Banking Awareness of 24 and 25 September 2023

Topic: Indian Economy/Financial Market

1. FPIs outflow in equities market have reached beyond Rs 10,000 crore mark in September.

• Prior to the outflow, FPIs continuously bought Indian equities in the preceding six months, from March to August, 2023.
• FPIs brought in Rs 1.74 lakh crore during March to August, 2023.
• FPIs have taken out money in September mainly due to rising US interest rates, recessionary fears, and overvalued domestic stocks.
• FPIs have taken out Rs 10,164 crore in the 15 trading days, so far in September.
• Out of the total withdrawal of Rs 10,614 crore till 22 September, more than Rs 4700 was withdrawn in the last week alone.
• FPI investment in equities reached a four-month low of Rs 12,262 crore in August.
• As of September 15, the highest outflows were registered in mining, power, services, oil, and telecommunication.

Topic: Banking System

2. Axis Bank has launched the NEO for Business platform.

• It offers features such as digital self-onboarding, bulk payments, and GST-compliant invoicing.
• It also offers features such as payment gateway integration and end-to-end transaction tracking.
• It is a transaction banking platform tailored for Indian Micro, Small, and Medium Enterprises (MSMEs).
• The platform can be accessed by existing current account customers of the bank via a mobile app or web-based digital registration.
• The platform initially caters to sole proprietorship entities and individuals within the MSME sector.
• It will soon extend its services to companies, partnerships, and LLPs.
• Axis Bank is the third-largest private sector bank in India that is headquartered in Mumbai. Its MD & CEO is Amitabh Chaudhry. It is headquartered in Mumbai.

Topic: Appointments

3. Sanjeev Mantri will be MD and CEO of ICICI Lombard.  

• Mantri will become MD and CEO from December 1, 2023, or the date of IRDAI approval, whichever is later.
• Mantri will be MD and CEO for a period of five years from taking charge.
• Mantri is currently an Executive Director at ICICI Lombard General Insurance.
• Recently, Bhargav Dasgupta resigned from his position as MD&CEO of the company to pursue a career outside India.
• Bhargav Dasgupta has been appointed as Vice-President of market solutions for 3 years by Asian Development Bank (ADB).

Topic: Indian Economy/Financial Market

4. S&P Global Ratings has kept India’s GDP forecast at 6% for FY24.

• S&P Global Ratings has increased inflation estimate by 50 bps to 5.5%.
• According to S&P Global Ratings, it is estimated that India will grow at 6.9%, 6.9% and 7% during FY25, FY26 and FY27, respectively.
• Recently, S&P Global Market Intelligence has increased India’s growth forecast for FY24 to 6.6%.
• India’s GDP forecast for 2023-24 was raised by the Organization for Economic Cooperation and Development (OECD) from 6% projected earlier to 6.3%.
• Fitch Ratings revised growth forecast from 6% to 6.3% for the current fiscal year.
• The report of S&P Global is titled Economic Outlook Asia-Pacific Q4 2023: Resilient Growth Amid China Slowdown.
• In this report, S&P Global observed there has been robust consumption growth in India along with Hong Kong, Indonesia, Taiwan, and Thailand.
• The report also highlights strong capital expenditure growth in India, Australia, Malaysia and New Zealand.
• S&P Global Ratings has cut China growth forecast for 2023 from 5.2% to 4.8%.

Topic: Taxation

5. India has suo motu started anti-dumping investigations on three products from China.

• This is part of India’s effort to guard MSME units against the cheap imports from neighbouring countries.
• The three products are telescopic channel drawer sliders, fasteners and unframed glass mirrors.
• Director General of Trade Remedies (DGTR) has initiated three separate notifications for suo motu initiation of anti-dumping probe.
• This has come after India starting anti-dumping probe on sulphur black and certain vacuum flasks from China.  
• The suo-motu initiation in the case of drawer sliders has come after a complaint which was filed by Highhope Firniture Fittings Manufacturers’ Associates Pvt Ltd.
• The first ever suo motu investigation was in the year 2000 on dry batteries from China.
• In 2022-23, India’s merchandise trade deficit with China was $83 billion.

Topic: Reports and Indices

6. Around 40% of Indian graduates under 25 years are unemployed.

• According to a report published by Azim Premji University, the unemployment rate among Indian graduates under 25 years remains 42% in 2021-22.
• The overall unemployment rate had declined to 6.6 per cent in 2021-22 from 8.7 per cent in 2017-18.
• The unemployment rate remains at 21.4 per cent among youths under 25 years who have completed higher secondary.
• The unemployment rate was 18.1 per cent and 15 per cent for youths who passed secondary and middle education, respectively.
• The unemployment rate was 15% for overall graduates.
• It indicates that with lower educational qualifications, the rate of unemployment also decreases.
• As per the report, 60 per cent of women are self-employed as compared to 50 per cent before the pandemic.
• This report states that job creation was interrupted by the pandemic which caused larger growth in distressed employment.
• The number of workers from Scheduled Castes engaged in waste-related and leather-related work has declined rapidly.
• The report states that even in the smallest firm sizes SC-ST are under-represented as compared to their share in the overall workforce.
• In 2018, 75.6 per cent of SC/ST men in casual wage work also had sons involved in casual wage work.
• In 2018, there were only 53 per cent of people in the general category whose sons were also engaged in the same work.

Topic: Miscellaneous

7. Railways has increased ex gratia relief in train accidents by 10 times.

• The Railway Board has decided to increase the amount of ex-gratia relief paid to the dependents of deceased and injured passengers involved in Train Accidents by 10 times.
• In the case of the deceased person, 5 lakh rupees will be given to the kin. 2,50,000 rupees will be given in case of grievous injury.
• 50,000 rupees will be paid in case of simple injury.
• Previously, these amounts were Rs 50,000, Rs 25,000 and Rs 5,000 respectively.
• The ex-gratia relief was last revised in 2012 and 2013.
• This ex-gratia will be given only if Railways is found prima facie liable.
• The Railway Board has clarified that no ex-gratia relief would be provided in the case of an accident at unmanned level crossing, trespassers, or persons electrocuted by OHE (Over Head Equipment).
• In the case of untoward incidents, the dependents of dead persons will get Rs 1.5 lakh.
• Grievously injured and simply injured passengers of untoward incidents will get Rs 50,000 and Rs 5,000 respectively.
• Untoward incidents are offences such as terrorist attacks, violent attacks and robberies on a train.

Topic: Awards and Prizes

8. The debut novel, Western Lane, of Indian-origin Chetna Maroo shortlisted for the Booker Prize 2023.

• Indian-origin writer Maroo was born in Kenya and currently lives in London, UK.
• Her novel highlights the British Gujarati community and focuses on an 11-year-old girl named Gopi who explores her relationship with her family.
• The novel was published on February 7 earlier this year.
• The book has earned praise from Booker judges for its innovative use of squash as a metaphor to explore complex human emotions.
• In 2022, the award was given to Sri Lankan author Shehan Karunatilaka's novel "The Seven Moons of Maali Almeida".
• The winner will be revealed at an awards ceremony in London on 26 November.
• Booker Prize is a literary prize awarded every year for the best novel written in English and published in the UK or Ireland.
• The prize was launched in 1969 with an aim to promote the finest in fiction.
• The winner receives £50,000, a cheque for £2,500 that is given to all the shortlisted authors, and a designer-bound copy of their book.
• Bernice Rubens was the first woman to be awarded the Booker Prize in 1970 for “The Elected Member”.

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