We are on a roadmap of much higher growth: Jaitley

Economy is recovering from the serious challenges it faced in last few years, says Finance Minister Arun Jaitley

Finance minister Arun Jaitley met the head of PSU bankers today to discussed health of banks especially with regard to rising NPAs, according to a news on TV channel.

The minister discussed the roadmap for implementation of Mudra Bank.

Jaitley also discussed the roadmap for credit growth, stalled projects, education and housing loans and further transmission of rate cuts with banks.

He said that the economy is considered to be recovering. The retail credit has picked up; corporate credit yet to pick up.

H1-B Visa violations! Probe against Infosys and TCS, says report

TCS and Infosys have fallen on the bourses following reports of US probe against the companies regarding H1-B visas 

TCS and Infosys have fallen on the bourses following reports of US probe against the companies regarding H1-B visas.

The H1-B visa rules continue to haunt Indian companies. According to a report in the New York Times, the US government has opened an investigation against Infosys and TCS for possible violations of H1-B visa rules.

The cases pertain to contracts both the Indian firms have with Sourthern California Edison, an electricity firm in US, the NYT added.

Shares of TCS were trading lower 0.62% at Rs. 2,555. While Infosys were trading flat at Rs. 2002.35 on BSE today.

Meanwhile, the Sensex is up 64 points to 26,433

Reliance Jio to launch operations by Dec: Mukesh Ambani

Confident Jio will play a significant role in lifting India from 142nd rank on internet penetration to top 10 in the world, says Mukesh Ambani 

Reliance Industries Chairman Mukesh Ambani said that Rel Jio is one of largest greenfield digital initiatives globally, according to a news on a TV channel.

Jio is now present in all 29 states of India, with a direct physical presence in 18,000 cities and towns of our nation.

Reliance Industries would take up e-commerce initiative for fashion and provide a marketplace platform.

Jio to cover nearly 80% of India's population by year end and seeks 100% India coverage by Jio within next three years.

Addressing the shareholders at the 41st AGM in Mumbai today, “We are expanding Rel Jio to cover 80% of country's population by year-end.”

Jio is the first operator to achieve wireless coverage far in excess the rollout obligation as per its license conditions, Ambani said.

Below are the highlights of RIL chairman Mukesh Ambani's speech:

• Rel Jio Chat has over 10 lakh active users
• See 4G LTE devices available at price below Rs.4,000 by year-end
• Oversupply in crude oil market led to a crash by over 50%.
• Jamnagar refineries processed 480 Mn bbl crude.
• Reliance Jio to launch commercial operations around December
• Jio’s investments are aligned to Government of India’s “Digital India” vision for our nation
• Key components of Jio broadband network now operational
• Has presence in all 29 states of India.
• To cover nearly 80% of India's population by 2015-end.
• Confident Jio will play a significant role in lifting India from 142nd rank on internet penetration to top 10 in the world
• To introduce more digital apps in coming weeks
• People Can Use TV Facility By Downloading Jio Play On Their Phones

Retail presence in more than 900 cities by next yr: RIL

RIL's Chairman Mukesh Ambani says the Reliance Retail would scale up presence from 200 cities to 900 cities by next year

Reliance Industries Chairman Mukesh Ambani said that the company is planning to enter more that 900 cities by the next year, according to a news on a TV channel.

Addressing the shareholders at the 41st AGM in Mumbai today, Ambani said the Reliance Retail would scale up presence from 200 cities to 900 cities by next year, the report further said.

He further said that Reliance Retail revenue stood at over Rs.70,000 Cr and EBITDA at Rs.784 Cr in FY15. 

Highlights of Mukesh Ambani's speech at RIL AGM

We are building a brand new business of digital broadband telecom and have embarked on a journey to invest Rs. 2 lakh crore, says Mukesh Ambani 

Reliance Industries Chairman Mukesh Ambani addressed the shareholders at the 41st AGM in Mumbai today.

At the AGM, the company will consider and adopt the audited financial statement for the financial year ended March 31, 2015. 

