Foreign-exchange market conditions weakened the rupee as stronger dollar and crude prices offset support from reserve growth and inflows. Foreign-exchange market conditions saw the rupee weaken against the US dollar in early trading, influenced by a stronger dollar and higher global crude oil prices. Foreign institutional equity inflows and increased foreign-exchange reserves moderated pressure on the rupee. Market attention remained focused on developments in West Asia and the Reserve Bank of India, alongside movements in the dollar index, crude oil prices and domestic equity markets.
GI-tagged Mithila Makhana export facilitation expands sea-route market access while supporting quality compliance and farmer-linked value chains. Export facilitation for GI-tagged Mithila Makhana enabled the first commercial sea-route shipment from Bihar to Australia. APEDA, in association with the Bihar agriculture department, supported market access, coordination, capacity building and stakeholder engagement. The export model is intended to improve farmer price realisation, require adherence to global quality standards, and strengthen growers, processors and exporters. A separate HS Code for Makhana has taken effect under the Finance Bill, 2025, supporting product-specific trade classification.
Startup ecosystem support expands through digital payments, cloud access, AI innovation, investment readiness, governance support and global market programmes. DPIIT has entered into strategic MoUs to support DPIIT-recognised startups through payment infrastructure, entrepreneurship development, cloud technology, mobility innovation, investment readiness and global-market access. Eligible startups may receive payment and cloud support, technical training, mentorship, startup formalisation assistance, market and investor connections, AI and mobility enablement, and programmes addressing governance, financial readiness, compliance and international expansion. The collaborations promote innovation across digital payments, clean energy, artificial intelligence, climate technology, advanced manufacturing, mobility and automotive technology.
UPI transaction charges remain unavailable for consumers and person-to-person payments, while limited threshold-based merchant MDR may be considered. Proposed amendment of section 10A of the Payment and Settlement Systems Act, 2007 is intended to support UPI sustainability, technological advancement and resilience. Consumer payments and person-to-person transactions are to remain free. Any future merchant discount rate would apply only to limited merchant transactions above a threshold, at a nominal rate, while most merchant transactions remain free. The framework supports investment in cybersecurity, fraud prevention and infrastructure, alongside a self-sustaining and inclusive digital-payment ecosystem.
Fair competition cooperation in renewable energy markets advances knowledge-sharing and evidence-based enforcement across interconnected digital and energy markets. BRICS competition authorities adopted a Joint Statement strengthening cooperation to promote fair competition, including in renewable energy markets. Cooperation focuses on dialogue, knowledge-sharing and consideration of cross-border competition challenges in digital markets, emerging technologies and the energy transition. Competition enforcement is to remain principled and evidence-based, supporting efficiency, consumer welfare, innovation and merit-based competition. A collaborative renewable-energy competition study identified evolving market dynamics and areas for future cooperation.
Cost optimisation in public finance strengthens investment decisions, risk allocation, indigenous manufacturing and value-driven government expenditure through specialised financial expertise. ICoAS cost optimisation supports public financial management through prudent resource utilisation, financial oversight and improved cost management across government. Its role includes supporting indigenous manufacturing, better investment decisions, efficient public expenditure and maximum value for public spending. With greater private-sector participation and Public-Private Partnerships, ICoAS officers are expected to promote cost efficiency, appropriate risk allocation and sound project structuring. Capacity building emphasises integrity, financial modelling, data visualisation, analytical frameworks and artificial intelligence for improved public-finance management.
Co-operative development financing would expand through direct assistance, share-capital participation and wider operational powers for sectoral support. National Cooperative Development Corporation (Amendment) Bill, 2026 proposes to broaden the Corporation's mandate to promote co-operative development. It would permit direct loans and grants to co-operative societies and other entities engaged in co-operative development, where funds are used for co-operative purposes. With Central Government approval, the Corporation could participate in the share capital of such entities. The proposals also expand the meaning of foodstuffs, remove geographical restrictions for industrial-goods assistance, and provide additional functional powers.
GST compliance failures and electricity subsidy controls raise allegations of financial irregularities and potential losses to the public exchequer. Allegations based on a Comptroller and Auditor General report identified purported GST compliance failures involving outstanding tax liabilities, e-way bills generated after cancellation of GST registrations, limited bill scrutiny, non-compliance, and turnover mismatches. The allegations also concerned electricity subsidies extended to consumers with prolonged zero bills or apparent non-residence, presenting these issues as possible financial irregularities and losses to the public exchequer.
