Finance Minister Nirmala Sitharaman on Tuesday urged farmers to produce oilseeds in place of other crops as India particularly imports edible oil and palm oil.

"We are telling farmers which crops will give them a better price in the area. We are also telling them what all crops can be irrigated or cannot be irrigated on the rain-fed land," she said while addressing the sixth World Congress on Rural &amp; Agriculture Finance in New Delhi.

"The support price may be given for other things but please do produce oilseeds because they have a great demand in India. Edible oil consumption is also a matter of great concern, as we still import quite a lot quantity particularly palm oil," she said.

The Union Minister also requested National Bank for Agriculture and Rural Development (NABARD) Chairman Dr Harsh Kumar Bhanwala to visit Jammu and Kashmir to ensure that the farmers get the correct price of their produce in the next season.

"You are aware that recently we used NAFED to procure apples from Jammu and Kashmir so that there is no single farmer left with his unsold apples. I am ensuring that I will take the Chairman of NABARD to Jammu and Kashmir so that the agri producers can get the right price for their next crop of saffron, peaches and walnuts," she added.

The Union Minister also stated that the Central government is making efforts to push sustainable and renewable energy sources in rural areas in order to provide farmers with an additional source of income.

"I want anna datta to be urja datta also. We are working in a direction where we can install solar panels, turbines etc so that farmers can generate power on those pieces of land where they are unable to grow the produce," she said.

Sitharaman also announced that 10,000 farmers produce organisations will be formed so that the agriculturalists can get the correct price for their produce and also "credit and other assistance from the government can be extended to them."

After Sitharaman's address, the NABARD Chairman also spoke to ANI about the upliftment of farmers and said that his organisation will ensure that cooperative banks and rural regional banks give short term loans and credit to the farmers for growing oilseeds.

"We will ensure that cooperative banks and rural regional banks have enough credit to lend short terms loans to farmers for growing oil seeds. We will fix the scale of finance for producing oilseed crops. Also, we will provide an alternate approach to farmers so that they can get good income by producing oilseeds. We can encourage farmers in rain-fed areas to grow the same," he said.

"With the help of agricultural universities, we will focus on agriculture extension in Jammu and Kashmir. With the help of digital platforms, we will deliver the produce to bulk buyers, so that farmers of Jammu and Kashmir get better prices of their produce," the NABARD Chairman added.&nbsp; 
&nbsp;

Finance Minister Nirmala Sitharaman on Tuesday urged farmers to produce oilseeds in place of other crops as India particularly imports edible oil and palm oil. "We are telling farmers which crops will give them a better price in the area.

Finance Minister Nirmala Sitharaman on Tuesday urged farmers to produce oilseeds in place of other crops as India particularly imports edible oil and palm oil. "We are telling farmers which crops will give them a better price in the area. We are also telling them what all crops can be irrigated or cannot be irrigated on the rain-fed land," she said while addressing the sixth World Congress on Rural & Agriculture Finance in New Delhi. "The support price may be given for other things but please do produce oilseeds because they have a great demand in India. Edible oil consumption is also a matter of great concern, as we still import quite a lot quantity particularly palm oil," she said. The Union Minister also requested National Bank for Agriculture and Rural Development (NABARD) Chairman Dr Harsh Kumar Bhanwala to visit Jammu and Kashmir to ensure that the farmers get the correct price of their produce in the next season. "You are aware that recently we used NAFED to procure apples from Jammu and Kashmir so that there is no single farmer left with his unsold apples. I am ensuring that I will take the Chairman of NABARD to Jammu and Kashmir so that the agri producers can get the right price for their next crop of saffron, peaches and walnuts," she added. The Union Minister also stated that the Central government is making efforts to push sustainable and renewable energy sources in rural areas in order to provide farmers with an additional source of income. "I want anna datta to be urja datta also. We are working in a direction where we can install solar panels, turbines etc so that farmers can generate power on those pieces of land where they are unable to grow the produce," she said. Sitharaman also announced that 10,000 farmers produce organisations will be formed so that the agriculturalists can get the correct price for their produce and also "credit and other assistance from the government can be extended to them." After Sitharaman's address, the NABARD Chairman also spoke to ANI about the upliftment of farmers and said that his organisation will ensure that cooperative banks and rural regional banks give short term loans and credit to the farmers for growing oilseeds. "We will ensure that cooperative banks and rural regional banks have enough credit to lend short terms loans to farmers for growing oil seeds. We will fix the scale of finance for producing oilseed crops. Also, we will provide an alternate approach to farmers so that they can get good income by producing oilseeds. We can encourage farmers in rain-fed areas to grow the same," he said. "With the help of agricultural universities, we will focus on agriculture extension in Jammu and Kashmir. With the help of digital platforms, we will deliver the produce to bulk buyers, so that farmers of Jammu and Kashmir get better prices of their produce," the NABARD Chairman added.

Finance Minister Nirmala Sitharaman urges farmers to produce oilseeds

In her intervention during International Monetary and Financial Committee (IMFC) Plenary Session, Union Finance Minister Nirmala Sitharaman said that the global economic risks and imbalances reinforce the need to strengthen global co-operation at the multilateral level, besides governmental initiatives.

At the National level, a calibrated and balanced approach to deploying a mix of fiscal, monetary and structural measures by countries can help achieve their growth potential, the Finance Minister added.

She further stated that the International Monetary Fund (IMF) should provide solutions that are specific to important growth geographies to help alleviate the current conundrum.

The Union Minister also stressed that IMF should evolve a policy framework that would assess the vulnerability of economies to capital flows and that developing stronger surveillance mechanism with sharper diagnostic tools can mitigate or even prevent the adverse effects on fragile economies.

On the 15th Round of the IMF`s General Review of the Quotas (15th GRQ) likely to conclude without a quota increase, Sitharaman was of the view that work on the 16th Round should begin in right earnest and should have a tight timeframe.

Sitharaman also participated in the 100th Meeting of the Development Committee Plenary and stated, "As we draw closer to SDG 2030, India is pursuing both scale and speed of development, through large National missions in a fiscally responsible, sustainable and inclusive manner.

These programs range widely from solar energy to direct benefit transfer, from skilling to sanitation.

But there is a common approach: to improve incomes, reduce deprivation and enhance living standards.

"She also stated that in pursuing investment-led growth, one should not neglect sustainability, efficiency and transparency in debt and tax policies.

"Moreover, investments must generate domestic revenues that can be channelized into effective public spending in health, education and skilling so that youth can benefit from the economic growth," Sitharaman added.

The Union Minister also encouraged IMF to guide concerted international action to combat illegal financial flows and welcomed collaboration to push investment to augment multilateral development bank (MDB) financing into developing countries.

Nirmala Sitharaman is currently on an official tour to Washington DC to attend the Annual Meetings of the International Monetary Fund and the World Bank and other associated meetings.

She is accompanied by RBI Governor Shaktikanta Das, Secretary Economic Affairs Atanu Chakraborty, and other officials.&nbsp; 
&nbsp;

In her intervention during International Monetary and Financial Committee (IMFC) Plenary Session, Union Finance Minister Nirmala Sitharaman said that the global economic risks and imbalances reinforce the need to strengthen global co-operation at the multilateral level, besides governmental initiatives.

In her intervention during International Monetary and Financial Committee (IMFC) Plenary Session, Union Finance Minister Nirmala Sitharaman said that the global economic risks and imbalances reinforce the need to strengthen global co-operation at the multilateral level, besides governmental initiatives. At the National level, a calibrated and balanced approach to deploying a mix of fiscal, monetary and structural measures by countries can help achieve their growth potential, the Finance Minister added. She further stated that the International Monetary Fund (IMF) should provide solutions that are specific to important growth geographies to help alleviate the current conundrum. The Union Minister also stressed that IMF should evolve a policy framework that would assess the vulnerability of economies to capital flows and that developing stronger surveillance mechanism with sharper diagnostic tools can mitigate or even prevent the adverse effects on fragile economies. On the 15th Round of the IMF`s General Review of the Quotas (15th GRQ) likely to conclude without a quota increase, Sitharaman was of the view that work on the 16th Round should begin in right earnest and should have a tight timeframe. Sitharaman also participated in the 100th Meeting of the Development Committee Plenary and stated, "As we draw closer to SDG 2030, India is pursuing both scale and speed of development, through large National missions in a fiscally responsible, sustainable and inclusive manner. These programs range widely from solar energy to direct benefit transfer, from skilling to sanitation. But there is a common approach: to improve incomes, reduce deprivation and enhance living standards. "She also stated that in pursuing investment-led growth, one should not neglect sustainability, efficiency and transparency in debt and tax policies. "Moreover, investments must generate domestic revenues that can be channelized into effective public spending in health, education and skilling so that youth can benefit from the economic growth," Sitharaman added. The Union Minister also encouraged IMF to guide concerted international action to combat illegal financial flows and welcomed collaboration to push investment to augment multilateral development bank (MDB) financing into developing countries. Nirmala Sitharaman is currently on an official tour to Washington DC to attend the Annual Meetings of the International Monetary Fund and the World Bank and other associated meetings. She is accompanied by RBI Governor Shaktikanta Das, Secretary Economic Affairs Atanu Chakraborty, and other officials.