Below are the highlights of RIL chairman Mukesh Ambani's speech:

• Building a brand new business of digital broadband telecom
• Embarked on a journey to invest Rs 2 lakh crores
• Full Benefits of investments will be realised from FY16-17
• 
  
• Capital expenditure in FY15 was in excess of Rs.1 Lakh Cr
• 
  
• Improved credit ratings give co access to public debt market
• 
  
• Have paid income tax of Rs.6,124 Cr In FY15
• 
  
• Co is largest integrated polyester manufacturer globally
• 
  
• Have paid income tax of Rs.6,124 Cr In FY15
• 
  
• Petchem business gave robust performance in FY15 despite several challenges

• Petchem supports raw material needs of 30,000 small & medium scale units
• 
  
• Building a brand new biz of digital broadband telecom
• 
  
• Will continue to focus on operations & excellence in Petchem business
• 
  
• Capital expenditure in FY15 was in excess of Rs.1 Lakh Cr
• 
  
• Full benefits of investments will be realised from FY17
• 
  
• Petrochemical investments will deliver superior performance in coming quarters
• 
  
• Co is the 5th largest purified Terephthalic Acid Producer Globally
• 
  
• Plan to recommission all fuel retail outlets by 2015-16
• 
  
• Improved Credit Ratings Give Co Access To Public Debt Market
• 
  
• We are hopeful that the govt will address the policy issues in the larger interest of attracting investment
• 
  
• Market environment in FY15 was extremely volatile & challenging

• RIL aviation fuel stations, present at 25 airports across India, fuel an aircraft almost every 5 minutes
• 
  

• Returns from oil and gas exploration and production business lower than cost of capital.
• 
  
• We achieved record profits of Rs 784 cr at the EBITDA level in the retail business, added 930 stores last year
• 
  
• Retail presence in more than 900 cities by next yr
• 
  
• Reliance Retail to scale up presence from 200 cities to 900 cities by next year: Mukesh Ambani
• 
  
• FY15 Retail Revenue At Over Rs.70,000 Cr & EBITDA At Rs.784 Cr
• 
  
• Will Optimise Investments In Shale Gas JVs To Maximise Value
• 
  
• US Shale Biz Contributed $1 Bn To Revenue

Rupee ​hits 64/$ mark ahead of April IIP, May CPI data

The rupee is currently trading at 64.00, weaker by 3 paise from its previous close of 63.97 on Thursday. 

Indian rupee after making a flat start was trading range-bound in early deals on Friday ahead of Consumer Price Index (CPI)-based inflation and index of industrial production (IIP) data, scheduled to be released later in the day. Street widely expects annual output growth at factories, mines and utilities in April to hit a six-month low of 1.6% compared with 2.1 % the previous month, while Consumer inflation in May is anticipated to edge up to 5.0 percent from 4.87% the previous month on higher energy and food costs. However, dollar’s strength against basket of other major currencies overseas capped further appreciation of Indian currency.  On the global front, dollar clung to modest gains early on Friday, having drifted higher on fresh evidence that the U.S. economy was gaining momentum, while a setback in the Greek debt talks put the euro on the defensive.

The rupee is currently trading at 64.00, weaker by 3 paise from its previous close of 63.97 on Thursday. The currency touched a high and low of 64.04 and 63.89 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 63.89 and for Euro stood at 72.31 on June 11, 2015. 

While, the RBI’s reference rate for the Yen stood at 51.85, the reference rate for the Great Britain Pound (GBP) stood at 98.8969. 

Orchid Pharma rallies on getting USFDA nod

The company has received US FDA approval for Alzheimer drug Rivastigmine Tartrate 

Orchid Chemical & Pharmaceuticals has soared 6.9 percent to a high at Rs. 45.75 in early trades on the BSE on media reports the company has received US FDA approval for Alzheimer drug Rivastigmine Tartrate

The stock is now up 5 percent at Rs. 45.15. The BSE counter has registered trades of around 116,000 shares, as against two-week daily average volume of 76,000 shares.

Meanwhile, the Sensex is up 16 points at 26,387.

ABG Shipyard zooms 8% on stake sale buzz

The stock has soared 12 percent in opening trades on the BSE.

ABG Shipyard zoomed 13 percent to touch a high of Rs. 187 in opening deals following news reports that the company is in the final stage of selling a majority stake.

According to media reports, ABG Shipyard is close to signing a deal with Germany-based Privinvest Holding to sell up to 49 per cent stake in the company.

The stock is now up 8 percent at Rs. 181.40. The counter has seen trades of around 218,000 shares so far on the BSE.

The stock has rallied nearly 31 percent so far this month.

Meanwhile, the Sensex has started the day on a tentative note and is now up 27 points at 26,398.

DLF gains after Oppenheimer hikes stake

Oppenheimer has bought over 23.51 lakh shares in DLF for about Rs. 31.37 crore and increased its stake to 5.12 percent from 4.99 percent. 

