Expansion and Increase in Capacity of MSMEs

The Government of India has announced Fund of Funds with the nomenclature Self Reliant India (SRI) Fund to infuse  Rs. 50,000 crore as equity funding in those MSMEs which have the potential and viability to grow and become large units. Under this scheme total size of fund of Rs. 50,000 Crore has a provision of Rs.10,000 Crore from Government of India and Rs.40,000 Crore leverage through Private Equity / Venture Capital funds.The guidelines of the fund have been issued. This initiative is aimed at providing growth capital to the deserving and eligible units of MSME sector.

This information was given by Minister for Micro. Small and Medium Enterprises Shri Narayan Rane in a written reply in the Rajya Sabha today.

Ministry of Micro,Small & Medium Enterprises Press release dated 19 July 2021

News update-Entrepreneurship, Taxation, Personal Finance & Succession planning-19th July 2021

All newspaper compilation from Economic times, Live mint & Financial express on Entrepreneurship, Taxation, Personal Finance & Succession planning. Refer link:

1.*PF balance is tax-exempt upon continuous service for five years*

https://www.livemint.com/money/personal-finance/pf-balance-is-tax-exempt-upon-continuous-service-for-five-years-11626636822304.html

2. *Realty hot spot series: Average price of 3 BHK in this Mumbai suburb is Rs 67 lakh*

https://economictimes.indiatimes.com/wealth/real-estate/realty-hot-spot-series-average-price-of-3-bhk-in-this-mumbai-suburb-is-rs-67-lakh/articleshow/84497732.cms

3. *How to decide on buying a house*

https://economictimes.indiatimes.com/wealth/real-estate/how-to-decide-on-buying-a-house/articleshow/84498848.cms

4. *How gold, silver, platinum performed during the week ending July 15, 2021*

https://economictimes.indiatimes.com/wealth/personal-finance-news/how-gold-silver-platinum-performed-during-the-week-ending-july-15-2021/articleshow/84497171.cms

5. *Invest in these mutual fund schemes in current stock market: Sankaran Naren, ICICI Prudential AMC*

https://economictimes.indiatimes.com/wealth/personal-finance-news/invest-in-these-mutual-fund-schemes-in-current-stock-market-sankaran-naren-icici-prudential-amc/articleshow/84496718.cms

6. *These 5 mutual funds are investing in Zomato IPO: Should investors be worried?*

https://economictimes.indiatimes.com/wealth/personal-finance-news/these-5-mutual-funds-are-investing-in-zomato-ipo-should-investors-be-worried/articleshow/84524749.cms

7. *SBI customers need to do this to avail seamless banking service*

https://www.livemint.com/money/personal-finance/sbi-customers-need-to-do-this-to-avail-seamless-banking-service-11626662521252.html

8. *When is the right time to draft a property will?*

https://economictimes.indiatimes.com/wealth/legal/will/when-is-the-right-time-to-draft-a-property-will/articleshow/84495715.cms

9. *‘I’m no fan of IPOs; PE funds getting out itself an indicator’*

https://www.livemint.com/money/personal-finance/im-no-fan-of-ipos-pe-funds-getting-out-itself-an-indicator-11626637805461.html

10. *Digital Indians are enamoured with Buy Now Pay Later credit*

https://www.livemint.com/money/personal-finance/buy-now-pay-later-is-the-go-to-credit-for-digital-indians-11626636356126.html

11. *What is a ‘correction’ in the equity markets?*

https://www.livemint.com/money/personal-finance/what-is-a-correction-in-the-equity-markets-11626635924591.html

12. *Want coverage for consumables? Add riders to your health insurance plan*

https://www.financialexpress.com/money/insurance/want-coverage-for-consumables-add-riders-to-your-health-insurance-plan/2292639/

13. *Your Money: Where can you invest your emergency funds?*

https://www.financialexpress.com/money/your-money-where-can-you-invest-your-emergency-funds/2292108/

Thought of the day-19 July 2021 -Karma in its effect on character (Part 7)

Work for work’s sake. If a man works without any selfish motive in view, does he not gain anything? Yes, he gains the highest. Unselfishness is more paying, only people have not the patience to practise it. It is more paying from the point of view of health also. Love, truth and unselfishness are not merely moral figures of speech, but they form our highest ideal, because in them lies such a manifestation of power.

