The already heated up RIL-RNRL gas dispute is likely to have five new stakeholders in the claim. Five more power plants have joined the fray for getting natural gas from RIL's KG-D6 fields and have even demanded a minimum allocation of 4.73 million cubic meters a day.
Among these new players, two power plants each in Delhi and Andhra Pradesh and one in Gujarat have demanded gas even before commissioning in the fiscal.
With a current production of 36 mmscmd gas from KG-D6, RIL supplies 18 mmscmd of gas to power plants. The total capacity to produce stands at 60 mmscmd but is hurdled to produce less as the government has not yet identified customers for buying gas beyond the initial 40 mmscmd, allocated primarily to fertiliser and power producers on a priority basis in accordance with the Gas Utilisation Policy.
RIL is bounded by the government terms not to sell gas to these and other users including its own refineries, until allocation is approved by the Government.
Showing posts with label News. Show all posts
Showing posts with label News. Show all posts
Wednesday, August 5, 2009
Saturday, August 1, 2009
J&K CM Omar Abdullah resumes office
Jammu and Kashmir Chief Minister Omar Abdullah resumed office today, a day after Governor N N Vohra rejected his resignation which he had tendered over allegations by a senior PDP leader of his being involved in the 2006 sex scandal case.
Dressed in Pathani suit, Omar was greeted by dozens of his staff who had lined up at the secretariat since morning.
The 39-year-old Chief Minister interacted with his staff and began his work by signing on some files.
He also held his usual morning meeting with his cabinet colleagues and later chaired a cabinet meeting.
Speaking to the media, he said, "I had to take a difficult decision in order to clear not only my own name but also to establish some respectability for politics and politicians in the state of Jammu and Kashmir."
He stressed that he had left the Assembly incident behind him as "I am not the one to dwell on the past. I look towards the future. I have never conducted myself or my politics with a view to extracting revenge and therefore what is done is done."
He said, "We have come to fulfill the aspirations of the people of the state rather than fight among ourselves. I believe in the highest political ethics, upright character and moral principles and my conviction is that only a person with unblemished character has the moral right to hold such positions from where he can serve people with full devotion and sincerity."
Dressed in Pathani suit, Omar was greeted by dozens of his staff who had lined up at the secretariat since morning.
The 39-year-old Chief Minister interacted with his staff and began his work by signing on some files.
He also held his usual morning meeting with his cabinet colleagues and later chaired a cabinet meeting.
Speaking to the media, he said, "I had to take a difficult decision in order to clear not only my own name but also to establish some respectability for politics and politicians in the state of Jammu and Kashmir."
He stressed that he had left the Assembly incident behind him as "I am not the one to dwell on the past. I look towards the future. I have never conducted myself or my politics with a view to extracting revenge and therefore what is done is done."
He said, "We have come to fulfill the aspirations of the people of the state rather than fight among ourselves. I believe in the highest political ethics, upright character and moral principles and my conviction is that only a person with unblemished character has the moral right to hold such positions from where he can serve people with full devotion and sincerity."
Japan's jobless rate at 6-year high
Japan’s unemployment rate rose to a six-year high in June and consumer prices fell at a record pace, adding to evidence the domestic economy is struggling to recover even as exports start to improve.
The jobless rate advanced to 5.4 percent from 5.2 percent in May, the statistics bureau said today in Tokyo, higher than the 5.3 percent median forecast of economists surveyed. Consumer prices excluding fresh food, the central bank’s preferred gauge, fell a record 1.7 percent in June, a separate report showed.
Economists expect the jobless rate to rise to a record 5.8 percent as companies cut costs. Deflation may erode profits even as factory output rebounds, further hampering Japan’s recovery from its deepest postwar recession.
“Worsening job prospects will continue to weigh on Japan’s recovery,” said Yasuhiro Onakado, chief economist in Tokyo at Daiwa SB Investments Ltd. in Tokyo. “The export recovery is helping production but capacity utilization is still low and companies are still saddled with excess capacity and employment.”
The yen traded at 95.30 per dollar at 12:04 p.m. in Tokyo from 95.46 before the report was published. The Nikkei 225 Stock Average rose 1.4 percent to 10,304.90, heading for its highest close since Oct 6, after Sony Corp. posted a smaller than expected quarterly loss.
Given Japan’s current production levels, companies have 6 million extra workers, the highest ever, the Cabinet Office said last week. A report yesterday showed that while output increased 2.4 percent in June from the previous month, it fell 23.4 percent from a year ago.
Record Low
The number of positions available to each job applicant rose stood at 0.43, a record low, the Labor Ministry said. Economists regard the ratio as a leading indicator for the unemployment rate.
Consumers have received temporary relief from the downturn from Prime Minister Taro Aso’s 25 trillion yen ($262 billion) in stimulus spending that included measures ranging from cash handouts to tax breaks on fuel-efficient vehicles. The packages helped bolster consumer confidence to an 18-month high in June.
Household spending rose 0.2 percent, a second monthly gain, a separate report showed today. Economists expected outlays to increase 0.5 percent. Retail sales fell 3 percent in June, the government said earlier this week.
“Consumer spending will clearly start weaken once the impact of the stimulus packages fades,” said Takeshi Minami, chief economist at Norinchukin Research Institute in Tokyo.
Nintendo Co. and Sony, the largest makers of game consoles, are facing mounting pressure to cut prices after reports yesterday showed sales of the motion-sensing Wii fell for the first time and PlayStation 3 shipments tumbled to a two-year low.
The U.S. unemployment rate rose to a quarter-century high of 9.5 percent in June and in the euro zone it reached a decade high of 9.5 percent in May.
Saving More
At home, consumers are starting to save more, prompting retailers to offer cheaper products to lure consumers. Department store operator Millenium Retailing Inc. will start selling cheaper, generic products in September, according to Nagatoshi Nii, spokesman at the retailer. Aeon Co., Japan’s second-largest retailer, started selling house-brand beer that’s 20 percent cheaper than equivalent products at major breweries.
The drop in consumer prices will probably accelerate through the third quarter and exceed 2 percent in reaction to last year’s record increases in oil, Bank of Japan board member Tadao Noda said yesterday. Declines will moderate after that as the economy improves, he added.
