General Affairs
'Every Indian Special, Every Indian A VIP,' Says PM Modi On Lal Batti Ban
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Every Indian is a VIP and the culture of beacon should have gone long ago, Prime Minister Narendra Modi said tonight, hours after deciding to bar their use by the VVIPs, including the President, the Prime Minister and the Chief Ministers.
"..These symbols are out of touch with the spirit of new India," PM Modi said.
He was responding to a tweet by a follower, who described the decision to prohibit all vehicles, except emergency vehicles like ambulances and fire brigade, from using the beacon lights from May 1, as "historic".
Vehicles with beacon lights, which are seen as a symbol of VIP culture, "have no place in a democratic country", the government said after the decision was taken at a Cabinet meeting.
"It should have gone long ago. Glad that today a strong beginning has been made," Prime Minister said in response to another tweet.
"Every Indian is special. Every Indian is a VIP," he added.
Finance Minister Arun Jaitley, while briefing the media about the Cabinet decisions, said the matter was under discussion for some time and "the Prime Minister took the decision and informed the Cabinet."
He said amendments will be made soon in the Central Motor Vehicles Rules to give effect to the decision.
"After May 1, no one will be able to put red light atop his/her vehicle. Blue light will be used only for emergency vehicles in the country...Neither the states nor the Centre will have power to give any special permission (for use of beacon lights)," Mr Jaitley said.
"..These symbols are out of touch with the spirit of new India," PM Modi said.
He was responding to a tweet by a follower, who described the decision to prohibit all vehicles, except emergency vehicles like ambulances and fire brigade, from using the beacon lights from May 1, as "historic".
"It should have gone long ago. Glad that today a strong beginning has been made," Prime Minister said in response to another tweet.
Finance Minister Arun Jaitley, while briefing the media about the Cabinet decisions, said the matter was under discussion for some time and "the Prime Minister took the decision and informed the Cabinet."
He said amendments will be made soon in the Central Motor Vehicles Rules to give effect to the decision.
"After May 1, no one will be able to put red light atop his/her vehicle. Blue light will be used only for emergency vehicles in the country...Neither the states nor the Centre will have power to give any special permission (for use of beacon lights)," Mr Jaitley said.
LK Advani Meets Murli Manohar Joshi After Supreme Court Setback
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Veteran BJP leaders LK Advani and Murli Manohar Joshi met this evening, hours after the Supreme Court ruled that they will be tried on conspiracy charges for their alleged role in the demolition of the Babri Masjid mosque in 1992 in Ayodhya. Along with them, Union Minster Uma Bharti and other party seniors like Vinay Katiyar now also face more serious charges. So far, the BJP leaders were being tried for making incendiary speeches that instigated the mob that brought down the 16-th century mosque.
Sources have said that BJP chief Amit Shah has assured Mr Advani that the party stands behind him.
Ms Bharti, who is the Union Water Resources Minister, announced that she would travel tomorrow to Ayodhya, but was asked to cancel her plans this evening by party chief Amit Shah. Her change in itinerary will be attributed to her campaigning for the BJP in Delhi ahead of crucial local elections next week. But party sources said that after the top court's ruling, BJP leaders want to be cautious and "exercise restraint."
The mosque was torn down by lakhs of karsevaks or volunteers after a movement that was led in part by Mr Advani, calling for a temple to Lord Ram to be built in Ayodhya. Many Hindus believe that the mosque stood over the exact spot of the deity's birth.
Ms Bharti has denied the charges of conspiracy, and said that she has openly declared that it is her dream to see the temple built.
The charges against the BJP leaders, brought by the CBI, had been blocked by the Allahabad High Court. The Supreme Court ruled in favour of the investigating agency today and transferred the leaders' trial to a Lucknow court where about 20 people are accused of the actual destruction of the mosque. Judges today ordered daily hearings and said a verdict must be delivered within two years.
The CBI has said that just before the mosque was raised, Mr Advani and others met and decided that it would be brought down.
The demolition triggered massive communal riots across the country.
The BJP's manifesto says that it remains committed to building the temple in Ayodhya within the framework of the constitution and in accordance with the Supreme Court, which is deciding whether the disputed site belongs to Hindu or Muslim organisations based in Ayodhya.
Sources have said that BJP chief Amit Shah has assured Mr Advani that the party stands behind him.
Ms Bharti, who is the Union Water Resources Minister, announced that she would travel tomorrow to Ayodhya, but was asked to cancel her plans this evening by party chief Amit Shah. Her change in itinerary will be attributed to her campaigning for the BJP in Delhi ahead of crucial local elections next week. But party sources said that after the top court's ruling, BJP leaders want to be cautious and "exercise restraint."
Ms Bharti has denied the charges of conspiracy, and said that she has openly declared that it is her dream to see the temple built.
The charges against the BJP leaders, brought by the CBI, had been blocked by the Allahabad High Court. The Supreme Court ruled in favour of the investigating agency today and transferred the leaders' trial to a Lucknow court where about 20 people are accused of the actual destruction of the mosque. Judges today ordered daily hearings and said a verdict must be delivered within two years.
The CBI has said that just before the mosque was raised, Mr Advani and others met and decided that it would be brought down.
The demolition triggered massive communal riots across the country.
The BJP's manifesto says that it remains committed to building the temple in Ayodhya within the framework of the constitution and in accordance with the Supreme Court, which is deciding whether the disputed site belongs to Hindu or Muslim organisations based in Ayodhya.
UIDAI Files Police Cases Against 8 Sites For Collecting User Information
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The Unique Identification Authority of India (UIDAI) has filed FIRs against eight unauthorised websites for promising Aadhaar-related services, and illegally collecting Aadhaar number and enrolment details from people.
The crackdown marks the first instance of FIRs being lodged by the authority against fraudulent and illegal websites touting Aadhaar-related services.
The sites are aadhaarupdate.com, aadhaarindia.com, pvcaadhaar.in, aadhaarprinters.com, geteaadhaar.com, downloadaadhaarcard.in, aadharcopy.in, and duplicateaadharcard.com.
These websites were collecting Aadhaar number and enrolment details illegally from residents and promising Aadhaar services posing as entities authorised by UIDAI.
"We found that even after we ordered the shutting down of some unauthorised websites, some new websites had come up. This time, we have lodged an FIR against the erring websites," UIDAI CEO Ajay Bhushan Pandey told PTI.
These websites and companies extending these unauthorised services, tantamount to violation under Information Technology Act 2000, Section 38 of Aadhaar Act 2016, and Section 409 (Criminal breach of trust) and Section 420 (cheating) of IPC, according to UIDAI.
Mr Pandey said the authority will continue to take stringent action against such sites and also asked the public to use UIDAI official website (www.uidai.gov.in) for all Aadhaar- related services.
Section 38 of Aadhaar Act deals with penalty for unauthorised access to the Central Identities Data Repository.