Global economic risks reinforce need to strengthen global cooperation: Sitharaman

Increased trade integration, geopolitical uncertainties, and high accumulated debt levels necessitate strong global coordination, Finance Minister Nirmala Sitharaman has said.

"We need not wait for the slowdown to become a crisis," she said adding that trade wars and protectionism have generated uncertainties that will ultimately impact the flow of capital, goods, and services.

Addressing the annual meetings at the plenary session of the International Monetary Fund (IMF) and the World Bank Group held here on Friday (local time), Sitharaman called for concerted action to mitigate the disruption on account of synchronous slowdown and invoked the spirit of multilateralism for global growth.

She also attended the working lunch session of the Development Committee, the ministerial-level committee of the IMF and the World Bank, in which members discussed the global economic outlook.

The 40th meetings of the International Monetary and Financial Committee (IMFC) are being held at this year's annual meetings. During the day, three sessions of the IMFC took place.

The IMFC introductory session was focused on global developments and prospects and the discussions centred on the World Economic Outlook released on October 15.

The early warning exercise discussed upcoming risks to a global economy and stability. A special session on IMF resources and governance was also held early in the day in the context of the 15th round of the quota discussions concluding this year.

Secretary at the Department of Economic Affairs Atanu Chakraborty led the Indian delegation. Sitharaman also led the Indian delegation at G20 finance ministers and central bank governors meeting in which the deliberations centred on international taxation and stablecoins.

The ministers and governors also took updates from G20 deputies on quality infrastructure investment, debt sustainability, financing for universal healthcare and building effective country platforms, and from the Africa Advisory Group on the Compact with Africa (CwA) initiative.

On the discussions at the session regarding the work underway on developing a consensus solution on tax challenges arising from digitalisation, Sitharaman said a unified approach to the nexus and profit allocation challenges is a promising one that merits serious attention.

A solution that is simple to implement, simple to administer and simple to comply with is needed. On the sidelines, she held several bilateral meetings, including with First Deputy Prime Minister and Finance Minister of Russia Anton Siluanov, Finance Minister of the Kyrgyz Republic Baktygul Jeenbaeva, Finance Minister of Switzerland Ulei Maurer, Australian Treasurer Josh Frydenberg and Finance Minister of Maldives Ibrahim Ameer.

Chakraborty also held one-on-one meeting with Director General of the French Treasury Renaud Basso and Chief Financial Officer of the World Bank Anshula Kant.

He also addressed investors in a session organised by JP Morgan.&nbsp; 
&nbsp;

Increased trade integration, geopolitical uncertainties, and high accumulated debt levels necessitate strong global coordination, Finance Minister Nirmala Sitharaman has said.

Increased trade integration, geopolitical uncertainties, and high accumulated debt levels necessitate strong global coordination, Finance Minister Nirmala Sitharaman has said. "We need not wait for the slowdown to become a crisis," she said adding that trade wars and protectionism have generated uncertainties that will ultimately impact the flow of capital, goods, and services. Addressing the annual meetings at the plenary session of the International Monetary Fund (IMF) and the World Bank Group held here on Friday (local time), Sitharaman called for concerted action to mitigate the disruption on account of synchronous slowdown and invoked the spirit of multilateralism for global growth. She also attended the working lunch session of the Development Committee, the ministerial-level committee of the IMF and the World Bank, in which members discussed the global economic outlook. The 40th meetings of the International Monetary and Financial Committee (IMFC) are being held at this year's annual meetings. During the day, three sessions of the IMFC took place. The IMFC introductory session was focused on global developments and prospects and the discussions centred on the World Economic Outlook released on October 15. The early warning exercise discussed upcoming risks to a global economy and stability. A special session on IMF resources and governance was also held early in the day in the context of the 15th round of the quota discussions concluding this year. Secretary at the Department of Economic Affairs Atanu Chakraborty led the Indian delegation. Sitharaman also led the Indian delegation at G20 finance ministers and central bank governors meeting in which the deliberations centred on international taxation and stablecoins. The ministers and governors also took updates from G20 deputies on quality infrastructure investment, debt sustainability, financing for universal healthcare and building effective country platforms, and from the Africa Advisory Group on the Compact with Africa (CwA) initiative. On the discussions at the session regarding the work underway on developing a consensus solution on tax challenges arising from digitalisation, Sitharaman said a unified approach to the nexus and profit allocation challenges is a promising one that merits serious attention. A solution that is simple to implement, simple to administer and simple to comply with is needed. On the sidelines, she held several bilateral meetings, including with First Deputy Prime Minister and Finance Minister of Russia Anton Siluanov, Finance Minister of the Kyrgyz Republic Baktygul Jeenbaeva, Finance Minister of Switzerland Ulei Maurer, Australian Treasurer Josh Frydenberg and Finance Minister of Maldives Ibrahim Ameer. Chakraborty also held one-on-one meeting with Director General of the French Treasury Renaud Basso and Chief Financial Officer of the World Bank Anshula Kant. He also addressed investors in a session organised by JP Morgan.

Trade wars to impact flow of capital, goods and services: Sitharaman

Trade differences between India and the United States are narrowing, Union Finance Minister Nirmala Sitharaman said on Thursday, and expressed hope that the two countries will enter into a deal soon.

Speaking to reporters on the sidelines of the annual meetings of the International Monetary Fund and the World Bank, Sitharaman said that the Commerce Ministry is working on the trade deal with Washington and hopes to conclude the negotiations soon.

"I know the intensity with which the negotiations are going on. The few issues on which there could be some differences are being sorted out. I hope that there will be an agreement sooner. Obviously narrowing (of difference) is happening," Sitharaman told reporters here.

Tensions on the trade front between the two countries had emerged in June after US President Donald Trump revoked preferential trade privileges, in response to which India imposed tariffs on 28 US products, including almonds and apples.

India had been the biggest beneficiary of the Generalised System of Preferences (GSP), a programme designed to help developing countries sell to US consumers.

The Finance Minister is in Washington to attend the annual meetings of the International Monetary Fund and the World Bank. (ANI)

Trade differences between India and the United States are narrowing, Union Finance Minister Nirmala Sitharaman said on Thursday, and expressed hope that the two countries will enter into a deal soon.

Trade differences between India and the United States are narrowing, Union Finance Minister Nirmala Sitharaman said on Thursday, and expressed hope that the two countries will enter into a deal soon. Speaking to reporters on the sidelines of the annual meetings of the International Monetary Fund and the World Bank, Sitharaman said that the Commerce Ministry is working on the trade deal with Washington and hopes to conclude the negotiations soon. "I know the intensity with which the negotiations are going on. The few issues on which there could be some differences are being sorted out. I hope that there will be an agreement sooner. Obviously narrowing (of difference) is happening," Sitharaman told reporters here. Tensions on the trade front between the two countries had emerged in June after US President Donald Trump revoked preferential trade privileges, in response to which India imposed tariffs on 28 US products, including almonds and apples. India had been the biggest beneficiary of the Generalised System of Preferences (GSP), a programme designed to help developing countries sell to US consumers. The Finance Minister is in Washington to attend the annual meetings of the International Monetary Fund and the World Bank. (ANI)

Hoping to have trade deal with US soon: Nirmala Sitharaman

India wants to comply with global sanctions, including US&nbsp;sanctions on Venezuela and Russia, but also needs to maintain its own strength and strategic interests, Finance Minister Nirmala Sitharaman said in an interview on Tuesday.

The United States in January imposed the toughest sanctions yet on Venezuela's oil industry. The move has scared away some global customers, but with few alternative suppliers of heavy oil, Indian refiner Reliance Industries Ltd has been buying Venezuelan crude from Russian major Rosneft. The company is set to resume direct oil loadings in the South American nation after a four-month pause.

Sitharaman said the government has expressed its view to the United States.

"In specific issues which are critical for India's strategic interests, we have explained to the United States that India is a strategic partner for the United States of America and you want a strategic partner to be strong and not weakened," she said.

"We value the strong partnership with the USA, but we should equally be allowed to be a <a href="https://www.wionews.com/india-news/government-committed-to-provide-eco-friendly-energy-security-to-india-nirmala-sitharaman-255784">strong economy</a>."

The <a href="https://www.wionews.com/world/world-economy-at-its-weakest-pace-since-global-financial-crisis-international-monetary-fund-256126">International Monetary Fund</a> earlier on Tuesday lowered its outlook for Indian growth in 2019, citing weaker-than-expected domestic demand. The US-China trade war will cut 2019 global growth to its slowest pace since the 2008/09 financial crisis, the IMF said.

India's gross domestic product grew at its weakest pace since 2013 between April and June, stoking expectations of further stimulus.

"Global headwinds ... are getting stronger by the day," Sitharaman said. Asked about further fiscal stimulus, she said,&nbsp;"I have not closed the door" on that.

New Delhi has been trying to boost domestic growth through an infrastructure package and a new loan programme organised with the banking sector that has doled out loans worth over 80,000 crore (8.7 billion pounds), she said.

The finance minister defended the government's move to abrogate Article 370 in Jammu and Kashmir in August.

The removal of the constitutional article that granted special status to Jammu and Kashmir will boost the region and the country's economic potential, she said. 
&nbsp;

India wants to comply with global sanctions, including US sanctions on Venezuela and Russia, but also needs to maintain its own strength and strategic interests, Finance Minister Nirmala Sitharaman said in an interview on Tuesday.

