(General Awareness For Bank's Exams) Economy

April -2015

Probeinto628HSBCaccountscompleted

• KeepingupwiththeMarch31deadline,theCentralBoardofDirectTaxes (CBDT)hascompletedassessmentoftheHSBCBank(Geneva)account-holders whosedetailsweresharedbytheFrenchgovernmentin2011.
• WhiletheIncome-TaxDepartmenthadearlierlaunchedprosecution proceedingsin60cases,islearntthattheagencyhassoughtlegalopinion toascertainwhetheritcaninitiateprosecutioninothercases.Penalty proceedingswerealsoinitiatedagainst350account-holders.
• Over250ofthe628account-holdershaveadmittedtohavingaccounts abroad.“However,legalactionwillnotbetakenagainstthosewhoenjoyed NRIstatuswhentheaccountswereopened,unlessanycriminalityis involved,”saidanofficial.
• TheIncome-TaxDepartmentalsoplanstoopeninvestigationsincases pertainingtotheaccountsopenedbefore2005-06,takingrecourseto assessment/reassessmentprovisionsundertheIncome-TaxAct.

GoAirCEOquits

• TheChiefExecutiveOfficerofWadiagroup-promotedbudgetcarrier GoAir,GiorgioDeRoni,hasquitthecarrier,citinghealthreasons,sources said.
• Mr.DeRoni,anItaliannational,hadjoinedGoAirin2011.
• “DeRonihasquitGoAir.Hehadrequestedthemanagementtorelievehim onhealthgrounds.Todaywashislastdayattheairline,”sourcescloseto thedevelopmenttold.
• Whencontacted,aGoAirspokespersondidnotcommentontheissue.
• DeRonihadtakenoverthepostfromKaushikKhona,whowasinstrumental ingettingbacktheno-frillsairlineonitsfeet.

Videocond2hgetslistedonNASDAQ

• Videocond2hhascloseditsinitialpublicoffer(IPO)process,andis gettinglistedonNASDAQintheU.S.,joiningaselectbandofIndian companiesthatarelistedontheU.S.bourses.
• ThecompanyisgettinglistedonNASDAQlateTuesdaynightbyissuing ADR(AmericanDepositoryReceipts)worth$325milliontothepublicwitha currentmarketcapitalisationof$1.15billion.
• "WehadplanstohaveasimultaneouslistingontheNASDAQ,theBSEand theNationalStockExchange(NSE),’’VenugopalDhoot,Chairman,Videocon Group,toldthiscorrespondent.
• "However,theNASDAQauthoritieshaverespondedveryfast,andwechose togoaheadandlisttherefirst.WewilllistontheBSEandtheNSEwithin thenextthreemonths,’’hesaid.
• Videocond2histhefirstIndianmediacompanytolistoverseasandthe largestIndianIPOintheUSinovereightyears.
• Thefundsraisedwillbeusedforgrowthopportunitiesandtostrengthen thefinancialpositionbydeleveragingthebalancesheetofthecompany,Mr. Dhoot,saidaddingthatthecompanyhadadebtofaroundRs.1,200crore, whichwouldbebroughtdown.

AnoopKumarSharmaisEssarShippingCEO

• Capt.AnoopKumarSharmahastakenoveraswhole-timedirectorandChief ExecutiveOfficer(CEO)ofEssarShippingLtd(ESL).
• HereplacesRamakrishnanA.R.,whoretiredfromserviceonMarch31, thecompanysaidinastatement.
• Capt.SharmahasbeenassociatedwithESLsinceAugust2008.
• AnalumniofNarseeMonjeeInstituteofManagementStudies,Mumbaianda fellowofInstituteofCharteredShipbrokers,London,heisalsothemember oftheGoverningcouncilofNarottamMorarjeeInstituteofMaritimestudies.
• HewaspreviouslyassociatedwithShippingCorporationofIndiafor16 yearswherehewastheSeniorVicePresidentoftheCharteringdivision responsibleforexploringglobalbusinessopportunitiesforbulkcarriers, tankers,containersandothervesselsanddevelopingnewbusinesses.
• EssarShippingoperatesadiversifiedfleetof15vessels,including verylargecrudecarriers(VLCCs),Capesize,Mini-capesize,Supramaxes, mini-bulkcarriersandtugs.

PiramaltosellclinicalresearchdivisiontoIndoco

• PiramalEnterpriseshassignedanagreementtosellitsHyderabad-based clinicalresearchdivisiontoIndocoRemediesforundisclosedamount.
• PiramalEnterpriseshassignedadefinitiveagreementtosellits clinicalresearchdivisionknownas‘PiramalClinicalResearch’(PCR)to IndocoRemediesonagoingconcernbasisforcash,thecompanysaidina filingtoBSE.
• “Fixedassetsofthisdivisionalongwiththeemployeeswillbe transferredtoIndocoonaslumpsalebasisasapartofthetransaction,” itadded.
• Thesaletransactionisexpectedtobecompleteduponreceiptof purchaseconsiderationbyApril6.
• “PCRwasnotconsideredstrategicinnatureandformedarelatively smallportionofthePEL’sconsolidatedbusiness.Thetransactiondoesnot haveamaterialimpactonPEL’sbalancesheetorP&L,”itadded.
• PCRspecialisesinconductingbioanalyticalandbioequivalencestudies forgenericproductsandholdsapprovalsfromvariousregulatoryagencies, includingUSFDA,andU.K.MHRAamongothers,PiramalEnterprisessaid.