DLF is trading on a positive note in early morning deals on the BSE, after foreign firm hiked stake in the company.

According to media reports, US-based fund house Oppenheimer has bought over 23.51 lakh shares in DLF for about Rs. 31.37 crore and increased its stake to 5.12 percent from 4.99 percent.

Currently, the stock is trading at the highest point of the day - with a gain of a percent at Rs. 109.

The counter has seen trades of around 135,000 shares as compared to its two-week daily average volume of 1.5 million shares.

Meanwhile, the BSE Sensex is up 25 points at 26,396. 

Indusind Bank to raise Rs. 600 crore via preferential allotment India Infoline News Service

The Board of Directors of the Bank have authorised Finance Committee of Board / Managing Director and/or Company Secretary and / or Chief Financial Officer on behalf of the Board to finalise the notice to shareholders and explanatory statement for obtaining consent of the members of the Bank to the Preferential Allotment 

Indusind Bank Ltd has informed BSE that, pursuant to the approval by the shareholders through postal ballot on June 08, 2015 for issuing equity shares up to 10% of the Authorised Equity Share Capital of the Bank ("Shareholders Approval"), the Board of Directors of the Bank, at their meeting held on June 11, 2015 have approved Preferential Allotment of Equity Shares under chapter VII of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations 2009, as amended to Promoters of the Bank up to 1.5% of the Authorised Equity Share Capital of the Bank of Rs. 600 crores ("Preferential Allotment"), so that post any other issue of equity shares that the Bank may do pursuant to the Shareholders Approval and the Preferential Allotment, the aggregate holding of the Promoters i.e. IIHL and its subsidiary is retained at 15% and have proposed to seek approval of the Reserve Bank of India and shareholders of the Bank for the same.

The Board of Directors of the Bank have authorised Finance Committee of Board / Managing Director and/or Company Secretary and / or Chief Financial Officer on behalf of the Board to finalise the notice to shareholders and explanatory statement for obtaining consent of the members of the Bank to the Preferential Allotment and to do all such acts, deeds, matters and things as may at its sole and absolute discretion deem fit, necessary, desirable incidental or expedient for such purpose, to give effect to this resolution. 

Top economy news of the day - June 12, 2015

Global prices of pulses have gone up by about 30% to 40% during last two to three months due to fear of drought in India, the largest importer and consumer of the vegetarian source of protein. 

Global prices of pulses have gone up by about 30% to 40% during last two to three months due to fear of drought in India, the largest importer and consumer of the vegetarian source of protein.

The Centre has decided to raise Rs60bn to provide interest-free loans to farmers so that they do not have to go to moneylenders and fall into debt traps, Union Minister Ramvilas Paswan said.

The Cabinet Committee on Economic Affairs (CCEA) approved two road projects, one in Madhya Pradesh and another in Telangana. The projects will be executed under the flagship road building programme National Highways Development Project (NHDP) at a cost of Rs47.21bn.

Top corporate news of the day-June 12, 2015

BHEL has commissioned a 82.5-megawatt unit at Shrinagar Hydro Electric Project in Uttarakhand.

Bharat Heavy Electricals Ltd (BHEL) said it has commissioned a 82.5-megawatt unit at Shrinagar Hydro Electric Project in Uttarakhand.

The government is likely to raise the price of natural gas produced from Cairn India’s eastern offshore Ravva field by 20% to USD4.2 with effect from June 2010, the date from which GAIL has been selling Ravva Contract Area-1 gas at rates similar to the one fixed for state-owned ONGC.

Glenmark Pharmaceuticals has received final approval from the US health regulator for the generic Calcipotriene cream used for the treatment of plaque psoriasis.

Nestle India said that it has approached the Bombay High Court to seek judicial review of the orders passed by Food and Drug Administration in Maharashtra and the Food Safety and Standards Authority of India.

Jagran Prakashan Ltd said it has completed the acquisition of Music Broadcast Pvt Ltd, which operates the popular Radio City FM stations.

Tata Motors, India's largest automobile company and its long standing Italian partner Fiat are holding strategic talks over product and investment plans to be finalised for production at the Pune-based facility jointly owned by the two companies. They are poised to take their product plans to the next level and have lined up series of new launches over the next 2-3 years. These include compact sports utility vehicles, hatchbacks and compact sedans developed by them independent of each other.

