India pushing EU for greater access to services market
Hindu Business Line

With the India-European Union broad-based Bilateral Trade and Investment Agreement (BTIA) negotiations entering the final lap, New Delhi is pushing hard for greater market access for services, especially the easier movement of its service-providers, outsourcing and commercial presence, mainly in information technology-related services. This is apart from seeking greater market access for its merchandise goods such as textiles and some farm products in the EU. In return, India would give the EU a larger play in goods such as auto (mostly luxury vehicles) and wine, and for banking and retail in the services category.

European banks' exposure to India may add up to 15 percent of GDP
Indian Express
Policy-makers in New Delhi and Mumbai are not convinced, but global banks and hedge funds with significant interests in India are deeply concerned that the European sovereign debt crises will adversely impact the country's financial system. They have sounded out mandarins in North Block and Mint Street that European banks' exposure to India could be as high as 14-15 percent of the gross domestic product (GDP). In absolute terms, this is approximately $150 billion.

Growth, fiscal worries may squeeze funds for 12th plan
Economic Times

India's external debt rises to $326.6 billion
Economic Times

Switching banks without changing a/c number soon
Business Standard

Customers may soon be allowed to switch banks without changing account numbers. After similar moves in mobile telephony and health insurance in 2011, the government plans to introduce bank account number portability. The idea is to save customers the inconvenience of opening and closing bank accounts or keeping multiple accounts if they have to shift to a new location or find their bank's services unsatisfactory.

NBFCs' importance goes up in sluggish property market
Business Standard

Government begins process to migrate general insurance firms into Solvency II regime
mydigitalfc.com
The government has initiated a move to migrate the domestic general insurance companies into the Solvency II regime in a bid to strengthen the sector. The move comes close on the heels of the RBI notification announcing the banking sector's migration into Basel-III capital requirements. Solvency II prescribes the amount of capital that an insurer should hold to reduce the risk of insolvency.

Capital infusion in public sector banks to be finalised soon
Economic Times

Indian banks look to comply to Basel III guidelines
Economic Times

Banks must build reserves to tackle turbulence in financial markets: RBI
Economic Times

Banks in India, like lenders across markets, will have to raise equity, conserve capital and build reserves over the next five years to stay in business and fortify themselves against stress and turbulence in financial markets, according to a new plan proposed by the Reserve Bank of India (RBI). The new rules are in line with the international capital norms, better known as Basel III regulations for banks. Once approved, they will compel many banks, including large state-owned lenders to tap the capital market.

Government allows iInvestors to invest directly in Indian stock market
Economic Times
India has allowed foreign individual investors, pension funds and trusts to directly invest in equities, in an attempt to shore up investor confidence and attract money from overseas to bridge widening current account deficit. Measures that boost capital inflows are high on the government's agenda as the global downturn led by the Euro zone crisis has led to investors pulling money out of Indian equities. For India, the problem has been compounded by a slump in investor confidence because of policy inaction leading to a sharp fall in new projects.

Higher capital gains tax on unlisted shares could be bad for private equity funds
Economic Times

PTC India in talks with sovereign wealth fund for PE venture
Economic Times

Financial inclusion: Banks made some headway in 2010-11
Hindu Business Line

Almost half the population in the country do not have deposit accounts in banks. Less than 10 percent have loan accounts with banks. The extent of financial exclusion in India is staggering. But some change in these depressing numbers is underway. India has ambitious plans to bring everyone under the formal banking network within the next few years. It seems to have made rapid strides in the past year if the villages covered under the financial inclusion programme are any indication. Now at least one-sixth of the six lakh plus villages in the country have a channel to access banking network.

Priority sector credit growth slows to nine percent in Nov
Business Standard

Economic gloom to keep markets tethered in 2012
Livemint