* AVIATION: Finance Ministry is opposed to civil aviation ministry's proposal to nearly quadruple bilateral flying rights between India and Abu Dhabi . Airports Authority of India has supported an increase in airline passenger seats between India and the UAE.
* BANKING: The Reserve Bank of India has steeply raised the penalty on banks for breaching a single norm to 10 mln rupees from 500,000 rupees earlier.
* ECONOMY: Government may cut its fiscal deficit to 5% of GDP in 2012-13 (Apr- Mar), which could be below last year's budget estimate. Prime Minister's Economic Advisory Council likely to peg GDP growth for 2013-14 at 6.5% in forthcoming economic review. Current account deficit may reach 3.9% in 2013-14 at current gold prices.
* ENERGY: India has filed a complaint with World Trade Organisation alleging the US is offering subsidies in renewable energy sector for local content needs.
* GOVERNMENT: Cabinet has approved an 8% hike in dearness allowance for central government employees and pensioners.
* INDIAN RAILWAYS: Cabinet has approved use of Indian Railways' land for select purposes.
* INSURANCE: Reliance Life Insurance is planning to strengthen its presence in pure health insurance space with an expanded product suite. CANARA BANK, ORIENTAL BANK OF COMMERCE have opposed HSBC's plan to sell stake in their insurance joint venture.
* INVESTMENT: Finance Minister P. Chidambaram has asserted that India can absorb $50 bln foreign investment annually.
* PORTS: Government may allow port trusts to lease land to private companies to establish industry or special economic zones. Kandla, Mundra ports may reach 100 mtpa mark of handling capacity by the end of March next year.
* REALTY: Floor space index for redevelopment of Maharashtra Housing Area Development Authority houses has been raised to 3.0, which will add 100,000 affordable houses to Mumbai.
* SUGARCANE: The Uttar Pradesh government is lodging police complaints against sugar mill owners who owe 62 bln rupees arrears to sugarcane farmers.
* TELECOM: Another Supreme Court judge has recused himself from hearing the pleas of BHARTI AIRTEL Chairman Mittal and Essar Group promoter Ruia that challenge the 2G trial court's summons to them.
- Supreme Court has asked 2G court to defer extra spectrum case hearing to Apr 29. Shareholders of TowerVision are in talks with NYSE-listed American Tower Corp and a few others to sell controlling stake.
- The DoT has sought the law ministry's endorsement of its move to reject licence extensions of BHARTI AIRTEL, Vodafone and Loop in metros.
- The Indian arm of China 's ZTE Corp has agreed to meet Bharat Sanchar Nigam's additional network requirement.
