FDI in multi-brand retail comes into effect

NEW DELHI, Sept 20: Showing resolve for reforms, the Government on Thursday notified its decision to allow global retail giants like Walmart to open stores in India, on a day several political parties called Bharat Bandh to protest against the policy.

With this notification, multinational retailers can invest up to 51 percent to open stores in 10 states and UTs which, till date, have agreed to implement the decision.

"51 per cent FDI in multi-brand retailing, in all products, will be permitted ...," a notification by the Department of Industrial Policy and Promotion (DIPP) said on Thursday.

It said the decision will take immediate effect.

The DIPP also operationalised September 14 Cabinet decisions to relax the sourcing norms for foreign retailers investing beyond 51 percent in single-brand retail and allow 49 percent FDI by foreign airlies in the domestic carriers.

Besides, the decisions on permitting 49 percent FDI in power exchanges and increase in foreign equity cap from 49 percent to 74 percent in the service providers like DTH in broadcasting sector have also been notified.

In the most controversial area of FDI in multi-brand, the DIPP said the State Governments and UTs would be free to take their own decisions.

"Therefore, retail sales outlets may be set up in those States\UTs which have agreed, or agree in future, to allow FDI in MBRT (multi-brand retail trading) under this policy".

Minimum amount to be brought in by the foreign investor would be USD 100 million and outlets may be set up only in cities with a population of more than 10 lakh.

At least 50 percent of FDI should be invested in 'back-end infrastructure' within three years of the first tranche.

Moily inaugurates new building of Canara Bank's Rural Self Employment Training Institute

CHICKBALLAPUR (Karnataka), Sept 16: Union Minister of Corporate Affairs & Power, Dr M Veerappa Moily inaugurated the new campus of Canara Bank Rural Self employment Training Institute here on Sunday. He inspected the campus which has been grant assisted by the Ministry of Rural Development and the Government of Karnataka. The new state of the art campus is spread in over an acre of land on NH-7 comprising of over 15,000 sq feet constructed area.

Recalling his association with Canara Bank, Dr Moily said that Canara bank has assiduously practiced the vision of its illustrious founder Sri Ammembal SubbaRao Pai. He informed that the districts of Chickballapur and Kolar are facing severe drinking water problem for which solution is being provided by both Union and the state governments.

Applauding the infrastructure created, Dr Moily remarked that RSETI Chickballapur is the Best Rural Self Employment Training Institute of Karnataka.

Union Minister of State for Railways K H Muniyappa was the chief guest on the occasion.

Addressing the gather, Mr Muniyappa applauded the contribution of Canara Bank and its sponsored Pragathi Gramin Bank in enabling the people of the districts of Chickballapur and Kolar districts especially from rural and economically backward background.

The Minister appealed to the gathering to take advantage of newly created training Institute in upgrading their livelihood skills.

Chairman & Managing Director of Canara Bank, Mr S Raman, welcomed the dignitaries and the audience. He informed that Canara Bank is a peoples Bank and has practiced its serving the Society initiatives for more than a century of its inception.

He said Canara Bank has been a pioneer in initiating and implementing multifaceted and innovative programmes aimed at the development of people from the lower strata of the society. The initiatives of the Bank are multifarious covering different spheres like - Training unemployed youth, Primary Health, Rural Clinic Service Drinking Water, Community Development, Empowerment of Women and various relief and welfare and developmental initiatives.

Bank is pioneer in establishing RUDSETIs and has established 58 such Institutes spread in 16 states of the country. Newly inaugurated campus is one among them and Bank endevours to provide all kind of comfort and training facilities to the rural people.

Mr K P Bache Gowda, MLA, Chickballapur, Mr N Sampangi, MLA Bagipalli, Mr P Shivshankar, MLA Gauribidnur, DC Chickaballpur, ZP President Chickballapur, Senior Officers of Canara Bank and Pragathi Gramin Bank, a large number of Self Help Groups and over 1500 people participated in the programme.

Canara Bank organises first meet on e-Governance in Banking sector

By Deepak Arora

BANGALORE, Aug 31: Canara Bank, along with Central Bank of India and IBM, conducted a first-ever conference on e-Governance in the Banking sector in the IT capital of India today.

In his inaugural address, Canara Bank Chairman-cum-Managing Director S. Raman highlighted the significance of e-Governance, contextually, in view of the
increased awareness and heightened consciousness and its immense
potential in the Indian economy.

Mr Raman said while invention has always been important for staying ahead of the competition, the significance of innovation has greatly increased in recent years. Going forward e-Governance has to be an integral part of this scheme of innovation.

