Plan and Policy

Plan & Policy

Savings rates face scissors

After the State Bank of India (SBI) decided to tinker with interest rates on savings deposits, Punjab National Bank, India’s second-biggest state-run lender, Bank of India, HDFC Bank and others are set to realign their rates owing to high share of saving deposits in the interest-earning assets.

2.1m Indians sought H-1B visa in 11 yrs

Over 2.1 million Indian technology professionals have applied for H-1B work visas in the last 11 years, an official report has said. The report of the US citizenship and immigration services (USCIS) has also refuted the impression that those who applied for the visa were not highly qualified.

MPC uses words that hint at a cut

Come August 2, the six-member Monetary Policy Committee (MPC) will announce its verdict. Though in the most recent policy the members of the six-member Monetary Policy Committee (MPC) have accepted that inflation is indeed coming down, they have chosen to adopt a wait and watch stance and there are still some lingering concerns about core inflation. However, the mention of words like inflationary expectations, upside risks to inflation, firming of crude prices has come down significantly which is a good thing.

SBI cuts savings rate by 0.5%; 90% customers to be impacted

The country’s largest lender State Bank of India (SBI) on Monday cut savings bank account interest rates by 50 basis points on accounts holding less than Rs one crore to 3.5 per cent per annum from 4 per cent per annum. The new structure is effective from July 31, the bank said.

However, customers with savings bank account balance of Rs one crore and above would continue to earn interest at 4 per cent per annum.

According to Rajnish Kumar, MD, national banking group, SBI, 90 per cent of the total savings accounts held by the bank have a balance of below Rs one crore.

File ITR by July 31, no extension proposed: I-T dept

The last date for filing of Income Tax Returns (ITRs) for the financial year 2016-17 will not be extended beyond tomorrow's deadline, a top official today said.

"The last date for filing of ITRs remains July 31. There are no plans to extend this deadline. The department has already received over 2 crore returns filed electronically.

The department requests taxpayers to file their return in time," the official said.

Insolvency & Bankruptcy Code: Pragmatic than just being regimental

On an average bad loan for public sector banks (PSBs) currently is about 75% of their net worth and the situation is even more alarming for those Banks where this amount has exceeded their net worth. Banks’ exposure to large corporates and infrastructure sector has been most affected. In this segment, bad loans could be as much as 35-40% and a large portion this accounts for the toxic exposure. The Indian banking industry has a large amount of debt outstanding appearing as non-performing loans.

Gold bond investment cap raised

In an attempt to make sovereign gold bonds (SGBs) more attractive to buyers, the Union cabinet on Wednesday raised the annual investment limit to 4 kg per individual from 500 gm and also relaxed other norms.

The ceiling will be cou­nted on the financial year ba­sis and will include gold bonds bought during tr­a­di­ng in the secondary mark­et, said an official statement after the cabinet mee­­t­ing, chaired by prime mi­n­i­ster Narendra Modi.

Salaries in BFSI up 40% in 2016

After remaining stagnant for 2 years, salaries in the ba­nking, financial services and insurance (BFSI) sector we­nt up 40 per cent in 2016 as the drive towards digitisati­on, emergence of small fina­nce banks and FDI in insu­rance opened up the sector.

In 2016, BFSI was the highest paid sector with a median gross hourly wage of Rs 433. In 2014 and 2015, the median gross hourly wa­ge was stagnant at Rs 307.9, finds a study.