MercedgesoutAudiasNo.1luxurybrand

• GermanluxurycarbrandMercedeshasovertakenitsrivalAudiintotal salesduringQ1ofthiscalendaryeartograbtheNumber.1positioninthe Indianluxurycarmarket.
• DuringJanuary-March2015,Mercedessold3,566units,up40percent whencomparedwiththeyear-agosales.Audisold3,181units(upfrom2,740 units)duringthisperiod.
• MercedeshasbeenreducingthesalesgapwithAudioverthepastcouple ofyears.Itlostleadershippositionin2009.But,startedgainingfrom second-halfof2013.In2014,Mercedessold10,201units.Audi’ssaleswere, however,higherby650units.
• Thecompanyattributedtherobustgrowthtoitsstronganddiverse productportfolio,comprisingNGCs(newgenerationcars),thesedansandthe SUVs(sportutilityvehicles).
• ThenewMercedesC-Class,launchedinFebruary,clockedthebest-ever salesinMarch.ThehighpreferenceforthenewC-Classsedanwasclosely matchedbytheE-Classsedan,whichcontributedsignificantlytothevolumes inQ12015.
• “Our‘LivetheBest’philosophyisyieldingrichdividendsandour objectiveofachievingadouble-digitgrowthmovingintheright direction,''EberhardKern,ManagingDirector&CEO,Mercedes-BenzIndia.
• ThefiercebattlebetweenMercedesandAudiissettointensifyduring thiscalendaryearwithboththebrandsareintheprocessoflaunching numerousproductsacrosssegments.WhileMercedeshasplanned‘15in15’ productstrategy,Audihasproposedtorollout10newproductsthisyear.

ChangingnomineeinlifeinsurancepoliciestocostRs.100

• Cancellationorchangeinnominationininsurancepoliciesnowcomesat acostastheIRDAhasallowedlifeinsurerstochargeuptoRs.100forany suchmodification.
• Forpoliciesobtainedonline,thefeeisuptoRs.50.

Toulousemodelplannedforsmartcityproject

• AheadofPrimeMinisterNarendraModi’svisittoFrancelaterthisweek, IndianandFrenchgovernmentshavespentsometimeidentifyingthepossible cityFrancecouldhelpdevelopasasmartcityinIndia.
• PartofMrModi’s100smartcitiesproject,Puducherry,formerlya Frenchcolonyistheobviouschoicefortheproject,giventhatFrenchis stillanofficiallanguagethere,whileChandigarh,India’snewestcitywas builtbyFrencharchitectLeCorbusier,andistheotherstrongcontender.
• Theplanforsmartcitiesthatwasannouncedwithinweeksofhis governmentbeingsworninlastMay,isawaitingtheMinistryofUrban Development’s“blueprint”.
• Mr.ModiwillbeginhisstatevisitinParis,andaftertheceremonial welcome,willmeetwithtwosetsofbusinessgroupsfromtheinfrastructure anddefencesectors.HewillbehostedattheNationalAssemblyandmeet politicalleadersbeforehisbilateralmeetingwithPresidentHollande.
• AplanforthetwoleaderstoseethesightsofParisbyaboatdownthe riverSeineisstillnotconfirmed,duetothepossibilityofrain, officialstold.
• AfterhisvisittoToulouse,MrModiwillflytothetownofLillewhere hewillpayrespectsto9,000IndiansoldierswhodiedintheBattleof NeuveChapelleintheWorldWarI.
• MrModiwillreturntoParisandmeetwiththeIndiancommunity,before heheadstotheHannoverIndustrialfairtopromotethegovernment’sother petproject,“MakeinIndia.

DenaBanktiesupwithLIC

• DenaBanksignedamemorandumofunderstanding(MoU)withLifeInsurance Corporation(LIC)ofIndiaunderthePrimeMinister’sPradhanMantriJeevan JyotiBimaYojana(PMJBY)schemetoprovideinsurancecovertoall Aadhaar-linkedsavingsaccountholdersofthebankintheagegroupof18to 50years.
• “Peoplewhojointheschemebeforecompleting50yearscancontinueto havetheriskoflifecoveruptotheageof55years.Theschemewillcome ineffectfromJune1,2015,”saidDenaBankinapressrelease.
• Underthescheme,ariskofRs.2lakhwillbecoveredincaseofdeath andapremiumsumofRs.330perannumwillbeauto-debitedtotheaccount holder’saccount.Asperthetermsofriskcoverage,apersonhastooptfor theschemeeveryyear.

TRAIreviewsoperatoraccountsreportingsystem

• TelecomRegulatoryAuthorityofIndia(TRAI)hasstartedreviewof accountsreportingsystemofoperatorsonconcernsoverproductsandnetwork licences,amongothers,raisedbytheindustry.
• TRAIisintheprocessofreviewingtheReportingSystemonAccounting SeparationRegulations,2012,areleasesaid.
• TheRegulationsareintendedtocollectfinancialdatafromtelecom operatorsthatwouldenableanalysisofthefinancialperformanceof differenttelecomproductsandservices,costs,returnsandcapital employed.
• Italsoseeksdatatoidentifycrosssubsidisation,andinvestigate predatorypricing.ViewsaresoughtonthisissuebyApril22.
• TheRegulatorseeksdatatoidentifycrosssubsidisation,investigate predatorypricingandunderstandpricingandarrangement.

CentreGovt.hikesDAby6percent

• InamovethatwillbenefitoveronecroreCentralGovernmentemployees andpensioners,theUnionCabinethikedDearnessAllowance(DA)by6per centto113percentoftheirbasicpaywitheffectfromJanuary.The decisionwillbenefit48lakhgovernmentemployeesand55lakhpensioners.
• ItwouldinvolveanoutlayofRs7,889.34croreinthecurrentfiscal.

