Plan and Policy

Plan & Policy

No intent to control sugar sector; just helping mills clear cane arrears: Govt

The Centre does not want to regulate the sugar sector and has fixed the minimum selling price for the sweetener, as also stock limits on mills, only in the interest of farmers, consumers as well as small units, a senior food ministry official said on Monday.

The official also ruled out any increase in the minim­um selling price of sugar and wondered as to why consumers will pay more in a glut market.

Panel set up to look into jobs data calculation

The government has set up a technical committee un­der former chief statistician TCA Anant to bring in more transparency in jobs data calculation and presentation, the labour ministry said on Monday.

“It (the ministry) would like to present a proper perspective on these issues so that the end users and public at large become aware of the processes involved in generation of these estimates,” the release said.

Rapid rise in demand led to feeling of coal shortages: Goyal

Union minister Piyush Goyal on Monday said rapid rise in coal demand has led to a “feeling” that there are shortages, amid concerns about inadequate supply of the dry fuel.

Goyal, who holds the portfolios of coal and railways, also asserted that both ministries are working together to ensure that no power plant is shut on account of fuel shortages.

Last month, the Delhi government had urged the Centre to direct the railways to provide rakes for transporting coal to power plants in Delhi-NCR, which is facing “alarming level” of coal shortage.

FinMin: No more banks likely to come under RBI corrective action

More banks are unlikely to be brought under the RBI’s prompt corrective action (PCA) framework as the situation pertaining to bad loans is expected to improve in the next couple of quarters, according to a finance ministry official.

Currently, 11 banks including Bank of India, IDBI Bank, Dena Bank and Allahabad Bank are under the PCA framework.

As the debt resolution process under bankruptcy law is gaining strength, it is bound to bring down the non-performing assets (NPAs) or bad loans of the public sector banks (PSBs) in the next few quarters, the official said.

RBI governor to face House panel today

RBI governor Urjit Patel is likely to face tough questions from a parliamentary panel on Tuesday on a range of issues including the amount of cash returned post demonetisation, the PNB fraud and the mounting bad loans of banks.

Patel is scheduled to appear before the Parliament’s standing committee on finance headed by Congress leader Veerappa Moily. It has members from various political parties, including former prime minister Manmohan Singh.

Rs 500cr credit growth fund likely in July

The government is likely to launch a Rs 500 crore credit enhancement fund next month to facilitate infrastructure investments by insurance and pension funds, a senior finance ministry official said on Monday. The fund was first announced in the financial budget for financial year 2016-17.

New RBI norms for credit discipline among big borrowers

The Reserve Bank of India (RBI) has proposed stipulating a minimum level of ‘loan component’ in fund-based working capital loans for large borrowers. Under the existing cash credit system, bankers enhance the credit limits for companies annually without looking at the ability of borrowers to repay the loan amount. The fresh  move is likely to promote greater credit discipline among large borrowers enjoying working capital facilities.

Nirav Modi flees to UK, claiming political asylum

Nirav Modi, the billionaire jeweler at the heart of a more than $2 billion fraud case in India, has fled to the UK, where he is claiming political asylum, the Financial Times reported on Sunday, citing Indian and British officials.

Britain's Home Office said it does not provide information on individual cases. Nirav Modi could not be contacted by Reuters for comment on the FT report.

Nirav Modi is in London trying to claim asylum from what he calls "political persecution", the FT reported.

Left suggests crowd-funding to rescue A-I

As Air India stares at a looming financial crisis af­ter the initial attempts to auction it failed last month, suggestions are trickling to revive the carrier without se­lling it off to a private company.

The latest suggestion has come from senior Communist Party of India (CPI) leader and party national secretary Atul Kumar Anjan who wants the Narendra Modi government to crowd-fund Rs 5,000 crore from high net worth individuals in the country to resurrect the national carrier.