Banking & Financial Awareness
Posted by admin at June 21, 2019
- Reserve Bank of India (RBI) has launched Survey on Retail Payment Habits of Individuals (SRPHi). Note: The Survey will capture the payment habits of individuals in cities of Delhi, Mumbai, Kolkata, Chennai, Bengaluru, and Guwahati. Sigma Research & Consulting Pvt Ltd has been engaged by RBI to conduct the fieldwork of the survey. The findings of the survey will provide insights into awareness and usage habits of digital payment products.
- The Union government has notified a reduction in Goods and Services Tax (GST) rates on 23 goods. Note: The GST Council had decided to cut tax rates on these goods and services and exempted music books, preserved vegetables and savings bank accounts under the Jan Dhan Yojana from the Tax.
- RBI offers relief to MSMEs; allows restructuring of debt up to Rs 25 crore. Note: The decision will help the micro, small and medium enterprises (MSMEs) which are facing a cash crunch in the wake of demonetization and GST implementation. The aggregate exposure, including non-fund-based facilities of banks and NBFCs, to a borrower, should not exceed 25 crore rupees as on January 1, 2019. The restructuring will be implemented by 31st of March 2020.
- The small finance bank has got RBI (Reserve Bank of India) approval to operate as a scheduled bank— ESAF.Note: This makes ESAF small finance bank (SFB) the fifth scheduled bank from Kerala. ESAF microfinance institution, started in 1992, was one among the ten applicants to receive approval from RBI to start banking operations in 2016.
- Pakistan Government has decided to launch Panda Bonds to raise loans from Chinese capital markets. Note: The interest rates and the size of the bonds would be decided at a later stage. Panda bonds are Chinese renminbi-denominated bonds from a non-Chinese issuer, sold in the People’s Republic of China.
- The Ministry of Textiles, Government of India had launched Yarn Bank Scheme. Note: Under the scheme, an interest-free corpus fund up to Rs.2.00 crore would be provided to the Special Purpose Vehicle (SPV)/Consortium formed by power loom waivers. PowerTex India is a comprehensive scheme for power loom sector development.
- According to the Central Statistics Office (CSO) report, the Indian economy is expected to grow in 2018-19 at 7.2%.
- Reserve Bank of India has constituted a five-member
- Punjab National Bank has signed an MoU with the Indian Army on the Defence Salary Package. Note: The Army hopes this MoU will benefit many serving and retired Army personnel who have accounts with PNB.It will also provide them an opportunity to access modern banking facilities.
- In its 2019 Global Economics Prospect released in Washington, The World Bank has projected India’s growth rate at 7.3%.
Note: Goods and Services Tax (GST) and demonetization are expected to encourage a shift from the informal to the formal sector.India has enormous growth potential compared to other emerging economies as an ambitious government undertakes comprehensive reforms.
- According to the World Economic Forum (WEF) report, India will be the world’s third largest consumer market by 2030.
- India allows Iran’s Bank Pasargad to open a branch in Mumbai.
Note: According to Union Minister Nitin Gadkari, India has allowed an Iranian bank ‘Pasargad Bank’ to open a branch in Mumbai.Iran’s Pasargad Bank has received the necessary clearances to open its branch in Mumbai
- The Goods and Services Tax (GST) Council has doubled the GST exemption limit to for northeastern states — Rs 20 lakh.
- 18. Reserve Bank of India (RBI) has agreed to provide USD 400 million under a swap arrangement to boost the island nation’s reserves, Sri Lanka.
Note:The RBI has agreed to provide the funds under its
SAARC (South Asian Association for Regional Corporation) Swap facility.These are to be made available under the SAARC SWAP facility.
- Finance Minister Arun Jaitley will present the interim Budget for 2019-20 fiscal on 1st February 2019. Note: The budget session of the Parliament to be held from 31st January to 13th February. The work for the preparation of interim Budget has already commenced and is now gaining momentum.
- 20. The Goods and Services Tax (GST) Council has doubled the GST exemption limit for the country — Rs 40 lakh.
Note: The scope of GST Composition Scheme, under which small traders and businesses pay a small tax based on turnover rather than value addition is raised to Rs 1.5 crore from Rs 1 crore.
- 21. According to the government data released, Inflation based on wholesale prices fell in December 2018 —
Note: The Wholesale Price Index (WPI)-based inflation stood at 4.64% in November 2018 (in Dec 2017-
3.58%).Deflation in food articles stood at 0.07% in December, (in Nov 3.31%).The Reserve Bank of India mainly considers retail inflation data while formulating monetary policy.
- 22. The Union Government has constituted a seven-member Group of Ministers (GoM) to boost the real estate sector under the GST regime.
Note: Nitin Patel (Deputy Chief Minister of Gujarat) will be the convener of the GoM.Finance Ministers of Maharashtra, Karnataka, Kerala, Punjab and Uttar Pradesh and the Panchayat Minister of Goa will be the members. The group of Ministers will analyze the tax rate of GST and suggest a composition scheme for residential construction units.
- 23. The Sovereign Gold Bond Scheme 2018-19 (Series-V) opened for subscription, continue till 18th January 2019.
Note: The issue price of the Bond during this subscription period will be Rs. 3200 and fourteen rupees per gram with the settlement date of 22nd January 2019. Sovereign Gold Bond Scheme (SGBS) is one of the three gold related schemes launched by the PM in November 2015.
- 24. HDFC Standard Life Insurance has changed its name to HDFC Life Insurance.
Note: The change in name is effective right off the bat and the company will henceforth operate under the name HDFC Life Insurance Company Ltd. it stated