Page 3 - Finance Ministry

Govt considers reducing taxes on bond investments by foreign investors

Deliberations to ease the tax burden have gathered pace as authorities try to curb the rupee's depreciation

West Asia crisis a 'live balance of payments stress test': CEA Nageswaran

OMCs losing ₹1K cr a day, says Puri; doesn't rule out fuel price hike

PSBs' net profit rises 11% to all-time high ₹1.98 lakh cr in FY26: FinMin

Public Sector Banks (PSBs) have recorded an all-time high net profit of Rs 1.98 lakh crore in 2025-26 fiscal year, marking the fourth straight year of profitability, the finance ministry said on Tuesday. Improved asset quality, healthy credit expansion and higher income contributed to improved profitability of PSBs during 2025-26, the ministry said. Aggregate operating profit reached Rs 3.21 lakh crore, while aggregate net profit increased by 11.1 per cent y-o-y to a historic high of Rs 1.98 lakh crore, marking the fourth consecutive year of aggregate profitability for PSBs. The aggregate business of PSBs increased to Rs 283.3 lakh crore as on March 31, 2026, registering growth of 12.8 per cent over the previous year. Aggregate deposits rose 10.6 per cent year-on-year to Rs 156.3 lakh crore, reflecting continued depositor confidence and strong resource mobilisation by PSBs. Gross advances registered growth of 15.7 per cent year-on-year at Rs 127 lakh crore, indicating sustained cr

GSTAT braces for rush in appeals ahead of June 30 filing deadline

Finance Ministry officials expect a surge in GSTAT appeal filings before the June 30 deadline as taxpayers defer cases over pre-deposit concerns

DEA notifies Fema FDI easing for firms with up to 10% Chinese stake

The Finance Ministry has notified a decision to allow overseas companies with Chinese shareholding of up to 10 per cent to invest in India under the automatic route under FEMA, according to a notification. In March, the Union Cabinet approved amendments in the press note (PN) 3 of 2020 of the DPIIT. As per the amendments, foreign companies having a Chinese/Hong Kong shareholding of up to 10 per cent will be eligible to invest in India in sectors where FDI is permitted under the automatic route subject to sectoral conditions. However, these relaxed FDI rules will not apply to entities registered in China or Hong Kong or other countries sharing land borders with India. Earlier, foreign firms with shareholders from these land border nations owning even a single share had to seek mandatory approval to invest in India in any sector. Now, these restrictions will apply only to beneficial owners. After the Cabinet approval, the Department for Promotion of Industry and Internal Trade (DPI

Finance Ministry notifies 100% FDI in insurance sector, amends Fema rules

The Finance Ministry on Saturday notified 100 per cent foreign direct investment (FDI) in the insurance sector under the automatic route. While 100 per cent foreign investment will be allowed in insurance companies and intermediaries, including brokers, under the automatic route, the cap is 20 per cent for Life Insurance Corporation (LIC), said the Foreign Exchange Management (Non-debt Instruments) (Second Amendment) Rules, 2026. The Parliament had passed the Sabka Bima Sabki Raksha (amendment of insurance laws) Bill, 2025, in December, 2025, paving the way for hiking the FDI cap in the insurance sector to 100 per cent under the automatic route, from 74 per cent earlier. Subsequently, after the President's assent, the Bill became law. Thereafter in February, 2026, the Department for Promotion of Industry and Internal Trade (DPIIT) under the Commerce and Industry Ministry had notified 100 per cent FDI in the insurance sector.

Centre allows force majeure relief for govt contracts amid West Asia crisis

Measure allows deadline extensions of up to four months without penalties for firms hit by supply disruptions, subject to case-by-case approval and only if they were not in default before February 27

Expedite reforms instead of salvaging near-term growth: Finance ministry

Finance ministry's Monthly Economic Review urges India to prioritise fiscal stability and reforms over short-term growth amid risks from the West Asia crisis

