GST shortfall: Puducherry accepts Centre’s compensation proposal

is the latest among the dissenting states and Union Territories (UTs) to have accepted the Centre’s proposal of borrowing Rs 1.1 trillion to make up for the shortfall in goods and services tax (GST) collection. This came even as the Centre released the second tranche of payments on Monday.

The ministry of finance borrowed and transferred the second installment of Rs 6,000 crore to 16 states and three UTs under a special borrowing window. The loans raised by the Centre have been released on a back-to-back basis.

However, seven dissenting states — including Kerala, West Bengal, Punjab and Jharkhand — have not yet accepted the proposal, and, hence, have not got the borrowed amount.

Incidentally, Chief Minister V Narayanasamy had told Business Standard last week that the state will not accept the Centre’s proposal and will urge it to borrow the entire sum.

So far, 21 states and three UTs have accepted the proposal. Of, those five states – Manipur, Nagaland, Mizoram, Arunachal Pradesh, and Sikkim — do not have any shortfall.

“This amount was raised at a weighted average yield of 4.42

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Bandhan Bank Q2 net profit falls 5% to Rs 920 crore; NII rises 26%

Private sector lender on Monday reported a 5.3 fall in net profit for the September quarter (Q2FY21) at Rs 920 crore due to additional provisions made for Covid-related uncertainties, even as it saw a robust 26 per cent growth in net interest income (NII). It had earned a net profit of Rs 971.8 crore in the corresponding period last financial year.

Sequentially, though, net profit was up more than 67 per cent. Also, the bank earned its highest pre-tax profit at Rs 1,233 crore in the reporting quarter, up 6.2 per cent.

NII was up almost 26 per cent to Rs 1,923 crore against Rs 1,539 crore in the corresponding period last financial year. Non-interest income, however, rose only 6 per cent to Rs 381.8 crore. Net interest margin (annualised) stood at 8 per cent against 8.2 per cent last year.

Shares of the bank closed 4 per cent higher at Rs 300.85 on the BSE. The lender has set aside Rs 300 crore as additional provisions for standard assets this quarter. This takes the banks’ total additional provision to Rs 2,096 crore, which includes

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Germany Shuts Down As New Virus Curbs Spur Anger And Frustration

Despite sporadic popular protests, Germany on Monday led a tightening of coronavirus curbs in many parts of Europe while the Covid-19 crisis deepened in the United States on election eve.

The virus has infected over 46 million people worldwide, with more than 1.2 million deaths, and the acute outbreaks in Europe and America are sparking further alarm about the state of the already devastated global economy.

The coronavirus has infected tens of millions of people worldwide, with close to 1.2 million deaths

To curb the spike in Germany, Europe’s biggest economy, Chancellor Angela Merkel appealed to citizens to help achieve a “turnaround” by respecting a new round of shutdowns from Monday until the end of the month.

Germans will not be confined to their homes, but bars, cafes and restaurants must close, as well as theatres, operas and cinemas.

Graphic highlighting the countries with the largest number of COVID-19 cases and deaths in the past week.

Graphic highlighting the countries with the largest number of COVID-19 cases and deaths in the past week.

Looking ahead to the festive season, Merkel ruled out any “lavish New Year’s Eve parties”, but held out hope that families would be allowed to celebrate Christmas together.

The frustration over the economic and social cost

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