Banking Awareness of 1, 2 and 3 May 2025

Topic: RBI

1. Reserve Bank of India (RBI) has reassigned roles among its deputy governors.

• Poonam Gupta has recently taken charge as a deputy governor.
• She is head the monetary policy department.
• Gupta will also be overseeing seven other departments.
• These include corporate strategy, budgeting, communication, and financial stability.
• M Rajeshwar Rao has been given responsibility for six departments.
• These cover coordination, regulation, enforcement, and risk management.
• Rao had been handling the monetary policy department temporarily.
• This was after the retirement of Michael Debabrata Patra in January 2025.
• T Rabi Sankar will supervise 12 departments.
• These include cybersecurity, information technology, payment systems, foreign exchange, and fintech.
• Swaminathan Janakiraman will manage areas like consumer education, supervision, and inspections.
• He will also be responsible for four additional departments.
• The reallocation of duties took effect on May 2, 2025.

Topic: Banking System

2. The Indian government has merged two regional rural banks in Karnataka.

• Karnataka Vikas Grameena Bank and Karnataka Gramin Bank have been combined.
• The new entity is named Karnataka Grameena Bank.
• The merger came into effect on May 1.
• This move supports the government’s ‘One State One RRB’ policy.
• Karnataka Vikas Grameena Bank was based in Dharwad.
• Karnataka Gramin Bank was headquartered in Ballari.
• The new bank will have its head office in Ballari.
• The Central government will hold a 50 per cent stake in the bank.
• The Karnataka government will hold 15 per cent.
• Canara Bank, the sponsor bank, will hold the remaining 35 per cent.
• The bank will operate across all districts in Karnataka.
• It has become the second-largest regional rural bank in India.
• Sreekant M Bhandiwad has been appointed as the bank’s chairman.
• He was previously the chairman of Karnataka Vikas Grameena Bank.

Topic: MoUs/Agreements

3. Sa-Dhan has entered into an agreement with Bank of India.

• The goal of the agreement is to enhance financial opportunities for micro, small, and women-led businesses.
• The partnership aims to contribute to national goals related to financial inclusion and sustainable development.
• Sa-Dhan is a self-regulatory body for microfinance and impact investment institutions. It is recognized by the Reserve Bank of India.
• The agreement is non-commercial. It focuses on enterprise loans for SHG and non-SHG individuals, eco-friendly financing, WASH-related funding, joint lending with MFIs, and promoting financial literacy.
• Sa-Dhan will help identify entrepreneurs who need funding.
• This includes individuals both within and outside SHGs.
• Training sessions will be organized for SHG members, Vitta Sakhis, and rural business owners.
• The initiative will promote the use of digital tools and financial technology. Bank of India will collaborate in this effort.
• Jiji Mammen is the Executive Director and CEO of Sa-Dhan. He said the partnership will ensure fair access to credit.
• The initiative will expand enterprise lending in rural and semi-urban areas.
• It will strengthen women-led businesses through digital adoption and financial education.

Topic: Regulatory Bodies/Financial Institutions

4. SEBI has issued a warning about ‘Opinion Trading’ platforms.

• These platforms allow users to bet on the outcome of yes-or-no events.

• They often imitate legitimate trading services. This is done by using terms like profits, stop loss, and trading.
• SEBI clarified that such activities are usually outside its regulatory scope.
• The reason is that the items traded are not considered securities.
• Investors should be aware that SEBI’s protection mechanisms do not apply in these cases.
• These platforms are not recognized as official stock exchanges. They are also not registered or regulated by SEBI.
• Conducting securities trades on them is illegal. It can result in regulatory action.
• SEBI has urged recognized exchanges to take action against such violations.
• The press release aims to make the public aware about SEBI’s limited role regarding these platforms.