Top executives of all the Banks, both Public and Private, participated in
the conference.

Vigilance commissioner R. Srikumar was the guest of honour and main speaker. Mr Srikumar dwelt at length on the need for a clear Roadmap with IT as enabler in the Banking sector and use of e-Governance platform by officers at different levels in banks.

The august gathering had the privelage of hearing to eminent speakers namely M.Balakrishnann, COO NACI, S. Sadagopan, Director IIIT, Dr.K.Ramakrishnan, Chief executive IBA.

The address was followed by a high level discussion and anchored by
none other than H. Krishnamurth, Research Scientist I.I.SC and Shakthi Saran of IBM.

Mr M.V.Tanksale, the CMD of Central Bank of India in his closing address stated that the performance of governance and measurement of accountability will increase with implementation of e-Governance projects.

It calls for a change in existing processes, work culture and improvements in skill set to implement successful e-Governance projects. The goal can be reached by moving forward in smaller initiatives and measuring the success of these small steps, he added.

A compendium titled 1st Annual conference on e-Governance and MIS in Banks – The Road map to Convergence – Government, Citizens and Institutions was released during the conference.

Canara ED Gupta launches life cover for Savings Bank holders

By Deepak Arora

BANGALORE, Aug 21: Canara Bank, a leading nationalised Bank, has launched a new product Canara Freedom Suraksha, a Life Insurance cover of Rs one lakh for all its savings bank customers from August 21.

Speaking to newsmen here, Mr A K Gupta, Executive Director of Canara Bank, said that this facility is being extended as a value added service to the customers at a very nominal premium.

He said the scheme was aimed at helping the deprived class to get Life Insurance at affordable rates with hardly any documentation.

Mr Gupta said the cover is extended without any medical test but merely on a declaration of good health by the customers and covers both natural and accidental death.

Canara Bank has launched this facility in association with its four-year joint venture company “Canara HSBC Oriental Bank of Commerce Life Insurance Company” (CHOICe).

Canara Bank holds 51 per cent share in the venture; HSBC Insurance (Asia-Pacific) Holdings Ltd, 26 per cent; and Oriental Bank of Commerce, 23 per cent

Mr Gupta said all savings bank customers of Canara Bank across the country are eligible for cover and customers are requested to utilize this facility by contacting their respective branch offices.

He said “we will tap our customer base of 4.5 crore through promotions across our 3,600-odd branches in the country.”

A policyholder in the age group of 18 to 35 years will need to pay an annual premium of Rs 177; in the 36-50 age bracket, Rs 366; and in the 51-59 age-group, Rs 988.

Canara Bank bags Best Public Sector award

By Deepak Arora

NEW DELHI, Aug 20: Canara Bank, a leading nationalised Bank, has been adjudged the Best Public Sector SME Banker Runner-up (Large) by FINWIZ 2012 instituted by the The Sunday Standard publications. The Awards were distributed at a glittering function held at New Delhi.

Mr T Sreekanthan, General Manager of Canara Bank Circle Office, Delhi Circle, receiving the Award on behalf of the Bank, from Mr Anand Sharma, Union Minister for Commerce and Industry, here at a glittering award ceremony in the presence of several eminent bankers and industry representatives. C Rangarajan Chairman Prime Minister’s Economic Advisory Council was also present on the occasion.

Winners were identified after a stringent survey of CEOs across all the 78 Scheduled Commercial Banks operating in India. The research was conducted by Indicus Analytics, India's premier economic research agency for The Sunday Standard. The research used quantitative and qualitative indicators, published data and primary surveys across bankers, regulators, academia and banking experts. Forty four variables were chosen, covering four aspects of banking - Sustainable growth, Sustained profitability, Good work environment and Contribution to inclusive and broad-based growth of the economy.

ING Vysya Bank was awarded the "Safest Banker".

Commenting on the recognition conferred on ING Vysya Bank, Mr. Shailendra Bhandari said, "Banking at the core is about trust and demands the highest level of integrity. We are very proud to receive this recognition, especially in the current times. This is a validation of our focus on doing business the right way and corporate governance. "

In 2011, ING Vysya Bank was ranked among the Top 5 Most Trusted Private Sector Banks by Brand Equity, Economic Times.

The J&K Bank was awarded ‘Best Banker in Financial Inclusion and Customer Friendliness’ and declared runner up for ‘Best Banker in Priority Sector Growth and Agricultural Credit’.

The awards were received on behalf of the Chairman and CEO, Mushtaq Ahmad by the President and Zonal Head, Abdul Hamid Banday.

