US trade war likely to weaken rupee to all-time low against dollar

Source: Business Standard, Jun 19, 2018

Mumbai: The Indian rupee would continue to witness pressure in the coming days, but it should get respite in the medium term as trade protectionism ends up hurting the US economy, a net importer of goods.

For now, there is every possibility that the rupee would depreciate another 40-50 paise, and may even touch record lows of 68.85 a dollar.However, breaching record lows would be highly unlikely, considering that the recent fall in oil prices and all indications point towards a decline in the dollar.

The US dollar strengthened sharply since January. From 88.25, the dollar index has moved up to 94.75 level. The index measures dollar’s strength against major global currencies.

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India set to join European Bank for Reconstruction and Development

download (1).jpgSource: The Economic Times, Jun 18, 2018

LONDON: The European Bank for Reconstruction and Development (EBRD) on Monday unveiled plans for a first-of-its-kind conference in India to welcome the country as its newest member.

The inaugural EBRD-FICCI Business Forum in Mumbai on Friday is themed around ‘Mobilising private sector finance in the EBRD region and how Indian companies can benefit’.

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Incofin plans $80-m fund for India

download.jpgSource: The Economic Times, Jun 19, 2018

Belgium-based Incofin Investment Management, which holds equity in India’s top microfinance companies, is now planning a $80-million fund exclusively for investing in India. This firm is also planning to spread its investments into food and agricultural sectors. The fund is seeking a majority of contribution from overseas investors. “India Progress Fund will be our first country-focused fund,” Incofin’s partner and co-head for Asia investments Aditya Bhandari told ET. He said Incofin’s all other funds were global with 15-20% allocation targeting investments in India.

At present, the global social impact investor holds equity shares in India’s ninth largest microfinance company, Fusion Microfinance.

HDFC Bank gets capital adequacy boost with Cabinet nod for Rs 240 bn FDI

download (2).jpgSource: Business Standard, Jun 13, 2018

In a move that is likely to make a marked improvement in HDFC Bank’s capital adequacy ratio, the Union Cabinet on Wednesday approved a proposal for foreign direct investment (FDI) worth Rs 240 billion for the lender.

The Cabinet has also approved a law for safety of dams, and has okayed the setting up of a National Committee for the purpose. State level committees will also be set up to oversee laws on dam safety at the state level.

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SBI to modify rules to ramp up investments in startups with Rs 500 mn fund

download (4).jpgSource: Business Standard, Jun 03, 2018

Mumbai: Country’s largest lender SBI, which has not been able to invest in fintech startups despite earmarking funds, is now looking to modify rules to kickstart the infusion, a top official has said.

“We are a public institution and investments in startups are generally considered very risky. We understand that traditional way of investing will not work,” chairman Rajnish Kumar told PTI on the sidelines of an event here over the weekend.

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India received Rs 14 lakh crore foreign funds in last 4 years

1.jpgSource:, May 30, 2018

New Delhi: India received a whopping Rs 14 lakh crore foreign funds in the last four years, External Affairs Minister Sushma Swaraj said today.

Listing the achievements of her ministry at a press conference, Swaraj said economic diplomacy has become a key component of its overall functioning in the last four years.

“India has received Rs 14 lakh crore from abroad between May 2014 and February 2018,” she said.Swaraj said the amount is 43 per cent higher than the funds received between 2010 and 2014.

She said her ministry has been playing a key role in implementation of several key schemes of the government and that the overall approach of the foreign policy has witnessed a major change under Prime MInister Narendra Modi.

Swaraj said the government has saved many people from severe punishments in several countries besides rescuing thousands of people from troubled areas.

The external affairs minister said her focus was to transform the ministry to a people-centric one.

Bank credit grows at 12.64%, deposits at 7.61%

Source:, May 24, 2018

Mumbai: Banks’ credit grew by 12.64 per cent year-on-year to Rs 85,51,099 crore in the fortnight ended May 11, 2018, according to an RBI data.

In the similar fortnight ended May 12, 2017, banks’ advances stood at Rs 75,90,941 crore.

In the previous fortnight ended April 27, 2018, bank credit had increased by 12.61 per cent to Rs 85,38,570 crore, from Rs 75,82,391 crore in the period ended April 28, 2017.

Banks’ deposits grew by 7.61 per cent to Rs 1,13,92,165 crore in the fortnight ended May 11, 2018, compared with Rs 1,05,86,083 crore in the fortnight ended May 12, 2017, the data by Reserve Bank of India (RBI) showed.

In the fortnight ended at April 27, 2018, deposits had grown by 8.20 per cent to Rs 1,14,30,786 crore.

In March this year, the non-food bank credit rose by 8.4 per cent, the same rate as in March 2017.

Loans to agriculture and allied activities increased by 3.8 per cent in March 2018, against an increase of 12.4 per cent in March 2017.

Advances to industry grew by 0.7 per cent in March 2018, compared with a contraction of 1.9 per cent in March 2017.