The government is planning to announce a new Land Acquisition Act and relief program for land acquisition. They are still working out details for acquiring land needed for infrastructure projects like roads. A new consumer price index system will provide separate rural and urban inflation indices for each state, compiled into a national index starting in January. The Reserve Bank of India imposed a six month trading ban on three foreign banks - Standard Chartered, Societe Generale, and Caylon - as part of an investigation into irregular bond trading. Food inflation fell for the third straight week to its lowest level in 12 months. The securities market regulator SEBI is planning changes to restrictions on advantages some investors get from liquid fund cut-off times.

1. Weekly News

2. Land Acquisition Act Likely Soon
• The centre will announce the relief and rehabilitation
programme for land acquisition. Government is planning
to have land acquisition act soon but there are still some
areas where land acquisition is inevitable like the roads
sector.
• Roads widening will require land besides existing roads.
Hence government is in talk to think upon this factor
before implementation of the act.

3. New CPI index to be based upon
State Stats
• The new consumer price indices set to be rolled out from
January will be a ground up compilation of inflation with
price index for each state adding up to a National Index.
• From January onwards each state will have two
consumer price indices one for rural and another for
urban areas. These indices will be added in National
Rural Retail and Urban indices.

4. RBI bans 3 MNC banks from
trading in gilts for 6 months
• The Reserve Bank of India has pulled up some foreign
banks in India amid investigations into circular trading in
Government Bonds.
• The Board of Financial Supervision has decided to
impose certain restrictions on the market operations of
these foreign banks. The Central Bank has decided on a
six month trading ban on three foreign banks. Standard
Chartered Bank, Societe Generale and Caylon are
among these banks.

5. Food Inflation falls for third straight
week
• Food inflation eased for the third week running to the
lowest level in 12 months. Inflation for food items stood
at 12.85% for the week ended October 23 declining from
13.75% in the previous week.
• Index for food item declined by 0.2% reflecting an actual
decline of prices due to fall in the prices of pulses, fruits
and vegetables.

6. MFs irked by SEBI to check ‘Smart’
Investing
• The mutual fund industry is taken aback by the
Securities and Exchange Board of India’s plan to take a
relook at a system that allows investors to take
advantage of the cut-off timings for accepting cheques in
liquid funds.
• SEBI may change system where investors mostly
corporate put money in liquid schemes usually on Friday
or Monday before 12pm to get the previous day’s NAV.

7. MFs irked by SEBI to check ‘Smart’
Investing
• The mutual fund industry is taken aback by the
Securities and Exchange Board of India’s plan to take a
relook at a system that allows investors to take
advantage of the cut-off timings for accepting cheques in
liquid funds.
• SEBI may change system where investors mostly
corporate put money in liquid schemes usually on Friday
or Monday before 12pm to get the previous day’s NAV.