The punishment under this section is imprisonment of upto three years and fine not less than Rs. 10 lakh. IPC's Section 420 provides for an imprisonment of up to seven years and a fine.
Earlier this year, UIDAI had shut down 12 websites and 12 mobile apps available on the Google Playstore, for offering Aadhaar services illegally and charging excessive money from the public.
It had also directed authorities to close another 26 such fraudulent and illegal websites and mobile applications.
At present, any Aadhaar-related demographic information can only be shared following the procedures laid down in the Aadhaar Act, 2016.
Last month, taking a serious note of the public sharing of Aadhaar details of MS Dhoni, the UIDAI had blacklisted for 10 years the entity that had enrolled the ace cricketer, for leaking Aadhaar receipt which carried his personal information.
The UIDAI is the nodal body responsible for rolling out Aadhaar, the 12-digit unique identification number that identifies residents based on their biometrics.
More than 113 crore Aadhaar IDs have been generated in the country so far and Aadhaar authentications have crossed the 500 crore mark, while 100 crore e-KYCs have been done on the platform.
The crackdown marks the first instance of FIRs being lodged by the authority against fraudulent and illegal websites touting Aadhaar-related services.
The sites are aadhaarupdate.com, aadhaarindia.com, pvcaadhaar.in, aadhaarprinters.com, geteaadhaar.com, downloadaadhaarcard.in, aadharcopy.in, and duplicateaadharcard.com.
"We found that even after we ordered the shutting down of some unauthorised websites, some new websites had come up. This time, we have lodged an FIR against the erring websites," UIDAI CEO Ajay Bhushan Pandey told PTI.
These websites and companies extending these unauthorised services, tantamount to violation under Information Technology Act 2000, Section 38 of Aadhaar Act 2016, and Section 409 (Criminal breach of trust) and Section 420 (cheating) of IPC, according to UIDAI.
Mr Pandey said the authority will continue to take stringent action against such sites and also asked the public to use UIDAI official website (www.uidai.gov.in) for all Aadhaar- related services.
Section 38 of Aadhaar Act deals with penalty for unauthorised access to the Central Identities Data Repository.
The punishment under this section is imprisonment of upto three years and fine not less than Rs. 10 lakh. IPC's Section 420 provides for an imprisonment of up to seven years and a fine.
Earlier this year, UIDAI had shut down 12 websites and 12 mobile apps available on the Google Playstore, for offering Aadhaar services illegally and charging excessive money from the public.
It had also directed authorities to close another 26 such fraudulent and illegal websites and mobile applications.
At present, any Aadhaar-related demographic information can only be shared following the procedures laid down in the Aadhaar Act, 2016.
Last month, taking a serious note of the public sharing of Aadhaar details of MS Dhoni, the UIDAI had blacklisted for 10 years the entity that had enrolled the ace cricketer, for leaking Aadhaar receipt which carried his personal information.
The UIDAI is the nodal body responsible for rolling out Aadhaar, the 12-digit unique identification number that identifies residents based on their biometrics.
More than 113 crore Aadhaar IDs have been generated in the country so far and Aadhaar authentications have crossed the 500 crore mark, while 100 crore e-KYCs have been done on the platform.
Government Wants 'Freedom From Debt' For Farmers: Chandrakant Patil
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Maharashtra government is preparing a scheme aiming to free the farmers of indebtedness permanently instead of granting one-time loan waivers, revenue minister Chandrakant Patil said in Mumbai today. This 'freedom from debt' scheme will cost Rs. 10,000 crore instead of Rs. 30,000 crore needed for loan-waiver (which opposition Congress and NCP are demanding), he said.
The scheme would reduce the possibility of farmers getting indebted, which is a desirable goal, the minister said.
"The conventional way (of giving relief to farmers) is to waive Rs. 30,000 crore of loans and make farmers eligible for borrowing afresh. (Instead) The government is planning to supply seeds, fertilisers and pesticides at zero cost to small and marginal farmers," Mr Patil said.
"It will require expenditure of Rs. 10,000 crore against Rs. 30,000 crore for loan waiver. We are trying to launch the scheme from coming Kharif season," he added.
Of the total outstanding farm loans, that of small and marginal farmers add up to Rs. 20,000 crore.
Mr Patil said there won't be a blanket waiver scheme covering all, eligible as well as non-eligible farmers; but only needy farmers will get loan waiver and others will benefit from subsidised input costs.
The government's two-pronged policy is to control the input costs and assure minimum support price to farmers, which will ensure guarantee of income and avoid their exploitation during sowing season when dealers create artificial shortage of seeds and fertilisers, Mr Patil said.
The scheme would reduce the possibility of farmers getting indebted, which is a desirable goal, the minister said.
"It will require expenditure of Rs. 10,000 crore against Rs. 30,000 crore for loan waiver. We are trying to launch the scheme from coming Kharif season," he added.
Mr Patil said there won't be a blanket waiver scheme covering all, eligible as well as non-eligible farmers; but only needy farmers will get loan waiver and others will benefit from subsidised input costs.
The government's two-pronged policy is to control the input costs and assure minimum support price to farmers, which will ensure guarantee of income and avoid their exploitation during sowing season when dealers create artificial shortage of seeds and fertilisers, Mr Patil said.
China To Launch First Cargo Spacecraft Tomorrow
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China will launch its first cargo spacecraft on Thursday, state media said, taking another step towards its goal of establishing a permanently manned space station by 2022.
President Xi Jinping has prioritised advancing China's space programme to strengthen national security and defence.
The Tianzhou-1 cargo resupply spacecraft will be launched at 7:41 PM (1141 GMT), borne aloft on a Long March-7 Y2 rocket from the Wenchang Satellite Launch Centre in the southern island province of Hainan, the Xinhua news agency said on Wednesday.
It is designed to dock with the Tiangong 2 space laboratory, or 'Heavenly Palace 2', where two astronauts spent a month in space last October in China's longest ever manned space mission.
The mission will provide an 'important technological basis' for the construction of China's space station, Xinhua said.
The spacecraft can carry 6 tonnes of goods, 2 tonnes of fuel and can fly unmanned for three months, state media have said.
Despite the advances in its space programme for military, commercial and scientific purposes, China still lags the United States and Russia.
In late 2013, China's Jade Rabbit moon rover landed on the Moon to great national fanfare, but ran into severe technical difficulties.
The US Defense Department has highlighted China's increasing space capabilities, saying it was pursuing activities aimed at preventing other nations from using space-based assets in a crisis.
President Xi Jinping has prioritised advancing China's space programme to strengthen national security and defence.
The Tianzhou-1 cargo resupply spacecraft will be launched at 7:41 PM (1141 GMT), borne aloft on a Long March-7 Y2 rocket from the Wenchang Satellite Launch Centre in the southern island province of Hainan, the Xinhua news agency said on Wednesday.