NGOsgetRs.11,000croreinforeignfundsayear

• Non-governmentalorganisationsinIndiareceiveRs.11,000crorein foreigndonationsayearfromover150countries.Ofthe69blacklistedfrom receivingforeignfunds,14arefromAndhraPradesh,12fromTamilNaduand fiveeachfromOdishaandGujarat.TheothersarebasedinDelhi,Uttar Pradesh,KeralaandJammuandKashmir.
• TheBerthaFoundation,thelatesttobeincludedontheprior-approval listforgivingdonations,isyettogiveitsreactiontotheUnion government’smove.GreenpeaceIndia,whichreceivesfundsfromthe Netherlands-basedadvocacygroup,hasnotrevertedtoquestions.
• “Althoughahueandcryisbeingraisedtoprojectthatthegovernment iscrackingdownontheentireNGOsector,thereisnotruthinsuch assertions.Whilethousandsofservice-deliveryNGOshavebeenoperating withoutinterference,actionisbeingtakenonlyagainstaminusculenumber ofadvocacygroupsasperlaw,”aHomeMinistryofficialsays.
• Theothersintheprior-approvallistaretheU.S.-based350.Org,Mercy Corps(whichoperatedinKashmir),BankInformationCentre,SierraClub FoundationandAvaaz.org;theNetherlands-basedICCOStretegische Samenwerking,HIVOS,CatholicOrganisationforReliefandDevelopmentAid andInter-ChurchPeaceCouncil;andtheDenmark-basedDanishInstituteof HumanRightsandDanishInternationalDevelopmentAgency.

World’ssmallestPC

• Toutedtobetheworld’ssmallestcomputer,Intel’snewComputeStickPC comesintwovariantsanditcostabout$100-150.
• ItcanbepluggeddirectlyintoamonitororTVviaHDMI.
• Itcomeswithafull-sizedUSBportforconnectingamouseandkeyboard.
• Linuxversioncost$110,whiletheonepoweredbyWindows8.1ispriced at$150.
• Itcanbepre-orderedthroughsomeonlinestores.

EPFOsuspendspensionscheme

• TheEmployeesProvidentFundOrganisation(EPFO)hassuspendedtheRs. 1,000minimummonthlypensionschemefromthismonth,adecisionwhichwill hitabout32lakhpensioners.
• TheschemewaslaunchedwitheffectfromSeptember2014,hikingthe pensionamounttoaflatRs.1,000permonthforthosewhoweregetting loweramountearlier.
• Withthesuspensionofthescheme,thebeneficiarieswillgetpensionat earlierrates.
• Inacirculartoitsfieldoffices,theEPFOsaidithasdecidedto suspendtheschemeintheabsenceofanydirectionfromthegovernmentto continuethisbenefitbeyondMarch31.
• AccordingtothegovernmentnotificationissuedonAugust19lastyear, thebenefitofminimumpensionwasmadeeffectivefromSeptember1toMarch, 2015.

Blackmoney:U.N.meetendorsesIndia’sconcern

• Inamajorpushtowardsrecoveringblackmoneystashedinsafehavens abroad,aU.N.conferenceendorsedIndia’ssuggestionsonpromotingglobal cooperationinfightingthemenaceofmoney-laundering,international terrorismandcybercrime.
• The13thU.N.CongressonCrimePreventionandCriminalJusticewasheld hereandaDohaDeclarationwasadoptedduringthehigh-levelsegmentofthe meeting.
• FollowinguponG20’sendorsementofconcernsraisedbyitonblack money,Indiaputimmenseimportanceontheacceptanceofastatementthat willfacilitatetheeventualconfiscationof“moneyandotherassetsthat havenotbeenaccountedforandthatarefoundinsafehavens”andsucceeded ingettingadoptedmeasuresthatcanhelpachievethegoal.
• Aclauseinthedeclarationprominentlytookcareoftheconcernthat theIndiangovernmenthasbeenemphasisingrecentlyatallpossibleforums. MinisterofLawandJusticeD.V.SadanandaGowda,ledahigh-level delegationtotheCongress.

BajajlaunchesPulsarAS200andAS150

• Two-wheelermajorBajajAuto,launcheditsnewrangeofsportsbike PulsarAdventureSportpricedbetweenRs.79,000andRs.91,550(ex-showroom Delhi).
• “Thesenewgenerationbikesareawinningcombinationofeasyhandling intrafficandrawbrutalpower,”saidEricVas,president,motorcycles business,BajajAuto.
• “Wehavealwaysledonproductinitiativesandhavecontinuously expandedthePulsarrangetocatertothevariousconsumerpreferencesin thesportssegment,”Mr.Vasadded.
• Thenewrangecomprisesoftwovariants—PulsarAS200andAS150.The PulsarAS200ispoweredbya199.5cctriplespark,4-valveliquidcooled DTSienginewhilethePulsarAS150runsona149.5cctwinspark,4-valve aircooledDTSiengine.
• ThePulsarrangesells57,000unitseverymonthinthedomesticmarket.