Money-laundering prosecution complaints allege fund diversion through shell entities, credit-facility evergreening, layered transactions and fictitious project expenditure. Money-laundering prosecution complaints allege that funds from toll-road projects and credit facilities were diverted through group companies, contractors, shell entities and conduit accounts. In the toll-road matter, allegedly sham or back-dated subcontracting arrangements and subsequent documentation were used to portray transfers as genuine project expenditure. In the credit-facilities matter, fresh facilities were allegedly used to repay, rotate and evergreen earlier liabilities rather than for sanctioned end-use, with funds layered and presented as legitimate business expenditure or receipts. Attached assets are sought to be confiscated as alleged proceeds of crime.
Direct Benefit Transfer pension disbursement replaces cooperative-bank doorstep delivery, while preserving home payments for beneficiaries unable to use bank accounts. Direct Benefit Transfer of social security and welfare pensions to Aadhaar-linked bank accounts is intended to replace cooperative-bank doorstep delivery, except for bedridden and similarly situated beneficiaries. The change addresses delays in remitting undistributed pensions, deficient record updates and reconciliation, duplicate payments, delivery incentives, and compliance with Direct Benefit Transfer norms. Criticism focuses on beneficiary access to linked commercial-bank accounts, possible minimum-balance deductions, exclusion of cooperative banks, and the effect on doorstep-delivery workers.
Engineering business growth supported Raymond's first-quarter performance, with export expansion, capacity investment and net-debt-free financial flexibility. Raymond Limited reported unaudited first-quarter FY27 growth in total income, EBITDA and profit before tax before exceptional items, while remaining net-debt-free with a net cash surplus. Its Engineering business comprises Precision Technology & Auto Components and Aerospace & Defence. Growth in the former was attributed to export expansion, operating leverage, product mix and cost reductions. Aerospace & Defence growth was linked to production for global OEMs, portfolio expansion and increased capacity, although margins were affected by targeted research and development investment. Forward-looking statements remain subject to regulatory, political, economic and technological risks.
Savings account selection requires comparison of effective interest, fees, digital service, access, and individual banking needs. Savings-account selection should compare effective interest returns under slab-based rates, recurring operating charges and the customer's actual banking needs. Net value depends not only on advertised rates but also on relevant minimum-balance, card, ATM, alert and transfer fees. Digital reliability, customer support, branch availability and ATM access should be assessed according to the customer's average balance, cash use, transfer frequency, travel patterns and need for in-person assistance. The suitable account is one that matches real banking behaviour.
Urban cooperative bank regulation promotes licensing, governance, compliance support and cybersecurity measures to strengthen stability and depositor confidence. Urban cooperative banks are encouraged to recognise regulatory support through liberalised branch opening, doorstep banking, demand drafts, life certificates, dedicated regulatory coordination, enhanced gold-loan limits, one-time settlements and progress towards on-tap licensing. Sound governance is material to sectoral stability, while small-borrower lending is presented as a comparatively safe lending segment. The umbrella body can support member banks through technical expertise, compliance assistance, cybersecurity solutions and participation in a security operations centre to strengthen depositor confidence.
Korean food export promotion combines buyer consultations, regulatory guidance and consumer experiences to support entry into Indian and South Asian markets. Korean food export promotion in India and South Asia combined business consultations with consumer-facing activities. Individual meetings connected Korean exporters with regional buyers and generated memoranda of understanding for products including frozen gimbap, ginseng wine and kombucha. Exporters received on-site guidance concerning non-tariff barriers, including food import customs clearance and certification requirements. Preparatory online sessions addressed import procedures, regulatory matters and consumer trends, while consumer events promoted Korean food through tasting, retail and experiential activities.
Illegal immigration enforcement prioritises dismantling entry, documentation and employment networks while requiring citizens to report information through police channels. Illegal immigration enforcement involves continuous identification and verification operations, coordination with relevant officials, and confidential investigation of networks facilitating entry, identity documentation, accommodation and employment. Enquiries extend to intermediaries, contractors, Aadhaar procurement and verification practices, rather than focusing only on apprehended individuals. Citizen vigilantism, moral policing and social-media targeting of suspected migrants are discouraged because they may compromise investigations; information should instead be given through proper police channels.
Technology, transparency and governance strengthen urban cooperative banks through modern customer services, depositor protection and cooperative-sector support. Technology adoption, transparency, sound governance and modern customer services are identified as necessary for urban cooperative banks to remain competitive. Banks are encouraged to join the sector's umbrella organisation and self-regulatory body, which provides capital, information-technology infrastructure and liquidity support. Protection of depositors' money remains a regulatory responsibility, while banks are expected to improve governance, train staff, adopt technology and enhance customer-centric services. Customer prosperity and reduced perception gaps between the central bank and urban cooperative banks are emphasised as measures to strengthen the sector.
