RBI keeps rate unchanged: The Reserve Bank of India(RBI) on Tuesday, left the key policy rate unchanged in its mid quarter (December 2012) monetary policy. With this status quo in the policy action, repo rate stood at 8 percent while reverse repo was at 7 percent. Cash reserve ratio (CRR) or the portion of deposits banks keep with the RBI also remained at 4.25 percent.
Government approves Banking bill: On Thursday, the Parliament today paved the way for corporate houses to enter the banking sector by approving the banking bill, a key reform legislation pending for long. The bill was approved by the Lower House earlier this week after the government dropped the controversial clause concerning allowing banks to trade in commodity futures.
Lok Sabha passes companies bill: With the Lok Sabha giving its approval for the Companies Bill, 2011, Minister of State for Corporate Affairs Sachin Pilot said the aim of the legislation was to make India a safe and attractive destination for investment and to do away with ‘inspector raj’ on companies (Read more)
Narendra Modi wins Gujarat elections: Modi's Hindu nationalist Bharatiya Janata Party (BJP) won 115 of the state legislative assembly's 182 seats against 61 for the Congress party.The win could fire up the ailing main opposition BJP, giving it a leader who inspires euphoric support for the high growth, uninterrupted power supply and safe streets he is credited with providing in Gujarat (Read here: The rise of Narendra Modi)
Markets fall after 'fiscal cliff' set back: US stocks finished lower on Friday after a Republican plan to avoid the "fiscal cliff" failed to gain sufficient support on Thursday night, draining hopes that a deal would be reached before 2013. The Indian market also ended in red citing fiscal failure as one of the main reasons.
ASEAN-meet: Currently, the trade between India and Association of South East Asian Nations (ASEAN) stands at USD 80 billion. The ASEAN summit aimed at boosting trade between the two sides to USD 100 billion by 2015. However, the signing and operationalising of the expanded Free Trade Agreement (FTA) between India and the 10 member ASEAN block is likely to happen by 2013.