The mission will provide an 'important technological basis' for the construction of China's space station, Xinhua said.
The spacecraft can carry 6 tonnes of goods, 2 tonnes of fuel and can fly unmanned for three months, state media have said.
Despite the advances in its space programme for military, commercial and scientific purposes, China still lags the United States and Russia.
In late 2013, China's Jade Rabbit moon rover landed on the Moon to great national fanfare, but ran into severe technical difficulties.
The US Defense Department has highlighted China's increasing space capabilities, saying it was pursuing activities aimed at preventing other nations from using space-based assets in a crisis.
Business Affairs
Indian IT sector stares at layoffs amid visa curbs and rising rupee, says Assocham
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With the US tightening the norms for H-1B visas under the President Donald Trump's 'Buy American, Hire American' campaign, the Indian IT companies are bound to face disruptions by way of higher costs and even some laying off work force back home, as the rising rupee is aggravating the situation further for the technology export firms, an ASSOCHAM paper warned on Wednesday.
"Aggravated by rising rupee leading to lower realizations for software exports, the Indian IT firms may be forced to displace work force. In that case, the chances of layoffs are real," ASSOCHAM Secretary General D S Rawat said.
Nearly 86% of the H-1B visas issued for workers in the IT sector go to Indians and this figure is now sure to be scaled down to about 60% or even less, the report said.
Cautioning against a huge decline in remittances from US, Assocham paper said the US move could disturb remittances by 8-10 per cent.
According to World Bank data, US was the second largest source of remittance for India in 2015, behind Saudi Arabia, and about $10.96 billion or nearly 16 per cent of the total inflows were sent to India.
"After all, our stakes are quite high. It is a question of $100 billion software export industry that employs over four million people and reservations for H1B visa for start-ups with less than 50 employee will decrease the number of visa available for Indian firms," the paper said.
With the UK already hiking the minimum wage requirement to 35,000 pounds for tier-2 visa immigrants, this latest move by the US will act as a definitive dampener to the Indian outsourcing industry, the paper cautioned.
With the US tightening the norms for H-1B visas under the President Donald Trump's 'Buy American, Hire American' campaign, the Indian IT companies are bound to face disruptions by way of higher costs and even some laying off work force back home, as the rising rupee is aggravating the situation further for the technology export firms, an ASSOCHAM paper warned on Wednesday.
"Aggravated by rising rupee leading to lower realizations for software exports, the Indian IT firms may be forced to displace work force. In that case, the chances of layoffs are real," ASSOCHAM Secretary General D S Rawat said.
Nearly 86% of the H-1B visas issued for workers in the IT sector go to Indians and this figure is now sure to be scaled down to about 60% or even less, the report said.
Cautioning against a huge decline in remittances from US, Assocham paper said the US move could disturb remittances by 8-10 per cent.
According to World Bank data, US was the second largest source of remittance for India in 2015, behind Saudi Arabia, and about $10.96 billion or nearly 16 per cent of the total inflows were sent to India.
"After all, our stakes are quite high. It is a question of $100 billion software export industry that employs over four million people and reservations for H1B visa for start-ups with less than 50 employee will decrease the number of visa available for Indian firms," the paper said.
"After all, our stakes are quite high. It is a question of $100 billion software export industry that employs over four million people and reservations for H1B visa for start-ups with less than 50 employee will decrease the number of visa available for Indian firms," the paper said.
With the UK already hiking the minimum wage requirement to 35,000 pounds for tier-2 visa immigrants, this latest move by the US will act as a definitive dampener to the Indian outsourcing industry, the paper cautioned.
Petrol pump shutdown on Sundays: Govt can invoke Essential Commodities Act
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The government can invoke Essential Commodities Act (ECA) over the decision by the Consortium of Indian petroleum dealers of shutting down the petrol pumps across eight states from May 14.
Commenting over the matter, on Wednesday, the Centre said the threat by the association would be dealt according to the measures necessary to maintain supplies of essential commodities.
A senior Petroleum Ministry source reportedly said the government got to know about the fuel association decision through media reports only.
"We have to wait and see how this measure impacts on the ground... because petroleum products are classed essential commodities and the Essential Commodities Act (ECA) can be applied depending on the circumastances," the source said.
On Tuesday, a fuel pump owners' body, the Consortium of Indian petroleum dealers had said that petrol pumps in eight states would be shut every Sunday following Prime Minister Narendra Modi's call to conserve oil.
The association has decided to shut the outlets in Tamil Nadu, Kerala, Karnataka, Puducherry, Andhra Pradesh, Telangana, Maharashtra and Haryana.
"We had planned to shut our outlets on Sundays a few years back. But oil marketing companies had then requested us to reconsider our decision. Now, we have decided to shut the outlets on Sundays," said Suresh Kumar, an executive committee member of the consortium of Indian petroleum dealers.
He said the association's decision was made in view of the Prime Minister's call during his recent 'Mann Ki Baat' programme to conserve oil to save the environment.
Kumar, also the vice-president of Tamil Nadu Petroleum Dealers Association, said nearly 20,000 petrol pumps in Tamil Nadu, Kerala, Karnataka, Puducherry, Andhra Pradesh, Telangana, Maharashtra and Haryana would be shut for 24 hours on Sundays, starting May 14.
"In Tamil Nadu, we expect a business loss of Rs 150 crore if we do not operate on a Sunday. But we have been seeing a decline in sales on Sundays by upto 40 per cent," he said.
When enquired about whether the oil marketing companies (OMCs) are supporting the decision or not, Kumar said that the association would inform them soon.
The government can invoke Essential Commodities Act (ECA) over the decision by the Consortium of Indian petroleum dealers of shutting down the petrol pumps across eight states from May 14.
Commenting over the matter, on Wednesday, the Centre said the threat by the association would be dealt according to the measures necessary to maintain supplies of essential commodities.
A senior Petroleum Ministry source reportedly said the government got to know about the fuel association decision through media reports only.
"We have to wait and see how this measure impacts on the ground... because petroleum products are classed essential commodities and the Essential Commodities Act (ECA) can be applied depending on the circumastances," the source said.
On Tuesday, a fuel pump owners' body, the Consortium of Indian petroleum dealers had said that petrol pumps in eight states would be shut every Sunday following Prime Minister Narendra Modi's call to conserve oil.
The association has decided to shut the outlets in Tamil Nadu, Kerala, Karnataka, Puducherry, Andhra Pradesh, Telangana, Maharashtra and Haryana.
"We had planned to shut our outlets on Sundays a few years back. But oil marketing companies had then requested us to reconsider our decision. Now, we have decided to shut the outlets on Sundays," said Suresh Kumar, an executive committee member of the consortium of Indian petroleum dealers.