India’sGDPgrowthratetoreach8%by2017:WorldBank

• TheWorldBankhaspredictedaGDPgrowthrateof8percentforIndia by2017andsaidthatastrongexpansioninthecountry,coupledwith favourableoilprices,wouldacceleratetheeconomicgrowthinSouthAsia.
• InIndia,GDPgrowthisexpectedtoaccelerateto7.5percentinfiscal year2015/16.Itcouldreach8percentinFY2017/18,onthebackof significantaccelerationofinvestmentgrowthto12percentduringFY 2016-FY2018,thebanksaidinitssemi-annualreport.
• Thecountryisattemptingtoshiftfromconsumptiontoinvestment-led growth,atatimewhenChinaisundergoingtheoppositetransition,itsaid.
• Thebank’stwice-a-yearSouthAsiaEconomicFocusreportprojected steadyincreaseinregionalgrowthfrom7percentin2015to7.6percent by2017ongroundsofstrongconsumptionandincreasinginvestment.
• GivenIndia’sweightinregionalGrossDomesticProduct,theprojections reflecttoalargeextentIndia’sexpectedgrowthacceleration,drivenby business-orientedreformsandimprovedinvestorsentiment.
• Thedeclineinoilpriceshasbeenreflectedinthedomesticpricesof oilproductstodifferentextentsacrosstheregion.Thepass-through exceeded50percentformostoilproductsinPakistan,butwasnilin Bangladesh,itsaid.
• Togetherwithfavourablefoodprices,cheaperoilhascontributedtoa rapiddecelerationofinflation.SouthAsiawentfromhavingthehighest inflationrateamongdevelopingregionstohavingthelowestinbarelyone year.
• InMarch2013,theConsumerPriceIndex(CPI)oftheregionhad increasedby7.3percentyear-on-yearcomparedto1.4percentinMarch 2015,thereportsaid.
• “ThebiggestoilpricedividendtobecashedinbySouthAsiaisoneyet tobeearned,butitisnotonethatwillautomaticallytransitthrough governmentorconsumeraccounts,”saidWorldBankSouthAsiaChiefEconomist MartinRama.
• “Cheapoilgivestheopportunitytorationalizeenergyprices,reducing thefiscalburdenfromsubsidiesandcontributingtoenvironmental sustainability,”hesaid.
• ThereportnotedIndiahasalreadytakenencouragingstepstodecouple internationaloilpricesfromfiscaldeficitsandtointroducecarbon taxationtoaddressthenegativeexternalitiesfromtheuseoffossilfuels.
• Thechallengewillbetostaythecourseintheeventofoilprice hikes,somethingthatmaywellhappeninthemedium-term.
  “Savingsfromreducedsubsidybillscouldbeusedtoaddressthecrying needsoftheregionintermsofinfrastructure,basicservicesandtargeted supportforthepoor,”saidWorldBankVicePresidentforSouthAsiaAnnette Dixon.
• Thereportshowsthathouseholdsintheregionstandtogainfromlower oilprices,bothdirectlythroughlowerenergyspendingandindirectly throughfastergrowth.Butexceptforkerosene,richerhouseholdsspendmore inoilproducts,andstandtogainmore.

Googleunveils‘FindMyPhone'

• IfyoumisplaceyourAndroidphoneinthecarorleaveitsomewhere aroundthehouse,searchenginegiantGooglecannowhelplocatethe smartphone.
• UsingGooglesearchonadesktop,usersneedtotypein‘Findmyphone’ andanapproximatelocationofthedevicewillbeshown,Googlesaidina blogpost.
• Theusersjustneedtoensurethattheyhavethelatestversionofthe GoogleAppontheirregistereddeviceandsmartphonelocationservicesare alsoon.
• TheAndroidDeviceManagerwillallowuserstoringtheirdevice,using whichtheycanlocatetheirdevice.Thephonewillringforfiveminutes, oncetheringoptionischosen.However,thereareotherappsavailablein themarkettotrackanderasedataremotely,ifrequired.

Newinterestsubventionschemeforfarmersonanvil:RBI

• AweekafterthePrimeMinisterannouncedhighercompensationfor damagedcrops,theReserveBankofIndia(RBI)saidanewschemefor interestsubventionforfarmerswasbeingworkedoutthoughitmighttake ‘sometime’.
• Inthemeanwhile,theearlierinterestsubventionschemewouldcontinue tillJune30,theRBIsaid.
• Asregardstheschemefortheyear2015-16,theGovernmentofIndiahas advisedthatpresentlyvariousalternativeapproachesforimprovingthe efficacyoftheschemearebeingexamined,thefinalisationofwhichmay takesometime,”itsaidthroughanotification.
• RBIfurthersaidithasbeendecidedbythegovernment,‘asaninterim measure’,toimplementtheinterestsubventionschemefor2015-16,tillJune 30,onthetermsandconditionsapprovedfortheschemefor2014-15.
• “Allbanksare,therefore,advisedtotakenoteandimplementthe interestsubventionschemefor2015-16accordingly,”itsaid.
• In2014-15,interestsubventionoftwopercentwasmadeavailableto banksonfundsusedforshort-termcroploansuptoRs.3lakhperfarmer providedtheymakeavailableshorttermcreditatthegroundlevelat7per cent.
• Also,additionalinterestsubventionattheratethreepercentwasmade availabletofarmersrepayingloanspromptly.
  OnApril8,PrimeMinisterNarendraModihadannouncedthegovernment’s decisiontoraiseby50percentthequantumofcompensationtofarmers affectedbycroplossesduetorecentunseasonalrains.
• Besides,thecriterionof50percentcropdamageforproviding compensationtofarmershasbeenreducedto33percent,whichwillhelp morepeoplegetbettercompensationforthecroploss.Healsosaid insurancecompanieshavebeeninstructedtoexpeditiouslysettletheclaims ofthedistressedfarmers.

