Notes Ban May Drag Down This Year's GDP Growth To 4-Year Low: Economic Survey

 India's economic growth could fall below 7 per cent in the current fiscal year (2016-17) as the notes ban has hit economic activity, down from 7.6 per cent in the last financial year (2015-16), the government admitted today in its pre-Budget report card the Economic Survey. "It would be reasonable to conclude that real GDP and economic activity has been affected adversely, but temporarily, by demonetisation," the Survey said.

The Survey sees India's GDP growing between 6.5-.6.75 in the current fiscal - which will be the lowest in four years. "Given the uncertainty (after demonetisation), we provide a range: a 0.25 percentage point to 1 percentage point reduction in nominal GDP growth relative to the baseline of 11.25 per cent; and a 0.25 percentage point to 0.5 percentage point reduction in real GDP growth relative to the baseline of estimate of about 7 per cent," it said.

Last year's survey had pegged growth this year between 7 per cent and 7.5 per cent. After the notes ban, the International Monetary Fund had downgraded India's expected growth this year from 7.6 per cent to 6.6 per cent, which it said would make it lose the tag of the world's fastest growing economy to China. 

Chief Economic Adviser Arvind Subramanian said the growth slowdown now projected challenges independent estimates of a far bigger impact. He also rejected the view of the IMF, where he used to work, that growth would be knocked a full percentage point lower by PM Modi's shock decision in November to scrap 86 per cent of the cash in circulation and said the currency squeeze was "less severe than is commonly perceived".

The Economic Survey tabled in Parliament today said growth slowed as demonetisation reduced demand and supply and increased uncertainty. The Indian economy expanded at 7.6 per cent in 2015-16 and at 7.2 per cent in 2014-15.Prior to that, India's GDP grew at 6.9 per cent in 2013-14 and 5.1 per cent in 2012-13.

The Survey was however optimistic on growth prospects in the future. "Over the medium run, the implementation of GST, follow-up to demonetisation and other structural reform measures should take the trend rate of growth of the economy to the 8-10 per cent range that India needs," the Survey said. 

For next year (2017-18), the Economic Survey projects a growth rate of 6.75 per cent and 7.5 per cent in the financial year beginning on April 1. 

The growth projection comes a day before Finance Minister Arun Jaitley is due to unveil its Budget for 2017-18. Economists expect the finance minister to announce tax cuts as well as higher spending to lift economic growth.

SOURCE NDTV PROFIT

Syndicate Bank Q3 net profit rises to Rs93 crore

Syndicate Bank Q3 net profit rises to Rs93 crore. Gross non-performing assets, or NPAs, rose 5.55% to Rs16,948.08 crore at the end of the December quarter

Syndicate Bank today reported a profit for the December quarter compared to a loss in the same quarter last year, owing to lower provisioning and higher other income.

Net profit for the quarter was Rs93.56 crore as compared to a loss of Rs119.67 crore a year ago. Three analysts polled by Bloomberg had forecast a net profit of Rs344.80 crore.

Net interest income (NII), or the core income a bank earns by giving loans, decreased 8.23% to Rs1,391.34 crore from Rs1,516.04 crore last year. Other income increased to Rs985.95 crore from Rs551.07 crore in the same period last year, a rise of 78.92%.

Gross non-performing assets (NPAs) rose 5.55% to Rs16,948.08 crore at the end of the December quarter from Rs16,056.73 crore in the September quarter. On year-on-year basis, it jumped 76.49% from Rs9,602.80 crore.

Provisions and contingencies dropped 9.19% to Rs784.74 crore in the quarter from Rs864.14 crore a quarter ago. On a year-on-year basis, it lost 8.73% from Rs859.77 crore.

As a percentage of total loans, gross NPAs rose to 8.69% at the end of the December quarter from 7.72% in the previous quarter and 4.61% in the year-ago quarter.

Net NPAs rose to 5.63% in the December quarter from 5.03% in the previous quarter and 3.04% in the same quarter last year.

No cash withdrawals limit in current/ Overdraft a/c

*No cash withdrawal limit from ATM from Feb 1: RBI*

BY: EXPRESS WEB DESK | NEW DELHI January 30, 2017 

The Reserve Bank of India on Monday announced that limits placed on cash withdrawals from ATMs stand withdrawn from Feb 1. However, the weekly withdrawal limit of Rs 24,000 will continue. The central bank also said that all limits on current account and overdraft accounts stand withdrawn with immediate effect. The RBI, however, allowed the banks to maintain their discretion on own operating limits.

