Niveshak June 2015 Issue with Page Flip version
Wednesday, July 1, 2015 , Posted by Team Niveshak at Wednesday, July 01, 2015
Dear Niveshaks,
The month of June started with the RBI in its
second bi-monthly policy reducing the policy repo rate by 25 basis points from
7.5% to 7.25% while keeping the CRR unchanged. The government has decided to
give interest-free loans for cash-strapped sugar mills to help them pay nearly
30% of the record Rs 21,000 crore they owe to cane farmers, many of whom are
struggling with huge debts as the first country-wide drought in six years looms
The current account deficit (CAD) narrowed sharply
to $ 1.3 billion or 0.2% of GDP in the fourth quarter of the last financial
year on a sequential basis mainly on account of a lower trade gap. With the
government taking steps to improve ease of doing business and attracting investments,
FDI inflows into the services sector (which includes banking, insurance,
outsourcing, R&D, courier and technology testing) grew by over 46% to $3.25
billion in 2014-15. China hosted the signing ceremony of Asian Infrastructure
Investment Bank (AIIB), a new international financial institution set to rival
the World Bank and Asia Development Bank, which will fund Asian energy,
transport and infrastructure projects. To help investors and companies in IPOs,
SEBI has reduced the listing time from 12 days to 6 days from the date of the
public offer and also allowed a larger number of firms to tap the “fast track”
route for raising funds.
On the magazine front, the cover story for the month
includes the impact of the sequential rate cut on the economy as a whole as
well as share markets reaction to the same The Article of the Month (AOM)
discusses about IP policies in India . The article talks about how the current
IP policies are affecting the pharmaceutical industry globally. FinSight
discusses the pros and cons of new social security schemes. FinGyaan article on
‘Credit Cards’ talks about how the popularity of credit cards affecting the buying
behavior of consumers. FinView has the excerpts from the discussions with an IIM
professor about the impact of RBI’s recent monetary policy on Indian economy. Classroom
section shares knowledge on Circus Swap.
To end this brief note, it’s important that we thank
you, our readers, for your constant support and appreciation. Please continue
to motivate us so that we can come out with more insightful reads in the issues
to come. Keep pouring in.
We would like to thank our readers for their immense support and
encouragement. You remain our prime motivation factor that keeps our spirits
high and give us the vigour and vitality to keep working hard.
Thank you.
Stay invested!
Team Niveshak
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