Sri Lanka must begin debt restructuring talks before bailout package can be sanctioned: IMF
MUMBAI: Benchmark indices rallied on Thursday with the Sensex and Nifty climbing nearly 2 per cent, helped by heavy buying in Bajaj Finance shares amid a mixed trend in the global equity markets.
The 30-share BSE benchmark jumped 1,041.47 points or 1.87 per cent to settle at 56,857.79. During the day, it rallied 1,097.9 points or 1.96 per cent to 56,914.22.
The broader NSE Nifty advanced 287.80 points or 1.73 per cent to 16,929.60.
Among the Sensex constituents, Bajaj Finance rallied the most by 10.68 per cent, followed by Bajaj Finserv that jumped 10.14 per cent after encouraging June quarter earnings.
The other gainers were Tata Steel, Kotak Mahindra Bank, IndusInd Bank, Infosys, Tech Mahindra and Nestle.
On the other hand, Bharti Airtel, UltraTech Cement, Dr Reddy’s, ITC and Sun Pharma were the laggards.
In Asia, markets in Seoul, Shanghai and Tokyo ended higher, while Hong Kong settled in the red.
Markets in Europe were trading lower during mid-ses
NEW DELHI: The manufacturing sector attracted foreign direct investments worth $21.34 billion in FY2021-22, an increase of 76 per cent year-onyear, the commerce ministry said on Thursday.
It said the government has implemented several reforms under the FDI policy regime across sectors such as insurance, defence, telecom, financial services, pharmaceuticals, retail trading, and e-commerce.
Singapore (27.01 per cent) and the US (17.94 per cent) have emerged as the top two investors during 2021-22 in India.
These were followed by Mauritius (15.98 pet cent), the Netherlands (7.86 per cent) and Switzerland (7.31 per cent).
“FDI equity inflows in the manufacturing sectors have increased by 76 per cent in FY 2021-22 ($21.34 billion) compared to previous FY 2020-21 ($12.09 billion),” it added.
The ministry said that despite the ongoing pandemic and global developments, India received the “highest” annual FDI inflows of $84.83 billion in 2021-22.
Top five sates receiving highest FDI in 2021-22 are Karnataka (37.55 per cent), Maharashtra (26.26 per cent ), Delhi (13.93 per cent ), Tamil Nadu (5.10 per cent ) and Haryana (4.76 per cent ). sion deals. The US markets had ended sharply higher on Wednesday.
“Positive cues from global markets following the Fed policy outcome, as well as domestic large caps’ upbeat earnings, drove the market rally. The Fed’s
COLOMBO: Cash-strapped Sri Lanka must begin debt restructuring talks with its creditors, including China before it can hope of getting the bailout package sanctioned from the IMF, the Washingtonbased lender has said.
The island nation of 22 million is in the midst of an unprecedented economic crisis that has led to severe shortages of fuel and other essentials.
Sri Lanka had a balance of payment crisis. The foreign exchange reserves ran dry and there was nothing they could use to pay for basic necessities and pharmaceuticals and energy, International Monetary Fund Chief Economist Pierre-Olivier Gourinchas said on Wednesday, while responding to questions on Twitter Space. decision was as expected, while their positive comment dismissing the possibility of a recession and hinting at a slower pace of rate hikes in the coming months boosted global sentiments,” said Vinod Nair, Head of Research at Geojit Financial Services.
Other gainers were Tata Steel, Kotak Mahindra Bank, IndusInd Bank, Infosys, Tech Mahindra & Nestle. On other hand, Bharti Airtel, UltraTech Cement, Dr
Reddy’s, ITC & Sun Pharma were laggards
Gourinchas said the IMF is deeply concerned about the economic situation in Sri Lanka and is looking forward to working with the new government headed by President Ranil Wickremesinghe.
“Sri Lanka needs to reach a debt restructuring agreement with creditors, including China before an agreement can be reached between the IMF and the Sri Lankan Government,” he explained.
We are deeply concerned about the impact the crisis is having, especially on poor and vulnerable groups. We have seen the reports. We have seen the difficulties they are facing, he added.
Sri Lanka owes China $6.5 billion in financing, including a credit bank swap and development bank loans, according to data from the Institute of International Finance.
Earlier this month, IMF Managing Director Kristalina Georgieva said it hopes to complete the negotiations with Sri Lanka on a bailout package “as quickly as possible” and the “moment there is a government” in the country.
Last week, Sri Lanka’s Parliament elected Ranil Wickremesinghe, an ally of Rajapaksa, as Gotabaya Rajapaksa’s successor, who resigned after fleeing to Singapore.
Sri Lanka needs about $5 billion in the next six months to cover basic necessities for its 22 million people, who have been struggling with long queues, worsening shortages and power cuts.
The country’s inflation topped 50 per cent in June after two years of money printing and an attempted float botched with a surrender requirement, which sent the rupee sliding to 360 to the US dollar from 200.
‘Sri Lanka owes China $6.5 billion in financing, including a credit bank swap and development bank loans’