Top Banking Awareness of November 2021
Union Minister for Commerce and Industry Piyush Goyal released 3rd edition of LEADS report.
Union Minister for Commerce and Industry Piyush Goyal has released 3rd edition of the Logistics Ease Across Different States (LEADS) report, 2021. As per the report, Gujarat is the Best Performer State amongst 21 States while Uttar Pradesh is the top improver state. Gujarat has been the top performer since 2018. As per the report, Gujarat, Haryana and Punjab occupy first, second and third positions, respectively.
HDFC Life Insurance’s acquisition of 100% shareholding in Exide Life Insurance approved by CCI.
HDFC Life Insurance’s acquisition of 100% shareholding in Exide Life Insurance has been approved by the Competition Commission of India (CCI). In September, HDFC Life had announced that it would acquire the entire share capital of Exide Life Insurance for a total consideration of ?6,687 crores.
GST collections reach ?1.30-lakh crore in October.
GST collections have reached ?1.30-lakh crore in October and this is the second-highest level since the introduction of GST in 2017. The highest level (?1.40-lakh crore) was reached in April 2021. As per Finance Minister, the revenues for October were 24% higher than the GST revenues in October 2020. During October, revenues from import of goods were 39% higher than October month of last fiscal.
Top Banking Awareness October 2021
ICRA board announces appointment of Ramnath Krishnan as the company’s MD and Group CEO.
ICRA board has announced the appointment of Ramnath Krishnan as the company’s Managing Director and Group Chief Executive Officer. Mr. Krishnan will take new position with immediate effect. He is currently President – Ratings and Chief Rating Officer at ICRA. He succeeds N Sivaraman, who resigned from the position of MD & CEO on 22 October for personal reasons.
RBI announces a scale-based regulation of non-banking finance companies.
RBI has announced a scale-based regulation of non-banking finance companies and capped IPO funding by NBFCs at ?1 cr per borrower. Under the new framework, a ceiling of ?1 crore per borrower will be placed for financing subscription to an initial public offering (IPO). The ceiling on IPO funding will come into effect from April 1, 2022. Overall framework shall be effective from October 1, 2022.
RBI gives banking licence to Unity Small Finance Bank Ltd.
RBI has granted banking licence to Unity Small Finance Bank Ltd. Unity Small Finance Bank Ltd was set up jointly by Centrum Financial Services Ltd (CFSL) and Resilient Innovations Private Limited (BharatPe).
Consumer Confidence Index (CCI) for September 2021 improves to 57.7.
As per RBI’s Consumer Confidence Survey, Consumer Confidence Index (CCI) for September 2021 has improved to 57.7 vis-a-vis 48.6 in July 2021. The improvement in CCI shows lower pessimism of consumers on the prevailing general economic situation.
RBI has not changed the policy rates for the eighth time in a row.
The Reserve Bank of India’s Monetary Policy Committee has unanimously decided to maintain the status quo on interest rates for the eighth time in a row and maintain the monetary stance accommodative. MPC has decided to keep the Repo rate unchanged at 4 percent and Reverse Repo rate at 3.35 percent. MSF rate and bank rate remain unchanged at 4.25%.
Moody’s changes India’s sovereign rating outlook from Negative to Stable.
Moody’s Investor Service has changed India’s sovereign rating outlook from Negative to Stable. However, it retained the sovereign rating at Baa3, which is the lowest investment grade rating. A stable outlook shows that there is a low likelihood of a rating change over the medium term.
PFRDA to open ‘on tap’ licensing window for fund managers next year.
PFRDA Chairman Supratim Bandyopadhyay has said that PFRDA will open its ‘on tap’ licensing window for fund managers next year. Pension Fund Regulatory & Development Authority (PFRDA) had opened an “on tap” window from July 1-31. The window was opened for awarding licences to sponsors of pension funds.
Union Cabinet gives approval to investment of 4,400 crore rupees in ECGC Ltd.
Union Cabinet has given approval to an investment of 4,400 crore rupees in ECGC Ltd in five years (from FY 2021-2022 to FY 2025- 2026) to support exporters and banks. Union Cabinet has also given approval to the listing of Export Credit Guarantee Corporation Ltd. (ECGC Ltd) through IPO on the Stock Exchange. Capital infusion and Initial Public Offering (IPO) of ECGC Ltd will raise ECGC’s underwriting capacity to support more exports.
