Weekly News(11th Oct-18th Oct 2010)

MF chiefs allay fears over high FII inflows, bullish on infra

The Indian capital market remains fundamentally strong, concerns over high FII inflows are uncalled for and the much-feared flight of capital, if it at all happens, will only result in a short-term volatility in the market.

An 18-month rally has seen the BSE Sensex gaining over 150 per cent, rising from 8,000 points to reach the 20,000 mark this month.

Unlike the pre-slowdown rally, domestic institutions and retail investors have not participated in the surge, primarily driven by heavy FII buying.

World's largest diamond bourse opens in Mumbai

The world's largest diamond exchange opens in the city's business district Bandra-Kurla Complex on Sunday, taking India from a manufacturing to a trading hub and challenging the dominance of traditional centres like Belgium and Israel.

Bharat Diamond Bourse (BDB), designed by eminent architect Balakrishna Doshi and spread over 20 acres with nine interlinked nine-storey towers each, has been set up at a cost of Rs.1,100 crore.

Insurance policies to be available at post offices

Post offices can now distribute insurance products with IRDA, allowing each circle of the Department of Post (DOP) to act as a corporate agent of insurers.

"Each Circle of India post should be treated a separate unit in order to grant independent corporate agent licence with various insurers," insurance regulator IRDA said.

The DOP has divided the whole country into 22 postal circles for providing postal services.

Contd.

The Insurance Regulatory and Development Authority (IRDA) allowed each circle to tie up with two non-life insurance companies, two life insurance companies, one agricultural insurance company and one stand alone Health Insurance Company for this purpose.

Moser Baer to set up USD 11.5 mn organic LED facility

Optical storage manufacturer Moser Baer India said its US-based subsidiary, will set up the world's first pilot production facility for developing organic light emitting diodes (OLED).

"OLED lighting products will require new manufacturing technologies which will be developed and deployed in this very first OLED pilot production line in the world," Moser Baer Technologies CEO G Rajeswaran said.