Summer bonuses at Japan’s largest companies will slide a record 18.3 percent this year, according to a survey published last month by the Keidanren, the country’s biggest business lobby. The average budget for this summer vacation for each individual dropped 18 percent to 88,000 yen ($925) from last year, the lowest in four years, Dentsu Research Inc. reported this week.
The jobless rate advanced to 5.4 percent from 5.2 percent in May, the statistics bureau said today in Tokyo, higher than the 5.3 percent median forecast of economists surveyed. Consumer prices excluding fresh food, the central bank’s preferred gauge, fell a record 1.7 percent in June, a separate report showed.
Economists expect the jobless rate to rise to a record 5.8 percent as companies cut costs. Deflation may erode profits even as factory output rebounds, further hampering Japan’s recovery from its deepest postwar recession.
“Worsening job prospects will continue to weigh on Japan’s recovery,” said Yasuhiro Onakado, chief economist in Tokyo at Daiwa SB Investments Ltd. in Tokyo. “The export recovery is helping production but capacity utilization is still low and companies are still saddled with excess capacity and employment.”
The yen traded at 95.30 per dollar at 12:04 p.m. in Tokyo from 95.46 before the report was published. The Nikkei 225 Stock Average rose 1.4 percent to 10,304.90, heading for its highest close since Oct 6, after Sony Corp. posted a smaller than expected quarterly loss.
Given Japan’s current production levels, companies have 6 million extra workers, the highest ever, the Cabinet Office said last week. A report yesterday showed that while output increased 2.4 percent in June from the previous month, it fell 23.4 percent from a year ago.
Record Low
The number of positions available to each job applicant rose stood at 0.43, a record low, the Labor Ministry said. Economists regard the ratio as a leading indicator for the unemployment rate.
Consumers have received temporary relief from the downturn from Prime Minister Taro Aso’s 25 trillion yen ($262 billion) in stimulus spending that included measures ranging from cash handouts to tax breaks on fuel-efficient vehicles. The packages helped bolster consumer confidence to an 18-month high in June.
Household spending rose 0.2 percent, a second monthly gain, a separate report showed today. Economists expected outlays to increase 0.5 percent. Retail sales fell 3 percent in June, the government said earlier this week.
“Consumer spending will clearly start weaken once the impact of the stimulus packages fades,” said Takeshi Minami, chief economist at Norinchukin Research Institute in Tokyo.
Nintendo Co. and Sony, the largest makers of game consoles, are facing mounting pressure to cut prices after reports yesterday showed sales of the motion-sensing Wii fell for the first time and PlayStation 3 shipments tumbled to a two-year low.
The U.S. unemployment rate rose to a quarter-century high of 9.5 percent in June and in the euro zone it reached a decade high of 9.5 percent in May.
Saving More
At home, consumers are starting to save more, prompting retailers to offer cheaper products to lure consumers. Department store operator Millenium Retailing Inc. will start selling cheaper, generic products in September, according to Nagatoshi Nii, spokesman at the retailer. Aeon Co., Japan’s second-largest retailer, started selling house-brand beer that’s 20 percent cheaper than equivalent products at major breweries.
The drop in consumer prices will probably accelerate through the third quarter and exceed 2 percent in reaction to last year’s record increases in oil, Bank of Japan board member Tadao Noda said yesterday. Declines will moderate after that as the economy improves, he added.
Summer bonuses at Japan’s largest companies will slide a record 18.3 percent this year, according to a survey published last month by the Keidanren, the country’s biggest business lobby. The average budget for this summer vacation for each individual dropped 18 percent to 88,000 yen ($925) from last year, the lowest in four years, Dentsu Research Inc. reported this week.
US GDP contracts 1.5% (5.4%) in April-June qtr
The U.S. economy probably shrank at a slower pace in the second quarter, a sign the worst recession in half a century is winding down, economists said before a report today.
Gross domestic product contracted at a 1.5 percent annual rate from April to June after dropping 5.5 percent the prior quarter, according to the median forecast of 78 economists surveyed by Bloomberg News. The report will also include benchmark revisions for prior quarters.
Profits at companies from Caterpillar Inc. to Dow Chemical Co. show the slump is easing as government efforts to revive lending and President Barack Obama’s stimulus take hold. Consumer spending, which accounts for 70 percent of the economy, may take time to recover as job losses mount, eroding the growth analysts anticipate will start this quarter.
“We’ve definitely turned the corner but it’s going to be a slow, agonizing recovery,” said John Silvia, chief economist at Wells Fargo Securities LLC in Charlotte, North Carolina. “We’re just not going to get the job growth that politicians promised and people expect. The consumer doesn’t want to spend a lot.”
The Commerce Department’s report on GDP, the sum of all goods and services produced, is due at 8:30 a.m. in Washington. Survey estimates ranged from a 0.7 percent gain to a decline of 2.9 percent.
A drop would be the fourth in a row, the longest losing streak since quarterly records began in 1947. The contraction so far has been the deepest since 1957-58.
Less Spending
The report may show consumer spending dropped at a 0.5 percent pace, the third decline in the last four quarters, the survey showed.
The economy has lost 6.5 million jobs since the recession began in December 2007, and economists surveyed by Bloomberg this month forecast the jobless rate will exceed 10 percent by early 2010.
“The United States economy has found bottom but will be slow in recovering as unemployment continues to be a drag on consumer spending,” Andrew Liveris, chief executive officer of Midland, Michigan-based Dow, said in a statement yesterday.
Second-quarter profit at Dow and at Peoria, Illinois-based Caterpillar, topped analysts’ estimates. Caterpillar, the world’s largest maker of construction equipment, said last week that stimulus programs in countries such as China were helping stabilize sales.
Slumps Easing
Recent reports showed the housing slump, which helped trigger the financial crisis last year, and the decline in manufacturing have eased. Housing starts rose in June as construction of single-family dwellings jumped by the most since 2004, Commerce reported earlier this month. Industrial production shrank in June at the slowest pace in eight months, according to figures from the Federal Reserve.
Most of the Fed’s 12 regional banks reported a slower pace of economic decline in June and July, the central bank’s regional survey of activity showed this week. Fed Chairman Ben S. Bernanke told Congress last week that there were “tentative signs of stabilization.”
