Banking Awareness of 9, 10 and 11 December 2023

Topic: Banking System

1. “FIRST SWYP” credit card has been launched by IDFC First Bank.

• IDFC First Bank has launched this credit card in partnership with Mastercard.
• This is the second youth-focused credit card of IDFC First Bank.
• Earlier, IDFC First Bank had launched “FIRST Millennia Credit Cards”.
• “FIRST SWYP” credit card can be used as a no-interest charge card.
• It has features such as flexible bill repayments through EMIs, referral program with many benefits and exclusive merchant partnerships.
• IDFC First Bank is an Indian private-sector bank. It was founded in 2015. It is headquartered in Mumbai. V. Vaidyanathan is its MD & CEO.

Topic: Reports and Indices

2. The funding landscape for Indian tech start-ups has significantly declined by 72% in 2023.

• As a result, 2023 has received the least amount of funding over the previous five years.
• In all, $7 billion has been invested in the tech start-up ecosystem so far this year, according to Tracxn Geo's quarterly report.
• In the previous year, tech start-up ecosystem received the funding of $25 billion.
• With $957 million in funding, the fourth quarter was the lowest financed since the third quarter of 2016.
• In terms of funding, India ranks fourth in the world in 2023.
• After reaching $15.6 billion in 2022, late-stage funding fell by more than 73% to $4.2 billion in 2023.
• PhonePe stood out as the top-funded company in the sector.
• It received $750 million in four Series D rounds which makes up for 38% of the funding received by the sector.
• Bengaluru, Mumbai, and Delhi-NCR continue to attract significant funding in India’s tech start-up ecosystem.
• Sectors like environment tech and spacetech have garnered investor attention.
• Only two new unicorns were created -Incred and Zepto. In the previous year, 23 new unicorns were created.
• The major acquisitions in 2023 were Route Mobile, Arcion and Gram Power. IPO numbers did not see a major drop this year.

Topic: Agriculture

3. Onion exports have been banned by the government till March 31, 2024.

• Directorate General of Foreign Trade (DGFT) said that consignments already in transit will be permitted to be exported subject to conditions.
• The period of export for these exceptions shall be up to January 5, 2024.
• Government has banned onion exports to ensure enough availability in the local markets and to keep a check on domestic prices.
• DGFT notification said the export policy of onions is amended from ‘free’ to ‘prohibited’ till March 31, 2024.
• The notification has come into effect from December 08, 2023.
• As per the notification, the export of onions will be permitted on the basis of permission granted by the Centre to other countries based on requests.
• Centre had imposed a Minimum Export Price of $800 per tonne on onions in October 2023.
• In August, government imposed a 40% export duty on onions.

Topic: Indian Economy/Financial Market

4. M&A activity reached a 3-month high level of $6.6 billion in November 2023.

• However, the number of deals fell sharply to 113 in November as per latest data from LSEG Deals Intelligence.
• In November 2022, the total deal value of India involvement M&A activity was $5.2 billion with 249 deals.
• M&A activity in October 2023 and September 2023 was $5.98 billion and $ 2.80 billion, respectively.
• In August, M&A deal activity had reached to a 16-month high of $22.5 billion.
• The aggregate volume of M&A activity in January-December 4, 2023 declined 51.9% to $78.6 billion from $163.42 billion.
• In the same period, the number of deals also saw decline from 2,387 to 2,293.
• Target India M&A activity reached a three-year low of $72.13 billion during January 1-December 4.
• A majority of the deal-making activity involving India targeted the financials sector.
• Private equity-backed M&A deals targeting India reached a three-year low of $12.34 billion in January-December 4, 2023.

Topic: Banking System

5. Union Bank of India has collaborated with Accenture for a data lake platform.

• Union Bank of India has partnered with Accenture to create an enterprise data lake platform that is secure, scalable, and equipped with cutting-edge analytics and reporting features.
• This plan would improve the bank's capacity to manage risk, provide customer-focused financial services, and increase operational efficiency.
• In order to produce business-relevant insights, this platform would use structured and unstructured data from both internal and external sources, together with machine learning, artificial intelligence, and predictive analytics.
• Furthermore, the platform would facilitate the bank's development of comprehensive data visualisation and reporting functionalities, encompassing interactive dashboards and reports for operational, business, and regulatory objectives.
• Accenture is an Irish-American professional services company. It is based in Dublin, Ireland. It specializes in information technology services and consulting.
• Union Bank of India was founded in 1919. Its CEO is A. Manimekhalai. It is headquartered in Mumbai. It is a government-owned bank.

