Browse by

Business Current Events

US-India Bonhomie and Trade all set to Reach New Heights with Obama's 3-Day Visit to India on Republic Day Occasion

US-India CEO Forum meeting is going to be held just a few hours from now on India’s Republic Day. This meeting will deal with multiple business and trade issues including roadblocks to investments in India, totalisation agreement, visas, Make in India campaign, etc. Indian PM Narendra Modi and US President Barack Obama will address the meeting jointly today. Yesterday India-US strategic partnership scaled new heights with NaMo and Obama announcing overcoming of hurdles on long pending nuclear deal. It is decided nuclear liability issue will be bourn by the Indian insurers as well as Indian government. Agreements were signed regarding joint production of specialized kits and military hardware.       

Penalty against e-retailers in Kerala

Kerala state department has issued a penalty of up to Rs 54 crore against e-retailers viz Flipkart, Jabong, Vector E-commerce for not paying sales tax in 2012-13 and 2013-14. Flipkart faced the harshest fine of Rs 47.15 crore whereas penalty against Jabong is Rs 3.89 crore, against Vector E-commerce it is Rs 2.23 crore and fine against Robemall Apparels is Rs 36 lakh. As the provision of cash on delivery (COD) mode was banned by Kerala's commercial taxes department, Jabong, Myntra, Flipkart and Snapdeal were not delivering to cities in Kerala. They resumed their services for a brief period. As per media report, a senior official stated that online retailers do not have showrooms so their websites will be regarded physical showrooms. All regional taxes will become applicable in case products from these websites are sold to local customers.

India US should communicate more - CII

According to industry chamber, CII India and US need to talk more to clear off any misunderstanding and to find out new areas of development. Though present circumstances indicate strong relationship between India-US but some important transitions in geostrategic arena need this relationship to enter into another level of understanding. There are many areas like defence co-production, manufacturing, higher education, digital infrastructure, sanitation and hygiene, joint research and development etc where US and India should cooperate. As per media reports, there is a growth of $32.51 billion in 2011 from $10.06 billion in 2005 in US service trade with India.

IMF Gian Maria Milesi-Ferretti briefs Media on India's Growth Projection

Deputy Director of IMF’s Research Department, Gian Maria Milesi-Ferretti, has told media during a press meet in Beijing that global forecast about India is more or less remains the same. He added that economic activities in India are still below expectation but the aspiring superpower in South Asia has retained its growth projections mainly due to the tumbling international crude prices. He reminded the press that India is still a net importer of petroleum.

Uber to restart Operation in Indian Capital after introducing better Safety Measures

The spokesperson of Uber cab services has revealed that the US based online cab-hailing company is all set to restart its operations in Indian capital after introducing new and upgraded passenger safety measures. Uber was banned by Delhi administration after one of its drivers raped a young finance professional working with a MNC in Delhi. It is learnt from company sources that they have now improved safety measures by introducing dedicated response team to reported incidents, in-app emergency button, and thorough background check of drivers.    

Indian Bourses Continue its Epic Run to Reach New Highs

Positive global cues, especially after the announcement of stimulus to the extent of $1.15 trillion by European Central Bank, have led to robust start of Indian bourses. While BSE Sensex opened with a jump of 400 points, NSE Nifty rose by 100 points during early trade today. Indian Finance Minister, Arun Jaitley, today regarded political opposition to ‘reform ordinances’ as 'obstructionism', thereby vouching for further reform agendas in his kitty and at the same time telling investors what they want to hear from Modi government. At 3.15 pm IST, BSE Sensex was trading at 29,287.35 (up by 281.53 points) and NSE Nifty was trading at 8,834.90 (up by 73.25 points).

Suzlon sells its German Arm at Rs. 7,200 crore to Offload Accumulated Debt

Suzlon Group, behemoth in wind turbine manufacturing, has signed agreement to sell off Senvion SE, its German arm, to Centerbridge Partners at EURO 1 Billion, equivalent to equity value of around Rs. 7,200 crore. As news trickled down to the market, stock price of Suzlon Energy Ltd. witnessed massive surge, to the extent of 7.9 per cent. The proceeds will help the debt ridden company to offload some of its accumulated debt.

RIL Dollar Bonds Oversubscribed by 4.5 times; Company Raises $1Billion

Reliance Industries Ltd. has issued statement today that by issuing dollar bonds the company has raised $1 billion. Per the statement, this raised fund will be utilised as capital expenditure. RIL’s 10-year bonds attracted bidders from New York, London, Singapore, and Hong Kong. Oversubscription of the issued dollar bonds, to the tune of 4.5 times, have been reported. RIL’s statement also says that most of the notes were distributed in the US (44 per cent), followed by Asia (31 per cent) and Europe (25 per cent).  

NSE Nifty and BSE Sensex touch New Highs

Indian bourses have reached new highs today. While BSE Sensex breached the 29,000 points psychological barrier, NSE Nifty touched new high of 8,754.65 points today. Robust fund inflows, encouraging 3rd quarter result, and positive cues from markets abroad were the two reasons why Indian bourses rallied today. At 2.32pm IST, NSE Nifty was trading at 8739.30 and BSE Sensex was trading at 28,936.95 points.

