ECONOMY - 2019 JANUARY

January 1

CII Forecasts India’s Economy to Grow 7.5% in 2019
In its ‘Growth Outlook for 2019’, according to Confederation of Indian Industry (CII), the GDP growth will be in the range of 7.5% in 2019.
A settled Goods and Services Tax (GST), improving credit availability and capacity expansion from increasing investment in infrastructure are among seven key drivers that will help Indian economy grow 7.5% 2019.
CII President (2018-19) - Mr. Rakesh Bharti Mittal, Headquarters - New Delhi.

January 2

France introduced GAFA tax on global internet, technology firms
The Finance minister of France Bruno Le Maire announced that France will introduce its own tax on large internet and technology companies from January 1.
France has been pushing hard for a new so-called ''GAFA tax'' named after Google, Apple, Facebook and Amazon to ensure the global giants pay a fair share of taxes on their massive business operations in Europe.
Emmanuel Macron is the President of France.
He becomes the youngest President of France.
Paris is the capital city of France.

India cuts tax on palm oil imports from ASEAN nations.
India has cut import taxes on crude and refined palm oil from Southeast Asian (ASEAN) countries after a request from suppliers.
The reduction will lead to higher imports of palm oil by the world's biggest edible oil buyer in coming months as it would narrow the difference between the tropical vegetable oil and competitors such as soyaoil and sunflower oil.
The duty on crude palm oil was lowered to 40% from 44%, while a tax on the refined variety was cut to 50% from 54%.

January 3

Govt may impose anti-dumping duty on Chinese synthetic rubber
The government may impose anti-dumping duty for 18 months on a Chinese synthetic rubber used in automobile and other industries.
The recommended duty ranges between USD 0.078 - 7.31 per kg.
According to Commerce ministry's investigation arm Directorate General of Trade Remedies (DGTR), imposition of the duty on imports of 'fluoroelastomers' from China would help minimise impact of dumped imports.
About China: Capital - Beijing, Currency - Renminbi, President - Xi Jinping

January 4

HDFC MF Surpasses ICICI Prudential MF to Become Largest AMC in India
HDFC Mutual Fund has pippedICICI Prudential MF to become the country's largest asset management company after a gap of over two years.
As of December-end, HDFC MF manages assets to the tune of Rs. 3.35 lakh crore, while those of ICICI Prudential MF stood at Rs. 3.08 lakh crore, as per the latest data available with Association of Mutual funds in India (Amfi).
Mr. MilindBarve is the Managing Director of HDFC MF.
It headquarters in Mumbai.

Sebi allows custodial services in commodity market
Markets regulator Securities and Exchange Board of India (SEBI) has allowed custodial services in the commodity derivatives market. The move is aimed at enabling the participation of institutional investors such as mutual funds and portfolio managers in the commodity derivatives market.
Under the new framework, existing custodians will be permitted to add commodities as an asset class and provide physical delivery of both the securities and commodities.
SEBI- Securities and Exchange Board of India.
SEBI Chairman- Ajay Tyagi, Headquarters- Mumbai.

Bancassurance pact was signed between Syndicate Bank and SBI Life Insurance
Syndicate Bank and SBI Life Insurance signed a bancassurance pact aiming to offer a comprehensive financial planning solution to its customers.
This was signed between Syndicate Bank MD &CEO MrutyunjayMahapatra and MD andCEO of SBI Life SanjeevNautiyal.
Through the pact, Syndicate Bank will provide penetration in the market with its 3,000 branches and SBI Life’s diverse range of protection, wealth creation and savings insurance products will be brought to the table to the customers.
About Syndicate Bank:
Headquarters: Manipal, Karnataka.
Tagline: Faithful and Friendly.

January 5

India exempts rupee payments for Iran oil from hefty taxes
The Finance ministry in its notification exempted rupee payments to the National Iranian Oil Company (NIOC) that it gets from Indian refiners, from a withholding tax.
The exemption, put in place December 28 but backdated to November 5, will allow Indian refiners to settle about $1.5 billion of outstanding payments to NIOC.
India and Iran on November 2, 2018, signed a bilateral agreement to settle oil trades through an Indian government-owned bank, UCO Bank, in the Indian currency.

SEBI Allows Custodial Services In Commodity Market.
Markets regulator Securities and Exchange Board of India (SEBI) has allowed custodial services in the commodity derivatives market.
The move is aimed at enabling the participation of institutional investors such as mutual funds and portfolio managers in the commodity derivatives market.
Under the new framework, existing custodians will be permitted to add commodities as an asset class and provide physical delivery of both the securities and commodities.

January 6

UBI, Srei Equipment Finance enter pact for MSME sector finance
The United Bank of India (UBI) and Srei Equipment Finance have entered into an agreement for financing the Micro, Small and Medium enterprises (MSME) and agriculture sector.
Under the agreement UBI plans to leverage the co-lending model to offer credit at blended interest rate of 11-12%.
The Bank will leverage low its low cost loans with Srei Equipment finance to enable purchase of equipment and vehicle in the seamless manner.
The Bank is eyeing around 200 crore business over the period of three months by this agreement.
United Bank of India (UBI)
Headquarters: Kolkata, West Bengal
MD & CEO: Ashok Kumar Pradhan

Government Revises Interest Rate on Time Deposit Small Savings Scheme
The government has revised the interest rates applicable to select small savings schemes.
Investment in time deposits of one-year, two-year and three-year maturity periods will fetch interest at the rate of 7% in the quarter ending March 31, 2019.
In the October-December period, the government paid interest rates of 6.9%, 7 per cent and 7.2% on one-year, two-year and three-year time deposits respectively.
Interest rates applicable to all other small savings schemes, such as Public Provident Fund (PPF), Savings Deposit, KisanVikasPatra (KVP) and SukanyaSamriddhi, were kept unchanged.

Govt exempts rupee payments for Iran oil from taxes: FinMin
The finance ministry exempted rupee payments to the National Iranian Oil Company (NIOC) that it gets from Indian refiners, from a withholding tax.
The exemption, put in place December 28 but backdated to November 5, will allow Indian refiners to settle about $1.5 billion of outstanding payments to NIOC.
India and Iran on November 2, 2018, signed a bilateral agreement to settle oil trades through an Indian government-owned bank, UCO Bank, in the Indian currency.

January 7

Yarn Bank Scheme
To avoid fluctuation in yarn price, government has launched a Yarn Bank Scheme as one of the component of PowerTexIndia with effect from 01.04.2017 to 31.03.2020.
The Scheme provides interest free corpus fund up to Rs. 2.00 crore to the Special Purpose Vehicle (SPV)/ Consortium formed by powerloom weavers to enable them to purchase yarn at wholesale rate and give the yarn at reasonable price to the small weavers to avoid middleman and local supplier's brokerage charge on sales of yarn.
There is a 1% increase in powerloom fabric production. The estimated production of powerloom fabric during 2018 - 19 (April - October) is 22781 Million Square Meters (MSM) which was 22539 MSM during the corresponding period of 2017-18.

AAI Signs MoU With SAMEER For Boosting Communication
Airports Authority of India (AAI) signed MoU with Society for Applied Microwave Electronics Engineering and Research (SAMEER) for joint research programs in the field of Communication Navigation and Surveillance (CNS).
The MOU, on the one hand, will provide for the transfer of skill by SAMEER experts in the areas of Radio Frequency, Millimetre Wave and Antenna-related solutions to AAI domain experts, while on the other hand, it will pave way for exposure for the SAMEER researchers to the challenging Aviation field.


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