Business and Economy news - July 2017

         

• According to 2nd National Council of Applied Economic Research (NCAER) State Investment Potential Index (N-SIPI 2017) report - Gujarat retained top position in list of 21 states and UTs with most investment potential, followed by Delhi and Andhra Pradesh.

• According to Asian Development Bank, India will achieve GDP growth rate of 7.4 % in 2017-18 and 7.6 % in 2018-19.

• Banking Regulation (Amendment) Bill 2017 presented in Lok Sabha, seeking to amend Banking Regulation Act 1949 and replace Banking Regulation (Amendment) Ordinance 2017. It authorises RBI to -

• Direct banking companies to resolve the problem of stressed assets and Initiate insolvency resolution process on specific stressed assets.

• Issue other directions for resolution, appoint or approve authorities or committees to advise banking companies for stressed asset resolution. Recovery proceedings will be carried out under Insolvency and Bankruptcy Code 2016.

• Chhattisgarh government will merge all district cooperative central banks (DCCBs) of state into a single State Cooperative Bank, to serve farmers with better and efficient banking facilities.

• China based Asian Infrastructure Investment Bank (AIIB) approved USD 329 million loan to build access roads to 4,000 villages in Gujarat. 
• FINO Payments Bank commenced operations as a payments bank. FINO Payments Bank is 4th entity to start functioning as a Payments Bank in India, after Airtel, India Post and Paytm. FINO Payments Bank is 4th entity to start functioning as a Payments Bank in India, after Airtel, India Post and Paytm.
• Government approved Labour Code on Wages Bill which will ensure a minimum wage across all sectors by integrating existing labour related laws. The Labour Code on Wages Bill consolidates the Minimum Wages Act 1948, Payment of Bonus Act 1965, Payment of Wages Act 1936 and Equal Remuneration Act 1976.

·         Government approved selling government’s entire 51.11% stake in Hindustan Petroleum Corp Ltd to Oil and Natural Gas Corp.Government is 51% owner of HPCL and 68% owner of ONGC. HPCL's addition will make ONGC third-largest refiner in country after IOC and Reliance Industries.

• ICICI Bank will be selling personal loans of up to Rs 15 lakh through its ATMs.
• Infosys co-founder Nandan Nilekani along with venture capitalist Sanjeev Aggarwal has launched a $100 million venture fund called Fundamentum to back mid-stage startups that solve unique Indian problems in consumer technology space.
• RBI imposed penalty of Rs. 3 crore on Union Bank of India for non-compliance with directions on Know Your Customer (KYC) norms. 
• Punjab National Bank (PNB) will block all Maestro debit cards from 31st of July 2017 if card holders do not replace it with a more secure EMV chip based card by end of July.
• Reliance Industries Limited (RIL) for the first time crossed Rs 5 lakh crore in market capitalisation. RIL is second firm to cross Rs 5 lakh crore in market capitalisation and is also currently most valued company in India. Tata Consultancy Service (TCS) was first company to hit Rs 5 lakh crore in market capitalisation milestone in July 2014.
• Lok Sabha passed Companies (Amendment) Bill 2016 to amend Companies Act 2013, to strengthen corporate governance standards, initiate strict action against defaulting companies and help improve the ease of doing business in India.