Page 29 - Finance Ministry

Improved summer sowing likely to ease inflation: Finance Ministry

Says CAD needs to be watched in FY25

India's economic outlook for next fiscal positive, says finance ministry

The finance ministry on Friday said with an uptick in private investment and inflation trending down, India's outlook for the next fiscal looks positive. The Monthly Economic Review also said that inclusion of Indian bonds in Bloomberg bond index from January 2025 should bolster inflows. It said robust investment activity is driving growth amid a steady rise in consumption. "The continued focus on public investment seems to have crowded in private investment," said the February edition of the review by Department of Economic Affairs. The National Statistical Office (NSO) has revised upwards the GDP growth estimate for current fiscal to 7.6 per cent from 7.3 per cent. India grew above 8 per cent for three consecutive quarters, reaffirming its position as a standout performer amid sluggish global growth trends. Various agencies echo a similar sentiment revising the FY24 growth estimates of India closer to 8 per cent, the ministry said. "On the whole, India looks positively toward

Govt considers changing SARFAESI, DRT; to provide legal weight to e-notices

To speed up the debt recovery process, the Finance Ministry has set up a panel to suggest amendments to the SARFAESI and DRT Acts, including a provision for granting legal sanctity to e-notices to debtors, sources said. The committee headed by an Additional Secretary held several meetings, and discussions are in the advanced stage in this regard, sources told PTI. Last month, the Finance Ministry held extensive deliberations with the top brass of banks and Debt Recovery Tribunals (DRTs) to enhance the efficacy of DRTs for expeditious recovery of debts. "We have formed a committee led by the Additional Secretary to decide on relevant amendments. The aim is to make the debt recovery process less tedious and more effective. We are also planning to introduce a provision to provide legal sanctity to e-notices. "So that an SMS and e-mails sent by banks can be considered as notice. This will help in fast-tracking the recovery of debt," sources said. The Debt Recovery Tribunals (DRTs) Act

Analysing economic progress of states through budgets & advance estimates

Several states have come out with the Budgets for 2024-25 and hence advance estimates. Let us use them to analyse the economic performance or outlook of some of those states

Despite grounds for optimism, India economy is yet to hit high-growth phase

India's macroeconomic stability is impressive compared to many of its peers

Finmin asks PSU banks for comprehensive review of their gold loan portfolio

The finance ministry has directed all state-owned banks to review their gold loan portfolio as instances of non-compliance with regulatory norms have been noticed by the government. The Department of Financial Services (DFS) in a communication addressed to heads of public sector banks has asked them to look at their system and processes related to gold loan. "We have asked banks to undertake comprehensive review of the gold loan business," Financial Services Secretary Vivek Joshi told PTI. A directive in this regard was issued last month advising them to fix anomalies relating to collection of fees and interest and closure of gold loan accounts. The letter flagged various concerns, including disbursement of gold loans without requisite gold collateral, anomalies regarding collection of fees and repayment in cash. The DFS urged banks to undertake a thorough review of the last two-year period from January 1, 2022 to January 31, 2024 so as to ensure that all gold loans were disburse

Delhi HC to pass order today on Congress' plea in Rs 100 cr tax demand case

The Delhi High Court will pronounce its verdict on Wednesday on a petition by the Congress challenging an order of the Income Tax Appellate Tribunal which refused to stay a notice issued by the Income Tax department for recovery of outstanding dues of more than Rs 100 crore. A bench of Justices Yashwant Varma and Purushaindra Kumar Kaurav is scheduled to deliver the order at 2:15 PM. The bench had reserved its order on Tuesday after hearing the submissions on behalf of the Congress and the I-T department. The Congress approached the high court after the Income Tax Appellate Tribunal (ITAT) on March 8 dismissed the party's application seeking a stay on the February 13 notice of the I-T department initiating recovery proceedings against it. The assessing officer had raised a tax demand of more than Rs 100 crore for the assessment year 2018-19 when the income was assessed to be more than Rs 199 crore. The counsel for the Congress had urged the court to grant it some protection otherw

FinMin asks PSBs to ensure compliance in withdrawal from Rera accounts

RERA Act, 2016 mandates the funds from escrow accounts can only be accessed by the promoter after certification from a practising architect, engineer, and chartered accountant

India's surprise GDP driven by more than just one-off factors, says CEA

The surprise 8.4% surge in gross domestic product was largely due to base effects related to subsidies, which boosted the net indirect tax category, CEA V Anantha Nageswaran said

Majority of users to stop using UPI if it attracts transaction fee: Report

A majority of people will stop using UPI if a transaction fee is levied on it, according to an online survey by LocalCircles. However, a sizable number of respondents claimed that they have experienced a transaction fee being levied on their UPI payment once or more in the last one year, it added. LocalCircles on Sunday said the survey received over 34,000 responses from citizens in over 364 districts, comprising 67 per cent of male respondents and 33 per cent of women. In August 2022, the Reserve Bank of India (RBI) released a discussion paper proposing a tiered structure charge on UPI payments based on different amount bands. Following the RBI discussion paper, the finance ministry clarified that there was no proposal to levy charges on UPI transactions, LocalCircles said in its report on UPI transaction fees. "Only 23 per cent of UPI users surveyed are willing to bear a transaction fee on payment. 73 per cent of those surveyed indicated that they will stop using UPI if a ...

GST mop-up rises over 12.5% to Rs 1.68 trn, car sales remain strong

The manufacturing sector, too, gathered momentum in February on the back of expansion in new export orders and easing of pricing pressures

FIU imposes Rs 5.49 cr penalty on Paytm Payments Bank for PMLA violations

After scrutiny of documents, FIU had issued a compliance Show Cause Notice to the bank for its violations of PML rules, including Know Your Customer

Fintechs raise UPI payment charging concerns with FM Nirmala Sitharaman

The MDR on UPI payments has been a longstanding demand from the fintech industry, asserting they don't generate revenue from such transactions

Mahadev App case: ED raids over 15 locations in West Bengal, Mumbai, NCR

A total of nine persons have been arrested by the ED in this case till now

FM Nirmala Sitharaman asks fintechs to blend innovation, compliance

Regulators told to hold monthly meetings with startups and fintech firms

Govt on course to achieve small savings scheme collection target for FY24

The government's cash balance is not high too, as borrowings are complete, and it is carrying a modest cash balance to meet its commitments, government sources said

FM-fintech companies meet on Monday: Compliance, innovation on table

Paytm may be absent from the meeting

FinMin asks depts to surrender unspent Budgetary allocation by March 8

Finance Ministry has asked other ministries and departments to surrender unspent Budgetary allocation for 2023-24 by March 8. The last date for accepting the Surrender of Savings anticipated in the grants for 2023-24 has been fixed as March 8, 2024, an office memorandum issued by the Department of Economic Affairs dated February 22 said. It is requested that the details of surrender of savings under each unit of appropriation may be sent to the Budget Division, Ministry of Finance by the said date in a specified format, it said. "The ministries/departments are also requested to furnish the details of excess or shortfall in recoveries, receipts if any, in the respective grants against the original estimates or recovery, while intimating the surrender of savings," it said.

FSDC meet discusses ways for simplification, digitisation of KYC process

Take more steps to curb illegal lending apps: FM

Govt says 20% export duty on parboiled rice to continue beyond Mar 31

Besides, duty-free import of yellow peas, too, has been extended beyond March 31, subject to the condition that the bill of landing is issued on or before April 30, 2024