The commission was set up by the UPA government in February 2014 to revise remuneration of about 48 lakh central government employees and 55 lakh pensioners
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Finance minister tells the UAE-India Economic Forum that the Indian government is ready to address investor concerns
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Seeking a transparent and non-discriminatory global trading system, Prime Minister Narendra Modi on Monday (16 November) said all elements of the WTO's Bali pact should be fully implemented. In his intervention at the G-20 working lunch on 'Trade and Energy', Modi said the global trade slowdown was a major concern and prospects for rise in trade momentum remain bleak. Stating that efforts to accelerate global economic growth will help trade, he said a transparent, equitable, non-discriminatory and rule-based global trading system is essential for the world economy. "It is absolutely vital that the Doha Development Round achieves its goals. All elements of the Bali package should be implemented fully. We look forward to a successful outcome at the Nairobi Meeting in December," he said. The World Trade Organisation's (WTO) 10th ministerial meeting is scheduled from December 15 to 18 at Nairobi in Kenya. In the last meeting at Bali in Indonesia, the WTO members agreed on the trade facilitation pact and foodgrain stockpile for food security purposes. As regards regional trade agreements, Modi said, such pacts "should not lead to fragmentation of the global trading system and should support a more liberalised multi-lateral trade regime." He also said that increasing the role of small and medium enterprises in the global value chain will help expand global employment. Balanced and sustained global economic growth also needs increase in labour mobility and skill portability, the Prime Minister added. On energy sector, Modi said, the grouping of world's biggest economies (G-20) should increase research and development in clean and renewable energy and reduce cost to make it affordable and accessible for all. Also, financial support and technology transfer has to be enhanced for access and transition to clean energy, Modi said. Research efforts should focus on clean coal technology and coal gasification while at the same time proliferation- resistant nuclear energy technology should be developed, he said. Increasing energy efficiency and moderate energy use as well as promoting an integrated global gas market were among his prescriptions for the sector. He wanted G20 to give greater voice to major emerging economies in the global governance structure for energy. These measures, he said, "will meet our energy needs, combat climate change, and create huge economic opportunities." Modi said there were three basic challenges -- energy to power growth in developing countries, meeting the needs of the hundreds of millions without access to energy and increasing the use of clean and renewable energy. "Energy, ecology and economy are deeply integrated. That is why India intends to meet its vast and growing energy needs in as sustainable manner as possible," he said adding New Delhi was targeting additional 175 gigawatt's of renewable energy by 2022, cut fossil fuel subsidies and has imposed carbon cess on coal. "We are working on clean coal technology. We have an ambitious expansion plan for nuclear energy. By 2030, we have targeted 40 per cent of our energy through non-fossil fuel," he said adding "international support and cooperation will enable us to achieve our goals". (PTI)
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In its first communique on a political issue, leaders of the world's richest and most powerful countries (G20), including Prime Minister Narendra Modi, today vowed to conduct joint action against growing global terrorism as well as choking terror financing channels. The Antalya Summit is the first time the G-20 engaged in issues other than the economy and trade as world leaders released a statement denouncing the Paris attacks while vowing unity against terrorism. A dinner hosted by Turkish President Recep Tayyip Erdogan on "Global Challenges: Terrorism and Migration" formed the basis for the statement. Modi at the dinner had stated that some countries still use terror as "an instrument of state policy" and need to be isolated while terror financing should be criminalised. "We don't have a comprehensive global strategy to combat terrorism. And, we tend to be selective in using the instruments that we have," he said, adding that it was more important than what we face is how we respond to the threat. The joint statement, issued at the end of the two-day G20 Summit, underlined that leaders reaffirmed that terrorism cannot be associated with any religion, nationality or ethnic group. G20 leaders, including US President Barack Obama and Russian President Vladimir Putin, denounced the Paris attacks as "heinous" and reiterated that they would remain united in combating terrorism. Expressing concerns over the growing flow of foreign terrorist fighters, G20 leaders demanded stepped-up border control and aviation security. They stressed on remaining committed to tackling financing channels of terrorism by enhanced cooperation on the exchange of information and by freezing the assets of terrorists. G20 leaders, the statement said, remained committed to tackling the financing channels of terrorism, particularly by enhanced cooperation on exchange of information and freezing of terrorist assets and criminalisation of terrorist financing. They also called for robust targeted financial sanctions regimes related to terrorism and terrorist financing, including through swift implementation of Financial Action Task Force (FATF) standards in all jurisdictions. "We will continue to implement relevant FATF (Financial Action Task Force) recommendations and instruments. We call on FATF to identify measures, including pertaining to legal framework, to strengthen combating of terrorism financing and targeted financial sanctions and implementation thereof," the statement said. The Antalya Declaration also touched on the global migration problem while calling on all countries to cooperate to resolve it. The G20 leaders resolved to work together to prevent and suppress terrorist acts in "accordance with UN Charter and obligations under international law, including international human rights law, international refugee law and international humanitarian law, as well as through the full implementation of the relevant international conventions, UN Security Council Resolutions and the UN Global Counter Terrorism Strategy." "We condemn, in the strongest possible terms, the heinous terrorist attacks in Paris on November 13 and in Ankara on October 10. They are an unacceptable affront to all humanity. "We extend our deepest condolences to the victims of terrorist attacks and their families. We reaffirm our solidarity and resolve in the fight against terrorism in all its forms and wherever it occurs," the statement said. The leaders said they remained united in combating terrorism. "The