Absenceofnewtaxeswillhelpmanufacturing,saysJaitley

• UnionFinanceMinisterArunJaitleysaidthataftertheModigovernment decidedtoincreasetheStates’shareinCentraltaxesinlinewiththe14th FinanceCommissionrecommendations,notasingleStategovernmenthas introducednewleviesandthatthiswillhaveanimpactontheeconomy.
• “AllStateshavenowpresentedtheirbudgetsforthisyearandnonewor additionaltaxeshavebeenintroduced…thiswillmakemanufacturingacross Indiacompetitiveforproducers,”Mr.Jaitleysaid.
• HewasspeakingataneventatthePetersonInstituteofInternational Economicshere.
• RespondingtoaquestionontheInternationalMonetaryFund’sprojection releasedonMondaythatIndia’sgrowthwouldovertakeChina’sthisyear,the FinanceMinistersaid:“Ifinagivenyearwearenumericallyhigherthan theirgrowthratetherearealotofareaswhereweneedtodoalotmore thanthat.”
• Chinamanagedanaverage9percentgrowthforthreedecadestoreach whereitwas,hesaid.
• Mr.JaitleyalsosaidthefinancialyearthatendedonMarch31wasone inwhichtheCentre’sreceiptsfromdisinvestmentwerehighestever. “NumericallyIhavecollectedmuchmorefromdisinvestmentinayearthan othergovernmentssince1991andthisyearwewilldomuchmoreifnottwice oflastyear,”hesaid.
• Mr.JaitleyalsosaidthatasheannouncedinhisBudgetspeech,the ModiGovernmentwouldbegoinginforstrategicsalesduringtheyearfor somepublicsectorunits.
• TheofficeoftheChiefEducationalOfficerherehasbaggedtheISO 9001:2008certification.ThisissaidtobethefirstEducationDepartment officetogetthecertification.
• RepresentativesofMax,aSwedish-basedagencyforISO,ascertainedthe performanceofemployeesoftheofficeduringtheacademicyear2014-15and ascertainedtheirefficiencyinserviceduringthestartandendofthe assessment.
• “Servicetopeople,leadership,system-basedmanagement,commitmentto service,decisionmakingonrationalgrounds,designinoffice,uniform clothesforemployeesonthelinesofcorporatesectorandaboveallservice tostudentsandteachersweresomeofthefactorswhichwereanalysed,”said N.ArulMurugan,ChiefEducationalOfficer,whosoughtthecertification.
• Innovationinservicewastakenintoaccount.Forinstance,the introductionofphoto-affixedtransfercertificatewasamajornewstrategy adoptedbytheofficeduringtheacademicyear2014-15,hesaid.
• ThewebsiteoftheofficeoftheCEOandthefeedbackfromstudentsand parentswereascertained.
  Thecertificationwasvalidforthreeyears.Theagencywouldtakeupannual reviewontheservicesoftheofficeforthenextthreeyears.
• “Thecertificationhasbroughtaboutasenseofconfidenceandpride amongtheemployeesandteachersaboutthequalityofservicebeingrendered bythisoffice,”hesaid.

InvestmentviaP-Notessurges

• InvestmentsintoIndianmarketsthroughparticipatorynotes(P-Notes) hassurgedtothehighestlevelinoversevenyearsatRs.2.72lakhcrore (over$43billion)attheendofMarch2015.
• P-Notes,mostlyusedbyoverseasHNIs(highnetworthindividuals),hedge fundsandotherforeigninstitutions,allowsuchinvestorstoinvestin Indianmarketsthroughregisteredforeigninstitutionalinvestors(FIIs).
• Thissavestimeandcostsforinvestors,buttheflipsideisthatthe routecanalsobeusedforroundtrippingofblackmoney.
  AccordingtothedatareleasedbySecuritiesandExchangeBoardofIndia (SEBI),thetotalvalueofP-NoteinvestmentsinIndianmarkets(equity, debtandderivatives)rosetoRs.2,72,078croreattheendofMarchfrom Rs.2,71,752croreintheprecedingmonth.
• ThisisthehighestinvestmentsinceFebruary2008,whenthecumulative valueofsuchinvestmentsstoodatRs.3.23lakhcrore.
• ThequantumofFIIinvestmentsthroughP-Notes,too,climbedto11.3per centlastmonthfrom11.1percentinFebruary.
• Tillafewyearsago,P-Notesusedtoaccountformorethan50percent ofthetotalFIIinvestments,buttheirsharehasfallenafterSEBI tightenedthedisclosurenormsandotherregulationsforsuchinvestments.
• P-Noteshavebeenaccountingformostly15-20percentofthetotalFII holdingsinIndiasince2009,whileitusedtobemuchhigher—intherange of25-40percent—in2008.
• Itwasashighasover50percentatthepeakofIndianstockmarket bull-runin2007.

Volvolaunchespetrolvariantofhatchback

• SwedishcarmakerVolvo,launchedapetrolvariantofitsluxury hatchback,V40CrossCountry.
• ThevehicleisavailableatapriceofRs.27lakh(ex-showroomMumbai). ThenewV40ispoweredbyT4Engine,1.6GDTi4Cylinder,6SpeedAutomatic transmissionsystem.
• ItwillcompetewithGermanbrands’premiumhatchbacks—Mercedes-Benz’s A-Class,Audi’sentry-levelQseriesandBMW’s1seriesinthemarket.The V40hasreceivedthetopratingoffivestarsintheEuroNCAPcollision test.
• Thecompanysaidthevehiclehadahostofpreventivesafetyfeatures.
• Itsproductsaresoldthroughdealersin13citiesandVolvowillsoon adddealersinwestDelhiandKolkata.

CentrekeepsGPFrateat8.7%

• ThegovernmenthaskepttherateofinterestonGeneralProvidentFund contributionsunchangedat8.7percentfor2015-16.Theratesareeffective fromApril1.
• “ItwasdecidedbythegovernmenttolinktheinterestratesofState PFs[GeneralProvidentFundandothersimilarfunds],includingSpecial DepositScheme,1975[SDS,1975]forNon-GovernmentProvident, SuperannuationandGratuityFunds,fortheFY2015-16toPublicProvident Fund[PPF]rates,”saidaUnionFinanceMinistrystatement.
• ThegovernmentrecentlymaintainedtheratesforthePPFat8.7percent for2015-16.
• Interestratesforseniorcitizensinsmallsavingsschemeswillnowbe 9.3percentandfortheSukanyaSamriddhiAccountforthegirlchild,9.2 percent.

RishadPremjijoinsWiproboard

• RishadPremji,sonofWiprofounderAzimPremji,appointedtotheboard.
• AnalumnusoftheHarvardBusinessSchool,hewasservingasthechief strategyofficer,drivingmergersandacquisitions.
• WhilehejoinstheboardonMay1,hewillcontinuetobetheexecutive chairmanofthecompany.
• Mr.Premji,whojoinedWiproin2007,oversawthesettingupofWipro Ventures,aVCfundthatisaimedatinvestinginstart-ups.

