Finance-Economy-News-The Economic Times - Seite 2 
UPI MDR rollout may be deferred beyond festive season to Jan 1; shares fall: Report
UPI MDR rollout: A proposal is under consideration to delay the implementation of Merchant Discount Rates for Unified Payments Interface. This decision is expected to relieve retailers during the festive season and was initially set for October 15. Recent protests by traders against MDR introduction led to consultations among industry stakeholders. Payment aggregators like Paytm and Mobikwik saw significant share declines due to this news.
India's foreign exchange reserves have fallen for the fourth consecutive week to $734.6 billion. This decline follows a recent peak of $785.71 billion on September 4. The Reserve Bank of India has intervened in the market to support the rupee's value amid rising pressures. Elevated oil prices, increasing US Treasury yields, and foreign equity outflows are contributing to the rupee's depreciation. On Wednesday, the rupee declined nearly 0.
Single-window GST registration for multistate businesses set for pilot this week
In a significant move, the central government is set to implement a consolidated goods and services tax registration system for businesses operating across multiple states. This innovative system will facilitate a single application process, minimizing the administrative challenges associated with multiple submissions. It is worth mentioning that small taxpayers under the composition scheme will not be eligible for this benefit.
FCNR inflows cushion rupee, BoP; FII flows crucial for sustained external stability: Report
Foreign currency non-resident inflows have significantly bolstered rupee stability and India's balance of payments. However, the current support from these inflows may not suffice for long-term external stability. Foreign institutional investor flows are crucial for maintaining economic balance as the support from FCNR is absorbed. India's goods deficit has reached a decade-high despite continuous support from services exports and remittances.
Pension savings may get bigger infrastructure play as PFRDA explores direct project exposure
The government is seeking to channel more pension savings into India’s long-term infrastructure needs, with PFRDA chairman S Ramann saying the regulator is exploring additional avenues, including direct exposure to large projects. CEA V Anantha Nageswaran called pension savings patient, long-duration capital suited to financing long-lived infrastructure assets.
GST collections remain strong, but faster import growth needs watching: Tax experts
India's GST collections remained strong, rising to Rs 2.04 lakh crore in September, however experts express concern over the wide gap in tax revenue from imports and domestic transactions. They say that the divergence suggested that imports were contributing significantly to the overall growth in collections. The trend could warrant a reassessment of some production-linked incentive schemes to strengthen domestic manufacturing.
Rupee sinks to two-month low amid FPI selling and rising US yields
On Thursday, the Indian rupee declined to a two-month low against the US dollar due to foreign portfolio outflows. Overseas investors sold off investments amid rising US bond yields and dollar demand. The rupee surpassed the 96-level twice in three days, indicating intense market pressure. Custodian banks continued purchasing dollars, which also pointed to ongoing foreign outflows.
India's Gross GST collection ticks up 14.7% in September to Rs 2.04 lakh crore
The Indian government reported a 14.7% increase in GST collections for September 2023 compared to last year. Maharashtra topped the states with collections reaching Rs 29,986 crore, reflecting a 15% growth. Some states, however, experienced significant declines in GST revenues, with Sikkim's collections dropping 51%. Cumulatively, the gross GST collection for the initial half of the fiscal year stood at Rs 12,46,278 crore.
India faces stiff capital-flow challenge amid global AI, manufacturing race
India is confronting significant challenges in attracting capital flows due to the evolving global investment environment. Developed countries are pursuing renewed manufacturing ambitions, which intensifies competition for capital. The artificial intelligence sector is driving capital investment across borders, affecting foreign direct investment. Despite signs of improving FDI inflows, short-term pressures on Indian assets and currency persist. Policymakers must respond effectively to this geopolitical and geoeconomic uncertainty to sustain growth.
Claude, New Yorker, Bandcamp: RBI rules leave international card payments in grey area
New regulations from the Reserve Bank of India will mandate reporting of international credit card transactions starting October 1. Consumers may need to provide details on all payments for services purchased abroad, leading to potential compliance challenges. The existing framework lacks clarity on how individuals will report these transactions to banks. While international credit card purchases are part of the Liberalised Remittance Scheme, the reporting process remains unclear.
FM Sitharaman meets AIIB President, suggests expansion of financing beyond physical infra
Finance Minister Nirmala Sitharaman met Asian Infrastructure Investment Bank (AIIB) President Zou Jiayi and suggested the bank expand its focus to include newer infrastructure that centres on AI, MSMEs, and skilling. She reiterated that the bank's regional centrality should continue to remain a defining institutional characteristic and an important anchor of its mandate. Both leaders discussed AIIB's robust pipeline of projects in India and its expanding global presence.
Panel proposes raising RBI's ways and means advances corpus by 11.2% to Rs 67,839 crore
The panel has also recommended an annual review of the WMA corpus capping annual upward revision at 4%. The extent of upward revision could be based on the last three years of accounts while there would be no reduction in the existing limit.
Net mopup under small savings schemes set to exceed Rs 3.6 lakh crore target
In the first four months of the fiscal year 2026-27, net collections in small savings schemes have surged by an impressive 56% compared to last year, providing a significant boost towards meeting budgetary goals. The appealing savings rates continue to encourage government-backed savings, demonstrating that investor confidence in consistent returns remains strong, even with rising retail participation in the equity markets.
Centre cuts FY27 market borrowing to Rs 15.99 lakh crore; targets longer debt maturity
The Centre has cut FY27 gross market borrowing to Rs 15.99 lakh crore from Rs 17.2 lakh crore budgeted, seeking to limit pressure on bond yields amid global uncertainty. It will borrow Rs 7.86 lakh crore in the second half, including Rs 15,000 crore through sovereign green bonds, while extending debt maturities.
India’s FDI equity inflows rise 6% to $19.8 billion in Q1FY27; Japan tops, US plunges 76%
India’s FDI equity inflows rose 6% to $19.81 billion in April-June FY27, led by Japan at $5.7 billion, while US inflows fell 76% to $1.34 billion. Total FDI including reinvested earnings stood at $30.6 billion. Tamil Nadu attracted the most investment at $5.9 billion, followed by Maharashtra.