spread of terrorist organisations and significant rise globally in acts of terrorism directly undermine the maintenance of international peace and security and endangers our ongoing efforts to strengthen the global economy and ensure sustainable growth and development." The G20 leaders said counter terrorism actions must continue to be part of a comprehensive approach based on addressing the conditions conducive to terrorism as stipulated in UN Security Council. The approach should also include countering violent extremism, combating radicalisation and recruitment, hampering terrorist movements, countering terrorist propaganda and to prevent terrorists from exploiting technology, communications and resources to incite terrorist acts, including through the Internet. "The direct or indirect encouragement of terrorism, the incitement of terrorist acts and glorification of violence must be prevented. We recognise the need at all levels to work proactively to prevent violent extremism and support civil society in engaging youth and promoting inclusion of all members of society," the statement said. The G20 leaders expressed concern over the acute and growing flow of foreign terrorist fighters and the threat it poses for all States, including countries of origin, transit and destination. "We are resolved to address this threat by enhancing our cooperation and developing relevant measures to prevent and tackle this phenomenon, including operational information- sharing, border management to detect travel, preventive measures and appropriate criminal justice response. We will work together to strengthen global aviation security," the G20 said.(PTI)
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Finance Minister Arun Jaitley on Monday (16 November) said the government would make all efforts to persuade the opposition for the passage of Constitution amendment bill for implementation of GST in the winter session. "The process of economic reforms is a continuing one, no reform legislation is stopped in Parliament in past though delay may occur ... make efforts with opposition to get GST passed by Upper House in coming Parliament session," he said at UAE India Economic Forum 2015 Meeting here. The Goods and Services Tax (GST), which will subsume more than a dozen state levies to create a single market, is to be implemented from April 1, 2016. But the deadline may be missed if Parliament does not pass the Constitution Amendment Bill in the upcoming winter session beginning November 26. The Bill has been passed in the Lok Sabha, it is awaiting clearance from the Rajya Sabha where the ruling NDA lacks a majority. The main opposition party Congress has been opposing the passage demanding inclusion of few things in the Bill. The Finance Minister expressed hope that main opposition party would take a rational view and support GST, a step for rationalisation of indirect taxes. With regard to growth Jaitley said, slowdown in China has impact on India but fall in prices of commodities have been favourable to India. "Despite monsoon shortage we would be able to meet the challenge of growth...we would be able to grow better than last year despite global slowdown," he said. Indian economy grew by 7.3 per cent during 2014-15. Talking about various steps taken by the government with regard to ease of doing business, he said tax reforms have been expedited including no retrospective taxation; rationalisation of taxes etc. Besides, the government has taken steps to rationalise subsidies. The process of economic reforms would continue despite some bottlenecks being created by certain quarter, he added. (PTI)
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Finance Minister Arun Jaitley on Monday (16 November) said the government would make all efforts to persuade the opposition for the passage of Constitution amendment bill for implementation of GST in the winter session. "The process of economic reforms is a continuing one, no reform legislation is stopped in Parliament in past though delay may occur ... make efforts with opposition to get GST passed by Upper House in coming Parliament session," he said at UAE India Economic Forum 2015 Meeting. The Goods and Services Tax (GST), which will subsume more than a dozen state levies to create a single market, is to be implemented from April 1, 2016. But the deadline may be missed if Parliament does not pass the Constitution Amendment Bill in the upcoming winter session beginning November 26. The Bill has been passed in the Lok Sabha, it is awaiting clearance from the Rajya Sabha where the ruling NDA lacks a majority. The main opposition party Congress has been opposing the passage demanding inclusion of few things in the Bill. The Finance Minister expressed hope that main opposition party would take a rational view and support GST, a step for rationalisation of indirect taxes. With regard to growth Jaitley said, slowdown in China has impact on India but fall in prices of commodities have been favourable to India. "Despite monsoon shortage we would be able to meet the challenge of growth...we would be able to grow better than last year despite global slowdown," he said. Indian economy grew by 7.3 per cent during 2014-15. Talking about various steps taken by the government with regard to ease of doing business, he said tax reforms have been expedited including no retrospective taxation; rationalisation of taxes etc. Besides, the government has taken steps to rationalise subsidies. The process of economic reforms would continue despite some bottlenecks being created by certain quarter, he added.(PTI)
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The leaders of the world's 20 largest economies pledged to use all policy tools to address uneven economic growth that falls short of expectations, according to a draft Group of 20 (G20) communique seen by Reuters on Sunday (15 November). As the G20 leaders gather in Turkey for a two-day meeting on how to boost global growth, much of the economic discussions has been overshadowed by the deadly attacks claimed by Islamic State in Paris on Friday that left more than 120 people dead. In a nod to jittery financial markets, the leaders highlighted the need to "carefully calibrate" and clearly communicate policy decisions, according to the draft, the final version of which is due to be released on Monday. They also noted the scale of the refugee crisis, saying all states need to share the burden, including through refugee resettlement and other forms of humanitarian aid, while underscoring the importance of a political solution. They also endorsed the so-called "BEPS" measures to overhaul the global tax system. They draft communique did not directly address the fight against terrorism, which the G20 have highlighted in a separate document. (Reuters)
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The BRICS group of emerging nations called on the Group of 20 (G20) top developed and developing nations on Sunday (15 November) to strengthen their macroeconomic policy cooperation to prevent bad effects from a weak global economy and reduce risks to growth.