He said the association's decision was made in view of the Prime Minister's call during his recent 'Mann Ki Baat' programme to conserve oil to save the environment.
Kumar, also the vice-president of Tamil Nadu Petroleum Dealers Association, said nearly 20,000 petrol pumps in Tamil Nadu, Kerala, Karnataka, Puducherry, Andhra Pradesh, Telangana, Maharashtra and Haryana would be shut for 24 hours on Sundays, starting May 14.
"In Tamil Nadu, we expect a business loss of Rs 150 crore if we do not operate on a Sunday. But we have been seeing a decline in sales on Sundays by upto 40 per cent," he said.
When enquired about whether the oil marketing companies (OMCs) are supporting the decision or not, Kumar said that the association would inform them soon.
Tata, Adani, Patanjali show interest in buying Sahara properties
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A large number of corporates, including Tatas, Godrej, Adani and Patanjali, have shown interest in buying embattled Sahara group's 30 properties estimated to be worth about Rs 7,400 crore.
The properties, mostly land parcels being auctioned by real estate consultant Knight Frank India, have also generated interest from several real estate developers including Omaxe and Eldeco, as also from HNIs and at least one public sector firm Indian Oil, sources familiar with the process said.
Besides, Chennai-based Apollo Hospital has shown interest in acquiring Sahara Hospital in Lucknow.
Sources, however, said that the sale process and the valuation could get impacted due to a hurry in getting the deals closed within a short time because of an urgency on part of Saharas to get the money and deposit the same with the regulator Sebi as per Supreme Court directions.
All prospective buyers are asking for 2-3 months for due diligence, which is considered to be normal period of time in the high-value real estate transactions, sources added.
When contacted, a Sahara group spokesperson declined to disclose the names of prospective buyers, saying "deals are in process and will materialise soon". He also said the details have been submitted to the Supreme Court.
Godrej Properties' Executive Chairman Pirojsha Godrej said, "We are looking at part of one of the Pune land parcels for which Knight Frank is running the bidding process. It is still at a preliminary stage."
Omaxe's CMD Rohtas Goel also confirmed that his company was interested in some properties.
"As a prudent business organisation, we always keep exploring growth opportunities," he said.
Eldeco's Managing Director Pankaj Bajaj said they are interested in some properties but would not be like to share the exact details at this stage.
An Apollo Hospitals spokesperson said, "The Apollo has submitted an expression of interest for Sahara Hospital and (we) are conducting our evaluation and due diligence process."
Tata Housing declined to comment, while there were no replies to specific queries made to Adani Group, Knight Frank and Patanjali.
Sources said there were a large number of individuals as also some educational institutions who have submitted expressions of interest for the properties. The shortlisted entities are now being asked to submit their financial bids.
The group is expecting to get the first instalment from the sale of these properties by June 17 and get all the money, estimated at around Rs 7,400 crore, in three months.
Earlier this week, the Supreme Court also directed sale of Sahara group's Aamby Valley township in Lonavala, which the group estimates to be worth over Rs 1 lakh crore and fears that a hurried sale will favour only those wanting to "grab Aamby Valley cheaper".
The Sahara spokesperson said the group had committed to deposit the directed amount of Rs 10,500 crore by July-August 2017, including Rs 7,400 crore from sale of the 30 properties being auctioned and payments from other deals, but the court declined and asked for the Aamby Valley auction which will take much longer.
"We committed around Rs 1,500 crore from overseas hotels, expected to reach India within 45 days. Also we informed about Vasai land where we are going to get around Rs 800 crore (and) also around Rs 800 crore from Ghaziabad," he added.
On February 28, the Supreme Court had allowed Sahara to sell certain properties after market regulator Sebi found it difficult to auction them even with the help of specialised agencies. Sahara sought six months' time for the sale, but the court asked them to complete the sale in six months for properties worth about Rs 5,092 crore.
Sahara subsequently appointed Knight Frank for carrying out the sale process and advertisements were issued in newspapers twice to invite prospective buyers.
Knight Frank was asked to complete the sale by April 13 to meet the Supreme Court deadline, but it was found to be difficult because of the time demanded by the prospective buyers for going through various stages of such high value transactions to ensure optimal value realisation.
Sources said that Indian Oil, which was interested in one property in Bihar, sought extension of time for submitting bid on the grounds that the project called for approvals and reports from various departments and agencies.
Apollo also sought extension of time for carrying out the due diligence, inspections and evaluation of the property.
Replying to specific queries, the Sahara group spokesperson said, "We twice advertised in various newspapers all over the country for selling around 30 properties. In response, we have received 163 Expressions from 59 prospective buyers and the deals are in process and will materialise soon."
Asked about the details of the prospective buyers, the spokesperson said, "We have submitted the details to the Court. It will not be possible to comment on each prospective buyer and share details of the buyers and the deals at this level as it might not be conducive when the deals are in process."
In reply to another query on the due diligence process and whether the court direction to close the deal faster and submit money could affect the sale and the valuation, he said the real estate deals undergo multiple processes.
"The said deals are under various stages. The buyers have asked for 2-3 months for completing due diligence and other processes, which is the industry-accepted minimum required time for such deals, even if all processes are expedited.
"On February 28, 2017, the Court ordered to sell 14 properties and to deposit the total sale proceeds of Rs 5,090 crore by April 17, meaning in 46 days we had to sell and get the money.
"On April 17, we also presented to the Court our commitment of getting first instalments out of all sales by June 17, and in three months we said we shall get all the money which is around Rs 7,400 crore," he said.
On the ordered sale of Aamby Valley, the group said, "The court's insistence to sell Aamby Valley whose value is more than Rs 1 lakh crore will only be a big favour to those one- two corporates who want to grab it cheaper".
The 30 advertised properties are located across India -- including in Delhi, Pune, Indore, Lucknow, Coimbatore, Chandigarh, Bhopal, Guna, Kolkata, Haridwar, Aligarh, Bareilly, Dewas, Faridabad, Guwahati, Gwalior, Jhansi, Kanpur, Kurukshetra, Noida/Greater Noida, Patna and Porbandar.
Sahara lawyer Gautam Awasthy separately said the group has deposited around Rs 12,000 crore in last four years, which comes to an average of Rs 250 crore per month deposited in the SEBI-Sahara account.
This account was created for the money Sahara group was asked to deposit with the regulator for further refund to the bondholders from which the group had raised money, though the conglomerate claims to have already refunded more than 93 per cent money directly to the investors.
Awasthy further said, "By any Indian corporate standard, Rs 250 crore every month for 48 months is a huge amount and Sahara could have been appreciated for obedience of the Honourable Court's order.
"The most commendable point is that Sahara could pay Rs 250 crore every month on an average after Sahara having already repaid more than 93 per cent of its liability of OFCD of the two companies -- Sahara India Real Estate Corporation Limited and Sahara Housing Investment Corporation Limited.
