EPFO investments in ETFs to be raised beyond 5%

Hyderabad, Aug 21 (PTI) Union Labour Minister Bandaru Dattatreya today said that EPFO will raise proportion of its investments in exchange traded funds (ETFs) from the present 5 per cent and a final decision on the quantum for current fiscal would be taken very soon.

SBI Mutual Fund and UTI Mutual Fund will manage the corpus of the retirement fund in ETFs, he said.

As on July 31 this year, amount invested in ETF by Employees' Provident Fund Organisation (EPFO) is Rs 7,468 crore and the market value of this as on date is Rs 8,372 crore, which shows a positive return of 12.10 per cent, the minister said.

"An emergency meeting of Central Board of Trustees (CBT) of EPFO will be convened soon and a final decision on how much (increase in quantum of investments in ETF) percentage will be taken after taking opinion. Earlier, we had gone for 5 per cent. Now, how much we have to increase I will take a decision after the emergency meeting," Dattatreya told PTI.

"Anyhow the increase will be there and how much increase...within next 15 days we will decide," he added.

The Finance Ministry had last year notified a new investment pattern for EPFO, allowing the body to invest a minimum of 5 per cent and up to 15 per cent of its funds in equity or equity-related schemes. EPFO had started investing up to five per cent of its investible deposits in ETFs in August last year.

Reacting to a query on opposition by labour unions on the proposal (to increase quantum of investments in ETFs), he said, "They (unions) are saying government should give guarantee. Things are in positive direction and in prevailing market situation it will further more increase. World over investments of social security funds (are) in same pattern (ETFs)." 

Dattatreya further said the tenure of SBI Mutual Fund as ETF manufacturer for EPFO lapsed on June 30 and selection of SBI Mutual Fund and UTI Mutual Fund has been done by CBT, adding new investments will restart in ETFs.

"We have not stopped investments in ETFs during the lapsed period and taken care of investment pattern. In the meanwhile, (the period after it expired) funds amounting to Rs 900 crore have been parked/invested in Liquid Mutual funds and such funds earned around 7 per cent approximately. "This amount will be withdrawn and invested in ETFs by both SBI Mutual Fund and UTI Mutual Fund," the minister added.

Dr. Urjit R Patel appointed as the New Governor of Reserve Bank of India (RBI) for a period of three years with effect from 4th September, 2016.

New Delhi: Urjit Patel becomes 24th RBI Governor. PTI Photo

Dr. Urjit R Patel has been appointed as the New Governor of Reserve Bank of India (RBI) for a period of three years with effect from 4th September, 2016. He will replace the present RBI Governor Dr. Raghuram Rajan. Dr Patel is presently the Deputy Governor of RBI and is holding this assignment since 2013.

Patel, 52, joined RBI as Deputy Governor on January 11, 2013, and was given a second term in January.

As deputy governor, Patel headed the RBI panel to draft the monetary policy report, which became the basis of the ongoing reforms at the apex bank.

The Patel committee report also formed the basis of the monetary policy committee, which takes away a lot of powers of RBI and the governor, as also move to create a public debt management agency.

Under the independent monetary policy committee, which is being set up, the government will set an inflation target to RBI and the governor will be made answerable to Parliament if he/she fails to contain inflation within target.

Prior to his appointment as the deputy governor, Patel was Advisor (Energy & Infrastructure), The Boston Consulting Group.

He is a Ph.D. (Economics) from Yale University (1990) and M Phil from Oxford (1986) and has been a non-resident Senior Fellow at the The Brookings Institution since 2009.

Patel was with the International Monetary Fund (IMF) between 1990 and 1995, and worked on the US, India, Bahamas and Myanmar desks.

He was on deputation (1996-1997) from the IMF to the Reserve Bank of India and provided advice on development of the debt market, banking sector reforms, pension fund reforms, real exchange rate targeting and evolution of the foreign exchange market.

Patel was also a Consultant (1998-2001) to the Ministry of Finance, Department of Economic Affairs, New Delhi.

