The Reserve Bank of India (RBI) on Wednesday said that weekly withdrawal limit for savings accounts will be increased from Rs 24,000 to Rs 50,000 from February 20 while there will be no limit on withdrawal from March 13.
RBI had imposed these limits in November last year after the government announced a ban on old high-value currency notes, and began to replace them with new notes. Effective February 1, restrictions on daily withdrawal of money from ATMs and from current accounts effective had already been lifted.
For the second time in a row, the RBI today opted for a status quo in its key rates but shifted the stance of the monetary policy from 'accommodative' to 'neutral'. Accordingly, the repo rate at which it lends to the system stands at 6.25 percent and the reverse repo rate at which it absorbs excess liquidity is also retained at 5.75 percent.
The monetary policy committee said it is "committed to bringing headline inflation closer to 4.0 percent on a durable basis and in a calibrated manner" and this requires further "significant decline in inflation expectations, especially since the services component of inflation that is sensitive to wage movements has been sticky.
This is RBI's second monetary policy review after demonetisation of old Rs 500 and Rs 1,000 currency notes.
A detached, unhurried reading of Budget 2017 does lead one to conclude that it was not a run of the mill Budget. It was different, both in what it did, and what it did not do. It was a state-of-the-art workmanlike Budget with one flaw—it hesitated to go the full, logical distance in tax reforms. Why? Likely because it is waiting for a near-optimal political and economic moment February next year.
In several articles preceding this Budget, and ever since the demonetisation (DeMo) policy announced on November 8, I have argued that the key post-DeMo goal of the government should be to create a political and economic environment conducive to considerably less creation of black money. I had identified three key areas for policy. First, individual income tax compliance must be made to increase, and as jointly argued with Arvind Virmani, this would not happen unless incentives (carrots) were given to taxpayers for them to come into the tax net and for them to declare a larger fraction of their income. Second, the real estate sector needed to be cleaned up, for it was a major sink for black money. Third, election-funding policies needed to be urgently reformed—this politician-dominated sector is one of the largest black sinks.
On the latter two policy objectives, the Budget has been extraordinarily innovative—especially on election funding. In addition to black money, the other problem plaguing the Indian economy has been the low rate of growth of capital formation (investment) by the private sector. This, I had emphasised, was very likely due to the extraordinarily high rates of taxation of profits in India.
For 96% of firms (all those with turnover less than R50 crore), the corporate tax rate has been reduced by 5 percentage points—from 30% to 25%. This is just not enough, and possibly a major clean-up will be presented in next year’s Budget when (hopefully) a no-exemption corporate tax rate of 18-20% will be implemented for all firms, big and small.
Personal income tax (PIT) rates: Modi-Jaitley have taken a significant step forward by halving the tax rate (from 10% to 5%) for the lower middle-class of taxpayers (earning between R2.5 lakh and R5 lakh). Even taxpayers earning between R5 lakh and R50 lakh will have their tax outgo reduced by R12,500. For those earning between R50 lakh and R1 crore there is a tax surcharge of 10%, and the surcharge for incomes above R1 crore is retained at 15%
At a time when credit growth at 5.1% was its lowest in 40 years, the union budget has done little to spur capital formation and drive investments and hence the budget presented by the NDA government on February 1, was a disappointment, said former finance minister P Chidambaram.
Analysing the budget at Loyola Institute of Business Administration (LIBA), he said "despite banks cutting interest rates, credit growth—which is a proxy for investment is at a 40 year low. This means that investors are unwilling to borrow and banks are unable to lend," he said.
The gross fixed capital formation (GFCF), he said has dropped to the negative zone in 2016-17. It is now (-)0.2%. It has been falling from 4.9% in 2014-15 to 3.9% in 2015-16. "This means that there is no positive investment is happening in India now. It also means that more factories are closing down than new opens being opened," he said.
Recalling NDA's promise of creating two crore new jobs, he said during 2015-16 1.5 lakh jobs were created. "That was their best year," he said. In the following year 2016-17 only 77000 jobs were created, as per data released by Labour Bureau claimed Chidambaram. "Of this 50,000 were government jobs. And 12000 jobs were lost in software, IT and communication," he said, adding that the budget did little to create jobs.
"The government has lost a huge opportunity," he said. When there was a need to cut indirect taxes to spur demand, the budget cut direct taxes that too for a small section of the people, that too a pitiful sum. "The pitiful cut of 5% in income tax will benefit only 1.98 crore tax payers,' he said, terming no changes to indirect taxes as a cardinal mistake.
"It is terrible. If you had cut indirect taxes, prices will get cut, that will increase consumption and drive demand. However, if direct taxes are cut, people will end up saving the tax in their bank accounts," Chidambaram said. The budget at best will ensure a GDP growth of maximum 6.5% in the 2016-17 and the same for 2018-19. "I do not see any significant change to that," he said.
Hyderabad, December 12 th , 2016: Members of the Hindustan Royals Bullet Club (HRBC) - a Club of 'Bullet' Bike Owners, set out on their iconic bikes on a trip which turned out to be exciting, heartwarming and above all truly rewarding. Around 30 HRBC members visited the home for Children, orphaned & made vulnerable by AIDS - Desire Society, at Bachupally on Sunday.
The cherubic kids aged between 5 and 18 numbering around 75, dressed in their very best were eagerly awaiting, a day of fun and frolic. They went ecstatic on sighting the fleet of Bullet bikes moving towards their Home. The members quickly parked their bikes and joined the kids in creating an ambience of a carnival, at the Home.
The merriment started with zig to popular music tunes and continued with skits, mimicry, fun games etc. The visitors were awestruck and left to appreciate the enormous talent displayed by the kids. The inmates were presented with goodies, story & note books, stationary, eatables like fruits, biscuits, chocolates, cakes etc., and provisions were supplied to the Society. The kids were thoroughly thrilled with the experience of a short pillion ride on the Bullets.
