On the back of recent decision by the Indian central bank (RBI) and the finance ministry, Foreign institutional investors (FIIs) will now be able to invest funds in Indian depository Receipts (IDRs).

Even though, RBI and finance ministry have approved the subscription of Non-Resident Indians (NRIs), it is still awaiting approval from the corporate affairs ministry.

The market regulator Securities Exchange Board of India (SEBI) has put a limit on the size needed for issuing IDRs at Rs 500 million and minimum investment by retail investors has been set at Rs 20 million.

Berlin - The German government and Germany's leading banks and insurance companies agreed late Sunday to expand a bail-out for troubled mortgage lender Hypo Real Estate 
(HRE).

They agreed to a bail-out that would run 50 billion euros (68 billion dollars).

The measure supercedes an earlier HRE rescue plan that fell apart when other banks pulled out of the deal. That package had a price tag of 35 billion euros.

HRE would receive a credit line of 30 billion euros, according to the German Finance Ministry.

Washington - In another surprise development in the takeover race for the fourth-largest US bank, a New York state court judge granted an order Saturday night extending Citigroup's "exclusivity agreement" with Wachovia Corp.

On September 29, Citigroup announced it would acquire Wachovia for about 2.16 billion dollars, the latest consolidation move under government watch in the ongoing credit crisis.

Soon Swadeshi goods will be in vogue as Asian Development Bank has declared to provide USD 150 million (Rs 675 crore) loan to India in order to revive and enhance the nation’s khadi industry.

The re-emergence of the industry will not only provide rural employment but also encouragement to Small Scale industries. The loan, which will be given in four installments over a period of three years will entail success of 11th year plan, which emphasized on khadi production and the significance it holds for the women and the minorities from employments perspective.

Allahabad Bank has decided to defer its right issue and perpetual debt for the time being. The bank intended to generate Rs 2,500 crore through tier I and II capital through this right issue. Some other banks such as the Union Bank of India and Syndicate Bank have also decided to defer right issue.

The Chairman and Managing Director of Allahabad bank, K R Kamath said the bank do not want to dilute the stakes of the government at this time. The bank would wait for right time carry out right issue. It is recalled that the government holds 55.23 per cent stake in the Kolkata-based bank.