Man works with various motives. There cannot be work without
motive. Some people want to get fame, and they work for fame.
Others want money, and they work for money. Others want to
have power, and they work for power. Others want to get to
heaven, and they work for the same. Others want to leave a name
when they die, as they do in China, where no man gets a title until
he is dead; and that is a better way, after all, than with us. When a
man does something very good there, they give a title of nobility
to his father, who is dead, or to his grandfather. Some people work
for that. Some of the followers of certain Mohammedan sects
work all their lives to have a big tomb built for them when they die. I know sects among whom, as soon as a child is born, a tomb
is prepared for it; that is among them the most important work a
man has to do, and the bigger and the finer the tomb, the better off
the man is supposed to be. Others work as a penance; do all sorts
of wicked things, then erect a temple, or give something to the
priests to buy them off and obtain from them a passport to heaven.
They think that this kind of beneficence will clear them and they
will go scot-free in spite of their sinfulness. Such are some of the
various motives for work.

Work for work’s sake. There are some who are really the salt of
the earth in every country and who work for work’s sake, who do
not care for name, or fame, or even to go to heaven. They work
just because good will come of it. There are others who do good to
the poor and help mankind from still higher motives, because they
believe in doing good and love good. The motive for name and
fame seldom brings immediate results, as a rule; they come to us
when we are old and have almost done with life. If a man works
without any selfish motive in view, does he not gain anything?
Yes, he gains the highest. Unselfishness is more paying, only
people have not the patience to practise it. It is more paying from
the point of view of health also. Love, truth and unselfishness are
not merely moral figures of speech, but they form our highest
ideal, because in them lies such a manifestation of power. In the
first place, a man who can work for five days, or even for five
minutes, without any selfish motive whatever, without thinking of
future, of heaven, of punishment, or anything of the kind, has in
him the capacity to become a powerful moral giant. It is hard to do
it, but in the heart of our hearts we know its value, and the good it
brings. It is the greatest manifestation of power–this tremendous
restraint; self-restraint is a manifestation of greater power than all
outgoing action. A carriage with four horses may rush down a hill
unrestrained, or the coachman may curb the horses. Which is the
greater manifestation of power, to let them go or to hold them? A cannon-ball flying through the air goes a long distance and falls. Another is cut short in its flight by striking against a wall, and the
impact generates intense heat. All outgoing energy following a
selfish motive is frittered away; it will not cause power to return to
you; but if restrained, it will result in development of power. This
self-control will tend to produce a mighty will, a character which
makes a Christ or a Buddha. Foolish men do not know this secret;
they nevertheless want to rule mankind. Even a fool may rule the
whole world if he works and waits. Let him wait a few years,
restrain that foolish idea of governing; and when that idea is
wholly gone, he will be a power in the world. The majority of us
cannot see beyond a few years, just as some animals cannot see
beyond a few steps. Just a little narrow circle–that is our world.
We have not the patience to look beyond, and thus become
immoral and wicked. This is our weakness, our powerlessness.

-Swami Vivekananda

Finance Minister Smt. Nirmala Sitharaman addresses US India Business Council (USIBC) Roundtable on ‘Maximizing India’s Sustainable and Inclusive Growth as a Global Destination for U.S. Investment’

Union Minister for Finance & Corporate Affairs, Smt. Nirmala Sitharaman today participated in the Roundtable organized by US India Business Council (USBIC) on Maximizing India’s Sustainable and Inclusive Growth as Global Destination for U.S. Investment’ through video conferencing which witnessed participation of prominent foreign investors like General Electric, Baxter Healthcare USA, Brambles, Marsh & McLennan Companies, PepsiCo amongst others.

The Roundtable provided the investors with an opportunity to engage with Finance Minister and other senior officials of Government of India. The areas of discussion included Life Sciences, Green Energy, Infrastructure, Insurance, Defence, Security, Manufacturing, Renewable Energy, Power, Pharmaceuticals, Textiles and Hospitality and Digital economy.

Smt. Sitharaman acknowledged the efforts of CEOs of top-40 American companies for creating a global task force to mobilize resources for India during the 2nd COVID wave. She also mentioned that India and the U.S. have also set an ambitious target of achieving $500 billion in two-way trade. 

