By: Arpit

Gupta

Economic Times- Weekly

Presentation(6th Sep, 2010 To 12th Sep, 2010)

Banks' margins may slip, focus on i-

banking by 2020

Margins are likely to slip as wholesale debt markets

deepen and corporate customers access the wholesale

markets directly.

Infrastructure is likely to occupy a larger share of

balance sheets with banks estimated to have

accumulated infrastructure assets worth 20-25 trillion

rupees on their books by 2020.

State-run banks see a higher likelihood of their

margins being squeezed as compared to private sector

or foreign banks,

Banks may get to fix interest rate on

savings a/c

The Reserve Bank of India has moved a step forward in

its proposal to deregulate this interest rate.

Deregulation would mean that banks would have the

freedom to set the interest rate on savings accounts

based on their need for funds. At present, the rate of

interest on savings deposits is mandated by RBI at 3.5%.

Totally freeing rates could, in situations where there is a

virtual monopoly of banking, lead to lowering rates in

some areas while leading to increase in other areas.

Amway planning second facility in India

Amway India, a direct selling Fast Moving Consumer Goods

(FMCG) company, planned to set up their second

manufacturing facility in the country in South India, a senior

company official said.

For setting up the present manufacturing facility, the

company has inked an agreement with Baddi-based vendor

Sarvotham Care Ltd. About 85 per cent of the company's

products are manufactured by Sarvotham Care Ltd, Singh

said.

Amway India currently offers over 115 products in five

categories including nutrion and wellness (29), personal care

(14), home care (14), cosmetics (52) and great value

products (6)

Scouting for more global acquisitions:

Marico

FMCG player Marico Industries is looking at buyingout more companies and brands in the Asian andAfrican regions as part of its expansion plan.

FMCG player Marico Industries today said it is lookingat buying out more companies and brands in the Asianand African regions as part of its expansion plan.

In January, the company bought Malaysian personalcare brand Code 10 from FMCG giant Colgate-Palmolive for an undisclosed sum. It had also boughtSouth African over-the-counter health care brand'Ingwe' last month.

BSNL ready for mobile number

portability

State-owned Bharat Sanchar Nigam Limited (BSNL) is readywith the infrastructure to start mobile number portability(MNP) by the scheduled Oct 31 deadline.

MNP will allow users to retain their mobile telephone numberseven if they switch their operators.

The latest hurdle could be US-based Telcordia Technologieswhich, reports said, could move court to protect its MNPbusiness ambition through joint venture MNPInterconnection.

Besides MNP Interconnection, the other licencee is SyniverseTechnologies India, which has got approvals to implementMNP in India.

BSNL to lay optic cables connecting

Agartala with B'desh town

Bharat Sanchar Nigam Ltd (BSNL), will lay OpticalFibre Cable (OFC) through Bangladesh to connect thestate capital with Akhaura, the nearest town in theneighbouring country, BSNL sources said.

BSNL Tripura General Manager DebkumarChakraborty told reporters that the distance betweenAgartala and Akhaura was 12 km and the BSNL wouldlay optical fibre to connect the two towns.

Survey work was in progress for connecting Sabroomsub-divisional town in South Tripura with Chittagongtown in Bangladesh through OFC which would cover adistance of 75 km.

Thank you