Banking Awareness of 9, 10 and 11 October 2024

Topic: Indian Economy/Financial Market

1. The Finance Ministry released ₹1.78 lakh crore to States in tax devolution.

• This includes one advance instalment, in addition to the regular instalment due in October 2024.
• Uttar Pradesh has received largest share of funds. It received ₹31,962 crore. Bihar followed with ₹17,921 crore.
• This tax devolution aligns with the recommendations of the Finance Commission.
• Finance Commission plays a key role in deciding the distribution of tax revenue between the Union and States.
• This year’s devolution shows the Centre’s ongoing focus on supporting States as they undertake vital infrastructure projects and social welfare initiatives.

Topic: World Economy

2. The World Trade Organisation has revised its growth projection for global trade in goods in 2024.

• The growth projection for global trade has been marginally revised upwards to 2.7%.
• The previous growth estimate for global trade was 2.6 per cent.
• Latest global trade outlook update has been released by the WTO on 10 October 2024.
• Economies, like India and Vietnam, may show signs of emerging, as per outlook update.
• 3% is the growth projection for 2025. This is lower than 3.3% estimated earlier.
• According to the WTO report, Asia was likely to be the fastest growing region at 4% in 2024. 
• Europe was likely to be the slowest growing region at 1.1 per cent.
• India and Vietnam may be emerging as “connecting” economies.

Topic: RBI

3. RBI has increased UPI transaction limit to ₹10,000 for users of feature phone. 

• The per-transaction limit for feature phone users through UPI123 Pay has been increased by RBI from ₹5,000 to ₹10,000.
• Earlier, a limit of ₹500 per transaction and an overall limit of ₹2,000 per UPI Lite wallet with the facility of auto-replenishment was set by RBI.
• Now, UPI Lite wallet limit has been increased to ₹5,000 and the per-transaction limit has been increased to ₹1,000.
• UPI 123PAY is an instant payment system for feature phone users.
• With UPI 123PAY, feature phone users can use the Unified Payments Interface payment service in a safe and secure manner.
• Through UPI 123PAY, feature phone users can make transactions. This facility is now available in 12 languages.

Topic: Banking/Financial/Govt Schemes

4. Gross enrolments under Atal Pension Yojana have exceeded 7 crore.

• With over 56 lakh enrolment in the current fiscal year, or FY 24–25, this milestone was reached.
• Enrolment in the scheme increased significantly in the fiscal year 2023–2024, with almost 1.22 crore new members signing up.
• APY is a major social security scheme of the Government of India.
• On May 9, 2015, the Atal Pension Yojana (APY) was launched.
• It was launched to create a universal social security system for all Indians.
• These include especially the poor, the underprivileged and the workers in the unorganised sector.
• A subscriber of APY receives a defined and guaranteed pension amount for life.
• The spouse of subscriber also receives same pension amount after the demise of the subscriber.
• The entire corpus (accumulated till the age of 60 years) is given to the nominee after the death of the subscriber and spouse.

Topic: Appointments

5. The appointment of Partha Sengupta as Bandhan Bank MD, CEO has been approved by RBI.

• His appointment has been approved for three years with effect from the date of taking charge, which shall not be later than November 10, 2024.
• Partha Pratim Sengupta is former Indian Overseas Bank MD, CEO.
• The proposal for appointment of Sengupta will now be placed before the nomination and remuneration committee and the board for consideration and approval.
• Partha Pratim Sengupta succeeds interim CEO Ratan Kumar Kesh.
• Before working as the chief of Indian Overseas Bank, Sengupta was associated with State Bank of India.

Topic: Indian Economy/Financial Market

6. National Stock Exchange will discontinue the weekly contracts on Bank Nifty, Nifty Midcap Select and Nifty Financial Services.

• The Bank Nifty will be discontinued from November 14.
• Nifty Midcap Select will be discontinued from November 19 and Nifty Financial Services from November 19.
• NSE will continue offering weekly derivative contracts for Nifty.
• This has been done after SEBI’s directive to limit weekly expiries to one per exchange.
• Last week, the discontinuation of its weekly contracts on Sensex 50 (November 14) and Bankex (November 18) was announced by BSE.
• However, BSE will continue to offer weekly derivative contracts on Sensex. 

Topic: Miscellaneous

7. Industrialist Ratan Tata passed away on 09 October 2024 at the age of 86.

• Renowned industrialist and philanthropist Ratan Tata had been undergoing treatment at a private hospital.
• He was in critical condition. One-day state mourning has been announced by the Maharashtra government on 10 October 2024.
• He received Padma Vibhushan in 2008. He had previously received the Padma Bhushan in 2000.
• He was awarded Order of Australia in 2023. He received Assam Baibhav in 2021 for contributing towards cancer care in Assam.
• He was awarded Honorary Knight Grand Cross of the Order of the British Empire in 2014.
• He died at Breach Candy Hospital in Mumbai, following age-related ailments.

Topic: Banking/Financial/Govt Schemes

8. A scholarship scheme for faculty members from academic institutions has been announced by RBI.

• Full-time faculty members teaching economics or finance at any UGC or AICTE-recognized university or college in India can apply under the scheme for short-term research.
• The scheme covers monetary and financial economics, banking, real sector concerns, and other themes of relevance to the RBI.
• The scheme aims to raise awareness of the RBI's activities among faculty and students while also providing exposure to various operational areas of the RBI.
• A maximum of five scholarships will be offered to candidates selected based on their curriculum vitae, a research proposal of no more than 1,000 words, and an interview with a selection panel.
• The deadline for submitting applications is the 5th of next month.

Topic: RBI

9. Repo rate remained unchanged at 6.50% for the tenth consecutive time.

• On October 9, it was decided by the Reserve Bank of India to keep the policy repo rate unchanged at 6.50% for the tenth consecutive time.
• The Monetary Policy Committee (MPC) meeting was held on October 7, 8 and 9.
• As a result, the Standing Deposit Facility (SDF) rate remains at 6.25% and the Marginal Standing Facility (MSF) rate and the Bank Rate at 6.75%.
• The RBI has maintained status quo on the benchmark interest rate through February 2023.
• Additionally, the decision was taken by the Monetary Policy Committee (MPC) to change the monetary policy stance to 'neutral' and clearly focus on sustainable alignment of inflation with the target while supporting growth.
• These decisions are in line with the objective of achieving the medium-term target for consumer price index (CPI) inflation within a range of 2% plus or minus 4% while supporting growth.
• Real gross domestic product (GDP) grew by 6.7% in the first quarter of FY2024-25, driven by private consumption and investment.
• The next meeting of the MPC is scheduled from December 4 to 6, 2024.

Topic: Summits/Conferences/Meetings

10. India took part in 44th session of Codex Committee on Nutrition and Foods for Special Dietary Uses (CCNFSDU).

• The 44th session of the CCNFSDU was held in Dresden, Germany from October 2 to October 6, 2024.
• India offered insightful information on dietary reference values for infants six to thirty-six months old.
• India offered its assistance in developing unified probiotic recommendations for meals and dietary supplements.
• During the Codex Meeting, India pushed for improved nutrient requirements and probiotic guidelines. India received global support.
• During the session, FAO/WHO announced plans for a Joint Statement on Healthy Diet Principles and shared updates on reviewing the benefits and risks of Alternative Animal Source Foods (A-ASFs).
• The session was chaired by Ms. Martine Püster, with Dr. Carolin Bendadani as co-chair.

Read Banking Awareness PDF -9, 10 and 11 October 2024