Page 11 - Banking Finance December 2022

ROUNDUP

years. We are on track to manufacture duce the tax burden on unit-holders, it Nifty Bharat Bond Index - April 2033 -
475 Vande Bharat trains in the next added. has been launched within the Nifty
three years and once they run success- Bharat Bond Index series, a release
fully there will be confidence in global said.
ESIC to invest surplus
markets about the product. The Vande
funds in stock market In December 2019, NSE Indices
Bharat trains meet all international
launched the first two indices in the
standards," he said. Labour and Employment ministry-
Bharat Bond Index with maturities in
backed Employees' State Insurance
The official said these trains have a
April 2023 and April 2030, and in July
Corporation (ESIC) accorded approval
rider index of three, which means no
2020, further two indices with maturi-
for investments of surplus funds in eq-
or minimal jolts for passengers, and
ties in April 2025 and April 2031 were
uity, however, restricted to Exchanged
noise level of 65 decibels, which is 100
launched.
Traded Funds (ETFs). Union Labour
times less than the sound produced in
aircraft. Minister Bhupender Yadav said, ESIC to "The upcoming Bharat Bond ETF which
upgrade and modernize its infrastruc- is sixth in the Bharat Bond ETF series
He also said that while the present
ture under the 'Nirman Se Shakti' ini- will track the newly launched Nifty
Vande Bharat trains are fit for broad
tiative. BHARAT Bond Index maturing in 2033.
gauge, the railways' manufacturing
The first Bharat Bond ETFs tracking
units will customise the trains to run on The announcement was made in the
the Nifty Bharat Bond indices were
standard gauges used by countries 189th meeting of ESIC held under the
launched in December 2019.
across the world. chairmanship of the labour union min-
ister.
Garuda Aerospace to
Raise TDS limit to Rs. In the meeting, ESIC accorded ap-
50,000: AMFI urges FinMin proval for investments of surplus funds make 1 lakh kisan drones
in equity, restricted to ETFs due to the
The mutual fund industry has urged the by 2024
relatively low returns on debt instru-
government to increase the threshold
Garuda Aerospace, a Chennai-based
ments coupled with the need to diver-
for withholding tax (TDS) on dividend drone start-up, launched India's first
sify.
to Rs. 50,000 per annum from the cur-
drone skilling and training virtual e-
rent level of Rs. 5,000 per annum. As per the PIB statement, the initial learning platform at its manufacturing
In a pre-Budget representation, the investment shall start at 5% and in- facility here.
Association of Mutual Funds in India crease up to 15% gradually, after a re-
Around 10,000 students joined
(AMFI) said the current threshold for view of two quarters.
virtually from 1,000 colleges in 500 dis-
TDS on dividend has been causing hard-
tricts across India. The start-up also an-
ship to retail investors particularly NSE launches new Nifty nounced 'drone yatra' and 'Operation
when TDS on banks' fixed deposit was
Bharat Bond Index 777' to educate and demonstrate
raised from Rs. 10,000 to Rs. 40,000 a
the efficacy of drones for different ag-
couple of years ago. The National Stock Exchange's subsid-
ricultural uses across 777 districts in
iary NSE Indices has said it has
The current regulations cover tax
India.
launched one more index under the
treatment on consolidation of
Nifty Bharat Bond Index series. Minister for Youth Affairs & Sports and
schemes; however, consolidation of
Information & Broadcasting, Anurag
"Options" within the same MF scheme The Bharat Bond Index series follows
Singh Thakur, inaugurated both the
are not covered, leaving ambiguity in a target maturity date structure
taxation in case options were to be wherein each index in the series mea- programmes at the Agni College of
consolidated. Technology Campus. He also launched
sures the performance of a portfolio of
the first of the 1,000 planned Drone
Extending the existing tax treatment 'AAA' rated bonds issued by govern-
Centre of Excellence.
to consolidation of options within an ment owned entities maturing in a
MF scheme would bring parity and re- specific year. Agnishwar Jayaprakash, Founder and
BANKING FINANCE | JANUARY | 2023 | 11