News in Numbers: India plans 74% foreign investment cap in niche defence tech2 min read . Updated: 23 Mar 2018, 12:25 PM IST
In other news, the Parliament passed the Payment of Gratuity (Amendment) Bill, 2017, paving the way for doubling the limit of tax-free gratuity to Rs20 lakh
What is it? The trade deficit the US had with China in 2017: the US received goods worth $505 billion from China, while sending goods worth $130 billion to China.
Why is it important? On Thursday, US president Donald Trump said he had asked his trade department to impose tariffs on at least $50 billion of goods coming from China. This was Trump’s second move to wrest more favourable trade terms for the US, after the tariff on steel and aluminium.
Tell me more: Like the first move, this one too goes against the established global trade order, and has triggered fears of retaliatory action and trade wars. The Dow Jones fell 3% on Thursday, even as experts iterated that the trade deficit number was actually lower than $385 billion.
What is it? The number of cases related to the 2013 Muzaffarnagar riots for which the Uttar Pradesh government has reportedly initiated the process to withdraw them.
Why is it important? These include 13 murder and 11 attempt to murder cases. Some of the cases include charges under Indian Penal Code sections related to “heinous" crimes, which are given a minimum of seven years of jail time. The state will withdraw cases if they are “politically motivated", according to Uttar Pradesh minister of law and justice Brijesh Pathak.
Tell me more: At least 62 people died in the riots, with thousands losing their homes in September 2013. The then-state government ruled by the Samajwadi Party filed 503 cases against around 1,455 people in Muzaffarnagar and Shamli.
What is it? The amount up to which gratuity will now be tax-free.
Why is it important? On Thursday, the Indian Parliament passed the Payment of Gratuity (Amendment) Bill, 2017, to double this limit for purposes of calculating tax liability. Government employees will be major beneficiaries. It is in line with the Seventh Pay Commission doubling the gratuity limit for them to Rs20 lakh.
Tell me more: Gratuity is the monetary benefit received by employees who complete at least five years of continuous service in an establishment that has 10 or more persons are eligible to receive gratuity. It is paid for by the employer and is calculated in the following manner.
What is it? The reported investment by Indian Oil Corp. Ltd in the 2018-19 financial year.
Why is it important? This investment, which would be done using internal resources, would be to upgrade and expand refineries, which is important for India’s biggest oil refiner to maintain its lead. Private fuel refiners have increased their market share in diesel and petrol sales to 8.2% (from 0.2% in 2013-14) and 6.8% (2.3%), respectively, in 2017-18.
Tell me more: Last year, Indian Oil had said it would invest $4.7 billion over the next 5-7 years.
What is it? The foreign investment cap India plans to have in niche defence technologies under the automatic route, up from the current 49%. As of now, anything above the current limit is decided on a case-to-case basis.
Why is it important? This is to reduce dependence on imports and aim for self-sustenance in development and local manufacturing of indigenous weapon systems. India, which is the world’s fifth largest defence spender, is also the biggest importer of arms, accounting for 12% of global imports between 2013 and 2017.
Tell me more: The government is looking to increase domestic production in this sector by nearly three times to Rs170,000 crore by 2025.
howindialives.com is a search engine for public data