Topic: Indian Economy/Financial Market
1. The fiscal deficit of the Centre increased to ₹15.01 lakh crore between April and February of 2024.
- This amounts to around 86.5% of the ₹17.35-lakh crore revised estimate.
- During the same time last year, the fiscal deficit was ₹14.53 lakh crore. This accounted for 82.8% of the revised estimate.
- This fiscal year's deficit up to the end of January was approximately ₹11 lakh crore.
- Finance Minister Nirmala Sitharaman fixed the fiscal deficit target of 5.8% of GDP for the current fiscal year in the recently passed Interim Union Budget.
- She kept the fiscal deficit target at 5.1 per cent for next financial year.
- One reason for the increase in the fiscal deficit at the Centre in February 2024 is more tax devolution that was announced in the same month.
- As a result, in February 2024, revenue receipts and net tax revenues decreased.
- The total amount spent in FY24 (April–February) was ₹37.47 lakh crore. This amounted to almost 83% of the yearly target.
- Between April and February, the government spent ₹8.05 lakh crore on capital expenditures. This amounted to 84.8% of its FY24 target.
- The centre is still almost ₹7.43 lakh crore below its budget.
- From April to February, the Center's net tax receipts were ₹18.5 lakh crore. This amounted to 79.6% of the total target.
- From April to February of 2024, non-tax revenue totaled ₹3.6 lakh crore. This amounted to 95.9% of the total target.
Topic: Indian Economy/Financial Market
2. India’s current account deficit (CAD) narrowed to $10.5 billion (1.2% of GDP) in Q3 of FY24.
- It was lower than $11.4 billion (1.3% of GDP) in the preceding quarter.
- It was $16.8 billion (2% of GDP) in the year ago quarter.
- In Q3 of FY24, the merchandise trade deficit marginally increased at $71.6 billion from $71.3 billion a year ago.
- Net service receipts has shown a 16% year-on-year rise to $45 billion from $38.7 billion a year ago).
- Net outgo on the primary income account grew from $12.7 billion a year ago to $13.2 billion as per RBI’s statement on ‘Developments in India’s Balance of Payments’.
- Net outgo on the primary income account reflects payments of investment income.
- Primary transfer receipts represent remittances by Indians employed overseas. They stood at $31.4 billion.
- In Q3, a net inflow of $12 billion has been recorded by FPI.
- Net FDI flows increased from $2 billion a year ago to $4.2 billion.
- In Q3, non-resident deposits increased from $2.6 billion a year ago to $3.9 billion.
- A slight increase has been recorded in net outflow of external commercial borrowings to India from $2.5 billion a year ago to $2.6 billion.
- In Q3, the current account deficit narrowed despite a wider merchandise trade deficit.
- It was supported by a record high services trade surplus and secondary income.
Topic: Banking System
3. A penalty of Rs 564.44 crore has been imposed on Bank of India.
- This penalty has been imposed on the bank by Income Tax Department.
- Bank of India got order from Assessment Unit, Income Tax Department, pertaining to Assessment Year 2018-19.
- In this order, the penalty has been imposed on various disallowances made.
- The order has been issued under section 270 A of the Income Tax Act, 1961.
- The bank is in process of filing appeal before the Commissioner of Income Tax, National Faceless Appeal Centre (NFAC) against the order.
- Bank of India:
- It is a public sector bank. It is headquartered in Mumbai.
- It was founded in 1906. Rajneesh Karnatak is its MD and CEO.
Topic: Corporates/Companies
4. LIC, GIC Re and New India Assurance Company will continue as Domestic Systemically Important Insurers (D-SIIs).
- IRDAI retained the Life Insurance Corporation of India (LIC), General Insurance Corporation of India (GIC Re) and the New India Assurance Company as Domestic Systemically Important Insurers (D-SIIs) for the year 2023–24.
- LIC and New India are the largest life and general insurance companies in India. GIC Re is the sole Indian reinsurer.
- The failure of these D-SIIs would disturb the domestic financial system.
- The functioning of D-SIIs is critical for the uninterrupted availability of insurance services to the national economy.
- D-SIIs are protected with additional regulatory measures to deal with systemic risks and moral hazard issues.
- D-SIIs are insurance companies that are assumed as ‘too big or too important to fail’ (TBTF) based on their size, market importance, and domestic and global interconnectedness.
Topic: Appointments
5. Nidhu Saxena became the new MD & CEO of the Bank of Maharashtra.
- Bank of Maharashtra appointed Nidhu Saxena as its Managing Director and Chief Executive Officer (MD & CEO).
- He has been appointed for a period of three years with effect from 27 March 2024.
- He will replace AS Rajeev who has been selected as Vigilance Commissioner in CVC.
Topic: Reports and Indices
6. According to an analysis by energy consultancy Wood Mackenzie, over a fifth (20%) of global oil-refining capacity is at the risk of closure.
- The consultancy analysed 465 refining assets. It ranked approximately 21% of 2023 global refining capacity at risk of closure.
- Highest number of high-risk sites are in Europe and China. About 3.9 million barrels per day of refining capacity is in a dangerous position and likely to be lost.
