1. Instructions on governance for banks issued by RBI.
- Instructions on governance for banks have been issued by RBI.
- The instructions are meant for private sector banks, small finance banks (SFBs) and wholly owned subsidiaries of foreign banks.
- Foreign banks operating as branches in India will not come under the instructions issued by RBI.
- The instructions have come into effect from the date of issue of the circular. But, banks have been allowed to comply with instructions by October 01, 2021.
- As per RBI, the same incumbent cannot hold the post of MD & CEO or whole-time director for more than 15 years.
- MD & CEO or whole-time director who is also a promoter/ major shareholder cannot hold posts for more than 12 years.
- RBI has said that an individual will be eligible for reappointment on the post of MD & CEO or whole-time director after a minimum gap of three years.
- Individuals will be eligible for reappointment if the board considers the reappointment necessary and desirable.
- RBI has allowed the upper age limit for MD & CEO and whole-time director to continue at 70 years.
- Boards of banks can prescribe a lower retirement age for MD & CEO and whole-time director.
2. Arun Raste to be appointed as new MD & CEO of NCDEX.
- Arun Raste will be appointed as the new Managing Director and CEO of National Commodity and Derivatives Exchange Ltd (NCDEX) for five years.
- His appointment has been approved by the Securities and Exchange Board of India (SEBI).
- At present, he is the Executive Director of the National Dairy Development Board (NDDB).
- He had also served as director of the Mother Dairy Fruit & Vegetable Pvt Ltd.
- National Commodity and Derivatives Exchange Ltd (NCDEX):
- It was formed in 2003 as a public limited company.
- It is an online commodity exchange platform.
- It brings buyers and sellers together through its electronic trading platform.
3. FIDC request postponement of guidelines for appointment of statutory auditors of banks and non-banking finance companies (NBFCs).
- Finance Industry Development Council (FIDC) has requested RBI to postpone guidelines for the appointment of statutory auditors of banks and NBFCs to April 1, 2022.
- Finance Industry Development Council (FIDC) is a representative body of assets and loan financing NBFCs.
- FIDC has said that postponement will ensure smooth implementation and minimum disruption. FIDC has also suggested RBI reduce the cooling period from six years to five years.
- On 27 April, RBI had issued guidelines for the appointment of statutory auditors for commercial banks, urban cooperative banks (UCBs) and NBFCs for the financial year 2021-22 and onwards.
4. T V Somanathan designated as new Finance Secretary.
- T V Somanathan has been designated as the new Finance Secretary.
- As per the order issued by Personnel Ministry, Appointments Committee of the Cabinet has approved his appointment as Finance Secretary.
- He has been serving as Secretary, Department of Expenditure in Ministry of Finance since December 2019. He is a 1987 batch IAS officer of Tamil Nadu cadre.
- The senior-most officer among all the secretaries in the Ministry of Finance is designated as the Finance Secretary.
Topic: Indian Economy
5. Anti-dumping duty imposed on imports of TDI.
- Anti-dumping duty has been imposed on imports of Toluene Diisocyanate (TDI) from the Chinese Taipei, EU, Japan, South Korea and US.
- Directorate General of Trade Remedies (DGTR) has recommended the imposition of TDI imports from these countries in January 2021. Now, Finance Ministry (Revenue Department) has imposed it.
- The petition for anti-dumping duty on TDI imports from these countries was filed by Narmada Chematur Petrochemicals Ltd.
- Narmada Chematur Petrochemicals Ltd is the only producer of TDI in India.
- TDI is an organic chemical used in the production of flexible polyurethane foam, which is used in products such as bedding, furniture, automotive interiors, carpet underlay and packaging.
6. Customs co-operation agreement with the UK approved by Union Cabinet.
- Union Cabinet has approved customs co-operation agreement with the UK.
- The signing and ratification of an agreement between India and the UK on Customs Cooperation and Mutual Administrative Assistance in Customs Matters has been approved by Union Cabinet.
- It will help in the availability of relevant information for the prevention of customs offences.
- Mutual administrative assistance in customs matters is covered under the agreement.
7. Marine Products Export Development Authority certifies SVR Hatcheries.
- Marine Products Export Development Authority (MPEDA) has certified SVR Hatcheries in the East Godavari District of Andhra Pradesh.
- SVR Hatcheries has become the first shrimp hatchery in India to get SHAPHARI certification for antibiotic-free seed production.
- SHAPHARI certification helps farmers in finding good quality shrimp seed producers. It benefits certified hatcheries by higher demand for their seeds among the farmers.
- Marine Products Export Development Authority (MPEDA) is a statutory body. It was established in 1972. K S Srinivas is its chairman.
Topic: Indian Economy
8. India’s GDP growth is expected to recover to 11% in current fiscal.
- As per Asian Development Bank, India’s GDP growth is expected to recover strongly to 11% in the current fiscal.
- In its latest Asian Development Outlook (ADO), ADB expects India’s economic growth to slow to 7% in FY 2022.
- Strong recovery in the current fiscal will be due to continued economic recovery driven by increased public spending, vaccine launch and a rise in domestic demand.
- In FY2022, Inflation is projected to decrease to 4.8%. ADB said that this would help RBI in maintaining an accommodative stance.