DIPP Notified 100% FDI in more Financial Services
- The Commerce and Industry Ministry notified 100% FDI in ‘other financial services’ carried out by NBFCs on October 26, 2016.
- The government has liberalised its FDI policy in Other Financial Services and Non-Banking Finance Companies (NBFCs).
- Other financial services will include activities which are regulated by any financial sector regulator—RBI, SEBI, IRDA, Pension Fund Regulatory and Development Authority, National Housing Bank at any other financial sector regulator as may be notified by the government in this regard.
- Currently, 100% FDI through automatic route is permitted in 18 NBFC activities including merchant banking, under writing, portfolio management services, financial consultancy and I stock broking.
India Improved Rank in World Bank’s Ease of Doing Business Index
- After pinning its hopes on a significant improvement in the World Bank’s ease of doing business index, India has managed to move up by only a single rank in the latest Doing Business Report 2017 by the bank on October 25, 2016.
- The country remains at the 130th position globally. This is the same as last year, but qualifies for a single upward movement in rank as India’s position in 2016 has been revised to 131 by the World Bank.
- The World Bank ranks countries on 10 parameters starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting minority shareholders, paying taxes, enforcing contracts, trading across borders and resolving insolvency.
- New Zealand bagged the top spot in the rankings followed by Singapore, Denmark, Hong Kong and Korea.
FinMin Announced Fresh Tranche of Gold Bonds
- The Finance Ministry announced the sixth tranche of sovereign gold bonds. Applications for the bonds will be accepted from October 24 to November 2, 2016.
- Issue price of the gold bonds will be Rs 50 per gram less than the nominal value. Other features of the bonds remain the same. They will be be sold through banks, Stock Holding Corporation of India, designated post offices and stock exchanges.
- The tenor of the bond will be for a period of eight years with exit option from the fifth year to be exercised on the interest payment dates. Minimum investment of one gram will be allowed while the maximum will be 500 gram per person per fiscal year.
