Independence Day week ,2014:
- The milestone event for Independence Day week, 2014 was the easing of liquidity conditions by the Reserve Bank of India’s (RBI's) ... monetary policy adjustment that resulted in the technical easing in liquidity . The statutory liquidity ratio (SLR) was cut by 50 basis points to 22% in anticipation of a pickup in credit demand in the coming months for growth conditions to improve.
- The monsoon activity improved for the week ending August13, however for the season as a whole rainfall still remains deficient. Nevertheless, the acreage under the Kharif crop is now far less deficient at around 9% in comparison with the average crop area sown at this time of the year- an improvement over the previous year.
- On the economic activity front , India witnessed significant recovery in deal trends, with mergers and acquisitions (M&A) activity having risen by US$5.4bn in the first half of 2014 on account of a few big ticket deals. The Purchasing Managers’ Index (PMI) for services declined in July from June, though it still remains in the positive zone. The RBI’s Orders Books, Inventories and Capacity Utilisation survey (OBICUS), showed that in the last quarter of 2013-14 some build up in industrial activity then itself.
- Prime Minister, Narendra Modi, visited Nepal and suggested a slew of initiatives for collaboration between Nepal and India from harnessing the former’s hydropower, to meeting its oil needs and developing various sectors with potential for growth. Further, the Lok Sabha unanimously passed the amended securities bill, which gives more power to the Securities Exchange Board of India (SEBI) to address challenges arising from the mushrooming of Ponzi schemes in the country