Tag: India

What exactly are Treasury Bills?

Treasury bills are promissory notes issued by the central government for a fixed period extending upto one year as a tool for raising short term funds from the equity trading market. They are usually issued for a discount for a maturity period of 91/182/364 days. TBs are an ideal form of short term investment for banks and financial institutions as they are eligible as securities for SLR (Statutory Liquidity Ratio) purpose. They can be purchased by any person resident in India including individuals, firms, companies, corporate bodies, banks and financial institutions.

These Bills usually do not carry any interest rate and are issued by the government at discounted value. This means that a ‘500 bill may be issued at a discount to investors for a price of ‘410. After the maturity date is over, the government will pay ‘500 to the holder of the bill. The difference between the par value at which the bills are redeemed and the face value at which the T-Bill was procured is the net gain to the investor.

Role in the Money Market:

1) A fiscal role as an instrument for raising funds for governments short term needs.

2) A monetary role as an instrument with RBI to influence liquidity in the equity trading market.

These T-Bills are issued by RBI at regular intervals and issued at a discount to face value. They very effectively serve as effective short-term borrowing instruments for the Government. Even investors benefit from the same as they can park their surplus funds in these instruments and considerably reduce their market risk.

FEATURES:

1) One can purchase these shares for a minimum face value of ‘1 lac and there is no fixed ceiling on the maximum amount of treasury bills that can be purchased from the money market. The rate of interest is determined by market, based on demand for and supply of funds in the money market. Moreover these treasury bills are highly liquid instruments giving offering attractive yields to investors

2) Treasury Bills as an asset class have been approved for SLR (Statutory Liquidity Ratio) purposes and DFHI (Discount and Finance House of India) is the stock market leader in such instruments. The bills are the only security in which the repurchase option (Repo) or ready forward transaction are permitted. This is the most important instrument for hedging against volatility in call loan market.

So after analyzing these points, you can yourself see that TBs are all time favorite for those who want to play big in stock market. Since the minimum investment amount is ‘ 1 Lac therefore, it becomes a niche investment option too. But even big players sometimes loose in stock market, therefore its the perfect investment option for them too.

Nagpur, referred to as the ‘orange city’, is located in Maharashtra. It is a major city and contributes heavily to the state economy. In fact, it is known as the second capital of Maharashtra. It is emerging as the most promising location for investment in India. The infrastructure development is leading cause for Nagpur as an investment destination in India.

Many IT and IT related companies have established base in Nagpur. Great infrastructure coupled with skilled labor is the chief reason for Nagpur being held as a preferred destination. It fully satisfies the pre-requisites of the IT industry; i.e. power and connectivity. IT majors such as Wipro, Infosys, and HCL have already established their centers in Nagpur and many others are following suit. This industry offers great investment potential and growth prospects.

Nagpur also has many specialized and premier institutes. These top-notch institutes are the major reason why there is an abundance of professionals available in Nagpur. Foreign investors can also look at investing in the education sector owing to Nagpur’s excellent infrastructure. Also, the government has relaxed some FDI norms for investing which is an added stimulus to invest in this sector.

The real estate sector in Nagpur is going through a boom time. The MIHAN (Multi Modal International Hub and Airport for Nagpur) is a project that is going to boost the real estate sector further. The International Airport is also going to be set up as a part of the MIHAN project which will further boost the prospects of Nagpur.

MIHAN is also set to have an Information Technology Center, a captive power and a health center along with other manufacturing units. The infrastructure is supposed to be top notch and up to international standards. This project will transform the landscape of Nagpur. Thus, the real estate sector offers good prospects and potential for investment with more government initiatives such as these.

The transport industry is yet another area for foreign investment. To keep pace with the industrialization and establish Nagpur as a world-class city, the transport avenues are going to need up-grades. Hence, this sector has the potential for foreign investment and expertise.

The tourism industry is an area for investment, too. This sector has already garnered 120 million dollars. Nagpur has many popular tourist locations such as the Ambazari Lake, Balaji Mandir and the Sitabuldi Fort. Tourists visit Nagpur frequently, especially during the winter season. This is another major area one can look to invest in.

