Today Sector News – 01.03.2018
* AVIATION: Disinvestment-bound Air India plans to hire 500 cabin crew members as the national carrier prepares to induct more aircraft and meet new regulatory requirements.
* BANKING: Non-food bank credit of Indian banks grew 9.5% on year at the end of January, higher than 3.5% a year ago. Reserve Bank of India's officials are conducting a special inspection of letters of undertaking issued by state-run banks.
* COMMODITIES: The Union Cabinet approved doubling the government guarantee to National Agricultural Cooperative Marketing Federation for procurement of pulses and oilseeds at the minimum support price.
* CORPORATE: Tata Group Chairman N. Chandrasekaran plans to merge housing and infrastructure businesses to create a single large unit with revenues of over 30 bln rupees.
* ECONOMY: GDP growth in the December quarter has been sectorally broad-based, with manufacturing growth estimated at 8.1%, up from 6.9% in Jul-Sep. The Indian government spent 2.186 trln rupees on major subsidies in AprJan, accounting for 95.2% of the revised Budget target for the financial year ending March, the Controller General of Accounts said.
- The Central Statistics Office has revised upward its estimate of India's GDP growth for the current financial year ending March to 6.6% from 6.5% earlier. The Union Cabinet has approved a 50-bln-rupee plan to promote some key services sectors. India's GDP growth for 2017-18 (Apr-Mar) may be revised higher than the Central Statistics Office's forecast of 6.6%. The Finance Commission may scrap revenue deficit grants to states.
* EXCHANGES: BSE will delist 36 companies from next week as trading in their shares has remained suspended for over three years. These companies will be delisted from Mar 5, it said in two separate circulars.
* INFORMATION TECHNOLOGY: Cognizant's employee strength in India fell by 8,000 in 2017 to a total of 180,000.
* INFRASTRUCTURE: Australia's Macquarie Infrastructure and Real Assets has won the bid for operational toll highway projects from the National Highways Authority of India.
* MINES: The Appointments Committee of the Cabinet has approved the appointment of Anil Gopishankar Mukim as secretary in the mines ministry.
* POWER: Essar Power may have found a way to stay afloat. The company says it will triple the quantum of power it sells in the spot market as sale to the Gujarat government plummets.
* STEEL: Global prices of steel products are likely to be strong in the near term as Chinese traders generally restock after the Lunar New Year anticipating higher demand, Phillip Capital said in a report. Tyazhpromexport, a key member of Numetal Mauritius, the consortium that has bid for Essar Steel, has said it would harness its technical knowledge bank and expertise to engineer a swift turnaround of the debt-laden mill. The committee of creditors for insolvent Essar Steel is likely to delay a decision on the bids by ArcelorMittal and Numetal.
* TELECOMMUNICATION: Aircel has filed a plea before the National Company Law Tribunal to initiate corporate insolvency resolution process against itself, the telecom operator said in a press release. Aircel's struggles have hit its distributors and retailers, who have spent lakhs of rupees on the telecom companys SIM cards for which there are few takers now. Aircel has filed for bankruptcy protection with the National Company Law Tribunal in Mumbai, after its Malaysian promoter Maxis Communications decided against pumping additional funds into the company.
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* BANKING: Non-food bank credit of Indian banks grew 9.5% on year at the end of January, higher than 3.5% a year ago. Reserve Bank of India's officials are conducting a special inspection of letters of undertaking issued by state-run banks.
* COMMODITIES: The Union Cabinet approved doubling the government guarantee to National Agricultural Cooperative Marketing Federation for procurement of pulses and oilseeds at the minimum support price.
* CORPORATE: Tata Group Chairman N. Chandrasekaran plans to merge housing and infrastructure businesses to create a single large unit with revenues of over 30 bln rupees.
* ECONOMY: GDP growth in the December quarter has been sectorally broad-based, with manufacturing growth estimated at 8.1%, up from 6.9% in Jul-Sep. The Indian government spent 2.186 trln rupees on major subsidies in AprJan, accounting for 95.2% of the revised Budget target for the financial year ending March, the Controller General of Accounts said.
- The Central Statistics Office has revised upward its estimate of India's GDP growth for the current financial year ending March to 6.6% from 6.5% earlier. The Union Cabinet has approved a 50-bln-rupee plan to promote some key services sectors. India's GDP growth for 2017-18 (Apr-Mar) may be revised higher than the Central Statistics Office's forecast of 6.6%. The Finance Commission may scrap revenue deficit grants to states.
* EXCHANGES: BSE will delist 36 companies from next week as trading in their shares has remained suspended for over three years. These companies will be delisted from Mar 5, it said in two separate circulars.
* INFORMATION TECHNOLOGY: Cognizant's employee strength in India fell by 8,000 in 2017 to a total of 180,000.
* INFRASTRUCTURE: Australia's Macquarie Infrastructure and Real Assets has won the bid for operational toll highway projects from the National Highways Authority of India.
* MINES: The Appointments Committee of the Cabinet has approved the appointment of Anil Gopishankar Mukim as secretary in the mines ministry.
* POWER: Essar Power may have found a way to stay afloat. The company says it will triple the quantum of power it sells in the spot market as sale to the Gujarat government plummets.
* STEEL: Global prices of steel products are likely to be strong in the near term as Chinese traders generally restock after the Lunar New Year anticipating higher demand, Phillip Capital said in a report. Tyazhpromexport, a key member of Numetal Mauritius, the consortium that has bid for Essar Steel, has said it would harness its technical knowledge bank and expertise to engineer a swift turnaround of the debt-laden mill. The committee of creditors for insolvent Essar Steel is likely to delay a decision on the bids by ArcelorMittal and Numetal.
* TELECOMMUNICATION: Aircel has filed a plea before the National Company Law Tribunal to initiate corporate insolvency resolution process against itself, the telecom operator said in a press release. Aircel's struggles have hit its distributors and retailers, who have spent lakhs of rupees on the telecom companys SIM cards for which there are few takers now. Aircel has filed for bankruptcy protection with the National Company Law Tribunal in Mumbai, after its Malaysian promoter Maxis Communications decided against pumping additional funds into the company.