Notably, the CEOs of all 78 Scheduled Commercial Banks operating in India were considered for the rating. The survey has rated Chairman and CEO Mushtaq Ahmad as top ranked CEO for being ‘accomplished in all aspects of banking’. The survey has highlighted his skillful leadership qualities by mentioning the bank’s all round and consistent growth in its operations under his dynamic leadership. Since his taking over, the bank’s business turnover has increased by over Rs.24000 crore, going from Rs.62,000 crore in September 2010 to Rs.86,424 crore in March 2012. The bank posted an all time high profit of Rs.803 crore for the financial year ended March 31, 2012.

In succinct, the surveyors have hailed the J&K Bank’s contribution in facilitating the workings of the economy and at the same contributing to its growth and dynamic by nurturing entrepreneurs and innovation.

Argentina looks to boost shale oil, shale gas production by way of China

AUG 6: A net energy importer for the first time in almost 20 years, Argentina is looking to boost output, in part, by seeking foreign partners to help unlock what the country sees as its vast unconventional oil and gas resources.

A few large oil and gas companies including ExxonMobil, Apache, Total, EOG, and Chevron have already acquired large blocks prospective for shale oil and shale gas in the country, but with a recent shake up in management at YPF SA, the stage may be set for additional developments.

In May, following allegations that YPF's largest owner, Spain's Repsol, invested insufficiently in production, the Argentine government moved to seize control of the company, appointing former Schlumberger executive Miguel Galuccio as CEO.

Repsol denies the allegations and analysts speculate capped prices and cloudy governmental policies as known obstacles for foreign investors. In fact, Bloomberg recently cited Argentina as "the most-sued nation on earth." Still, the country looks forward. In its line of sight—sizeable, mostly untapped shale gas reserves.

Argentina's Neuquen Basin, with its proven oil and gas in widely distributed and extremely thick shales, has become a key target for development. The current shale target is the Vaca Muerta, but the Los Molles and Agrio are prospective targets, as well. Tight sandstone formations such as the Mulichinco are also being explored.
As the Vaca Muerta is reportedly similar to the Eagle Ford and Haynesville plays in the US, it stands to reason that companies finding success in those plays may swap their expertise in return for a chance at repeat successes internationally. A few North American companies are already looking to Argentina as a source for unconventional resources.

In November 2010, Canada's Americas Petrogas Inc. entered into an agreement with subsidiary of US-based Apache Corp. to explore the Huacalera block in the western region of Argentina's Neuquen Basin. During its annual investor day in June, Apache provided details about its liquids-rich portfolio, including a reference to its 450,000 acres in the Vaca Muerta and estimates of net potential recoverable resource in the play of nearly 800 million boe.

America's Petrogas also has an agreement with US-based supermajor ExxonMobil. In late August 2011, ExxonMobil signed a farm-in agreement with America’s Petrogas for a 45% stake in the company’s four 'Los Toldos' blocks in the Vaca Muerta. The US company committed to fund $53.9 million in the exploration phase, along with a further $22.4 million should the block reach the exploitation phase.

Argentine state-run YPF SA is looking monetize its interests in unconventional resource plays through similar partnerships, and it appears that the company will begin its effort in China.

According to a recent YPF statement, CEO Galuccio will travel to China in September to discuss potential partnerships as a means to increase conventional and unconventional output.

Eagerly working to secure its energy future, China has already shown interest in Argentine assets. In 2010, China Petrochemical Corp. paid $2.45 billion for US-based Occidental Petroleum Corp.'s unit in Argentina. The deal came after CNOOC’s $3.1 billion purchase of a 50% stake in Argentina-based Bridas Energy Holdings.

Officials at an initial meeting to discuss the visit expressed a common point of view. The officials considered it "very important to move forward with YPF's enormous potential in its shale oil and shale gas reserves, at its Vaca Muerta field, with the international development vision of Chinese companies," the statement said.

In June, YPF outlined a 5-year, $7 billion plan—to be funded mostly with cash flow, but with the help of strategic partners—to increase production.

Roughly $1.36 billion is expected to test unconventional oil and gas extraction techniques in the short-term, with an additional $12 billion earmarked for the five years following should the tests prove successful.

According to KPMG, Argentina has a "well-developed gas distribution infrastructure from natural gas operations, which has sufficient spare capacity to support new investments in shale gas. However, it lacks the technology, equipment and services required to support large-scale production. The industry's success hinges on the availability of capital, the development of a supplier base, and the growth of a skilled labor pool."

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