Some of his previous assignments include, President (Business Development), RIL; Executive Director and Member of the Management Committee, IDFC (1997-2006); Member of the Integrated Energy Policy Committee (2004-2006) and Member of the Board, Gujarat State Petroleum Corporation Ltd.

Between 2000 and 2004, Patel worked closely with several central and state high-level committees, such as, Task Force on Direct Taxes, Finance Ministry, Advisory Committee (on Research Projects and Market Studies), Competition Commission of India, secretariat for the Prime Minister s Task Force on Infrastructure, Group of Ministers on Telecom Matters, Committee on Civil Aviation Reforms, Ministry of Power's Expert Group on State Electricity Boards and High Level Expert Group for Reviewing the Civil & Defence Services Pension System.

Patel has authored technical publications, papers and comments in the areas of Indian macroeconomics, public finance, infrastructure, financial intermediation, international trade and the economics of climate change.

PM congratulates P V Sindhu on winning Silver at Rio Olympics

The Prime Minister, Shri Narendra Modi has congratulated P. V. Sindhu on winning Silver medal in Badminton at Rio Olympics. 

“Congrats for the Silver, P V Sindhu. Very well fought. Your accomplishment at Rio 2016 is historic and will be remembered for years. ”, the Prime Minister said. 

Sports Minister Congratulates P V Sindhu on her historic Success at Rio

Minister of State for Youth Affairs and sports(I/C) shri Vijay Goel has congratulated P V Sindhu and her Coach P. Gopichand for their historic success at the ongoing Rio Olympics. In a statement here today he said, PV Sindhu’s exemplary success to win Silver medal at this young age in Olympics is the result of her hard work, dedication and perseverance. Shri Goel said, credit for this success goes to her parents too, who always stood by PV Sindhu and devoted their entire time and energy to make Sindhu realize her dreams. Shri Goel Said her creditworthy performance will inspire younger generations in all times to come as she went down contesting valiantly to world number one and two-time world champion Carolina Marin of Spain. Her efforts to bring glory to the country in an individual event are laudable.

Recalling the meeting of the Prime Minister Shri Narendra Modi with P V Sindhu during the send-off ceremony organised for the Rio bound players in New Delhi, the sports minister said Shri Modi was keenly following the progress of PV Sindhu at Rio right from her first match. He said under the overall guidance of Shri Modi, Sports Ministry will shortly launch preparations for Tokyo Olympics 2020 in the right earnest.

Shri Goel said Sakshi Malik, Deepa Karmakar and PV Sindhu have scaled new heights in their careers at Rio Olympics and shown to the world the real capability and exemplary courage of the daughters of India.

Really happy to win a silver, says Sindhu

 Rio de Janeiro, Aug 19 (PTI) P V Sindhu today said she is happy to win a silver in the women's singles badminton event after her gallant attempt to win a coveted gold for India ended in heart-break at the Rio Olympics here today.

"I ended up with silver medal but am really happy," said Sindhu moments after losing her final clash 21-19 12-21 15-21 against two-time World Championship Marin here.

"I'm really proud about it. I'm really happy. I could not win the gold. But I really worked hard. It was anybody's game.

"A day before a girl has got a bronze, it's me now. We have all played well. There will be ups and downs in sport like in life. Losing one or two points. I would like to congratulate everyone. It's been a great week for me."

Sindhu also praised Marin on her Olymic gold.

"I also congratulate Carolina. It's been a wonderful week for me. It's anybody's aim to win a medal at the Olympics."

Talking about the final match, Sindhu said: "In today's match both players were attacking and playing aggressive on court. One has to win and one has to lose. It was her day on centre court today."

The 21-year-old from Hyderabad said bright days are ahead for Indian badminton.

"Future is good definitely. There are are many players coming up, and many more will succeed. Badminton is doing really well in India. In mens's singles Srikanth lost very closely," she said.

Badminton: Sindhu raises Indian hopes of first gold

 Pusarla Sindhu sent Indian fans into a frenzy by blasting through Japan's Nozomi Okuhara to reach the gold medal decider for the women's singles at the Olympic badminton on Thursday.

