Crisil to help Canara Bank estimate credit risk
New Delhi: Crisil, one of India’s top rating agencies, has developed a credit risk assessment model for Canara Bank. The model has been developed in the form of software that will be installed in all 13 circles of the bank. Canara Bank is now training its staff to use the package.

Crisil is developing a similar model for two other banks.
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Trai clears Usha Martin and Modi Telstra
Calcutta: The Telecom Regulatory Authority of India has cleared an alternative proposal from Usha Martin Telekom and Modi Telstra’s free incoming calls scheme.

Trai had earlier rejected Usha’s free incoming calls proposal. But on 25 August Trai cleared the proposal with minor modifications. The earlier rejection was out of fear that the proposal had a potential to cause network congestion. But Usha officials have clarified that there can be no such congestion on the ‘Command’ cellular network.

Modi Telstra, which had submitted a similar proposal for free incoming calls, has also been given a go-ahead. The scheme comes into effect from 26 August 1999 and will be valid till 31 October 1999.

Trai has come out with the ‘calling party pays’ tariff order for cellulars, which is to become effective from 1 November 1999. With the Usha Martin Telekom and Modi Telstra schemes getting cleared,  Trai is expected to face an avalanche of other proposals on similar lines.
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Bank of Maharashtra’s bond issue over-subscribed
New Delhi: The Bank of Maharashtra’s private placement of 12.6 per cent bonds aggregating Rs.100 crore has been over-subscribed by Rs.70 crore. The tenure of the bonds is 80 months.

The bonds are unsecured, non-convertible, and subordinated as in the case of promissory notes. They will be redeemed at par on maturity. The bank has issued these bonds to enhance its tier II capital.
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India included in Chase’s Asian bond index
Mumbai: Chase Manhattan Bank, which comes out with bond returns statistics, has included India in its Asia’s fixed income index. The eight countries included in the index are India, China, Malaysia, Indonesia, Korea, Hong Kong, Philippines and Thailand.

This marks an acknowledgement by the international community of India’s debt market and its relevance in the Asian economy.
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Morgan Stanley and Sanwa tie up
Tokyo: Morgan Stanley Dean Witter and Japan's Sanwa Bank have tied up for retail asset management. Morgan is trying to get a foothold in the Japanese market, where the financial sector is undergoing deregulation.

Sanwa Bank will sell Morgan’s products and Morgan in turn, will provide investment advice. These two institutions will also jointly develop a pilot scheme for the creation of a distribution network for mutual funds.
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