RBI has also removed all limits on cash withdrawals from current accounts/ cash credit accounts/ overdraft accounts with immediate effect. “The limits on Savings Bank accounts will continue for the present and are under consideration for withdrawal in the near future,” it said.

It further said that banks have been “urged to encourage their constituents to sustain the movement towards digitisation of payments and switching over of payments from cash mode to non-cash mode.”

Indianexpress .com

Arun Jaitley May Hike Service Tax To 16-18% In Budget

Finance Minister Arun Jaitley may hike service tax rate to 16-18 per cent from the current 15 per cent in the Budget, due on Wednesday, as a precursor to the Goods and Services Tax (GST) rollout.

The move, that will make flying, eating out, phone bills and a host of other services expensive, would be an attempt to take the rates closer to the proposed tax slabs for GST.

GST, which will subsume central and state levies like excise duty, service tax and VAT, is scheduled to be rolled out from July 1. 

The tax slabs decided for the GST are 5, 12, 18 and 28 per cent and taking service tax closer to one of the slabs is a logical move in the Budget, tax experts said. 

Tax experts say, Mr Jaitley, who had in his previous budget hiked service tax rate by 0.5 per cent to 15 per cent, may raise the levy by at least one percentage point to 16 per cent. 

Some others feel there could be different service tax rates with a lower 12 per cent for basic services and a higher 18 per cent for the rest. 

Also, a higher service tax for April-June will help the government garner more revenue to meet expenses on schemes and programmes it may be planning to contain the impact of demonetisation. 

A service tax rate closer to the GST rate will also help consumers avoid a greater price shock when the new national sales tax is rolled out. 

While service tax until now is a central levy, it will be equally split between the Centre and states under the new GST regime. Most services, except essential ones like primary healthcare and basic education, will be covered by GST. 

Service tax was budgeted to provide Rs 2.31 lakh crore in 2016-17, more than 14 per cent of the Centre's total tax revenues of Rs 16.30 lakh crore. 

This will be the third time that Mr Jaitley will raise service tax rate. Service tax from June 1, 2015 was hiked from 12.36 per cent to 14 per cent. A 0.5 per cent Swachh Bharat Cess was levied on all services, taking the total incidence of service tax to 14.5 per cent from November 15, 2015. 

In the last Budget, he imposed a Krishi Kalyan Cess at the rate of 0.5 per cent on all taxable services to take the levy to 15 per cent.

source ndtv profit

Demonetisation: People may get another chance to deposit Rs 500, Rs 1000 notes

The Reserve Bank of India may allow citizens another chance to deposit the scrapped Rs 500 and Rs 1,000 banknotes but the exchange would be for a limited sum, sources in the government and banking sector said on Wednesday.

The central bank has been flooded with queries and requests from people who failed to deposit all their money by the December 30 deadline, seeking relief, sources said.

“The amounts are as small as Rs 2,000… the issue is being looked into and the advice would be to hold on to those notes as we are examining (opening) another window for these genuine people,” the source said.

Many people were discovering old currency notes tucked away somewhere. Interestingly, one of the queries was from a person who found a Rs 1,000 bill in a book.

If allowed, deposits would only be for smaller sums to ensure that the window, which will be for a limited period, was not misused, sources said.

A government official said the amount expected from this window was minuscule.

The government had set December 30 deadline for depositing junked bills in banks when Prime Minister Narendra Modi on November 8 announced the recall of the two high-value notes that accounted for 86% of the cash in circulation

India Post Gets Payments Bank Licence To Start Services

 India Post has received payments bank licence from the Reserve Bank of India to start rollout of banking operations commercially under the permit.

"India Post has received payments bank licence. The service will be launched as per schedule," a Department of Posts official said.

India Post Payments Bank is the third entity to receive payments bank permit after Bharti Airtel and Paytm.

Payments banks can accept deposits up to Rs. 1 lakh per account from individuals and small businesses.

The new model of banking allows mobile firms, supermarket chains and others to cater to banking requirements of individuals and small businesses. It will be set up as a differentiated bank and will confine its activities to acceptance of demand deposits, remittance services, Internet banking and other specified services.

In 2015, RBI had granted 'in-principle' approval to 11 entities, including Department of Posts, to set up payments banks and proposed to give such licences 'on tap' basis in future.

However, Tech Mahindra, a consortium of Sun Pharmaceutical Industries Ltd promoter Dilip Shanghvi, IDFC Bank Ltd and Telenor Financial Services and Cholamandalam Investment and Finance Co. backed have dropped their plan to roll out payments bank.

