Business & Economy
74 per cent FDI in
private banks soon
What is India News Service,
Saturday, 6 Decemb7er 2004, 100 hrs IST
Moving ahead with economic reforms,
the Government today announced that the industrialist, Ratan Tata, would head
the long-awaited Investment Commission. Also, 74 per cent foreign direct
investment would soon
be allowed in private sector banks.
Expressing the hope that the
three-member commission would attract the $150 billion needed for infrastructure
development over the next 15 years, the Finance Minister, P. Chidambaram named
reputed banker, Deepak Parekh and the former Unilever chief executive, Asoke
Ganguly as the other two members of the commission.
Addressing the India Economic
Summit organised by the World Economic Forum and the Confederation of Indian
Industry (CII), the Minister said that as part of the road map to opening the
banking sector, 74 per cent FDI would be allowed in private banks by the end of
the year. He listed the insurance and pension sectors as two other priority
areas. In the case of insurance, a discussion was going on in the Government and
a Bill to amend existing legislation would be introduced early next year. In the
budget, he had proposed raising the FDI ceiling in the insurance sector from 26
to 49 per cent.
In addition, he said the
pension fund regulator would be in place by the end of the year and the new
pension system would be open for subscribers.
Anomalies
in new Electricity Act: Some provisions of the Electricity Act, 2003 require
a relook as they are likely to pose serious problems for the successful
performance of the distribution segment and consequently the whole power sector.
Banks
at threshold of new growth era: Banks will be keen on a more profitable
redeployment of available resources, as there may be a significant depreciation
in the value of investments in government and approved securities.
Anil spurns Mukesh's settlement offer:
The Ambani brothers traded possible deals, but didn't reach a settlement.
Tata Tele rights issue to fund expansion:
Tata Sons may subscribe to the largest chunk of shares.
FMCG
majors diversify to stay afloat: The fast moving consumer goods (FMCG)
sector appears to be in the diversification mode. Whether it is DS Group's foray
into confectionery, Himalaya Drug Company's foray into baby care products or
Marico Industries into functional foods.
Sensex
to jump or slump: It's anybody's guess!: The stock market in the last two
weeks has been breaching resistances in the key indices and moving northwards on
higher liquidity.
Corporate tax rate may be clipped to 30%:
Some tax exemptions face the axe in Budget.
Sharma ready for the plunge:
First Global's focus is a lot more global now, says stock broker.
Business papers
Business Standard
Economic Times
Business Line
Financial Express
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