Topic: Infrastructure and Energy

5. On 2 May, Vizhinjam International Port—India’s First Semi-Automated Port inaugurated by PM Modi.

• Prime Minister Narendra Modi arrived in Kerala for a two-day visit ahead of the inauguration of the Vizhinjam International Port.
• The 'Vizhinjam International Deepwater Multipurpose Seaport,' worth ₹8,900 crore, inaugurated by Prime Minister Narendra Modi.
• The Vizhinjam Port, located in Thiruvananthapuram, developed under a public-private partnership with Adani Ports and SEZ Ltd.
• The Prime Minister visited the port's operations building and inspected its advanced control systems.
• The first phase of the port’s construction had been substantially completed by December 2024.
• Vizhinjam Port, the dream project of the state of Kerala, is finally becoming a reality after a long wait of almost three decades.

Topic: MoUs/Agreements

6. Centre and UNDP joined hands to empower waste pickers under the Namaste scheme.

• A Letter of Agreement (LoA) was signed on Labour Day between the Centre and the United Nations Development Programme (UNDP) to enhance the working conditions and financial access for waste pickers.
• The agreement was exchanged between Amit Yadav, Secretary of the Department of Social Justice and Empowerment, and Angela Lusigi, UNDP’s Resident Representative in India.
• The initiative is being implemented under the expanded scope of the National Action for Mechanised Sanitation Ecosystem (NAMASTE), which included waste pickers as a key target group in 2024.
• As part of the agreement, financial support will be extended by the UNDP to establish state project management units (PMUs) to improve coordination and implementation between central and state authorities.
• The waste-picking component of Namaste aims to formally identify and provide assistance to around 2.5 lakh people engaged in this activity across the country through a digital profiling and registration drive.
• Benefits such as occupational photo ID cards, Ayushman Bharat-PMJAY health insurance, skill development, PPE kits, and capital subsidies for waste collection vehicles will be provided under the scheme.
• Over 5,000 waste pickers have already been digitally profiled, marking a significant step in their formal recognition and inclusion in India’s sanitation workforce.

Topic: Committees/Commissions/Taskforces

7. Lok Sabha Speaker Om Birla has appointed BJP MP Sanjay Jaiswal as the head of the Estimates Committee for 2025–26.

• The committee will function until April 30, 2026. It has 30 members.
• The members come from various political parties.
• These include the BJP, Congress, Samajwadi Party, TMC, DMK, and Shiv Sena (UBT).
• BJP MP Baijayant Panda has been chosen to lead the Committee on Public Undertakings.
• His term will also cover the 2025–26 period.
• This committee has 22 members. Fifteen of them are from the Lok Sabha. Seven are from the Rajya Sabha.
• Estimates Committee:
  • During the post-independence period, first estimates committee was set up in 1950.
  • It was set up on the recommendation of then Finance Minister John Mathai.
  • Its all members are from Lok Sabha. Rajya Sabha has no representation in it.
  • It examines the estimates included in the budget.
• Committee on Public Undertakings:
  • It was created in 1964. It was created on the recommendation of Krishna Menon Committee.
  • It has members from both Lok Sabha and Rajya Sabha.
  • It examines reports and accounts of public sector undertakings.

Topic: Indian Economy/Financial Market

8. India’s total exports for the financial year 2024-25 reached an all-time high of 824.9 billion dollars.

• This is as per the latest data released by RBI. This includes the services trade for March 2025.
• This marks a 6.01% increase compared to the previous year’s total of 778.1 billion dollars.
• Services exports rose sharply by 13.6%. It reached an all-time high of 387.5 billion dollars.
• In March 2025 alone, services exports increased by 18.6% year-on-year.
• They amounted to 35.6 billion dollars for the month.
• Merchandise exports during the year totaled 437.4 billion dollars.
• Non-petroleum goods exports reached 374.08 billion dollars.
• This represents a 6% rise over the previous year.
• The final export numbers exceeded the earlier estimate of 820.93 billion dollars by the Commerce Ministry.

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