Out of eight companies in fray -- Airtel has launched its commercial operation across India with an investment of Rs. 3,000 crore offering interest rate of 7.25 per cent on deposits, free money transfer from Airtel to Airtel numbers within Airtel Bank, money transfer to any bank account in the country.

Paytm, promoted by Vijay Shekhar Sharma and backed by Chinese e-commerce major Alibaba, plans to roll out payments bank within initial investment of about Rs. 400 crore.

Others are -- Aditya Birla Nuvo, Fino PayTech, National Securities Depository, Reliance Industries Ltd nd Vodafone m-pesa.

AP Singh has been appointed as interim MD and CEO of the India Post Payment Bank. He was Joint Secretary in the Department of Disinvestment and one of the member of founding team that launched Aadhaar.

India's Most Valuable Bank lower staff strength to 90000 from 95000 just in one quarter

Country's most valuable lender, HDFC Bank has rationalised its staff by 4,581 employees in a single quarter courtesy efficiencies in the system and lower hiring.

The bank, which reported its slowest profit growth ever at 15 per cent for the December quarter as demonetisation impacted loan growth, saw total headcount reduce to 90,421 on December 31, 2016 as against 95,002 in September 30, 2016.

In an e-mailed response, the country's most valuable bank sought to de-link the reduction in employees from any other factor but efficiencies and lower hiring. 

"The drop in headcount has primarily been a result of combination of natural attrition and a hiring at a clip lower than normal made possible by achieving higher productivity and efficiencies over the last few months," it said. 

The Indian banking industry has an attrition rate of 16-22 per cent every year, while for HDFC Bank the same is at 18-20 per cent. However, no data is available on the 'involuntary attrition' (sackings) in the industry. 

With efficiencies setting-in, a company may decide not to replace a hand who quits with a new one, which results in a decline on the overall headcount. 

As compared to the year-ago period, the bank's employee count increased by 5,802 over the 84,619 people in December 2015. 

The benefits of the staff reduction were visible on the cost to income front, with the ratio dipping to 43.8 per cent in December 2016, from 43.7 per cent in September and 44.7 per cent in the year-ago period. 

The employee costs have, however, increased to Rs 1,688.63 crore from Rs 1,657.21 crore in the preceding quarter. 

It can be noted that there has been a greater degree of automation in banking with algorithms making it easier to reduce dependence on employees and also doing the same work much faster. Accounts are being opened over the counter courtesy Aadhaar, loans are getting cleared in minutes and technologies like blockchain are reducing human intervention in operations.

What to do if you get an income tax notice after demonetisation

What to do if you get an income tax notice after demonetisation

The 50 days of demonetisation are behind us and so is the deadline to deposit and convert the demonetized currencies of Rs. 500 and Rs 1000. If you have deposited cash up to Rs. 2.5 lakh in your account, there is no cause for worry as per the government directive. However, if your deposit amount exceeds Rs 2.5 lakh, you may get a notice from the Income Tax Department.

Most of the people get queasy when it comes to deal with income tax department. This article is an effort towards discussing how to handle the income tax notice after November 8.

Who may get an IT CEnotice?

As per government’s directive, banks have been asked to furnish details of all individuals who have deposited more than Rs. 2.5 lakh in their savings account or opened fixed deposits. It has also asked banks for information on deposits of more than Rs. 12.5 lakh in current accounts. Banks send these details to tax authorities, which in turn may issue a notice if necessary.

At the same time, if you have bought big-ticket items such as gold or a car, you may get a notice from tax authorities. The government has asked all car dealers to furnish details of their transactions if there is a spike in the volume of business after the demonetization announcement. Similarly, jewellers have been asked to provide details of business transactions that transpired after November 8.

What tax payers should do in such cases

An “Income Tax notice” may sound scary to the layman, but taxpayers need not panic as these are not normal times. The tax authorities may send a notice to anyone who has deposited more than 2.5 lakh in their accounts as explained above.

Hence, the notice by itself is not an implication nor the beginning of an investigation. In most cases, the Income Tax notice could be just a request for disclosing the source of cash. Usually, the notice should come to only those people whose deposit may not match their income prima facie as per tax authorities’ assessment.

If you have relevant documents to explain the deposit and its source, you have no cause for worry. Moreover, if you haven’t done anything illegal and all your money is ‘white’, you don’t have to worry at all irrespective of how much you earn or deposit.

If you get an I-T notice, read it carefully. This could be simply asking you to provide the source of income for the cash deposited in the bank. The source of income should be supported by documentary proof. If the tax authorities are satisfied by your response, you get a clean chit and the matter gets closed.