India wants to comply with global sanctions, including US sanctions on Venezuela and Russia, but also needs to maintain its own strength and strategic interests, Finance Minister Nirmala Sitharaman said in an interview on Tuesday. The United States in January imposed the toughest sanctions yet on Venezuela's oil industry. The move has scared away some global customers, but with few alternative suppliers of heavy oil, Indian refiner Reliance Industries Ltd has been buying Venezuelan crude from Russian major Rosneft. The company is set to resume direct oil loadings in the South American nation after a four-month pause. Sitharaman said the government has expressed its view to the United States. "In specific issues which are critical for India's strategic interests, we have explained to the United States that India is a strategic partner for the United States of America and you want a strategic partner to be strong and not weakened," she said. "We value the strong partnership with the USA, but we should equally be allowed to be a strong economy." The International Monetary Fund earlier on Tuesday lowered its outlook for Indian growth in 2019, citing weaker-than-expected domestic demand. The US-China trade war will cut 2019 global growth to its slowest pace since the 2008/09 financial crisis, the IMF said. India's gross domestic product grew at its weakest pace since 2013 between April and June, stoking expectations of further stimulus. "Global headwinds ... are getting stronger by the day," Sitharaman said. Asked about further fiscal stimulus, she said, "I have not closed the door" on that. New Delhi has been trying to boost domestic growth through an infrastructure package and a new loan programme organised with the banking sector that has doled out loans worth over 80,000 crore (8.7 billion pounds), she said. The finance minister defended the government's move to abrogate Article 370 in Jammu and Kashmir in August. The removal of the constitutional article that granted special status to Jammu and Kashmir will boost the region and the country's economic potential, she said.

India cannot sacrifice economic strength to comply with US sanctions: Sitharaman

Union Finance Minister Nirmala Sitharaman met customers of Punjab &amp; Maharashtra Co-operative (PMC) Bank here on Thursday and heard their woes.

Following the meeting Sitharaman while addressing a press conference here told reporters, "Finance Ministry may have nothing to do with it (PMC bank matter) directly because RBI is the regulator. But from my side, I've asked the secretaries of my ministry to work with Rural Development Ministry &amp; Urban Development Ministry to study in detail as to what is happening."

Last month, the RBI restricted the activities of the PMC Bank for six months and asked it to not grant or renew any loans and advances, make any investment or incur any liability, including borrowing of funds and acceptance of fresh deposits.

The Reserve Bank of India (RBI) on October 3 enhanced the withdrawal limit for the depositors of Punjab And Maharashtra Cooperative Bank Ltd to Rs 25,000.

Earlier, RBI had permitted depositors to withdraw up to Rs 10,000 of the total balance in their accounts. Prior to that the RBI had capped withdrawal limit at Rs 1,000 but later on increased it to Rs 10,000 per account.

Scores of Punjab Maharashtra Corporation bank account holders on Wednesday staged a protest in front of the Esplanade Court here.PMC Bank is a multi-state scheduled urban cooperative bank with operations in Maharashtra, New Delhi, Karnataka, Goa, Gujarat, Andhra Pradesh, and Madhya Pradesh.

With a network of 137 branches, it ranks among the top 10 cooperative banks in the country.

&nbsp;

Union Finance Minister Nirmala Sitharaman met customers of Punjab & Maharashtra Co-operative (PMC) Bank here on Thursday and heard their woes. Following the meeting Sitharaman while addressing a press conference here told reporters, "Finance Ministry may have nothing to do with it (PMC bank matter) directly because RBI is the regulator.

Union Finance Minister Nirmala Sitharaman met customers of Punjab & Maharashtra Co-operative (PMC) Bank here on Thursday and heard their woes. Following the meeting Sitharaman while addressing a press conference here told reporters, "Finance Ministry may have nothing to do with it (PMC bank matter) directly because RBI is the regulator. But from my side, I've asked the secretaries of my ministry to work with Rural Development Ministry & Urban Development Ministry to study in detail as to what is happening." Last month, the RBI restricted the activities of the PMC Bank for six months and asked it to not grant or renew any loans and advances, make any investment or incur any liability, including borrowing of funds and acceptance of fresh deposits. The Reserve Bank of India (RBI) on October 3 enhanced the withdrawal limit for the depositors of Punjab And Maharashtra Cooperative Bank Ltd to Rs 25,000. Earlier, RBI had permitted depositors to withdraw up to Rs 10,000 of the total balance in their accounts. Prior to that the RBI had capped withdrawal limit at Rs 1,000 but later on increased it to Rs 10,000 per account. Scores of Punjab Maharashtra Corporation bank account holders on Wednesday staged a protest in front of the Esplanade Court here.PMC Bank is a multi-state scheduled urban cooperative bank with operations in Maharashtra, New Delhi, Karnataka, Goa, Gujarat, Andhra Pradesh, and Madhya Pradesh. With a network of 137 branches, it ranks among the top 10 cooperative banks in the country.

Finance Minister Nirmala Sitharaman meets PMC customers, takes cognizance of concerns

Union Finance Minister Nirmala Sitharaman on Friday said that she was regularly in talks with the representatives of the automobile industry and was ready to hold talks with members of other industries as well to accommodate their demands.

"I am interacting with the automobile sector players from all over the country. They have met me twice in Delhi. It is true that consumer demand has not revived for the automobile sector. If any sector wants anything in particular, they can always talk to me," Sitharaman said in response to a question about the slowdown in the automobile sector.

Sitharaman said her press conference was a part of the BJP's plan to interact with the citizens of the state ahead of the Assembly elections in Maharashtra.

"In the context of Assembly elections in Maharashtra, all over the state media interaction has started. The aim is to highlight the good works done by the state government and the Centre in the past five years," said she.

The Finance Minister praised Chief Minister Devendra Fadnavis led state government for helping all sections of the society in the state during its rule.

"Devendra Fadnavis led BJP-Shiv Sena govt in the last 5 years has touched each segment of Maharashtra and addressed the problems of each segment. Fadnavis has comprehensively addressed the issue of water shortage in Maharashtra," Sitharaman said.

"The water shortage issue needs more time and effort. I have, therefore, come to appeal to the voters of Maharashtra to take these factors into consideration as the state goes to polls," she added.&nbsp; 
&nbsp;

Union Finance Minister Nirmala Sitharaman on Friday said that she was regularly in talks with the representatives of the automobile industry and was ready to hold talks with members of other industries as well to accommodate their demands.

Union Finance Minister Nirmala Sitharaman on Friday said that she was regularly in talks with the representatives of the automobile industry and was ready to hold talks with members of other industries as well to accommodate their demands. "I am interacting with the automobile sector players from all over the country. They have met me twice in Delhi. It is true that consumer demand has not revived for the automobile sector. If any sector wants anything in particular, they can always talk to me," Sitharaman said in response to a question about the slowdown in the automobile sector. Sitharaman said her press conference was a part of the BJP's plan to interact with the citizens of the state ahead of the Assembly elections in Maharashtra. "In the context of Assembly elections in Maharashtra, all over the state media interaction has started. The aim is to highlight the good works done by the state government and the Centre in the past five years," said she. The Finance Minister praised Chief Minister Devendra Fadnavis led state government for helping all sections of the society in the state during its rule. "Devendra Fadnavis led BJP-Shiv Sena govt in the last 5 years has touched each segment of Maharashtra and addressed the problems of each segment. Fadnavis has comprehensively addressed the issue of water shortage in Maharashtra," Sitharaman said. "The water shortage issue needs more time and effort. I have, therefore, come to appeal to the voters of Maharashtra to take these factors into consideration as the state goes to polls," she added.

Have regular talks with representatives of automobile industry, willing to hold talks with any other sector: Nirmala Sitharaman

The government on Thursday set up a high-level committee of officers to look into Goods and Services Tax (GST) revenue shortfall being faced by states and suggest measures for increasing collections.

It will submit its first report within 15 days.

&nbsp;"The committee of officers from the Centre and the states is required to suggest steps to be taken to improve revenue," according to an official statement released by the GST Council Secretariat.

The 12-member panel -- with commissioners from state GST council of Maharashtra, Tamil Nadu, Uttar Pradesh, West Bengal and Punjab -- has been formed by the GST Council to look into revenue shortfall being faced by the states post implementation of GST.

"Any other states which would like to join the committee may volunteer by writing to the GST Council Secretariat," the GST Council stated.&nbsp;

The committee has been tasked with suggesting measures to boost GST collections, to make businesses comply with GST voluntarily and suggest ways for better administrative coordination.

It will look into issues such as systematic changes in GST to prevent misuse, measures for expansion of tax base, improved compliance monitoring and anti-evasion measures using better data analytics and better administrative coordination.

The committee will also suggest measures to improve voluntary compliance, policy measures and relevant changes in the law.&nbsp;

The government on Thursday set up a high-level committee of officers to look into Goods and Services Tax (GST) revenue shortfall being faced by states and suggest measures for increasing collections.

