MARKET MOVEMENT. Major Indices December 04, 2015 December 11, 2015 % Change. BSE Sensex 25, , (2.31) NSE Nifty 7, , (2.

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1 MARKET MOVEMENT Major Indices December 04, 2015 December 11, 2015 % Change BSE Sensex 25, , (2.31) Change NSE Nifty 7, , (2.20) INDIAN ECONOMY AT A GLANCE POLICY WATCH Cabinet approves Real Estate Bill Irrigation program approved for implementation MoU between India and United Kingdom for cooperation in energy sector Online tax rectification simplified RBI introduces cross-currency options in exchanges Cabinet approves Real Estate Bill Union cabinet has approved the Real Estate (Regulation and Development) Bill, It seeks to regulate both commercial and residential real estate projects. Also, a Real Estate Regulatory Authority will be set up to oversee real estate transactions. The bill makes registration of real estate projects and real estate agents with the authority mandatory as well as a mandatory disclosure of details of all registered projects, including those about the promoter, project, layout plan, land status, approvals, agreements along with details of real estate agents, contractors, architect, structural engineer etc. Irrigation program approved for implementation In order to enhance irrigation facilities in the country and also provide irrigation to all farmlands, the Pradhan Mantri Krishi Sinchayee Yojana has been approved for implementation across the country. Major objective of this programme is to achieve convergence of investments in irrigation at field level, expand cultivable area under assured irrigation, improving farm water use efficiency to reduce wastage of water, enhance adoption of precision-irrigation and other water saving technologies and introduce sustainable water conservation practices. Look for Business Bulletin on our website at Page 1of 5

2 MoU between India and United Kingdom for cooperation in energy sector The Union Cabinet has given its ex-post facto approval for signing of a Memorandum of Understanding (MoU) between India and United Kingdom on cooperation in the energy sector. Among other subjects, the areas of cooperation include Market reforms, regulatory structures and the role of competition in the supply and distribution of electricity, including regulations and incentives for renewable energy deployment; the integration of renewable energy into the grid; energy efficiency policies and practice, including industrial energy efficiency and vehicular fuel efficiency, etc. Online tax rectification simplified Central Board of Direct Taxes has simplified the process of online rectification of incorrect tax deducted at source (TDS) details filed in the Income Tax Return to help tax payers. A new facility has been provided for pre-filling of TDS schedule while submitting the online rectification request on the e-filing portal for easy correction and updating of such details. Errors due to incomplete TDS details in rectification applications were leading to delays in processing of such applications thereby causing hardship to the taxpayers. RBI introduces cross-currency options in exchanges The Reserve Bank of India (RBI) has introduced cross-currency pairs in the exchangetraded currency derivatives market in order to facilitate efficient hedging. The cross currency pairs introduced were Euro-US dollar, Pound Sterling-dollar and dollar-japanese yen. So far, only pairs with the Indian rupee were allowed and hence any participant hedging their exposure had to do so through two transactions. With the introduction of the dollar-yen pairs, the market becomes more efficient. INDUSTRY WATCH India's ad growth to remain steady in 2016 Nasscom to expand start-up warehouses India's IT services exports up 15% at USD 82 billion in FY India's direct selling industry may reach USD 9.7 billion by 2025 E-commerce firms to use government infra to access villages India's ad growth to remain steady in 2016 India is expected to hold on to its advertising growth rate in This comes even as other emerging markets, notably China, Russia and Brazil, are slowing. India's advertising growth rate for 2015 has been 13 per cent and the estimated USD 6.8 billion domestic ad market will grow at this rate in the next year as well. Double-digit ad growth will continue till 2018, with the total ad Look for Business Bulletin on our website at Page 2of 5