If you are not able to explain the source of income or the answer is not satisfactory, there will be further proceedings. The outcome of this will depend on your responses and how valid they are found by the investigating authorities.

In the recent demonetization drive, the government has also made it mandatory to quote PAN number in case the deposit exceeds Rs. 50,000. If you haven’t filed returns for years and your deposit exceeds Rs 2.5 lakh, you may get a notice asking to explain the source and subsequent demand to file the returns. This will require detailed investigation.

What happens when you don’t respond?

Ideally, you should not abstain from responding. However, if you don’t respond, you may get a follow-up communication from the I-T Department. Additionally, the tax authorities will assess your income based on the deposit data and other available details and come out with the tax liability, and you may have to pay the difference.

Remember that a lack of response from your side may lead the tax authorities to believe or assume that you have no explanation for the source of your deposit or income, and you do have illicit wealth in your possession.

If required or in doubt, consult a practising chartered accountant or tax consultant for the optimal course of action. In addition, use oodles of practical sense in order to take a decision and make it a habit to preserve all documentation related to your finances. Also, follow up with the case officer or the I-T team until the matter is resolved. Do not allow any pending issue to fester.

Finally, cooperate with the tax authorities if you get a notice. Avoiding it, concealing relevant information, or trying to give wrong details in order to misdirect the authorities will only go against you. If you have played it by the book, you have nothing to worry. If you haven’t, it would be wise to get on the straight and narrow, pay your dues, and clear yourself.

7th Feb 2017 strike Is this recovery tool of overtime paid by the management gifted by union???

How many do you think the reasons shouted for strike by AIBEA  AIBOA AND BEFI are worth to go for strike ???

Are worth to loose your salary ??
Are worth to create chaos in our own country ?

which one correct reason ??? few comments collect from fb

1>  Is this recovery tool of overtime paid by the management gifted by union???

2>

ONLY SALARY LOOSE> NOTHING WILL HAPPEN> SURE IT WILL BE CALLED OFF. IF THEY CALL FOR TALKS IMMEDiATELY THEY WILL CALLED OFF THE STRIKE.

3>Same AIBEA did nit bother ti attend conciliation proceedings at CLC in Mumbai on 24th about DA case of old retirees.

This is their concern about seniors who worked with them in the past and all are above 75.
They are showing lip sympathy for hardships suffered by people post demonitization.
What about various bank retirees who are suffering on account of meagre pension due to faulty DA compensation formula agreed by these leaders .
They are fighting for justice for more than 10 years Few of them left us with unfulfilled dream.

4>I think DO NOT WORRY< SURE STRIKE CALLED OFF ON 6THEvening

5> Union .taking useless decision.They r always doing against majority of members.

Varishtha Pension Bima Yojana 2017 Or Senior Citizen Savings Scheme? which one better????

The Varishtha Pension Bima Yojana 2017, a pension scheme for senior citizens, is likely to be launched soon, after the Cabinet approved the scheme earlier this week. Prime Minister Narendra Modi in his New Year's Eve address to the nation mentioned the government's plans for launching of such a scheme which provides a guaranteed interest rate to senior citizens. With banks being flush in deposits in the wake of demonetisation and the credit offtake remaining weak, many of them have cut interest rates on deposits, hurting the income of those who depend on interest income.

Features of Varishtha Pension Bima Yojana 2017

The Varishtha Pension Bima Yojana 2017 will be implemented through Life Insurance Corporation of India (LIC) in the current financial year. The formal launch date of the scheme has not been announced yet. A government statement said it will be open for subscription for a period of one year from the date of launch. 

The Varishtha Pension Bima Yojana 2017 is aimed at providing income security to persons aged 60 years and above against a future fall in their interest income due to uncertain market conditions. It will provide an assured pension based on a guaranteed rate of return of 8 per cent for 10 years. Senior citizens can opt for pension on a monthly/quarterly/half-yearly or annual basis under the Varishtha Pension Bima Yojana 2017.

The government's statement on Varishtha Pension Bima Yojana 2017 does not mention the maximum amount that can be invested under the scheme. However, PM Modi had in his New Year Eve's address said that up to Rs. 7.5 lakh could be invested in such a scheme. Financial planners are awaiting more details on the Varishtha Pension Bima Yojana 2017.

How the Varishtha Pension Bima Yojana 2017 works

The government will pay to LIC the differential return, which is the difference between the return generated by the insurer and the assured return of 8 per cent, as subsidy on an annual basis.

