FINANCE

Will India Ever Become a Cashless Economy?

An unfortunate customer visited a MORE store that belongs to Aditya Birla group in December last year and made a purchase for Rs.107. When his debit card was swiped, the power went off in the store and the lady at sales insisted to re-swiping the card. The customer had already received a message on his mobile that the amount was ...

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Demonetisation – A Look Back at the last Two Months

    *By Arun Jaitley Two months have passed since the Prime Minister announced the decision that high denominational currency notes would cease to be a legal tender. Subsequently those notes have been demonetised. When 86% of a country’s currency constituting 12.2% of its GDP, is squeezed out of the market and sought to be replaced by a new currency, ...

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Indian Microfinance in 2016 – A Timeline

The year 2016 has been a mix of good news and bad news for the microfinance sector in India with impressive Ujjivan and Equitas IPOs and acquisitions but clouded in disarray over the demonetisation impact that triggered massive non-repayment of loans in uttar Pradesh and Maharashtra. Here is a chronology of all events in Microfinance sector in 2016:  Jan 6, ...

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PM’s Yearend ‘Mann Ki Baat’ Focuses on Cashless Payments, Awards

Coinciding with Christmas, PM Narendra Modi listed ‘Lucky Grahak Yojana’ for small buyers and ‘Digi Dhan Vyapaar Yojana’ for traders to encourage cashless payment economy. “To strengthen mobile banking and to inculcate the habit of making e-payments, the Government of India is launching from today encouragement schemes for consumers as well as traders. To encourage customers, the scheme is ‘Lucky ...

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Cyrus Mistry Bows Out of Tata Group Companies, Lists Reasons

Cyrus Mistry has finally bowed to the pressure to exit from Tata Sons on Monday, October 24, 2016 but said his legal battle will continue. Here is his statement in which he listed out his version to shareholders: “Over the last five decades my family’s steadfast support for the Tata Group has been one of guardianship. We have always ensured ...

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Demonetisation: Ministry Thanks Banks Which Failed People, Diverted New Notes to Black Money Holders

The Finance Ministry has appreciated the role played by the banks post-demonetisation especially when the old currency was accepted and till 24th November, 2016, when exchange of old currency to specified limit was also permitted, despite the fact that crores of new currency notes were diverted by corrupt bank officials and IT raids have made it clear that the demonetisation ...

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Govt Unveils Package for Promotion of Digital and Cashless Economy

To further accelerate the cashless economy, in the aftermath of the cancellation of the legal tender character of old Rs.500 and Rs.1,000 notes,  the Central Government has decided on a package of incentives and measures for promotion of digital and cashless economy in the country.  These incentives/measures are following:  The Central Government Petroleum PSUs shall give incentive by offering a ...

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Aadhar Architect Nandan Nilekani to Advise on Digital Payments Mode

India’s architect of Aadhar Card as former UIDAI chief, Nandan Nilekani, has a new role in NDA government as a special invitee in the 13-member committee of chief ministers to promote digital payment systems in the country, especially in rural areas. Nandan Nilekani contested from Bangalore South on Congress ticket but lost to BJP’s Ananth Kumar who is now parliamentary ...

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Post-Demonetisation, Swift IT Raids Greet 400 Cases

Income Tax (IT) Department has carried out swift investigations in more than 400 cases since the de-monetization of old High Denomination (OHD) currency on 8th November, 2016. More than Rs. 130 Crore in cash and jewellery has been seized and approximately Rs.2000 Crore of undisclosed income has been admitted by the taxpayers, said a statement. Detecting serious irregularities beyond the ...

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Earn Honestly, Pay Taxes Honestly, says Minister

Union Minister (IC) for Power, Coal, New & Renewable Energy and Mines, Shri Piyush Goyal, addressing a gathering comprising of the trader fraternity at the Less-Cash India Summit, said the demonetisation will bring a change in the way people think and work as it makes the honest feel respected for the first time. It was an idea whose time had ...

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1 Million British Indians Rattled by Note Ban, Seek Recourse

Taking Indian currency out of India is banned as per the law but many NRIs and those who return in few days do carry Indian currency and the practice has come under radar now with the British Indians scrambling to get their old Rs 500 ($7) and Rs. 1,000 ($14) notes exchanged. As the official deadline of December 30, 2016 ...

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RBI Cracks Whip on Jan Dhan Yojana Bank Accounts, Now it Takes 2 Years to Get Back Rs.2 Lakh Deposited

As Jan Dhan Yojana accounts meant for the unbanked rural people came under the black money purview with mysterious increase of 60% after demonetisation amounting to Rs.72,834 crore worth deposits since Nov. 8. Now the Reserve Bank of India has cracked the whip limiting withdrawals in these accounts to Rs 10,000 per month. That too only fully KYC compliant holders ...

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India Registers Decline in Export of Gems and Jewellery

According to DGCI&S data, the gems and jewellery exports has been showing positive growth since January, 2016. From December, 2014 to December, 2015 gems and jewellery exports were showing decline with exception in the month of June, July and August, 2016. With a view to strengthen the Gems & Jewellery industry in the country, the Government has taken a number ...

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India Revamps Insolvency Scheme, Sets up New Board

Union Minister of Finance and Corporate Affairs Arun Jaitley has unveiled a new initiative by setting-up the Insolvency and Bankruptcy Board of India (IBBI) that he said was done by the present Government in the shortest possible time. The Finance and Corporate Affairs Minister was speaking at the function organized by the Insolvency and Bankruptcy Board of India (IBBI) on ...

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What’s India’s Share in Global Trade?

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India’s performance in World trade based on the WTO database which provides the data calendar year-wise is given shows that India’s share in global trade is a pittance at 1.6%, said Commerce minister Nirmala Sitharaman in a reply to a parliament question on Monday. In 2015, India’s share in merchandise exports stood at 1.6%, commercial exports at 3.3% and merchandise and ...

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Declaration of Undisclosed Black Money far less than what’s declared after Demonetisation

A total number of 64,275 declarants have made declaration of undisclosed income of Rs.65,250 crore under the Income Declaration Scheme, 2016, which is far less than what’s been unearthed in the form of legal declaration as deposits at around Rs.1 lakh crore in the last 14 days. Under the Income Declaration Scheme, 2016 the amount of tax, surcharge and penalty ...

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Clearance Given for 18 New Domestic and International Airports

As per the Greenfield Airports Policy- 2008, Ministry of Civil Aviation (MoCA) accords two stages clearances i.e. “site clearance” followed by “in-principle” approval for Greenfield airports. MoCA has granted ‘in principle’ approval for setting up of 18 Greenfield Airports across the country. Out of these 18 airports, the airport project at Pakyong ( Rs. 553.53 cr approx.) in Sikkim belongs ...

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Demonetisation Temporary Solution to End Black Money: Prof. Yunus

As experts are cautiously making their views known about the demonetisation move of India, microfinance founder and Nobel laureate Prof. Muhammad Yunus said on Saturday that it was a temporary solution and not long lasting as expected. Unless sustainable process is put in place, the system will remain locked in for black money as ever, he told ET. “Demonetisation does ...

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Action on Black Money Continues: Minister

There is no official estimation of the amount of black money within the country and stashed abroad and a panel commissioned to study it through National Institute of Public Finance and Policy (NIPFP), National Council of Applied Economic Research (NCAER) and National Institute of Financial Management (NIFM), reported action against tax evasion as is seen now. Appropriate action against tax ...

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