Skip to main content

Paper soon to trim corp tax relief

By
A discussion paper on the first set of tax exemptions to be phased out will be in public domain soon, finance minister Arun Jaitley said on Sunday.
“As I said in my last budget speech, the Union government will bring down the corporate tax level from 30% to 25% gradually. A discussion paper on this will be in the public domain shortly,” Jaitley said at a gathering organised by the Indian Chamber of Commerce on Sunday.
Earlier in the day, addressing the inaugural function of the newly-launched Bandhan Bank, Jaitley pitched for financial patronisation of small and medium enterprises (SMEs).
Bandhan Bank began operations on Sunday, with 501 branches and 14.3 million accounts across India.
“SMEs generate maximum employment, besides contributing the least towards bad loans or non-performing assets,” Jaitley said. “That is why the Union government has opened Mudra Agency, which will soon become Mudra Bank, to fund SMEs, which often do not have access to institutional financing,” he added.
Bandhan Bank founder, MD and CEO Chandra Sekhar Ghosh said the bank will give priority to SMEs over big-ticket corporate loans. “Big-ticket corporate loans will not be the priority of Bandhan Bank initially. Rather, we will focus on smaller loans in SMEs,” he said.
Besides, Jaitley also said it was possible to achieve 8 to 10% economic growth. “I do believe it is (8% and above growth) achievable... if we take right steps in right direction and hopefully we don’t have too many adverse global trend. It could be reasonably achievable. In order to achieve it is extremely important that we open ourselves for investments.”
Hindustan Times, New Delhi, 24th August 2015

Comments

Post a Comment

Popular posts from this blog

RBI deputy governor cautions fintech platform lenders on privacy concerns during loan recovery

By
  India's digital lending infrastructure has made the loan sanctioning system online. Yet, loan recovery still needs a “feet on the street” approach, Swaminathan J, deputy governor of the Reserve Bank of India, said at a media event on Tuesday, September 2, according to news agency ANI.According to the ANI report, the deputy governor flagged that fintech operators in the digital lending segment are giving out loans to customers with poor credit profiles and later using aggressive recovery tactics.“While loan sanctioning and disbursement have become increasingly digital, effective collection and recovery still require a 'feet on the street' and empathetic approach. Many fintech platforms operate on a business model that involves extending small-value loans to customers often with poor credit profiles,” Swaminathan J said.   Fintech platforms' business models The central bank deputy governor highlighted that many fintech platforms' business models involve providing sm
Post a Comment
Read more

Credit card spending growth declines on RBI gaze, stress build-up

By
  Credit card spends have further slowed down to 16.6 per cent in the current financial year (FY25), following the Reserve Bank of India’s tightening of unsecured lending norms and rising delinquencies, and increased stress in the portfolio.Typically, during the festival season (September–December), credit card spends peak as several credit card-issuing banks offer discounts and cashbacks on e-commerce and other platforms. This is a reversal of trend in the past three financial years stretching to FY21 due to RBI’s restrictions.In the previous financial year (FY24), credit card spends rose by 27.8 per cent, but were low compared to FY23 which surged by 47.5 per cent. In FY22, the spending increased 54.1 per cent, according to data compiled by Macquarie Research.ICICI Bank recorded 4.4 per cent gross credit losses in its FY24 credit card portfolio as against 3.2 per cent year-on-year. SBI Cards’ credit losses in the segment stood at 7.4 per cent in FY24 and 6.2 per cent in FY23, the rep
Post a Comment
Read more

India can't rely on wealthy to drive growth: Ex-RBI Dy Guv Viral Acharya

By
  India can’t rely on wealthy individuals to drive growth and expect the overall economy to improve, Viral Acharya, former deputy governor of the Reserve Bank of India (RBI) said on Monday.Acharya, who is the C V Starr Professor of Economics in the Department of Finance at New York University’s Stern School of Business (NYU-Stern), said after the Covid-19 pandemic, rural consumption and investments have weakened.We can’t be pumping our growth through the rich and expect that the economy as a whole will do better,” he said while speaking at an event organised by Elara Capital here.f there has to be a trickle-down, it should have actually happened by now,” Acharya said, adding that when the rich keep getting wealthier and wealthier, they have a savings problem.   “The bank account keeps getting bigger, hence they look for financial assets to invest in. India is closed, so our money can't go outside India that easily. So, it has to chase the limited financial assets in the country and
Post a Comment
Read more