Here are 10 things to know about Varishtha Pension Bima Yojana 2017

1) Varishtha Pension Bima Yojana 2017 will be implemented through Life Insurance Corporation of India (LIC) during the current financial year.

2) It is aimed at providing income security to elderly persons aged 60 years and above against a future fall in their interest income due to uncertain market conditions.

3) Varishtha Pension Bima Yojana 2017 will provide an assured pension based on a guaranteed rate of return of 8 per cent for 10 years.

4) Senior citizens can opt for pension on a monthly/quarterly/half-yearly or annual basis under the Varishtha Pension Bima Yojana 2017.

5) The government will pay to LIC the differential return, which is the difference between the return generated by the insurer and the assured return of 8 per cent per cent, as subsidy on an annual basis.

6) Varishtha Pension Bima Yojana 2017 will be open for subscription for a period of one year from the date of launch.

7) The government's statement on Varishtha Pension Bima Yojana 2017 does not mention the maximum amount that can be invested under the scheme.

8) However, PM Modi in his New Year Eve's address had said that up to Rs 7.5 lakh could be invested in such a scheme. Financial planners are awaiting more details on the Varishtha Pension Bima Yojana 2017.

9) Financial planners say that with interest rate poised for further cuts in the future, the 8 per cent Varishtha Pension Bima Yojana qualifies as a good investment option for senior citizens, though some details on pre-mature withdrawal options are yet to be released. The State Bank of India or SBI currently pays 7 per cent interest rate to senior citizens on fixed deposits with maturity between 5 to 10 years. Senior Citizen Savings Scheme, which is a small savings scheme for seniors of five years, currently offers 8.5 per cent interest and the maximum cannot that can be invested is Rs 15 lakh. But overall interest rate regime heading lower, the interest rate on Senior Citizen Savings Scheme is also poised for further fall in the future.

10) Since Varishtha Pension Bima Yojana is a pension plan from the central government, the investment carries very little risk

Varishtha Pension Bima Yojana 2017 vs Senior Citizen Savings Scheme

Financial planners say that with interest rate poised for further cuts in the future, the 8 per cent Varishtha Pension Bima Yojana qualifies as a good investment option for senior citizens. State Bank of India or SBI, the country's largest lender, currently pays an interest rate of 7 per cent to senior citizens on fixed deposits with maturity between 5 year and 10 years.

On the other hand, the Senior Citizen Savings Scheme, which is a small savings scheme for seniors of five years, currently offers 8.5 per cent interest and the maximum cannot that can be invested is Rs. 15 lakh. But with the overall interest rate regime heading lower, the interest rate on Senior Citizen Savings Scheme is also poised for a further fall in the future.

"Senior Citizen Savings Scheme is slightly better at 8.5 per cent and has a higher limit of Rs. 15 lakh investment with better liquidity. Hence the first preference for the investor should be Senior Citizen Savings Scheme. But we expect that Senior Citizen Savings Scheme interest rates will get reduced next quarter and hence first senior citizens should invest in that and any further surplus in Varishtha Pension Bima Yojana 2017," said Manoj Nagpal, CEO of Outlook Asia Capital.

However, the maturity period of Senior Citizen Savings Scheme is five years. Premature closure is allowed in the Senior Citizen Savings Scheme after one year on deduction of an amount equal to 1.5 per cent of the deposit, and after two years, 1 per cent of the deposit.

Outlook Asia Capital estimates that collections under Varishtha Pension Bima Yojana 2017 could be in the range of Rs. 10,000 crore.

The first Varishtha Pension Bima Yojana, meant for senior citizens aged 55 years and above, was launched on July 2003 and withdrawn on August 2004. Under the scheme, the pensioner gets an effective yield of 9 per cent per annum on the investment. It was later launched and was open from August, 2014 to August, 2015.

Mr Nagpal said that investors should remember the Varishtha Pension Bima Yojana 2017 gives an assured return for 10 years. "In earlier launches, interest rate was assured for life time of the subscriber."