Top Banking Awareness September 2021
Government selects Captain Alok Mishra as MD of India Ports Global Ltd.
Government has selected Captain Alok Mishra as MD of India Ports Global Ltd. Appointments Committee of the Cabinet (ACC) has cleared his candidature. He will have a five-year tenure in the new role. India Ports Global Ltd is tasked with developing and running of India-funded Chabahar port in Iran.
Monetary penalty of ?79 lakh imposed on Apna Sahakari Bank, Mumbai.
A monetary penalty of ?79 lakh has been imposed on Apna Sahakari Bank, Mumbai. The penalty has been imposed for non-compliance with RBI’s directions on non-performing asset (NPA) classification. Further, the bank has not complied with RBI directions on payment of interest on deposits lying in current accounts of deceased individual depositors.
Limit of ?5 crores per entity imposed on total entitlement under Services Export from India Scheme (SEIS).
Limit of ?5 crores per entity has been imposed on total entitlement under the Services Export from India Scheme (SEIS). Commerce & Industry Ministry’s notification says that the facility to claim benefits under SEIS on payments in Indian rupees will not be available for services rendered in 2019-20.
All-India Consumer Price Index for agricultural and rural labourers (CPI-AL and CPI-RL) show an increase in August.
All-India Consumer Price Index for agricultural and rural labourers (CPI-AL and CPI-RL) has shown an increase of five and four points respectively in August. In August, CPI-AL is recorded at 1064 and CPI-RL is recorded at 1074. As per Principal Labour & Employment Advisor DPS Negi, the rise is chiefly due to an increase in prices of rice, milk, mustard oil, vanaspati, groundnut oil, tea leaf, etc.
GST Council decides to extend the term of National Anti-Profiteering Authority (NAA) for one more year.
GST Council has decided to extend the term of the National Anti-Profiteering Authority (NAA) for one more year considering the pendency of cases. GST Council has also decided that an alternative will be explored in the Competition Commission of India (CCI). NAA has been given an extension for the second time. Its term will now end on November 30, 2022.
RBI’s first cohort for voice-based retail payments was successfully completed by ToneTag.
RBI’s first cohort for voice-based retail payments has been successfully completed by ToneTag. As per Kumar Abhishek, Founder and CEO of ToneTag, the success of the company’s technology will bring rural India into the digital payment ecosystem.
Government reduces import duty on palm, soybean and sunflower oils.
The government has reduced import duty on palm, soybean and sunflower oils for the second time within a month. The reduced duty became effective from 11 September. It will remain effective till September 30. Customs duty and additional infrastructure and development Cess will be the same at 24.75% for all crude edible oils.
A G Thankappan assumes charge as the Chairman of Spices Board.
A G Thankappan has assumed charge as the Chairman of Spices Board. He assumed office in presence of Spice Board Directors and senior officials at Sugandha Bhavan, the headquarters of Spices Board in Kochi.
Harsha Bhupendra Bangari appointed as EXIM Bank MD.
Harsha Bhupendra Bangari has been appointed as MD of Export-Import Bank of India (EXIM Bank). She has taken charges on 08 September. She will remain on the post for a period of three years or until further orders of the government.
IMF allocated 12.57 billion SDRs to India.
The International Monetary Fund (IMF) has increased India’s special drawing rights (SDR) quota to 12.57 billion which is equivalent to $17.86 billion. The total special drawing rights (SDR) holdings of India now stand at SDR 13.66 billion, which is 2.75 percent of the SDR quota. India is continuously trying to increase its vote share in the IMF. At present, India holds 2.63 percent of the votes share in the IMF.
FSSAI awards 5-star ‘Eat Right Station’ certification to Chandigarh railway station of Indian Railways.
FSSAI has awarded 5-star ‘Eat Right Station’ certification to Chandigarh railway station of Indian Railways. FSSAI grants this certification to railway stations following standard food storage and hygiene practices. FSSAI also awards this certification to railway stations setting benchmarks in providing safe and wholesome food to passengers.
Top Banking Awareness April 2021
Top Banking Awareness March 2021
Top Banking Awareness February 2021
Top Banking Awareness January 2021
FDI equity inflow into India increased by 37% from $32.11 billion to $43.85 billion.
