1. Rakesh Sharma re-appointed as MD & CEO of Mumbai-headquartered IDBI Bank.
- The board of directors of IDBI Bank has approved Rakesh Sharma's re-appointment as managing director and chief executive officer (MD&CEO).
- He will be appointed for a three-year term. The reappointment of Sharma as the MD and CEO of the bank has also got the approval of the banking regulator, Reserve Bank of India (RBI).
- IDBI Bank was set up in 1964. It is headquartered in Mumbai. In 2019, LIC acquired a 51 percent share in IDBI Bank.
- Currently, the government of India and the Life Insurance Corporation of India own 94.71 percent of the bank.
2. RBI announces timeframe for implementation of Core Financial Services Solution (CFSS) by NBFCs.
- RBI has said that NBFCs – Middle and Upper Layers with 10 and more Fixed Point Service Delivery Units (FPSDUs) as on October 1, 2022 shall mandatorily implement CFSS on or before September 30, 2025.
- However, NBFCs-Upper Layer (NBFC-UL) are required to implement Core Financial Services Solution (CFSS) in at least 70% of FPSDUs on or before September 30, 2024.
- The implementation of CFSS is not mandatory for NBFC – Base Layer and NBFC – Middle and Upper Layers with fewer than 10 FPDSUs.
- Such NBFCs can consider implementation of CFSS for their own benefit.
- NBFCs will be required to submit quarterly progress report on implementation of CFSS to the RBI’s Senior Supervisory Manager (SSM) Office from March 31, 2023.
- Four layer regulatory structure for NBFCs:
- In October 2021, RBI has issued Revised Regulatory Framework for NBFCs. Regulatory structure for NBFCs was categorized into four layers on the basis of size, activity, and perceived riskiness.
- NBFCs in the lowest layer were called NBFC - Base Layer (NBFC-BL). The Top Layer was called NBFC - Top Layer (NBFC-TL).
- NBFCs in middle layer and upper layer were termed NBFC - Middle Layer (NBFC-ML) and NBFC - Upper Layer (NBFC-UL) respectively.
- Non-Banking Financial Companies (NBFCs):
- Non-Banking Financial Companies (NBFCs) are companies registered under the Companies Act, 1956 and regulated by RBI under RBI Act, 1934.RBI (Department of Non-Banking Supervision-DNBS) is the regulator of NBFCs.
- NBFCs are not allowed to accept demand deposits. Their depositors do not get a deposit insurance facility of Deposit Insurance and Credit Guarantee Corporation. So, they are different from banks.
3. Hindustan Unilever Ltd (HUL) separated position of Chairman of the Board and the CEO and Managing Director.
- It has appointed Nitin Paranjpe as a Non-Executive Chairman with effect from March 31.
- Sanjiv Mehta will continue to work as the Chief Executive Officer & Managing Director (CEO&MD).
- Hindustan Unilever Ltd is a subsidiary of Unilever, a British company. It is headquartered in Mumbai.
Topic: Indian Economy/Financial Market
4. Russia’s military operation into Ukraine triggers largest Sensex decline in two years.
- The Sensex fell 2702.15 points, or 4.72 percent to close at 54,529.91. NSE Nifty fell 815.30 points or 4.78 per cent to 16,247.95.
- On 24th February, benchmark indices recorded their fourth-worst point-wise drop in history.
- BSE-market cap declined to Rs 242.11 lakh crore. Inflation will increase if crisis due to Russia and Ukraine continues.
- Nifty Smallcap declined 6.25% and Nifty Midcap declined 5.74%. Nifty 500 ended down 5.04 per cent. It the broadest index on NSE.
- Crude oil prices increased to their highest since 2014 near $100 per barrel.
- The rupee ended 29 paise weaker as banks purchased dollars. Government securities (G-Sec) prices declined sharply.
- Sensex and Nifty index:
- Sensex includes 30 companies. They are traded on Bombay Stock Exchange (BSE). On the other hand, Nifty index includes 50 companies. They are listed on National Stock Exchange (NSE).
- While Sensex was started in 1986, Nifty index was started in 1996.
- While Sensex is a benchmark index of Bombay Stock Exchange, Nifty (National Stock Exchange Fifty) index is a benchmark index of National Stock Exchange.
5. Centre released a “National Strategy on Additive Manufacturing (AM)” or 3D printing.
- National Strategy on Additive Manufacturing aims to add $2-3 billion to the GDP by 2025.
- Centre have plans to create 50 India-specific technologies to make India a 3D-printed design and manufacturing hub.
- As per the strategy, India will aim to achieve targets like 50 India specific technologies for material, machine and software, 100 new startups for additive manufacturing and 500 new products.
- The aim of National Strategy on Additive Manufacturing (AM) is to create a conducive ecosystem for design, development and deployment.
- It also aims to overcome technical and economic barriers for Global AM leaders to establish their operations with supporting ancillaries in India.
- Ministry of Electronics and Information Technology aims to raise India’s share in global additive manufacturing to 5% within the next 3 years.
- In 3D printing, computer-aided designing is used to make prototypes or working models of objects by laying down successive layers of materials like plastic, resin, thermoplastic, metal, fiber or ceramic.
6. Sanjeev Sanyal appointed full-time member into EAC-PM.
- Sanjeev Sanyal has been appointed as a full-time member of the Economic Advisory Council to the Prime Minister (EAC-PM).
- Before this, he was the Principal Economic Adviser to the Finance Minister.
- Sanjeev Sanyal was appointed as Principal Economic Adviser of the Finance Minister in 2017.
- He has been appointed for two years. He has been working with the financial markets since the 1990s.
- Economic Advisory Council to the Prime Minister (EAC-PM):
- It is an independent body constituted to advice on economic and related issues to the Prime Minister.
- Current Chairman: Dr. Bibek Debroy
- The Chairman had the rank equivalent to a Cabinet Minister of India.
7. India elected for the chairmanship of International Rubber Study Group (IRSG).
- KN Raghavan will be the Chairman of IRSG for the next two years. He is head of Indian delegation to IRSG, and Executive Director of Indian Rubber Board.
- The position of chairman was vacant because Cote’d Ivoire (a country on the southern coast of West Africa) completed its term as chairman.
- International Rubber Study Group (IRSG):
- It is the inter-governmental organization of natural rubber and synthetic rubber producing and consuming countries.
- IRSG was formed in the year 1944 with Singapore as headquarters.
- It is the only International commodity body that has been approved by Common Fund for Commodities for development financing in rubber sector.
8. Vipula Gunatilleka appointed as CFO of Jet Airways.
- Jalan Kalrock Consortium has appointed Vipula Gunatilleka as CFO of Jet Airways.
- He will join as Chief Financial Officer from March 1, 2022. Jalan Kalrock Consortium is new promoter of Jet Airways.
- He was CEO of SriLankan Airlines until January 2022. He was the CFO & Board Member of TAAG Angola Airlines before that.
9. Reserve Bank of India has issued a warning to the public against the use of the carpooling app sRide.
- RBI said that the sRide is being run without the required permissions.
- It further said that Gurgaon-based sRide Tech Private Limited is operating a semi-closed wallet without getting the necessary authorization under Payment and Settlement Systems Act, 2007.
- sRide is a carpooling mobile application that connect people in the community to share rides.
- Payment and Settlement Systems Act, 2007:
- It came into force with effect from August 2008. It provides for the regulation and supervision of payment systems in India.
- It designates RBI as the authority for the regulation and supervision of payment systems in India.
- Payment and settlement systems in India are regulated by RBI and Board for Regulation and Supervision of Payment and Settlement Systems (BPSS).