Smt. Sitharaman spoke about stimulus packages announced recently which is tailored to meet the basic requirement of investors.  She also informed the investors about India’s consistent and continuous wide-ranging reforms which makes the country an attractive destination for foreign investment and how India continues to rise as a global economic powerhouse.  She mentioned about this year’s budget initiative pertaining to International Financial Services Centre (IFSC) at GIFT City, where the Government is committed towards developing it into a globally competitive hub for innovation and financial activities to serve the Indian economy and the region as a whole.

The broad messages conveyed to the investors were:

  • Strong, calibrated relief and reforms during COVID leading to sharp decline in new COVID infection with ramping up of the vaccination programme.
  • Continued macro-economic stability and resilience in economic recovery in the recent months.
  • Strengths/advantages of India as an investment destination
  • Vision to make India ‘Atma Nirbhar’
  • Steps taken towards Infrastructure led economic growth
  • Creating multi-sectoral opportunities for investors.
  • Strong track record of the Nation towards reform implementation in the last 6 years

In her concluding remarks, Smt. Nirmala Sitharaman spoke about going ahead with an overall vision to build a self-reliant modern India.  The Finance Minister stated that the Nation is committed for long term relationship with US Investors.  She spoke about:

  • Consistent and continuous productive reforms that make India investor friendly destination
  • Vibrant and pulsating Financial Markets
  • Enormous investments underway in Infrastructure sector
  • Covid and its aftermath demonstrating Indian economy’s resilience
  • Tremendous potential of Innovation and R&D

Economic Affairs Secretary, Shri Ajay Seth highlighted India’s progress in areas of policy and taxation. He emphasized upon the e-way bill system which promotes faster and more seamless movement of goods both intra and inter-State.  He also spoke about this year’s responsive and responsible budget focusing towards resolving investment and tax assessment issues, asset monetization and privatization of most of the sectors.

About USIBC

The U.S.-India Business Council was formed in 1975 as a business advocacy organization to enlighten and encourage the private sectors of both India and United States to enhance investment flows.The Council helps in making business between the United States and India easier, more efficient, and more profitable. It connects the two largest democracies in the world and inspires sustainable solutions to business challenges – both local and global.

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Ministry of Finance Press release dated 16 July 2021

CBIC proactively put in place a COVID Response Plan (CRP) for speedy clearances of COVID-19 vaccines at all major airports

Recognizing that efficient and expeditious release of temperature-sensitive vaccines would be a critical requirement in the collective fight against the COVID-19 pandemic, CBIC has proactively put in place a COVID Response Plan (CRP) Annexed herewith) for speedy clearances of COVID-19 vaccines at all major airports.

CRP provides for setting up of wherein a COVID-19 Vaccine Response Team (CVRT) at each Air Cargo/Courier Terminal. The CVRT will function as a single point of contact for all the clearance related to COVID-19 vaccine shipments and coordinate among the concerned stakeholders to ensure that vaccines are given instant delivery upon arrival. For this, the CVRT will develop a SoP (covering Customs, local PGA and other stakeholders) and sensitize traders on the requirements for instant release of vaccines.

Additionally, CBIC has enabled the import/export of vaccines in relation to COVID -19 through Courier, by issuing the Courier Imports and Exports (Electronic Declaration and Processing) Amendment Regulations, 2020. The Courier Regulations earlier had certain limits on the value of goods that could be brought in through courier, whereas the amended regulations allow the import and export of COVID vaccines through courier without any value limit.

As the vaccines would be transported through special containers equipped with temperature monitoring and tracking devices, provision has also been made for their duty-free temporary admission.

CBIC would closely monitor the vaccine logistics to ensure their seamless movement at the borders and address any challenges that may arise in this regard.

The COVID-19 pandemic has posed unprecedented challenges disrupting global supply chains and slowing down economic activity. CBIC had acted with agility in tackling the crisis by introducing simplified customs procedures, reducing the scale of interventions, increasing the use of automation and instituting staff health protocols.

Ministry of Finance Press release dated 16th July 2021

India’s engineering goods exports registered a growth of 52.4% during the month of June 2021

Merchandise exports in June 2021 were USD 32.50 Billion, as compared to USD 21.91 Billion in June 2020, exhibiting a positive growth of 48.34 per cent. Indian engineering exports were on their upward journey in June, 2021 following the trend of the last two months. India’s engineering goods exports registered a growth of 52.4% during the month of June 2021 as compared to the same period last year. With reference to June 2019, the growth witnessed (in June 2021) was 41.9%. 