The government on Thursday set up a high-level committee of officers to look into Goods and Services Tax (GST) revenue shortfall being faced by states and suggest measures for increasing collections. It will submit its first report within 15 days. "The committee of officers from the Centre and the states is required to suggest steps to be taken to improve revenue," according to an official statement released by the GST Council Secretariat. The 12-member panel -- with commissioners from state GST council of Maharashtra, Tamil Nadu, Uttar Pradesh, West Bengal and Punjab -- has been formed by the GST Council to look into revenue shortfall being faced by the states post implementation of GST. "Any other states which would like to join the committee may volunteer by writing to the GST Council Secretariat," the GST Council stated. The committee has been tasked with suggesting measures to boost GST collections, to make businesses comply with GST voluntarily and suggest ways for better administrative coordination. It will look into issues such as systematic changes in GST to prevent misuse, measures for expansion of tax base, improved compliance monitoring and anti-evasion measures using better data analytics and better administrative coordination. The committee will also suggest measures to improve voluntary compliance, policy measures and relevant changes in the law.

Government sets up 12-member panel to look into GST revenue shortfall

Top Indian automaker <a href="https://www.wionews.com/business-economy/maruti-suzuki-cuts-3000-contract-jobs-245947">Maruti Suzuki</a> said on Wednesday it lowered prices of some cars, making it one of the first major companies to respond to the government's move to cut corporate taxes in a bid to revive economic growth.

The company cut prices on 10 different models by 5,000 rupees ($70) each, representing discounts of just about 1 per cent or less on average car prices.

The price cuts start on Wednesday.

Maruti said the move was aimed at reviving demand by sharing "the benefits of corporate tax reduction with its customers".

The price cuts will kick in just ahead of the festive season, and Maruti said it hoped the move would help entice entry-level customers.

On Friday, Finance Minister announced a cut in the headline corporate tax rate to 22 per cent from 30 per cent in a move widely cheered by local stock markets.

The cuts were the latest in a line of government measures aimed at reviving growth in Asia's third-largest economy, which slumped to a six-year low in the April-June quarter.

Maruti's shares were down 2.7 per cent&nbsp;at 6,811.30 rupees by 0514 GMT on Wednesday amid a broader decline in Indian stocks.&nbsp;

&nbsp;

Top Indian automaker Maruti Suzuki said on Wednesday it lowered prices of some cars, making it one of the first major companies to respond to the government's move to cut corporate taxes in a bid to revive economic growth.

Top Indian automaker Maruti Suzuki said on Wednesday it lowered prices of some cars, making it one of the first major companies to respond to the government's move to cut corporate taxes in a bid to revive economic growth. The company cut prices on 10 different models by 5,000 rupees ($70) each, representing discounts of just about 1 per cent or less on average car prices. The price cuts start on Wednesday. Maruti said the move was aimed at reviving demand by sharing "the benefits of corporate tax reduction with its customers". The price cuts will kick in just ahead of the festive season, and Maruti said it hoped the move would help entice entry-level customers. On Friday, Finance Minister announced a cut in the headline corporate tax rate to 22 per cent from 30 per cent in a move widely cheered by local stock markets. The cuts were the latest in a line of government measures aimed at reviving growth in Asia's third-largest economy, which slumped to a six-year low in the April-June quarter. Maruti's shares were down 2.7 per cent at 6,811.30 rupees by 0514 GMT on Wednesday amid a broader decline in Indian stocks.

Maruti trims prices after government cuts corporate taxes

India will not revise its fiscal deficit target immediately and is not planning any spending cuts at this stage, finance minister Nirmala Sitharaman said on Sunday, after slashing corporate tax rates to boost a flagging economy.

India cut corporate tax rates on Friday in a surprise move designed to woo manufacturers, revive private investment and lift growth from a six-year low.

Though equity markets welcomed the move, bond yields spiked to a nearly three-month high on speculation the government may have to borrow more to meet its spending needs.

The measures will cut revenue by 1.45 trillion rupees ($20.4 billion) in the current fiscal year, according to government estimates.

But Finance Minister Nirmala Sitharaman said the government would only review the fiscal deficit target closer to the 2020/21 budget.

"At this point of time we are not revising any target. The decision will be taken later," she told reporters at her residence in New Delhi on Sunday, adding that there was no plan to cut spending currently.

Sitharaman also said the government would decide on additional market borrowings for the second half of 2019/20 later.

Ratings firm S&amp;P Global said on Friday India`s move to cut corporate tax rates was a "credit negative development" despite potentially boosting the economy as it will widen its fiscal deficit.

Government sources told Reuters this month that India is likely to miss its fiscal deficit target for the current financial year and, toward the end of 2019, be forced to raise it to 3.5 per cent of GDP from 3.3 per cent after economic growth fell to a six-year low of 5 per cent in the April-June quarter. 
&nbsp;

India will not revise its fiscal deficit target immediately and is not planning any spending cuts at this stage, finance minister Nirmala Sitharaman said on Sunday, after slashing corporate tax rates to boost a flagging economy.

India will not revise its fiscal deficit target immediately and is not planning any spending cuts at this stage, finance minister Nirmala Sitharaman said on Sunday, after slashing corporate tax rates to boost a flagging economy. India cut corporate tax rates on Friday in a surprise move designed to woo manufacturers, revive private investment and lift growth from a six-year low. Though equity markets welcomed the move, bond yields spiked to a nearly three-month high on speculation the government may have to borrow more to meet its spending needs. The measures will cut revenue by 1.45 trillion rupees ($20.4 billion) in the current fiscal year, according to government estimates. But Finance Minister Nirmala Sitharaman said the government would only review the fiscal deficit target closer to the 2020/21 budget. "At this point of time we are not revising any target. The decision will be taken later," she told reporters at her residence in New Delhi on Sunday, adding that there was no plan to cut spending currently. Sitharaman also said the government would decide on additional market borrowings for the second half of 2019/20 later. Ratings firm S&P Global said on Friday India`s move to cut corporate tax rates was a "credit negative development" despite potentially boosting the economy as it will widen its fiscal deficit. Government sources told Reuters this month that India is likely to miss its fiscal deficit target for the current financial year and, toward the end of 2019, be forced to raise it to 3.5 per cent of GDP from 3.3 per cent after economic growth fell to a six-year low of 5 per cent in the April-June quarter.

No plans to revise fiscal deficit target or cut spending now: Finance Minister

Days after the central government slashed taxes for new domestic manufacturing companies to 15 per cent, Union Finance Minister Nirmala Sitharaman on Sunday said that India has become an attractive destination for companies to relocate their supply chains from China.

"No country in South East Asia is giving 15 per cent tax rate. India has become an attractive destination for companies to relocate supply chains from China," Sitharaman told reporters.

The Finance Minister said that the revised tax rates will come into effect for new units set up after October 1 this year, "but production should start on or before 31 March 2023."

The government had on September 20, slashed domestic corporate tax rate to 22 per cent and 15 per cent for new manufacturing units.

"It will be difficult to raise the corporate tax rates from here and if anyone wants to do that, they will have to go to the Parliament and explain the rationale for the same," she said adding that Apple and its ecosystem coming to India is a big signal for foreign companies.

The Finance Minister also ruled out any expenditure cuts."The expenditure secretary will hold weekly meetings with all secretaries to push spending by departments and public sector undertakings (PSUs) for budgeted expenditure," she said.

Sitharaman expressed hope for 100 per cent disinvestment in Air India this fiscal and said that the government will focus on 23 Cabinet Committee on Economic Affairs (CCEA) approved companies for the same.

The Air India Specific Alternative Mechanism (AISAM) is also likely to meet soon to finalise the contours.

"The government has not yet put thoughts into the personal income tax rate rationalization. We have glanced over the task force report on direct tax simplification but the detailed analysis of the report still on," she said.

"I will soon meet private sector banks to give a push to lending," she added. She also said that the fiscal deficit targets are not being revised at this stage and will take a call on the same at the financial year 2021 budget.&nbsp; 
&nbsp;

Days after the central government slashed taxes for new domestic manufacturing companies to 15 per cent, Union Finance Minister Nirmala Sitharaman on Sunday said that India has become an attractive destination for companies to relocate their supply chains from China.

Days after the central government slashed taxes for new domestic manufacturing companies to 15 per cent, Union Finance Minister Nirmala Sitharaman on Sunday said that India has become an attractive destination for companies to relocate their supply chains from China. "No country in South East Asia is giving 15 per cent tax rate. India has become an attractive destination for companies to relocate supply chains from China," Sitharaman told reporters. The Finance Minister said that the revised tax rates will come into effect for new units set up after October 1 this year, "but production should start on or before 31 March 2023." The government had on September 20, slashed domestic corporate tax rate to 22 per cent and 15 per cent for new manufacturing units. "It will be difficult to raise the corporate tax rates from here and if anyone wants to do that, they will have to go to the Parliament and explain the rationale for the same," she said adding that Apple and its ecosystem coming to India is a big signal for foreign companies. The Finance Minister also ruled out any expenditure cuts."The expenditure secretary will hold weekly meetings with all secretaries to push spending by departments and public sector undertakings (PSUs) for budgeted expenditure," she said. Sitharaman expressed hope for 100 per cent disinvestment in Air India this fiscal and said that the government will focus on 23 Cabinet Committee on Economic Affairs (CCEA) approved companies for the same. The Air India Specific Alternative Mechanism (AISAM) is also likely to meet soon to finalise the contours. "The government has not yet put thoughts into the personal income tax rate rationalization. We have glanced over the task force report on direct tax simplification but the detailed analysis of the report still on," she said. "I will soon meet private sector banks to give a push to lending," she added. She also said that the fiscal deficit targets are not being revised at this stage and will take a call on the same at the financial year 2021 budget.