It was a day well spent for us, by sharing love and presenting a sense of belonging, the kids were yearning for. With a heavy heart we bade goodbye to the children, before setting out on our return ride, says Sadashiv Reddy
It was the generous contributions by Club members towards the expenses, which ensured we were able to share joy with the kids in the season of Santa Claus, it has given us further impetus to undertake more such trips in future too, says Navin Bhogi.
Speaking about the trip, Ali Asghar, a member of the club said, we undertake regular group rides to inculcate a habit of safe riding amongst the members and strengthen brotherhood in the group. This trip is a pleasant and amazing experience for all of us; it gave us an opportunity to bring smiles in the faces of the innocent kids, who are deprived of a normal childhood. It also helped in instilling amongst our members, most of whom are youth, a sense of charity and the rich experience and pleasure they reap from it.
About Hindustan Royals Bullet Club
Hindustan Royals Bullet Club is a group of Bullet Bike Owners; it currently has 700 members in the city. The Club undertakes two rides every month, a short and a long trip.The group was initiated by Deepak Sivan & K. Srinivasa Rao, three years ago, with the sole motto of inculcating safe driving habit. HRBC has done many social rides, including Helmet & Traffic Awareness Ride, Save a Girl Child Ride, LV Prasad Eye Institute Glaucoma Awareness Ride; visited Cancer patients at SPARSH HOSPICE, a Palliative Care Centre, and many more. The Group recently undertook solo ride to Rann of Kutch and in the past went on expeditions to Bhutan, Leh & Ladakh, Goa, Mumbai, Pune and Bengaluru. The Club believes in bonding of brotherhood and that’s how the team is growing from strength to strength by the day.
About Desire Society
Desire Society, started by Mr Ravi Babu at Bollaram Village, Medak District, is providing shelter to HIV affected kids from the neighboring areas. It has now spread its services to metro cities like Mumbai, Bengaluru and Delhi. The Home has 75 children (whose parents were infected by the deadly disease and are no more in this world) between the ages of 5-18 years, in Hyderabad. They are being imparted education in different schools in the neighborhood area.
Tamil Nadu CM Jayalalithaa suffered a cardiac arrest on Sunday evening, just hours after her political party AIADMK declared her to be 'fully recovered'. She was rushed to the Critical Care Unit (CCU) once again, where she is currently undergoing treatment and has been put on heart assist device.
Cardiac arrest and heart attack are two terms that are often confused and mistaken as being the same. They are, in fact, two different conditions of the heart, which have varying symptoms, however, both can be fatal if not treated on time.
What is a heart attack?
A heart attack occurs when there is a blockage of the coronary arteries. This is often caused by a blood clot. Such a blockage, if not quickly resolved, can cause parts of heart muscle to die.
What is a cardiac arrest?
Unlike a heart attack, the heart actually stops beating wholly if the person suffers a cardiac arrest; whereas in a heart attack the heart normally continues to beat even though the blood supply to the heart is disrupted.
Tamil Nadu Chief Minister Jayalalithaa, who is undergoing treatment at Apollo Hospital in Chennai following a cardiac arrest on Sunday evening, has been put on an extracorporeal membrane oxygenation (ECMO) to support her heart-lung activity.
The 68-year-old leader was in a critical condition following the cardiac arrest and is being treated by a team of specialists at the hospital where she has been admitted since late September. Here's what you need to know about extracorporeal membrane oxygenation:
What is ECMO?
Extracorporeal membrane oxygenation (ECMO), also known as extracorporeal life support (ECLS), is a treatment used in patients with life-threatening heart and/or lung problems.
Why is ECMO used?
The purpose of ECMO is to provide enough oxygen to the patients while allowing time for the lungs and heart to rest or heal.
Who needs ECMO?
Generally, it is only used in the later treatment of a person with heart or lung failure as it is solely a life-sustaining intervention. Doctors use ECMO on patients when they believe that the condition is reversible.
At the launch, founder Ceeka Chandra Shaker said that seven years ago on November 29, 2009 was a historical day leading to the achievement of Telangana state. TRS president K. Chandrashekhar Rao was arrested for demanding separate State by performing Disha. KCR’s diksha laid path to serious demand for Telangana gathering momentum with huge public support and protests erupting all over Telangana. Central government reacted in the form of announcement for formation of Telangana by the then union home minister P Chidambaram. This followed series of action by central and state governments which have brought us to this point where state bifurcation process has been initiated and new state Telangana is was formed.
TKS Team performed one day diksha as solidarity and remembering this extra ordinary day. Team expressed their loyalty towards KCR garu and TRS party and distributed sweets and fruits in local community.
Another founder-member , London based business man and philanthropist Goli thirupathi said on this occasion, that very happy to see new organisation TKSUK which is launched today on this special day which is very close to the hearts of many Telangana people and TKSUK aiming to strengthen TRS party and KCR leadership in Telangana NRI community in Uk and Europe region. Senior IT consultant Mr Naresh kumar confirmed that TKSUK will organise events where Telangana, TRS and KCR sympathisers will be invited and wider consultations will happen on different programs. Senior software consultant and well known member of UK Telangana community Mr Venkat Rangu said on this occasion that one of the objectives of this organisation is to do community specific work to strengthen party image in England. Soon whole team structure will be announced and future objectives will be announced to wider community.Nagesh Reddy kasarla ,Srilkashmi, , Preeti, , Naveen yelkur , Keerthi Ponnala,Rama goud ,Mahesh nampally ,Ajay polkampalli, attended the event and wished for grand success.