Companies probably cut stockpiles further last quarter, setting the stage for recovery in production.
“With inventory levels in an ultra-lean state, businesses should start adding inventories in the second half of the year as the economy begins to show signs of life,” said Ellen Zentner, senior economist at Bank of Tokyo-Mitsubishi UFJ Ltd.
Automakers
General Motors Co. and Chrysler Group LLC, both out of bankruptcy, are among firms set to ramp up production as government efforts lift demand.
The “cash-for-clunkers” trade-in program begun this month has spurred 16,351 new-vehicle sales so far, the Transportation Department said this week. The plan has given out $68.9 million in subsidies out of the $1 billion set aside.
Economists project the economy will grow at an average 1.5 percent pace from July to December, according to a Bloomberg survey taken in early July. David Weidman, chief executive officer of Dallas-based chemical maker Celanese Corp., is among those seeing an improvement.
“We exited the quarter with increasing optimism,” as rising demand offered “clear signs of economic recovery,” Weidman said in an interview this week.
The Standard & Poor’s 500 Index and Dow Jones Industrial Average are up 12 percent since July 10 on better-than- anticipated earnings at companies from Motorola Inc. to 3M Co.
The country “may be seeing the beginning of the end of the recession,” Obama said this week. Even so, “we know the tough times aren’t over.”
U.S. Economy Probably Shrank at Slower Pace in Second Quarter
Gross domestic product contracted at a 1.5 percent annual rate from April to June after dropping 5.5 percent the prior quarter, according to the median forecast of 78 economists surveyed by Bloomberg News. The report will also include benchmark revisions for prior quarters.
Profits at companies from Caterpillar Inc. to Dow Chemical Co. show the slump is easing as government efforts to revive lending and President Barack Obama’s stimulus take hold. Consumer spending, which accounts for 70 percent of the economy, may take time to recover as job losses mount, eroding the growth analysts anticipate will start this quarter.
“We’ve definitely turned the corner but it’s going to be a slow, agonizing recovery,” said John Silvia, chief economist at Wells Fargo Securities LLC in Charlotte, North Carolina. “We’re just not going to get the job growth that politicians promised and people expect. The consumer doesn’t want to spend a lot.”
The Commerce Department’s report on GDP, the sum of all goods and services produced, is due at 8:30 a.m. in Washington. Survey estimates ranged from a 0.7 percent gain to a decline of 2.9 percent.
A drop would be the fourth in a row, the longest losing streak since quarterly records began in 1947. The contraction so far has been the deepest since 1957-58.
Less Spending
The report may show consumer spending dropped at a 0.5 percent pace, the third decline in the last four quarters, the survey showed.
The economy has lost 6.5 million jobs since the recession began in December 2007, and economists surveyed by Bloomberg this month forecast the jobless rate will exceed 10 percent by early 2010.
“The United States economy has found bottom but will be slow in recovering as unemployment continues to be a drag on consumer spending,” Andrew Liveris, chief executive officer of Midland, Michigan-based Dow, said in a statement yesterday.
Second-quarter profit at Dow and at Peoria, Illinois-based Caterpillar, topped analysts’ estimates. Caterpillar, the world’s largest maker of construction equipment, said last week that stimulus programs in countries such as China were helping stabilize sales.
Slumps Easing
Recent reports showed the housing slump, which helped trigger the financial crisis last year, and the decline in manufacturing have eased. Housing starts rose in June as construction of single-family dwellings jumped by the most since 2004, Commerce reported earlier this month. Industrial production shrank in June at the slowest pace in eight months, according to figures from the Federal Reserve.
Most of the Fed’s 12 regional banks reported a slower pace of economic decline in June and July, the central bank’s regional survey of activity showed this week. Fed Chairman Ben S. Bernanke told Congress last week that there were “tentative signs of stabilization.”
Companies probably cut stockpiles further last quarter, setting the stage for recovery in production.
“With inventory levels in an ultra-lean state, businesses should start adding inventories in the second half of the year as the economy begins to show signs of life,” said Ellen Zentner, senior economist at Bank of Tokyo-Mitsubishi UFJ Ltd.
Automakers
General Motors Co. and Chrysler Group LLC, both out of bankruptcy, are among firms set to ramp up production as government efforts lift demand.
The “cash-for-clunkers” trade-in program begun this month has spurred 16,351 new-vehicle sales so far, the Transportation Department said this week. The plan has given out $68.9 million in subsidies out of the $1 billion set aside.
Economists project the economy will grow at an average 1.5 percent pace from July to December, according to a Bloomberg survey taken in early July. David Weidman, chief executive officer of Dallas-based chemical maker Celanese Corp., is among those seeing an improvement.
“We exited the quarter with increasing optimism,” as rising demand offered “clear signs of economic recovery,” Weidman said in an interview this week.
The Standard & Poor’s 500 Index and Dow Jones Industrial Average are up 12 percent since July 10 on better-than- anticipated earnings at companies from Motorola Inc. to 3M Co.
The country “may be seeing the beginning of the end of the recession,” Obama said this week. Even so, “we know the tough times aren’t over.”
U.S. Economy Probably Shrank at Slower Pace in Second Quarter
2004-05 to be the new base year for inflation index: FM
Finance Minister Pranab Mukherjee today said the wholesale price index (WPI) series, used to calculate inflation in the country, will have 2004-05 as the base year.
"The WPI series is being upgraded with base year 2004-05 in lieu of the existing one with base year 1993-94," Mukherjee told the Lok Sabha, replying to a queation on price indices.
With the advancement of the base year and probably a revision of commodities in the index and their weights, it is expected that the index would provide a better picture of the current scenario of prices.
"The WPI will now become more representative of today's reality. I believe it will come along with the revision in commodities and weights," rating agency Crisil Principal Economist DK Joshi said.
Though Joshi said the WPI will become a better measure, he doubted if the government would include services in the index and said people will have to continue depending on other indices like the consumer price index.
"The WPI price data collection completely excludes the services sector," Mukherjee said, replying to whether the current system of collecting data for monitoring prices is faulty.
"The WPI series is being upgraded with base year 2004-05 in lieu of the existing one with base year 1993-94," Mukherjee told the Lok Sabha, replying to a queation on price indices.
