Special assistance to Andhra Pradesh continues as funding allocated for backward districts, new capital infrastructure and major irrigation project.
Central Government announced a further Special Assistance allocation for Andhra Pradesh in 2015-16 comprising targeted funding for development of seven backward districts, infrastructure for the new state capital (including key government buildings), and financing for the Polavaram irrigation project, accompanied by a tax incentive in the Finance Act, 2015, and situated within post reorganisation grant support to address resource gaps.

Industrial licence validity for defence sector extended to streamline licensing and support long term defence contracts.
The amendment revises the initial validity of the Industrial Licence for the defence sector by extending the initial term and the further extendable term for both existing and future licences, while requiring a fresh application where a licence has already expired; the change is intended to address long gestation periods of defence contracts and to promote ease of doing business.

Fiscal deficit target reaffirmation signals continued economic reforms, GST prioritisation and capital market liberalisation for investor engagement.
The Government reaffirmed commitment to meet the fiscal deficit target and to continue economic reforms, prioritising implementation of the Goods and Services Tax, and signalled policies to deepen and liberalise capital markets through development of the corporate bond market, expansion of the currency derivatives market and further liberalisation of external commercial borrowing, including interest in rupee denominated offshore bonds.

Administrative removal of Tobacco Board chair after farmer suicides; officer to assume charge and board ordered to expedite stock disposal.
The Commerce and Industry Minister ordered the Tobacco Board chair to proceed on immediate leave and directed the Department of Commerce to place a senior officer in additional charge; the Minister also instructed the Board to take urgent steps to facilitate disposal of remaining tobacco stocks within a short timeframe to mitigate farmer distress.

Railway line doubling approved to expand capacity and support industrial freight movement under mixed funding model.
Approval is granted for doubling the Hotgi Kudgi Gadag single line railway corridor to create additional line capacity for industrial and freight traffic, funded partly by customer contributions under a Customer Funding Model and with the balance from Gross Budgetary Support, Extra Budgetary Resources, or both, to facilitate smoother rake movement, introduction of additional trains, and regional development.

Territorial jurisdiction for cheque-dishonour cases fixed at payee's bank branch, consolidating prosecutions and streamlining venue.
Prescribes that complaints for cheque dishonour must be filed only in the court within whose local jurisdiction the payee's bank branch - where the cheque was delivered for payment - is situated, covering both collection-through-account and across-the-counter presentations. All subsequent complaints against the same drawer must be instituted before the same court, and if multiple prosecutions arise in different courts the matter shall be transferred to the court having jurisdiction under the new scheme.

Creation of director posts approved to staff new National Institutes of Design, enabling regional expansion of design education.
The Union Cabinet approved creation of director-level posts to staff newly established National Institutes of Design, authorising appointments to operationalise the institutes in designated locations. This decision follows earlier Cabinet approval of the financial implications, including salaries, necessary for establishing the institutes, and implements the Action Plan under the National Design Policy to expand quality design education regionally.

Business reform implementation: average 32% with strong tax digitization gains but major gaps in inspections and land records.
Assessment of State Implementation of Business Reforms measures adoption of a 98-point Action Plan across eight areas (business start-up, land and construction permits, environment, labour, utilities, tax registration and compliance, inspections, enforcing contracts) using a standardized questionnaire, documentary evidence and state visits up to 30 June 2015. Average implementation is low (circa 32%), with strengths in online VAT/CST filing and payments, timelines for construction and electricity connections, and single-window systems; major deficiencies persist in inspection reform, integrated land records, downloadable/verifiable online certificates and comprehensive registration checklists.

State implementation of business reforms: progress in e-services and tax automation, but critical gaps in e-courts and inspections remain.
Assessment reports state-level progress implementing a national action plan for business reforms, noting good practices-online single window business registration, defined timelines for utility connections, tax automation and risk-based inspections-alongside persistent gaps in e-court infrastructure, comprehensive inspection reform, and online land bank and GIS availability; it urges improved communication, monitoring and evaluation to translate reforms into measurable on the ground outcomes.

Wholesale price inflation turns negative, reflecting broad-based declines led by fuel and manufactured products.
The Wholesale Price Index (base 2004-05=100) declined month-on-month in August 2015 to 176.7 (provisional), producing a negative annual WPI inflation rate of -4.95%. Primary Articles rose driven by food price increases, while Fuel & Power fell sharply-led by lower furnace oil, aviation turbine fuel, diesel and petrol-contributing significantly to the overall decline. Manufactured Products edged down with mixed subgroup movements; the release details commodity-level drivers and provides build-up inflation for the financial year and a finalized revision for June 2015.