Engineering exports which stood at USD 6274.9 Million in June, 2019 and USD 5841.6 in June 2020 rose to USD 8903.5 million in June 2021. Cumulative engineering exports during April-June 2021-22 were to the tune of USD 24772.6 million, witnessing a massive growth of 82% vis-a-vis April-June 2020-21, and growth of 24.8% vis-a-vis April-June 2019-20.

The panels which registered significant growth of exports during April-June 2021 vis-a-vis April-June 2019 were Copper  and products (250.4%); Iron and Steel (156.6%); Zinc and products (83.7%); Aluminium and products (69.9%); Tin and products (55.2%); Two and Three wheeler(46.6%); Lead and products (43.4%); Other non- ferrous  Metals (33.1%); Industrial Machinery for dairy, food processing, textiles (32%); IC Engines and Parts (22.1%); and Auto components/parts (18.8%). It is observed that, overall, the total exports (in the panels registering positive growth) rose from USD 13.72 Billion in April-June 2019 to USD 19.85 Million April-June 2021 (44.7%).

Among the panels witnessing negative growth during April-June 2021 (vis-a-vis April-June 2019) included industrial machinery like boilers, parts, etc(-37.5%); Nickel and products (-53.3%); Air condition and refrigerator (-22.1%); motor vehicles/cars (-21.8%); Aircrafts and spacecraft parts and products (-29%); ships boats and floating products and parts (-23.2%) and other engineering products relating to railway transport;  prime mica and mica products; and office equipment etc. It is observed that, overall, in value terms, the aggregate exports in these panels fell from USD 6.12 Billion in April-June 2019 to USD 4.73 Billion April-June 2021 (- 22.7%).

The automobile sector (comprising of Motor Vehicles/Cars, Two and Three wheelers and also Auto components/parts) registered a growth of 1.7% in the first quarter of current year vis-à-vis same period of 2019-2020. With reference to the first quarter of 2020-21, the growth in exports in the current year in the sector is seen to be 195%. This is primarily due to sharp jump in exports of Two and Three Wheelers (by 279%); Motor Vehicles/Cars (by 159%); and Auto components/parts (by 204%).

******

Ministry of Commerce & Industry Press release dated 16th July 2021

Thought of the day-16 July 2021 -Karma in its effect on character (Part 6)

The Gita says that it is doing work with cleverness and as a science; by
knowing how to work, one can obtain the greatest results.

No one can get anything unless he earns it. All this is determined by Karma, work. This is an eternal law. We may sometimes think it is not so, but in the long run we become convinced of it. A man may struggle all his life for riches; he may cheat thousands, but he finds at last that he did not deserve to become rich, and his life becomes a trouble and a nuisance to him. We may go on accumulating things for our physical enjoyment, but only what we learn is really ours. A fool may buy all the books in the world, and they will be in his library; but he will be able to read only those that he deserves to; and this deserving is produced by Karma. Our Karma determines what we deserve and what we can assimilate. We are responsible for what we are; and whatever we wish ourselves to be, we have the power to make ourselves. If what we are now has been the result of our own past actions, it certainly follows that whatever we wish to be in future can be produced by our present actions; so we have to know how to act. You will say,


“What is the use of learning how to work? Everyone works in
some way or other in this world.”

But there is such a thing as frittering away our energies. With regard to Karma-Yoga, the Gita says that it is doing work with cleverness and as a science; by
knowing how to work, one can obtain the greatest results.
You must remember that all work is simply to bring out the power of the mind which is already there, to wake up the soul. The power is inside every man, so is knowing; the different works are like blows to bring them out, to cause these giants to wake up.