Future Retail plans to raise fresh funds of up to Rs15bn through non-convertible debentures (NCDs) on private placement basis to replace high cost loans and to invest in brand building as well as marketing.

Mumbai Metro One Private Limited (MMOPL), a subsidiary of Reliance Infrastructure Ltd., has completed the refinancing of project borrowings of Rs16.50bn, achieving substantial benefits through extension of maturity and reduction of interest costs.

Realty firm Unitech plans to raise about Rs.2 bn from private equity players to part finance its ongoing housing projects as real estate market continues to remain sluggish.

NTPC said Talcher in Odisha will become a power hub with the PSU planning around 3,000 MW of capacity addition there.

Electrosteel Steels said it has received an indication for investment in the company from Tata Group as well as from a Singapore-based financial investor.

FMCG major Hindustan Unilever Limited (HUL) has decided to recall its Chinese range of 'Knorr' instant noodles from the market pending product approval from the central food safety regulator FSSAI. 

Ahead of macro data, Indices to open on a flat note

Global cues are mostly higher so some ticks of green are expected at least in the initial hour of trade. With US retail sales rising, the Dow and S&P clocked some gains while Nasdaq was up marginally. 

Welcome to a data heavy day. The indices have been drifting lower as foreign investors continue to dump shares in the quest of maximizing their opportunities in other regions. Yes, monsoon is a worry but investors seem to be reluctant to take fresh long term bets for now.

The outlook is a flat start. Global cues are mostly higher so some ticks of green are expected at least in the initial hour of trade. With US retail sales rising, the Dow and S&P clocked some gains while Nasdaq was up marginally. Asian markets are mostly higher. Nikkei is just about in the green while Hong Kong's Hang Seng is up half a percent. China's Shanghai index is trading 0.20% higher.

Attention will be on IIP and CPI numbers. Industrial production, which includes the output of factories, mines and utilities, likely rose 1.8% in April from a year earlier. This compares to 2.1% in March and a revised 4.9% in February. Meanwhile, CPI data for the month of May also is scheduled to be unveiled today. This number is expected to 5-5.05% for May on account of uptick in fuel and vegetable and pulses prices.

Prices of vegetables, edible oil and milk have risen 5-10% in the past month, with onion, tomato and lady's finger leading the pack with a 30-50% rise. Traders say the situation can deteriorate if the monsoon does not gain momentum, says a report.

Analysts are expecting RIL to announce launch date, total capex and future plans for Rel Jio at the AGM.

Nestle India could see some swings after it has approached the Bombay High Court to seek judicial review of the orders passed by Food and Drug Administration in Maharashtra and the Food Safety and Standards Authority of India.

Foreign institutional investors stepped up sale of Indian stocks, dragging down key indices to eight-month lows on Thursday. Foreign portfolio investors net sold Rs. 622.89 crore of shares on Thursday after offloading stocks worth Rs. 726 crore so far in June, says a report.

An expert who’s been involved in internal debates at both the Federal Reserve and the European Central Bank says the U.S. central bank is already behind the curve in lifting interest rates.

Greece’s worrisome high unemployment rate is a stark reminder of the “alarming situation” in the country, with the crisis increasingly threatening to hit the European Central Bank’s reputation, Mohamed A. El-Erian, chief economic adviser at Allianz, said on Thursday.

The World Bank joined the IMF in urging the Federal Reserve to hold off raising rates until next year, citing an uneven U.S. recovery and the risks to emerging markets of tightening policy any sooner.

Infosys would aim to touch industry-level growth rates next year, if it manages to meet its 10-12 revenue growth forecast this year, its chief financial officer said on Thursday.

During an investor conference on Thursday, finance chief Rajiv Bansal said the company would be well-positioned to return to industry-level growth rates if it puts up an improved show this year, as compared to last year when it grew at a meager 5.6%, says a report.

Telecom Commission reportedly said it has finalised its view on the spectrum sharing and trading guidelines."We will try to send the norms to the Cabinet by the end of this month," Telecom Secretary Rakesh Garg said.

The government is planning to raise the price of natural gas produced from Cairn India's eastern offshore Ravva field by 20% to USD 4.2 with effect from June 2010. A report says that  Ravva field is divided into two - Contract Area-1, which produces about 8 million standard cubic feet per day of gas (mmscfd) and Ravva Satellite that generates around 20 mmscfd.

ABG Shipyard is close to sign deal to sell a majority stake in the company to Germany-based Privinvest Holding, according to reports.