In April-November of FY21, FDI equity inflow into India increased by 37% from $32.11 billion in April-November 2019 to $43.85 billion. In April-November of FY21, total FDI increased by 22% from $47.67 billion in April-November 2019 to $58.37 billion. Total FDI includes reinvested earnings. FDI equity inflow and total FDI were highest ever for the first eight months period of a financial year.
Coal-based power generation stood at 79% of total power generation on 22 January.
As per Coal India Limited, coal-based power generation in India stood at 79% of total power generation on 22 January. All India peak power demand increased from 185.82 GW on 20 January to record level 187.3 GW on 22 January. Thermal power accounts for about 62% of the total installed capacity in India. Out of this installed capacity, coal and lignite account for 53% and 2%, respectively. Gas and diesel account for 6.7% and 0.1%, respectively.
Axis Bank, Axis Capital, and Axis Securities get approval to buy a stake in Max Life Insurance Company.
Axis Bank, Axis Capital and Axis Securities have got approval to buy a stake in Max Life Insurance Company. Earlier, Axis Bank’s proposal to directly acquire a 17% stake in Max Life Insurance was rejected by RBI. Axis Bank had sought Competition Commission of India approval to buy up to 20% stake in Max Life Insurance Company.
States suggest merger of cess and surcharges with basic tax rate.
During the pre-budget consultations, the states suggested to Finance Minister that cess and surcharges should be merged with basic tax rate. If cess and surcharges are merged with the basic rate of tax, states will receive their share from additional revenue. Textile sector wants the government to bring a uniform GST structure for apparels and textiles to deal with the problem of higher duties on inputs in the next Budget.
Top Banking Awareness December 2020
Atmanirbhar Women Scheme started by Bank of Baroda
Atmanirbhar Women Scheme has been started by Bank of Baroda as part of its Baroda Gold Loan. The bank will offer loans to women at a 0.50% concession rate under the scheme. Under the gold loan scheme, the Bank of Baroda also offers Agri-gold loans and retail loans at 0.25% and 0.50% concession, respectively.
Business Culture Awards 2020 won by UST Global
Business Culture Awards 2020 has been won by UST Global, an American company providing digital technology and IT services. UST Global won the award for ‘Best International Initiative for Business Culture’. The company was recognized for ‘Great Place to Work’ on workplace culture in India, the UK, and the US.
RBI proposes an increase in the limit for contactless card transactions
RBI has proposed an increase in the limit for contactless card transactions from Rs 2,000 to Rs 5,000 from January 1, 2021. RBI has made this proposal in its statement on developmental and regulatory policies released on December 4, 2020. RBI has also proposed to make these changes for e-mandates for recurring transactions through cards (and UPI). However, RBI will issue instructions for these proposals later.
Top Banking Awareness November 2020
Rupee continues to lose against US Dollar while currencies of other emerging economies continue to rise.
Rupee is continuing to lose against US Dollar while currencies of other emerging economies are continuing to rise from April 2020. In 2020, Rupee has lost 3.59% against the greenback (informal term for dollar) and performed worst among Asian currencies such as China’s Renminbi, the Philippines’ Peso, Taiwan’s dollar and Korea’s won. These currencies appreciated by more than 4% against the dollar. Monetary easing by US Federal Reserve has caused the greenback index (US Dollar index) to move down by over 10% from its peak in March 2020.
SDG Investor Map for India launched by UNDP and Invest India
SDG Investor Map for India has been launched by UNDP and Invest India. SDG Investor Map for India has 18 Investment Opportunities Areas (IOAs) spread over six critical areas. It has also identified eight White Spaces in which investors have shown interest. Six critical sectors included in SDG Investor Map are Education, Healthcare, Food & Beverages, Renewable Resources & Alternative Energy, Financials and Sustainable Environment.
Inverted duty structure making domestic rubber industry non-competitive in international markets
The inverted duty structure in India is making its domestic rubber industry non-competitive in international markets. Inverted duty structure means import duty on raw materials is high and import duty on finished products is low. Inverted duty structure causes a rise in imports and negatively affects the domestic industry. Under the Free Trade Agreement with ASEAN countries, import duty on natural latex liquid is 70%. But, import duty on latex products is only 5%. It is easier to import finished products than to manufacture them domestically. The duty on rubber products is between 0 to 10%.