News and Updates - February 26, 2015

Govt accepts 14th Finance Commission recommendations

14th Finance Commission, which was headed by former RBI Governor Y.V. Reddy, recommended that the share of states in the centre's tax revenue be increased from 32 percent to 42 percent. The recommendations of the commission has accepted by the centre. The recommendation is for the five-year period 2015-16 to 2019-20. As per the increased devolution suggested in the report, the states will get Rs 3.48 lakh crore in 2014-15 and Rs 5.26 lakh crore in 2015-16.

Ram Niwas Goel elected as Speaker of Delhi Legislative Assembly

Ram Niwas Goel, MLA of Aam Aadmi Party (AAP) today unanimously elected as the Speaker of the Delhi Legislative Assembly. While AAP legislator Bandana Kumari was elected as the Deputy Speaker of the House. Ram Niwas Goel won the seat of Shahdara constituency in Delhi Assembly election. He defeated Bhartiya Janta Party's Jitender Singh Shunty.

Yes Bank raises Rs. 1,000 crore via green bonds, double the target

Yes Bank raised Rs.1,000 crore against a targeted Rs.500 crore by issuing green infrastructure bonds. The bonds are of 10-year tenor and the money raised will be used for funding renewable energy projects in solar, wind, biomass and small hydel plants, the lender said in a statement. The bank, which had set out with a target to raise Rs.500 crore, saw demand from insurance companies, pension and provident funds, foreign portfolio investors and mutual funds, which resulted in the greenshoe option being utilized. Yes Bank managing director and chief executive Rana Kapoor said this is the first green infrastructure bond issue in India and expressed satisfaction at the response. The statement, however, did not offer any details on the pricing of the issue.

IndusInd Bank to raise Rs. 2,000 crore via infra bonds, NCDs

Private sector lender IndusInd Bank will issue long-term infrastructure bonds or non-convertible debentures on private placement basis to raise about Rs.2,000 crore. “The board of directors ... approved the proposal of borrowings/raising funds in Indian currency by issue of long-term infrastructure bonds/subordinated non-convertible debentures in domestic market, on private placement basis, in one or more tranches, for an amount not exceeding Rs.2,000 crore,” the bank said in a filing to the BSE. The proceeds will be used to finance bank’s incremental lending for infrastructure and affordable housing, it said. The debt raised, to be added both as tier-I and tier-II capital, by the bank has a maturity period of seven years. These bonds may carry a coupon at a fixed rate or at a floating rate, it added.

RBI issues clarification on ARCs

The Reserve Bank of India (RBI) has clarified that asset reconstruction companies (ARCs) will henceforth require its prior approval only if there is a transfer of 10% of more stake by such companies or alternatively if the transfer of such stake changes the sponsor of the firm. Earlier any change in the shareholding of ARCs had to be approved by the RBI. The change in the norms is to ensure “smooth” functioning of ARCs, RBI said.

Ranchi Rays lifted Hero Hockey India League trophy 2015

Ranchi Rays emerged the Champions of Hero Hockey India League 2015. Ranchi Rays defeated Jaypee Punjab Warriors by 3-2 in the final at Major Dhyan Chand National Stadium, New Delhi. Ranchi Rays, which was earlier called Ranchi Rhinos was also lifted the inaugural title in 2013.

SBI inked an agreement with Indian Army on Defence Salary Package

The Indian Army and State Bank of India (SBI) signed a Memorandum of Understanding (MoU) on the Defence Salary Package. The MoU is tailor-made to suit the requirements of serving soldiers, pensioners and families. Under the MoU number of free/concessional services like free drafts, free cheque books, free funds transfers to any bank in India through RTGS / NEFT, free ATM cards and others have been included. Personal Accident Insurance (PAI) was enhanced and was linked to the Savings account instead of the debit card, etc.

Six Indians among Forbes' 50 'Power Businesswomen'

Six Indian women CEOs and Managing Directors, including State Bank of India head Arundhati Bhattacharya and ICICI CEO Chanda Kochchar, have been named by Forbes magazine in its 50 'Power Businesswomen' from Asia who are "knocking down" walls in the traditional male bastions. The Asia's 50 Power Businesswomen list showcases a year of accomplishments by the region's female entrepreneurs and executives, punctuated by the midas touch of China's Alibaba and newcomers from two rapidly growing economies where women are starting to find a toehold in business, the magazine said. Included in the list are women CEOs and founders who are active in the upper echelons of the business world in Asia, wield significant power and have access to robust financial resources. Apart from Bhattacharya and Kochchar, the Indian executives on the list are Akhila Srinivasan, MD/Non-Executive Director of Shriram Life Insurance/Shriram Capital, Biocon Founder, Chairman and MD Kiran Mazumdar Shaw, Axis Bank CEO and MD Shikha Sharma and Life Insurance Corp. of India MD Usha Sangwan 56 (India).

Delhi Open: Somdev Devvarman retains title

Somdev Devvarman didn’t play as well as he can, but he did what he knows best. Devvarman dug deep and outfought Yuki Bhambri 3-6, 6-4, 6-0 to defend the $100,000 ATP Challenger Delhi Open title on Sunday.

The results: Final: Somdev Devvarman (Ind) bt Yuki Bhambri (Ind) 3-6, 6-4, 6-0. Doubles: Alexander Kudryavtsev (Rus) and Egor Gerasimov (Blr) bt Riccardo Ghedin (Ita) and Toshihide Matsui (Jpn) 6-7(5), 6-4, 10-6. — Priyansh

David Ferrer beats Fabio Fognini in straight sets to win Rio Open

No. 9 David Ferrer continued his strong start to the season by defeating Fabio Fognini 6-2, 6-3 Sunday to win the Rio Open. The win marks Ferrer's 23rd ATP title and his second title in three tournaments this year. He kicked off his season with a title at the Qatar Open and made the fourth round of the Australian Open. Seeded second in Rio, Ferrer lost just one set all week. A day after snapping Rafael Nadal's 52-match win-streak in ATP semifinals on clay, Fognini struggled to find his best form from the baseline, spraying 17 unforced errors to seven winners in the first set. Ferrer kept things much cleaner by hitting six unforced errors to four winners. With a set in pocket, Ferrer quickly built a 5-1 lead in the second before closing it out in one hour and 24 minutes to extend his record against the Italian to 8-0.