India an attractive destination to relocate supply chains: Nirmala Sitharaman

Indian stock market surge on the Finance Minister Nirmala Sitharaman's announcement. Sensex gains more than 1,000 points. Indian corporate tax rate lowest in south-east Asia. Watch this video to know more.

Finance Minister Nirmala Sitharaman's announcement to boost 'Make in India'

After announcing a <a href="https://www.wionews.com/india-news/its-a-win-win-for-130-crore-indians-pm-modi-on-corporate-tax-rate-cut-250811">cut on corporate tax rate</a> earlier in the day, Finance Minister Nirmala Sitharaman announced revised&nbsp;<a href="https://www.wionews.com/business-economy/government-announces-gst-rate-cut-on-marine-fuel-wet-grinders-hike-for-railway-wagon-coach-250898">GST tax rates</a> on a range of good and services ranging from precious stones, hotel tariffs, automobiles among others.&nbsp;

Hotels room with tariff worth Rs 7,500 crore would now attract 18 per cent GST as opposed to 28 per cent previously, the finance minister announced. Hotel rooms with tariffs between Rs 1,000 and Rs 7,500 would attract 12 per cent GST while no tax will be imposed on hotel rooms with rental up to Rs 1,000.

GST on caffeinated beverages has gone up from 18 per cent to 28 per cent besides an additional 12 per cent cess.

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Finance Minister Nirmala Sitharaman after meeting of 37th GST Council meeting in Goa: GST rate on slide fasteners has been reduced from 18% to 12%, marine fuel 18% to 5%, 12% to 5% on wet grinders consisting of stone as a grinder, &amp; 5% to nil on dried tamarind. <a href="https://t.co/RWzrhF8gYE">pic.twitter.com/RWzrhF8gYE</a>
— ANI (@ANI) <a href="https://twitter.com/ANI/status/1175067007240138752?ref_src=twsrc%5Etfw">September 20, 2019</a></blockquote>
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In a bid to boost the defence sector, specified defence items have been exempt from GST. The council also recommended reducing GST on cut and polished semi-precious items to 0.25 per cent from 3 per cent.

Services and goods for FIFA and other specified persons for organising Under-17 Women's World Football Cup in India and supply of goods and services to United Nation's Food and Agriculture Organization (FAO) for specified projects have also been exempted, the Finance Minister announced.

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<a href="https://twitter.com/hashtag/WATCH?src=hash&amp;ref_src=twsrc%5Etfw">#WATCH</a> Union Finance Minister Nirmala Sitharaman addresses media after the 37th GST Council meet in Goa <a href="https://t.co/743mkWfAnm">https://t.co/743mkWfAnm</a>
— ANI (@ANI) <a href="https://twitter.com/ANI/status/1175065643223150593?ref_src=twsrc%5Etfw">September 20, 2019</a></blockquote>
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The revised GST rates would become effective from October 1, 2019.

The finance minister, earlier in the day, announced cutting the corporate tax rate to 25.17 per cent from 30 per cent and scrapped the minimum alternative tax for domestic companies.

Prime Minister Narendra Modi hailed the move and described it as a "win-win for 130 crore Indians".&nbsp;

The prime minister said that the move will attract private investment from all across the world.&nbsp;

"It will give a great stimulus to #MakeInIndia, attract private investment from across the globe, improve the competitiveness of our private sector, create more jobs and result in a win-win for 130 crore Indians," the prime minister tweeted out.&nbsp;

After announcing a cut on corporate tax rate earlier in the day, Finance Minister Nirmala Sitharaman announced revised GST tax rates on a range of good and services ranging from precious stones, hotel tariffs, automobiles among others.

After announcing a cut on corporate tax rate earlier in the day, Finance Minister Nirmala Sitharaman announced revised GST tax rates on a range of good and services ranging from precious stones, hotel tariffs, automobiles among others. Hotels room with tariff worth Rs 7,500 crore would now attract 18 per cent GST as opposed to 28 per cent previously, the finance minister announced. Hotel rooms with tariffs between Rs 1,000 and Rs 7,500 would attract 12 per cent GST while no tax will be imposed on hotel rooms with rental up to Rs 1,000. GST on caffeinated beverages has gone up from 18 per cent to 28 per cent besides an additional 12 per cent cess. Finance Minister Nirmala Sitharaman after meeting of 37th GST Council meeting in Goa: GST rate on slide fasteners has been reduced from 18% to 12%, marine fuel 18% to 5%, 12% to 5% on wet grinders consisting of stone as a grinder, & 5% to nil on dried tamarind. pic.twitter.com/RWzrhF8gYE — ANI (@ANI) September 20, 2019 × In a bid to boost the defence sector, specified defence items have been exempt from GST. The council also recommended reducing GST on cut and polished semi-precious items to 0.25 per cent from 3 per cent. Services and goods for FIFA and other specified persons for organising Under-17 Women's World Football Cup in India and supply of goods and services to United Nation's Food and Agriculture Organization (FAO) for specified projects have also been exempted, the Finance Minister announced. #WATCH Union Finance Minister Nirmala Sitharaman addresses media after the 37th GST Council meet in Goa https://t.co/743mkWfAnm — ANI (@ANI) September 20, 2019 × The revised GST rates would become effective from October 1, 2019. The finance minister, earlier in the day, announced cutting the corporate tax rate to 25.17 per cent from 30 per cent and scrapped the minimum alternative tax for domestic companies. Prime Minister Narendra Modi hailed the move and described it as a "win-win for 130 crore Indians". The prime minister said that the move will attract private investment from all across the world. "It will give a great stimulus to #MakeInIndia, attract private investment from across the globe, improve the competitiveness of our private sector, create more jobs and result in a win-win for 130 crore Indians," the prime minister tweeted out.

GST rates cut on hotel tariffs, caffeinated drinks attract more tax: Sitharaman

Prime Minister Narendra Modi on Friday hailed Finance Minister Nirmala Sitharaman's <a href="https://www.wionews.com/business-economy/sensex-surges-over-2000-points-after-finance-ministers-corporate-tax-cut-announcement-250789">announcement to slash corporate tax rates</a> and called it "historic".&nbsp;

The prime minister said that the move will attract private investment from all across the world.&nbsp;

"It will give a great stimulus to #MakeInIndia, attract private investment from across the globe, improve the competitiveness of our private sector, create more jobs and result in a win-win for 130 crore Indians," the prime minister tweeted out.&nbsp;

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The announcements in the last few weeks clearly demonstrate that our government is leaving no stone unturned to make India a better place to do business, improve opportunities for all sections of society and increase prosperity to make India a $5 Trillion economy.
— Narendra Modi (@narendramodi) <a href="https://twitter.com/narendramodi/status/1174963369234747392?ref_src=twsrc%5Etfw">September 20, 2019</a></blockquote>
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PM Modi added that the decisions taken in the last few weeks exhibit that the "government is leaving no stone unturned to make India a better place to do business, improve opportunities for all sections of society and increase prosperity to make India a $5 trillion economy".

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The step to cut corporate tax is historic. It will give a great stimulus to <a href="https://twitter.com/hashtag/MakeInIndia?src=hash&amp;ref_src=twsrc%5Etfw">#MakeInIndia</a>, attract private investment from across the globe, improve competitiveness of our private sector, create more jobs and result in a win-win for 130 crore Indians. <a href="https://t.co/4yNwqyzImE">https://t.co/4yNwqyzImE</a>
— Narendra Modi (@narendramodi) <a href="https://twitter.com/narendramodi/status/1174963190091771904?ref_src=twsrc%5Etfw">September 20, 2019</a></blockquote>
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The domestic stock markets indices Sensex and Nifty registered their biggest single-day gain in more than a decade after the government announced deep cuts in corporate taxes to revive flagging growth in Asia's third-largest economy.

At 2:00 pm, the Sensex was at 38,313.65, higher by 2,220.18 points from the previous close of 36,093.47 points.

The NSE Nifty50 was trading at 11,379.60, higher by 674.80 points from the previous close.

Finance Minister Nirmala Sitharaman said the effective corporate tax rate would be lowered to 25.17 per cent from 30 per cent and scrapped the minimum alternative tax for domestic companies.

Prime Minister Narendra Modi on Friday hailed Finance Minister Nirmala Sitharaman's announcement to slash corporate tax rates and called it "historic". The prime minister said that the move will attract private investment from all across the world.

