller & Auditor General (CAG) has criticised the State-run oil companies for using a pricing system that helped private refiners gain Rs 10,196 crore in five years. The report has also censured the Union Oil Ministry for causing a revenue loss of over Rs 1,56,000 crore over the same period. The controversial formula, which also applies to retail buyers at petrol pumps, makes diesel about Rs 2 per litre costlier because buyers are forced to pay additional costs that companies do not incur,