Prasanta Sahu

1 day ago | financialexpress.com | Prasanta Sahu

After months of dithering, the government may allow banks to levy merchant discount rate (MDR) charges on UPI transactions beyond a threshold. The move is in the wake of the need being felt to compensate banks and and payment service providers for their operational costs and investments in technology to ensure a secure payment infrastructure. Various options are being looked at, and a transaction threshold would need to be fixed, above which the transactions could apply, sources told FE.

3 days ago | financialexpress.com | Prasanta Sahu

Allegation of rampant misappropriation of funds under the flagship Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) may have cost West Bengal over Rs 22,000 crore in assistance under the Centre’s flagship scheme during FY23-FY25. The bulk of these funds have likely got redistributed among Tamil Nadu, Uttar Pradesh, Bihar and Maharashtra.

5 days ago | financialexpress.com | Prasanta Sahu

Loan defaults under the Emergency Credit Line Guarantee Scheme (ECLGS) are seen at just 2-3%, much lower than anticipated when the scheme designed to rescue micro, small and medium enterprises (MSMEs) and other businesses from the hardships during the Covid-19 period. Therefore, the Centre’s cost to meet loan defaults may be around Rs 25,000 crore or a third of Rs 75,000 crore estimated initially during the five-year repayment period through FY28, official sources told FE.

5 days ago | financialexpress.com | Prasanta Sahu

With the services sector facing a higher credit gap, the Centre is considering extending the credit guarantee cover under the newly launched Mutual Credit Guarantee Scheme for MSMEs in manufacturing, to select services sectors that support local production.

1 week ago | financialexpress.com | Prasanta Sahu

Investment was the key driver for the robust 7.4% GDP growth in the fourth quarter of FY25, even as private consumption moderated and government consumption expenditure contracted. In Q4FY25, gross fixed capital formation (GFCF) recorded a robust growth of 9.4%, a six-quarter high. The seasonal rush to meet their capex targets by both union and state governments, and a significant push from the private sector appears to have given a fillip to the investment demand in Q4FY25.