Economy

On September 28, the Centre reduced its borrowing estimate by Rs 70,000 crore to Rs 2.47 lakh crore in second half of fiscal 2018-19.

The United States has said it plans to impose new sanctions targeting Iran's oil sector on November 4. Indian refiners imported around 10 million barrels of Iranian oil in October, and its November shipments are expected to be lower.

The Monetary Policy Committee (MPC) voted 5:1 in favour of a status quo, with only Chetan Ghate voting for a 0.25 per cent hike.

The rupee extended its losses to hit a record low of Rs 74.23 after the RBI held its policy rate unchanged.

RBI Monetary Policy: The panel however, shifted its policy stance to 'calibrated tightening" from 'neutral'. Five of the six panel members voted to leave the rate unchanged.

The central government will cut excise duty on petrol and diesel by Rs 1.5 a liter, Finance Minister Arun Jaitley said in Delhi on Thursday, a day before the inflation-targeting Reserve Bank of India decides on monetary policy.

The government on Thursday announced a reduction of Rs 2.5 per litre in prices of petrol and diesel, granting some relief to the common man from the surging fuel prices. The Centre reduced the excise duty by Rs 1.5 per litre on petrol and diesel. Along with this, Re 1 per litre will be absorbed by state-run oil marketing companies, said Finance Minister Arun Jaitley. This will effectively lead to a cut of Rs 2.5 per litre in prices of petrol and diesel for the consumer, the finance minister said in a press conference.

A sub-index tracking new business orders - a measure of demand - declined to a seven-month low of 50.1 in September from 51.0 in August.

The move comes against the backdrop of rising crude oil prices in the international market which is near $85 to a barrel.

India buys the grain from local farmers at state-set prices to build stocks to run a major food welfare programme.

During the April-August period this fiscal, the country's exports recorded a growth of 16.13 per cent, while imports grew by 17.34 per cent.

On Thursday, banks were allowed to dip further into statutory reserves to help them meet their liquidity ratio requirement, a step that would boost cash available for lending.

The government on Wednesday raised import taxes on $12 billion of goods, from jewelry to footwear, as it sought to pare the current-account deficit from a five-year high. Electronic goods and gold are among India's biggest imports after oil and the rupee's slide to Asia's worst-performing currency has worsened the nation's finances as economic growth picks up.

The Nikkei Manufacturing Purchasing Managers' Index, compiled by IHS Markit, rose to 52.2 in September from 51.7 in August.

The drop in rainfall could lift food prices and stoke inflation, which is expected to harden in coming months because of rising fuel prices.