Union Minister of Finance announced that the government plans to sell a part of its holding in Life Insurance Corporation (LIC) by way of an Initial Public Offering (IPO). The government owns 100 per cent of LIC. Establishment The Life Insurance Corporation of India was established by the Parliament by passing the Life Insurance Corporation… Continue reading LIC stake sale
Category: Indian Economy
Removal of DDT will boost investments: CBDT
Background: The budget proposed the removal of the Dividend Distribution Tax (DDT) payable by companies. Currently, companies are required to pay a 15% tax plus applicable surcharge and cess on the dividends. Further, investors who receive more than ₹10 lakh as a dividend in a financial year have to pay a 10% tax on such income. The Centre has… Continue reading Removal of DDT will boost investments: CBDT
15th Finance Commission’s interim report
Context The report of the 15th Finance Commission headed by N K Singh was tabled in Parliament. The Finance Commission and its purpose The Finance Commission is a body set up under Article 280 of the Constitution, primarily to recommend measures and methods on how revenues, which the government earns through various taxes, need to be… Continue reading 15th Finance Commission’s interim report
Should the government exit navratna companies?
Why in news? Last month, the Cabinet approved sale of the government’s stake in Bharat Petroleum Corporation Limited, a navratna public sector company with oil refining and marketing operations. Backgrounder The Public Sector Enterprises are run by the Government under the Department of Public Enterprises of Ministry of Heavy Industries and Public Enterprises. The government… Continue reading Should the government exit navratna companies?
Five Years of Make in India
Make in India campaign was launched by the Prime Minister of India on September 25, 2014. Objectives To attract foreign investment for new industrialisation and develop the already existing industry base in India to surpass that of China. Target of an increase in manufacturing sector growth to 12-14% per annum over the medium term. To increase the share of manufacturing sector in the… Continue reading Five Years of Make in India
Privatisation of Indian Railways
After privatisation of the Tejas Express (to be run by the IRCTC), the government is currently in the process of forming a task force to draw a blueprint for handing over operations of as many as 150 trains and a total of 50 railway stations to private operators. The Bibek Debroy committee recommended that the… Continue reading Privatisation of Indian Railways
Consumption Conundrum of Indian Economy
According to NITI Aayog, the current economic slowdown is the worst economic slowdown that India has faced since independence. Moreover, the slowdown has been witnessed in consumption in the Indian economy. From many decades, consumption has been the major driver of growth in the Indian economy. Income stagnation has been the cause of consumption slowdown. Reasons for Income Stagnation Unemployment Crisis… Continue reading Consumption Conundrum of Indian Economy
Punjab and Maharashtra Cooperative Bank Ltd (PMC Bank)
Context The Reserve Bank of India has placed Mumbai-based Punjab and Maharashtra Cooperative Bank (PMC Bank) a Leading Cooperative Bank headquartered in Mumbai under directions and has slapped restrictions on its operations RBI imposed curbs on the activities of PMC for a period of six months. Background Founded in 1984, PMC Bank was the youngest bank to… Continue reading Punjab and Maharashtra Cooperative Bank Ltd (PMC Bank)
The attack on Agroecology
What is Agroecology? It is recognized worldwide as a system that enhances fertile landscapes, increases yields, restores soil health and biodiversity, promotes climate resilience and improves farmers’ well-being. Its practices are supported by many agricultural scientists, the Food and Agriculture Organization, the Intergovernmental Panel on Climate Change, farmers’ groups and several NGOs. It basically makes… Continue reading The attack on Agroecology
GST Council and Corporate Tax
The Goods & Services Tax (GST) Council held a meeting on 20th September 2019 to decide on tax moderation, keeping in mind the revenue position and the need to boost sagging economic growth. The GST Council had its 37th meeting in Goa in the backdrop of economic growth hitting a six-year low of 5% for the first quarter of the current fiscal (April -… Continue reading GST Council and Corporate Tax
