Top headlines: States want lockdown to continue; RBI calls for fiscal plan

From RBI opening special liquidity window to US states set to reopen amid unemployment spike, here are top headlines of the day

RBI to open Rs 50,000-cr special liquidity window to support mutual funds

The Reserve Bank of India (RBI) will open a special liquidity window of Rs 50,000 crore to ease pressure on mutual funds, which are facing liquidity strains due to heightened volatility in capital markets in the wake of the Covid-19 outbreak. The liquidity strains have intensified amid redemption pressures related to the closure of some debt MFs and potential contagious effects. The stress was, however, confined to the high-risk debt MF segment at this stage; the larger industry remained liquid, RBI said in a statement on Monday. Read More

Lockdown controlled Covid-19, time to give economy importance: PM Modi

Prime Minister Narendra Modi on Monday conveyed to chief ministers that the country will have to give importance to the economy as well as to continue the fight against coronavirus. The prime minister interacted with chief ministers as in a video conference and highlighted the importance for states to enforce prescribed guidelines strictly in the hotspots, the government said in a statement. Read More

RIL's m-cap increases by Rs 1.5 trillion in four days post Facebook deal

Shares of Reliance Industries (RIL) gained 4 per cent to Rs 1,475 on the BSE on Monday in the early morning deal. The stock has surged 19 per cent in the past four trading days after the company announced $5.7 billion equity deal with Facebook. In comparison, the benchmark S&P BSE Sensex has gained 4.1 per cent during the same period. RIL on Wednesday, April 22, 2020 announced that Facebook would invest Rs 43,547 crore ($5.7 billion) in the company’s wholly-owned subsidiary Jio Platforms to expand its presence in India. Read More

Govt needs clear 'entry and exit plan' on fiscal expansion: Shaktikanta Das

The coronavirus pandemic will expand the government’s fiscal deficit beyond 3.5 per cent of India’s gross domestic product (GDP), said Reserve Bank of India (RBI) governor Shaktikanta Das as he called for a "well calibrated roadmap” to manage finances. “The 3.5 per cent fiscal deficit target for this year will be very challenging to meet,” Das told news agency Cogencis in an interview. "It has to be a judicious and balanced call keeping in mind the need to support the economy on one hand and the sustainable level of fiscal deficit that is consistent with macroeconomic and financial stability.” Read More
 

KKR to buy Shapoorji Pallonji Group's solar assets for Rs 1,554 crore

Global financial powerhouse, KKR on Monday announced the acquisition of Shapoorji Pallonji Infrastructure Capital’s five operational solar energy assets for Rs 1,554 crore ($ 204 million) which includes 169 MW in Maharashtra and 148 MW in Tamil Nadu. The SP group will use the funds to reduce its debt in its construction business. At the same time, the deal is part of KKR’s strategy to increase its presence in Asia's infrastructure sector and today’s transaction is the firm’s second investment in the country as part of its dedicated plan. Read More

Covid-19: More US states set to reopen as unemployment rate nears 16%

Another wave of states prepared to ease coronavirus restrictions on US commerce this week, despite health experts warning there is still too little diagnostic testing, while the White House forecast a staggering jump in the nation's monthly jobless rate. Colorado, Mississippi, Minnesota, Montana and Tennessee were set to join several other states in reopening businesses without the means to screen systematically for infected people who may be contagious but asymptomatic, and to trace their contacts with others they might have exposed. Read More