Weekly News 25 - 29 September 2023
25 September 2023 - (Economic Times) India, 79 others seek support for WTO food security deal
An 80-country coalition including India, China and South Africa has begun reaching out to Arab countries and least-developed nations to build pressure on the developed economies to ensure food security for developing nations.
The alliance of G33, the African Group and the ACP (African, Caribbean and Pacific) group at the World Trade Organisation (WTO) has proposed a new method to calculate subsidies given to purchase, stockpile and distribute food to ensure food security for developing and poor nations. It has also proposed that exports of foodgrains from public stocks to needy countries be allowed for international food aid and humanitarian purposes.
26 September 2023 - (Economic Times) Old overseas investment deals could come under ED fire
Many overseas vehicles and structures set up over the years by Indian corporate houses and business families to sidestep regulations or move money out of companies may have to be dismantled, corrected, or surrendered following a subtle, yet dramatic, change in the use of the Foreign Exchange Management Act by the enforcement authorities. Since 2015 the law has allowed the Enforcement Directorate (ED) to seize equivalent assets in India for illegally holding assets abroad.
In two recent cases, the ED has seized the office space and immovable properties of companies which had used regular banking channels to transfer funds abroad under the ODI route. While the companies under question remitted tax-paid money and did not use hawala operators, they nonetheless faced harsh actions for using the ODI window to buy properties for personal use and hold funds abroad in an outfit that apparently had no bona fide business activity
27 September 2023 - (Times of India) Laptop imports won't need a license: MoS IT Rajeev Chandrasekhar
The Indian government has decided not to implement a licensing regime for laptop and tablet imports, according to Rajeev Chandrasekhar, Minister of State for Electronics and IT. Instead, an import management system will be introduced to encourage domestic manufacturing and ensure a trusted supply chain. The new system, which will be announced soon, will allow for imports based on domestic manufacturing and exports.
28 September 2023 - (Economic Times) Hotel industry deals surge 140% in H1 2023
The hotel industry in India experienced a significant increase in transactions, reaching $175 million in the first half of 2023, a 140% rise compared to the previous year. This growth was attributed to India's outlier status in the APAC market, where hotel deal volumes declined. The development pipeline has slowed down, leading to more trading of operating assets. Experts predict that India's hotel investments will continue to increase in the coming years, potentially reaching the level of markets like Thailand.
29 September 2023 - (Economic Times) India in talks with more jurisdictions to make material impact on cross-border payments: RBI DG
India is in discussions with other jurisdictions to address the high cost of cross-border remittances, according to Reserve Bank Deputy Governor T Rabi Sankar. He described the current situation as "unconscionable" given the availability of cheap data connectivity. Sankar suggested that the introduction of a central bank digital currency (CBDC) could lower the cost of cross-border payments by bypassing the legacy correspondent banking system.
"As per the World Bank's remittance prices worldwide database, the global average cost of a retail size of remittance (retail size - USD 200) was 6.2 per cent in the fourth quarter of 2022. For some countries, this cost can be as high as 8 per cent.” "Such a high cost in today's context, when data connectivity is so cheap, is simply unconscionable. I believe that given the available technology, the present situation is not sustainable," he said.
https://economictimes.indiatimes.com/news/india/india-79-others-seek-support-for-wto-food-security-deal/articleshow/103913901.cms
https://economictimes.indiatimes.com/news/company/corporate-trends/old-overseas-investment-deals-could-come-under-ed-fire/articleshow/103913888.cms
https://timesofindia.indiatimes.com/business/india-business/laptop-imports-wont-need-license-mos-it-rajeev-chandrasekhar/articleshow/103970707.cms
https://economictimes.indiatimes.com/industry/services/hotels-/-restaurants/hotel-industry-deals-surge-140-in-h1-2023/articleshow/103998209.cms
https://economictimes.indiatimes.com/news/economy/policy/india-in-talks-with-more-jurisdictions-to-make-material-impact-on-cross-border-payments-rbi-dg/articleshow/104041781.cms