"Meaning more than Rs 22,000 crore of liability Sahara has already been paid and this Rs 12,000 crore is in addition, that is duplication of payment."
A large number of corporates, including Tatas, Godrej, Adani and Patanjali, have shown interest in buying embattled Sahara group's 30 properties estimated to be worth about Rs 7,400 crore.
The properties, mostly land parcels being auctioned by real estate consultant Knight Frank India, have also generated interest from several real estate developers including Omaxe and Eldeco, as also from HNIs and at least one public sector firm Indian Oil, sources familiar with the process said.
Besides, Chennai-based Apollo Hospital has shown interest in acquiring Sahara Hospital in Lucknow.
Sources, however, said that the sale process and the valuation could get impacted due to a hurry in getting the deals closed within a short time because of an urgency on part of Saharas to get the money and deposit the same with the regulator Sebi as per Supreme Court directions.
All prospective buyers are asking for 2-3 months for due diligence, which is considered to be normal period of time in the high-value real estate transactions, sources added.
When contacted, a Sahara group spokesperson declined to disclose the names of prospective buyers, saying "deals are in process and will materialise soon". He also said the details have been submitted to the Supreme Court.
Godrej Properties' Executive Chairman Pirojsha Godrej said, "We are looking at part of one of the Pune land parcels for which Knight Frank is running the bidding process. It is still at a preliminary stage."
Omaxe's CMD Rohtas Goel also confirmed that his company was interested in some properties.
"As a prudent business organisation, we always keep exploring growth opportunities," he said.
Eldeco's Managing Director Pankaj Bajaj said they are interested in some properties but would not be like to share the exact details at this stage.
An Apollo Hospitals spokesperson said, "The Apollo has submitted an expression of interest for Sahara Hospital and (we) are conducting our evaluation and due diligence process."
Tata Housing declined to comment, while there were no replies to specific queries made to Adani Group, Knight Frank and Patanjali.
Sources said there were a large number of individuals as also some educational institutions who have submitted expressions of interest for the properties. The shortlisted entities are now being asked to submit their financial bids.
The group is expecting to get the first instalment from the sale of these properties by June 17 and get all the money, estimated at around Rs 7,400 crore, in three months.
Earlier this week, the Supreme Court also directed sale of Sahara group's Aamby Valley township in Lonavala, which the group estimates to be worth over Rs 1 lakh crore and fears that a hurried sale will favour only those wanting to "grab Aamby Valley cheaper".
The Sahara spokesperson said the group had committed to deposit the directed amount of Rs 10,500 crore by July-August 2017, including Rs 7,400 crore from sale of the 30 properties being auctioned and payments from other deals, but the court declined and asked for the Aamby Valley auction which will take much longer.
"We committed around Rs 1,500 crore from overseas hotels, expected to reach India within 45 days. Also we informed about Vasai land where we are going to get around Rs 800 crore (and) also around Rs 800 crore from Ghaziabad," he added.
On February 28, the Supreme Court had allowed Sahara to sell certain properties after market regulator Sebi found it difficult to auction them even with the help of specialised agencies. Sahara sought six months' time for the sale, but the court asked them to complete the sale in six months for properties worth about Rs 5,092 crore.
Sahara subsequently appointed Knight Frank for carrying out the sale process and advertisements were issued in newspapers twice to invite prospective buyers.
Knight Frank was asked to complete the sale by April 13 to meet the Supreme Court deadline, but it was found to be difficult because of the time demanded by the prospective buyers for going through various stages of such high value transactions to ensure optimal value realisation.
Sources said that Indian Oil, which was interested in one property in Bihar, sought extension of time for submitting bid on the grounds that the project called for approvals and reports from various departments and agencies.
Apollo also sought extension of time for carrying out the due diligence, inspections and evaluation of the property.
Replying to specific queries, the Sahara group spokesperson said, "We twice advertised in various newspapers all over the country for selling around 30 properties. In response, we have received 163 Expressions from 59 prospective buyers and the deals are in process and will materialise soon."
Asked about the details of the prospective buyers, the spokesperson said, "We have submitted the details to the Court. It will not be possible to comment on each prospective buyer and share details of the buyers and the deals at this level as it might not be conducive when the deals are in process."
In reply to another query on the due diligence process and whether the court direction to close the deal faster and submit money could affect the sale and the valuation, he said the real estate deals undergo multiple processes.
"The said deals are under various stages. The buyers have asked for 2-3 months for completing due diligence and other processes, which is the industry-accepted minimum required time for such deals, even if all processes are expedited.
"On February 28, 2017, the Court ordered to sell 14 properties and to deposit the total sale proceeds of Rs 5,090 crore by April 17, meaning in 46 days we had to sell and get the money.
"On April 17, we also presented to the Court our commitment of getting first instalments out of all sales by June 17, and in three months we said we shall get all the money which is around Rs 7,400 crore," he said.
On the ordered sale of Aamby Valley, the group said, "The court's insistence to sell Aamby Valley whose value is more than Rs 1 lakh crore will only be a big favour to those one- two corporates who want to grab it cheaper".
The 30 advertised properties are located across India -- including in Delhi, Pune, Indore, Lucknow, Coimbatore, Chandigarh, Bhopal, Guna, Kolkata, Haridwar, Aligarh, Bareilly, Dewas, Faridabad, Guwahati, Gwalior, Jhansi, Kanpur, Kurukshetra, Noida/Greater Noida, Patna and Porbandar.
Sahara lawyer Gautam Awasthy separately said the group has deposited around Rs 12,000 crore in last four years, which comes to an average of Rs 250 crore per month deposited in the SEBI-Sahara account.
This account was created for the money Sahara group was asked to deposit with the regulator for further refund to the bondholders from which the group had raised money, though the conglomerate claims to have already refunded more than 93 per cent money directly to the investors.
Awasthy further said, "By any Indian corporate standard, Rs 250 crore every month for 48 months is a huge amount and Sahara could have been appreciated for obedience of the Honourable Court's order.
"The most commendable point is that Sahara could pay Rs 250 crore every month on an average after Sahara having already repaid more than 93 per cent of its liability of OFCD of the two companies -- Sahara India Real Estate Corporation Limited and Sahara Housing Investment Corporation Limited.
"Meaning more than Rs 22,000 crore of liability Sahara has already been paid and this Rs 12,000 crore is in addition, that is duplication of payment."
Yes Bank Q4 net zooms 30 pc to Rs 914 cr; bad loans soar
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Yes Bank today reported a 30.2 per cent rise in net profit at Rs 914.12 crore for the last quarter of 2016-17, even as its bad assets swelled.
The private sector lender had registered a standalone net profit of Rs 702.11 crore in the corresponding January-March period of 2015-16.