FinMin asks PSBs to complete wage revision process in next 12 months

The government has asked public sector banks to initiate the process of negotiations for the 13th Bi-partite settlement in a time-bound manner and finalise it in the next 12 months. The wage revision for employees and officers of public sector banks would be due from November 1, 2027. Public sector banks (PSBs) and financial institutions, including insurance companies revise wages of their employees every five years. As part of the settlement, the Indian Banks' Association (IBA) is expected to engage in dialogues with the employees' unions/associations and arrive at a mutually agreeable wage settlement. As the timely conclusion of the settlements is essential for maintaining industrial harmony, the Department of Financial Services advised Public Sector Banks (PSBs) in a communication to their heads to initiate the necessary measures to commence negotiations for the impending wage revision. PSBs are advised to complete the negotiation process within a maximum period of 12 months, th

DGGI nabs mastermind of ₹1,825 crore GST refund fraud at IGI Airport

Chugh, who had been wanted in multiple economic offence cases, was apprehended by officials of the DGGI's Ahmedabad Zonal Unit on April 19

States advised, not directed, to promote pulses and millets: FinMin

Finance Ministry clarifies its letter urging crop diversification is advisory, not binding, amid Tamil Nadu criticism over incentives for paddy and MSP-linked bonuses

Diesel duty raised to ₹55.5/l, ATF to ₹42/l; petrol remains nil: Centre

As per the notification, export duty on diesel has been raised to ₹55.5 per litre from ₹21.5 per litre, while duty on ATF has been increased to ₹42 per litre from ₹29.5 per litre

Reform-linked capex loans to states tied to RoW for telco towers

In the budget for the year 2026-27 outlay for SASCI scheme was enhanced from Rs 1.44 trillion in the revised estimate for FY2026 to Rs 2 trillion

CII asks Finance Ministry for fiscal support amid West Asia crisis

Industry body proposes credit support, tax relief and policy steps to shield MSMEs, exporters and energy-intensive sectors from disruptions caused by the ongoing West Asia crisis

Insolvency law crucial in improving health of banking sector: FM Sitharaman in Lok Sabha

Finance and Corporate Affairs Minister Nirmala Sitharaman on Monday said in the Lok Sabha that the Insolvency and Bankruptcy Code (IBC) has been a main and very crucial factor in improving the health

Parl panel seeks 'golden share' safeguard for PSU stake dilution below 51%

Finance panel asks Centre to outline legal safeguards, including golden share, to retain strategic control in PSUs if government stake falls below 51 per cent

Finance ministry cuts MeitY allocation by 17% for FY27 amid underspending

Finance ministry cuts MeitY's FY27 allocation by 17% due to underspending in PLI, semiconductor and AI Mission schemes, with panel flagging concerns over fund utilisation

Create energy policy to shield economy from oil shock: Parl panel to FinMin

A parliamentary panel on Tuesday suggested that the Department of Economic Affairs should develop a strategic energy mitigation framework to protect the economy from oil shocks and ensure long-term stability. In addition, the Standing Committee on Finance, in its report, emphasised that the rapidly evolving global competition for critical minerals and rare earth elements, which are essential for semiconductors, renewable energy systems, electric mobility, defence technologies, and the development of alternative fuels, requires a coordinated national strategy. The panel, headed by senior BJP leader Bhartruhari Mahtab, has, therefore, recommended that the government accelerate efforts to secure diversified international supply chains for critical minerals, such as lithium, cobalt, and rare earth elements, while simultaneously strengthening domestic exploration, processing, and value-addition capabilities to support emerging sectors, including renewable energy, electric mobility, and ..

FinMin amends minimum public float rules for companies planning IPOs

The Finance Ministry has amended rules for minimum public offers floated by companies for getting listed on stock exchanges and linked it with post-issue capital. The Securities Contracts (Regulation) Amendment Rules, 2026, notified on March 13, states that companies with post-issue capital of more than Rs 1,600 crore and below Rs 5,000 crore will have to increase their public shareholding to at least 25 per cent within three years from the day of listing in the manner specified by the Securities and Exchange Board of India (Sebi). The rules further state that at least 2.5 per cent of each class of securities must be offered to the public at the time of listing, irrespective of the post-issue threshold. It also said that a company with post-issue capital of up to Rs 1,600 crore, at least 25 per cent of each class of equity shares or debentures convertible into equity shares issued by the company must be offered to the public. If the post-issue capital is more than Rs 1,600 crore, bu

Govt seeks LS nod for additional expenditure of ₹2.81 trillion in FY26

Finance Ministry seeks Parliament approval for Rs 2.01 trillion net additional FY26 spending through the second supplementary demand for grants, with allocations for subsidies and reserve funds