News digest: Exports rise 30%, Adani to build highways, and more

Exports jump 30%, trade deficit high at $13.8 bn

The GST Council's efforts to resolve exporters' woes on refunds seem to have started yielding results. Exports grew 30.55 per cent in November, a month after it contracted 1.1 per cent, also due to the low base effect and rising petroleum prices. In fact, petroleum products, along with engineering goods, gems and jewellery, and chemicals, drove nearly 80 per cent of the rise in merchandise exports. Read more


Govt okays sops for leather sector, waives fee for small digital payments

The Cabinet on Friday cleared a Rs 2,600-crore proposal to boost job creation in the leather industry, lowered the merchant discount rate (MDR) on transactions up to Rs 2,000 through debit cards, BHIM UPI or Aadhaar-enabled payment systems to promote digital transactions, and approved a series of Bills, including one amending the Specific Relief Act to smoothen enforcement of contracts. Read more

Growth slowdown bottoming out, says RBI governor

While expectations on price rise remain stable for the moment, “considerable caution and vigilance is warranted on the inflation front” but the slowing in growth could be over, said Reserve Bank of India (RBI) Governor Urjit Patel. Read more

Adani group to foray into highway construction sector

The Adani group, which has a presence in the power, coal and maritime sectors, would soon foray into the highway construction sector. Read more
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Nitin Gadkari in charge as govt eyes Clean Ganga

Faced with the herculean task of fulfilling the Bharatiya Janata Party-led (BJP-led) government's promise of cleaning the Ganga, the Centre needed nothing short of a silver bullet to meet the deadline for the project, which some allege, is being implemented at a snail's pace.

This sluggish implementation is ostensible reason behind Transport Minister Gadkari, considered one of the top- performing ministers, getting the additional charge of water resources ministry, sources say.

The ministry is tasked with the responsibility of executing the project dear to Prime Minister Narendra Modi.

Gadkari replaces Uma Bharti, who has now been given the charge of Drinking Water and Sanitation, in the rejigged Modi Cabinet.

The Centre has set a target of 2018 for cleaning the mighty river, which touches lives of millions of Indians in one way or the other.

According to sources in the water resources ministry, a total of 160 projects, worth around Rs 12,500 crore, have been approved under the Namami Gange Mission -- a Rs 20,000-crore project for cleaning the river.
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With Rs 6 lakh cr NPAs, PSBs may be asked to auction stressed assets

BREAKING NEWS - State-owned banks reeling under the burden of stressed assets may be asked to put defaulter companies' assets on the block.

On Wednesday, the Cabinet approved an ordinance to empower the central bank by amending the Banking Regulation law to give it more teeth and set up oversight committees to intervene on behalf of banks while deciding on non-performing assets (NPAs).

There will also be fresh guidelines for the public auction of assets by public sector banks.

"The large, cash-rich public sector undertaking will be encouraged to buy the auctioned assets in their sector by the state-owned banks," said an official.

The amendment of section 35A of the Banking Regulation Act, 1949, will give the Reserve Bank of India (RBI) the right to issue directives in the interest of banks.

President Pranab Mukherjee is expected to give his assent to the ordinance shortly.

The stressed banks may also be encouraged to take a haircut in case of genuine business failure.

Currently, public sector banks (PSBs) are saddled with NPAs or bad loans to the tune of a staggering Rs 6 lakh crore.

Finance Minister Arun Jaitley on Wednesday said that the Cabinet has taken some important decisions with respect to the banking sector which have been referred to the President for assent.
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