Total income (standalone) of the bank grew 29.4 per cent to Rs 5,606.38 crore, against Rs 4,331.11 crore in the corresponding period a year ago, the bank said in a regulatory filing.
However, the asset quality of the bank slipped, with gross non-performing assets (NPAs) or bad loans rising to 1.52 per cent of gross advances as on March 31, 2017, as against 0.76 per cent a year ago.
Net NPAs rose to 0.81 per cent of net loans disbursed from 0.29 per cent earlier.
Thus, provisioning to cover bad loans, including contingencies, were raised to Rs 309.73 crore, from Rs 186.46 crore year earlier, it said.
At its board meeting held today, the bank also decided to raise funds of up to Rs 20,000 crore through issuance of debt securities on a private placement basis.
"The Board of Directors have approved raising of funds by way of issuance of debt securities including but not limited to non-convertible debentures, medium term notes, bonds up to Rs 20,000 crore (in Indian rupees or foreign currency) to eligible investors on private placement, subject to approval of the shareholders," Yes Bank said.
It has also approved final dividend of Rs 12 per equity share for 2016-17.
Stock of Yes Bank slipped 0.03 per cent to Rs 1,605.40 on BSE.
Yes Bank today reported a 30.2 per cent rise in net profit at Rs 914.12 crore for the last quarter of 2016-17, even as its bad assets swelled.
The private sector lender had registered a standalone net profit of Rs 702.11 crore in the corresponding January-March period of 2015-16.
Total income (standalone) of the bank grew 29.4 per cent to Rs 5,606.38 crore, against Rs 4,331.11 crore in the corresponding period a year ago, the bank said in a regulatory filing.
However, the asset quality of the bank slipped, with gross non-performing assets (NPAs) or bad loans rising to 1.52 per cent of gross advances as on March 31, 2017, as against 0.76 per cent a year ago.
Net NPAs rose to 0.81 per cent of net loans disbursed from 0.29 per cent earlier.
Thus, provisioning to cover bad loans, including contingencies, were raised to Rs 309.73 crore, from Rs 186.46 crore year earlier, it said.
At its board meeting held today, the bank also decided to raise funds of up to Rs 20,000 crore through issuance of debt securities on a private placement basis.
"The Board of Directors have approved raising of funds by way of issuance of debt securities including but not limited to non-convertible debentures, medium term notes, bonds up to Rs 20,000 crore (in Indian rupees or foreign currency) to eligible investors on private placement, subject to approval of the shareholders," Yes Bank said.
It has also approved final dividend of Rs 12 per equity share for 2016-17.
Stock of Yes Bank slipped 0.03 per cent to Rs 1,605.40 on BSE.
Sensex, Nifty end flat; Induslnd Bank posts 21.1% net profit
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The PSU disinvestment drive for the current fiscal took off successfully today, with NALCO's share sale oversubscribed 1.63 times by institutional buyers.
However, the Nalco scrip touched a low of Rs 67.75, down 7.76 per cent over previous close on the BSE.Of its total holding of 74.58 per cent in Nalco, the government is selling 5 per cent or over 9.66 crore shares at a floor price of Rs 67.
The two-day stake sale could fetch about Rs 640 crore to the exchequer.National Aluminium Company Ltd (Nalco) is the first disinvestment of the current fiscal, which began on April 1.
3.32 PM:
Leading text book publisher S Chand and Company today fixed a price band of Rs 660 670 per shares for its initial public offering opening on April 26.
The IPO comprises fresh issuance of shares worth Rs 325 crore and an offer for sale of 6,023,236 scrips by the existing shareholders, the company said in a statement.
At the upper end of the price band, the public issue is expected to fetch Rs 728.55 crore.
The initial public offer (IPO) is scheduled to open on April 26 and close on April 28.
Proceeds from the issue will be utilised for repayment and prepayment of loans as well as for general corporate purposes. The loan amount includes those taken by its subsidiary for funding the acquisition of Chhaya Prakashani.
3.30 PM:
CLOSING BELL
Market ends flat.
BSE Sensex settles the day at 29,336.57, up 17.47 points (0.06%)
Nifty50 ends at 9,103.50. down 1.65 points. (0.02%)
3.21 PM:
INDUSLND BANK Q4 RESULTS
Private sector IndusInd Bank's net profit grew 21.1 per cent to Rs 751.61 crore for the last quarter ended March of fiscal 2016-17.
The bank had registered a net profit of Rs 620.35 crore in the corresponding January-March period of the previous fiscal of 2015-16.
Total income of the bank was up 22.4 per cent to Rs 5,041.31 crore in the fourth quarter of last fiscal as against Rs 4,120.16 crore in the similar period a year ago, the bank said in a regulatory filing.
The bank's gross non-performing assets (NPAs) or bad loans were 0.93 per cent of gross advances as on March 31, 2017, slightly up from 0.87 per cent a year ago.
Net NPAs were 0.39 per cent of the net advances at the end of March, as against 0.36 per cent a year earlier, the bank said.
The bank parked Rs 430.13 crore towards provision and contingencies during the last quarter, almost double from Rs 213.66 crore a year ago.
For the full financial year 2016-17, IndusInd Bank reported an increase of 25.4 per cent in its net profit at Rs 2,867.89 crore as against Rs 2,286.45 crore.
Likewise, total income during the year grew to Rs 18,577.16 crore, rising 22.5 per cent from Rs 15,168.69 crore.
IndusInd Bank said its board has recommended a dividend of Rs 6 per equity share for 2016-17.
Stock of the bank were trading 0.95 per cent down at Rs 1,418.20 on BSE in the afternoon.
3.09 PM:
Drug firm Aurobindo Pharma today said the US health regulator has issued six observations for its Unit III formulations facility in Hyderabad.
The United States Food and Drug Administration (USFDA) had conducted an inspection at the company's Unit III, a formulations manufacturing facility at Bachupally, Hyderabad from April 10, 2017 to April 18, 2017, Aurobindo Pharma said in a filing to BSE.
"At the end of the inspection, we have been issued a Form 483 with 6 observations. The observations are all on procedural improvements," it added.
12.56 PM:
BUZZING STOCKS
National Aluminium Company (Nalco) dipped 7.15 per cent to Rs 68.20 on BSE after the government stake sale of up to 10 per cent in the aluminium company through an offer for sale (OFS), which begins today.
Shares of IT major TCS today fell by over 2 per cent after the company's March quarter numbers came in lower than estimates.
After making a weak opening, the stock of the country's largest software firm further fell by 2.32 per cent to Rs 2,255 on the BSE.
On the NSE, it slumped 2.42 per cent to Rs 2,252.80.
Shares of Jain Irrigation Systems surged over 9 per cent to Rs 108.80 on the BSE after the company announced that it will accquire 80 per cent stake in in America's largest micro irrigation dealers - Agri-Vally Irrigation (AVI) & Irrigation Design and Construction, Inc. (IDC).
