New base rate method by June 30: RBI

MUMBAI: The Reserve Bank on Thursday gave banks another six months till June 30 to adopt the new method for computing base rate — below which lenders are not allowed to extend loans. "Banks are permitted to change the benchmark and methodology used in the computation of Base Rate for a further period of six months, ie upto June 30, 2011," the RBI said in a notification .

Earlier, banks were given time till December 31 to adopt the new method for computing base rate. Last April, the RBI had directed all the banks to switch to the base rate system with effect from July 1, from the then prevailing Benchmark Prime Lending Rates (BPLR) system. The minimum lending rate, or base rate, is intended to bring about more transparency in banks' lending operations.

Read more: New base rate method by June 30: RBI - The Times of India http://timesofindia.indiatimes.com/business/india-business/New-base-rate-method-by-June-30-RBI/articleshow/7233667.cms#ixzz1AK2uIAdE

Sensex down 57 points in opening trade

MUMBAI: The BSE benchmark Sensex continued its slide for the fourth straight session and opened 57 points down today on concerns over sharp rise in food inflation and a weak trend on other Asian bourses.

The 30-share barometer of the Bombay Stock Exchange fell by 57.14 points to 20,127.60 level in the opening trade today. The Sensex had lost over 375 points in the past three trading sessions.

Similarly, the wide-based National Stock Exchange Nifty index also moved down by 19.60 points to 6,028.65 points.

Market analysts said sharp rise in food inflation to 18.32% for the week ended December 25, 2010 and reports of weakening trend on other Asian bourses dampened the trading sentiment, triggering selling by funds and retail investors.

Stocks of capital goods, banking, auto and metal sectors in particular were under pressure and dragged the Sensex down.

Meanwhile, Hong Kong's Hang Seng index was down by 0.14 per cent, while Japan's Nikkei was trading 0.22% cent lower in early trade today.

In the US, the Dow Jones Industrial Average ended 0.22 points lower in yesterday's trade.

Read more: Sensex down 57 points in opening trade - The Times of India http://timesofindia.indiatimes.com/business/india-business/Sensex-down-57-points-in-opening-trade/articleshow/7234043.cms#ixzz1AK1yudXD

Railway gangmen, families can avail free AC travel

NEW DELHI: With polls in Bengal approaching, railway minister Mamata Banerjee seems keen to keep her pro-aam adami image intact.

In a New Year bonanza, Banerjee on Thursday announced free AC travel facility to railways' lowest paid employees — gangmen, khalasis — and their family members once in a year.

Around eight lakh lowest grade pay employees—crucial for day and night train operations of railways—in 16 Zones across the country will be availing the facility of 3AC travel with their family members. Apart from sending a pro-aam adami message, the move is also going to benefit Trinamool chief in her fight against CPM as more than 50,000 lower class employees and their families in Bengal will be direct beneficiaries.

Read more: Railway gangmen, families can avail free AC travel - The Times of India http://timesofindia.indiatimes.com/india/Railway-gangmen-families-can-avail-free-AC-travel/articleshow/7233187.cms#ixzz1AK1XLhMz