With a huge contingent of home fans roaring "Go India, go!", the 21-year-old Hyderabadi gradually wore down sixth-ranked Okuhara before charging to an emphatic 21-19 21-10 victory at the Riocentro.

Sindhu will meet Spanish top seed Carolina Marin, who hammered China's reigning champion Li Xuerui 21-14 21-16 in the early semi-final.

SBI board clears merger of 5 associate banks, BMB with itself

 New Delhi, Aug 18 (PTI) In a bid to create global size bank, the board of State Bank of India today approved scheme of merger of five associate lenders and Bharatiya Mahila Bank (BMB) with itself while protecting the interest of the existing staff.

"The central board of directors of SBI has accorded its approval to the scheme of acquisition of the State Bank of Bikaner & Jaipur (SBBJ), State Bank of Mysore (SBM), State Bank of Travancore (SBT) and Bharatiya Mahila Bank Limited (BMBL) by the State Bank of India," SBI said in a regulatory filing to stock exchanges.

Later, in an update, it also approved separate schemes of acquisition of State Bank of Patiala (SBP) and State Bank of Hyderabad (SBH) with SBI.

As per the merger proposal, SBBJ shareholders will get 28 shares of SBI (Rs 1 each) for every 10 shares (Rs 10 each).

Similarly, SBM and SBT shareholders will get 22 shares of SBI for every 10 shares.

There will not be any share swap or cash outgo as SBH and SBP are wholly-owned by the SBI.

In the case of Bharatiya Mahila Bank, 4,42,31,510 shares of SBI will be swapped for every 100 crore shares of face value of Rs 10 each.

As per the merger proposal, the pay and allowances of the staff of the merging bank will be protected and "shall not be less favourable overall as compared to what they would have drawn".

Also, benefits of the retired employees will be protected, it said.

President of India Congratulates Ms. Sakshi Malik

The President of India, Shri Pranab Mukherjee has congratulated Ms. Sakshi Malik for winning a Bronze Medal at the Rio Olympics. 

In a message sent to Ms. Sakshi Malik, the President has said, “I am extremely happy to hear of your success in winning the Bronze Medal in women’s wrestling 58 kg category at the 2016 Rio Olympics. You are the first ever Indian female to claim a medal in wrestling at the Olympics. 

Please accept my hearty congratulations and best wishes on this accomplishment, which has done India proud and ensured that our flag flies high in the international arena. 

I wish you continued success in all future endeavours”. 

PM congratulates Sakshi Malik on winning Bronze in Rio Olympics

The Prime Minister, Shri Narendra Modi has congratulated Sakshi Malik on winning Bronze medal in Wrestling in Rio Olympics. 

“Sakshi Malik creates history! Congratulations to her for the Bronze. The entire nation is rejoicing. 

On this very auspicious day of Raksha Bandhan, Sakshi Malik, a daughter of India, wins a Bronze and makes all of us very proud. 

Sakshi Malik will inspire several sportspersons in the years to come.”, the Prime Minister said. 

Indian Railways' Employee Sakshi Malik brings India's first much awaited Olympic medal at Rio Olympics 2016

Indian Railways’ employee Sakshi Malik has won the first Olympic medal at Rio Olympics 2016 for the country. Minister of Railways Shri Suresh Prabhakar Prabhu, Minister of State (Independent charge) for Communications & Minister of State for Railways Shri Manoj Sinha and Minister of State for Railways Shri Rajan Gohain have congratulated her for making the country proud by her achievement. Entire Indian Railways fraternity is also feeling proud today, as Indian Railways has brought laurels for the nation. Sakshi Malik won the Olympic Bronze medal in 58 kg category of women’s freestyle wrestling. Sakshi Malik also created history by becoming the first ‘women wrestler’ from India to bag an Olympic medal. Gritty women wrestler, Sakshi Malik ended India’s anxious wait for a medal by clinching the bronze in the 58 kg category, pulling off a sensational 8-5 victory over Alsuluu Tynybekova of Kyrgyzstan.

