Banking, Financial and Economic Awareness of 20 November 2019

1. Wireless subscribers base increases to 1.17 million in September

• According to the data released by the Telecom Regulatory Authority of India (TRAI), the wireless subscribers base in India has widened to 1.17 million at the end of September.
• Reliance Jio and BSNL are the top gainers, while all other operators like Vodafone Idea, Bharti Airtel lost the subscribers in September.
• Telecom Regulatory Authority of India (TRAI):
  • It is a statutory body established under the Telecom Regulatory Authority of India Act, 1997.
  • It issues directions, orders and regulations concerning tariffs, interconnection, quality of service and governance.
  • Headquarters: New Delhi
  • Chairman: Dr. R. S. Sharma

2. Centre nod for setting up a dedicated cell to promote Agri startups

• The government will be setting up a dedicated cell for agriculture startups and small entrepreneurs.
• The startups can help farmers in doubling their income and reducing costs.
• There are around 5,000 FPOs in India that can act as a medium for innovation.
• Food Producer Organisations (FPOs):

• It is a registered legal entity in which the farmers are the shareholders. It works for the benefits of the farmers, and a part of the profit is shared among the shareholders while the rest is used for business expansion.
• Small Farmer’s Agribusiness Consortium (SFAC) provides support for the promotion of FPOs.

3. SEBI directs trading and clearing members to collect certain margins in cash segment

• SEBI has issued directions on ‘Collection and reporting of margins by Trading Member (TM) /Clearing Member (CM) in Cash Segment.’ Some of the provisions would come into force from January 1, 2020 while the rest would be applicable from April 1, 2020.
• According to the circular, the trading and clearing members should essentially collect certain margins in the cash segment.
• Securities and Exchange Board of India (SEBI)
  • It is the regulator of the securities market in India and aims to protect the interests of investors in securities.
  • It is a statutory body that was established under the provisions of the SEBI Act, 1992.
  • Its headquarters is located in Mumbai, and its current chairperson is Ajay Tyagi.

4. Konark Urban Co-operative Bank fined for violating guidelines

• A fine of Rs. 4 lakh has been imposed by Reserve Bank of India on Konark Co-operative Bank under the provisions of Banking Regulation Act, 1949.
• The bank is fined for violating the instructions of RBI regarding director-related loans.
• Urban Co-operative Banks:
  • These are the primary banks that are located in urban and semi-urban areas. They primarily lend to small borrowers and businesses. These are further classified as scheduled and non-scheduled urban co-operative banks.
  • These are partly regulated by RBI.
• Konark Urban Co-operative Bank:
  • It was formed in 1998 with the name the Swaraj Urban Co-operative Bank and was renamed to Konark Urban Co-operative Bank in 2011.
  • Chairman- Nand Jethani