Banking, Financial and Economic Awareness of 19 and 20 March 2021

Topic: MoUs/Agreements

1. Labour Bureau inks an agreement with BECIL for conducting All India survey on Migrant workers.

• The Labour Bureau and Broadcast Engineering Consultants India Limited (BECIL) have signed an agreement for conducting an All India survey on migrant workers.
• The survey will be done by the Labour Bureau and technology for the survey will be provided by BECIL. The technology provided by BECIL will help in reducing the completion time of the survey.
• It will provide crucial data on migrant workers and the employment condition in formal and informal sectors.
• It will be the first IT-enabled survey that will be undertaken by an organization on such a large scale.
• Labour Bureau will launch and complete All India survey on Migrant workers, Domestic workers, employment generated by professionals and employment generated in the transport sector.
• Labour Bureau is an attached office of the Ministry of Labour & Employment.
• BECIL is a Mini Ratna Company under the Information and Broadcasting Ministry.

Topic: Regulatory Bodies/Financial Institutions

2. DPIIT changes norms on downstream investments made by Non-Resident Indians (NRIs).

• Department for Promotion of Industry and Internal Trade (DPIIT) has changed Norms on downstream investments made by Non-Resident Indians (NRIs).
• As per changed norms, NRI downstream investments on a non-repatriation basis will be treated equal with domestic investments or investments made by residents.
• They will not be considered for the calculation of indirect foreign investments. 
• Downstream investment is an investment by an Indian entity in another company.
• Indirect foreign investment is an investment made by an intermediate Indian Company in an Indian entity.
• Direct Foreign Investment is an investment by a non-resident in an Indian entity.

Topic: Regulatory Bodies/Financial Institutions

3. CCI gives approval to acquisition of 51% equity share of NESCO Utility by Tata Power Company Limited (TPCL).

• Competition Commission of India (CCI) has given approval to acquisition of 51% equity share of NESCO Utility by Tata Power Company Limited (TPCL).
• TPCL will acquire 51% equity share capital of North Eastern Electricity Supply Company of Odisha (NESCO Utility) from Grid Corporation of Odisha Limited (GRIDCO).
• Under Section 20 of the Electricity Act, 2003, the Odisha Electricity Regulatory Commission (OERC) initiated a competitive bidding process for acquisition.
• TPCL is a part of the Tata group. NESCO Utility carries out the distribution of power in certain districts of Odisha.

Topic: Miscellaneous

4. IRCTC and FHRAI enter into partnership to provide hotel accommodation to tourists.

• Indian Railway Catering and Tourism Corporation (IRCTC) and the Federation of Hotel and Restaurant Associations of India (FHRAI) enter into a partnership to provide hotel accommodation to tourists.
• The partnership will enable FHRAI’s hotel members as well as its regional associations to offer their inventory for sale as online accommodation partners.
• Accommodation partners will be empaneled for three years period and empanelment is extendable every three years without any charges.
• Three star category hotels affiliated to FHRAI and its regional associations will be offered 2% discount on the commission payable to IRCTC.
• Federation of Hotel and Restaurant Associations of India (FHRAI) is an association of the Hospitality Industry. It is sponsored by four regional associations of the Hospitality Industry.

Topic: RBI

5. RBI released a survey on Computer Software and Information Technology export service for FY20.

• RBI has released a survey on Computer Software and Information Technology export service for FY20.
• The export of software services in India stood at US $ 128.6 billion during 2019-20, an increase of 9.1 percent over the last year.
• The contribution of Computer services is 66.6%, and that of ITES / BPO services is 33.4% in the total software services exports.
• The major destination for software exports with a 56.6 percent share was the USA, while 27.6 percent of software was exported in Europe.
• The major invoice currency for software exports with a 71.6 percent stake was the US dollar. Euro and pound sterling together accounted for 16.7 percent.
• The preferred mode of delivery of the total export of software services remained Off-site.
• During the FY20, the share of exports of software services through cross-border supply mode increased.
• The USA and the UK were a major destination for Software exports by foreign affiliates through commercial presence, which stood at US$ 16.6 billion in 2019-20.

Topic: Regulatory Bodies/Financial Institutions

6. IRDAI modifies guidelines on standard individual health insurance products.

• Insurance Regulatory and Development Authority of India (IRDAI) modifies guidelines on standard individual health insurance products.
• In revised guidelines, IRDAI has increased the maximum sum insured limit from Rs 5 lakh earlier to Rs 10 lakh to increase coverage available under “Arogya Sanjeevani Policy” or standard individual health insurance product.
• As per the guidelines, it is mandatory for insurers to offer the sum insured between Rs 50,000 to Rs 10 lakh under the standard product Arogya Sanjeevani with effect from 1 May 2021 or earlier.
• Insurance Regulatory and Development Authority (IRDAI):
  • The Insurance Regulatory and Development Authority is an autonomous, statutory body of India.
  • It aims to regulate and promote the insurance and re-insurance industries in India.
  • It was established in 1999. It is headquartered in Hyderabad.

Topic: Committees/Commissions/Taskforces

7. Government forms 11 committees to fasten India’s transition from linear to circular economy.

• Government has formed 11 committees to fasten India’s transition from linear to circular economy.
• These committees are led by the concerned line ministries. They comprise officials from MoEFCC and NITI Aayog, domain experts, academics and industry representatives.
• They will develop a comprehensive action plan for transitioning from linear to the circular economy in 11 focus areas.
• A linear economy model is also referred as ‘Take-Make-Dispose’.
• Circular economy means an economic system focused on eliminating and reusing waste.

Read Banking Awareness PDF - 19 and 20 March 2021