With the advancement of the base year and probably a revision of commodities in the index and their weights, it is expected that the index would provide a better picture of the current scenario of prices.
"The WPI will now become more representative of today's reality. I believe it will come along with the revision in commodities and weights," rating agency Crisil Principal Economist DK Joshi said.
Though Joshi said the WPI will become a better measure, he doubted if the government would include services in the index and said people will have to continue depending on other indices like the consumer price index.
"The WPI price data collection completely excludes the services sector," Mukherjee said, replying to whether the current system of collecting data for monitoring prices is faulty.
71% of urban India students use PC: Survey
A striking 71% of students in Indian metropolitan areas say they use personal computers, according to a new survey by information technology giant Tata Consultancy Services Ltd.
And 66 % of students in the southern city of Bangalore said they were active on blogging and social networking sites, compared with 39% nationally, the same survey found.
The survey of nearly 14,000 kids studying in English-language schools in 12 major cities in India shows schoolchildren here have embraced technology and the Internet, with Google and Wikipedia overtaking the library as the most trusted source of information.
The survey "confirms that today's students are shifting their academic and social life online and embracing the digital world as true digital natives," said S. Ramadorai, chief executive officer and managing director of Tata Consultancy.
Conducted in 2008 and 2009, the survey is the outgrowth of a quiz show that Tata Consultancy launched a decade ago in English schools across India to create an interest in technology. Through the survey, Tata Consultancy hopes to connect with potential employees by gaining a better understanding of how young people use technology to work, play and think, company officials said.
Rising incomes among India's middle class have meant that more families are likely to own a personal computer.
Among the many significant findings of the survey was the fact that the highest percentage of users of personal computers were in Bangalore and Delhi -- at 77%.
Some 63% of children surveyed said they spent more than an hour each day on the Internet; 41% of school children surveyed chose Google as a source of information, while 46% said they use online sources to access news.
Far fewer children reported using the library. Cochin in Kerala ranked the highest in library usage, at 14%.
Blogging and social networking also appear to be gaining ground. Higher education abroad remains a common goal among students. The U.S. remains the most popular study destination with nearly 40% preferring to study there, the survey found. However, when it comes to their careers, 49% said they would like to stay in India.
Laptops and Ipod players do not appear to have reached many homes, according the survey. Mumbai had the highest laptop penetration, at 38%, compared to the national average of 19%. Tata Consultancy is one of India's largest information technology players, with 48,000 employees in India, 95% of whom are 25 years old or younger.
And 66 % of students in the southern city of Bangalore said they were active on blogging and social networking sites, compared with 39% nationally, the same survey found.
The survey of nearly 14,000 kids studying in English-language schools in 12 major cities in India shows schoolchildren here have embraced technology and the Internet, with Google and Wikipedia overtaking the library as the most trusted source of information.
The survey "confirms that today's students are shifting their academic and social life online and embracing the digital world as true digital natives," said S. Ramadorai, chief executive officer and managing director of Tata Consultancy.
Conducted in 2008 and 2009, the survey is the outgrowth of a quiz show that Tata Consultancy launched a decade ago in English schools across India to create an interest in technology. Through the survey, Tata Consultancy hopes to connect with potential employees by gaining a better understanding of how young people use technology to work, play and think, company officials said.
Rising incomes among India's middle class have meant that more families are likely to own a personal computer.
Among the many significant findings of the survey was the fact that the highest percentage of users of personal computers were in Bangalore and Delhi -- at 77%.
Some 63% of children surveyed said they spent more than an hour each day on the Internet; 41% of school children surveyed chose Google as a source of information, while 46% said they use online sources to access news.
Far fewer children reported using the library. Cochin in Kerala ranked the highest in library usage, at 14%.
Blogging and social networking also appear to be gaining ground. Higher education abroad remains a common goal among students. The U.S. remains the most popular study destination with nearly 40% preferring to study there, the survey found. However, when it comes to their careers, 49% said they would like to stay in India.
Laptops and Ipod players do not appear to have reached many homes, according the survey. Mumbai had the highest laptop penetration, at 38%, compared to the national average of 19%. Tata Consultancy is one of India's largest information technology players, with 48,000 employees in India, 95% of whom are 25 years old or younger.
No scrutiny by SEBI in shares trading of Jai Corp: Govt
The government today said that market regulator Securities and Exchange Board of India (Sebi) has not launched any investigation in the trading of scrips of Jai Corp, which is engaged in the business of developing SEZ, infrastructure and real estate.
"...During the period of last two years, no formal investigation has been initiated by Sebi into the dealing in the shares of Jai Corp as preliminary analysis did not reveal any adverse observations that required further examination," Minister of State for Finance Namo Narain Meena informed the Lower House.
He further said Sebi and the exchanges have put in place surveillance systems to monitor trading activity of listed companies.
During the year 2007-08 and 2008-09, Sebi had completed investigations in 169 and 116 cases, respectively, for various types of irregularities that include market manipulation, price rigging, insider trading and others.
"Sebi remains vigilant at all times to detect any malpractices in the market and wherever warranted, takes actions against the entities violating the provision of Sebi Act, Rules and Regulations," he added.
No scrutiny by Sebi in shares trading of Jai Corp: Govt
"...During the period of last two years, no formal investigation has been initiated by Sebi into the dealing in the shares of Jai Corp as preliminary analysis did not reveal any adverse observations that required further examination," Minister of State for Finance Namo Narain Meena informed the Lower House.
He further said Sebi and the exchanges have put in place surveillance systems to monitor trading activity of listed companies.
During the year 2007-08 and 2008-09, Sebi had completed investigations in 169 and 116 cases, respectively, for various types of irregularities that include market manipulation, price rigging, insider trading and others.
"Sebi remains vigilant at all times to detect any malpractices in the market and wherever warranted, takes actions against the entities violating the provision of Sebi Act, Rules and Regulations," he added.
No scrutiny by Sebi in shares trading of Jai Corp: Govt
Bankers hail addl authentication for card purchases
The Reserve Bank's move to make additional authentication mandatory for credit/debit card online purchases from tomorrow is expected to effectively check card-related frauds, bankers said today.
