11th BPS/Joint Note (Talks held on November 30, 2018) In today’s meeting (30.11.2018), IBA improved their offer to 8%. We(UFBU) replied it is far below our expectation and urged upon them to improve their offer. We also demanded full mandate. These issues will be pursued further. Thereafter UFBU meeting decided to go on strike on…
The interest Equalisation Scheme (IES) for pre and post shipment rupee export credit is being implemented by Directorate (DGFT) through commercial banks.The scheme came into effect from 01.04.2015 and is for a period of 5 years.(The scheme was earlier called as ‘interest subvention scheme’ which was existing for the period from August 2010 to 31.03.2015).…
Foreign exchange Management Act (FEMA) 1999 came into effect in India from June 1, 2000 replacing earlier law FERA 1973. FEMA is a regulatory mechanism that enables the Reserve Bank of India to pass regulations and the Central Government to pass rules relating to foreign exchange in tune with the Foreign Trade policy of India.…
Option is an agreement between two parties offering to buy or sell a security (a stock, bond, commodity or other instruments) from or to the other party at a specified price within a specific time period. In option contracts, there is no obligation on the part of buyer or seller to buy or sell the…
As we all know, earnings is basically net income after tax or bottom line which determines a business entity’s share price. The earnings of a business entity also provide financial analyst certain yard stick to evaluate the financial condition and performance of a business. The earnings also reflect whether actual performance is good to the…
“Sound Management of Operational Risk” is a collection of principles that has been developed over the years by the Basel Committee on Banking Supervision for the purpose of guiding firms in the financial services industry and their regulators to establish sound practices for the management of Operational Risk. These principles cover three main areas: (i)…
Basel Committee on banking supervision has adopted a common industry definition of operational risk. Operational risk is defined as the risk of direct or indirect loss resulting from breakdowns in internal procedures, people, system and external events. Examples of operational risk are frauds, system failure, error in financial transactions, failure to discharge demand of contractual…
RBI Press release 2018-2019/1165 date November on 19.11.2018 on Central Board meets at Mumbai The Reserve Bank of India’s (RBI) Central Board met ON 21.11.2018 in Mumbai and discussed the BASEL REGULATORY CAPITAL FRAMEWORK, A RESTRUCTURING SCHEME for stressed MSMEs, BANK HEALTH UNDER PROMPT CORRECTIVE ACTION (PCA) framework and the ECONOMIC CAPITAL FRAME WORK (ECF)…
Investment in ULIP is eligible for deduction under section 80C (life insurance) or 80CCC (pension) of Income Tax Act. A maximum of Rs 1,50,000 is allowed under section 80C/ 80CCC. ULIP is an integrated product of ‘insurance and investment’ developed and marketed by life insurance companies. ULIP offers investors the advantage of both insurance and…
A forward contract is a privately negotiated agreement between two parties to buy or to sell an asset at a specified price on a future date. Under forward contract, there is an obligation for the buyer to pay for what has been bought and receive delivery thereof as per contract, and for the seller to give…