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Eating out, telephony and travel will become expensive from today (November 15) with the Government imposing 0.5 per cent Swachh Bharat cess on taxable services which is expected to yield about Rs 3,800 crore to the exchequer in the remaining months of the fiscal. With the imposition of the cess, service tax rate will go up from 14 per cent to 14.5 per cent on all taxable services. According to Revenue Secretary Hasmukh Adhia, the Government expects to collect around Rs 10,000 crore from Swachh Bharat cess for full year. So in the remaining months of this fiscal till March 31, 2016, the cess would yield about Rs 3,800 crore to the kitty. The Swachh Bharat cess would be levied only on the portion of taxable services (after abatement) and will go towards funding of the cleanliness drive, a pet project of Prime Minister Narendra Modi. This means that service tax on restaurant bills will go up from 5.6 per cent to 5.8 per cent following the levy of 0.5 per cent Swachh Bharat cess. The Finance Ministry has also clarified that the Swachh Bharat cess will not apply on those services for which payments have been received prior to November 15 and invoices raised before November 29. The decision to impose 0.5 per cent cess will translate into a tax of 50 paise only on every Rs 100 worth of taxable services. Explaining the provisions for the levy of cess, the Ministry said it would be calculated on the abated value or value arrived as per the Service Tax (Determination of Value) Rules, 2006. For restaurants or eating joints having air conditioning facility, the cess would be 0.5 per cent of 40 per cent of the billed amount i.e 0.2 per cent. "The cumulative service tax and Swachh Bharat Cess liability would be 5.8 per cent (14.5 per cent of 40 per cent) of the total amount charged," it said. Finance Minister Arun Jaitley had in Budget 2015-16 proposed to levy a Swachh Bharat cess of up to 2 per cent "on all or certain services, if need arises". "Swachh Bharat cess is not another tax but a step towards involving each and every citizen in making contribution to Swachh Bharat. The proceeds from this cess will be exclusively used for Swachh Bharat initiatives," the Finance Ministry had said while notifying the Swachh Bharat cess. The government had in Budget 2015-16 estimated to collect over Rs 2.09 lakh crore from service tax. The Rs 3,800 crore collection from the cess would be over and above that.
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Aung San Suu Kyi's opposition today won a parliamentary majority from weekend polls that will allow it to elect a president and form a government in a historic shift in power from the army. The election, the first Suu Kyi's National League for Democracy party has contested since 1990, saw a huge turnout that has yielded more than 80 percent of seats for the NLD. After a drip-feed of results from the Union Election Commission, the NLD today sailed through the two-thirds majority it needs to rule, claiming 348 parliamentary seats with a number of results yet to be declared. Government now beckons for Suu Kyi's party in a seismic change of the political landscape in a country controlled for five decades by the military. A comfortable majority gives Suu Kyi's party control of the lower and upper houses, allowing it to elect the president and form the government. A big majority gives Suu Kyi, 70, leverage in the political wrangling ahead with a military establishment that has been chastened at the polls but retains sweeping powers. Suu Kyi is barred from the presidency by a junta-scripted constitution, which also guarantees the army a 25 per cent bloc of seats. She has already vowed to govern from "above the president" saying she will circumnavigate the charter ban by appointing a proxy for the top office. The NLD "will be able to pass whatever law they want, they won't need to form coalitions, they won't need to reach out across the aisle," independent Myanmar analyst Richard Horsey told AFP. But during the transition the NLD will need to be mindful "to keep everyone on board," he added. Bouyed by the sweep of the polls, Suu Kyi called for "national reconciliation talks" with President Thein Sein and army chief Min Aung Hlaing. Both men have congratulated the NLD on its election performance and have vowed to abide by the result as well as help a peaceful transition of power. Thein Sein's ruling Union Solidarity and Development Party, which is made up of former military cadres, has been mauled at the election. Yet the president, a former general who swapped his uniform for civilian clothes to lead the government in 2011, has won praise for steering the reforms that culminated in Sunday's peaceful poll. UN Secretary General Ban Ki-moon congratulated Suu Kyi for her election win, but also hailed the "courage and vision" of Thein Sein for "leadership in the reform process". The international community has welcomed the election, with US President Barack Obama calling both Suu Kyi and the president to offer his congratulations.(PTI)
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