1. Government to make SEZs WTO compliant
- The government is thinking about alternative incentives for SEZs to make them compliant with WTO norms.
- Under WTO norms, India cannot continue with subsidies as annual Gross National Income (GNI) has remained greater than $1,000 annually for three continuous years.
- On October 31, WTO ruled against India and found India's export subsidies inconsistent with international trade rules.
- Special Economic Zone (SEZ):
- SEZ concept was introduced in the export-import policy of 2000.
- The main aim of the SEZ concept is to attract Foreign Direct Investment (FDI).
- The government has notified 351 SEZs till now. Out of these, only 234 are currently operational.
2. GST Council to establish Grievance Redressal Committee (GRC)
- At its 38th meeting on December 18, GST Council has decided to establish a Grievance Redressal Committee (GRC).
- GRC will be established at zonal and state levels for two years.
- It will consist of tax officers from center and state, trade and industry representatives, and other GST stakeholders.
- GRC will examine and resolve the grievances of taxpayers.
3. Gross NPA ratio of NBFCs increases
- As per the Trend and Progress of Banking in India report by RBI, the gross NPA (GNPA) ratio of NBFCs increases from 5.3 % in 2017-18 to 6.1 % in 2018-19.
- Net NPA ratio had increased from 3.3% in 2017-18 to 3.4 % in 2018-19.
- Credit deployment to the consumer durables sector decreased by 40.9 % in FY19.
- Credit deployment to micro and small, medium industrial sectors decreased by 18.8% and 15.3%, respectively.
- Credit to vehicle/auto loans and education loans have grown.
- Non-Performing Assets (NPAs) are those loans for which payment of interest or principal is due for 90 days or more.
4. Committee of External Eminent Persons/Experts for oil and gas sector disputes
- The government has formed a three-member Committee of External Eminent Persons/Experts for the time-bound resolution of oil and gas sector disputes.
- The committee will have G C Chaturvedi, Bikash C Bora and Satish Pai as its members.
- The tenure of the committee will be three years.
- It will work under Arbitration and Conciliation Act, 1996.
- It will try to resolve disputes within three months through a settlement agreement.
- The committee members and dispute parties can increase time for settlement through a mutual agreement.
5. Rs 70,000 crore recovered by banks
- RBI data show that in 2018-19, scheduled commercial banks recovered Rs 70,000 crore under IBC.
- Rs 70,000 crore was recovered from 1,135 cases before NCLT in 2018-19.
- In 2017-18, banks recovered Rs 4,926 crore from 704 cases before various NCLT benches.
- Recovery percentage declined from 49.6 % in 2017-18 to 42.5 % in 2018-19.
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