Mahindra and Mahindra and Tata Motors await Multi-Crore Defence Deal

Indian Army is all set to place order of 30,000 Sports Utility Vehicles, which will be bought over a period of 10 years, defence sources reveal. The total order will be of Rs. 3,000 crore. The initial order of 5,000 vehicles, amounting Rs. 500 crore, is expected to be placed in the coming weeks. Sources have revealed that the two SUVs that are meeting the price and technical requirement criteria are Mahindra Scorpio and Tata Safari Storme.

Mirach Capital Hopeful of Acquiring Landmark Hotel Assets of Sahara

Mirach Capital, an investment vehicle, is hopeful of resting landmark hotel assets of Sahara like that of Plaza in New York. Per California-based investor, Saransh Sharma, Sahara will not be able to pay-off over $1.5 billion money it is borrowing from Mirach Capital, which will lead to acquiring of the assets of same valuation by the investment firm. Sahara has borrowed the money to bail out its chief Subroto Roy from jail.


Rally at Indian Bourses Continue

After Indian bourses witnessed rally in the last 4 trading sessions, traders today booked profit that made BSE Sensex and NSE Nifty indices to come down after hitting record highs. During late morning trade (11.30am) Sensex came down from new high of 28,896 points to 28,870 and Nifty from 8,741.85 to 8,711. At 3.16pm IST, Sensex was trading at 28,891.06 and CNX Nifty at 8732.45.




4-Days Bank Union Strike Called Off after Assurance from Indian Banks' Association

After Indian Banks’ Association’s assurance of resolving the wage issue of the bank employees by February 2015’s first week, united platform of bank employees’ union called off the 4-day strike, earlier scheduled to start from January 21. United Forum of Bank Unions’ convener, M V Murali, issued statement that they will announce their next plan of going to a 4 or 5 days strike later in February if no satisfactory outcome is there by first week of February.

Signing of Business Treaty on the Cards during US President's Upcoming India Visit

Diplomatic sources reveal that the US President Barack Obama, who is scheduled to visit India on January 26, will be pressing for signing Bilateral Investment Promotion and Protection Agreement. Ministry sources have said that bilateral investment treaty will top the chart during negotiations between India and US. Sources point out that the US is putting pressure on NDA government to sign the treaty during Obama’s upcoming India visit. It is also being learnt that Indian Prime Minister Narendra Modi and the US President will address a closed door meeting of CEOs belonging to both nations.

TCS CEO and MD Speaks Out about Layoff Fiasco

CEO and MD of Tata Consultancy Services, the largest IT Company of India, N Chandrasekaran announced that there are no plans of personnel restructuring as company is in growth mode. He also said that during the current fiscal TCS has planned to hire fifty five thousand people and till December-end they had already hired 52,700 people. Chandrasekaran also assured to look into why a ruckus started in the first place regarding rumor of large scale layoff when ‘involuntary attrition’ of low performing employees is a bi-yearly process. He also regarded social media outburst of some employees as a learning experience for him.

Air India on a Cost Curtailment Spree

After the Union government asked the national airliner to improve his financial position, Air India is all set to curtail its cost to the tune of Rs 14 billion or Rs 1,400 crore, equivalent to $227 million, accounting for 6 per cent of the total outlays. Management of the loss making state-owned airline has issued statement that they will discontinue unprofitable flights, stop contractual hiring, and identify surplus workers for bringing down variable cost to 1/10th of the current total of Rs 140 billion. Staff hospitality and travel restrictions are also introduced by the national airliner to curtail cost.  

Wipro Stock Price Jumps after Reporting Commendable Performance in Q3 Profit

Wipro’s third quarter net profit surpassed market expectation, leading to massive spurt in its stock price. While market analysts expected the company to garner net profit of Rs 2,157 crore during Q3 of 2014-15 fiscal, the actual net profit during the quarter that ended on December 31 was Rs 2,192 crore. Revenue figure has also exceeded the expectation of Rs 11,830 crore, posting revenue figure of Rs 11,992 crore. Market reacted sharply and the stock opened at Rs 591.10 over the previous day close of Rs 555.05 at NSE. At 1.42 pm IST, Wipro was trading at Rs 589.85 and the high was Rs 598.50.

RIL all set to give Major Push to Retail Outlets yet again

Reliance Industries, led by Mukesh Ambani, is all set to reopen 1400 petrol pumps according to a renewed plan of reaching maximum number of customers this year. Market analysts say that this new move is intended to replicate its 2006 success and consequently increase its market share in petrol to 7.2 per cent and in high speed diesel segment to 14.3 per cent. 

Finance Minister Arun Jaitely against increasing income tax rate for higher revenue

Finance Minister Arun Jaitley on Saturday said that the NDA government is not in the favor of raising revenue by imposing higher taxes. On the other hand government wants money in the hands of consumer to spend which will increase the production and it will help the country. This spending is required to revive the economy. Jaitley is going to present his first full fledged budget in Lok Sabha next month. He said that budgetary process will be transparent.

Petrol and diesel price reduce by Rs 2 per litre

Petrol and diesel price today was cut by Rs 2.42 per litre and Rs 2.25 a litre respectively. The reduction was expected to be double but government had increased the excise duty on both these products by Rs 2 per litre. Since August it is the ninth reduction in Petrol price and fifth in diesel since October. Cost of Petrol in Delhi after reduction will be Rs 58.91 a litre (presently Rs 61.33 a litre) and that of diesel will be Rs 48.26 a litre (presently Rs Rs 50.51 per litre).