Today Sector News – 25.10.2018

Today Sector News – 25.10.2018


* BANKING: The government expects the prompt corrective action framework for banks to be tweaked.
-The Reserve Bank of India may conduct open market operations purchase worth nearly 1 trln rupees in the next two months to infuse durable liquidity into the banking system to offset increased currency leakage on account of major festivities including state election-related spending and advance tax payout by mid- December.

* CORPORATE: Securities and Exchange Board of India Chairman Ajay Tyagi has suggested that statutory audit of group companies be extended to their unlisted holding entities as well.

* FINANCE: IIFL Finance and JM Financial group companies have together bought back around 26 bln rupees of commercial papers that would otherwise have matured in the next few weeks, indicating the healthy cash position at the two non-banking finance companies.

* PHARMACEUTICALS: Unreasonably high trade margins of drug companies are the primary cause of high drug prices in India, the Competition Commission of India said in a policy note on affordable healthcare.

* REALTY: To scrutinise dealings in the real estate sector, National Housing Board has written to housing finance companies seeking to know their exposure to several developers.

* TAXATION: The indirect tax department could soon ask Tata Group to shell out some 16 bln rupees as 18% goods and services tax on the payment of $1.2 bln it made to Japanese telecommunication firm NTT Docomo- -a former joint venture partner of Tata Teleservices--as damages following an arbitration.

* TELECOMMUNICATION: Swedish telecom gear maker Ericsson has inked a pact with state-run Bharat Sanchar Nigam to create a roadmap for fifth-generation services and internet of things, having already inked a similar agreement with BHARTI AIRTEL.