Authorised Dealer Category-II licensing expands permissible FEMA current account and foreign trade transaction services for cross-border payment customers. An Authorised Dealer Category-II approval under the Foreign Exchange Management (Authorised Persons) Regulations, 2026 enables Paul Merchants to undertake additional permissible non-trade current account transactions under FEMA, excluding gifts and donations, and foreign trade transactions within the applicable per-transaction limit. The approval supports foreign exchange and cross-border payment services, including overseas remittances for education, medical treatment, travel, and conference or event participation.
Integrated investor claim portal modernisation advances digital KYC, streamlined verification, stakeholder-informed safeguards, and efficient investor claim settlement services. Integrated IEPFA Portal 2.0 is proposed to modernise investor claim processing through digital KYC, pre-filled Form IEPF-5, entitlement search, and a simplified e-Verification Report filing workflow. Stakeholder feedback included Aadhaar eKYC address validation, KYC for authorised representatives, entitlement-letter validation checks, bulk DSC and eSign functionality, integration of approved IEPF Form-4 data, lower-value share valuation using NSE and BSE data, and alerts for frequent address changes to prevent fraud.
Foreign capital inflows supported the rupee despite geopolitical uncertainty, oil-price pressures, and volatile global market sentiment. Foreign capital inflows supported a marginal strengthening of the rupee against the US dollar despite global risk aversion arising from uncertainty surrounding negotiations affecting the Strait of Hormuz. Higher crude oil prices and weak domestic equity sentiment remained relevant pressures. Near-term currency movement was expected to depend on developments in the negotiations, weekend decisions, US employment data, the dollar index, crude oil prices, and the reported increase in foreign exchange reserves.
Energy security through diversified sourcing protected fuel supplies during Hormuz disruption and supports domestic exploration and alternative fuels. Energy security measures based on diversified crude oil and LPG sourcing, expanded infrastructure, increased domestic LPG production and alternative fuels were presented as maintaining fuel availability during disruption of shipping through the Strait of Hormuz. Domestic resilience is also linked to support for private deep-water oil and gas exploration, opening offshore acreage, and expansion of compressed biogas and ethanol blending. Ethanol-blended petrol testing identified limited contamination instances rather than a systemic issue, while excise duty reductions were described as cushioning consumers against global fuel-price volatility.
Government Aiming at Double Digit GDP Growth in Medium Term - One Trillion US Dollar Required for Infrastructure Sector - Financial Sector Legislative Reforms Commission to be Set up to Clean up Financial Sector Laws: FM
November 19, 2010
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Union Finance Minister Shri Pranab Mukherjee said that the Government is aiming at a double digit GDP growth in the medium term. He said that there is already an upturn in investment and private consumption demand, revival of merchandise exports and buoyancy in capital flows which can support this growth.
Shri Mukherjee was addressing the dignitaries, senior officials, staff and customers of Canara Bank on Founders' Day Celebration of Canara Bank here today. Shri Mukherjee said that the Government has set the target for private and public sector investment in infrastructure to the tune of US1 trillion dollars for the next Five Year Plan. Mr. Mukherjee said that Banks as financial intermediaries have an important role to play in India's growth story. He said that as requirements for infrastructure investment picks up, banks will have to prudentially manage asset liability mismatches. He said that banks also need to make use of innovative credit enhancement mechanism and take out financing for bridging gap between demand and supply of long-term funds.
Finance Minister Shri Mukherjee said that financial inclusion, which is core to the Government's policy agenda, is carried forward in a cost effective manner. He said that the Government is in favour of cost effective technology solutions, implicit and explicit incentives and commitment to increase financial penetration of affordable banking services particularly in the rural and unorganized sectors. He expressed his happiness about the progress made by public sector banks in terms of increasing their penetration and outreach in underbanked and unbanked areas. He said that banks have formulated their Financial Inclusion Plans for 73,000 habitations in the country with population of more than 2000 and these are being monitored at the Central and the State level.
The Finance Minister Shri Mukherjee said with a view to strengthen and institutionalize the mechanism for maintaining financial stability and to address certain regulatory concerns in the Financial sector, the Government of India has decided to set up an apex-level Financial Stability and Development Council (FSDC). He said that the Government has also decided to set-up a financial Sector Legislative Reforms Commission (FSLRC) to rewrite and clean up the financial sector laws and bring them in the line with the requirements of the sector.