“This will definitely help in preventing many cash frauds while using credit or debit cards for online purchases. Enhancing the security level is much needed in the face of rising usage of cards for online transactions,” IDBI Bank's Executive Director Sushil Muhnot told PTI here.
As per the RBI guidelines, customers will have to register their cards from tomorrow with the respective merchants- Visa or Master Card and create a security password.
When making online purchases, the cardholder will have to use this second verification in addition to the Card Verification Value Number (CVV), which is the main safety
parameter used currently.
A senior State Bank of India (SBI) official said, although, the implementation of the new method may create some technology challenges to banks, the move will enhance customer confidence to go for online purchases.
“There may be some challenges in the initial stage to implement the new method as banks have to be ready with the software required to identify the second authentication or password while making transactions," the official said.(MORE)
However, the Reserve Bank's decision to step up security for card shopping will significantly help to reduce the misuse of cards, he said.
“At present, the CVV number, date of birth and the expiry date on the cards are used to ensure secured purchases. This is not sufficient in the present context where fraudsters
find new ways to misuse the cards,” a senior official with a leading private sector bank said.
The apex bank decided to introduce a second level of security for online transactions using credit/debit cards in the backdrop of escalating number of credit card frauds across the country.
“This will definitely help in preventing many cash frauds while using credit or debit cards for online purchases. Enhancing the security level is much needed in the face of rising usage of cards for online transactions,” IDBI Bank's Executive Director Sushil Muhnot told PTI here.
As per the RBI guidelines, customers will have to register their cards from tomorrow with the respective merchants- Visa or Master Card and create a security password.
When making online purchases, the cardholder will have to use this second verification in addition to the Card Verification Value Number (CVV), which is the main safety
parameter used currently.
A senior State Bank of India (SBI) official said, although, the implementation of the new method may create some technology challenges to banks, the move will enhance customer confidence to go for online purchases.
“There may be some challenges in the initial stage to implement the new method as banks have to be ready with the software required to identify the second authentication or password while making transactions," the official said.(MORE)
However, the Reserve Bank's decision to step up security for card shopping will significantly help to reduce the misuse of cards, he said.
“At present, the CVV number, date of birth and the expiry date on the cards are used to ensure secured purchases. This is not sufficient in the present context where fraudsters
find new ways to misuse the cards,” a senior official with a leading private sector bank said.
The apex bank decided to introduce a second level of security for online transactions using credit/debit cards in the backdrop of escalating number of credit card frauds across the country.
Parsvnath to raise up to Rs 750 cr via QIP
Realty major Parsvnath Developers plans to raise Rs 500-750 crore through private placements of shares within two weeks for reducing its debt and completion of the ongoing projects.
In the first phase, the company is likely to raise $100-150 million (Rs 500-750 crore) through qualified institutional placements (QIPs), sources said, adding that the QIP is likely to be launched in the next two weeks.
"The company is planning to issue fresh shares for the QIP. Post-issue, the promoters stake will come down by 15-20 per cent," a source said.
Earlier, the Parsvnath board of directors had approved raising of up to Rs 2,500 crore through various instruments, including issue of further securities to persons other than the existing equity shareholders of the company and also by way of QIP to qualified institutional buyers.
When contacted, Parsvnath Chairman Pradeep Jain said: "We are planning to raise 100-150 million dollars in the coming days depending on the market conditions."
About 65 per cent of the funds raised would be utilised to cut the company's debt, which currently stands at about Rs 1,600 crore, and rest for completing the existing projects, sources said.
Parsvnath is aiming at reducing its debt to about Rs 600-700 crore by the end of this fiscal.
The company has a land bank of about 193 million sq ft, of which 80 million sq ft is under construction.
Parsvnath, which has presence across 50 cities and 17 states, is operating in all the verticals of real estate that includes housing, retail, offices, SEZs, hotels, IT Parks and integrated townships.
In the last few months, many real estate firms, which are facing a huge slowdown in demand for their properties since the last one year, have raised funds through QIPs.
In the first phase, the company is likely to raise $100-150 million (Rs 500-750 crore) through qualified institutional placements (QIPs), sources said, adding that the QIP is likely to be launched in the next two weeks.
"The company is planning to issue fresh shares for the QIP. Post-issue, the promoters stake will come down by 15-20 per cent," a source said.
Earlier, the Parsvnath board of directors had approved raising of up to Rs 2,500 crore through various instruments, including issue of further securities to persons other than the existing equity shareholders of the company and also by way of QIP to qualified institutional buyers.
When contacted, Parsvnath Chairman Pradeep Jain said: "We are planning to raise 100-150 million dollars in the coming days depending on the market conditions."
About 65 per cent of the funds raised would be utilised to cut the company's debt, which currently stands at about Rs 1,600 crore, and rest for completing the existing projects, sources said.
Parsvnath is aiming at reducing its debt to about Rs 600-700 crore by the end of this fiscal.
The company has a land bank of about 193 million sq ft, of which 80 million sq ft is under construction.
Parsvnath, which has presence across 50 cities and 17 states, is operating in all the verticals of real estate that includes housing, retail, offices, SEZs, hotels, IT Parks and integrated townships.
In the last few months, many real estate firms, which are facing a huge slowdown in demand for their properties since the last one year, have raised funds through QIPs.
Software sector targets $54 bn exports in FY10
Slowdown hit, India's software exporters are exploring new markets in the middle east and Africa to increase IT exports by 10 per cent and touch $54 billion in the current fiscal.
IT software exports were valued at $49.5 billion in 2008-09, which was about 14 per cent more than that in 2007-08.
"We are not expecting much growth in exports in 2009-10 due to the global slowdown," Electronics and Computer Software Export Promotion Council (ESC) Executive Director D K Sareen said. The ESC, however, has set a higher target for growth in electronics hardware exports, he added.
The council has set a target to earn $4.5 billion from electronics hardware export in the current fiscal which is about 15 per cent more than the shipments of $3.9 billion in 2008-09.
With most of the country's main markets like the US and EU reeling under the impact of demand slowdown, the ESC is encouraging the industry to explore Middle East, Latin America, South African region and Japan to increase exports.
India will be showcasing its strength in IT hardware, software and services and telecom sectors at GITEX, an IT exhibition in Dubai. India had exported electronics hardware and software worth $980 million to Middle East countries in 2007-08.