PF MONEY MAY NOT BE ENOUGH FOR RETIREMENT - HERE IS OTHER OPTION PLEASE READ

 I have been working for the past three years. I am unmarried and stay with my parents. My employer deducts R

s. 5,000 per month towards EPF. Is this alone sufficient for retirement? How much should I invest and do I need to start retirement planning now? - Priyanka Sharma, team leader

It's always good to start early when it comes to retirement. 20s and 30s are golden years for saving towards retirement. Usually, one has the minimum amount of responsibilities in this age bracket. Also, the money invested at this age would get a longer time to mature, grow and withstand volatility. You have two options to go about saving your post-retirement life. You can look at NPS (National Pension Scheme), for which you have to open a PRAN (Permanent Retirement Account Number) account. Once you have this account, you can deposit your contributions in it every year. NPS also provides tax benefit of a maximum of Rs. 50,000 per year. Once you are contributing, you can allot your money towards equities, corporate bonds and government securities. At a young age, it is advisable to allot maximum money in equity. Secondly, you can also start saving by way of SIP (Systematic Investment Plan) into an equity fund. For this, novice investors can stick to an index fund and keep contributing via SIP. Investors who are more comfortable with this can also go for a largecap equity fund, and contribute via SIP. Equity is the asset class and mutual fund is the vehicle you can focus on. Since you are starting early, this should help you secure a good corpus for your retirement.

My salary is Rs. 26,000 a month and I require around Rs. 3 lakh in next six months for marriage expenses. I also plan to own a house in future. - Dinesh Parmar, software engineer 

If you're living with your family and there aren't any commitments towards household expenses, you have two options: 1) keep opening fixed deposits every month with maturity of six months (maturity of six months with the first investment, then five months next month and so on; 2) if a bank is offering a recurring deposit or RD of six months, go with that. After the marriage expense is taken care of, you can start saving for buying a house. After you have some savings towards the house, you can look at your home loan options.

(Gaurav Mashruwala is a financial planner and author of 'Yogic Wealth')

Disclaimer: The opinions expressed within this article are the personal opinions of the author. The facts and opinions appearing in the article do not reflect the views of NDTV and NDTV does not assume any responsibility or liability for the same.

Story first published on: January 24, 2017 16:07 (IST)

STATE BANK OF MYSORE REPORTED HUGE LOSS FOR 3RD QUATER

State Bank of Mysore (SBM), an SBI associate, today reported a loss of Rs 20.25 crore for the quarter ended December 31, on higher provisioning.

The bank's net profit during the corresponding quarter in 2015-16 was Rs 26.94 crore.

Total income increased to Rs 1,978.85 crore during the reported quarter from Rs 1,940.22 crore earned in the year ago period, the bank said in a BSE filing.

During the October-December quarter of 2016-17, the bank made provisioning and contingencies to the tune of Rs 384.85 crore as against Rs 253.91 crore in the previous fiscal.

The gross non-performing assets (NPAs) were at 14.46 per cent of the gross advances as of December 31, as against 5.48 per cent in last fiscal.

Net NPAs or bad loans stood at 9.22 per cent of net advances, slightly up from 3.12 per cent a year ago.

*Suggestions for 11th BPS- from Nahar Prakash

1. Stagnation Increment After 2 Years instead of 3 Years

2. Total Stagnation Increment 10

3. Privilege leave Accumulation Upto 300 Days & 300 Days Encashment at the Time of Retirement

4. Encashment 0f Privilege Leave 30 days Each Year to overcome the problems of Staff Shortage (If Leave balance Lapses only)

5. Special Pay Merge with Basic

6. Conyenace Allowance upto Exempted in Income Tax.

7. Mobile , Newspaper , Petrol , Furniture , Curtain at par with Officer.

8. Create New Post Super Spl Assistant/Head Clerk/-Deputy BM Etc for Those Who Completed 24 Years Service and have CAIIB OR Post Gragrduate and give Pay Structure & All facilities of Scale 1 Officer Except Transfer. This will help union keep the Award Staff Strength & Bank also get Experienced Staff with local knowledge for Businesses Development & Recovery.

9. Unavailed Casual Leave No need of Medical Certificate.

10. Sick Leave upto 15 Day's No Medical Certificate.

5 Days Week

All Saturday Holiday

Micro, Small & Medium Enterprises: MSME

Contribution of MSME- Micro, Small and Medium Enterprises is 37.5 % of India’s GDP, 45% of the manufacturing output and 40% of the exports. In other words, this sector has shown an average growth of 12% in the last Five-Year Plan, which is higher than the annual increase of GDP. National Policy for manufacturing envisages a contribution of manufacturing sector from 16% to 25% in India’s GDP by 2022. After Agriculture, this sector generates largest employment. A growth in MSME sector can ensure industrialization in the backward areas also. They have already become the nursery of innovation and entrepreneurship. They are dispersed widely throughout the country and produce a diverse range of products and services to meet the demands of the national & international value chains, local and the global market. They help in generating foreign exchange for the country and contribute to the GDP of India. Active participation has been observed by this sector for the last fifty years. This sector does not require huge investment by any entrepreneur. Units under this sector can also act as ancillary unit of large scale industries.

