ECB norms relaxed by RBI

Reserve Bank of India hiked the maximum limit to $3 billion for foreign borrowers under the External Commercial Borrowing (ECB) norms with an aim of increasing the foreign fund flow into the country.

"We will continue to look at various spaces of which ECB is one...not only to increase the foreign flow in the country, but also to improve business climate," Department of Economic Affairs Secretary Dr Arvind Mayaram said.

The High Level Committee on ECBs also permitted Foreign Institutional Investors to invest up to $5 billion in rupee bonds within the overall corporate bond limit of $45 billion.

MGNREGA now guarantees 150 working days

A ministerial panel has decided to increase the number of guaranteed work days under Mahatma Gandhi National Rural Employment Guarantee Act(MGNREGA) to 150 days for one year and cut interest rates on crop loans to 7 percent for one year, according to sources. These decisions were approved by the EGoM on drought headed by Agriculture Minister Sharad Pawar to offer some relief to farmers in drought-affected states.

Four states—Karnataka, Gujarat, Maharashtra and Rajasthan—have declared drought in many sub-divisions. Monsoon deficiency in the country now stands at 9 percent.

Finance Minister P Chidambaram, Petroleum and Natural Gas Minister S Jaipal Reddy and Urban Development Minister Kamal Nath, are also members of the EGoM. 

MGNREGA is the scheme in which the government assures 100 days of work every year to each household in rural areas.

Generally, people avail of the benefit under the scheme during the off-season for agriculture. The government has provided Rs 33,000 crore to implement the scheme this fiscal, as against Rs 31,000 crore in 2011-12.

Somalia's new President

Somalia’s Parliament elected a new President for the country- Hassan Sheikh Mohamud beat out the Sharif Sheikh Ahmed(present President).

Mr. Ahmed had been the favourite heading into the election, so the result is a surprise to a nation which is in a process intended to establish a stable government in the war-torn country.