News update-Entrepreneurship, Taxation, Personal Finance & Succession planning-16th July 2021

All newspaper compilation from Economic times, Live mint & Financial express on Entrepreneurship, Taxation, Personal Finance & Succession planning. Refer link:

1. *Tata Mutual Fund launches Business Cycle Fund*

https://economictimes.indiatimes.com/wealth/personal-finance-news/tata-mutual-fund-launches-business-cycle-fund/articleshow/84439259.cms

2. *Decoded: RBI’s latest move to ban Mastercard from issuing new cards*

https://economictimes.indiatimes.com/wealth/personal-finance-news/decoded-rbis-latest-move-to-ban-mastercard-from-issuing-new-cards/articleshow/84434923.cms

3. *RBL Bank’s credit card issuance rate to be impacted post RBI’s Mastercard ban*

https://economictimes.indiatimes.com/wealth/personal-finance-news/rbl-banks-credit-card-issuance-rate-to-be-impacted-post-rbis-mastercard-ban/articleshow/84432173.cms

4.* Keep boosting your investments each year, or when income rises*

https://www.livemint.com/money/personal-finance/keep-boosting-your-investments-each-year-or-when-income-rises-11626375882222.html

5. *Understand risks well before you decide to hop on to the IPO bandwagon*

https://www.livemint.com/money/personal-finance/understand-risks-well-before-you-decide-to-hop-on-to-the-ipo-bandwagon-11626375491779.html

6. *Dabbling in derivatives: Smart or reckless?*

https://www.livemint.com/money/personal-finance/dabbling-in-derivatives-smart-or-reckless-11626374517125.html

7. *Buying a Rs 5 lakh health insurance plan? Check premiums for 20 policies*

https://www.financialexpress.com/money/insurance/buying-a-rs-5-lakh-health-insurance-plan-check-premiums-for-20-policies/2290686/

8. *RBI’s Mastercard ban impact: RBL Bank’s credit card issuance rate to be affected*

https://www.financialexpress.com/money/rbis-mastercard-ban-impact-rbl-banks-credit-card-issuance-rate-to-be-affected/2290792/

9. *Housing sales rise by 67% YoY in H1 despite second wave of pandemic: Knight Frank India*

https://www.financialexpress.com/money/housing-sales-rise-by-67-yoy-in-h1-despite-second-wave-of-pandemic-knight-frank-india/2290828/

10. *What role do guaranteed insurance plans play in meeting long-term goals?*

https://www.financialexpress.com/money/insurance/what-role-do-guaranteed-insurance-plans-play-in-meeting-long-term-goals/2290858/

11. *Stock Market Investment: Should you invest in top Tech stocks?*

https://www.financialexpress.com/money/stock-market-investment-should-you-invest-in-top-tech-stocks/2290883/

12. *Home Loan: Why part-prepayments are a good idea*

https://www.financialexpress.com/money/home-loan-why-part-prepayments-are-a-good-idea/2291120/

Tariff Notification No. 60 /2021-CUSTOMS (N.T.) in respect of Fixation of Tariff Value of Edible Oils, Brass Scrap, Areca Nut, Gold and Silver

In exercise of the powers conferred by sub-section (2) of section 14 of the Customs Act, 1962 (52 of 1962), the Central Board of Indirect Taxes & Customs, being satisfied that it is necessary and expedient to do so, hereby makes the following amendments in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 36/2001-Customs (N.T.), dated the 3rd August, 2001, published in the Gazette of India, Extraordinary, Part-II, Section-3, Sub-section (ii), vide number S. O. 748 (E), dated the 3rd August, 2001, namely:-

In the said notification, for TABLE-1, TABLE-2, and TABLE-3 the following Tables shall be substituted, namely: –

Refer Ministry of Finance press release dated 15 th July 2021 for table

Tariff Notification No. 60 /2021-CUSTOMS (N.T.) in respect of Fixation of Tariff Value of Edible Oils, Brass Scrap, Areca Nut, Gold and Silver

https://pib.gov.in/PressReleaseIframePage.aspx?PRID=1735992&RegID=3&LID=1

This notification shall come into force with effect from the 16th day of July, 2021.

Note: – The principal notification was published in the Gazette of India, Extraordinary, Part-II, Section-3, Sub-section (ii), vide Notification No. 36/2001–Customs (N.T.), dated the 3rd August, 2001, vide number S. O. 748 (E), dated the 3rd August, 2001 and was last amended vide Notification No. 55/2021-Customs (N.T.), dated the 30th June, 2021, e-published in the Gazette of India, Extraordinary, Part-II, Section-3, Sub-section (ii), vide number S.O. 2644 (E), dated 30th June, 2021.

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