12.20 PM:
Benchmark indices slip in trade with the BSE Sensex trading at 29,305.28, 13.82 points lower.
The Nifty50 was trading at 9,097.60, down 7.55 points.
Powergrid retained the top spot on the BSE adding 3.48 per cent to the bourse.
9.43 AM:
US FDA issues 5-6 observations to Aurobindo Pharma's unit-III, reported CNBC TV 18
9.37 AM:
The BSE Sensex was trading at 29,341.29, up 22.19 points (0.08%) while the Nifty50 was trading at 9,110.65, 5.50 points higher.
9.33 AM:
Adani Enterprises, a stock that rallied over 27 per cent in trade on Tuesday, slipped into the red 4 per cent lower on the BSE.
9.30 AM:
Markets yet again reversed its gains to plunge into the red.
BSE Sensex was trading at 29,292.07, down 27.03 points while the Nifty50 was trading at 9,094.65, down 10.50 points.
9.20 AM:
The BSE Sensex climbs to 29,353.83, 34.73 points higher.
The Nifty50 rises from its flat start at trade at 9,116.25, up 11.10 points.
9.18 AM:
TCS was the major loser on the BSE losing 1.50 per cent in early trade.
Pushing the market higher was Adani Ports and GAIL adding over 1 per cent to the bourse.
9.16 AM:
Contrary to pre-opening rates, Indian benchmark indices open in the red posting flat numbers.
The S&P BSE Sensex opened at 29,309.03, down 10.07 points while the Nifty50 started the day at 9,104.75, 0.40 points lower.
9.04 AM:
Markets post positive pre-opening rates with the Sensex logging over 30 points and the Nifty posting 17 points up.
Pre-opening rates indicate a lower start for IT stocks.
9.00 AM:
EXPERT TAKE
"A broader range for nifty is at 9090 - 9300. So a close below 9090 in coming session will further trigger selling pressure keeping bulls in check at any rise," said Mustafa Nadeem, CEO, Epic Research.
"IT space is already seeing a selling pressure while a profit booking in metals, banking and auto space has also triggered a fund outflow from domestic equity markets. As per OI data as well we have seen bearish bets towards 9000 - 8950 which can be seen on break of crucial supports as mentioned above. Market will also further wait for global cues and then react to it," he added.
8.44 AM:
Glenmark Pharmaceuticals Inc., USA has been granted tentative approval by the USFDA for Dabigatran Etexilate Capsules.
The PSU disinvestment drive for the current fiscal took off successfully today, with NALCO's share sale oversubscribed 1.63 times by institutional buyers.
However, the Nalco scrip touched a low of Rs 67.75, down 7.76 per cent over previous close on the BSE.Of its total holding of 74.58 per cent in Nalco, the government is selling 5 per cent or over 9.66 crore shares at a floor price of Rs 67.
The two-day stake sale could fetch about Rs 640 crore to the exchequer.National Aluminium Company Ltd (Nalco) is the first disinvestment of the current fiscal, which began on April 1.
3.32 PM:
Leading text book publisher S Chand and Company today fixed a price band of Rs 660 670 per shares for its initial public offering opening on April 26.
The IPO comprises fresh issuance of shares worth Rs 325 crore and an offer for sale of 6,023,236 scrips by the existing shareholders, the company said in a statement.
At the upper end of the price band, the public issue is expected to fetch Rs 728.55 crore.
The initial public offer (IPO) is scheduled to open on April 26 and close on April 28.
Proceeds from the issue will be utilised for repayment and prepayment of loans as well as for general corporate purposes. The loan amount includes those taken by its subsidiary for funding the acquisition of Chhaya Prakashani.
3.30 PM:
CLOSING BELL
Market ends flat.
BSE Sensex settles the day at 29,336.57, up 17.47 points (0.06%)
Nifty50 ends at 9,103.50. down 1.65 points. (0.02%)
3.21 PM:
INDUSLND BANK Q4 RESULTS
Private sector IndusInd Bank's net profit grew 21.1 per cent to Rs 751.61 crore for the last quarter ended March of fiscal 2016-17.
The bank had registered a net profit of Rs 620.35 crore in the corresponding January-March period of the previous fiscal of 2015-16.
Total income of the bank was up 22.4 per cent to Rs 5,041.31 crore in the fourth quarter of last fiscal as against Rs 4,120.16 crore in the similar period a year ago, the bank said in a regulatory filing.
The bank's gross non-performing assets (NPAs) or bad loans were 0.93 per cent of gross advances as on March 31, 2017, slightly up from 0.87 per cent a year ago.
Net NPAs were 0.39 per cent of the net advances at the end of March, as against 0.36 per cent a year earlier, the bank said.
The bank parked Rs 430.13 crore towards provision and contingencies during the last quarter, almost double from Rs 213.66 crore a year ago.
For the full financial year 2016-17, IndusInd Bank reported an increase of 25.4 per cent in its net profit at Rs 2,867.89 crore as against Rs 2,286.45 crore.
Likewise, total income during the year grew to Rs 18,577.16 crore, rising 22.5 per cent from Rs 15,168.69 crore.
IndusInd Bank said its board has recommended a dividend of Rs 6 per equity share for 2016-17.
Stock of the bank were trading 0.95 per cent down at Rs 1,418.20 on BSE in the afternoon.
3.09 PM:
Drug firm Aurobindo Pharma today said the US health regulator has issued six observations for its Unit III formulations facility in Hyderabad.
The United States Food and Drug Administration (USFDA) had conducted an inspection at the company's Unit III, a formulations manufacturing facility at Bachupally, Hyderabad from April 10, 2017 to April 18, 2017, Aurobindo Pharma said in a filing to BSE.
"At the end of the inspection, we have been issued a Form 483 with 6 observations. The observations are all on procedural improvements," it added.
12.56 PM:
BUZZING STOCKS
National Aluminium Company (Nalco) dipped 7.15 per cent to Rs 68.20 on BSE after the government stake sale of up to 10 per cent in the aluminium company through an offer for sale (OFS), which begins today.
Shares of IT major TCS today fell by over 2 per cent after the company's March quarter numbers came in lower than estimates.
After making a weak opening, the stock of the country's largest software firm further fell by 2.32 per cent to Rs 2,255 on the BSE.
On the NSE, it slumped 2.42 per cent to Rs 2,252.80.
Shares of Jain Irrigation Systems surged over 9 per cent to Rs 108.80 on the BSE after the company announced that it will accquire 80 per cent stake in in America's largest micro irrigation dealers - Agri-Vally Irrigation (AVI) & Irrigation Design and Construction, Inc. (IDC).
12.20 PM:
Benchmark indices slip in trade with the BSE Sensex trading at 29,305.28, 13.82 points lower.
The Nifty50 was trading at 9,097.60, down 7.55 points.