3 market expanding by USD 3 billion between 2015 and Television will largely fuel India's ad growth next year at 15%. Nasscom to expand start-up warehouses National Association of Software and Services Companies (Nasscom) would be opening four more tech start-up incubation centres in different parts of the country by March. At present, the sector body is running three such centres, which it calls start-up warehouses. The government of Maharashtra plans to open two start-ups in Mumbai and Pune. Hyderabad and Gurgaon are also expected to have such hubs. The initiative brings together key stakeholders of the system, including start-up incubators, accelerators, angel investors, venture capitalists, support groups, mentors, and technology corporations. India's IT services exports up 15% at USD 82 billion in FY Information Technology (IT) services exports from India, including IT, Information Technology Enabled Services (ITeS) and Business Process Outsourcing (BPO) services (excluding commercial presence), have increased significantly by 14.8% to USD 82 billion in FY over the previous year. Computer services exports constituted 72% of the total software services exports during the period. The remaining 28% was from export of ITeS/BPO services. US and Canada accounted for nearly 60% of total software services export in FY India's direct selling industry may reach USD 9.7 billion by 2025 The direct selling industry in India is expected to touch USD 9.7 billion by The department of industrial policy and promotion (DIPP) is also pushing for implementation of guidelines since direct selling empowers women, MSMEs and promotes manufacturing in India. The direct selling industry has been seeking clarity in definition and a regulatory framework for the industry. DIPP has already submitted the draft guidelines to Ministry of Consumer Affairs for the same. E-commerce firms to use government infra to access villages E-commerce giants are now trying to reach the rural market taking advantage of the government Digital India initiative. Leading e-commerce players like Flipkart, Snapdeal, Infibeam and mobile wallet major Paytm have signed MoUs with the government to reach far-flung areas. Ministry of Communications and Information Technology wants to connect e-commerce companies with its common service centres (CSCs) in villages. As many as 100,000 CSCs have already been set up and the government plans to add another 90,000 by the end of March. Look for Business Bulletin on our website at Page 3of 5

4 CORPORATE HIGHLIGHTS Sun Pharma gets USFDA nod for generic Gleevec Vodacom to buy majority of Tata Comm's Neotel fixed line business Inox Wind fully acquires Sarayu Wind Power Havells sells Sylvania stake for USD 203 million Bharat Forge, Rolls-Royce sign pact for supply of aero engine components Sun Pharma gets USFDA nod for generic Gleevec India s largest drug maker, Sun Pharmaceutical Industries, has got approval from the US Food and Drug Administration (FDA) for its generic version of anti-cancer drug Gleevec- Imatinib Mesylate tablets, 100 mg and 400 mg. These tablets are prescribed in treating chronic myeloid leukemia, where the bone marrow makes too many white blood cells. These are therapeutic equivalents of Novartis Gleevec tablets. For Sun, it could mean sales worth up to USD 300 million in the 180-day period allowed for exclusive market access. Vodacom to buy majority of Tata Comm's Neotel fixed line business Tata Communications Ltd will sell the fixed-line assets of its South African telecom subsidiary Neotel Pty Ltd to Vodacom SA, a subsidiary of Vodafone Plc, under a revised deal. The financial terms of the transaction were not disclosed. The revised deal excludes Neotel s wireless spectrum and licences. Instead, Neotel will offer mobile roaming services to all local mobile network operators, including Vodacom. Tata Communications, which holds 67% in Neotel, said that Vodacom and Neotel have submitted documents seeking approval for the revised transaction to the Competition Tribunal in South Africa. Inox Wind fully acquires Sarayu Wind Power As part of its expansion plans in Andhra Pradesh, Inox Wind Infrastructure Services Ltd, a wholly-owned subsidiary of Inox Wind Ltd has acquired 100% equity shares of Sarayu Wind Power (Tallimadugula) Pvt Ltd with effect from December 9, Sarayu Wind Power (Tallimadugula) Private Ltd has now become a step down subsidiary of Inox Wind Ltd. Havells sells Sylvania stake for USD 203 million Havells India announced today that it has sold 80% stake in Sylvania Malta, and Havells Exim Hong Kong to Shanghai Feilo Acoustics for USD 203 million. Havells had invested USD 148 million in both the subsidiaries. The company plans to complete the sale of 80% stake in both units. The remaining 20% in Malta to be divested in the next 5 years and rest 20% in Exim unit to Look for Business Bulletin on our website at Page 4of 5

5 be sold in 9 months from closing the first sale. Feilo is a leading listed company with key shareholding held by Inesa Limited, a government of Shanghai unit. Bharat Forge, Rolls-Royce sign pact for supply of aero engine components Auto components maker Bharat Forge Ltd has entered into a agreement with Rolls-Royce to supply critical and high integrity forged and machined components for a range of aero engines, including the flagship Trent engine. The flagship company of the USD 3 billion Kalyani Group has formalized a significant supply agreement for a long-term cooperation without disclosing the contract value. This award follows a period of collaboration over the last 18 months to define and secure the necessary level of stringent quality and process approvals. Look for Business Bulletin on our website at Page 5of 5