A total FDI inflow of $1.43 billion has been received in the first three months of the current calendar year. The Government has approved 160 foreign collaboration and technical collaboration proposals involving FDI amounting to $820 million in March 1999. The FDI inflow since 1991, when the process of globalisation started, has touched $16.62 billion out of a total approval of $55.63 billion.

FIIs accelerate investments

FIIs appear to be on the comeback trail. The net FII investments in equities have surged to Rs 440 crore till July 8, compared with Rs 410 crore during the entire month of June when the markets witnessed volatile movements.

On Friday, the net FII inflow was Rs 165 crore with purchases of Rs 241 crore far outweighing sales of Rs 95 crore.

Corporate Monitor

Ford mulls exchange offer

Ford India plans to offer the Ikon, slated to hit the road later this year, under an exchange scheme supported by attractivefinance options to owners of its Escort model. It expects that over 30 per cent of Escort owners will graduate to Ikon within a year. Also in the offing is a direct marketing effort to tap the corporate sector.

Ispat acquires Usinor companies

Lakshmi N Mittal, one of the rich Indians in the world, has finalised a deal for the acquisition of three companies belonging to the Paris-based Usinor group, the world's second largest steel-maker. Ispat International NV, the flagship of Mittal's LNM group of companies, announced that it had completed all the formalities for the acquisition of Unimetal, Trefileurope and Societe Metallurgique de Revigny belonging to the Usinor stable.

Essar may have to roll over FRNs

FIs led by IDBI on Friday reiterated that roll over of the $250 million FRNs may be the best option for Essar Steel. IDBI chairman and managing director GP Gupta said given the legal difficulties, it is unlikely that an overseas noteholder would take up the matter legally, in casethe redemption deadline is not met.

Drug conversion costs

An expert committee formed to study drug conversion costs and packaging charges is understood to have recommended an average increase of around 4.5 per cent in these charges. Industry sources say while these charges have been increased by around four per cent in the case of capsules, in the case of liquids and ampoules, the increase is in the region of around 5 per cent and 12 to 15 per cent respectively.

PowerGrid, BPL sign pact

Powergrid Corporation of India has forged an alliance with BPL Telecom to lend infrastructure for the latters' plan to provide domestic long distance and Internet services. According to the pact, PowerGrid will lease its optical fibre cable networks starting in the four metros.

Market Pulse

Sensex up 36 points

After a breather on Thursday, the 30-share BSE Sensex resumed its upward climb on Friday and closed at 4362.87, up 36.46 points from its previous close. Brokers said theundertone of the market is extremely bullish and are unanimous that the Sensex will test the 4500-level next week.

Novartis counter

The Novartis counter on Friday witnessed major northward movement on speculation of the conclusion of a major land deal in Mumbai by the multinational. The scrip moved opened at its Thurday's close of Rs 960 and hit the upper circuit at Rs 1037. The counter clocked a volume of 56,821 shares on BSE where the volumes have steadily on the rise.

Interconnectivity

Interconnectivity between the two depositories, National Securities Depository and the Central Depository Services would be established by August seven, Sebi chairman DR Mehta said. A sub-committee would be set up to decide on the tariff for interdepository transfer of shares, he said.

Banking & Finance

LIC posts 28.28% growth rate

LIC has registered a growth rate of 28.28 per cent during the year ended March 31, 1999, at Rs 2,695.55 crore. The public sector life insurance monopolysold 148.57 lakh individual new policies during the year for a sum assured of Rs 75,606.62 crore, which were 11.5 per cent and 18.27 per cent more than that of the previous year respectctively.

HDFC Q1 net up 15.3% Rs 75.58 cr

HDFC has registered a 15.3 per cent jump in net profit during the first quarter to Rs 75.58 crore from Rs 65.56 crore in the same period of the previous year. Its income was Rs 449 crore, up 13.7 per cent from Rs 395 crore.

ICICI on-tap bonds get highest rating

Icra has assigned an LAAA rating, indicating highest safety, to the Rs 15,000-crore on-tap bonds proposed to be issued by ICICI in fiscal 1999-2000. Icra has also reaffirmed the highest safety rating assigned to ICICI's existing rated debenture bonds programme and the fixed deposit programme.

Politics

Pak draws up framework for withdrawal

A broad framework for a possible withdrawal of infiltrators from Kargil has been drawn up by a high-level meeting, chaired by Pakistani Premier NawazSharif, but a final decision would only be taken after a full cabinet meeting tomorrow, media reports from Pakistan said.

CommodityWatch

Centre to set up Rs 48-crore Seed Bank

The Government will soon set up a National Seed Bank to store certified seeds to guard against any unforseen calamities and ensure easy availibility of quality seeds to the farmers, an agriculture ministry official said. The Rs 47.6 crore scheme, to begin from ensuing rabi season, envisages setting up 15 storage facilities in major agro-climatic zones of the country.

Horse Sense

A case for mutual benefit

Successful livestock breeding requires adherence to certain principles. Unfortunately in the country -- despite the rosy picture occasionally painted of the horse-breeding industry -- the reality is that we have quite some way to go to match international standards.