Banking Awareness of 26, 27 and 28 August 2023

Topic: Indian Economy/Financial Market

1. India’s forex reserves declined below $600-billion level in the week ended August 18, 2023.

• Foreign exchange reserves stayed above $600-billion level in the previous five weeks.
• In the week ended 18 August 2023, the reserves declined $7.273 billion to stand at $594.888 billion.
• In the week ended 29 October 2021, India’s forex reserves reached an all-time high level of $642.019 billion.
• In the week ended 18 August 2023, the reserves declined because Foreign Currency Assets (FCA) and gold components declined by $6.613 billion and $515 million, respectively.
• The other two components of the reserves (Special Drawing Rights and Reserve Position in the International Monetary Fund) also declined.
• Since March-end 2023, India’s reserves have grown $16.439 billion.

Topic: Regulatory Bodies/Financial Institutions

2. More than 200 foreign portfolio investors (FPIs) may be impacted by SEBI’s new disclosure norms.

• SEBI’s new disclosure norms will become operational from 1 November.
• SEBI’s new rules were formulated following the Hindenburg-Adani case.
• Under the new rules, FPIs holding over 50% of their equity AUM in a single Indian corporate group have 10 trading days to lower down their holdings.
• FPIs with over ₹25,000 crore of equity AUM in Indian equities have 90 calendar days to lower down their holdings.
• Investors shall make additional disclosures regarding persons having any ownership, economic interest, or control.
• FPI registrations that do not comply may become invalid.
• About 2% of 11,000-plus FPIs will be impacted by the SEBI’s new disclosure norms.
• Six FPIs had an equity AUM of over ₹25,000 crore in Indian equities as of June 30, 2023.
• The six include two sovereign wealth funds, two public retail investment groups, and an exchange-traded fund (ETF).

Topic: Banking System

3. The proposal to bring loan for Electric Vehicles infrastructure under priority sector lending (PSL) is being considered.

• The government is considering the proposal in association with the RBI.
• The proposal to increase the retirement age for Chairman, Managing Director-cum-Chief Executive Officer and Executive Directors of Public Sector Banks is also being considered.
• As per RBI norms, every bank shall provide 40% of Adjusted Net Bank Credit or Credit Equivalent Amount, whichever is higher for priority sector.
• Under PSL, eight sector have been currently included. These sectors are given in the following table.

• The retirement age for Chairman is currently 62 years. For SBI Chairman, the retirement age is 63 years.

Topic: Appointments

4. Shiney Prasad has been appointed as Country Head-India by US-based Guardian Life Insurance.

• Shiney Prasad has earlier worked at Sun Life Financial, AIG, Max New York Life, GE Capital and American Express.
• Shiney Prasad will report to Chief Information and Operations Officer Dean Del Vecchio.
• Guardian India Operations is a subsidiary of Guardian Life Insurance. It has offices in Chennai and Gurugram.

Topic: Banking System

5. Airtel Payments Bank, Frontier Markets and the Mastercard Center for Inclusive Growth have partnered.

• They have announced the launch of ‘She Leads Bharat: Udyam’.
• It is an initiative to support 1 lakh women-owned small businesses with resources, tools and opportunities.
• She Leads Bharat: Udyam is a first-of-its-kind initiative.
• It brings together the private sector, social enterprise, and philanthropy in the banking, financial services, and insurance sector
• In the 1st phase, 1,00,000 women-owned small businesses in Rajasthan and Uttar Pradesh will be enabled to learn and earn via Meri-Saheli platform of Frontier Markets.
• Further, 10,000 of these women small business owners will be further enabled by becoming Airtel Payments Bank Business Correspondents.
• Women-owned micro, small and medium enterprises (MSMEs) make up only 20% of all MSMEs in India.
• However, they receive only 5% of total financing provided by public sector banks.
• Frontier Markets is a rural social commerce platform of India.
• Airtel Payments Bank was founded in January 2017. Its headquarters is located in New Delhi. Its CEO is Anubrata Biswas.

Topic: Miscellaneous

6. PM Modi gave the idea of an International Customer Care Day to strengthen the relationship between businesses and consumers.