Agriculture is a significant contributor to the economy of Nagpur. Crops such as sugarcane, wheat, pulses, and cotton are grown here. Nagpur is especially famous for its oranges worldwide. Hence, the agricultural sector is also a great avenue for investment.

Owing to its strategic location, it can also be used as a multi-model trans-shipment center for agro and industrial commodities within India. It can also act as an international complex for cargo products.

Nagpur offers a plethora of options and foreign investors can look to invest in the above mentioned areas and avenues in Nagpur to reap multiple benefits.

Gold coins a form of gift as well as investment has always been around. The following article tells you how one can buy coins through an ICICI Bank, its advantages and convenience. From time immemorial, gold in India has been one of the most valuable metals and a profound sign of richness and prosperity. For Indians, it has been a symbol of love, respect and piousness. Gold is considered as a steady investment and is an integral part of all occasions in India. It’s a perfect gift for people of all age groups and all occasions. Gold being such a valuable entity, ICICI Bank has come up with unique golden coins that can be bought online as well as through all their branches.

ICICI Bank is one of the first banks in India to adopt this system of selling gold through banks. India being the largest buyers in world, the demand of authentic coins is forever there. Coins are often looked upon as gold investment and hence factors like reliability and authenticity of the coins are always of great importance. Gold coins ICICI come with reliability and convenience which are the two major factors that any customer would look for when they are looking to buy coins of gold.

Gold Coins ICICI are imported from Switzerland. All coins are accompanied by 99.99% Assay certification which signifies the highest level of purity. These coins are available in 0.5g, 1g, 2.5g, 5g, 8g, 20g and 50g categories. The rates of these coins are based on daily prices in the international bullion market. Hence to buy such coins, one just needs to know their needs and the right denomination of the coins they would like to buy. The best part about ICICI coins is that they are available in tamper proof packaging that can be customized as per the requirement.

Gold coins ICICI can be bought in all ICICI Bank outlets and ordered online too. Gold investment in India is a recent trend and is gaining momentum due to the convenience and ease of the process. To buy such coins online, one just needs to go to the website and follow instructions as given. These coins of ICICI are available throughout the year and hence can be bought anytime – online or through any of the ICICI Bank outlets. To aid further convenience, these coins can be bought through various modes of payment like cash, credit card, net banking, Cheques etc.

Nagpur, famous for its oranges, has successfully emerged as the hub of real estate. The success can be attributed to the over all commercial and residential development of the city. Nagpur, only a milestone behind Mumbai, has attracted and established medium to heavy industry, IT , ITeS and BPO sector to the city. The city has a load of advantages in its favour. Nagpur is one of the most central cities, with abundance of affordable land and labour, which works out in favour of most companies to set up a unit in the city.
In the past 5 years, IT, ITeS and the BPO sector have made inroads in to the city with companies like Satyam, Hexaware, TCS, and WIPRO setting up their facilities in the city. Besides, the Special Economic Zone will host companies in various sectors in the state. One of the most pronounced investments in the city includes that of Boeings USD 100 million maintenance, repair and overhaul base for Asia. This project will lead to a number of job opportunities, talent movement to the state and thus residential development around the site of the project.
The Airport
One of the most talked about projects, the Airport, is the largest economic development project underway in India. The project brought along industry and real estate interest to the city. The projects attempt to make Nagpur, one of the most central locations in India into a cargo hub with the development of the Cargo airport. The project integrates road and rail connectivity. Project consists of two parts namely International airport to act as a cargo hub and a Special Economic Zone with residential zone covering a total area of 40.25 sq. km on the southern end of Nagpur. Spread over 3310 hectares, the MIHAN project will utilize 1200 hectares exclusively for the airport. Since the launch of the project in 2006 there has been extensive commercial and residential development in the city. This also led to a surge in prices in the real estate in the city.
Residential Property in Nagpur
Once a dormant city, Nagpur has made good progress with Malls sprawling up and city coming alive, day and night. Dhantoli, Wardha, Marathahalli, Shankar Nagar and Amravati Road, Manish Nagar have seen extensive residential development and command good rates. The city has not only seen development in the city areas but has also expanded in the north, east and west.
The city has seen massive push in prices owing to the rising demand. Civil Lines remains the citys premium residential neighbourhood, fetching highest rates
Not only that, the city is seeing development integrated townships. as there is abundance of supply there are builders booking large pieces of land. Satyam Group and Sahara Group have shown interest in developing such projects, while DLF has undertaken to develop the SEZ Park in the city and aims at generating over 50000 jobs in the city.

