Banking, Financial and Economic Awareness

Half Yearly (Jan - June 2021)
2021 Book

Banking Awareness

Topic: Indian Economy

1. FDI equity inflow into India increased by 37% from $32.11 billion to $43.85 billion.

  • In April-November of FY21, FDI equity inflow into India increased by 37% from $32.11 billion in April-November 2019 to $43.85 billion.
  • In April-November of FY21, total FDI increased by 22% from $47.67 billion in April-November 2019 to $58.37 billion. Total FDI includes reinvested earnings.
  • FDI equity inflow and total FDI were highest ever for the first eight months period of a financial year.
  • As per investment trends monitor of United Nations Conference on Trade and Development (UNCTAD), global FDI in 2020 decreased by 42% from $1.5 trillion in 2019 to $859 billion.
  • As per UNCTAD’s investment trends monitor, FDI into India increased by 13% in 2020. Major economies such as the UK, the US and Russia witnessed decline in FDI inflows.
  • UNCTAD’s investment trends monitor report says that China was the world’s largest FDI recipient.
  • In World Investment Report 2020, UNCTAD has estimated 5% to 10% decline in FDI in 2021.
  • Equity capital, reinvested earnings and other direct capital are three components of FDI as per International Monetary Fund (IMF).

Topic: Indian Economy

2. New disinvestment policy is likely to be announced.

  • New policy for disinvestment of Public Sector Enterprises (PSEs) is likely to be announced.
  • On 17 May, Finance Ministry had announced disinvestment policy as part of the Atmanirbhar Bharat initiative.
  • Finance Minister had then announced that government would notify a list of strategic sectors requiring presence of PSEs.
  • Currently, the number of Central PSEs (CPSEs) is more than 200. Out of them, 55 are listed. Government may increase the disinvestment target to ₹3-lakh crore or more in the budget.
  • Government had announced disinvestment target of ₹2.10-lakh crore for 2020-21. Out of this, ₹1.20-lakh crore is to come from stake sale in CPSEs and ₹90,000 crore from stake sale in LIC and IDBI Bank.

Topic: Infrastructure and Energy

3. Electric buses introduced in Andaman and Nicobar (A & N) Islands.

  • With the flagging off of first fleet of electric buses by Lieutenant Governor of A&N, electric buses have been introduced in Andaman and Nicobar Islands.
  • NTPC Vidyut Vyapar Nigam Limited (NVVN) is supplying 40 electric buses to Andaman and Nicobar Islands.
  • NVVN is a wholly-owned subsidiary of NTPC Ltd. It is developing charging infrastructure in cities and has won bid for providing 90 electric buses in Bengaluru.

Topic: Reports and Indices

4. IMF lowers its estimate for India’s GDP contraction in FY21 by 2.3%.

  • In its World Economic Outlook Update January 2021, IMF lowered its estimate for India’s GDP contraction in FY21 by 2.3%.
  • In its World Economic Outlook October 2020, IMF estimated a contraction of 10.3%.
  • In World Economic Outlook Update January 2021, IMF’s GDP growth projection for India in 2021 is 11.5%.
  • IMF’s estimate for GDP contraction is more than government’s first advance estimate of 7.7%.
  • IMF’s projection for growth in global economy is 5.5% in 2021 and 4.2% in 2022. In its World Economic Outlook Update January 2021, IMF estimated global growth contraction for 2020 at -3.5%.

Topic: Appointments

5. Ritesh Tiwari appointed as Executive Director, Finance & Chief Financial Officer of Hindustan Unilever Limited (HUL).

  • Ritesh Tiwari has been appointed as Executive Director, Finance & Chief Financial Officer of Hindustan Unilever Limited (HUL).
  • His appointment will become effective from May 1, 2021. He will replace Srinivas Phatak.
  • Hindustan Unilever Limited is an Indian company. Its CEO is Sanjiv Mehta. Lakmé Cosmetics and Kwality Walls are its subsidiaries.

Topic: Reports and Indices

6. Investment in upskilling can increase global GDP by $6.5 trillion by 2030.

  • As per the Upskilling for Shared Prosperity report, investment in upskilling can increase global GDP by $6.5 trillion by 2030.
  • Upskilling for Shared Prosperity is a report by World Economic Forum (WEF) and PwC, a multinational professional services network of firms.
  • It was released during the World Economic Forum’s online Davos Agenda Summit.
  • As per the report, 53 lakh new jobs could be created by 2030 by increasing investment in upskilling and reskilling of workers.
  • India’s additional employment potential is second highest after US. Additional GDP potential is third highest in India after China and US.

Topic: Appointments

7. UN appoints Jayati Ghosh to high-level advisory board.

  • United Nations has appointed Jayati Ghosh to high-level advisory board on economic, social affairs.
  • High-level advisory board will give recommendations to UN Secretary-General for responding to socio-economic challenges in the post-Covid-19 world.
  • Along with other personalities, Jayati Ghosh will form second UN High-level Advisory Board on Economic and Social Affairs. She is an Indian development economist.
  • In June 2018, United Nations High-level Advisory Board (HLAB) on Economic and Social Affairs was formed.

Topic: Agriculture

8. CCEA approved increase in Minimum Support Price (MSP) of copra.

  • Cabinet Committee on Economic Affairs (CCEA) approved increase in Minimum Support Price (MSP) of copra.
  • MSP of copra has been kept at Rs 10,335 per quintal for 2021 season. It is an increase of Rs 375 over 2020 rates.
  • Minimum Support Price (MSP) is made available for 23 crops on the basis of recommendations of Commission for Agricultural Costs & Prices (CACP). The names of 23 crops are given below.

Cereals

Pulses

Oilseeds

Commercial crops

Paddy, wheat, maize, bajra, jowar, ragi and barley

Chana, arhar/tur, urad, moong and masur

Rapeseed-mustard, groundnut, soyabean, sunflower, sesamum, safflower and nigerseed

Cotton, sugarcane, copra, raw jute

 

Topic: Miscellaneous

9. World Economic Forum’s Davos Agenda Summit to be addressed by PM Modi.

  • World Economic Forum’s Davos Agenda Summit will be addressed by PM Modi.
  • WEF’s Davos Agenda is being organized on 25-29 January 2021. WEF’s Davos Agenda will be a sign of launch of Great Reset Initiative of World Economic Forum.
  • During the summit, architect Sir David Adjaye and photographer Sebastião Salgado won 27th annual Crystal Award.
  • WEF founder Klaus Schwab’s latest book titled ‘Stakeholder Capitalism: A Global Economy that Works for Progress, People and Planet’ was released. WEF’s physical annual meeting will be held in May in Singapore.
  • World Economic Forum (WEF):
    • It was founded in January 1971 by Klaus Schwab.
    • It is headquartered in Cologny, Switzerland.
    • Its motto is “committed to improving the state of the world”.

 

0
COMMENTS

Comments

Share Blog


Banking Awareness

Attempt Daily Banking
Awareness Quiz

Attempt Quiz
Half Yearly (Jan - June 2021)
2021 Book

Banking Awareness

For IBPS, SBI, SEBI, RBI, State PCS, UPSC Exams

Preview Buy Now