Powergrid retained the top spot on the BSE adding 3.48 per cent to the bourse.
9.43 AM:
US FDA issues 5-6 observations to Aurobindo Pharma's unit-III, reported CNBC TV 18
9.37 AM:
The BSE Sensex was trading at 29,341.29, up 22.19 points (0.08%) while the Nifty50 was trading at 9,110.65, 5.50 points higher.
9.33 AM:
Adani Enterprises, a stock that rallied over 27 per cent in trade on Tuesday, slipped into the red 4 per cent lower on the BSE.
9.30 AM:
Markets yet again reversed its gains to plunge into the red.
BSE Sensex was trading at 29,292.07, down 27.03 points while the Nifty50 was trading at 9,094.65, down 10.50 points.
9.20 AM:
The BSE Sensex climbs to 29,353.83, 34.73 points higher.
The Nifty50 rises from its flat start at trade at 9,116.25, up 11.10 points.
9.18 AM:
TCS was the major loser on the BSE losing 1.50 per cent in early trade.
Pushing the market higher was Adani Ports and GAIL adding over 1 per cent to the bourse.
9.16 AM:
Contrary to pre-opening rates, Indian benchmark indices open in the red posting flat numbers.
The S&P BSE Sensex opened at 29,309.03, down 10.07 points while the Nifty50 started the day at 9,104.75, 0.40 points lower.
9.04 AM:
Markets post positive pre-opening rates with the Sensex logging over 30 points and the Nifty posting 17 points up.
Pre-opening rates indicate a lower start for IT stocks.
9.00 AM:
9.00 AM:
EXPERT TAKE
"A broader range for nifty is at 9090 - 9300. So a close below 9090 in coming session will further trigger selling pressure keeping bulls in check at any rise," said Mustafa Nadeem, CEO, Epic Research.
"A broader range for nifty is at 9090 - 9300. So a close below 9090 in coming session will further trigger selling pressure keeping bulls in check at any rise," said Mustafa Nadeem, CEO, Epic Research.
"IT space is already seeing a selling pressure while a profit booking in metals, banking and auto space has also triggered a fund outflow from domestic equity markets. As per OI data as well we have seen bearish bets towards 9000 - 8950 which can be seen on break of crucial supports as mentioned above. Market will also further wait for global cues and then react to it," he added.
8.44 AM:
8.44 AM:
Glenmark Pharmaceuticals Inc., USA has been granted tentative approval by the USFDA for Dabigatran Etexilate Capsules.
General Awareness
India jumps to 8th place on Global FDI Confidence Index
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India ranked at 8th position in the 2017 A.T. Kearney Foreign Direct Investment (FDI) Confidence Index. In 2016 edition of this index, India ranked at 9th position. US has topped A.T. Kearney Foreign Direct Investment (FDI) Confidence Index for the fifth year in a row.
Factors Influencing Investors’ Confidence:
According to the report, this year, governance and regulatory issues weighed heavily on investors’ mindset while picking up the investment destination.
- This marks a divergence from previous year, wherein market size and cost of labour were the top factors.
- Indian Govt’s focus on reforms to bring in transparency and efforts to improve ease of doing business has made it an attractive destination for foreign investors. The index reflects an improvement in investor confidence in India over last two years. Among the emerging economies, China and India are the top two performers
Top 10 Countries on 2017 A.T. Kearney Foreign Direct Investment (FDI):
Rank Country 1st United States 2nd Germany 3rd China 4th United Kingdom 5th Canada 6th Japan 7th France 8th India 9th Australia 10th Singapore
Other Takeaways from 2017 A.T. Kearney Foreign Direct Investment (FDI) Confidence Index:
Asia-Pacific region continues to be investors’ favourite geographical area. However most of them consider escalation in geopolitical tensions as a wild card which can disrupt the existing trend.
- 31 % respondents were more optimistic about India’s economic outlook over the next 3 years.
- Vikas Kaushal – Partner and Head of India, AT Kearney has mentioned that reform measures introduced by current NDA Govt. including goods and service tax (GST) have improved the investment climate in India.
- More than 50% respondents have mentioned that successful implementation of GST will trigger their decision to increase their investment in India.
- India attracted highest amount of Greenfield investments in 2016, from which a major chunk went into manufacturing sector.
- 70% respondents are planning to maintain or hike their investments in India in coming years.
About A.T. Kearney Foreign Direct Investment (FDI) Confidence Index:
- This index reflects the perception of foreign investors towards particular countries in backdrop of political, economic and regulatory trends.
- The index is prepared on basis of responses received through primary survey of senior executives of world’s leading companies. All participating companies have more than $500 million annual revenue.
India ranked at 8th position in the 2017 A.T. Kearney Foreign Direct Investment (FDI) Confidence Index. In 2016 edition of this index, India ranked at 9th position. US has topped A.T. Kearney Foreign Direct Investment (FDI) Confidence Index for the fifth year in a row.
Factors Influencing Investors’ Confidence:
According to the report, this year, governance and regulatory issues weighed heavily on investors’ mindset while picking up the investment destination.
- This marks a divergence from previous year, wherein market size and cost of labour were the top factors.
- Indian Govt’s focus on reforms to bring in transparency and efforts to improve ease of doing business has made it an attractive destination for foreign investors. The index reflects an improvement in investor confidence in India over last two years. Among the emerging economies, China and India are the top two performers
Top 10 Countries on 2017 A.T. Kearney Foreign Direct Investment (FDI):
| Rank | Country |
| 1st | United States |
| 2nd | Germany |
| 3rd | China |
| 4th | United Kingdom |
| 5th | Canada |
| 6th | Japan |
| 7th | France |
| 8th | India |
| 9th | Australia |
| 10th | Singapore |
Other Takeaways from 2017 A.T. Kearney Foreign Direct Investment (FDI) Confidence Index:
Asia-Pacific region continues to be investors’ favourite geographical area. However most of them consider escalation in geopolitical tensions as a wild card which can disrupt the existing trend.
- 31 % respondents were more optimistic about India’s economic outlook over the next 3 years.
- Vikas Kaushal – Partner and Head of India, AT Kearney has mentioned that reform measures introduced by current NDA Govt. including goods and service tax (GST) have improved the investment climate in India.
- More than 50% respondents have mentioned that successful implementation of GST will trigger their decision to increase their investment in India.
- India attracted highest amount of Greenfield investments in 2016, from which a major chunk went into manufacturing sector.
- 70% respondents are planning to maintain or hike their investments in India in coming years.
About A.T. Kearney Foreign Direct Investment (FDI) Confidence Index:
- This index reflects the perception of foreign investors towards particular countries in backdrop of political, economic and regulatory trends.
- The index is prepared on basis of responses received through primary survey of senior executives of world’s leading companies. All participating companies have more than $500 million annual revenue.
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