Provident Financial News

NEW DELHI: The finance ministry is weighing a plan to provide credit guarantee cover to funds that NBFCs raise from banks and ramp up their microfinance operations, according to two people familiar with the development.The proposed one-time credit guarantee scheme will help non-banking financial company-microfinance institutions (NBFC-MFIs) access funds from banks easily and tide over a liquidity crunch in maintaining their lending to low-income households that lack access to traditional banking.The guarantee cover under consideration will be larger than the ₹7,500 crore cover that was offered during the pandemic. The new scheme is likely to be managed by the state-run National Credit Guarantee Trustee Company, which will cover and underwrite the lending risk to NBFC-MFIs arising due to factors outside the control of small borrowers.This will help NBFC-MFIs to draw funds on easier terms from financial institutions.

Air pollution in the National Capital Region (NCR) continues to dominate headlines this winter, highlighting the absence of any long-term strategy to deal with a deadly subject that is affecting millions of lives in and around India’s capital. Of growing concern is the fact that most other urban areas in India beyond the NCR are also generating increasing levels of air pollution, with the number of ‘good’ air quality days trending towards zero.

With India’s urban hubs struggling with creaking infrastructure and weak service delivery for bulging populations, the central government is drawing up a blueprint to give municipal administrators greater autonomy over finances and service delivery, while reducing reliance on state and central grants.The blueprint—expected to be unveiled at the upcoming Union budget—will focus on strengthening urban local bodies’ (ULBs’) own-revenue sources such as property tax and user charges, two government officials directly involved in the process said, requesting anonymity.It will also encourage ULBs—including municipal corporations, municipalities and nagar panchayats—to tap market-based instruments including municipal and green bonds to fund long-term urban investment.

First, trade pacts serve as instruments of political signalling, allowing India to deepen strategic partnerships while preserving strategic autonomy.Second, they function as tools for hedging risks in an uncertain global trade environment, helping diversify economic relationships and reduce over-dependence on China.Third, deeper engagements provide greater protection for investors by clarifying rules on investment, dispute settlement and regulation.Finally, bilateral agreements help pre-empt exclusion amid the formation of trade blocs that increasingly mirror geopolitical alignments.Our agreements with Oman and New Zealand illustrate this shift. Neither is a major merchandise trade partner.

New Delhi: The country’s second-largest battery manufacturer, Amara Raja Energy and Mobility Ltd, is betting on expansion in the US market as part of its bid to double the share of revenue from exports in the next five years.The Hyderabad-based auto ancillary firm is doubling down on building a local distribution network in the North American market to benefit from its edge in one of the advanced technologies in the lead acid battery industry to win incremental business at a time when tariffs in the US have brought uncertainty for Indian businesses, according to a top executive.“One of the most exciting opportunities, especially on the lead acid side, is building ourselves up in North America. That's where we see certain technology trends like a move towards AGM (Absorbent Glass Mat) batteries,” Harshavardhana Gourineni, executive director at Amara Raja, told Mint.“We're the only manufacturer in India that's supplying AGM batteries to the OEMs.

₹10,000 could be put in tax-saving mutual funds. The rest had to go elsewhere — PPF, insurance, NSC, whatever. The government, in its wisdom, had decided that equity mutual funds were risky and citizens needed protection from their own enthusiasm.

Mint had earlier reported that the central government was developing an incentive framework to improve financing options for electric trucks and buses, as limited access to affordable credit remains a key obstacle to India’s green mobility transition.About 4,000 e-buses are sold in India each year, according to data from the government’s Vahan registry. As per the latest publicly available annual report of the ministry of road transport and highways (MoRTH) for FY25, around 145,000 buses were operated by 61 state transport utilities.

Many investors look for dividend stocks to include their portfolios as dividends provide steady income and can contribute significantly to long-term returns. They also signal strong fundamentals and offer stability during market downturns.However, dividends should not be the sole focus when buying a stock.

thematic funds can provide targeted exposure to long-term structural trends that may not be adequately captured by diversified equity portfolios. In the right market environment, a well-timed sectoral allocation can enhance portfolio returns.However, experts caution that such gains come with elevated risks.

in support of the plan was widely backed, including by the Arab and Muslim-majority states in the region. It provided the UN mandate needed for the International Stabilization Force to help implement the plan, support the ceasefire, and avoid leaving a vacuum which Hamas could exploit.The resolution also emphasized the importance of increased humanitarian aid, which is still desperately needed in Gaza.

The government is discussing an extension or a completely new production-linked incentives plan for assembling mobile phones in India as the existing ₹40,995 crore scheme is set to expire in March, according to a top government official.A final call on the exact contours of the new or an extended mobile phone PLI scheme has not been taken, and the quantum of incentives has not been decided, S Krishnan, secretary at the ministry of electronics and IT (Meity), said in an interview.“There’s an analysis which shows that some degree of disability continues in the mobile phone electronics industry. While the situation has improved significantly, there still are areas that require improvement and support.

Dear reader, as 2025, a year of global tumult and volatility, rolls by, Mint's reporters and columnists look around the corner on what is coming in 2026—to help you know what to expect and prepare for it. Tell us what you think at [email protected] Centre is shaping a wider and more deliberate standards strategy for 2026, moving to realign Quality Control Orders (QCOs) with actual testing and laboratory capacity while easing friction with key trading partners.

