In April-August, India’s fiscal deficit at 109% of full-year target

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The Union government’s remained above the annual target for second month in row at the end of August, mainly on account of the impact of lockdown on revenue collections.


According to the data released by the Controller General of Accounts (CGA), during April-August was at 109.3 per cent of the annual target estimated in the Budget. In absolute terms, the was at Rs 8,70,347 crore. It stood at 78.7 per cent of (BE) in the corresponding period during the last fiscal year.



Fiscal deficit or the gap between the expenditure and revenue had breached the annual target in July.


The government had pegged fiscal deficit for 2020-21 at Rs 7.96 trillion or 3.5 per cent of GDP in the Budget presented by Finance Minister Nirmala Sitharaman in February. These figures, how­ever, may have to be revised significantly in view of the econo­mic disruptions created by the outbreak of coronavirus pandemic.



Fiscal deficit had soared to a seven-year high of 4.6 per cent of the Gross Domestic Product (GDP) in 2019-20, mainly on account of poor revenue realisation,

After LVB, Dhanlaxmi Bank shareholders oust chief executive Sunil Gurbaxani

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Shareholders of Thrissur-based on Wednesday ousted managing director and CEO Sunil Gurbaxani at the bank’s annual general meeting (AGM). This is the second such ouster of a private Bank chief executive in less than a week. Last week in a coup of sorts, around 60 per cent of the shareholders at Lakshmi Vilas Bank had voted against seven directors including MD & CEO S Sundar.


In the case of 93-year-old Dhanlaxmi Bank, over 90 per cent of the votes were polled against Gurbaxani’s appointment. The voting results were made public through stock exchange filings. Of the 10 resolutions, this was the only one which was voted against by the shareholders.



The approved resolutions include appointment of Gopinath CK, G Subramonia Iyer, Captain Suseela Menon R, G Rajagopalan Nair and PK Vijayakumar as directors.


Gurbaxani, a veteran banker, took over as CEO at in February 2020. A source said that Gurbaxani had proposed a preferential issue, which would have brought down the existing shareholders’ stake. This, along with the management proposal to open 25 branches in North India, resulted in the shareholders’ vote against the MD,

Anger After Indian Police Cremate Gang-rape Victim

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Indian police were accused Wednesday of cremating the body of a teenaged “untouchable” Dalit woman against her family’s wishes after she died following an alleged gang-rape by four upper-caste men — the latest sexual assault to shock the country.

The 19-year-old from India’s marginalised Dalit community was left paralysed following a brutal attack two weeks ago in fields outside a village in the northern state of Uttar Pradesh.

She was found lying in a pool of blood after going missing while collect fodder outside her home village of Bool Gahri.

The woman, who cannot be named for legal reasons, was later taken to hospital in New Delhi, around 200 kilometres (120 miles) away, but died Tuesday from her injuries.

The assault comes months after four men were hanged for the brutal 2012 gang rape and murder of a student on a bus in Delhi, a case that came to symbolise the nation’s problems with sexual violence.

The latest attack sparked anger that was further fuelled Wednesday after the woman’s family accused police of cremating her body in the dead of night — against their wishes and religious custom — raising doubts about their commitment to a proper investigation.

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RBI defers CCB implementation by six months due to Covid-19 pandemic

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The Reserve Bank on Thursday deferred the implementation of the capital conservation buffer (CCB) requiring to set aside additional reserves of 0.625 per cent by a further six months due to the COVID-19 pandemic.


The implementation of the regulations was to happen by September 30, and the same has been now deferred to April 1, 2021, the said in a notification.



“In view of the continuing stress on account of COVID-19, it has been decided to defer the implementation of the last tranche of 0.625 per cent of the CCB from September 30, 2020 to April 1, 2021,” it said.


Accordingly, the minimum capital conservation ratios shall continue to apply till the CCB attains the level of 2.5 per cent on April 1, 2021, the said.


The pre-specified trigger for loss absorption through conversion/ write-down of additional tier 1 instruments (perpetual non-convertible preference shares and perpetual debt instruments), shall remain at 5.5 per cent of risk weighted assets (RWAs) and will rise to 6.125 per cent of RWAs from April 1, 2021, it added.


Meanwhile, the central bank also deferred the implementation

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