ALedgesTataouttobecome2{+n}{+d}largestpick-upbrand

• Inasurprisedevelopment,AshokLeylandhasovertakenitsrivalTata Motorsinpick-uptrucksalestograbtheNumber.2position.
• Mahindra&Mahindraistheleaderinthissegment(2-3.5tonne),which makesuplittleoverhalfofthevolumesintheLCV(lightcommercial vehicle)cargomarket.
• In2014-15,AshokLeylandsold24,414units(27,080unitsin2013-14), whichwerehigherthanTata’svolumesof21,231units(40,692unitsin 2013-14)inthepick-upcategory.
• OnlyM&Mreportedgrowthinsalesat129,755units(123,175units)in 2014-15inpick-upsegment.
• However,AshokLeylandhasbeenreportinggrowthinsalesofDostover thepastthreemonths.AshokLeylandhasamarketshareof14percentin thissegment,whileTata’smarketsharefellto12percentfrom21percent lastyear.M&Mhas73percentshare.
• AshokLeylandsellsonlyDostinthissegment,whileTatasells2-3 products.Meanwhile,Tatacameoutwithanewpick-up,SuperAceMint, pricedatoverRs.5lakh,lastmonthtoboostsalesinthiscategory.

DaiichiexitsSunPharma;ends7yearsoftumultuousrideinIndia

• JapanesedrugmakerDaiichiSankyo,solditsentirestakeofaround9 percentinSunPharmaceuticalIndustriesforoverRs.20,420crore,whichit receivedaftermergerofRanbaxyintheIndianfirm,endingitssevenyears oftumultuousexperienceinthecountry.
• Thecompany,whichhadmayaforayintothegrowingIndian pharmaceuticalmarketbybuyingamajoritystakeinRanbaxyLaboratoriesin 2008forRs.22,000crore,soldover21croresharesinSunPharma.

TwittertohostdevelopermeetinBengaluru

• Applicationdevelopersinthecountrysoonwillhaveachanceto experienceadvancedtoolsfromTwittertohelpthemcreatemore sophisticatedapps.
• Themicro-bloggingsite,whichrecentlylauncheditsworldwidetour ‘TwitterFlock’,willhostAsia’sfirstroadshowinBengaluruonMay13.The eventiscomingtoIndiaafteritsvisittoLondon,BerlinandNewYork.
• “Indiaisoneofthefastest-growingmarketsforTwittertoday,andis hometomanytoptechnologydevelopersinAsia.OurinauguralFlockmobile developerroadshownowcomestoIndia;Bengaluruwillplayhosttosomeof thecountry’sbestdevelopersontheMay13,”saidArvinderGujral, Director,BusinessDevelopment,SouthandSoutheastAsiainablogpost.
• Accordingtotheagenda,theconferencewillbeginintheafternoonand willcontinuetill7p.m.Attheevent,TwitterwillintroduceFabric,a modularmobileplatform,whichitlaunchedinitsfirstdeveloperconference inOctoberlast.Theplatformwillhelpadevelopertobuildmobileapps mucheasier.
• Severalsoftwareengineers,productmanagersanddeveloperadvocates fromtheFabricteamwilljoinanumberofIndianmobileappdevelopersat theevent.TheeventwillalsoprovideopportunityforIndiandevelopersto hearfromtheteamthatbuilttheplatform.
• “Throughouttheevent,wewillsharedetailsonourtechnologysolutions tosupportyouindevelopingbetterapplications,”addedMr.Gujral.
• Twitter’splantoconductitseventinIndiacomesasacertification forthegrowingstart-upactivityinthecountry.Earlierthisyear,Twitter hadmadeitsfirstacquisitioninIndiabybuyingZipdial.Thebuygave Twitterabout50employeesinIndiaandalsoanewengineeringofficein India.
• “ForTwitter,IndiaandIndonesiaarehugemarkets.Lotofapplications arebeingbuiltusingTwitterAPIinIndia.ItalsohasaR&Dcentrenowin Indiawiththeacquisition.TheplanofTwittertoorganiseitsdeveloper conferenceinIndiaitselfisahugeendorsementforthestart-up community,”saidSharadSharma,co-founderofsoftwareproductthink-tank iSpirt.

Asiangiantspromisejobs,trade

• SixtyyearsaftertheBandungConference,China,JapanandIndiaare openingtheirwallets,andperhapstheirhearts,towooAsiaandAfrica— signallinghowdevelopmentaleconomicshasupstagedthenon-aligneddoctrine thatwastheflavourofthedayin1955.
• InhiskeynoteaddressattheAsianAfricanConference,Chinese PresidentXiJinping,announceddutyfreeaccessto97percentitems producedintheLeastDevelopingCountries,thathavediplomatictieswith China.
• TheChinesePresidentalsoattemptedtobolsterhiscountry’sSoft Power,byofferingtotrain1,00,000peopleindevelopingcountriesinAsia andAfricaoverthenextfiveyears.
• Hereiteratedhiscountry’sfocusonintegratinganddevelopingthe economiesofEurasiaundertheSilkRoadinitiative.
• Chinahasdeployeda$40billionSilkRoadfund,andhasplayeda leadingroleinformingtheAsianInfrastructureInvestmentBank(AIIB), whichwillbeusedtodevelopinfrastructurealongtheAsianlegunderthe “beltandroad”plan.
• BolsteredbyitspioneeringrolealongtheSilkRoad,PresidentXi advisedindustrialisedcountriesnottotiepoliticalconditionstotheir aidtodevelopingcountries.Healsocalledforinjectingpositivityin internationalrelations,whichshouldbebasedonfairness,andseekwin-win outcomes.
• Atthesummit,Indiaalsoshowedthatithadfreshideastore-engage developingcountriesinAsiaandAfrica.ExternalAffairsMinisterSushma Swarajnotedinheraddressthatconsideringtheywerepartofitsextended neighbourhood,Indiahadlaunchedthe“ActEast”policytowardsAsia, complementedbythe“renewedAfricapolicy.”Indiawasalsocollectively engagingAfricaunderitsflagshipIndia-AfricaForumSummit,whosethird editionwouldbeheldinOctoberthisyear.
• Japan,China’smainregionalrival,launcheditscharmoffensive targetingtheAfro-AsianclusterthathadassembledintheIndonesian capital.
• “AsianandAfricannationsarenolongerJapan’saidrecipients,”said ShinzoAbe,JapanesePrimeMinister.“TheyarenowJapan’spartnersfor growth.”HepointedoutthatTokyowouldofferindustrialtrainingand technologyto3,50,000peoplethroughouttheregion.ThePrimeMinister addedthattradedealsundernegotiations,suchastheTrans-Pacific Partnership,RegionalComprehensiveEconomicPartnershipandFreeTradeArea oftheAsia-Pacific“willalleventuallyheadtowardAfrica.”
• Thesummitprovidedanopportunityfora29minute,one-on-oneexchange betweenPresidentXiandPremierAbe.Attheendofthemeeting,which analystssaidsignalledrecognitionbybothcountriesoftheneednotto derailties,Mr.Abesoundedstatesmanlike.“Thedevelopmentofrelations betweenourcountriesisintheinterestsofthepeopleofJapanandChina,” heobserved.“Bypromotingstrategic,mutuallybeneficialrelations,we contributetothestabilityandprosperityoftheregionandtheworld.”