Some of the local builders that have undertaken residential projects include Hindustan Builders, Nikunj Builders (P) Ltd, Roshni Developers and Shewalkar Developers Ltd.
Commercial development in Nagpur
Sky rocketing prices in the commercial real estate sector is the talk of the town in the city. Some of the most intriguing deals at the highest prices include the sale of land by The Maharashtra Airport Development Company (MADC) at Rs. 80 lakh an acre. Within the city the prices are even higher. Even at this price the demand has been steadily moving up with absorption around 50-60%. The logistics park has attracted investment may times over the original investment.
8 million sqft of space in Nagpur is covered with shopping malls. Matching the needs of the residential development and increasing need for sophisticated shopping formats, WHC Road, Itwari and Dharampeth have seen high class retail development. Also, the citys shopping needs are met by markets in Sitabuldi, Sadar, Central Avenue, and Gandhi Baug. There are also another 6-8 shopping malls planned in the city to come up in the by the end of this financial year. These are expected to be located in Grain market in Wardhman Nagar, Jaripatka, Netaji Market and Water Works Department in Sitabuldi, Gokulpeth Market and Pachpoli Flyover near Kamal Square.
Investors in the city

NRIs have shown a special interest in the city, as it is one of the most lucrative tier II city in India. Also, a lot of people who moved out of city to the metros can now plan and move back to the city. This category looks at real estate with high interest.

How to invest

It is easy to find out about the city through the internet. One of the easiest ways is to log onto any site and find about the builders and brokers in the city and contact them through the site. As currently the supply is good, once the first steps are taken finalizing the property will not be much of a hassle.

Nagpur is in its most attractive phases right now and will continue to be the hotspot for coming few years.

Indore is a central Indian state that can best be described as the commercial capital of the Indian state of Madhya Pradesh. It’s also the largest city in Madhya Pradesh.
Economic State

Indore has a diverse population that makes it a favored region when it comes to products which are tested as a fresh concept. It is one of the fastest growing tier-II cities in India and is considered as a center for commerce in the central parts of the country. Indore is also becoming an IT hub with many IT industries flourishing in the state.

The immense growth of Indore has made it the highest contributor of tax revenues in the state. To efficiently harness the potential that is held by the exports in software industry, the government is setting up many Special Economic Zone (SEZ) projects in Indore.

Indore is also characterized by more conventional production and manufacturing industries. The textile industry is a major industry of Indore. Modern shopping and trading areas have come up as a result of the economic growth of the city and many shopping centers and malls are popping up across the city.

Investment

With numerous land development projects on the way, Indore is rapidly becoming the real estate hub of the country. Quite obviously, Indore has the highest real estate values in the state of Madhya Pradesh and after the completion of some major development projects; the real estate value is expected to soar further.

To encourage the participation of IT companies, the state government is planning to set up technology parks and SEZs to accommodate the IT industry in a dedicated zone within Indore. Urban development project is also underway to meet the requirements of individuals moving into the city for work purposes.

In recent years, the state government has also introduced many policies to encourage the development of Indore. The MP State Industrial Policy, 2004, provides specialized packages for loss making units. It also offers many efficient incentive schemes and aims at developing industries in Indore through a ‘cluster’ approach. The state government has acknowledged Textile, Pharmaceutical, IT, Auto Components and Food Processing as the priority sectors for the city.

With the constitution of industrial clusters around Indore, its economic geography has expanded rapidly in the recent years. The major economic clusters around Indore are located in Kheda, Sanwer, Pithampur and Dewas.

Due to all these reasons, Indore has become a hot destination for the investors.