Banking
Central Bank to launch combo loans, cut deposit rates soon

Central Bank of India will be launching a combo loan offer -- which means offering a car loan without the processing fee to a customer who has availed of a home loan within the fortnight

 
Aamby Valley (Pune): Public sector lender Central Bank of India has said it will bring down its deposit rates further soon, to enable it to lower its lending rates, and will launch a combo loan offer within a fortnight, reports PTI.
 
"We are looking at cutting our base rate going forward. But to do that we have to first lower our deposit rates. Accordingly, as liquidity is comfortable, we will soon cut the pricing of our liabilities shortly, which will be followed by a base rate cut," chairman and managing director MV Tanksale told PTI.
 
Speaking after inaugurating 40th national convention of the Institute of Company Secretaries of India over the weekend, Tanksale said the Mumbai-based lender will also be launching a combo loan offer -- which means offering a car loan without the processing fee to a customer who has availed of a home loan within the fortnight.
 
On the rationale behind it, the chairman said, "Normally a home buyer looks for a new car too. So it makes sense for us to fund his car as we already know him/her. Also, credit growth has been a trickle so far this year. We need to ramp up our lending to meet the fiscal target."
 
Several other public sector lenders like State Bank, Uco Bank, Corporation Bank, Union Bank, United Bank, etc, have already come out with combo loan offers ahead of festive season.
 
The second quarter of the fiscal saw credit uptick almost flat at 0.1% at 16.4%. The Reserve Bank's guidance for credit is 17-18%.
 
Credit growth stood at 16.4%, against the central banks projection of 17% for the year during the fortnight ending 14th September, accroding to the RBI data.
 

User

Banks should provide easy credit to artisans: Sharma

Citing the success story of Varghese Kurien, who ushered in 'white revolution', the Textile minister wondered why the same cooperative model cannot be adopted for the handicrafts sector to empower people in the country

 
Chennai: Textile Minister Anand Sharma has strongly batted for banks providing easy credit to artisans, craftsmen and weavers, like the way loans were disbursed to big industries, saying they have to find the "right balance", reports PTI.
 
"..What percentage of lending by the banks (to artisans)? Miniscule. The same question is not put when billions are lent to big industries," Sharma said after inaugurating the World Crafts Summit.
 
Banks have to play an important role to enable artisans and craftsmen get easy and adequate credit, he said, adding "Sometimes, they may default. If easy access to credit is there, market linkages are there, we will be able to help them".
 
"..I have to ensure that industry also gets easy access to credit before there are howls of protests," he said, adding that there has to be "right balance" by banks.
 
Elaborating on the steps taken by the government, he said the National Institute of Design (NID), which has done lot of work to support artisans, will soon be declared an 'an Institution of Excellence.' 
 
Efforts are also on to establish four more NIDs in the country, the Minister said.
 
The government is also seriously thinking to create an academy for handicrafts on the pattern of national academies.
 
Citing the success story of Varghese Kurien, who ushered in 'white revolution', Sharma wondered why the same cooperative model cannot be adopted for the handicrafts sector to empower people in the country.
 
Highlighting the response that the products of craftsmen from the country received abroad, Sharma said, "But our poor artisans, they cannot access those markets. So, we have taken a number of decisions here. Because a big major decision gets trapped or someone makes some noise, which is part of political discourse and part of politics." 
 
Referring to FDI in retail sector, Sharma said,"..Our policies, our decisions have a distinct Indian imprint...a minimum of 30% of the sourcing has to be from MSMes, cottage and village industries. I was surprised when I was informed that already huge amount of sourcing is being done from India."
 

User

LPG prices hiked by Rs11.42 per cylinder to raise dealer commission

LPG price for subsidized cylinder is increased by Rs11.42 per cylinder, while for non-subsidized LPG cylinder, the hike is Rs38 per cylinder

 

Following a decision to raise commission paid to dealers, the government on Saturday hiked cooking gas (LPG) prices by Rs11.42 per cylinder.

 

For the consumer, subsidised LPG in Delhi will now cost Rs410.42 per cylinder, up from Rs399. Officials said the commission paid on market price or non-subsidised LPG too has been raised by Rs12.17 to Rs38 per cylinder. Accordingly, a non-subsidised LPG cylinder price will go up from Rs883.5 to Rs921.5.

 

The National Federation of LPG Distributors of India (NFLDI), which represents around 10,500 cooking gas sale agencies, had asked the Centre to make the LPG pricing uniform and allow a direct transfer of subsidy to its intended beneficiaries. The gas dealers had reportedly wanted a single price and commission of Rs65 per cylinder, the same as on commercial cylinders.

 

Earlier this week, state-owned oil marketing companies hiked prices of non-subsidised cooking gas (LPG) by Rs127 per cylinder to Rs883.5 citing increase in international oil prices.

 

Last month, the Indian government had decided to restrict supply of subsidised domestic LPG cylinders to six per households in a year. Any requirement over and above this will have to be bought at market rate, which is almost double the subsidised price of Rs399 for a 14.2-kg cylinder in Delhi.

 

"The retail selling price of the 14.2-kg non-subsidised domestic LPG cylinder at Delhi has been increased by Rs127 per cylinder with effect from 1st October," Indian Oil Corp, the nation's largest fuel retailer, said.

 

While subsidised cylinders will continue to be available at Rs410.42 per cylinder (in Delhi), the market rate of non-subsidised LPG cylinders will be notified on a monthly basis by fuel retailers.

 

 

 

 

 

 

 

 

User

COMMENTS

LALAN KUMAR

3 years ago

IS LPG DISTRIBUTOR PAYING SERVICE TAX ON COMMISSION RECEIVED FROM OIL COMPANIES PLEASE COMMENTS.
Lalan Kumar

M G WARRIER

4 years ago

It is high time GOI thought in terms of a predictable pricing policy. The uncertainty about prices of essential articles and services becomes a breeding ground for unethical practices. Changes in costs for services and prices of articles which are pre-decided and declared as in the case of petroleum products, food articles and milk through public delivery system and so on should be made, say, once a quarter, may be, effective from the last Friday of each quarter.

We are listening!

Solve the equation and enter in the Captcha field.
  Loading...
Close

To continue


Please
Sign Up or Sign In
with

Email
Close

To continue


Please
Sign Up or Sign In
with

Email

BUY NOW

The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)