Banking Awareness of 19 and 20 March 2025

Topic: Reports and Indices

1. As per RBI’s latest remittances survey, there is a shift in migration trends.

• The survey finds more skilled professionals are going out of India. 
• Advanced economies now contribute to higher share of India's remittances.
• This contribution is higher than the contributions from Gulf countries. 
• In 2023-24, US had the largest share of remittances into India at 27.7%. US was followed by the UAE with 19.2%. 
• In 2016-17, UAE led with 26.9%. US stood at 2nd spot with 22.9%. 
• In 2023-24, remittances from the US, UK, Singapore, Canada, and Australia constituted more than half of the total. 
• Share from GCC countries declined to 37.9%. This declined from 46.7% in 2016-17. 
• GCC countries include UAE, Saudi Arabia, Kuwait, Qatar, Oman, and Bahrain.
• Maharashtra was top recipient of remittances in 2023-24.
• Maharashtra surpassed Kerala. Kerala had held the top spot in 2016-17. 
• India's share of global remittances has grown from 11% in 2001 to around 14% in 2024. 
• India’s remittances will reach $160 billion by 2029. In 2023-24, 73.5% of remittances were sent digitally. 

Topic: Banking/Financial/Govt Schemes

2. An incentive scheme for the promotion of low-value BHIM-UPI transactions approved by the Cabinet on 19 March.

• The government will implement the scheme at an estimated outlay of ₹1,500 crore.
• This scheme will enable small merchants to avail UPI services without any additional cost.
• Small traders will be provided incentives at the rate of 0.15% per transaction value on transactions up to Rs 2,000.
• Also, the government approved the revised Rashtriya Gokul Mission to boost livestock sector growth.
• This scheme will significantly increase milk production and productivity, thereby increasing the income of farmers.
• The Cabinet also approved the Revised National Program for Dairy Development to modernize and expand dairy infrastructure.

Topic: Taxation

3. A12% provisional safeguard duty on steel imports has been proposed by India’s DGTR.

• A 12% provisional safeguard duty on steel imports has been proposed by India's Directorate General of Trade Remedies (DGTR).
• The proposed duty includes imports from China and Vietnam. 
• The proposed duty will last for 200 days. This duty will not be applied to imports from other developing countries, except China and Vietnam. 
• As per the preliminary findings, there is a significant rise in steel imports.
• This rise poses serious harm to the domestic steel industry. 
• A 12% safeguard duty is necessary to safeguard the domestic industry from damage. 
• Steel imports originating from China and Vietnam stand at more than 3% of total steel shipments into India. 
• Imports originating from other developing countries each make up less than 3%.
• Collectively, these imports account for not over 9%. 
• The products like hot-rolled coils, cold-rolled coils, metallic-coated steel, and color-coated steel will be subject to the safeguard duty. 
• Exemptions include stainless steel. Certain specialty items such as specific coated steels will also be exempted. 

Topic: Reserve Bank of India

4. Indranil Bhattacharyya has been appointed as Executive Director of RBI.

• Indranil Bhattacharyya will oversee the Department of Economic and Policy Research.
• His appointment is effective from March 19, 2025.
• Before this role, he served as an adviser in RBI’s Monetary Policy Department.
• He has worked in the Monetary Policy Department, and the Department of Economic and Policy Research.
• He has also worked on the International Department of the Reserve Bank on monetary policy, fiscal policy, banking, and international economic relations.
• He was also an economic expert in the Technical Office of the Governor at Qatar Central Bank, Doha, Qatar, during 2009-14.
• He is having a Postgraduate degree in Economics from Jawaharlal Nehru University, New Delhi.

Topic: Committees/Commissions/Taskforces

5. A high-level committee has been formed to resolve regulatory challenges in the fintech sector in India.

• It will be chaired by chaired by the secretary of the Department of Financial Services (DFS).
• The high-level committee has senior officials from key ministries, regulators, and startup founders.
• The panel will assess the current framework and suggest policy changes to support industry growth while ensuring financial stability.
• Regulators such as the Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI) are also part of this panel.
• The government has also included fintech leaders from companies like Billdesk, Acko General Insurance, Groww, and Jupiter in this panel.
• The panel is expected to submit its report within three months of its first meeting. The panel will shape the next phase of fintech regulation.

Topic: Appointments

6. Intel appointed chip industry veteran Lip-Bu Tan as CEO.

• Intel named former board member and chip industry veteran Lip-Bu Tan as its CEO.
• Tan says his main aim is to restore Intel's world-class status.
• Intel is undergoing a historic transition as it attempts to emerge from one of its bleakest periods.
• Intel has considered big changes to its chip manufacturing methods and AI strategies.
• This appointment had come after three months when Pat Gelsinger left the position.
• Intel Corporation is an American multinational corporation and technology company headquartered in Santa Clara, California.

Topic: Reserve Bank of India

7. RBI will establish an 'on Tap' cohort focused on climate change risks and sustainable finance within its regulatory sandbox framework.

• RBI will also host a 'Greenathon' event centered on climate change and related topics.
• As per RBI Governor Sanjay Malhotra, there are two main aspects of climate change risks.
• They are facilitative and prudential aspects.
• The facilitative aspect includes capacity building and funding the green transition. Prudential aspect deals with risk management.
• Climate change risks impact key financial risk categories. These categories include credit, market, and operational risks.
• RBI’s role is to facilitate the promotion of green and sustainable finance.
• The impact of climate change risks extends beyond the financial system.
• The climate change risks affect industries like corporate businesses, MSMEs, and agriculture.
• Addressing these risks requires strong coordination and alignment involving financial regulators, entities, and various government bodies.

Topic: Miscellaneous

8. Government e-marketplace crossed Rs.5 lakh crore GMV.

• The Government e-Marketplace (GeM) has crossed Rs.5 lakh crore in Gross Merchandise Value (GMV) ahead of FY2024-25.
• This achievement marked rapid growth as a key platform for public procurement.
• GeM’s contributions to public savings have exceeded Rs.1,15,000 crore.
• With the help of this platform, registered buyers can facilitate ministries, departments, public sector enterprises, and local bodies.
• In FY 2024-25, GeM executed one of the largest cloud migrations by a government organization, enhancing scalability and improving the platform’s reliability.
• GeM has implemented key policy reforms to increase market accessibility and support a wide range of sellers, including Micro and Small Enterprises (MSEs), startups, and women-led businesses.
• More than 22 lakh sellers and service providers are registered on GeM.

Read Banking Awareness PDF - 19 and 20 March 2025