• He also emphasized the need to promote ethical Artificial Intelligence.
• PM Modi called for International Customer Care Day while addressing the B20 summit, organised by the Confederation of Indian Industry (CII).
• He highlighted that 13.5 crore Indians have come out of poverty in just 5 years.
• He cautioned global businesses against treating countries only as a market.
• He pointed to the “irreversible disruptions in the global supply chain” after the COVID-19 pandemic. He presented India as a solution to such disruptions.
• He was addressing the closing session of the B20 India Summit.
• March 15 is designated as World Consumer Rights Day.

Topic: Summits/Conferences/Meetings

7. 26th National Conference on e-Governance was held on 24 and 25 August at Indore, Madhya Pradesh.

• In this 2-day conference, discussions were held on measures to provide better facilities to the citizens.
• Madhya Pradesh's Micro, Small and Medium Enterprises and Science and Technology Minister Omprakash Saklecha inaugurated the conference.
• The conference was organized by the Department of Administrative Reforms and Public Grievances and the Ministry of Electronics and Information Technology in collaboration with the Government of Madhya Pradesh.
• Representatives from 28 states and 9 union territories and industry participated in the conference.
• The conference brainstormed on the topic 'Developing India: Empowering Citizens'.
• During the conference, National e-Governance Awards 2023 in 5 categories was also presented.

Topic: Summits/Conferences/Meetings

8. B20 Summit India 2023 commenced in New Delhi on 25 August 2023.

• It is a three-day summit during which Union Ministers Nirmala Sitharaman, Dharmendra Pradhan, and Dr. S Jaishankar will share their ideas on the issues concerning businesses globally.
• During the summit, G20 India Sherpa Amitabh Kant, Trade Ministers of various countries, and several business leaders also shared their ideas on the issues concerning businesses globally.
• PM Modi attended the special session on 27 August as Chief Guest.
• Executive Chairman of Tata Sons and Chair of B20 India N Chandrasekaran attended the Summit.
• Chief Executive Officer of Mastercard Michael Miebach and President of World Economic Forum Borge Brende also attended the Summit.
• The Summit is based on the theme of B20 India R.A.I.S.E: Responsible, Accelerated, Innovative, Sustainable, Equitable Businesses.

Topic: Awards and Prizes

9. Indore bagged the best "National Smart City Award" of 2022.

• Indore, the cleanest city in India for the past six years, has won the best "National Smart City Award" of 2022 for exemplary performance among the 100 smart cities.
• Indore has been the top performer in all the missions of the urban affairs ministry.
• In the fourth edition of the India Smart Cities Award Contest (ISAC), Surat and Agra emerged as the second and third winners.
• New Town won second prize in mobility and third in built environment.
• Among states, Madhya Pradesh and Tamil Nadu got first and second places, respectively.
• Rajasthan and UP have jointly bagged the third position.
• Among the Union Territories, Chandigarh got the first spot with the highest score.
• Indore bagged six awards while Agra won four awards.
• Under the Smart City mission, Out of the total proposed 7,938 projects, 76% of projects worth Rs 1.11 lakh crore have been completed.
• President Droupadi Murmu would felicitate the winners on September 27 in Indore.

Topic: Miscellaneous

10. The landing site of Chandrayaan-3 on the Moon will be known as Shiv Shakti Point.

• On 26 August, Prime Minister Narendra Modi announced that the point where Chandrayaan-3's lander landed on the moon will be known as Shiv Shakti.
• PM said Shiva has a resolution for the welfare of humanity and Shakti gives us the power to fulfil those resolutions.
• This Shiva Shakti point of the moon also gives a feeling of connection from the Himalayas to Kanyakumari.
• The point where Chandrayaan-2 left its footprints will now be called Tiranga.
• It will serve as an inspiration for India's every endeavour and remind us that failure is not the end.
• August 23 will be celebrated as National Space Day to mark the landing of the Chandrayaan-3 lander on the Moon.
• National Space Day will celebrate the spirit of science, technology and innovation and inspire us till eternity.
• India has recently become the first nation to land on the South Pole of the Moon.
• India has become 4th country after USSR, U.S. and China to make a soft landing on the lunar surface.
• Chandrayaan-3:
  • Chandrayaan-3 is a follow-on mission to Chandrayaan-2.
  • It was launched on 14 July 2023 from Satish Dhawan Space Centre’s Second Launch Pad in Sriharikota, Andhra Pradesh.
  • Chandrayaan-3 landed on the lunar surface at around 6:04 pm on 23 August 2023. It has a mission life of one lunar day (14 Earth Days).

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