Now, pay for dirtying Ganga 🌊

Rs 50,000 

What is it? The penalty that will be imposed for dumping waste into the Ganga river between Haridwar in Uttarakhand and Unnao in Uttar Pradesh, one among a slew of directions passed by the National Green Tribunal (NGT) on Thursday to rejuvenate the water body.

Why is it important? A pet project of Prime Minister Narendra Modi, the ‘Clean Ganga’ project has progressed slowly with only $205 million spent till now as compared to the total commitment of $3.06 billion till 2020.

Tell me more: The environment regulator has declared a no-development zone 100 metres from the river’s edge (between Haridwar and Unnao) and dumping of waste within 500 metres from the river has been prohibited.

 

Rs 5,945

What is it? The net profit of Tata Consultancy Services (TCS), India’s largest software services exporter, in the first quarter of 2017-18, 5.8% lower on a year-on-year basis.

Why is it important? This is the 11th consecutive month when the firm has either under-performed or failed to meet analysts’ estimates. A survey of 20 analysts by Bloomberg had estimated TCS’ net profit to be Rs 6,203.5 crore. This is the biggest drop in profits in two years. A stronger rupee impacted TCS’ results even as concerns over US President Donald Trump’s order for a review of a visa program for skilled workers remain.

Tell me more: The company’s headcount was lesser by 1,414 people to 385,809 at the end of June 2017 compared to the previous quarter – a net decline in its employee strength for the first time since 2010.

 

80

What is it? The number of people who have died due to floods and landslides in three north-eastern states – Assam, Manipur and Arunachal Pradesh – so far this season.

Why is it important? As many as 58 districts have been affected in the three states. In Assam, around 2,500 villages have been submerged and over 17 lakh people have been affected. Many district headquarters in Arunachal Pradesh have been cut off from the rest of the country while its capital Itanagar is cut off from its main connecting road (NH-415).

Tell me more: Jitendra Singh, the minister for the Development of North Eastern Region said that his team has approached the Ministry of Health to take steps to prevent the outbreak of epidemics and also, with the telecom ministry for the restoration of communication lines.

 

Rs 10 lakh

What is it? The money McDonald’s Corp will have to pay Vikram Bakshi, managing director of Connaught Plaza Restaurants, its estranged joint-venture partner for North and East India, according to a National Company Laws Tribunal (NCLT) ruling on Thursday.

Why is it important? The long-brewing dispute between the JV partners had seen Bakshi being ousted as the chief in 2013. The ruling reinstates Bakshi as the MD, restoring all the powers of an administrator to him.

Tell me more: The ruling reiterated allegations made by Bakshi, including violation of JV terms and an attempt to buy him out at a low valuation. In the kerfuffle, Connaught Plaza Restaurants recently shut 43 of its restaurants in Delhi, citing failure to renew requisite licences.

 

Rs 70,000 crore

What is it? The monthly value of card payments at point-of-sale (PoS) terminals, according to a State Bank of India (SBI) research report.

Why is it important? The report claims this average (both debit and credit cards) would have taken another three years at 25% growth in card transactions at PoS terminals if not for demonetisation.

Tell me more: The greater focus on digital payments after demonetisation, which happened in November 2016, was supplemented by the addition of 1.18 million PoS terminals. The lack of PoS terminals had held back card usage earlier.

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Chart of the day | The 2 states where Aadhaar is below 10%

One of the factors that will influence adoption of the unified payments interface (UPI), the enabler of money transfers and payments over the mobile launched last week, over time is Aadhaar—the unique, digital biometric identity of every individual. This April, Aadhaar registrations crossed a billion, or a national coverage of about 85%. However, at a state level, the picture varies.

Notably, in north-eastern states, the Aadhaar coverage is significantly lower than other states. Assam (5%) and Meghalaya (6%) are the lowest. The low numbers in Assam, which has seen a lot of migration from Bangladesh, are on account of time being taken to update the National Register of Citizens (NRC), which ascertains citizenship.

Although Aadhaar is not intended as proof of citizenship, it aims to exclude non-Indians from its purview. But the delay also ends up harming Indians. As welfare transfers increasingly go cashless, riding on Aadhaar, beneficiaries in these states run the risk of being temporarily excluded from a cash transfer system.

* Percentage of population having an Aadhaar number
Aadhaar data is as of August 28
Andhra Pradesh and Telangana are excluded from this list, as AP was bifurcated in 2014, and separate population data is not available
In some states, Aadhaar coverage exceeds 100% as population data is for 2011
States arranged in ascending order of Aadhaar coverage
Data source: Census 2011 (population data), Unique Identification Authority of India (Aadhaar data)

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News in Numbers, August 8, 2016: Apple India sales decline, floods have killed over 300…

800,000

What is it? The number of smartphones Apple shipped in India in the April-June quarter of this year, according to a report.

Why is it important? This is a third lower than the 1.2 million smartphones the company shipped in the same period last year. These numbers do not look good at a time when Apple is betting big on India, even as its sales in China (its second largest market after the US) has slowed down recently. The Indian government relaxed some foreign direct investment norms a couple of months ago, where Apple was seen as one of the beneficiaries.

Tell me more: Apple’s loss seems to have been Android phones’ gain, whose shipments increased by over 28% to 29.8 million in the second quarter of 2016.

 

Rs 19 crore

What is it? The average overall pay package of the chief executive officers (CEOs) of 20 of the 24 private sector companies listed on BSE Sensex in 2015-16. The other four are yet to disclose this information.

Why is it important? This is almost double from the average CEO salary of Rs 9.9 crore in 2013-14 and a 35% hike from 2014-15’s average. This came during a year when the combined net loss of 11 BSE Sensex companies was Rs 33,905 crore, which far exceeded the cumulative net profit of 16 firms (Rs 23,525 crore) on this index. The three other firms posted a dramatic turnaround last financial year.

