Highlights | Almost 90% of outstanding GST dues cleared, says FM Nirmala Sitharaman

Finance Minister Nirmala Sitharaman, today, met with the Secretaries and Financial Advisors of key selected Ministries, on Friday, to review total CAPEX in 2019-20 till September, and plan for future CAPEX in the current financial year. She met the select private sector banks, Non-Banking Financial Companies (NBFCs) and Housing finance companies (HFCs) in New Delhi, on Thursday.

Intention to ensure govt does not sit on due payments: FM

"At this stage, my intention is to make sure that the government does not sit on payments which are due, govt does not sit on CAPEX (capital expenditure) which it had planned," FM said.

Called for ministries to provide their CAPEX plans for the next four quarters: FM

FM said, "I have called for ministries to provide their CAPEX plans for the next four quarters. The details are expected to come within a week."

She further said, that almost to 90 per cent of the outstanding GST dues hadbeen clearedas of August 23, whenthe GST refunds were first mentioned by her.

Total capex spend at 42 per cent: Expenditure Secy

The expenditure secretary said that the total capex spend at 42 per cent till August-end.

FM on next meeting

Finance Minister during the press meet: Tomorrow, we'll have a separate meeting with different agencies of public sector undertaking and other agencies which come under different ministries.

FM's meeting to the plan for future CAPEX in current FY.

Public debt accounted for 89.4 per cent of total outstanding liabilities

Earlier, in a report, the Finance minister said that thetotal liabilities of the government increased to Rs 88.18 lakh crore at end-June 2019 from Rs 84.68 lakh crore at end-March 2019, according to the latest data on public debt.

Public debt accounted for 89.4 per cent of total outstanding liabilities at end-June 2019, the quarterly report on public debt management released on Friday, said.

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Finance Minister Nirmala Sitharaman met with the private sector lenders on Thursday. In the press meet she held post the meet, she spoke on the affordable housing scheme loans, service sector contribution, PMC bank crisis, and demand for loans from MFIs.
Most banks to follow external benchmark based lending from October 1, Uday Kotak, executive vice-chairman and managing director of Kotak Mahindra Bank, told after FM's meeting with private sector bankers.
She hoped that with the arrival of festive season, things in many sectors may look up even with stress in one or two of them. She hoped that the economy will look up in the coming half of the year.
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The coming half year, things will have to lookup: FM

"Message I get from this meeting today is that consumption is happening. Demand will get back and motivate our economy to move at a faster rate. The coming half year, things will have to lookup and pep up every other sector, even if there are 1 or 2 sectors in which there may be some stress," says the Finanace Minister.

RBI is handling PMC Bank crisis

FM Sitharaman on PMC Bank crisis: At this stage, RBI is handling it. Let there a comprehensive picture emerge, post that the govt will have to see what best can be done so that there is some assurance given to people who are affected.

(ANI)

Private investment will respond with reduction in corporate tax: Uday Kotak

Private investment will respond with reduction in corporate tax. Banks will be willing to underwrite such investments, saysUday Kotak.

Most banks to follow external benchmark: Uday Kotak

Most banks to follow external benchmark based lending from Oct 1, says Uday Kotak,executive vice chairman and managing director of Kotak Mahindra Bank, after FM's meeting with private sectort bankers.

Liquidity problem in wholesale, not retail

The Finance Minister Nirmala Sitharaman said, "If there was a problem of liquidity, it was in the wholesale financing, and not in the retail."

Slump in commercial vehicle sales is cyclical: FM at press meet

Slump in commercial vehicle sales is cyclical; sentiments driving lower passenger vehicle sales, FM quotes private bankers as telling her.

(PTI)

Service sector showing very high appetite for credit: Fin Min

Finance Minister said that the service sector's contribution has been more than more than 50 per cent.

"The service sector is showing very high appetite for credit. There is immense possibility to reach out to them provided of course there are some simpler tweaking that we can do using their salaries and cash they earn also as a part can be used for their credit assessment," she said.