Sanitation campaign expansion: nationwide household toilet provision tied to river-cleaning programme with central funding commitment.
The central government committed to integrate household sanitation expansion with the river-cleaning initiative by mobilising central budgetary allocations and philanthropic donations to provide toilets in poor villages adjacent to the river, coordinating sanitation and river-conservation schemes and engaging community and faith-based organisations to support multi-year implementation.

Indian financial sector competitiveness: reform capital controls, reduce regulatory risk, and shift tax regime to residence-based.
The report evaluates international competitiveness of India's currency, equity and commodity derivatives markets using eight factors-capital controls, tax policy, regulatory risk, frictions, domestic market depth, position limits, trading hours and margins-and finds that capital controls, source-based taxation, high regulatory risk and procedural frictions substantially impair onshore competitiveness. It documents empirical market deterioration after abrupt 2013 interventions in INR derivatives and proposes short-, medium- and long-term reforms including FATF-aligned KYC, Handbook (2013) governance, rationalised margins/limits, residence-based taxation, and legal changes to enable OTC, options and cash-settled commodity contracts.

State regulation of potable alcohol: exclusive State control over manufacture and licensing clarifies federal jurisdiction.
Amendment to the First Schedule of the Industries (Development and Regulation) Act, 1951 reallocates regulatory authority over potable alcohol to States by substituting the heading for item 26 to exclude potable alcohol; a Bill will be introduced to confer total and exclusive State control over manufacture and licensing of potable alcohol while preserving Central competence over industrial alcohol.

Dearness Allowance increase effective July enhances employee and pensioner entitlements under the accepted pay commission formula.
An additional instalment of Dearness Allowance for Central Government employees and Dearness Relief for pensioners is authorised effective July 2015, calculated under the accepted formula based on the 6th Central Pay Commission recommendations, and the measure carries a quantified recurring fiscal impact and a pro rated in year cost.

Anticompetitive conduct by an exhibitors' association led to sanctions, penalties and mandatory compliance programmes to prevent exclusionary practices.
A theatre owners' federation restricted supply of Malayalam and Tamil films to a rival exhibitor by coordinating distributor non-supply, constituting an anticompetitive agreement that limited film provision in the market. Two office-bearers were found personally responsible for the federation's conduct. Regulatory responses required cessation of the anticompetitive conduct, imposition of financial penalties proportionate to average income on the federation and the office-bearers, prohibition of the two individuals from federation affairs for two years, and mandated competition awareness and compliance programmes.

Global financial stability coordination urges collaborative safety nets to mitigate competitive currency devaluations and cross-border spillovers.
Review of global economic developments focuses on currency devaluations and the risk of competitive devaluations, with emphasis on developing collaborative global safety nets to protect against negative spillovers and volatile capital flows. The meetings will advance G 20/OECD principles on SME financing and the World SME Forum, address employment and labour income concerns in a joint finance labour forum, consider country specific infrastructure investment strategies, review international tax issues, and participate in the Governing Council meeting of the BRICS Contingent Reserve Arrangement as an additional liquidity safety net.

G-20 finance meeting prompts ministerial participation and bilateral consultations during an international ministerial conference.
A national Finance Minister left to attend a two day international finance ministers and central bank governors conference in Turkey and will hold bilateral meetings with counterparts on the sidelines; the itinerary records departure before the conference and return to the national capital immediately after concluding engagements.

Deflation risk: GDP may understate recovery because indirect tax accounting inflates price deflators, making GVA more reliable.
Recent quarterly estimates show prices near deflation, driven in part by the treatment of net indirect taxes in constant price GDP accounting: the CSO's method of aligning indirect taxes with their tax base can understate real GDP growth when indirect taxes rise and subsidies fall. Consequently, GVA at basic prices is a more reliable indicator of underlying activity, indicating an improvement supported by manufacturing, services, private consumption, and rising fixed capital formation, though overall growth remains below desired pace.

Smart Cities Mission: stakeholder workshop to develop a shared implementation framework and operational standards for urban sustainability
A central policy agency is convening a workshop to align stakeholders on operationalising the Smart Cities Mission, bringing together State and Central governments, Urban Local Bodies, ministries, experts and knowledge partners to develop a shared understanding and a robust project and implementation framework focused on urban sustainability, quality of life, and coordinated governance.