Page 18 - Finance Ministry

Finance ministry asks banks to set up oversight mechanism for pending DRTs

The Finance Ministry on Saturday asked banks to put in place effective monitoring and oversight mechanisms for efficient management of pending cases in Debt Recovery Tribunals (DRTs). Financial Services Secretary M Nagaraju, who chaired a meeting with chairpersons of Debt Recovery Appellate Tribunals (DRATs) and Presiding Officers of Debt Recovery of Tribunals (DRTs) also discussed some of the best practices followed in DRTs. It has been emphasied that some of the best practices can be adopted across DRTs for better outcomes, an official statement said. During the meeting it was also deliberated that banks should clearly define the policy for small and high-value cases pending in DRTs for optimising the recovery and all stakeholders should work collectively to reduce pendency and take effective measures for optimisation of recovery. Faster recovery would help in ploughing back the capital stuck in pending cases to the economy for productive use, it said. While formulating settleme

Finance ministry notifies direct tax Vivad Se Vishwas Scheme, 2024

Though the scheme's operational date has been announced, the final date for the scheme is yet to be determined

India to adopt nuanced approach to deal with at risk NPOs after FATF report

India on Thursday said it will adopt a "nuanced" approach to deal with "at risk" non-profit organisations (NPOs), an issue raised by the global crime watchdog FATF in its report which has otherwise appreciated India for its efforts to tackle terror financing and money laundering. Additional Secretary (Revenue), Finance Ministry, Vivek Agarwal said India has excelled on 6 'immediate outcomes' of the Financial Action Task Force (FATF), including in risk, policy and coordination, international cooperation, financial intelligence, confiscation and proliferation financing. On the five other parameters, including abuse of NPOs and terror financing sanctions, as well as prosecution of money laundering and terror financing cases India has got a medium rating. As regards the abuse of NPOs for terror financing, Agarwal said the scope for NPOs being misused is very less in India because there is a cap on cash donations. "We were trying to make a case that regulatory framework is good enough..

Banks to play major role in making India developed by 2047: FM Sitharaman

Finance Minister Nirmala Sitharaman on Thursday said the banking sector will have to play a crucial role in driving the agenda of making India a developed nation or Viksit Bharat by 2047. The Finance Minister was speaking at an event here to mark the 90th Foundation Day of the Bank of Maharashtra, a public sector lender. "Banks will have to play a crucial role in driving the agenda set by the Prime Minister and by your role, we are going to give greater momentum to achieving this dream," she said. Sitharaman said banks will be required to give strong momentum to the infrastructure sector, ensure the availability of need-based funding to MSMEs, bring unbanked population under the ambit of formal banking channels, and help increase insurance penetration. She noted that technology is changing the banking landscape as it provides a secure and easy-to-navigate digital banking experience to all customers. However, she added that "you (banks) cannot have a digital system which somewhere

India's economic growth stands out globally, says FM Nirmala Sitharaman

The scheme is an extension of the already existing NPS to children. In the last 10 years, NPS has gained 1.86 crore subscribers, with Assets Under Management (AUM) of Rs 13 trillion

Sitharaman launches NPS Vatsalya, parents can open pension a/c for children

Finance Minister Nirmala Sitharaman on Tuesday launched the NPS Vatsalya scheme, which will allow parents to save for their children's future by investing in a pension account. Parents can subscribe to NPS Vatsalya online or visiting a bank or post office. The minimum contribution to open Vatsalya account is Rs 1,000. Subscribers will have to contribute Rs 1,000 annually thereafter. The guidelines for withdrawal from NPS accounts are being finalised. Launching the scheme, Sitharaman said NPS has generated very competitive returns and offers the option to people to save while ensuring future income. NPS Vatsalya is an extension of the already existing NPS to children. In the last 10 years, NPS has 1.86 crore subscribers with an Asset Under Management (AUM) of Rs 13 lakh crore. Children below the age of 18 years can open NPS Vatsalya account, which will automatically get converted to regular NPS account on completion of 18 years of age. Pension will come from the account only upon

Electronics sector to discuss tariff, reforms with PMO, finance ministry

The electronics manufacturing sector will hold meetings with the Prime Minister's Office (PMO) and the Ministry of Finance to discuss '$500 billion by 2030' goal

Sebi withdraws statement blaming 'external elements' for employee protests

Sebi on Monday retracted its statement that "external elements" were behind employee protests against its work culture. The regulator emphasised it will handle the issues internally

Govt to pay MTNL's bond interest payment again, say DoT officials

But the government is unwilling to pay for loans taken by MTNL, say sources

FinMin extends exports incentive schemes to exports through courier

The e-commerce business in India has seen exponential growth over the last decade and is expected to witness a steep increase in revenues in the coming years

Finance ministry gives GST relief to ad agencies, automobile dealers

Another circular on supply of data hosting services was issued where such services are provided by companies in India to cloud computing service providers located outside India