Shri Mukherjee said though on-going reforms should help further strengthen and stabilise the financial sector, the emerging challenges before banks cannot be overlooked. He said that care should be taken to ensure that there is no further deterioration of the asset quality as reflected by the increase in the proportion of doubtful and loss assets in the NPA portfolio of banks in 2009-10. He said that the banks at the same time should meet the additional provisioning norms to provide a cushion against asset slippages while maintaining profitability.
The text of the speech made by the Union Finance Minister Shri Pranab Mukherjee on the occasion of Founder's Day celebration of Canara Bank here today is as follows :
I am happy to be here today on the occasion of the Founder's Day of Canara Bank. It is indeed a befitting tribute to Shri Ammembal Subba Rao Pai, the founding father of this bank, that five important initiatives are being launched today in his memory. The bank will be opening 100 additional branches, including 10 Micro Finance Branches; installing 105 ATMs; launching 50,000 smart cards through business correspondents; issuing general credit cards to 100,000 beneficiaries and opening financial literacy and credit counseling centres (FLCC) in 10 districts. I congratulate the bank for these initiatives for financial inclusion.
It is important that financial inclusion, which is core to the Government's policy agenda, is carried forward in a cost effective manner. The Government is in favour of cost effective technology solutions, implicit and explicit incentives and commitment to increase financial penetration of affordable banking services particularly in the rural and unorganized sectors. I am happy to note the progress made by public sector banks in terms of increasing their penetration and outreach in underbanked and unbanked areas. Banks have formulated their Financial Inclusion Plans for 73,000 habitations in the country with population of more than 2000 and these are being monitored at the Central and the State level.
We are aiming at a double digit GDP growth in the medium term. Banks as financial intermediaries have an important role to play in India's growth story. There is already an upturn in investment and private consumption demand, revival of merchandise exports and buoyancy in capital flows which can support this growth. Government has set a target for private and public sector investment in infrastructure of US$ 1 trillion for the next Five Year Plan which should create jobs, improve connectivity, promote greater economic activity and productivity. As requirements for infrastructure investment picks up, banks will have to prudentially manage asset liability mismatches. Banks also need to make use of innovative credit enhancement mechanism and take out financing for bridging gap between demand and supply of long-term funds.
The global banking and financial system is currently undergoing structural transformation with standard setting institutions and national authorities framing new regulatory paradigms to address the weaknesses that emerged during the recent financial crisis. Banks will have to continue to augment their capital base to support higher credit growth and to build capital buffers for cyclical downturns.
With a view to strengthen and institutionalize the mechanism for maintaining financial stability and to address certain regulatory concerns in the financial sector, the government of India has decided to set up an apex-level financial stability and development council (FSDC). The Government has also decided to set-up a financial sector legislative reforms commission (FSLRC) to rewrite and clean up the financial sector laws and bring them in the line with the requirements of the sector.
Though the on-going reforms should help further strengthen and stabilise the financial sector, the emerging challenges before banks cannot be overlooked. One of these challenges concerns management of NPAs and maintaining profitability. Care should be taken to ensure that there is no further deterioration of the asset quality as reflected by the increase in the proportion of doubtful and loss assets in the NPA portfolio of banks in 2009-10. At the same time banks should meet the additional provisioning norms to provide a cushion against asset slippages while maintaining profitability.
In line with the vision of its founder Shri Ammembal Subba Rao Pai and the founding principles formulated over a century ago, the bank has successfully managed to blend commercial and social objectives. I am happy to note that Canara Bank is rapidly progressing in terms of business growth and profits while maintaining a commendable record in promoting financial inclusion, supporting micro, medium and small enterprises (MSMEs), providing finance to farmers and training to the unskilled workers in the rural areas. They need to improve their overseas presence consistent with their peers of comparable size.
I would like to take this occasion to compliment the entire Canara Bank team for their steadfast commitment to the development of the country. I am sure this mega branch opening exercise would spur Canara Bank to even greater heights. I wish the bank and all its employees every success in this venture.
Financial Sector Reform: establishment of apex council and law reform commission to strengthen financial stability and prudential duties.
The government will establish an apex-level Financial Stability and Development Council to institutionalize mechanisms for financial stability and a Financial Sector Legislative Reforms Commission to rewrite and clean up financial sector laws. Banks are directed to manage asset-liability mismatches prudently, employ credit enhancement and take out financing for long term funds, augment capital, and meet additional provisioning norms to guard against deterioration in asset quality. The policy also prioritises cost effective financial inclusion measures and expanded banking outreach.
Note: It is a system-generated summary and is for quick reference only.