Pvt sector holds back, waits for key reforms
RE of GDP for 2015-16 show that the economy grew 7.9% in 2015-16, rather than the earlier estimate of 7.6 per cent.
'There are deliberations on whether there can be lowering of income taxes and other sops to keep more money in the hands of taxpayers, enabling them to spend more and boost demand.'
Consumers are paying an exorbitant 180 per cent tax on petrol, and 140 per cent on diesel in Delhi and in most other towns in India. Little wonder then that the central government expects a staggering Rs 3.46 trillion by levying excise duties on retail sale of the two fuels this year, and Rs 3.2 trillion the next. States would generally have had reason to cheer, as they command a 41 per cent share in Centre's tax revenues. But as the Centre has raised excise duties in the form of "cess," the revenue proceeds are by nature not shareable with states.
The infrastructure spending target for 2020-25 was revised because of additional and amended data provided by central ministries, state governments since the release of the summary NIP Report in December 2019 when it was pegged at Rs 100 trillion.
In January-June, India attracted $31 billion (Rs 2.05 lakh crore) in capital expenditure (capex) from foreign companies.
'It is entering growth territory on a month-on-month basis.'
Bihar expects transfers from the Centre to grow 28 per cent in 2016-17.
The Board of Control for Cricket in India has expressed its reservations with the International Cricket Council's decision to earmark a budget of $135 million (approx) as the organisational cost for Champions Trophy scheduled in the United Kingdom from June 1-18, next year.
Pensioners, India Inc may get tax breaks in Budget
'The current budgetary practice of shifting expenditures off-balance sheet in order to be seen to be meeting fiscal targets should be discontinued; additional fiscal stimulus would be imprudent; individual income tax rates should not be cut; GST rates should not be raised now,' advise Arvind Subramanian and Josh Felman.
Overall, small savings have amassed Rs 1.17 trillion from April-September - 26 per cent more than the previous year. But in those six months, the economy lost 24 per cent in the first three months, and is slated to lose 10 per cent in the second quarter.
Experts say the market is more bullish on the BJP as it will ensure continuity in policymaking.
Diesel prices for the Railways have come down from Rs 60.08 a litre in June to Rs 50.51 a litre now.
The next key battle the market will watch out for will be in Congress-ruled Karnataka
'India's sizeable foreign exchange reserves should serve as a buffer.'
Economists have said if a stimulus is needed it should be different from what was provided in 2008-09, when the economy faced the ripple effects of a global meltdown following the Lehman Brothers collapse.
Less than half of rural households are engaged in agriculture.
Optical storage major Moser Baer India has raised its earnings guidance to 30-35 per cent from 25-30 per cent in 2003-04.
Dhawal Dalal, executive vice-president & head, fixed income, DSP BlackRock Investment Managers, expects the central bank to hold rates for the rest of calendar year 2016.
Listening -- really listening -- to advisers in the government and outside would help. India has plenty of wise economists who have worked within the bureaucracy during previous crises, points out Rahul Jacob.
Recovery possible only if investment cycle picks up.
In the second part we will explain the ways of tobacco use and its consequences.
Moody's assigns a 'Baa3' rating on India, with a stable outlook.
S&P Global Ratings has forecast India's economy to shrink by 5 per cent in the current fiscal. It, however, has projected GDP growth to be 8.5 per cent in 2021-22 and 6.5 per cent in 2022-23.
Fresh investments are constrained by tepid demand.
Three key babus will make room for a new set of officers to carry the baton of Budget programmes.
Long-term investors should consider moving into smaller stocks. Rather than try to pick stocks, it makes sense to build a diversified portfolio by exposure across midcap and small caps funds, suggests Devangshu Datta.
Firms generated free cash flows in 2013-14, for the first time since the 2008 Lehman crisis
The measures to reduce the current account deficit should have focused far more on narrowing the trade imbalance, principally through export facilitation and linked FDI, says Nitin Desai.
The BCCI made a surplus of Rs 111.83 crore in the last fiscal, a dip of over Rs 55 crore as compared to the previous one, said its Treasurer Anirudh Chaudhry. "In the year under consideration, the surplus of income over expenditure was Rs 111.83 crore as against Rs 166.87 crore in the earlier year," stated Chaudhry in his annual report for 2015-16.
While Congress and the states ruled by non-NDA parties pushed for the Centre meeting its statutory obligation of covering the deficit, the Union government cited a legal opinion to say it had no such obligation if there was a shortfall in tax collections. The Centre as well as BJP-JD-U-ruled Bihar were of the opinion that the states should borrow to make up for the shortfall in the tax revenues that have been compounded by the COVID-19 crisis, sources said.
Moody's Investors Service on Friday projected India's growth at zero per cent for the current fiscal and said the negative outlook on sovereign rating reflects increasing risks that GDP growth will remain significantly lower than in the past. The outlook also partly shows weaker policy effectiveness to address economic and institutional issues, it noted in the update to its November 2019 rating forecast.
The outgo for major subsides, is the highest in the first quarter.
Economists, however, caution against interpreting the data as a broad-based revival
Jaitley said that when cash is deposited in the banks, it loses anonymity and can be identified with its owner.
SBI data shows the per-capita payouts for scheme have shot up this year.
In a circular dated May 20, Sebi had directed the listed companies to evaluate the impact of Covid-19 on their capital and financial resources, profitability, liquidity position, assets, and ability to service debt. Instead, companies have spoken about the number of plants, warehouses and distribution centres that have resumed operations; work-from-home and safety measures undertaken for employees; and the labour shortage they are facing.
If the surge in tax collections is sustainable, the finance minister has the elbow room to shoot for a fiscal deficit
Physical advisors have been receiving tough competition from algorithm-based investment counselling and robo-advisories.