- As per the report, 11 European sites account for 45% of all high-risk plants.
- According to data from industry body Concawe, nearly 30 European refineries have closed since 2009.
- The reasons for closure are competition from newer and more complex plants in West Asia and Asia and the impact of COVID-19 pandemic.
- Gasoline margins will be reduced by the end of this decade due decline in demand and easing of sanctions on Russia. Expected carbon tax will also start to have a bad effect on it.
Topic: Indian Economy/Financial Market
7. In comparison to the Index of February 2023, the Combined Index of Eight Core Industries grew by 6.7% (provisional) in February 2024.
- In February 2024, there was positive growth in the production of coal, natural gas, cement, steel, crude oil, electricity, and refinery products.
- The Index of Eight Core Industries' final growth rate for November 2023 has been revised to 7.9%.
- Comparing April to February of 2023–24 to the same period in the previous year, the cumulative growth rate of ICI is 7.7% (provisional).
- February 2024 had recorded a 10.2% rise in cement production over February 2023.
- February 2024 saw an 11.6% increase in coal production over February 2023.
- Production of crude oil rose 7.9% in February 2024 compared to February 2023.
- In February 2024, a 6.3% rise and an 11.3% rise has been recorded in electricity generation and natural gas production, respectively over February 2023.
- February 2024 saw a 9.5% decrease in fertiliser production compared to February 2023.
- Production at petroleum refineries and steel production rose 2.6% and 8.4%, respectively in February 2024 compared to February 2023.
Topic: Reports and Indices
8. International Labour Organisation (ILO) and the Institute of Human Development (IHD) have released the India Employment Report 2024.
- As per the report, the share of India’s youth in the unemployed workforce is almost 83%.
- According to the report, the share of youngsters having secondary or higher education in the total unemployed youth has increased from 35.2% in 2000 to 65.7% in 2022.
- Between 2000 and 2019, the youth employment and underemployment has risen. However, it declined during the pandemic years.
- Unemployment levels were higher among the educated youth of the country during the pandemic period.
- A decline was seen in Labour Force Participation Rate (LFPR), Worker Population Ratio (WPR) and the Unemployment Rate (UR) between 2000 and 2018. However, these have improved after 2019.
- Non-farm employment increased at a higher rate than farm employment before 2018.
- The construction and services sectors absorbed the labour from agriculture.
- About 90% of workers are engaged in informal sector. The share of regular work increased steadily after 2000. It declined after 2018.
- As per the report, livelihood insecurities are widespread. Only a small percentage are covered with social protection measures.
- The report noted that 75% of India’s youth are unable to send emails with attachments.
- It also noted that 60% of India’s youth unable to copy and paste files, and 90% of India’s youth unable to put a mathematical formula into a spreadsheet.
- India is also facing the challenge of low rates of female labour force participation.
- As per the report, Scheduled Castes and Scheduled Tribes are engaged in low-paid temporary casual wage work and informal employment.
Topic: Reports and Indices
9. In Hurun Research's list, Mumbai has emerged as Asia's new billionaire hub, overtaking Beijing.
- According to Hurun Research's 2024 Global Rich List, Mumbai has rapidly emerged as Asia's billionaire hub and has overtaken Beijing for the first time.
- India's financial capital now has 92 billionaires, surpassing Beijing's 91 billionaires, yet China has more billionaires at 814 compared to India's 271.
- In terms of billionaires, Mumbai ranked third globally, with New York leading with 119 billionaires, followed by London with 97 billionaires.
- The rise of the Maharashtrian city is credited to the addition of 26 new billionaires in the last year, bringing its total wealth of billionaires to $445 billion, up 47% from the previous year.
- In contrast, the total wealth of Beijing's billionaires is $265 billion, which has seen a decline of 28%.
- Mumbai's wealth-boosting sectors include energy and pharmaceuticals, which have seen notable gains by business tycoons like Mukesh Ambani.
- Among Mumbai's billionaire elite, real estate magnate Mangal Prabhat Lodha and his family experienced the most significant increase in wealth at 116%.
Topic: Appointments
10. Hansa Mishra (IA&AS) selected for appointment to the post of director in the Union Public Service Commission (UPSC).
- She has been chosen for an appointment under the Central Staffing Scheme, as per the Department of Personnel and Training's (DoPT) directive.
- She has been elected for a term of five years from the date he assumes charge of the post or until further orders, whichever is earlier.
- Mishra is a 2010 batch Indian Audit and Accounts Service (IA&AS) officer.
- She was recommended for central deputation by the Comptroller and Auditor General of India.
- Union Public Service Commission is a Constitutional Body. It was formed on 1 October 1926. Dr. Manoj Soni is the Chairman of UPSC.
- Sadanand Vasant Date has been appointed as Director General of National Investigation Agency (NIA).
- The appointment of Rajeev Kumar Sharma as Director General of Bureau of Police Research and Development has also been approved.
- Piyush Anand has been appointed as Director General (DG) of National Disaster Response Force (NDRF).
- He is currently working as Special DG of Central Industrial Security Force (CISF).
Previous 
Comments