Concept and essence of Bank Kiosks
What is a Kiosk? A Kiosk is basically a small cabin or cubicle structure comparable to a telephone booth. Traditionally, we find a Kiosk where small vendors sell newspapers, refreshments, cold drinks, etc. Over the years, the concept of Kiosk is significantly changed. The modern-day Kiosks are provided with the computer and display in aesthetically…
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Highlights of RBI’s important Statement on Developmental and Regulatory Policies
On Friday (May 22, 2020), in its statement on developmental and regulatory policy measures, RBI announced several measures to improve the functioning of markets and market participants; measures to support exports and imports; efforts to further ease financial stress caused by COVID-19 disruptions by providing relief on debt servicing and improving access to working capital;…
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RBI slashes repo rate and announces a series of measures in its advanced MPC meeting
A cut in policy repo rate, an extension of the moratorium on loans by another three months, [taking the total period of applicability of the measures to six months (i.e. from March 1, 2020, to August 31, 2020)], relief for corporates by permitting lenders to convert the accumulated interest on working capital facilities over the…
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What is the difference between FITL and WCTL?
(The following post explains the difference between Funded Interest Term Loan (FITL) and Working Capital Term Loan (WCTL) What is FITL? Funded Interest Term Loan in a short form known as FITL. When the manufacturing units face severe financial crises, not able to meet their loan obligations, banks extend the FITL facility to such units…
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Loans to Stressed MSMEs: Is guarantee comes from GGTMSE instead of a sovereign guarantee?
According to news reports, Bankers are unhappy to learn that the newly envisaged Rs.20000 crore loan guarantee scheme for micro, small and medium enterprises (MSMEs) will not be available from the Government of India as expected but from the credit guarantee trust fund for micro and small enterprises (CGTMSE). CGTMSE guarantee has its caveats, it…
25% reduced TDS & TCS from May 14: Who are eligible and who are not?
The Central Board of Income Tax on Wednesday (May 13) Vide circular Number 280/2020 dated 13-04-2020, ordered a 25% reduction in the rate of income tax deducted at source (TDS) and tax collection at source (TCS) from 14 May to 31 March to provide more money in the hands of taxpayers. This reduced rate of…
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