Topic: Indian Economy/Financial Market
1. T+1 or 'Trade plus 1' settlement cycle has been started in stock market on 25th February.
- In the first phase, T+1 settlement cycle will be applicable for the 100 stocks based on the lowest market capitalisation on the NSE.
- On the last Friday of each month, 500 stocks will be added under the new settlement mechanism.
- In the stock market, there is a settlement cycle of buying and selling of shares in the stock market.
- Settlement means official transfer of shares to the buyer's account and cash to the seller's account.
- SEBI introduced the T+5 rolling settlement in the equity market in July 2001.
- In early 2002 the settlement cycle was reduced from T+5 to T+3, then from T+3 to T+2 in 2003.
- India is the second country in the world after China where T+1 settlement has been implemented.
- T+1 settlement cycle means investors will get their money or shares delivered within 24 hours.
- Shares in which T+1 settlement cycle will be implemented. The investors will get the delivery of those shares in their demat accounts within 24 hours of buying the shares. In T+2 settlement cycle, this process is completed in 48 hours.
2. US, EU, and UK decided to remove selected Russian banks from Belgium-headquartered SWIFT.
- US, European Union (EU), and UK have announced to remove selected Russian banks from the SWIFT.
- They also imposed some restrictions on the central bank of Russia.
- These steps have been taken as part of the new financial sanctions on Russia.
- Removal of some selected Russian banks from SWIFT will disconnect them from the international financial system and it will block exports and imports of Russia.
- Operation Ganga has been launched to bring back Indian citizens and students from Ukraine.
- Society for Worldwide Interbank Financial Telecommunication (SWIFT):
- It was started in 1973. It is a global financial messaging system.
- It is an electronic payment messaging system used by banks and financial institutions worldwide.
- It helps more than 11,000 financial institutions to send messages and payment orders in a secure way.
3. RBI will assess impact of its financial literacy campaigns.
- RBI has invited request for proposal (RFP) from certain shortlisted entities.
- These entities will be required to carry out outcome and impact assessment of RBI’s multilingual, pan-India public awareness campaigns.
- RBI runs the 'RBI Kehta Hai' campaign. The campaign aims to educate the public about banking regulations. It is a multi-media multi-lingual campaign.
- RBI campaigns are in 14 languages. Customer protection through customer education is an important function of RBI.
Topic: Indian Economy/Financial Market
4. Union Cabinet has approved up to 20% Foreign Direct Investment (FDI) in LIC under automatic route.
- Union Cabinet has approved amendment in FDI policy to facilitate FDI up to 20% in LIC.
- Minor changes have been made in FDI policy to facilitate FDI in other corporate bodies also.
- Government has approved listing of shares of LIC on the stock market through Initial Public Offer (IPO).
- There was no specific provision in the existing FDI policy for foreign investment in the corporation.
- Insurance is a permitted sector under current FDI policy. However, current FDI policy listed only Insurance Company and Intermediaries or Insurance Intermediaries under the Insurance sector.
- LIC is a statutory corporation established under LIC Act, 1956. So, it was not covered under Insurance Company and Intermediaries or Insurance Intermediaries under existing FDI policy.
5. The threshold for mandatory issuance of e- invoice under GST has been lowered from Rs 50 crore to Rs 20 crore.
- From April 1, GST e- invoice (electronic invoice) will be mandatory for businesses with turnover of ₹20 crore or more.
- If the invoice is not valid, recipient cannot avail Input Tax Credit (ITC) on the invoice.
- E-invoices have a standardized format which can be read by a machine.
- In e-invoicing, B2B (Business-to-Business) invoices are authenticated electronically by GSTN (Goods & Services Tax Network).
- Under e-invoicing system, an identification number will be issued against every invoice by the Invoice Registration Portal (IRP) to be managed by the GSTN.
Topic: Infrastructure and Energy
6. Tamil Nadu has achieved first position in terms of total installed renewable energy capacity in country.
- Tamil Nadu has regained first position from Karnataka. In 2018, Karnataka has surpassed Tamil Nadu and achieved first position.
- In January 2019, total renewable capacity of Karnataka was 13,402 MW and total renewable capacity of Tamil Nadu was 12,125 MW.
- According to data from Ministry of New and Renewable Energy (MNRE), total installed renewable capacity of Tamil Nadu stood at 15,914 MW as of January 31, 2022.
- Total installed renewable capacity of Karnataka stood at 15,795 MW as of January 31, 2022.
- Total renewable capacity of Gujarat was 15,518 MW as of January 31, 2022.
- In the current fiscal year, Rajasthan and Gujarat added the most renewable capacity (4.8 GW and 2.4 GW, respectively) till January 31, 2022.
- Gujarat is number one state in terms of total rooftop solar installations.
- As of January 31, 2022, Rajasthan has become first state to achieve total solar capacity of more than 10,000 MW.
- In December 2020, PM Modi laid foundation stone of 30,000 MW hybrid renewable energy park in Kutch, Gujarat. This will be world's largest renewable energy park with both windmills and solar panels.
7. KS Mani has been elected to Board of Directors of the National Cooperative Dairy Federation of India (NCDFI).
- He is the chairman of Kerala Cooperative Milk Marketing Federation, which is popular by its brand name Milma.
- Representatives of federal cooperatives of all states and Union Territories are part of NCDFI board.
- National Cooperative Dairy Federation of India (NCDFI) is the apex body for the cooperative dairy sector. It is based in Anand, Gujarat.
- It was established 1970 as a subsidiary of the National Dairy Development Board.
8. RBI has cancelled the Certificate of Registration (CoR) issued to P C Financial Services Private Limited.
- RBI has cancelled CoR in exercise of the powers under Section 45-IA of Reserve Bank of India Act, 1934.
- RBI said that P C Financial Services Private Limited shall not transact the business of a Non-Banking Financial Institution (NBFI).
- The CoR has been cancelled on account of violations of RBI directions on outsourcing and Know Your Customer norms.
- P C Financial Services Private Limited was principally involved in mobile app-based lending operations through an app called 'Cashbean'.
Topic: Banking System
9. Union Bank of India has launched MSME RuPay Credit Card in association with National Payments Corporation of India (NPCI).
- The card has been launched for meeting business related operational expenses of Micro, Small & Medium Enterprises (MSMEs).
- It comes with interest free credit up to 50 days. It offers EMI facility to the customers on their business-related purchases.
- MSME customers will also get accidental insurance coverage of up to ₹10 lakh, domestic airport lounge access of 2 per quarter and other rewards.
- Union Bank of India was founded in 1919. Its CEO is Rajkiran Rai G. It is headquartered in Mumbai. It is a government-owned bank.
Topic: Banking/Financial Schemes
10. EY Actuarial Services has been appointed by PFRDA as a design consultant for MARS under National Pension System (NPS).
- Main objective of having Minimum Assured Return Scheme (MARS) is to have a separate scheme that can offer a guaranteed minimum rate of return to NPS subscribers.
- Currently, the NPS gives annual returns based on market conditions.
- EY Actuarial Services will help design a MARS that can be offered to existing and prospective subscribers by the pension funds.
- India’s pension assets under management have already surpassed Rs 7-lakh crore level. They are likely to reach Rs 7.5-lakh crore by the end of current fiscal year.
- PFRDA aims to achieve AUM (assets under management) of ₹30-lakh crore by 2030.