One of the major advantages of buying Iran crude is the additional credit period of 90 days that the country gives to India, compared to 30 days by other countries.
India's balance of payments in negative territory.
'Since the growth is not fast enough to provide jobs for the young, the fallout will be political and social,' warns T N Ninan.
'We have promised to ensure reduced tax rates.'
During deleveraging the income falls more than reduction in debt due to the austerity measures.
Levying buyback tax at a flat rate of 20 per cent (plus applicable surcharge and cess), irrespective of the period for which shares are held will be a dampener for equity shareholders who take inherent risks while investing, says Hitesh D Gajaria, partner and head of tax, KPMG in India.
The industry's reactions to the Budget have been mixed.
Further telecom tariff reduction is on the anvil as department of telecom is in the process of issuing direction to the Telecom Regulatory Authority of India to come out with the revenue-share based access deficit charge.
Governor Raghuram Rajan lowered the benchmark repurchase rate to 7.75 per cent from 8 per cent, the first reduction since May 2013.
The rupee has been falling for five straight weeks, taking its losses this quarter to 6.6 per cent, making it the worst performing currencies in Asia during this period.
Telecom regulator TRAI has postponed the announcement of reduction in Access Deficit Charge in view of strong opposition from the incumbent operator Bharat Sanchar Nigam Ltd.
Bharat Sanchar Nigam Limited is likely to register a lower profit of upto Rs 8,000 crore (Rs 80 billion) in 2005-06 compared to over Rs 10,000 crore (Rs 100 billion) in the previous year.
RBI's latest rate cut is positive for the economy.
The government on Tuesday said the IMF had expressed concern about sustainability of India's fiscal situation and debt position.
Union Budget had projected the fiscal deficit at Rs 5.56 lakh crore.
The European Union on Thursday said India will surpass 7.0 per cent growth this year and the new United Progressive Alliance government is expected to continue with reforms, including reduction in fiscal deficit.
India needs to sustain a GDP growth rate of 8 per cent to become a five trillion dollar economy by 2025, the Economic Survey has stated.
Overall, the populist/ electoral elements in the budget have remained measured with the finance minister being clearly aware of a higher-than-expected rise in oil prices, less-than-planned tax revenues and the wider deficit for FY 17/18, constraining his margin of maneuver, says Claude Claude Smadja.
Gokhale and Pompeo expressed satisfaction over the significant progress and the quality of the India-US Strategic Partnership
'For the RBI, it is also strategic to allow the rupee to over-depreciate, then come and buy the rupee, and benefit from its appreciation. Speculators who have driven the rupee too low then make losses,' says Ashima Goyal.
He said the country has witnessed a journey from indecisiveness to clarity and decisiveness.
A continued focus on low inflation will be important to keeping gold imports, IMF said.
Telecom player Bharti on Thursday said it would pass on the full benefits of the cut in Access Deficit Charge to its subscribers from February 1, when the new regime comes into effect.
There is a scope for 30 per cent reduction in mobile tariffs if the government brings down current taxes on telecom industry, Sunil Mittal, chief managing director, Bharti Enterprises said on Tuesday.
Softening its stand on reduction in access deficit charge, a levy paid by private operators to BSNL for rural telephony, the department of telecom on Tuesday said the Telecom Regulatory Authority of India must ensure that by doing so the revenues of
Concerned by GDP slowdown and unrealistic tax targets, the economists urged Finance Minister Nirmala Sitharaman to implement long-term structural steps like land and labour reforms. Warning against any off-Budget financing the economists said the government should prepare a statement of intent for its social, rural and welfare sector expenditure.
RBI has taken a balanced approach in the credit policy considering various developments across the globe and their near term impact.
RBI unsure whether to cut rates or not in its next monetary policy.
The oil sector has been quite lucky for the Modi government. It has often provided an opportunity to the government to mend its finances, notes A K Bhattacharya.
This is the second hike in excise duty in less than two weeks as the government looks to make use of the slump in oil prices to shore up resources.
'We have the more difficult reforms to do such as the reduction of subsidy, the insurance and pension sector reform, eliminating bureaucratic red tape and implementing Goods and Services Tax'