Prime Minister Narendra Modi on Friday hailed Finance Minister Nirmala Sitharaman's announcement to slash corporate tax rates and called it "historic". The prime minister said that the move will attract private investment from all across the world. "It will give a great stimulus to #MakeInIndia, attract private investment from across the globe, improve the competitiveness of our private sector, create more jobs and result in a win-win for 130 crore Indians," the prime minister tweeted out. The announcements in the last few weeks clearly demonstrate that our government is leaving no stone unturned to make India a better place to do business, improve opportunities for all sections of society and increase prosperity to make India a $5 Trillion economy. — Narendra Modi (@narendramodi) September 20, 2019 × PM Modi added that the decisions taken in the last few weeks exhibit that the "government is leaving no stone unturned to make India a better place to do business, improve opportunities for all sections of society and increase prosperity to make India a $5 trillion economy". The step to cut corporate tax is historic. It will give a great stimulus to #MakeInIndia, attract private investment from across the globe, improve competitiveness of our private sector, create more jobs and result in a win-win for 130 crore Indians. https://t.co/4yNwqyzImE — Narendra Modi (@narendramodi) September 20, 2019 × The domestic stock markets indices Sensex and Nifty registered their biggest single-day gain in more than a decade after the government announced deep cuts in corporate taxes to revive flagging growth in Asia's third-largest economy. At 2:00 pm, the Sensex was at 38,313.65, higher by 2,220.18 points from the previous close of 36,093.47 points. The NSE Nifty50 was trading at 11,379.60, higher by 674.80 points from the previous close. Finance Minister Nirmala Sitharaman said the effective corporate tax rate would be lowered to 25.17 per cent from 30 per cent and scrapped the minimum alternative tax for domestic companies.

It's a win-win for 130 crore Indians: PM Modi on corporate tax rate cut

The domestic stock markets indices Sensex and Nifty registered their biggest single-day gain in more than a decade after the government announced deep cuts in corporate taxes to revive flagging growth in Asia's third-largest economy.

The domestic stock markets indices Sensex and Nifty registered their biggest single-day gain in more than a decade after the government announced deep cuts in corporate taxes to revive flagging growth in Asia's third-largest economy. At 2:00 pm, the Sensex was at 38,313.65, higher by 2,220.18 points from the previous close of 36,093.47 points. The NSE Nifty50 was trading at 11,379.60, higher by 674.80 points from the previous close. Finance Minister Nirmala Sitharaman said the effective corporate tax rate would be lowered to 25.17% from 30% and scrapped the minimum alternative tax for domestic companies. "The reduction in corporate tax rate will "augur well for our economy," Reserve Bank of India chief Shaktikanta Das said, speaking at a conference in Mumbai. The rupee rose as much as 0.9% to 70.68 against the dollar, its strongest level since Aug 9, while the yield on benchmark 10-year bond rose to 6.71% versus 6.57% in early trading. Shares of top private-sector lender HDFC Bank Ltd, soared nearly 10% - their most in over six years, sending the Nifty Bank index up 6.7%. Corporate earnings may see an almost 12% jump in the next quarter for full tax-paying companies due to the cut, and the markets can go up nearly 10%, Oza said, adding that foreign investors would cheer these measures. The Nifty Auto index jumped 7.9%, its sharpest intraday climb since July 2011, with Eicher Motors Ltd surging 24%. (With inputs from Reuters)

Sensex surges over 2200 points after Finance Minister’s corporate tax cut announcement

FM Nirmala Sitharaman briefs press over current situation of economy, says 'Revival signs are consistent'.

FM Nirmala Sitharaman briefs press over current situation of economy, says 'Revival signs are consistent'

Finance Minister Nirmala Sitharaman at National Media Centre today addresses media on the Indian economy's state. Let's Listen in...

Finance Minister Nirmala Sitharaman addresses media on the Indian economy's state

Minister of Finance and Corporate Affairs Nirmala Sitharaman on Tuesday addressed a press conference in Chennai to highlight the achievements of the Modi 2.0 government and talked about the abrogation of Article 370, 35A and rolling out of GST and Income tax reforms. Sitharaman also responded to a plethora of questions ranging from the slump in the economy to the slowdown in the automobile sector, among other political issues.

Being in the automobile capital, Chennai, the Minister when peppered with questions on the slowdown in the sector, which is said to be the worst in nearly two decades said, “it is true that the automobile sector in India had a good time till two years ago, there was definitely a good upward trajectory for automobile sector. The automobile sector is affected by a range of issues such as the rollout of Bharat Stage VI emission standard, higher registration fee, the mindset of millennials who prefer to use ride-hailing services such as Ola and Uber over committing to an EMI for purchasing a vehicle, besides the use of public transport such as metro.”

There is a demand to consider the reduction of GST rates, what will be considered I can’t say, as it has to be decided by the GST Council, she said when asked if the GST on automobiles will be cut ahead of the festive season.

On the merger of banks, she said, The government has announced the merger of 10 public sector banks (PSBs) into four strong lenders with countrywide networks and global reach to boost credit and revive economic growth said the minister.

"The banks will benefit from each other's strength. A growing economy needs good banks. That was the reason behind merging banks. The effective date of mergers will be decided by the respective board of directors," said Sitharaman.

Speaking on the GDP that is hovering around five per cent and the scenario that led to this she said, the concerns which industries have, we are speaking to them. The GDP growth rate is at five per cent in one quarter, we won’t compare it with earlier times. &nbsp;Dips and rise in GDP growth do happen, but we are not sitting without responding to boost it. Our full focus now is on how it will rise.

Emphasizing on the closer ties between India and Russia, she said the East Russia- Chennai sea route is a big step. She recollected that during the 2016-17 Russia talks, business representatives from the East of Ural mountains states had come to Chennai and representatives from Chennai had reciprocated the visit. She added that there was 40 per cent higher trade from India’s southern states within a single year. Henceforth, goods from Vladivostok will reach Chennai port and spread across India.&nbsp;

Responding to concerns about the rising Gold prices and whether the government would move to control the rise, the Minister said, “we don't have the yellow metal in our country, we depend on importing it. So its price depends on demand in the market, Dollar rate, crude rate etc. As a lot of people invest in gold, a lot of factors determine the gold price and the government can’t easily step in to control it.&nbsp;

“Congress leadership should look at what is happening in the country and speak in one voice on issues of national security, some of Rahul Gandhi’s statements have helped Pakistan’s cause”, she said to a question on Wayanad MP Rahul Gandhi’s statements being quoted by Pakistan.

Minister of Finance and Corporate Affairs Nirmala Sitharaman on Tuesday addressed a press conference in Chennai to highlight the achievements of the Modi 2.0 government and talked about the abrogation of Article 370, 35A and rolling out of GST and Income tax reforms.

Minister of Finance and Corporate Affairs Nirmala Sitharaman on Tuesday addressed a press conference in Chennai to highlight the achievements of the Modi 2.0 government and talked about the abrogation of Article 370, 35A and rolling out of GST and Income tax reforms. Sitharaman also responded to a plethora of questions ranging from the slump in the economy to the slowdown in the automobile sector, among other political issues. Being in the automobile capital, Chennai, the Minister when peppered with questions on the slowdown in the sector, which is said to be the worst in nearly two decades said, “it is true that the automobile sector in India had a good time till two years ago, there was definitely a good upward trajectory for automobile sector. The automobile sector is affected by a range of issues such as the rollout of Bharat Stage VI emission standard, higher registration fee, the mindset of millennials who prefer to use ride-hailing services such as Ola and Uber over committing to an EMI for purchasing a vehicle, besides the use of public transport such as metro.” There is a demand to consider the reduction of GST rates, what will be considered I can’t say, as it has to be decided by the GST Council, she said when asked if the GST on automobiles will be cut ahead of the festive season. On the merger of banks, she said, The government has announced the merger of 10 public sector banks (PSBs) into four strong lenders with countrywide networks and global reach to boost credit and revive economic growth said the minister. "The banks will benefit from each other's strength. A growing economy needs good banks. That was the reason behind merging banks. The effective date of mergers will be decided by the respective board of directors," said Sitharaman. Speaking on the GDP that is hovering around five per cent and the scenario that led to this she said, the concerns which industries have, we are speaking to them. The GDP growth rate is at five per cent in one quarter, we won’t compare it with earlier times. Dips and rise in GDP growth do happen, but we are not sitting without responding to boost it. Our full focus now is on how it will rise. Emphasizing on the closer ties between India and Russia, she said the East Russia- Chennai sea route is a big step. She recollected that during the 2016-17 Russia talks, business representatives from the East of Ural mountains states had come to Chennai and representatives from Chennai had reciprocated the visit. She added that there was 40 per cent higher trade from India’s southern states within a single year. Henceforth, goods from Vladivostok will reach Chennai port and spread across India. Responding to concerns about the rising Gold prices and whether the government would move to control the rise, the Minister said, “we don't have the yellow metal in our country, we depend on importing it. So its price depends on demand in the market, Dollar rate, crude rate etc. As a lot of people invest in gold, a lot of factors determine the gold price and the government can’t easily step in to control it. “Congress leadership should look at what is happening in the country and speak in one voice on issues of national security, some of Rahul Gandhi’s statements have helped Pakistan’s cause”, she said to a question on Wayanad MP Rahul Gandhi’s statements being quoted by Pakistan.

Finance Minister Nirmala Sitharaman blames Uber, Ola, metro trains and BS VI for auto slowdown

In order to help entrepreneurs to carry out their business, Finance Minister Nirmala Sitharaman on Tuesday said she has directed the tax administrators to be restraint in the tax collection process and also asked them to understand the businesses.

"Deadlines regarding tax collection, which have been given in consultation with all authorities, are all not impossible but are achievable deadlines. Therefore, my request was not to overreach, not to overstate themselves in the collection process. It is achievable if they are able to go with a bit of restraint," she told reporters here.

