Procedure of NBFC to become a Bank Role of RBI in NBFC Regulation Conversion Criteria of NBFC into Banks It ensures that the NBFCs satisfy different criteria and policies. To be a bank an NBFC must comply with stringent norms relating to financial activity source of income regulatory compliance and risk management. Other Requirements
RBI Guidelines on Penal Charges
Context: The Ministry of Finance notified that penal charges imposed by banks and non-banking financial companies (NBFCs) for noncompliance with loan terms will not attract an 18 per cent goods and services tax (GST). Key Highlights: Penal Charges Penal charges are fees charged by lenders on the defaulting borrower for failure to pay loans or breach of the loan agreement. It is a measure to deter defaulting borrowers and ensure financial discipline. How are penal charges calculated? What are penal charges? What are the RBI’s directives on penal charges? The Reserve Bank of India (RBI) has guidelines that prohibit banks and finance companies from charging penal interest on loan defaults. Instead, they must charge penal charges, which are fixed fees. Who suffers from penal charges?
IND-US Currency Swap
Context: The Reserve Bank of India (RBI)‘s announcement of a USD- INR buysell swap auction worth 5 billion for a six month tenor has significantly impacted both the foreign exchange (FX) and bond markets Heres a breakdown of the major movements and market reactions Impact on Forward Premiums Spot Market Activity Bond Market Reaction
Agritech: Transformation of Indian Agriculture
Context: Indian agriculture is the source of employment for over 158 million people and contributes. The sector is undergoing a technological revolution. The population is projected to touch 15 billion by 2030 and hence innovations in agritech are the need of the hour to ensure food security and meet the challenges in the sector. Key Developments Governments Digital Agriculture Mission Emerging Technologies in Farming Challenges
The Scheduled Castes and Scheduled Tribes (Prevention of Atrocities) Act, 1989 (POA Act)
Context: One of the cofounders of information technology (IT) services major Infosys, Kris Gopalakrishnan, and a former director of the Indian Institute of Science (IISc) Bengaluru, Padmanabhan Balaram, have been named besides 16 others in a complaint filed under the Prevention of SC/ST Atrocities Act, according to a report The case was filed at Bengaluru’s Sadashiva Nagar Police Station following directives from the 71st City Civil and Sessions Court (CCH). About the SC/ST Prevention of Atrocities Act, 1989 The Scheduled Castes and Scheduled Tribes (Prevention of Atrocities) Act, 1989, is a law in India that prevents crimes against members of the Scheduled Castes and Scheduled Tribes. It also provides for special courts to try these crimes and rehabilitation and relief for victims. Objective and Background Key Provisions Recent Amendments Weaknesses of SC/ST Act, 1989 UPSC Civil Services Examination Previous Year Question (PYQ) Mains Q. What are the two major legal initiatives by the State since Independence addressing discrimination against Scheduled Tribes (STs)? (2017)
Freedom of Speech
Context: Pakistan’s upper house of parliament passed a controversial Bill that critics argue is designed to suppress freedom of speech. Article 19 of the Indian Constitution Right to Freedom Article 19 of the Constitution of India provides fundamental freedoms to citizens mainly on freedom of speech and expression and also provides for reasonable restrictions that the state can impose. Important Provisions under Article 19 All citizens shall have the right to: Restrictions by Reasonable Means Under Article 19(2) While Article 19(1) provides fundamental rights, Article 19(2) provides the state the right to put reasonable restrictions for the following purposes. These limitations provide with the cause that freedom of speech and other rights cannot be hurt for national interest or in the publics favor or even individual rights. Importance of Article 19 Ensures democratic rights and freedom of expression It guards civil liberties sanctioning the freedom to express dissent or peaceful protests. Balances individual rights with the national interest with practical limitations Therefore its a cornerstone of a free and open society in India. UPSC Civil Services Examination, Previous Year Questions (PYQs) Q. What do you understand by the concept of “freedom of speech and expression”? Does it cover hate speech also? Why do the films in India stand on a slightly different plane from other forms of expression? Discuss. (2014)
Godavari-Banakacherla Project
Context: Telangana government protested the project claiming Andhra Pradesh didn’t inform the Godavari and Krishna River Management Boards as required by the Andhra Pradesh Reorganisation Act 2014. Water Sharing Dispute Inter-State Water Disputes
The NicobareseÂ
Context: A new genetic study published in the European Journal of Human Genetics has found that the Nicobarese people of the Indian Ocean have ancestral ties to the Htin Mal community of the Laos, Thailand region, challenging previous migration timelines. Key Findings: The Nicobarese The Nicobarese are an aboriginal group of people living in the Nicobar Islands that form part of India’s union territory of Andaman and Nicobar Islands. They speak Austroasiatic languages.
WHO Recommends Lower Sodium Salt
Context: The World Health Organization (WHO) has issued new guidelines recommending the replacement of regular table salt with lower sodium salt substitutes to reduce sodium intake and improve cardiovascular health. Key Recommendations: Health Effectiveness of Reducing Sodium Normal Sodium Chloride (NaCl) vs Potassium Chloride (KCl) Sodium chloride and potassium chloride are salts, differing in usage as well as the characteristics of them. Uses Health
ISRO’s 100th Launch Milestone
Context: The Indian Space Research Organisation (ISRO) oversee the historic 100th launch from the Satish Dhawan Space Centre (SDSC) in Sriharikota with the GSLV-F15 mission. GSLV-F15 Mission Geosynchronous Transfer Orbit (GTO) A GTO is an elliptical orbit through which the satellite passes from geosynchronous transfer orbit into the geosynchronous orbit. About the NVS02 Satellite NavIC Indias Regional Navigation Satellite System Importance of the Mission Proba-3 Mission
