Ministry of Finance

Joint Statement on the 1st India-UK Financial Markets Dialogue

Dated: 09 JUL 2021

India and the UK held the inaugural meeting of the India-UK Financial Markets Dialogue (‘the Dialogue’)virtually on late evening yesterday. The Dialogue was established at the 10thEconomic and Financial Dialogue (EFD)in October 2020 to deepen bilateral ties in the financial sector.Financial Cooperation is one of the key pillars of the 2030 Roadmap adopted by the two countries during the recent meeting of the two Prime Ministers and the India-UK Financial Market Dialogue is one of the key elements of this Financial Cooperation.As two services driven economies, both sides agreed there is significant scope for strengthened financial servicescooperation between India and the UK.

The Dialogue was led by senior officials from the Indian Ministry of Finance and HM Treasury, with participation from Indian and UK independent regulatory agencies, including the Reserve Bank of India, the Securities and Exchange Board of India, International Financial Services Centre Authority, Insurance Regulatory and Development Authority of India, the Bank of England, and the Financial Conduct Authority. Indian and UK participants shared views on issues in their respective areas of responsibility.

The Dialogue began with a government to government discussion,focused on four themes: (1) GIFT (Gujarat International Finance Tec-City)City, India’s flagship international financial centre, (2) banking and payments, (3) insurance, and (4) capital markets. Following the government-to-government discussion, private sector partners were invited to the discussion. The City of London Corporation’s Capital Markets Working Group presented their work on the Indian corporate bond market, and the India-UK Financial Partnership presented their recommendations on the UK-India financial services relationship.

At the meeting, Indian and UK participants discussed progress on the UK-IndiaGIFT City Strategic Partnership. Both sides agreed on areas for further collaboration, including sustainable finance and FinTech,with the aim of supporting increased UK industry presence in the centre.

Participants provided updates on their respective banking and payments landscapes, with a view to increase cross-border activity in this area. The Bank of England discussed its work on cyber resilience. Both sides also recognised the key role the banking sector has played in maintaining stability during the Covid-19 pandemic.

Participants discussed matters relating to the insurance sector,including domestic updates on the impact of Covid-19, opportunities to encourage increased UKinvestment in the Indian market, and the UK Solvency II Call for Evidence.

Participants also took stock ofcapital markets cooperation. The UK outlined progress on regulatory reforms, including through the Wholesale Markets Review and the Lord Hill Listings Review. There was also a productive discussion on opportunities for increased cross-border activity, including an update from India on implementation of the direct listings policy.

Both sides agreed to continue to engage bilaterally on these areas in the coming months, in the run up to the next EFD and the beginning of negotiations for a future India-UK FTA, both expected to take place later this year.

Participants then welcomed leaders of the India-UK Financial Partnership (IUKFP), noting the significant progress achieved since the last EFD in contributing to policy development, particularly the Partnership’s efforts towards promoting greater links between GIFT City and the UK financial services ecosystem. Both sides look forward to formally collaborating with the Partnership’s FinTechworkstream at the next UK-India FinTech Joint Working Group meeting and to the launch of policy papers on GIFT City, FinTech and cross-border trade and investment at the next EFD and beyond.

Finally, the City of London Corporation India-UK Capital Markets Working Group presented its recommendations from its recently published paper on ‘Unleashing the potential of the Indian Debt Capital Markets’. The report focused on enhancing the Indian Debt Capital markets ecosystem, as well as making it easier for Indian companies to raise capital internationally – to support India’s growth potential, infrastructure needs and enhancing the country’s sustainable energy capacity. The recommendationsinclude areas such as reforms to primary issuances, secondary markets, taxation rules, market ecosystem and ESG.

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RM/MV/KMN

(Release ID: 1734069)

 

Ministry of Finance

Response from Ministry of Finance on reports relating to freezing of Indian assets in France

Dated: 08 JUL 2021

There have been news reports that Cairn Energy has seized/ frozen State owned property of Government of India in Paris. However, Govt. of India has not received any notice, order or communication, in this regard, from any French Court.

Government is trying to ascertain the facts, and whenever such an order is received, appropriate legal remedies will be taken, in consultation with its Counsels, to protect the interests of India.

Government has already filed an application on March 22, 2021 to set aside the December 2020 international arbitral award in The Hague Court of Appeal. Government of India will vigorously defend its case in Set Aside proceedings at The Hague.

It is also stated that the CEO and the representatives of Cairns have approached the Government of India for discussions to resolve the matter. Constructive discussions have been held and the Government remains open for an amicable solution to the dispute within the country’s legal framework.

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RM/MV/KMN
(Release ID: 1733612) 

 

Government of India

Ministry of Finance

Department of Revenue

Central Board of Direct Taxes

New Delhi, 05th July, 2021

PRESS RELEASE

CBDT grants further relaxation in electronic filing of Income Tax Forms 15CA/15CB

As per the Income-tax Act, 1961, there is a requirement to furnish Form 15CA/15CB electronically. Presently, taxpayers upload the Form 15CA, along with the Chartered Accountant Certificate in Form 15CB, wherever applicable, on the e-filing portal, before submitting the copy to the authorized dealer for any foreign remittance.

In view of the difficulties reported by taxpayers in electronic filing of Income Tax Forms 15CA/15CB on the portal www.incometax.gov.in, it had earlier been decided by CBDT that taxpayers could submit Forms 15CA/15CB in manual format to the authorized dealer till 30th June, 2021.

It has now been decided to extend the aforesaid date to 15th July, 2021. In view thereof, taxpayers can now submit the said Forms in manual format to the authorized dealers till 15th July, 2021. Authorized dealers are advised to accept such Forms till 15th July, 2021 for the purpose of foreign remittances. A facility will be provided on the new e-filing portal to upload these forms at a later date for the purpose of generation of the Document Identification Number.

(Surabhi Ahluwalia)

Commissioner of Income Tax

(Media & Technical Policy)

Official Spokesperson, CBDT

 

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