The minister said that tax administrators should facilitate businesses, which essentially create jobs.

"Whatever be the size small, medium, micro, nano or large entrepreneurs of this country, we want them to carry out their business without a worry... So that everyone carries on with their business, which essentially creates jobs," she said.

"It is important that tax administrators do their job of tax collection and enforcement of tax rules. They also need to understand businesses and ways to facilitate these as well," she said.&nbsp; 
&nbsp;

In order to help entrepreneurs to carry out their business, Finance Minister Nirmala Sitharaman on Tuesday said she has directed the tax administrators to be restraint in the tax collection process and also asked them to understand the businesses.

In order to help entrepreneurs to carry out their business, Finance Minister Nirmala Sitharaman on Tuesday said she has directed the tax administrators to be restraint in the tax collection process and also asked them to understand the businesses. "Deadlines regarding tax collection, which have been given in consultation with all authorities, are all not impossible but are achievable deadlines. Therefore, my request was not to overreach, not to overstate themselves in the collection process. It is achievable if they are able to go with a bit of restraint," she told reporters here. The minister said that tax administrators should facilitate businesses, which essentially create jobs. "Whatever be the size small, medium, micro, nano or large entrepreneurs of this country, we want them to carry out their business without a worry... So that everyone carries on with their business, which essentially creates jobs," she said. "It is important that tax administrators do their job of tax collection and enforcement of tax rules. They also need to understand businesses and ways to facilitate these as well," she said.

Sitharaman gives mantra of restraint to tax collectors but says deadlines are realistic

On Friday, amid rumblings from the business community and fear over economic growth, Finance Minister Nirmala Sitharaman announced a slew of measures to give a shot in the arm to a lagging economy.

WION Dispatch: Finance Minister Nirmala Sitharaman's roadmap for economy

On Friday, during a presser at the Finance Ministry, Finance Minister Nirmala Sitharman said that starting ‘Vijay Dashami’ that there’d be ‘faceless scrutiny’ of businesses.

Surcharge imposed on long-term and short-term capital gains withdrawn: FM Nirmala Sitharaman

If India opts for sovereign borrowing in foreign currency, the move should be accompanied by a well-crafted policy and special safeguard as the foreign exchange reserve is an accumulation of capital account surplus rather than a current account, according to <a href="https://www.wionews.com/business-economy/rating-agencies-knew-of-stress-at-ilfs-but-gave-good-ratings-report-237295">India Ratings and Research (Ind-Ra).</a>

In her Budget speech on July 5, Finance Minister Nirmala Sitharaman announced the intention of going for foreign currency borrowing to bridge the government deficit that has ballooned over the years due to huge spending on infrastructure and welfare schemes.

Against the backdrop of moderating household savings and easy global liquidity, sovereign borrowing in foreign currency appears to be an attractive option for meeting the government's funding requirement.

However, Ind-Ra believes one way of doing it could be to make it part of the Fiscal Responsibility and Budget Management Act where the annual limit, as well as the total quantum of sovereign borrowings in foreign currency, is defined.

India's balance of payment position is highly susceptible to any adverse domestic or global macro development.

The fickle nature of foreign portfolio investors (FPIs) can be quite destabilizing for the economy and the same has been witnessed multiple times.&nbsp;

The most recent instance was over April to October 2018 when FPIs pulled out over 16 billion dollars from the Indian market.

Until now, the government has been more comfortable with foreign portfolio investment into the Indian debt market instead of the foreign currency-denominated debt market.

Within that, the government has followed a fairly cautious approach by capping the FPI limit in government securities (G-Secs).

FPIs who were first allowed to invest in G-Secs in the financial year 2001-01 can still invest only up to six per cent of the outstanding G-Secs stock in FY 2019-20.

There are four main reasons provided by the government for this shift in stance in favor of foreign currency sovereign borrowings.&nbsp;

One: India's sovereign external debt-to-GDP level at sub-five per cent is among the lowest globally, Two: the borrowings will help government diversify resource mobilisation.

Three: the cost of borrowing is very attractive due to ample global liquidity.

And four: more funds will be available in the domestic market for the private sector to borrow.

In the existing framework, allowing FPIs in the onshore market does not carry the currency or refinance risk which is present in foreign currency-denominated debt.

In a scenario of depreciating currency, interest and debt obligations of foreign currency-denominated debts balloon and quite often make it unsustainable.&nbsp;

Hedging currency risks carry significant costs and if opted may make foreign currency-denominated debt less attractive compared with domestic debt.

Ind-Ra said that with the development of offshore foreign-currency-denominated bonds, the feedback process will get further entrenched in the Indian debt market.

This may weaken monetary policy transmission, especially during adverse conditions in global financial markets.&nbsp;

Overseas issuances will facilitate the development of the overseas credit default swap market.

While this will help in efficient price discovery, overseas issuances have been seen to hurt the domestic market.

This is because, in the overseas markets, many hedge funds and investment companies write credit default swap contracts without owning the underlying security and resort to pure speculation.

The reasons provided for foreign currency sovereign borrowing are undoubtedly cogent, but the associated risks are equally formidable, said Ind-Ra. 
&nbsp;

If India opts for sovereign borrowing in foreign currency, the move should be accompanied by a well-crafted policy and special safeguard as the foreign exchange reserve is an accumulation of capital account surplus rather than a current account, according to India Ratings and Research (Ind-Ra).

If India opts for sovereign borrowing in foreign currency, the move should be accompanied by a well-crafted policy and special safeguard as the foreign exchange reserve is an accumulation of capital account surplus rather than a current account, according to India Ratings and Research (Ind-Ra). In her Budget speech on July 5, Finance Minister Nirmala Sitharaman announced the intention of going for foreign currency borrowing to bridge the government deficit that has ballooned over the years due to huge spending on infrastructure and welfare schemes. Against the backdrop of moderating household savings and easy global liquidity, sovereign borrowing in foreign currency appears to be an attractive option for meeting the government's funding requirement. However, Ind-Ra believes one way of doing it could be to make it part of the Fiscal Responsibility and Budget Management Act where the annual limit, as well as the total quantum of sovereign borrowings in foreign currency, is defined. India's balance of payment position is highly susceptible to any adverse domestic or global macro development. The fickle nature of foreign portfolio investors (FPIs) can be quite destabilizing for the economy and the same has been witnessed multiple times. The most recent instance was over April to October 2018 when FPIs pulled out over 16 billion dollars from the Indian market. Until now, the government has been more comfortable with foreign portfolio investment into the Indian debt market instead of the foreign currency-denominated debt market. Within that, the government has followed a fairly cautious approach by capping the FPI limit in government securities (G-Secs). FPIs who were first allowed to invest in G-Secs in the financial year 2001-01 can still invest only up to six per cent of the outstanding G-Secs stock in FY 2019-20. There are four main reasons provided by the government for this shift in stance in favor of foreign currency sovereign borrowings. One: India's sovereign external debt-to-GDP level at sub-five per cent is among the lowest globally, Two: the borrowings will help government diversify resource mobilisation. Three: the cost of borrowing is very attractive due to ample global liquidity. And four: more funds will be available in the domestic market for the private sector to borrow. In the existing framework, allowing FPIs in the onshore market does not carry the currency or refinance risk which is present in foreign currency-denominated debt. In a scenario of depreciating currency, interest and debt obligations of foreign currency-denominated debts balloon and quite often make it unsustainable. Hedging currency risks carry significant costs and if opted may make foreign currency-denominated debt less attractive compared with domestic debt. Ind-Ra said that with the development of offshore foreign-currency-denominated bonds, the feedback process will get further entrenched in the Indian debt market. This may weaken monetary policy transmission, especially during adverse conditions in global financial markets. Overseas issuances will facilitate the development of the overseas credit default swap market. While this will help in efficient price discovery, overseas issuances have been seen to hurt the domestic market. This is because, in the overseas markets, many hedge funds and investment companies write credit default swap contracts without owning the underlying security and resort to pure speculation. The reasons provided for foreign currency sovereign borrowing are undoubtedly cogent, but the associated risks are equally formidable, said Ind-Ra.

Sovereign borrowing in foreign currency should be accompanied by well-crafted policy: Ind-Ra

The Lok Sabha on Friday passed the Bill to amend the Companies Act 2013 with Finance Minister Nirmala Sitharaman saying that the government has de-registered nearly four lakh inactive companies.

The Companies (Amendment) Bill 2019 was passed by a voice vote after a reply by Sitharaman. The Bill seeks to replace an ordinance promulgated earlier this year.

"Nearly four lakh inactive companies have been de-registered by us," she said, adding they were totally inactive for several years, probably for more than five years.

Referring to members talking about shell companies, she said if a company does not have a proper registered office or if the business is not declared, then it become a shell company.

She said the non-maintenance of a registered office shall be made one of the stated grounds for striking off any company.

"So, physical registration of a registered company`s address has now become absolutely necessary so that you do not run the risk of being defined as a shell company," she said.

Referring to the Act enacted by the UPA government in 2013, Sitharaman said that she was not sure how it got passed as it has required repeated amendments.

Referring to queries about Corporate Social Responsibility, Sitharman said there is nothing under the rule, which stops the use of CSR fund for local requirements.

She said the companies that start spending money on CSR projects will be given one year plus three years.

