MARKET TALKS 8 JUNE 2012

MARKET TALKS

capital adequacy and lending capacity to the agriculture sector. The RRBs will get Rs 632 crore from the central government", said a minister after the meeting of the Cabinet. Following recommendations of RBI deputy governor KC Chakrabarty, the government initiated recapitalisation process in 2009-10 for 40 financially weak RRBs, which provide credit to rural and agriculture sectors.  !   Deposit rate cut step towards softer interest rate era: SBI India's largest lender State Bank of India (SBI) on Thursday reduced its retail deposit rates by 25 basis points in tenure up to 240 days with effect from June 08, 2012. It had cut interest rate on loans given to small and medium enterprises (SMEs) some time back.  !   KEC's orderbook at Rs 8400cr, overseas deals form majority          Infrastructure company KEC International (KEC) on Wednesday announced that it has secured new orders worth Rs 391 crore in the transmission and telecom businesses. Ramesh Chandak, Managing Director, KEC International said that the company's orderbook stands at Rs 8400 crore and international orders make up a greater chunk of the order book.

!   Low interest rate to boost economic growth: FinMin Pitching for cut in interest rates by the RBI in its forthcoming monetary review, the finance ministry today said low interest rate regime would push growth rate, which slipped to nine-year low of 6.5% in 2011-12. "We see a possibility of growth picking up, if interest rates are reasonable," Department of Economic Affairs Secretary R Gopalan told reporters.  !   L&T bags 3 orders; expects to maintain 10% margin in FY13 SN Subrahmanyan, director & vice-president, L&T, says that we are seeing good opportunities in construction sector, Currently bagged three orders in different sectors, expected to maintain a margin of 10% going forward and current order book stands Rs 1,06,570 cr.  !   Cabinet approves Rs 632-cr capital infusion in RRBs          The government on Thursday approved capital infusion of Rs 632 crore in cash-starved regional rural banks (RRBs) to improve their