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Exim Bank’s GoI supported Line of Credit of USD 6.2 million to Myanma Foreign Trade Bank

Export-Import Bank of India (Exim Bank) has entered into an Agreement dated May 22, 2015 with the Myanma Foreign Trade Bank, Republic of Union of Myanmar, for making available to the latter, aGovernment of India supported Line of Credit (LOC) of USD 6.20 million (USD Six Million and Two Hundred Thousand) for financing the implementation of a microwave radio link on the Rhi-Mindat route to be carried out by Telecommunication Consultants India Limited in the Republic of Union of Myanmar.

The goods, machinery, equipment and services including consultancy services from India for exports under this agreement are those which are eligible for export under the Foreign Trade Policy of the Government of India and whose purchase may be agreed to be financed by the Exim Bank under this agreement. Out of the total credit by Exim Bank under this agreement, the goods and services including consultancy services of the value of at least 75% of the contract price shall be supplied by the seller from India and the remaining 25% goods and services (other than consultancy services) may be procured by the seller for the purpose of the eligible contract from outside India.

The credit agreement under the LOC is effective from July 27, 2015 and the date of execution of agreement is May 22, 2015. The last date for opening of letters of credit and disbursement will be 48 months from the scheduled completion date of contract in the case of project exports and March 21, 2021 (72 months from the execution date of the credit agreement) in the case of other supply contracts

Shipments under the LOC will have to be declared on EDF/ SDF Forms as per instructions issued by the Reserve Bank from time to time. No agency commission is payable under the above LOC. However, if required, the exporter may use his own resources or utilize balances in his Exchange Earners’ Foreign Currency Account for payment of commission in free foreign exchange. Authorised Dealer Category- l (AD Category-l) banks may allow such remittance after realization of full payment of contract value subject to compliance with the prevailing instructions for payment of agency commission.
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Tourist Visa on Arrival (TVoA) register a growth of 772.3% (y-o-y)  in July 2015

Government of India launched Tourist Visa on Arrival (TVoA) enabled by Electronic Travel Authorization (ETA), known as e-Tourist Visa scheme on 27th November 2014. At present e-Tourist Visa facility is available for citizens of 77 countries (including 3 countries for which the facility was extended on 31st July 2015) arriving at 9 Airports in India .
The following are the important highlights of e-Tourist Visa during July, 2015:
(i) During the month of July, 2015 a total of 21,476 tourist arrived on e-Tourist Visa as compared to 2,462 during the month of July, 2014 registering a growth of 772.3%.
(ii) During January-July, 2015 a total of 1,47,690 tourist arrived on e-Tourist Visa as compared to 14,415 during January-July, 2014 registering a growth of 924.6% .
(iii) This high growth may be attributed to introduction of e-Tourist Visa for 74 countries as against coverage of earlier TVoA scheme for 12 countries.
(iv) The percentage shares of top 10 source countries availing e-Tourist Visa facility during July 2015 were as follows:
USA (33.67%), Australia (7.74%), France (7.13%), Germany (6.80%), UAE (6.71%), Canada (6.30%), Republic of Korea (5.57%), Mexico (2.80%), Japan (2.38%) and Russian Federation (2.29%).
(v) The percentage shares of different ports in tourist arrivals on e-Tourist Visa during July 2015 were as follows:
New Delhi (42.98%), Mumbai (20.72%), Bengaluru (10.36%), Chennai (10.32%), Hyderabad (5.30%), Kochi (5.15%), Kolkata (2.53%), Trivandrum (1.99%) and Goa (0.65%). 
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Date: 18th Aug,’15
57% of total income of 5 National Parties during FY 2013-14 was from sale of coupons; Donations formed 22% of the income of the parties; BJP is yet to submit its report to the ECI
The Election Commission of India (ECI), in its letter dated 19th November,’14 issued to the President/General Secretary of all political parties, stated that it was mandatory for the parties to submit details of their audited report to the Commission. This report analyses the total income and expenditure incurred by the National Parties during FY 2013-14, as declared by the parties in their IT Returns submitted to the ECI.
For the complete report in Hindi, kindly refer to the attachment.
Executive Summary
  • The due date for submission of annual audited accounts for the parties was 30thNov,’14.
  •   Out of the six National Parties, BSP, CPI, CPM and NCP submitted their audited report while INC submitted its report under protest stating that unless necessary amendments were made in the RP Act, 1951, the ECI did not have the power to demand such reports from the parties.
  •        BJP, in its letter dated 9th July,’15, had requested for 4 weeks’ time but is yet to file the required reports.
Total Income of National Parties, FY 2013-2014
  • The five National Parties, whose IT Returns are available in the public domain, have declared a total income of Rs 844.71 crores, collected from all over India.
  • INC has shown the highest income amongst the 5 National Parties with a total income of Rs 598.06 crores during FY 2013-14. This formed 70.8% of the total income of the 5 National Parties, together during FY 2013-14.
  • CPM declared the second highest income of Rs 121.87 crores which forms 14.43%of the total income of the National Parties.
Declaration of sale of coupons and donations by National parties: FY-2013-2014
  • Collection from sale of coupons was one of the major sources of income whereINC declared collection ofRs 477.316 crores while NCP declared collection of Rs 8.32 crores from the sale of such coupons.
  • A total of Rs 485.64 crores was collected by INC and NCP, together, via sale of coupons which contributed to 57.49% of the total income of the five national parties.
Share of donations above Rs 20,000 in total donations
  • comparison of total donations declared by the parties in their IT returns (both above and below Rs 20,000) and that declared in the donations report shows that only 41% of the total donations of the parties came from voluntary contributions above Rs 20,000.
  • A total of Rs 111.29 crores (59%) of the total donations to National Parties was collected during FY 2013-14 from donors whose details are not available in the public domain.
Unknown sources of income of National parties for FY- 2013-2014
  • The unknown sources are income declared in the IT returns but without giving source of income for donations below Rs.20,000. Such unknown sources include ‘sale of coupons’, ‘Purse money’, ‘relief fund’, ‘miscellaneous income’, ‘voluntary contributions’, ‘contribution from meetings/ morchas’ etc. The details of donors of such voluntary contributions are not available in the public domain.
  • Total income of political parties from unknown sources (income specified in the IT Returns whose sources are unknown), for the FY 2013-14 is Rs 673.08 crores, which is 79.68% of the total income of the parties.
Recommendations of ADR
  • While the ECI had issued guidelines to the political parties in order to promote transparency in the parties’ functioning and to aid the Commission to conduct free and fair elections, INC submitting its details under protestdisplays a lack of enthusiasm from the party in promoting and practicing the desired quality of transparency and accountability in its functioning. Those parties playing a decisive role at the national political arena should lead by example rather than curtailing any attempt at transparency.
  • Full details of all donors should be made available for public scrutiny under the RTI. Some countries where this is done include Bhutan, Nepal, Germany, France, Italy, Brazil, Bulgaria, the US and Japan. In none of these countries is it possible for80% of the source of funds to be unknown, but at present it is so in India.
  • Those parties not following the ICAI guidelines for auditing of reports should be scrutinized by the IT department.
  • The National and regional political parties must provide all information on their finances under the Right to Information Act. This will only strengthen political parties, elections and democracy.
For details on the top sources of income of the National Parties, their top items of expenditure during the FY 2013-14 and the need for a strict mechanism for reporting financial statements of political parties, please refer to the attached report.
Regards,

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