"So, within three years, after the year in which the decision is taken, they have to give us a picture of where the money has been spent, i.e., 2 per cent of their total profit. In case it does not happen, they will have to move their money into an escrow account," she said, adding that it can go to the PM Relief Fund.

She said the Act has been amended twice earlier and the amendments being brought now were driven by demands of the stakeholders and also for the ease of doing business.

"The amendments are being brought for bringing a better governance framework and also to look at the welfare of small and medium enterprises. It will reduce the burden on them. (Some) compounding offences are being reduced to non-compounding offences so that those who have done small omissions or commissions of compliance will be treated with kid gloves," she said.

The minister said the government is looking at a Companies Act, which will be "far more friendlier for companies to comply" rather than them having to worry about its implementation.

The minister said that ordinance will lapse by the end of this month and there was a need to get the bill passed.

Responding to a query about including private companies under Section 164 of the Act, she said non-filing of financial statement or annual returns should result into some kind of disqualification for becoming directors in any company including private companies for relevant five years.

"This was done so that we bring in good corporate practices," she said.

Answering a query, she said the companies, which did not file annual returns and financial statements for two years or more, or did not apply for dormant status but existed without main activities, were the ones to get struck off by the Registrar after following due process.

The Lok Sabha on Friday passed the Bill to amend the Companies Act 2013 with Finance Minister Nirmala Sitharaman saying that the government has de-registered nearly four lakh inactive companies.

The Lok Sabha on Friday passed the Bill to amend the Companies Act 2013 with Finance Minister Nirmala Sitharaman saying that the government has de-registered nearly four lakh inactive companies. The Companies (Amendment) Bill 2019 was passed by a voice vote after a reply by Sitharaman. The Bill seeks to replace an ordinance promulgated earlier this year. "Nearly four lakh inactive companies have been de-registered by us," she said, adding they were totally inactive for several years, probably for more than five years. Referring to members talking about shell companies, she said if a company does not have a proper registered office or if the business is not declared, then it become a shell company. She said the non-maintenance of a registered office shall be made one of the stated grounds for striking off any company. "So, physical registration of a registered company`s address has now become absolutely necessary so that you do not run the risk of being defined as a shell company," she said. Referring to the Act enacted by the UPA government in 2013, Sitharaman said that she was not sure how it got passed as it has required repeated amendments. Referring to queries about Corporate Social Responsibility, Sitharman said there is nothing under the rule, which stops the use of CSR fund for local requirements. She said the companies that start spending money on CSR projects will be given one year plus three years. "So, within three years, after the year in which the decision is taken, they have to give us a picture of where the money has been spent, i.e., 2 per cent of their total profit. In case it does not happen, they will have to move their money into an escrow account," she said, adding that it can go to the PM Relief Fund. She said the Act has been amended twice earlier and the amendments being brought now were driven by demands of the stakeholders and also for the ease of doing business. "The amendments are being brought for bringing a better governance framework and also to look at the welfare of small and medium enterprises. It will reduce the burden on them. (Some) compounding offences are being reduced to non-compounding offences so that those who have done small omissions or commissions of compliance will be treated with kid gloves," she said. The minister said the government is looking at a Companies Act, which will be "far more friendlier for companies to comply" rather than them having to worry about its implementation. The minister said that ordinance will lapse by the end of this month and there was a need to get the bill passed. Responding to a query about including private companies under Section 164 of the Act, she said non-filing of financial statement or annual returns should result into some kind of disqualification for becoming directors in any company including private companies for relevant five years. "This was done so that we bring in good corporate practices," she said. Answering a query, she said the companies, which did not file annual returns and financial statements for two years or more, or did not apply for dormant status but existed without main activities, were the ones to get struck off by the Registrar after following due process.

Lok Sabha passes bill to amend Companies Act; Sitharaman says 4 lakh companies de-registered

The government is in talks with foreign lenders to provide as much as $14.5 billion in credit to millions of its small firms, two officials said, in a sign the country's banking system may not be robust enough to do the job on its own.

The government is in discussions with multiple foreign lenders, including Germany's state-owned development bank KfW Group, the World Bank and some Canadian institutions to extend lines of credit to small enterprises, one of the officials, who did not want to be identified, told Reuters.

KfW's India office confirmed the discussions, though the main focus was on credit lines to support small businesses'&nbsp;solar power generation. The talks were at an early stage, KfW said.

The World Bank's India spokesperson did not reply to an email seeking comment.

The official said the government plans to source up to 1 trillion Indian rupees of loans from foreign institutions because Indian banks were not in a position to provide enough capital for the small business sector, which is seen as critical to job creation.

“We are exploring, we are having discussions with various funding agencies if something can be done (for small and medium firms),” the second official said.

The officials did not provide full details of the discussions they are having with banks, or identify all those they are talking to, but said talks are at a very early stage.

India's micro, small and medium enterprise (MSME) ministry is discussing the proposal to pull in foreign banks with the country's ministry of finance, which will make a final call, the second official said.

The push for foreign loans comes on the heels of the Indian government's announcement earlier this month that it plans to borrow about 700 billion rupees by issuing overseas sovereign bonds.

India's 63 million firms in the micro, small and medium firm sector are responsible for more than a quarter of the country's manufacturing and services output, and must be re-energised for Prime Minister Narendra Modi's government to kick-start the economy.&nbsp;

Gross domestic product growth fell to a five-year low of 5.8 per cent&nbsp;in the January-March quarter, well below the 8 per cent-plus rates that the government is targeting.

But credit availability for small and medium firms, which also account for about 45 per cent&nbsp;of India's total exports, has worsened due to a liquidity crisis in the country's shadow banking industry that has seen big lenders struggling to remain solvent.&nbsp;

State-owned banks, which dominate the sector, have not been able to drive increased lending because they are burdened with more than $145 billion in bad loans.

This has led to a severe credit squeeze for smaller firms. They pay up to 17 per cent&nbsp;annual interest on loans from banks, while the shadow banks, which are also known as non-banking financial companies (NBFCS) can charge as much as 20 per cent.

Last month, a study by a Reserve Bank of India panel said the overall deficit in credit for the MSME sector is estimated at about 20 trillion rupees to 25 trillion rupees.&nbsp;

But lending to such firms can be risky as some lack proper financial information, such as historical cash flow data, which makes challenging for banks to assess the credit risks.

To mitigate such risks for foreign banks, the loans would be given sovereign guarantees and be routed through Indian government agencies such as the Small Industries Development Bank of India, the first official said. 
&nbsp;

The government is in talks with foreign lenders to provide as much as $14.5 billion in credit to millions of its small firms, two officials said, in a sign the country's banking system may not be robust enough to do the job on its own.

The government is in talks with foreign lenders to provide as much as $14.5 billion in credit to millions of its small firms, two officials said, in a sign the country's banking system may not be robust enough to do the job on its own. The government is in discussions with multiple foreign lenders, including Germany's state-owned development bank KfW Group, the World Bank and some Canadian institutions to extend lines of credit to small enterprises, one of the officials, who did not want to be identified, told Reuters. KfW's India office confirmed the discussions, though the main focus was on credit lines to support small businesses' solar power generation. The talks were at an early stage, KfW said. The World Bank's India spokesperson did not reply to an email seeking comment. The official said the government plans to source up to 1 trillion Indian rupees of loans from foreign institutions because Indian banks were not in a position to provide enough capital for the small business sector, which is seen as critical to job creation. “We are exploring, we are having discussions with various funding agencies if something can be done (for small and medium firms),” the second official said. The officials did not provide full details of the discussions they are having with banks, or identify all those they are talking to, but said talks are at a very early stage. India's micro, small and medium enterprise (MSME) ministry is discussing the proposal to pull in foreign banks with the country's ministry of finance, which will make a final call, the second official said. The push for foreign loans comes on the heels of the Indian government's announcement earlier this month that it plans to borrow about 700 billion rupees by issuing overseas sovereign bonds. India's 63 million firms in the micro, small and medium firm sector are responsible for more than a quarter of the country's manufacturing and services output, and must be re-energised for Prime Minister Narendra Modi's government to kick-start the economy. Gross domestic product growth fell to a five-year low of 5.8 per cent in the January-March quarter, well below the 8 per cent-plus rates that the government is targeting. But credit availability for small and medium firms, which also account for about 45 per cent of India's total exports, has worsened due to a liquidity crisis in the country's shadow banking industry that has seen big lenders struggling to remain solvent. State-owned banks, which dominate the sector, have not been able to drive increased lending because they are burdened with more than $145 billion in bad loans. This has led to a severe credit squeeze for smaller firms. They pay up to 17 per cent annual interest on loans from banks, while the shadow banks, which are also known as non-banking financial companies (NBFCS) can charge as much as 20 per cent. Last month, a study by a Reserve Bank of India panel said the overall deficit in credit for the MSME sector is estimated at about 20 trillion rupees to 25 trillion rupees. But lending to such firms can be risky as some lack proper financial information, such as historical cash flow data, which makes challenging for banks to assess the credit risks. To mitigate such risks for foreign banks, the loans would be given sovereign guarantees and be routed through Indian government agencies such as the Small Industries Development Bank of India, the first official said.

Government seeks to tap foreign lenders for loans to its small firms: Report

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