Urjit Patel flags inflation concerns, rate hike on horizon

Reserve Bank governor Urjit Patel (in pic)  concerns over rising global oil prices and uncertainties on fiscal and external fronts during the Monetary Policy Committee (MPC) in the run up to the fifth bi-monthly monetary policy on December 6. The MPC had decided on keeping the key policy rates unchanged.

Lawyers can send demand notice on behalf of operational creditors: SC

In a recent ruling, the Supreme Court has done away with the mandatory requirement for operational creditors to provide their bank’s certificate in order to file an application at the National Company Law Tribunal (NCLT) against corporate debtors.

In the same judgment, the apex court has also allowed lawyers to send a demand notice to a debtor company on behalf of the operational creditors.

According to law experts, the two precedents in one judgment would further strengthen the jurisprudence surrounding the Insolvency and Bankruptcy Code (IBC).

HDFC to raise Rs 13K cr; wants to invest Rs 8,500 cr in Bank

Mortgage lender Housing Development Finance Corporation (HDFC) on Tuesday said that it has received a board approval to raise Rs 13,000 crore through private placement or via qualified institutional placement (QIP).

The capital raised would be used for buying shares of HDFC Bank to maintain its existing stake in the bank, entering newer segments like health insurance, investing in distressed real estate assets and other growth opportunities, including buying other housing finance companies. The fund raising is expected to be completed within the next one year.

Mutual funds poised to post a record year on strong inflows

Equity mutual funds witnessed a surge in inflows this year, especially from April, as many households that deposited cash in banks post-demonetisation had started deploying them in more rewarding asset classes.

The industry is on course to report a record year in inflows this time.

Monthly data from the Association of Mutual Funds in India (Amfi) shows inflows of Rs 1,37,676 crore into equity funds--including equity-linked savings schemes—during January-November 2017 against Rs 59,006 crore received for the whole of 2016-17.

Look, who’s channelling Inner Arjuna

He has almost completed reading the Bhagvat Gita and plans to go to Rishikesh next time. For Hollywood superstar Will Smith, reading the holy book while in India is like channelling his “inner Arjuna.” The actor, who was on his fourth trip to India, said he loves the country and its history.

Rupee at 3-month high, may appreciate to 62-level in ’18

The rupee breached the 64-level vis-à-vis dollar on Tuesday before ending the day’s trade at a fresh three-month high of 64.03. Analysts see the domestic currency strengthening to 62-level in 2018.

The rupee rose to 63.94 vis-à-vis dollar in the afternoon session after opening flat at 64.22 in tune with the equity market, which hit new peak taking cues from BJP’s victory in Gujarat and Himachal assembly elections. The domestic currency was also aided by reports that mortgage lender HDFC is planning to raise Rs 13,000 crore.

Microsoft to focus on govt and small business segments in India

American tech major Microsoft will be focusing more on government and small business segments to grow its India revenues, a top official has said.

“The SMB (Small and Medium Businesses) segment and the segments around digital India (and) government would be clear areas of focus for us in addition to all the work around enterprise and consumer that we have been doing,” Microsoft India president Anant Maheshwari told PTI.

Banks borrow nearly Rs 80K cr from repo windows on tax outflows

Banks and financial institutions borrowed nearly Rs 80,000 crore from the Reserve Bank of India’s various repo windows, its first time in over a year, on tax-related outflows, money market dealers said.

“We expect liquidity conditions to tighten further amidst spillover from advance tax outflows and GST tax collections expected this week, as inflows from coupons, net T-bill redemption and debt buyback will only partly offset the outflows,” Kotak Mahindra Bank said in a report, on Monday.

Rupee may gain this week

The rupee may gain against the dollar in the week to December 22 on overseas fund inflows into local stocks after the Bhartiya Janata Party won the state elections in Gujarat and Himachal Pradesh, while thin volumes ahead of the festive season may cap the gains, dealers said.

“Investors are expecting the new BJP government in Gujarat to give special focus to the high-employment export sector, influencing more inflows into the market and, thus, appreciating the rupee,” said a dealer with a private sector bank.