Tell me more: Of the six public sector companies on the BSE Sensex, details of only one firm was available, that of the chairperson of the State Bank of India, which was just Rs 31.1 lakh.

 

Rs 13,500 crore

What is it? The amount the government hopes to raise from public sector units (PSUs) buying back their shares in the next couple of months.

Why is it important? With the government having already garnered Rs 3,183 crore from stake sale in hydropower generation firm NHPC, employee subscription in Indian Oil Corporation and disinvestment in power utility firm NTPC in 2016-17, this is likely to take the total amount raised through this route to over Rs 16,000 crore – around 44% of the target the government has set from minority stake sale in PSUs this financial year. After missing its disinvestment targets for the sixth year in a row last year, these buy-backs could help the government achieve its target of Rs 56,500 crore in 2016-17 (with Rs 36,000 crore expected from minority stake sales and Rs 20,500 crore from strategic stake sales).

Tell me more: In June, the government had asked PSUs with a net worth of at least Rs 2,000 crore and cash balance of over Rs 1,000 crore to buy back their shares from the stock markets. A central public sector enterprise can seek to be an exception based on its financials and mentioning its capital expenditure plans.

 

> 300

What is it? The number of people who have died in different states such as Bihar, Assam and Uttarakhand due to floods in the recent weeks. Lakhs of them have been displaced.

Why is it important? Floods are an almost annual affair in the country during monsoon, which account for around 70% of India’s yearly rainfall. These occurrences are mainly as a result of poor drainage systems in urban areas with haphazard construction activities without due consideration to the hydrology of an area while in rural areas, it is due to bad policy decisions, climate change and man-made problems such as deforestation.

Tell me more: According to a 2015 United Nations report, India’s annual economic losses due to disasters is $9.8 billion, of which floods account for over $7 billion.

 

Rs 1,200

What is it? The proposed upper limit fee for issue of driving licences, up from Rs 320.

Why is it important? This is part of the proposed amendments to the Central Motor Vehicle Rules 1989, which is likely to make driving (any vehicle) more expensive. The charges for conducting a driving test is likely to increase to Rs 300 from Rs 50 while that for a twin-test (two-wheeler and four-wheeler) could be hiked to Rs 600 from Rs 50.

Tell me more: The other increases include hikes in cost of issuing smart-card driving licence, learner’s driving licence, international driving permit and introduction of fees for applying for changing details (such as residential address) in the licences. The states are allowed to levy additional fees for automation, technology and value-add services.

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How to capture every other fashion sale online 💃👫🏃

If you are Flipkart, you will do that by buying Jabong for $70 million – and have 50% market share.  Flipkart-Jabong deal is one of the five numbers we selected for you today. Please do read and let us know what you think.

Did you know that in its early years Flipkart grew primarily by word of mouth? The customers who liked its service recommended it to their friends.  If you like our newsletters, you can do that too. Please forward this link to those might be interested: http://howindialives.com/news/newsletter/

News In Numbers: July 27

0.5 times

What is it? The revenue multiple at which Flipkart bought online retailer Jabong. At $70 million, the buy price is about 50% of Jabong’s revenues.

Why is it important? Fashion and apparel segment is most profitable among all online segments. In addition, Jabong has reported gross profit margins. The deal is also an indicator of the valuation of firms in fashion e-tailing sector. In 2014, Flipkart bought Myntra forabout $300 million.

Tell me more: Once the deal is through, Flipkart will secure more than 50% market share in online fashion and apparel market in India. Amazon is also actively pursuing this space.

 1.2 million

What is it? The number of people affected by floods in Assam due to overflowing of the state’s main river Brahmaputra.

Why is it important? The situation has become worse in the last two days with half of Assam’s districts impacted. Nearly 1.27 lakh people moved into 322 relief camps in 19 districts so far, and 10 people have lost their lives.

Tell me more: 60 per cent of Kaziranga National Park, which houses one-horned rhinoceroses, is submerged because of floods. This has pushed the rhinoceroses into high grounds where they are vulnerable to poaching.

 

Rs 1.02 trillion

What is it? The amount of additional money government will spend this fiscal to implement the Seventh Pay Commission recommendations for central government employees.

Why is it important? This additional money in the hands of around 3.1 million employees will spur demand for consumer facing industries like cars, two-wheelers, durables etc., The top 25 cities will account for 38% of salary gains from implementing the pay commission recommendations.

Tell me more: Though the pay commission recommendations are restricted only to central government employees, the state governments would also be forced to increase salaries over the next two years.

 Rs 600 crore

What is it? The amount the government paid to external lenders between 2009-10 and 2014-15 for unused credit line as commitment charges.

Why is it important? This could have been avoided with better debt planning, according to Comptroller and Auditor General (CAG). India’s external debt – at $474 billion by end of 2015 – around this period was second highest among the Asia Pacific countries.

Tell me more: While external debt has grown, India (at 23%) also has among the lowest external debt to GDP ratios among the emerging economies

 2

What is it? The potential jail term for those who employ children, according to changes in child labor law  labour.

Why is it important? This is more stringent than the existing penalty for the violations, and might help bring down child labour – and along with Right to Education initiatives increase enrollment in schools. At the same time, the new changes allow children to work for their families and have brought down the number of banned occupations for adolescents. United Nations has warned it could adversely impact backward castes and tribals.

Tell me more: The Child Labour (Prohibition and Regulation) Amendment Bill, passed in Lok Sabha on Tuesday increased jail term for offenders to 6 months to two years  and or a fine of Rs 20,000 to Rs 50,000. Imprisonment can go upto three years for a second time offence.

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