Micro, Small and Medium Enterprises Development Act, 2006 – was enacted by Indian Parliament, published in Government Gazette on 16th June, 2006 which came into force with effect from 2nd October, 2006.

MSMED Act 2006 Definition of MSME                                                                         (In Lacs)

Initial Investment in Plant & Machinery
Category/Enterprise Size	MicroEnterprise	Small Enterprise	Medium Enterprise
Manufacturing	25.00	25.00 to 500.00	500.00 to 1000.00
Service	10.00	10.00 to 200.00	200.00 to 500.00 There are 32 million MSME units in India, according to the latest survey, of which, 95% of the MSME units are unregistered. Unorganized sector consists of almost 30 million units.  Of the total MSME units 50% are in rural area. Inspite of this fact that there is immense potential in this sector, yet it suffers from various constraints to its growth. There is always inadequate capital infusion with insufficient data for credit requirement. Poor infrastructure and inadequate market linkage are the constraints in the growth of MSME. It suffers because of high cost of credit which even does not reach on time, non-availability of collaterals in the hands of entrepreneurs, legal hassles in getting licenses, taxation (Both direct and indirect) constrains. Non financing is the result of Illiteracy/Ignorance/inability/un-willingness to share information. Mindset of the individuals working in unorganized sector may also be one of the reason for backwardness and poor growth. The Central Government has realized the potential of MSME Sector in country’s growth and has taken various steps in promoting MSME and has also advised state governments to take initiatives. Some of the steps include constitution of Nodal Institutions/bodies to promote, nurture and look after MSME: Name of the Scheme/ Institute Nature of Assistance/ Facility National Small Industries Corporation (NSIC) Promoting Finance and Marketing to SSI Units by supplying machinery on hire-purchase and lease hold basis Credit Linked Capital Subsidy Scheme (CLCSS) through various Banks and Financial Institutions Helps for Technology up-gradation in Micro and Small Enterprises. The scheme provides a subsidy of 15% on finance from FIs/Banks for Rs.100.00 Lacs for investment in machinery. (Max. Subsidy Rs.15.00 Lacs) Small Industry Bank of India (SIDBI) Finances on selective basis to Small Sector in promoting manufacturing and coordinating financing institutions in developing industries by refinancing. PMEGP Training Programme Promotes training for micro and small sector entrepreneurs with finance facility and subsidy thereon. The facility is available to units with finance up-to Rs.25.00 lacs in manufacturing and Rs.10.00 Lacs in service sector and subsidy is allowed @25%  (35% to special category borrowers) Small Industries Development Agency (SIDA) A single window service agency to help SSI units National Bank for Agriculture (NABARD) Helps and refinances agricultural based direct and indirect farming and agro processing industry. Technology Up-gradation Fund (TUF) TUF helps those units who want to improve technology skills. It provides 15% subsidy in the form of margin money to Textile sector and Jute sector and interest subsidy up-to 5% in TUF compatible specified machinery up-to Rs.200.00 Lacs Credit Guarantee fund Trust for Micro and Small Enterprises (CGTMSE) Provides assistance to micro and small units by promoting collateral free loan through FIs/Banks. Scheme of Fund for Regeneration of Traditional Industries (SFURTI) through coir board Promotes assistance to coir industry  for technology up-gradation, new product development capacity building and market development etc Export Import Bank (EXIM Bank) For promoting Exports of various products and imports of essentials the bank provides credit assistance. Moreover various states in India have also taken steps during the course of time by constituting various nodal agencies/funds/policies like State Finance Corporations, Handicraft Development Boards, Industrial Development Corporations, Small Industrial Development Corporations, District Industry Centers, Khadi and Village Industries Board, Biotechnology Development Funds, Automotive Development Policy, Agro and Food Processing Policy, ITE/IT Infrastructure Policy, Clusters Development Policy, Tech Zones, Tech Parks and the latest being Solar Policy. Reserve Bank of India has also stipulated a sustained growth of 20% on year to year basis from Schedules Banks in India. For improvement of MSME health, Banking/Financial Sector together has to play vital role with the steps like: Encourage financing with structural and affirmative development of MSME. Credit policies of Banks/FIs must show liberal parameters. Reduce Interest Rates, specially, for Micro and Small Enterprises. Awareness in borrowers mindset the pros and cons of CIBIL and defaults in loans. Rating Agencies are to be roped in for surveys and educating the unorganized entrepreneurs. Bank/FIs should not only rely on the financial data available with the entrepreneurs but should check business relationship through quantitative and qualitative analysis, discussions, meetings, benchmarks, cross industry & geographical comparisons, consumption details etc. For this outsourcing through independent agencies can be the option for reporting of micro, small and medium enterprises. For Top priority in growth trajectory of India, building global competitiveness, inclusivity and sustainability, financial health of MSME has to play vital role. We can dream of prosperous India with sustained growth in GDP on year to year basis if our MSME grows.

