Trouble for Indian auto industry continued as January saw the steepest decline in passenger vehicle sales in the last four months. The Reserve Bank of India relaxed rules for Cash Reserve Ratio to encourage credit disbursed towards autombiles, residential housing, and micro, small and medium enterprises. A week after banning export of all personal protection equipment, as part of India's preparedness to face the coronavirus threat, the government has allowed the export of surgical masks and gloves, except synthetic rubber ones. Read for more top stories from the world of business and economy:
A total of 164,793 cars were dispatched to dealerships across the country last month, an 8 per cent decline as compared to same period in 2019. The sale of vans declined 28 per cent to 12,992 units.
Tata Motors is set to continue its product offensive that also now includes a slew of electric vehicles. It has already launched two new cars - the Altroz premium hatchback and the Nexon EV - this calendar year.
Union Bank's net interest income, the difference between interest earned and interest expended, increased 25.7 per cent to Rs 3,134 crore in Q3 FY20, as compared to Rs 2,493 crore in Q3 FY19.
Banks are allowed to deduct the equivalent amount of incremental credit disbursed by them as retail loans for automobiles, residential housing, and loans to micro, small and medium enterprises (MSMEs).
Corrective action came on January 8 after DGFT realised that the Harmonised System Codes that came under the export prohibition order included various items meant for general or non-medical uses.