India, China agree not to let differences affect ties

Beijing, Aug 17 (PTI) India and China have had "candid" exchange of views on some "specific issues" and they agreed not to let the "differences" affect their overall ties as they vowed to resolve the issues through dialogue and consultation, the Chinese Foreign Ministry said today.

"Foreign Minister Wang Yi visited India just before the G20 Hangzhou Summit and the 8th BRICS leaders meeting, with the main purpose of having strategic communication with India," the ministry said.

"The most important consensus reached by the two sides during the visit was that the two agreed to support each other in making" both the summits a "success", the ministry said in a written response to a question from PTI on Wang's visit.

Besides visiting Goa to see arrangements for the BRICS, (Brazil, Russia, India, China and South Africa) summit which is due to take place there in October, Wang held talks with his counterpart Sushma Swaraj on August 13 in New Delhi and called on Prime Minister Narendra Modi.

"The two sides also had candid exchange of views on some specific issues emerging in the course of exchanges between China and India," it said.

"Both (sides) agreed that the two countries have far more common interests than differences, far more aspects of cooperation than competition, and thus should place specific differences at a proper position in bilateral relations so as not to impact the overall friendliness," it said.

"Meanwhile, the two sides should continue to work on solutions to specific problems through dialogue and consultation," it said, apparently referring to differences over India's admission to the Nuclear Suppliers Group (NSG) and listing Masood Azhar, the head of the Pakistan-based terrorist group Jaish-e-Muhammad, as a terrorist by the UN.

"The most important consensus reached by the two sides during the visit was that the two have agreed to support each other in making the G20 Hangzhou Summit and the BRICS leaders meeting in Goa a success, in a bid to enhance cooperation and solidarity among developing countries and elevate the status of emerging markets in global governance," it said.

"The two sides reiterated that they attach great importance to developing bilateral relations, and believe that the mainstream of China-India relationship is good, and that the two sides should bear in mind the larger picture of friendly cooperation between the two countries, press firmly ahead with pragmatic cooperation and build a closer China-India partnership of development," it said.

Ready to talk on terror but not Kashmir: India to Pak

 Islamabad/New Delhi, Aug 17 (PTI) India today rejected Pakistan's proposal to hold Foreign Secretary-level talks on Kashmir and asserted that it would like to discuss aspects related to cross-border terrorism which are central to the current situation in Jammu and Kashmir.

Responding to Pakistan Foreign Secretary Aizaz Ahmad Chaudhry's invitation, India's Foreign Secretary S Jaishankar expressed his willingness to travel to Islamabad but maintained Pakistan has no locus standi in addressing any aspect of the situation in Jammu and Kashmir, which is an internal matter of India, except to put an end to cross-border terrorism and infiltration.

The response was handed over to Pakistan by Indian High Commissioner to Islamabad Gautam Bambawale.

"Since aspects related to cross-border terrorism are central to the current situation in J&K, we have proposed that discussions between the Foreign Secretaries be focused on them.

"We have also conveyed that Government of India rejects in their entirety the self-serving allegations regarding the situation in J&K, which is an integral part of India where Pakistan has no locus standi," the sources added.

Pakistan on Monday had invited India for talks on Kashmir, saying it is the "international obligation" of both the countries to resolve the issue.

The invitation was extended amid tension in bilateral ties due to the war of words between the two nations over the issue.

Last week, while reacting to a statement by Pakistan Prime Minister's Advisor on Foreign Affairs Sartaj Aziz regarding the invitation, India had made it clear that it would talk on "contemporary and relevant" issues in Indo-Pak relations and at this time it included stoppage of Pak-supported cross-border terrorism. .

Sensex slips 88 pts on disappointing macro data

Mumbai, Aug 16 (PTI) Market benchmark Sensex declined 88 points to close at 28,064.61 on Tuesday as investors cut down their bets after industrial output growth slowed down to 2.1 per cent in June and inflation hits two-year high.