Over 80% of global trade by volume and more than 70% by value moves by sea and is handled at ports, according to United Nations Conference on Trade and Development's (UNCTAD’s) Review of Maritime Transport. In India, about 95% of trade by volume and 68% by value is carried by maritime transport.

Even as Vodafone Idea has received a breather on most of its adjusted gross revenue dues, a near-term obligation remains. The telecom operator will need to pay ₹700–800 crore in AGR dues related to FY18 and FY19 over six years, including the current financial year, according to two officials familiar with the matter.This amount is outside the ₹87,695 crore in AGR dues as of 31 December 2025, which the government has frozen, and Vodafone Idea will pay it between FY32 and FY41.The reassessment process to arrive at Vodafone Idea’s final AGR liability is expected to take four to five months, one of the officials said.“In the Supreme Court’s 1 September 2020 order, the table of AGR calculations also included figures for FY18 and FY19.

lawsuits were filed in the last week of December by individuals in states including Arizona and California, who claimed they lost sensitive personal data such as financial account details, social security numbers, and addresses. Mint could not independently ascertain whether Cognizant intends to settle the claims.The 23 December complaint alleged that Cognizant did not disclose critical details of the cyberattack.“Defendants (Cognizant) have not disclosed the details of the cyberattack to Plaintiffs (complainants) or Class members, including the root cause of the data breach, the vulnerabilities exploited, and the remedial measures undertaken to ensure such a breach does not occur again.

tax-saving investments.Mid-March marks the final advance tax payment deadline, and by 31 March, you want to wrap up documentation and filings for the previous financial year. Completing these steps on time can help you avoid penalties and make the most of deductions available under Indian tax laws.For investment discipline, the first week of April (between 1 and 5 April) is the best time to make a lump-sum investment in Public Provident Fund (PPF), so your contribution earns interest for the full year.

The recent transformation of India's flagship rural employment guarantee programme puts a greater financial burden on states, highlighting a long-running source of friction in their relationship with the Union government.By law, the Union government collects direct taxes and shares it with states. But states say their share has not kept pace with the growth in tax revenues, even though they bear the bulk of social and development expenditure. States also argue that their autonomy is being eroded as the Union government forces them to co-finance centrally sponsored schemes (CSS) that they did not necessarily approve.Under the Constitution, only the Union government can collect direct taxes, with the Finance Commission (FC) setting the terms under which it is shared with states.

Tata Consultancy Services Ltd. is exploring gig-like hiring arrangements for hard-to-retain specialists in certain roles, signalling a shift as India’s $283 billion offshoring sector grapples with a talent crunch amid uncertainty caused by artificial intelligence.India’s largest information technology (IT) services company will consider allowing data architects and data scientists to log in for a few hours with the option to work elsewhere, according to a senior executive at the company, who didn’t want to be identified as the information is not yet public.“For instance, data architects do not need to work for 8 hours; their work often gets done in four hours, and then why should they not be allowed to work somewhere else? We will look at these sorts of gig options for skilled employees, and that will be the future of the workplace,” the executive said.The contours of this plan are still being finalised, and the company will have to factor in data privacy and client confidentiality concerns, the executive said.India’s software services providers mostly hire full-time employees.

Mint. They argue that the Centre’s recent record of meeting deficit targets provides enough credibility and momentum to navigate the next phase of consolidation.“The discipline built over the past few years gives us room to navigate the current volatility without losing sight of the medium-term path,” said one of the persons mentioned above, who spoke under the condition of anonymity.According to this official, the Centre expects to end FY26 with a fiscal deficit of about 4.3% of GDP, slightly better than the 4.4% target, lifted by stronger dividends from state-run financial institutions and banks, a hefty transfer from the Reserve Bank of India (RBI), and buoyant non-tax revenues.The second official acknowledged near-term turbulence but maintained it does not derail the trajectory.“If revenues remain broadly stable and we keep our capital spending disciplined and purposeful, the medium-term trajectory stays intact,” the official above said.Recent reports indicate the Centre will likely limit fiscal deficit to 4.1-4.2% in FY27, keeping it aligned with the glide path to the FY31 debt goal.The central government’s debt stood at 57.1% of nominal GDP in FY25, according to FY26 union budget documents, which proposed a shift to debt-to-GDP targeting.

New Delhi: Nearly two months after the cabinet cleared the export promotion mission (EPM) on 12 November, the government launched the market access support (MAS) intervention on Wednesday. The MAS will strengthen buyer connect, improve visibility of Indian products abroad, and support exporters, especially small businesses, in navigating entry into priority and emerging markets, the commerce ministry said in a statement.The MAS intervention will be implemented under the Niryat Disha sub-scheme of the EPM.

₹500 per child where creche facilities are not provided, and travel allowances for inter-state migrant workers."These changes reflect a strong emphasis on health, safety, and social security, and businesses should start preparing now to ensure smooth compliance once the rules are finalized," Gupta said.The draft central rules under the four labour codes provide clarity on several operational aspects. The code on social security rules specifies that gratuity will be calculated on ‘wages’ last drawn, excluding components such as annual performance-linked pay, medical reimbursements, stock options, and meal vouchers.