For Reliance digital and retail, it may now be payback time It is said that good projects and good business ideas always find investors. The state of the market hardly matters. That was proven most eloquently by Reliance when it monetized its digital stake in the midst of testing market conditions. RIL now looks all…
The RCOM-SBI case could be an acid test for the new rules In December 2019, the government brought personal bankruptcy under the ambit of NCLT. That meant; in the event of business bankruptcy, the NCLT can initiate personal bankruptcy against the promoter, if they have guaranteed a loan. The first test case appeared in the…
Telecom legal dispute is just get more and more complicated After the final judgment in the AGR case got postponed a number of times, the Supreme Court has now promised to give its final verdict on the telecom AGR case on 24 August. Considering the level of uncertainty; even that looks highly unlikely. With too…
Budget 2020 must be transparent about the real fiscal deficit No economist, policy maker or even CEO of an Indian company believes that the government would be able to hold 3.3% fiscal deficit in 2019-20. Some leeway is bound to be there in a year when outlays are growing and inflows have been tepid. But…
High inflation and de-growth; India could be staring at stagflation In the last couple of days, we have seen the word “Stagflation” come back to haunt the Indian news headlines. The debate on stagflation has taken off after the inflation for November came in sharply higher at 5.54%. This was accompanied by negative IIP growth…
Borrowing numbers for second half just don’t seem to add up When the government announced the Rs.145,000 crore tax break for Indian companies, the immediate impact was on the bond yields. The argument was that the government would be resorting to more borrowings and a higher fiscal deficit. But, the government has held its second…
Fiscal impact of tax cuts may be big; but it will be worth the risk As the optimism around the tax cuts gives way to more reasonable analysis, it is time to evaluate the impact of the tax announcements on the fiscal deficit. Any tax cut is revenue foregone and that has a fiscal cost.…
A combination of corporate tax cuts and GST cuts give a big push The FM’s press conference from Goa, ahead of the GST Council meet, was like a path-breaking budget in itself. Here is how tax cuts dominated on Friday Corporate tax cuts The Finance Minister offered a new tax formula under which Indian companies…
Bank mergers were long overdue but it also poses challenges With a sweep of her pen the Finance Minister reduced the number of PSU banks in India from 10 to just 4. Large banks like PNB, Canara Bank and Union Bank became the acquiring banks. The merger was long overdue but there are also some…
Will the package announced by the FM really give a boost to markets The long awaited package from the Finance Minister finally happened post trade on Friday. The impact will be known only on Monday but it surely has enough fuel to fire up the markets. Tax reliefs happen finally While the super rich tax…