Lower international advices following a sharp rally in the yen and disappointing Japanese second-quarter GDP figures also hit investor sentiment.

An official data on Friday showed industrial output grew by 2.1 per cent in June, although down from 4.2 per cent a year ago, on account of poor show by manufacturing and heavy contraction in capital goods.

Besides, retail inflation shot up to nearly two-year high of 6.07 per cent in July, well above RBI's comfortable level, on surge in prices of food items as demand for sugar, oil & fats and spices rose ahead of the festival season.

WPI inflation today hit a 23-month high of 3.55 per cent in July.

"Markets have begun to refocus on macros, and the first of those have disappointed. Both the CPI and WPI have diminished chances of a rate cut in October," said Anand James Chief Market Strategist, Geojit BNP Paribas Financial Services.

The BSE Sensex resumed higher at 28,190.04 and hovered in a range of 28,199.10 to 27,942.65 before closing at 28,064.61, showing a fall of 87.79 points or 0.31 per cent. The gauge had gained 377.52 in the previous two sessions.

The 50-issue Nifty fell 29.60 points or 0.34 per cent to close at 8,642.55. Intra-day, it hovered between 8,682.35 and 8,600.45.

Shares of Unitech slumped 16.91 per cent after the real estate firm expressed inability before the Supreme Court to refund money to the home buyers over its two delayed projects in Noida and Gurgaon.

Stock of Infosys slipped 1.16 per cent to Rs 1,050.95 after the tech major announced it will ramp-down about 3,000 jobs, following Royal Bank of Scotland's decision to cancel a project to set up a separate bank in the UK.

Overseas, Asian stocks ended lower as the price of crude oil took a breather from a three-day rally. Japanese stocks fell by 1.62 per cent as the yen strengthened against the dollar.

Other indices like China, Hong Kong, Singapore, South Korea and Taiwan moved down by 0.09 per cent to 0.49 per cent.

European also edged lower key indices in France, Germany and the UK down between 0.04 per cent and 0.13 per cent.

Modi not first to talk about Balochistan, UPA did it too: Cong

New Delhi, Aug 16 (PTI) Prime Minister Narendra Modi was not the first to raise concern over the situation in Balochistan, Congress said today, insisting that the party-led UPA government had consistently spoken about the "spiralling violence" and "heavy Pakistani military action".

"Congress and UPA government have condemned the human rights violations in Balochistan as also in PoK by Pakistani forces and establishment on multiple occasions in the past," party's chief spokesman Randeep Surjewala said, noting that the first time the UPA did so was on December 27, 2005.

Besides, he said, none less than the then Prime Minister Manmohan Singh, in reply to a parliamentary question on March, 2, 2006, categorically condemned the spiralling violence in Balochistan and heavy military action, including use of helicopter gunships and fighter jets by the government of Pakistan to suppress the people of Balochistan.

Earlier, in the wake of reported killing of 50 Baloch people in the Pakistani army action, a spokesman for the External Affairs Ministry had expressed hope that the government of Pakistan would exercise restraint and take recourse to peaceful discussions to address the grievances of the people of Balochistan, Surjewala said.

His statement came a day after the Congress appeared to be speaking in different voices on the issue and the AICC even distancing itself from the remarks of senior leader Salman Khurshid on Prime Minister Narendra Modi's reference to Balochistan in his Independence Day address.

Congress had termed Khurshid's remarks as "his personal view".

In his address from the ramparts of the Red Fort yesterday, Modi had talked about the situation in PoK, Gilgit and Balochistan and said people from there have thanked him for raising their issues.

Noting that Modi must realise the "folly" of BJP and its leadership in opposing Congress and UPA earlier, Surjewala said the Prime Minister instead of indulging in self-praise and self-promotion as he did in the Independence Day address, needs to have a sense of history and must thank his predecessor Singh.

"Rhetoric from Red Fort and headline management by PM Modi is fine but he needs to tell the nation about the BJP government's actual 'Pak Policy' that leaves even the most vocal supporters of Modi completely confused and bewildered," he said. .