Skip to main content

Boost for New Employees, Cabinet Fixes Subsidy for P&K Fertilisers

By
Boost for New Employees, Cabinet Fixes Subsidy for P&K Fertilisers
To create more formal sector jobs and lift employment generation, the cabinet committee on economic affairs (CCEA) has decided to meet the full provident fund contribution employer makes for the first three years for new hires.
The CCEA also fixed the nutrient based subsidy (NBS) rates for phosphatic and potassic (P&K) fertiliser’s for the year 2018-19 and continuation of NBS and city compost scheme till 2019-20 and approved removal of prohibition on export of all varieties of edible oils except mustard oil.
The cabinet approved Rs 4,500 crore spend in the North-East for three years up to March, 2020, and cleared amendments to the National Medical Commission (NMC) Bill. The amendments include stringent punishment for quackery, removal of a bridge course that would have allowed non-allopathic doctors to practice modern medicine and regulation of fees for 50% seats at deemed universities.
EMPLOYMENT GENERATION
The CCEA approved modification to the Pradhan Mantri Rojgar Protsahan Yojana (PMRPY), enhancing the benefit for employers hiring new hands. The current scheme in operation since August, 2016 pays 8.33% contribution of Employers to the Employees’ Pension Scheme (EPS) in respect of new employees that have joined on April 1, 2016.
The government will now meet the entire 12% contribution employer makes towards retirement savings for the first three years from the date of registration of the new employee for all the sectors including existing beneficiaries for their remaining period of three years.
FERTILISER SUBSIDY
The expected expenditure for release of subsidy on P&K Fertilisers during 2018-19 will be Rs 23,007 crore. Continuing the NBS and city compost scheme till 2019-20 will entail an expenditure of Rs 61,972 crore.
STUDENT LOANS
The CCEA also extended the Credit Guarantee Fund for Education Loans Scheme and continuation and modification of Central Sector Interest Subsidy Scheme. The total outlay for the scheme is Rs 6,600 crore for period from 2017-18 to 2019-20 that will benefit 10 lakh students during this period. The ceiling on loans has been fixed at Rs 7.5 lakh in this period and the moratorium would be course plus one year.
EDIBLE OIL EXPORTS
CCEA allowed bulk exports of all edible oils except mustard. Mustard oil will continue to be exported only in consumer packs up to 5 kgs and with a minimum export price of Rs 900 per tonne. Allowing export of edible oils may also result in utilisation of idle capacity in India’s edible oils industry.

The Economic Times, New Delhi, 29th March 2018

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