ReserveBankrevisesnormsforprioritysectorlending

• TheReserveBankofIndia(RBI),saidthatmediumenterprises,social infrastructureandrenewableenergywouldformpartofprioritysectorin additiontotheexistingcategories.
• “Thedistinctionbetweendirectandindirectagricultureisdispensed with,”theRBIsaid.
  Therevisedguidelinesareoperationalwithimmediateeffect.
• However,itsaidtheprioritysectorloanssanctionedundertheearlier guidelineswouldcontinuetobeclassifiedunderprioritysectortill repayment/maturity/renewal.
• Itprescribedatargetof8percentforthesmallandmarginalfarmers withinagriculture.RBIaskedbankstoachievethisinaphasedmanner,that is,7percentbyMarch2016and8percentbyMarch2017.
• Atargetof7.5percenthasbeenprescribedformicroenterprises, whichalsohastobeachievedinaphasedmanner,thatis,7percentby March2016and7.5percentbyMarch2017.
• Thereisnochangeinthetargetof10percentforweakersections,it addedForeignbanks,with20branchesandabove,alreadyhavepriority sectortargetsandsub-targetsforagricultureandweakersections,which aretobeachievedbyMarch31,2018,aspertheactionplanssubmittedby themandapprovedbyRBI.
• Thesub-targetsforsmallandmarginalfarmersandmicroenterprises wouldbemadeapplicablepost2018afterareviewin2017,theRBIsaid.
• “Foreignbankswithlessthan20brancheswillmovetototalpriority sectortargetof40percentonparwithotherbanksby2019-20,andthe sub-targetsforthesebanks,iftobemadeapplicablepost2020,wouldbe decidedinduecourse,”itadded.
• Bankloanstofoodandagroprocessingunitswillformpartof agriculture.Exportcreditupto32percentwillbeeligibleaspartof prioritysectorforforeignbankswithlessthan20branches.
• Forotherbanks,theincrementalexportcreditovercorrespondingdate oftheprecedingyearwillbereckonedupto2percent.
• TheloanlimitsforhousingloansandMFIloansqualifyingunder prioritysectorhavebeenrevised.
• RBIsaidtheprioritysectornon-achievementwouldbeassessedona quarterlyaveragebasisattheendoftherespectiveyearfrom2016-17 onwards,insteadofannualbasisasatpresent.

SEBIwarnsunlistedfirmsoftoughaction

• Concernedoveralargenumberofunlistedfirmsfraudulentlyraising moneyfrompublic,marketregulatorSecuritiesandExchangeBoardofIndia (SEBI),warnedsuchcompaniesandtheirdirectorsof“stringentaction”and askedinvestorsnottobeluredbytheirschemes.
• ThewarningcomesamidacontinuingcrackdownbySEBIagainstvarious unlistedcompaniesthathaveluredretailinvestorsbyissuingsecurities suchasnon-convertibledebentures/non-convertiblepreferencesharesinthe garbofprivateplacement.
• SEBIsaidithastakenactionagainst112entities,sinceJanuary2013 forissuanceofsecuritiesintheformofnonconvertiblepreferenceshares/ nonconvertibledebenturestopublic,withoutcomplyingwiththeprescribed provisionsoflaw.
• Suchsecuritieswereissuedwithoutcomplyingwiththeprescribed CompaniesActandSEBInorms.
• “Companiesarecautionednottoissuesecuritiestopublicwithout complyingwithprovisionsoflaw...failingwhichSEBIwillbeconstraintto takestringentactionagainstsuchcompaniesandtheirdirectors.Investors arealsocautionednottosubscribetosuchissues.Investorsareadvisedto seewhetheranysuchentityhasfiledofferdocumentorfiledapplication withStockExchangeforlisting,”SEBIsaidinapublicnotice.
• Sofarin2015itself,SEBIhaspassedordersagainstmorethan50 companiesinsuchcases.