IT software exports were valued at $49.5 billion in 2008-09, which was about 14 per cent more than that in 2007-08.
"We are not expecting much growth in exports in 2009-10 due to the global slowdown," Electronics and Computer Software Export Promotion Council (ESC) Executive Director D K Sareen said. The ESC, however, has set a higher target for growth in electronics hardware exports, he added.
The council has set a target to earn $4.5 billion from electronics hardware export in the current fiscal which is about 15 per cent more than the shipments of $3.9 billion in 2008-09.
With most of the country's main markets like the US and EU reeling under the impact of demand slowdown, the ESC is encouraging the industry to explore Middle East, Latin America, South African region and Japan to increase exports.
India will be showcasing its strength in IT hardware, software and services and telecom sectors at GITEX, an IT exhibition in Dubai. India had exported electronics hardware and software worth $980 million to Middle East countries in 2007-08.
Telenor stake hike in Unitech's arm awaits govt's nod
Govt awaits interior min nod to clear Telenor deal
India's finance ministry is waiting for comments from the home ministry before deciding whether to approve an increased investment by Norway's Telenor in local telecom carrier Unitech Wireless, a minister said on Friday.
Telenor has a 49 percent stake in Unitech Wireless, the telecoms arm of Unitech Ltd, and has an agreement to lift that to 67.25 percent, which would bring its total investment to 61.2 billion rupees ($1.3 billion).
Under India's foreign investment rules, telecoms firms can sell up to a 49 percent stake to foreigners under an "automatic" route but need clearance from the Foreign Investment Promotion Board (FIPB), an arm of the finance ministry, to go above that level.
Foreign ownership in telecoms firms is capped at 74 percent.
Earlier, the FIPB had deferred its decision on Unitech Wireless' proposal to increase foreign holdings in the company to up to 74 percent, without giving any reason.
"The proposal was deferred for want of comments from ministry of home affairs," Junior Finance Minister Namo Narain Meena said on Friday in a written reply to a question in the Parliament, without elaborating.
A spokesman for Unitech Wireless declined comment when asked why the company was seeking approval to increase foreign holdings to up to 74 percent, but said there was no change in Telenor's proposed stake buy of a total 67.25 percent.
The Economic Times reported on Thursday that the government was set to give security clearance to Telenor on condition that none of the staff who have worked in the company's Pakistan operations are employed in India.
Indian media reports have cited Telenor's operations in Pakistan as raising security concerns for Indian authorities.
(US$=48.17 rupees)
India's finance ministry is waiting for comments from the home ministry before deciding whether to approve an increased investment by Norway's Telenor in local telecom carrier Unitech Wireless, a minister said on Friday.
Telenor has a 49 percent stake in Unitech Wireless, the telecoms arm of Unitech Ltd, and has an agreement to lift that to 67.25 percent, which would bring its total investment to 61.2 billion rupees ($1.3 billion).
Under India's foreign investment rules, telecoms firms can sell up to a 49 percent stake to foreigners under an "automatic" route but need clearance from the Foreign Investment Promotion Board (FIPB), an arm of the finance ministry, to go above that level.
Foreign ownership in telecoms firms is capped at 74 percent.
Earlier, the FIPB had deferred its decision on Unitech Wireless' proposal to increase foreign holdings in the company to up to 74 percent, without giving any reason.
"The proposal was deferred for want of comments from ministry of home affairs," Junior Finance Minister Namo Narain Meena said on Friday in a written reply to a question in the Parliament, without elaborating.
A spokesman for Unitech Wireless declined comment when asked why the company was seeking approval to increase foreign holdings to up to 74 percent, but said there was no change in Telenor's proposed stake buy of a total 67.25 percent.
The Economic Times reported on Thursday that the government was set to give security clearance to Telenor on condition that none of the staff who have worked in the company's Pakistan operations are employed in India.
Indian media reports have cited Telenor's operations in Pakistan as raising security concerns for Indian authorities.
(US$=48.17 rupees)
Govt moves bill to up LIC's equity, dividend payout
The federal government on Friday moved a bill in parliament to raise the capital base of state-run Life Insurance Corp and enable it to pay up to 10 percent dividend to the government.
The LIC (amendment) Bill, introduced by Finance Minister Pranab Mukherjee in the lower house of parliament, proposes to raise the paid-up capital of the insurer to 1 billion rupees or more from the present 50 million rupees.
The bill also said the insurer could get sovereign guarantee for its products to the extent needed.
LIC can allocate 90 percent or more of its surplus to policy holders or keep it in a separate account, it said, adding the remaining could be paid to the government as dividend.
Earlier, junior finance minister Namo Narain Meena said the total premium income of market leader LIC grew 4.45 percent to 1.56 trillion rupees in FY09, lower than the 17.19 percent expansion seen in 2007/08.
The overall premium income of all the life insurers stood at 2.24 trillion rupees at the end of FY09, compared with 2.01 trillion rupees in the previous year, he added.
The LIC (amendment) Bill, introduced by Finance Minister Pranab Mukherjee in the lower house of parliament, proposes to raise the paid-up capital of the insurer to 1 billion rupees or more from the present 50 million rupees.
The bill also said the insurer could get sovereign guarantee for its products to the extent needed.
LIC can allocate 90 percent or more of its surplus to policy holders or keep it in a separate account, it said, adding the remaining could be paid to the government as dividend.
Earlier, junior finance minister Namo Narain Meena said the total premium income of market leader LIC grew 4.45 percent to 1.56 trillion rupees in FY09, lower than the 17.19 percent expansion seen in 2007/08.
The overall premium income of all the life insurers stood at 2.24 trillion rupees at the end of FY09, compared with 2.01 trillion rupees in the previous year, he added.
ABG Shipyard confirms 8% stake in Great Offshore
Open offer price for Great Offshore may go to Rs 500/sh
ABG Shipyard increased its stake in Great Offshore to 8% and revised open offer price to Rs 450 per share. However Bharati Shipyard had an upper hand, as it held 20% stake in Great Offshore. The price revision could be as high as Rs 500 per share from Bharati Shipyard to counter the current open offer price.