"On the whole it was very tonic-like meeting, where I heard a lot of positive things. Not one voice said there was a concern, shortfall of demand. None of them voiced liquidity concerns," she added.

PSBs will join outreach programme in 400 districts: FM

Private sector banks will join outreach programme in 400 districts for potential lending: Finance Secretary after FM meeting with bankers.

Demand from bankers to raise limit to Rs 50 lakh from current Rs 45 lakh: FM

"Loans for affordable housing scheme taken off well," said the FM

"Demand from bankers to raise limit to Rs 50 lakh from current Rs 45 lakh," she said.

Decided to join the outreach program and step up their efforts: Finance Secy

Finance Secretary Rajeev Kumar after meeting private sector banks and financial institutions, earlier today: Festival season is coming. Therefore, we have all decided to join the outreach program and step up their efforts in various districts.

(ANI)

Still demand for MFIs and micro-finance units

"Many of the MFIs and micro-finance units which have come here are in deep country, they said that in those areas there is still demand and they are extending loans. All of them clearly voiced a positive growth which is a good encouraging story," said Nirmala Sitharaman.

Liquidity not a problem for anybody: FinMin

Finance Minister Nirmala Sitharaman in press meet:First round of bank outreach programme in 250 districts on Oct 3 to 7.

I have not heard liquidity as a problem from anybody here today.

Nirmala Sitharaman to meet private banks at 7 pm

Finance Minister Nirmala Sitharaman to meet select private sector banks, NBFCs and HFCs in New Delhi.

Private sector banks such as HDFC Bank, ICICI Bank, Axis Bank, Kotak Mahindra Bank are expected to attend the meet alongside some select HFCs and NBFCs, according to reports.
Financial issues such as liquidity, rate cut and credit disbursal are reported to be a part of the talks.

Nirmala Sitharaman's September 14 press meet

At a press conference, on September 14, Finance Minister Nirmala Sitharaman said that inflation wasunder control and there wasa clear sign of revival of industrial production.

She had proposed incentives for housing finance, exports, free trade agreement concessions and many more.

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‘Make-in-India’ initiative

Further in order to promote the ‘Make-in-India’ initiative and address the slowing demand in the manufacturing sector, the tax rate for new domestic manufacturing companies incorporated on or after October 1, 2019, not availing any exemption or incentives has been reduced to as low as 15 per cent, with no MAT for them as well.

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Corporate tax cut: GST Council meet on September 20

Union Finance Minister Nirmala Sitharaman announced, on September 20, a slash effective corporate tax to 25.17 per cent inclusive of all cess and surcharges for domestic companies.

Sitharamanproposed to slash corporate tax for domestic companies and new local manufacturing companies through an ordinance at the GST Council Meet on Friday.

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Indian economy is expected to recover, thanks to RBI

The Indian economy is expected to start its recovery from later part of this fiscal thanks to the initiatives taken by the Reserve Bank for policy rate transmission and steps by the government to boost growth, according toD&B Economy Observer report.

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PMC's Rs 2,500 crore loan to HDIL

Punjab & Maharashtra Cooperative (PMC) Bank's Rs 2,500 crore exposure to the bankrupt real estate firm Housing Development and Infrastructure Limited (HDIL) seems to be one of the biggest reasons behind RBI's move to put a slew of restrictions on the, according to a reports.

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PMC's Rs 2,500 crore loan to HDIL

According to an RBI directive, Punjab & Maharashtra Cooperative (PMC) Bank account holders won't be allowed to withdraw amounts exceeding ₹1,000 a day for the next six months, starting from September 24.

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The PMC Bank has barred from granting, renewing and loans and advances, make any investments, incur any liability including borrowal of funds, or accept fresh deposits, etc, without the prior written approval from RBI, according to a circular issued by RBI executive director Rabi N Mishra.

RBI imposed restrictions on the bank under Sub-section (1) of Section 35A of the Banking Regulation Act, 1949 read with Section 56 of the said Act. However, RBI has clarified that the restrictions are not to be "construed as a cancellation of banking license".