Finance ministry amends compounding rules for offences under Fema

The Finance Ministry on Thursday modified the compounding rules for offences under the Foreign Exchange Management Act (FEMA) by raising the monetary limits for adjudications by RBI officials and allowing online payments. As per the Foreign Exchange (Compounding Proceedings) Rules, 2024, the fees for filing compounding application has been doubled to Rs 10,000 plus GST, from Rs 5,000 earlier. The notification further said that Assistant General Manager rank officials of the RBI can decide on compounding application of up to Rs 60 lakh, up from Rs 10 lakh earlier. Similarly, the monetary limits for Deputy GM and General Manager rank officers have been raised to Rs 2.5 crore and Rs 5 crore respectively. Chief General Manager in the RBI will be authorised to decide on compounding cases of above Rs 5 crore. In a statement, the Finance Ministry said the Foreign Exchange (Compounding Proceedings) Rules, 2024, will replace the Rules issued in 2000. In pursuance of the Union Budget 2024-

Lawmakers review plan to raise retirement age in fast-greying China

Reform is urgent with life expectancy in China rising to 78 years as of 2021 from about 44 years in 1960

Oppn-ruled states to build pressure for fair share in 16 Finance Commission

The issue of significant cuts in the Central financial allocations to some states due to their progress in certain areas will be a major highlight when Finance Ministers from four South Indian states and Punjab meet on September 12, sources said on Monday. Five opposition-ruled states -- Kerala (Left), Karnataka and Telangana (Congress), Tamil Nadu (DMK), and Punjab (AAP) -- are holding a conclave to seek a fair deal for their fiscal needs in the upcoming 16th Finance Commission. The Finance Ministers' conclave is also seen as a bid to build pressure on the BJP-ruled Centre to address their grievances regarding resource allocations, given the commencement of the 16th Finance Commission's operations, chaired by Dr A Arvind Panagariya. A government source said Kerala and some other states have faced significant cuts in Central financial allocations, as recommended by previous Finance Commissions. "The 10th Finance Commission recommended a 3.875 per cent allocation for Kerala, whereas

54th GST Council meet: New GoM to look into rate on life, health insurance

GST Council headed by Union Finance Minister Nirmala Sitharaman on Monday decided to set up a Group of Ministers (GoM) on reducing tax rate on life and health insurance and cut GST on cancer drugs and namkeens. Briefing reporters on the outcome of the 54th GST Council meeting, Sitharaman said it has decided to have a Group of Ministers (GoM) to look into the GST rate on life and health insurance. The GoM will be headed by Bihar Deputy Chief Minister Samrat Choudhary, who is currently heading the panel on GST rate rationalisation. Sitharaman said that new members would be joining the GoM to look into GST on health insurance. The GoM will be submitting its report by October end, she said. The issue of taxation of insurance premiums had figured in Parliament discussions with Opposition members demanding that health and life insurance premiums be exempt from the GST. Even Transport Minister Nitin Gadkari wrote to Sitharaman on the issue. Sitharaman in her reply to a discussion on the

Govt asks insurers to swiftly settle claims in flood-hit Andhra, Telangana

The Finance Ministry on Thursday said PSU insurance companies have been directed to ensure swift claim settlements by organising special camps and easing claim processes for those affected by heavy rains and floods in Andhra Pradesh and Telangana. The insurance companies have been also instructed to widely advertise the names and contact numbers of nodal officers to whom the policyholders can contact. In a statement, the ministry said in view of the heavy rains and floods in Andhra Pradesh and Telangana, the Department of Financial Services issued directions, on Thursday, to the public sector insurance companies to extend and provide full support to the people affected by floods. "The insurance companies have been instructed to ensure swift claim settlements by organising special camps and easing claim processes and thereby provide relief to those affected," the ministry said in a post on X. The central government and finance ministry are committed to supporting those affected by t

To boost capex, FinMin relaxes norms for expenditure exceeding Rs 500 cr

The finance ministry has relaxed norms for expenditure exceeding Rs 500 crore to accelerate capex (capital expenditure) that is pegged at Rs 11.11 lakh crore for the current fiscal. This will give a push to government spending which suffered a slowdown for a couple of months due to general elections. Finance Minister Nirmala Sitharaman in the Budget proposed to raise the capital expenditure target by 11.1 per cent to record Rs 11.11 lakh crore for 2024-25. To provide requisite operational flexibility in the execution of the Budget, it has been decided to relax rules for big releases above Rs 500 crore for all items of expenditure in the current financial year, an office memorandum dated September 2, 2024, said. The relaxation permitted is subject to strict compliance by all ministries and departments, it said. All expenditures should be in compliance of the guidelines of the Single Nodal Agency (SNA)/Central Nodal Agency (CNA) and Monthly Expenditure Plan (MEP) and Quarterly ...

Finance ministry to sell 6.78% stake in GIC Re for Rs 4,700 crore

Stake sale for non-retail investors begins on Wednesday, retail investors to bid on Thursday

FinMin to develop climate finance taxonomy in 6-10 months: DEA secy

Climate finance taxonomy is a set of guidelines that will help investors and institutions direct funds towards investments that will aid in tackling climate change

Nitin Gadkari wants states to pitch for GST cut on flex-fuel vehicles

Share of biofuel will be 50% of fossil fuels in five years, says minister