ABG Shipyard increased its stake in Great Offshore to 8% and revised open offer price to Rs 450 per share. However Bharati Shipyard had an upper hand, as it held 20% stake in Great Offshore. The price revision could be as high as Rs 500 per share from Bharati Shipyard to counter the current open offer price.
Subhiksha CDR misses July 31 deadline
Subhiksha Corporate Debt Restructuring (CDR) misses July 31 deadline. The reason being the report is not ready yet.
Banks provide for most of Rs 850 cr loans this quarter. Banks are likely to extend CDR by another month. Banks have asked Subhiksha promoters to bring Rs 250 cr.
ICICI Bank, HDFC Bank, BOB are BOI are some of these bankers.
Subhiksha owes Rs 181.50 crore to ICICI Bank, Rs 149.89 crore to HDFC Bank, Rs 75 crore to Bank of Baroda, Rs 50 crore to Bank of India, Rs 50 crore to Federal Bank and another Rs 50 crore to Yes Bank.
Banks provide for most of Rs 850 cr loans this quarter. Banks are likely to extend CDR by another month. Banks have asked Subhiksha promoters to bring Rs 250 cr.
ICICI Bank, HDFC Bank, BOB are BOI are some of these bankers.
Subhiksha owes Rs 181.50 crore to ICICI Bank, Rs 149.89 crore to HDFC Bank, Rs 75 crore to Bank of Baroda, Rs 50 crore to Bank of India, Rs 50 crore to Federal Bank and another Rs 50 crore to Yes Bank.
Essar Oil picks 50% stake in Kenya-based refinery
Ruias-owned Essar Oil today announced acquisition of 50 per cent stake in a 4 million tonnes oil refinery in Kenya.
The company acquired 50 per cent stake of western energy majors Shell BP and Chevron in Kenya Petroleum Refineries Ltd, Essar said in a press release.
The company, however, did not give the acquisition price.
The acquisition was done through Essar Energy Overseas Ltd. The Government of Kenya holds the remaining 50 per cent stake in the company.
KPRL is a 4 million metric tonne (MMTPA) per annum refinery in Mombasa, Kenya.
"This acquisition marks Essars foray in overseas refining market and is a step towards realising its vision of a global refining capacity of 1 million barrels per day," the release said.
Essar Oil operates a 2,80,000 bpd refinery at Vadinar in Gujarat.
The company acquired 50 per cent stake of western energy majors Shell BP and Chevron in Kenya Petroleum Refineries Ltd, Essar said in a press release.
The company, however, did not give the acquisition price.
The acquisition was done through Essar Energy Overseas Ltd. The Government of Kenya holds the remaining 50 per cent stake in the company.
KPRL is a 4 million metric tonne (MMTPA) per annum refinery in Mombasa, Kenya.
"This acquisition marks Essars foray in overseas refining market and is a step towards realising its vision of a global refining capacity of 1 million barrels per day," the release said.
Essar Oil operates a 2,80,000 bpd refinery at Vadinar in Gujarat.
Off-Budget expenditure doubles at Rs 97,019 cr
The off-budget expenditure incurred by the government has almost doubled since 2006-07 to Rs 97,019 crore in 2008-09, Parliament was informed today.
Off-budget expenditure, which includes subsidies on oil, fertiliser and food, stood at 1.79 per cent of GDP in the last fiscal, Minister of State for Finance Namo Narain Meena told the Lok Sabha in a written reply.
Meena said the off-budget expenditure was Rs 40,361 crore in 2006-07, 0.98 per cent of GDP, and subsequently increased to Rs 97,019 crore the last fiscal.
To another query, Meena said the Indian economy will grow around 7 per cent this fiscal.
For maintaining the growth momentum, the government has taken a slew of measures like providing fiscal stimulus packages and stimulating investment in infrastructure, Meena said.
The government has also increased the budgetary allocation for 2009-10 plan and non-plan expenditure by 34 per cent and 37 per cent, respectively, over the Budget estimates of last fiscal.
Off-budget expenditure, which includes subsidies on oil, fertiliser and food, stood at 1.79 per cent of GDP in the last fiscal, Minister of State for Finance Namo Narain Meena told the Lok Sabha in a written reply.
Meena said the off-budget expenditure was Rs 40,361 crore in 2006-07, 0.98 per cent of GDP, and subsequently increased to Rs 97,019 crore the last fiscal.
To another query, Meena said the Indian economy will grow around 7 per cent this fiscal.
For maintaining the growth momentum, the government has taken a slew of measures like providing fiscal stimulus packages and stimulating investment in infrastructure, Meena said.
The government has also increased the budgetary allocation for 2009-10 plan and non-plan expenditure by 34 per cent and 37 per cent, respectively, over the Budget estimates of last fiscal.
ATF prices up by Rs 620/kl w.e.f. midnight
State-run oil firms today increased jet fuel prices marginally by 1.6 per cent on the back of rising international oil rates.
Aviation turbine fuel rates in Delhi were increased by Rs 585 per kilolitre to Rs 36,923 per kl, effective midnight tonight, an official of Indian Oil Corporation (IOC) said.
The increase follows a sharp 5.7 per cent cut in jet fuel prices two weeks ago.
Indian Oil, Bharat Petroleum and Hindustan Petroleum had in the past two months raised ATF rates four times on firming international oil prices. Jet fuel rates were Rs 31,614.51 per kl on May 1 and in four turns they were raised to Rs 38,557.56 per kl by July 1.
The rate was lowered to Rs 36,338 per kl on July 16.
In Mumbai, home to the nation's busiest airport, the rate will be increased to Rs 38,098 per kl from Rs 37,475 per kl.
The increase in ATF price, which constitutes 40 per cent of airlines' operating cost, will add to the margin pressures of the cash-strapped domestic carriers.
Jet fuel in Kolkata will be dearer by Rs 649 per kl at Rs 45,060, while in Chennai the price has been increased to Rs 40,789 per kl from Rs 40,164 per kl.
Aviation turbine fuel rates in Delhi were increased by Rs 585 per kilolitre to Rs 36,923 per kl, effective midnight tonight, an official of Indian Oil Corporation (IOC) said.
The increase follows a sharp 5.7 per cent cut in jet fuel prices two weeks ago.