Topic: Banking/Financial/Govt Schemes

6. 70 projects have been approved for various industries with a total cost of Rs 291.25 crore under the TDF scheme.

• Under the Ministry of Defence, the Technology Development Fund (TDF) Scheme is a flagship program, which is implemented by DRDO under the 'Make in India' initiative.
• At present, 70 projects have been approved for various industries with a total cost of Rs 291.25 crore, and 16 Defence technologies have been successfully developed/realized under the scheme.
• The following are the main objectives of this scheme:
  • To provide grants-in-aid to Indian industries, including MSMEs and start-ups, as well as to academic and scientific institutions for the development of the Defence sector and dual-use technologies, which are not currently available to the Indian Defence industry.
  • To engage with private industries, especially MSMEs and startups, to promote a culture of design and development in military technology and provide them support, including grants-in-aid.
  • To focus on research, design, and development for specific technologies being developed for the first time in the country.
  • To build a bridge between the armed forces, research organisations, academia, and qualification/certification agencies with private entities.
  • Supporting future technologies that have proof of concept and converting them into prototypes.

Topic: Indian Economy/Financial Market

7. In consultation with RBI, the Government has decided to issue new Sovereign Gold Bonds (SGBs) in tranches.

• The subscription period for SGB Series 2023–24 Series III is scheduled from December 18 to December 22, 2023.
• Therefore, the issue date in SGB Series III is December 28, 2023.
• The subscription period for the SGB Series 2023-24 Series IV is scheduled from February 12 to February 16, 2024.
• Therefore, the issue date in SGB Series IV is February 21, 2024.
• The SGBs will be sold through Scheduled Commercial banks (except Small Finance Banks, Payment Banks, and Regional Rural Banks), Stock Holding Corporation of India Limited (SHCIL), Clearing Corporation of India Limited (CCIL).
• It also includes designated post offices, and recognised stock exchanges, viz., National Stock Exchange of India Limited and Bombay Stock Exchange Limited.
• SGBs will be denominated in multiples of gram(s) with a basic unit of one gram.
• The tenor of the SGB will be eight years, with an option for premature redemption after the fifth year on the interest payable date.
• The minimum acceptable investment will be one gram of gold.
• The maximum limit of subscription will be 4 kg for individuals, 4 kg for HUF, and 20 kg for trusts and similar entities per financial year (April-March) as notified by the Government from time to time.
• The price of SGB will be determined in Indian Rupees based on the simple average of gold of 999 purity published by the Indian Bullion and Jewelers Association Ltd for the last three working days of the week preceding the subscription period.
• The issue price of gold bonds will be reduced by Rs 50 per gram for those applying online and making payments digitally.
• Payment for SGB will be through cash payment (maximum Rs 20,000) or demand draft or check or electronic banking.

Topic: Reports and Indices

8. India jumped one place to 7th position in the climate change index 2023.

• According to the report released during the global climate talks COP28 on 8 December, India still remains in the list of countries making the most efforts towards climate change.
• According to the report released at the Global Climate Conference in Dubai, India has remained in the top ten countries for five consecutive years.
• The Climate Change Index assesses the efforts of 63 countries and the European Union to reduce carbon emissions.
• 90 percent of greenhouse gases are emitted from these countries.
• In this index, China is at 51st place and America is at 57th place.
• India's past performance in the CCPI rankings shows a significant improvement from the 31st position in 2014 to the seventh position in 2023.
• India is trying to meet its Nationally Determined Contributions (NDCs) with clear long-term policies focused on promoting renewable energy.
• As of today, India's non-fossil energy installed capacity is about 44% as against the target of 50% by 2030.

Read Banking Awareness PDF - 9, 10 and 11 December 2023