The US ratings multinational revised downwards its growth forecast for India to 4.9 % from 5.8% in 2019 -20. It also lowered the growth forecast for FY2020-21 to 6.3% from an earlier prediction of 6.6%.
Moody’s said in a report that the deceleration began as an investment-led slowdown, and now broadened into consumption, with financial stress among rural households and weak job creation among the key drivers of the weaker conditions.
ArcelorMittal said that it has completed the acquisition of Essar Steel India Limited (ESIL), which at Rs 42,000 crore is the largest stressed-asset deal to be closed in the country. The Mittal family scion Aditya Mittal would lead the venture, according to the sources.
It also announced the establishment of a joint venture, with Nippon Steel Corporation, called ArcelorMittal Nippon Steel India Limited (AM/NS India), which will own and operate Essar Steel.
Captive Power Plants (CPPs) in Odisha are in the throes of a severe coal crunch as production from the subsidiary of Coal India Ltd (CIL), Mahanadi Coalfields Ltd (MCL), has declined steeply for the months of September and October.
On an average, CPP-based industries are getting less than 50% of the coal against secured linkages and annual contracted quantity .
As many as 43 out of 85 coal blocks allotted after 2015 have yet to receive 159 clearances, mostly because operators have not taken necessary actions. These blocks were either auctioned or allotted to public sector companies by the government following cancellation of 204 blocks, including 33 operational blocks, by the Supreme Court in 2014.
Coal ministry data shows mine plans of eight blocks have yet to be approved as they are awaiting action from block operators. Environment clearances are pending for another 27 blocks. These include 17 blocks for which operators have yet to take necessary action.
Clearances from district authorities are pending for two blocks, approvals from state authorities are pending for four blocks and central clearances are awaited for three blocks.
The government will continue to intervene to boost India’s economy until it achieves the GDP target of $5 trillion, finance minister Nirmala Sitharaman said.
The government is working on expediting payments due to companies, putting more money in the hands of the people and addressing challenges due to lower tax receipts, which will yield results, Sitharaman said.