Indian Oil, Bharat Petroleum and Hindustan Petroleum had in the past two months raised ATF rates four times on firming international oil prices. Jet fuel rates were Rs 31,614.51 per kl on May 1 and in four turns they were raised to Rs 38,557.56 per kl by July 1.
The rate was lowered to Rs 36,338 per kl on July 16.
In Mumbai, home to the nation's busiest airport, the rate will be increased to Rs 38,098 per kl from Rs 37,475 per kl.
The increase in ATF price, which constitutes 40 per cent of airlines' operating cost, will add to the margin pressures of the cash-strapped domestic carriers.
Jet fuel in Kolkata will be dearer by Rs 649 per kl at Rs 45,060, while in Chennai the price has been increased to Rs 40,789 per kl from Rs 40,164 per kl.
RBI MAY REVIEW EASY MONEY POLICY
RBI for rollback of monetary expansion to check inflation
The RBI governor, D Subbarao, today made a strong case for a rollback of the expansionary monetary policy being pursued to combat the impact of the global financial meltdown, saying it could result in another bout of inflationary pressure.
"Creation of high power money in the face of large fiscal
deficit...is not costless; it can sow the seeds of the next
inflationary cycle," Subbaro said, delivering the JRD Tata
Memorial lecture organised by the industry body Assocham here.
RBI had made available a potential liquidity of Rs
5.60 lakh crore, nearly 9 per cent of Gross Domestic Product
(GDP), to help the country tide over the liquidity crisis
following the global financial meltdown triggered by the
collapse of America's iconic investment banker Lehman Brothers in mid-September.
Noting that RBI would continue to pursue an accommodative monetary policy until the economic conditions improve, he said, "reversing the expansionary policies is definitely on the agenda (of the central bank).
"The current monetary and fiscal stance is, however,
not the steady state. The Reserve Bank needs to roll back the special monetary accommodation", he stressed
The RBI, Subbarao said, will roll back the easy monetary
policy after the government shows credible commitment to
fiscal responsibility and the economy manifests more definite signs of recovery.
The challenge for the central bank is to simultaneously
maintain a comfortable liquidity situation and anchor
inflationary expectations, he said.
Inflation, which has been in the negative zone since
June, fell to (-)1.54 per cent for the week ended July 18 even as prices of essential food items like cereals, pulses, fruit and vegetables rose.
The Governor said the RBI's objective is to
simultaneously maintain price stability, financial stability
and growth but it cannot do much to tame a supply driven
inflation except as a line of defence in extreme situation.
Noting that the government borrowing programme has
increased substantially, the Governor said it militates
against the low interest regime.
"Government borrowing had resulted in firming up of
yields, notwithstanding the substantial excess liquidty,
militating against the low interest rate regime that we want," Subbaro said.
The RBI governor, D Subbarao, today made a strong case for a rollback of the expansionary monetary policy being pursued to combat the impact of the global financial meltdown, saying it could result in another bout of inflationary pressure.
"Creation of high power money in the face of large fiscal
deficit...is not costless; it can sow the seeds of the next
inflationary cycle," Subbaro said, delivering the JRD Tata
Memorial lecture organised by the industry body Assocham here.
RBI had made available a potential liquidity of Rs
5.60 lakh crore, nearly 9 per cent of Gross Domestic Product
(GDP), to help the country tide over the liquidity crisis
following the global financial meltdown triggered by the
collapse of America's iconic investment banker Lehman Brothers in mid-September.
Noting that RBI would continue to pursue an accommodative monetary policy until the economic conditions improve, he said, "reversing the expansionary policies is definitely on the agenda (of the central bank).
"The current monetary and fiscal stance is, however,
not the steady state. The Reserve Bank needs to roll back the special monetary accommodation", he stressed
The RBI, Subbarao said, will roll back the easy monetary
policy after the government shows credible commitment to
fiscal responsibility and the economy manifests more definite signs of recovery.
The challenge for the central bank is to simultaneously
maintain a comfortable liquidity situation and anchor
inflationary expectations, he said.
Inflation, which has been in the negative zone since
June, fell to (-)1.54 per cent for the week ended July 18 even as prices of essential food items like cereals, pulses, fruit and vegetables rose.
The Governor said the RBI's objective is to
simultaneously maintain price stability, financial stability
and growth but it cannot do much to tame a supply driven
inflation except as a line of defence in extreme situation.
Noting that the government borrowing programme has
increased substantially, the Governor said it militates
against the low interest regime.
"Government borrowing had resulted in firming up of
yields, notwithstanding the substantial excess liquidty,
militating against the low interest rate regime that we want," Subbaro said.
Friday, July 31, 2009
Lower newsprint costs boosted PAT: Deccan Chronicle
Deccan Chronicle Holdings declared its first quarter numbers for the financial year 2010. Its net sales came in at Rs 216.6 crore and its net profit stood at Rs 77 crore.
Speaking on the company’s results, PK Iyer, Managing Director of Deccan Chronicle said though the volumes were down on year-on-year basis, they were cautiously optimistic about the future. “Lower newsprint costs boosted net profit,” he added.
Speaking on the company’s results, PK Iyer, Managing Director of Deccan Chronicle said though the volumes were down on year-on-year basis, they were cautiously optimistic about the future. “Lower newsprint costs boosted net profit,” he added.
FY10 turnover seen at Rs 1000cr, PAT at Rs 50cr: Rico Auto
Rico Auto has announced its first quarter results. The company Q1 revenues were down 6.7% at Rs 180 crore versus Rs 193 crore. Its PAT was up at Rs 2.6 crore versus Rs 61 lakh. Its OPM was up at 11% versus 10.6%;
Arvind Kapur, Managing Director of Rico Auto Industries, said that he saw the FY10 turnover at Rs 1,000 crore. He added that they aimed to achieve a FY10 profit after tax (PAT) of Rs 40–50 crore and added that they were targeting an EBITDA margin of 15%. Kapur expects Rico Auto's revenues from Maruti to grow by 15–20%.
Arvind Kapur, Managing Director of Rico Auto Industries, said that he saw the FY10 turnover at Rs 1,000 crore. He added that they aimed to achieve a FY10 profit after tax (PAT) of Rs 40–50 crore and added that they were targeting an EBITDA margin of 15%. Kapur expects Rico Auto's revenues from Maruti to grow by 15–20%.
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