What is it? The amount State Bank of India, the country’s largest bank, plans to raise from capital market in the coming fiscal.
Why is it important? It will help the bank to increase its capital adequacy ratio from 13.73% at present. It will also help in providing for bad loans. State Bank’s gross NPAs (non performing assets, or bad loans) stands at 7.23% of its total loans. Its chairperson Arundhati Bhattacharya recently said that resolution of NPAs is one of the key near term challenges for the bank.
Tell me more: Bad loans is a broader problem in the country, and Indian banks need $90 billion to meet Basel III standards, according to rating agency Fitch.
What is it? The maximum a cinema theatre can charge per ticket in Karnataka.
Why is it important? In the neighbouring Tamil Nadu, movie ticket price is capped at Rs 120. It was not the only populist measure that Karnataka, which presented its budget on Wednesday, took from Tamil Nadu. The state will open 198 “Namma Canteens” in the Bengaluru to provide breakfast for Rs 5, and lunch and dinner for Rs 10, similar to the hugely popular Amma Unavagam, state subsidized canteens, in Tamil Nadu.
What is it? India’s exports in February 2017.
Why is it important? It’s up 17.49% from same period last year. Imports went up 21.76% to $33.39 billion. The increase in trade comes at a time when there is widespread fear that the world is turning more protectionist, led by United States and Europe.
Tell me more: Trade deficit came down to $8.9 billion in February from a provisional $9.84 billion in January 2017. For the eleven months ending February trade deficit stood at $95.3 billion.
What is it? India’s logistics cost as a percentage of GDP.
Why is it important? High logistics cost is an indicator of inefficiency, and erodes competitiveness of a country. Nitin Gadkari, Minister of Shipping, Road Transport & Highways, said the government wants to address it and has unveiled a plan that includes aviation as a part of multi-modal logistics hubs in India. The 400 regional airports that the government is setting up across the country will have cold storage and other logistics solutions to make the sector more efficient, he said.
Tell me more: The government expects 15 logistics parks to be set up in the next five years, as a part of the larger Make in India initiative.
What is it? Share price of Snap, the company that runs Snapchat, at the close of Wednesday
Why is it important? Snap made its debut in the public market on March 2 at $24, and hit an intra-day high of $29.44 the next day. Its IPO was priced at $17, and its grand debut was seen as a reflection of the high valuation that the companies at the intersection of social, mobile and hardware commanded. However, many analysts believe that it’s over-priced, and see the decline that Snap saw in the four out of last five sessions as a necessary correction.
Tell me more: Snap’s market cap is at $24.06 billion. Unlike Facebook, which has users from across age groups, Snap appeals mainly to an younger audience. It had 161 million daily active users end of December.