The ace digital payment app- Bharat Interface for Money has seen a record 17 million installations so far according to NITI Ayog. This is a world record as it was launched just at the end of December last year. The NITI Ayog’s CEO- Amitabh Kant described that what matters is to keep the momentum for the BHIM drive. The BHIM App as a digital payment interface is getting increasingly accepted among people especially in the context of the demonetisation driven digital payment campaign according to the NITI CEO. One updation in the form a new payment option ‘Pay to Aaadhar was made since its launch. Now the app is available in seven vernacular languages besides Hindi and
Crude has ended its ten-week consecutive rise to stop and fell to $ 54.3 (Brent) from the previous week high of $58. This was amidst prospects of robust supply by the US Shale and Iraqi producers. The new price trend of crude shows limitations of OPEC’s production cut. The oil cartel agreed for a production cut for the first time in nearly eight years in last month. On November 30 last year, the cartel decided to trim output to 32.5 mn barrels a day, supported by Russia. Markets were keenly observing the success of the OPEC policy in a world market where several producers were outside the cartel besides the rookie shale going ultra-market oriented. “Concerns about th
Financial sector disruptor, Vijay Shekhar Sharma’s Paytm has got the approval to launch its payment bank business. The digital payment leader is expected to start payment bank operations by next month. “Today, RBI gave permission to formally launch Paytim Payments Bank. We cant wait to bring it in front of you” Vijay Shekhar Sharma remarked in blog. Payment bank operation will enable the company to launch the high graded open system payment instruments or the multipurpose cards. Payment bank license allows the holder to accept deposits without extending credit. The business is especially good for digital transaction firms as it will help them to deal with public
Government and the RBI are working hard to promote cashless transactions in the economy. Several incentives are declared to maximize the cash constraint situation to promote cashless transactions. Despite some difficulties like lack of digital and tech knowledge among bulk of the people, inadequate digital payment infrastructure and prevailing bias towards cash oriented transactions, these measures may bring up the volume of cashless transactions. The support measures launched by the government covers incentives in the form of tax (service tax) concessions, bonus (petrol, railways, insurance), promotion of digital infrastructure (PoS machines, cards etc.) and reduction of charges (
Post demonetization, the country’s Jan Dhan Yojana account’s deposits have gone up from Rs 45636 crore to Rs 66366 crores. JDY as the basic bank account facility provided to the so far unbanked people registered a growth rate in deposits by nearly 50% from November 9 onwards. Government fears that the account has been rented out for money laundering purposes to keep black money. There are nearly 25 crore Pradhan Mantri Jan Dhan Yojana accounts in the country which were launched as a pet project of the PM. The accounts have only low KYC norm requirements especially for those who have a deposit limit of Rs 50000 or less. Finance Minister Arun Jaitely earlier warne
The banking industry in the country’s tiny shock from the debit card data breach may initiate bank initiated data protection measures according to the industry experts. Reserve Bank of India already held a meeting of major bankers and payment industry experts to avoid such incidents in future. In the meeting held on Monday, the RBI asked all lenders to report cyber security issues on a real-time basis. This increases the administrative burden of banks to ensure data security as every case of breach has to be immediately reported. Similarly, banks may have to centralize their cyber security operations instead of outsourcing it. Earlier in an instruction to banks, the RBI po
After registering a one-year high, crude prices came down by a dollar in the international market on Tuesday. Cold response from Russian oil industry on production cut is cited as the major reason for the price fall trend. The new turnaround in the global market casts doubts about the strength of the new production cutting agreement between Saudi Arabia from the part of OPEC and Russia. Oil prices that jumped by 3 percent on Monday, after the Russia and Saudi Arabia reached a trend-setting deal bringing cooperation between OPEC and non-OPEC producers. But Brent oil futures fell to $52.84 on Tuesday from $53.73 on the previous day. The International Energy Agency also raised dou
The oil cartel – OPEC has agreed on a path-breaking oil production cut that may test the current low crude price era. This is the first time in eight years that the influential organization of the oil producers agreeing on production cut to stabilize prices. The last production limiting consensus was in 2008. In the latest meeting at Algiers, the OPEC countries decided to limit production to a range of 32.5 to 33 million barrels of oil per day from 33.4 million at present. The production cut will be led by Saudi Arabia, the largest oil producer. Saudi is expected to give up 350,000 barrels a day, according to a senior OPEC source quoting the final proposal. Other OPEC nation
All of a sudden, the RBI has announced several path breaking measures to give life to the country’s corporate bond market. The central bank has announced several market reform measures for mobilizing and investing funds in the corporate debt market inviting active participations from institutions and individuals. Major measures include permission to banks to issue the so called rupee denominated bonds or masala bonds overseas for financing infrastructure and affordable housing and to mobilize Additional Tier I and Tier II capital. So far, rupee denominated bonds were issued only by big infrastructure lenders like IFC, HDFC etc. The new policy will help banks to mobiliz
Executive Board of the nation’s largest banker –State Bank of India has approved the merger of its five associates bank with it. The merger proposal is already an ongoing process and the Board has given nod to merge the remaining associate banks –State Bank of Travancore, State Bank of Bikaner and Jaipur, State Bank of Mysore, State Bank of Hyderabad and State Bank of Patiala. Bharatiya Mahila Bank which was formed few years back will also merged with the banking biggie. Post-merger, the SBI will be much bigger than the second largest bank in the country – ICICI. And the biggest impact on the banking system is that SBI’s asset will reach around
Dictionary on Indian Economy
- Logic of withdrawing Rs 1000 and Rs 500 notes
- Why the GST reform is transformational?
- Raghuram Rajan: The Gladiator returns to Chicago
- Good intention but poor thinking - what troubles demonetization?
- India Black Money Report: CBI underestimates black money at Rs 25 lakh crore
- High interest rate rather than inflation is the macroeconomic problem for India right now
- Japan’s first trade deficit in 30 years is part of the Global Shift
- Arvind Subramanian rocks with 'Chakravyuha' in Economic Survey
- Why we need an emergency monetization plan as well?
- NREGS: give respect to the tax payer’s money