18:17 Moody's Investor Service told CNBC TV18 that the headline number announced by the government for recapitalising PSU banks is a very significant positive for the industry.

18:10 State Bank of India Chairman Rajnish Kumar welcomed the recapitalisation announcement by the government and said that it will go a long way in bringing private investment back to the sector.

18:07 Former RBI deputy governor KC Chakrabarty has said that the recpitalisation plan announced by the government is nothing but the government lending money to PSU banks, not capitalising them.

17:39 Response for GST among traders has been very encouraging so far says Jaitley.

17:33 Finance minister Jaitley says that the entire Rs 2.11 lakh crore of capitalisation will be spread over this fiscal year and the next.

17:29 Jaitley says that whether or not the recapitalisation bonds will impact fiscal deficit is a function of what the nature of the bond will be and which agency issues the bonds. But even if it is a part of the fiscal deficit, it will be in the larger interest of the nation.

17:27 Jaitley says that the recapitalisation of PSU banks will be accompanied by a host of banking sector reforms that will be detailed by the government at a later date.

17:20 Jaitley says it is essential to increase public spending on infrastructure, and that expenditure on infrastructure is taking place at an unprecedented level at the moment.

17:11 Government announces unprecedented PSU banks recapitalisation program of Rs 2.11 lakh crore. Of this, Rs 1.35 lakh crore will come from recap bonds, while the rest will come from the market and budgetary support.

17:05 Between 2014-15 and 2017-18, banks have made provisions of over Rs 3 lakh crore, more than 10 times the amount made in the preceding 10 years.

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Shortest routes identified for connecting economically important nodes. #NewIndiaTakeOff pic.twitter.com/01bJYClUHk — BJP (@BJP4India) October 24, 2017



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Effective and targeted Government spending is the main priority of Government: Ashok Lavasa, Finance Secretary pic.twitter.com/PUf6XSzb0K — ANI (@ANI) October 24, 2017

16:50 Economic affairs secretary Garg says Rs 7 lakh crore will be invested in road infrastructure over the next five years, adding that the government's Bharatmala programme will entail the construction of 34,800 km of roads.

16:46 Garg says government has already spent Rs 11.47 lakh crore on capital expenditure, more than half its target for the fiscal year. The increased government spending done in a targeted manner will bring in more investment and spur growth.

16:41 Garg says that inflation is not likely to rise beyond 4 percent and that the current economic slowdown is bottoming out. He adds that fiscal deficit is under control and that the government is unlikely to overshoot its target of 3.2 percent fiscal deficit at the end of the current fiscal year.

16:38 SC Garg, who is currently presenting the government's numbers, says inflation has come down significantly and that India's GDP is poised to grow from here on.

16:30 Finance minister says India still has very strong economic fundamentals.

16:29 FM Jaitley starts speaking.

16:17 Finance ministry secretaries are likely to be present at the announcement. This comes after several meetings between the ministry and the Prime Minister over the past few months on supporting banks while they are burdened with worsening of the bad loan mess.

16:15 According to sources, the minister may announce recap bonds (not G-Secs) which would be sold to banks that can then be converted into equity after a certain period. Such bonds may not be accounted as fiscal deficit, similar to what was used in the 1990s issued as oil and the fertilizer bonds.

16:06 If you wish to watch the live telecast of the press conference, click here.

16:03 The press conference is scheduled for 4 PM and Jaitley is likely to decide the plan for increasing capital to the weak balance sheets of banks including United Bank of India, UCO bank, Corporation bank, Allahabad Bank, Indian Overseas Bank, and Dena Bank, among other capital starved banks as the industry suffers from a decade-low credit growth at around 6 percent.

Finance Minister Arun Jaitley is expected to make a major announcement shortly, possibly in connection with the recapitalisation plans for public sector banks, sources told CNBC-TV18.