Economic, Banking and Financial Awareness - 10 November 2019
2019-11-10 | Team PendulumEdu
1. Exim Bank provides $30 million line of credit to Ghana
- Ghana and Exim Bank have entered into an agreement for a line of credit of $30 million to finance rehabilitation and up-gradation of portable water system in Ghana.
- Out of the total credit, goods, works and services worth at least 75% of the contract price shall be supplied by the seller from India while the rest may be procured from outside India.
- Export-Import Bank of India (Exim Bank) was established in 1982.
- Headquarters of Exim Bank- Mumbai
- Exim Bank CEO- David Rasquinha
- The bank is wholly owned by the government of India and was set up to finance, facilitate and promote India’s international trade.
2. Indian Bank and Muthoot Microfinance signs an MoU
A Memorandum of Understanding (MoU) has been signed between Indian Bank and Muthoot Microfinance to cater the credit requirment of Micro, Small and Medium Enterprises (MSMEs).
- Under the MoU, Indian Bank and Muthoot Microfin will jointly lend to the MSMEs borrowers.
- Indian Bank is a public sector bank that was established in 1907 and is headquartered in Chennai.
- CEO & MD of Indian Bank- Padmaja Chunduru
3. FPI investment in India crosses Rs. 12,000 crore in the first week of November
- Foreign Portfolio Investors introduced a net equities and debt of worth Rs 5,433.8 crore and Rs. 5,673.87 crore respectively between 1-9 November 2019.
- With this, the total net investment in domestic markets has raised to Rs. 12,107.67 crore.
- Government measures like abolishing super-rich surcharge, reducing corporate tax and bank recapitalization in addition to US Fed’s rate cut and China-US trade war are some of the reasons for increase in FPI investment.
- Foreign Portfolio Investment (FPI): FPI is the route by which an investor holds the securities and financial assets in another country but it does not provide direct control over company’s assets.
4. 50th World Economic Forum Annual Meet
- More than 100 Indian CEOs, political leaders and selected Bollywood stars will be attending 50th World Economic Forum Annual Meet in January 2020 in Davos, Switzerland.
- Theme 2020: “Stakeholders for a Cohesive and Sustainable World.”
- The meeting aims to help governments and international institutions in assessing the progress made in the implementation of the Paris Agreement and the SDGs.
- It also aims to promote discussions on technology and trade governance.
- World Economic Forum (WEF):
- It is a non-governmental organization that was founded in 1971.
- Its headquarters is located in Cologny, Switzerland.
5. SEBI to simplify trading by soon permitting settling options on goods
- SEBI will soon allow settling options on the basis of the underlying commodity making the settlement process simple for options trading.
- Currently, options are permitted only in commodities that are liquid in futures.
- Securities and Exchange Board of India (SEBI):
- It is the regulator of the securities market in India and was established in 1992.
- It is a statutory body that derives its power and functions from the SEBI Act, 1992.
- Headquarters- Mumbai
- Chairperson- Ajay Tyagi