Demonetisation Triggers 30.5% Drop In Smartphone Sales It is called achche din

 Owing to demonetisation and subsequent cash crunch, smartphone sales fell by a whopping 30.5 per cent (month-on-month) in November over the October festive season, market research firm International Data Corporation (IDC) revealed on Tuesday.

Indian vendors were hit most due to demonetisation with a drop of 37.2 per cent in November as compared to Chinese players with 26.5 per cent drop and global vendors with 30.5 per cent drop over the previous month, said IDC's 'Monthly City Level Smartphone Tracker' report -- which surveyed smartphone sales in 50 Indian cities.

"Demonetisation has impacted the smartphone market at almost all levels, including the customer demand and stock movement in the distribution channels," said Upasana Joshi, Senior Market Analyst, IDC India. 

"The slowdown was seen across all city tiers, with a de growth of 31.7 percent in Tier 1 cities and 29.5 percent in Tier 2,3 & 4 cities in November over October. There was a huge drop in inquiries and significantly reduced footfall at the retail. To counter this, mobile phone retailers, together with micro-finance companies, started offering zero down payment options to stir sales," Joshi added.

According to the report, domestic vendors are finding it difficult to compete with the aggressive Chinese players due to shrinking spends in their marketing and the absence of good product assortment.

"The market share of Chinese vendors increased to 42.6 per cent in tier-I cities from 38.7 per cent market share in October 2016," the findings showed.

In addition to seasonal decline and impact of demonetisation, China-based vendors' market share improved sequentially owing to their high decibel marketing, increased credit line to distributors and efficient channel management.

Heavy investments in training and developing in-shop promoter programme by Oppo and Vivo have helped these vendors to sustain with lower decline in relative to other vendors.

"In the offline channel, while the Indian vendors were struggling, the Chinese vendors like Oppo & Vivo pulled in strong demand largely due to their strong hold on distribution and better partner incentive schemes and promotional activities during the slowdown," said Varun Singh, Market Analyst, IDC India.

Global vendors especially led by Samsung were able to withstand the aggressive Chinese players due to their good distributor coverage and penetration in the Indian market, the report added.

Note Ban Negative For Jobs, Small Enterprises, Rural Demand: Assocham

Demonetisation will leave a negative impact on small and medium enterprises (SMEs), rural consumption and job creation while the large organised sectors stand to benefit in the long term, industry chamber Assocham said on Sunday.

"Demonetisation of high value currency notes would leave quite a negative impact on small and medium enterprises, rural consumption and job creation in the immediate run while the large and well organised sectors of corporate India stand to benefit in the long term, the latest Assocham-Bizcon Survey pointed out," the industry body said in a release here.

Noting the stark contrast in survey responses, Assocham said: "While 81.5 per cent of the respondents felt the SMEs have been hit and would still suffer the lingering effect for one more quarter, an equal number said for large enterprises, the impact of the note ban would be positive." 

The survey unveiled another paradox, in that, while it said the note ban would lead to better outlook in the long run, "over 66 per cent of the responses pointed towards negative on investment, linked to issues like subdued consumer confidence and demand, particularly in rural landscape."

"At a holistic level, a large number of respondents felt that the impact could be seen in sales volume declining in the last quarter of the current financial year. Same holds good for the order book position with investment graph not showing much of an uptick for the January-March quarter." 

Attributing the easing of prices in vegetables and other crops to incidents of distress sale due to cash scarcity, 92 per cent of the Bizcon Survey respondents said demonetisation would have a positive impact on inflation.

"When the economy is in a state of flux, it is quite a challenge to get the real picture on the ground. Even though our survey does point towards some level of stress, the jury is still out and it would be quite a while before one can say with complete certainty whether or not the currency jerk was good or bad for the economy," Assocham Secretary General D.S. Rawat said.

"For the present, the impact is seen on certain sectors, while others escaped," he added.

On the sectoral impact of demonetisation, the survey said agriculture, cement, fertilizers, automobile, textiles, real estate and retail will have negative impact while power, oil and gas, pharmaceuticals, IT and electronics, and infrastructure will see a positive impact.


source ndtv profit