RatanTatapicksupstakeinXiaomi

• IconicbusinessleaderRatanTatahasacquiredastakeinChinese handsetmakerXiaomi,thefirstinvestmentbyanyIndianinthesmartphone maker.
• Thecompanydeclinedtodisclosethequantumandvalueofthestake, whichTataGroup’sformerchiefhaspickedinhispersonalcapacity.
• “WearetrulyexcitedtohaveMrTataonboard.Wewillseekhisadvice inourjourneytobecominganIndiancompany,”XiaomiIndiaheadManuJain told.
• Mr.Tata,whoretiredasheadofover$100billionconglomeratein December2012andcurrentlyservesaschairmanemeritusofTataSons,has emergedasamajorventurecapitalinvestorsincehisretirement.
• Hehasalreadymadepersonalinvestmentsinhomegrowne-commerceplayers likeSnapdeal,UrbanLadder,BluestoneandCardekho.com.InMarchthisyear, healsoinvestedinmobilecommercefirmPaytm.
• “IndiaisourbiggestmarketoutsideofmainlandChinaandalsoan extremelyimportantone.Ourgoalistobecomenumberoneinthenext3-5 yearsandwearekeenonpartnershipshere,”Xiaomico-founderandpresident BinLinsaid.
• Lastweek,Xiaomiannounceditsfirst‘madeforIndia’handsetMi4i, pricedatRs.12,999.
• “MrTataisoneofthemostwell-respectedbusinessleadersinthe world.Aninvestmentbyhimisanaffirmationofthestrategywehave undertakeninIndiasofar.Thisisjustthestartofanexcitingjourney, andwearelookingforwardtobringingmoreproductsintoIndia,”XiaomiCEO Junsaid.
• “WewanttobecomeanIndiancompany.ThatiswhywearebuildinganR&D teamhereandsettingupdatacentre.Wewanttomanufactureandalsoinvest instartupsinIndia,”Mr.Linsaid.
• Indiancorporatehonchoshavebeenaggressivelyinvestinginthe burgeoningonlineretailsector.
• WiproChairmanAzimPremjihasinvestmentsinMyntraandSnapdeal,while hisrivalandInfosysco-founderNarayanaMurthy(throughCatamaran Ventures)startedajointventurewithAmazontohelpsmallandmedium businessescomeonline.
• InDecemberlastyear,Xiaomiraised$1.1billion,valuingthefirmat $45billion.Oftentoutedasthe‘AppleofChina’,thecompanyhasgrownto becomeamajorcompetitiontoglobalgiantslikeSamsungandApple.
• WhilethecompanyalreadyranksatthetopinChinesemarket,inIndia itisamongthetopfiveplayersaspertheestimatesofresearchfirm Gartner.

CapgeminiacquiresiGATEfor$4billion

• FrenchITservicescompanyCapgeminionMondayannouncedtheacquisition ofUS-basedITservicescompanyiGATEfor$4billion.
• ThroughtheacquisitionCapgemeini,whichhassignificantpresencein theEuropeanmarket,istryingtowidenitspresenceinNorthAmerica.
• Apartfromgettingastrong-holdintheUS,thebuyoutwillalsogive Capgemini’sIndianoperationsanewscale,allowingittocompeteonapar withtheUSandIndiancompanies.
• Thecompanyco-foundedbySunilWadhwaniandAshokTrivediislistedin Nasdaq.However,majorityofitsworkforceisbasedinIndia.
• “ThemergeragreementhasbeenapprovedunanimouslybybothCapgemini’s andiGATE’sBoardofDirectors.Thetransactionhasalsobeenapprovedby thewrittenconsentofshareholdersholdingamajorityofiGATE’sshares,” boththefirmssaid.
• Atpresent,iGATEhasarevenueofaround$1.3billionandover30,000 employeesspreadacrossitscentresinIndia,theUS,EuropeandChina.
• InIndia,iGATEhascentresinBengaluru,Mumbai,Pune,Chennai, Hyderabad;whiletheFrenchmajorhasitscentresinninelocationsand employsmorethan50,000people.
• Thedealissubjecttonecessaryapprovalsandisexpectedtoclosein thesecondhalfof2015andiGATEwillbecomethesubsidiaryofCapgemini NorthAmerica.

MinimumsupportpriceforcottonincreasedbyRs.50

• Takingnoteofthedistresstocottongrowersfromfallincotton prices,theCentre,onWednesday,announcedahikeofRs.50perquintaleach intheminimumsupportpriceofmedium-andlong-staplecottonfor2014-15. ItauthorisedtheMaharashtraStateCo-operativeCottonGrowersMarketing FederationtoundertakeMSPoperations.
• TheCabinetCommitteeonEconomicAffairs(CCEA),chairedbyPrime MinisterNarendraModi,alsodecidedtorestorethecutsinMSPfor procurementofsub-standardwheatfromfarmers,whohadsufferedcropdamage inrainandsquallhitStates.
• TheCentrewillreimbursetheamountofvaluecutimposedonthewheat beingprocuredbytheFoodCorporationofIndia(FCI)andStateGovernment agenciesinGujarat,Haryana,MadhyaPradesh,Punjab,RajasthanandUttar Pradeshunderrelaxedqualitynorms.Sofar,158.61lakhtonnesofwheat havebeenprocuredagainstatargetof169.29lakhtonnespurchasedinthe correspondingperiodlastyear.Inthecaseofcottonprocurement,theCCEA gaveitsex-postfactoapprovalforengagingtheFederationtoprocure cottonasasub-agentoftheCottonCorporationofIndia(CCI)duringthe 2014-15cottonseason.“Thisisaimedatsafeguardingtheinterestofthe farmersandavoidinganydistresssale,”saidanofficialspokesman.
• TheMSPforcottonwasfixedatRs.3,750formediumstapleandRs.4,050 forlongstaplefor2014-15.
• TheCCEAfurtherapprovedanadditionalfiscalallocationundernon-plan granttomeettheanticipatedlossesindisposalofcottonbyCCIandthe Federationfortheyear.
• “Thedecisionwillenableinpricesupportoperationsof110lakhbales (100lakhbalesbyCCIand10lakhbalesbytheFederation)duringthe currentcottonseasonandhelpstabilizecottonpricesandalleviatefarmer distress,”thespokesmanadded.
• TheFederationwillprocurecottonfromfarmersinMaharashtra,in additiontoCCI,onthesamelinesasCCIisdoing.
• TheFederationhadearlierprocuredcottonunderMSPastheagentof NationalAgriculturalFederation(NAFED)inMaharashtraonthebasisof agreementbetweencentralagency,NAFEDandtheFederation.

Click Here to Buy General Awareness Magazine for IBPS, Bank Exams

Go Back To Main Page