Cabinet clears draft Ninth Plan
The Union Cabinet today cleared the draft Ninth Plan involving a total public sector outlay of ₹8,59,000 crores at 1996-97 prices, with gross budgetary support pegged at Rs. 3,74,000 crores. The rest would be financed through internal and extra budgetary resources of central PSUs (Rs. 2,90,000 crores) and resources of States and Union Territories (₹1,95,000 crores). The total public sector outlay of Rs. 8,59,000 crores would comprise a Central Plan outlay of Rs. 4,89,000 crores and the combined Plan outlay of States and UTs of Rs. 3,70,000 crores.
GE Cap bid to buy out HDFC in Countrywide hits snag
GE Capital's plan to raise its stake in Countrywide Consumer Finance Services Ltd from the existing 55 per cent to 100 per cent by buying out the remaining 45 per cent equity held by HDFC, has hit a roadblock with the Department of Economic Affairs (DBA) clamping stiff conditions. The DBA, vide a letter dated January 5, has stated that GE may be allowed to raise its equity to a maximum of 75 per cent, with the domestic company retaining at least 25 per cent as per the existing norms laid down for non-banking finance company activities.
Buyback ordinance promulgated
The Government today announced that the Companies (Amendment) Ordinance (CAO), 1999 has been promulgated with effect from Thursday. The new ordinance, after incorporating certain modifications to the earlier Companies (Amendment) Ordinance, 1998, was cleared by the Cabinet on Tuesday.The Government had, in response to the suggestions and feedback from professionals and corporates on the earlier Ordinance dated October 31, 1998, made some changes through the Companies (Amendment) Bill (CAB), 1998.