Bank employees have decided to intensify their agitation against the setting up of local area private banks. A press statement issued by bank unions jointly, said that bank employees will go on a two-say strike beginning from August 29.

Over 13 lakh bank employees, incliding officers will participate, the United Forum of Bank Unions comprising nine unions said on Sunday. Clearing house operations will also be paralysed since the employees and officers of Reserve Bank of India are also join the two-day strike, the release said.

Foreign insurers

The Reserve Bank of India has given permission to five foreign insurance companies to set up representative offices in India. The Dutch companies that have recived permission include ING Insurance and Aegon Insurance.

The Japanese insurers are: Mitsui Marine and Fire Insurance Company, Sumitomo Marine and Fire Insurance. Besides these the US-based Federal Insurance Company has also recieved RBI permission. The RBI, earlier, had given permission to six foreign insurers to set up shop in India.

T-bill auction

The Reserve Bank of India will auction 364-day treasury bills on Wednesday, it said in a release. Tenders should be submitted to the RBI before the close of banking hours. Results of the auction will be announced the same day and payment by sucessful bidders will be on Saturday, the RBI release added.

Tarapore plea

Former RBI deputy governor SS Tarapore has made a strong plea to allow resident Indians to hold financial assets abroad. Addressing a workshop organised by the Ficci in New Delhi Tarapore put forward four measures for capital account convertibility.

The measures he suggested include liberalising regulation for joint ventures abroad, allowing banks to borrow and invest in overseas markets and permitting Indian investors including mutual funds to invest abroad, besides allowing individuals to hold assets abroad.

Strong rupee worries exporters

Federation of Indian Export Organisations (Fieo) has been unhappy over the rupee touching an eight-month high late last week. In a release issued by the federation, Ramu Deora, president of FIEO, said the stronger rupee ``has belied the expectation of the market''.

The federation has appealed that the rupee-dollar parity be readjusted to Rs 38-Rs 40 per dollar if export targets are to be achieved. The federation has also urged that the Reserve Bank of India intervene periodically to support the dollar from weakening against the domestic currency. The stronger rupee has affected exports which were down by 10.80 per cent in April.``There has been a drop of $6.5 billion in exports so far,'' said the release.

India, China set to cooperate in telecom

India and China are all set to intensify cooperation in areas such as information technology and telecommunications with both sides expressing keen interest in sharing their experiences in mutually-beneficial areas of science and technology, a PTI report from Beijing said.

``The ice has been broken and both sides are keen to consolidate their new-found friendship in science and technology,'' participants of a maiden exhibition showcasing India's achievements in various sectors here said. Shyamal Ghosh, secretary, department of electronics said India and China, who have indigenously developed super computers and other hi-tech products must cooperate in order to compete in the highly competitive global market.

Rajasthan SEB mops up Rs 300 cr

Despite poor market conditions the Rajastan State Elecricity Board has been able to mop up Rs 300 crore through its seven-year bond issue. The bond issue, which carried a coupen rate of 15.1 per cent per annum, closed on July 10. The bonds carried adequate security.

The state government had also given the bonds unconditional and irrevocable guarantee which was the main reason for its full subscription, analysts said. The bonds have been rate `A' plus(so) by Care.

CBI faces legal hurdle in Switzerland

The Central Bureau of Investigations is facing legal hurdles with authorities in Switzerland for securing extraditions of two top executives of Karsan Limited, the Turkish firm involved in the Rs 133-crore urea scandal.

Tunkay Alankus and Cihan Karanci, chairman and vice president of the company respectively who have been in judicial custody in Switzerland have challenged in a Swiss court the order for their extradition to India.

This has put to rest hopes of getting them extradited to make them face trial in the case, agency reports said.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.