QUICK REVISION:CURRENT AFFAIRS OF ECONOMY FROM JUNE 2020

 QUICK REVISION CURRENT AFFAIRS OF  ECONOMY  JUNE 2020

                                                Economy

1.PM SVANIDHI: is a special micro-credit facility scheme to enable more than 50 lakh urban/peri-urban & rural street vendors to restart their livelihoods affected due to the lockdown | by Ministry of Housing and Urban Affairs | applicable till March 2022 | each of the street vendors will be given a credit loan of Rs 10,000 which they can return as monthly installments within a year | without collateral | who repay their loans on time will get 7% annual interest as subsidy which will be transferred in their bank accounts.

2. SOCIAL STOCK EXCHANGES: is a platform which allows investors to buy shares in social enterprises vetted by an official exchange | function as a common platform where social enterprises can raise funds from the public | function on the lines of major stock exchanges like BSE and NSE. However, the purpose of the Social Stock Exchange will be different – not profit, but social welfare | regulatory ambit of SEBI, a listing of social enterprises and voluntary organizations will be undertaken so that they can raise capital as equity, debt or as units like a mutual fund.

3. UPWARD DEFINITION OF MSME:

4. MOODY's DOWNGRADES INDIA's RATING: to Baa3 from Baa2 (lowest in the investment grade in Moody’s rating implying that India is just a notch above the non-investment grade or junk grade).

Moody → is a globally integrated risk assessment firm that empowers organizations/governments to make better decisions based on data and analytical solutions | Moody’s Corporation is the holding company that owns Moody’s Investor Services, which rates fixed-income debt securities.

5. REAL- TIME ELECTRICITY MARKET: launched by the Indian Energy Exchange | intent to help discoms to better plan their power requirements | endeavor by the Central Electricity Regulatory Commission | facilitate the power utilities to reduce dependency on deviation framework and save on the huge penalties | aid the grid operators to improve the overall safety and security of the grid | help the utilities and system operators to forecast and effectively schedule green energy | make the power generators capable of selling their unrequisitioned capacity.

Indian Energy Exchange → is a publicly listed company | regulated by Central Electricity Regulatory Commission | 2008 | is the first and largest energy exchange in India providing a nationwide, automated trading platform for physical delivery of electricity, Renewable Energy Certificates and Energy Saving Certificates.

6. ELECTRONICS INCENTIVE SCHEMES:    Production Linked Incentive → Targeted at mobile phone manufacturing and specified electronic components | plans to incentivise 10 firms — five global and five local | extend an incentive of 4% to 6% on incremental sales (over base year) of goods manufactured in India.

Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS) → provide financial incentive of 25% on capital expenditure for the identified list of electronic goods, i.e., electronic components, semiconductor/ display fabrication units, Assembly, Test, Marking and Packaging (ATMP) units, specialized sub-assemblies and capital goods for manufacture of aforesaid goods.

Modified Electronics Manufacturing Clusters (EMC 2.0) Scheme → provide support for creation of world class infrastructure along with common facilities and amenities, including Ready Built Factory (RBF) sheds / Plug and Play facilities for attracting major global electronics manufacturers, along with their supply chains.

7.KISAN CREDIT CARD (KCC):| launched in 1998 | implemented by Commercial Banks, RRBs, Small Finance Banks and Cooperatives | provide adequate and timely credit support from the banking system to the farmers for their cultivation | Small farmers, marginal farmers, sharecroppers, oral lessee and tenant farmers, Self Help Groups (SHGs) or Joint Liability Groups (JLGs) are eligible for availing benefits under the scheme.

8. GLOBAL ECONOMIC PROSPECTS (GEP) 2020 REPORT: is a World Bank Group flagship report that examines global economic developments and prospects, with a special focus on emerging market and developing economies | issued twice a year, in January and June | estimates show that 60 million people could be pushed into extreme poverty in 2020.

9. SWADES INITIATIVE: To create a database of qualified citizens based on their skill sets and experience and fulfil demand of Indian and foreign companies | joint initiative of the Ministry of Skill Development & Entrepreneurship, the Ministry of Civil Aviation and the Ministry of External Affairs | National Skill Development Corporation (NSDC) is supporting the implementation of the project | The returning citizens are required to fill up an online SWADES Skills Card.

National Skill Development Corporation → is a not-for-profit public limited company incorporated under section 25 of the Companies Act, 1956 (corresponding to section 8 of the Companies Act, 2013) | set up by the Ministry of Finance as a Public Private Partnership (PPP) model.

10. EMPOWERED GROUP OF SECRETARIES: reinforce India’s vision of becoming a $5 trillion economy by 2024-2025 | has the Cabinet Secretary as the Chairperson | Secretary, Department for Promotion of Industry, and Internal Trade as the Member Convenor.

Project Development Cell → approved for the development of investible projects in coordination between the Central Government and State Governments | helps to grow the pipeline of investible projects in India and turn increase Foreign Direct Investment inflows.

11.     | To call upon all stakeholders and individuals to continue moving towards energy efficiency, renewable energy and sustainability to create a robust and resilient energy system for India in the future | driven by Energy Efficiency Services Limited (EESL), under the administration of the Ministry of Power.

12. | created to encourage acquirers to deploy point of sale (PoS) infrastructure, both physical and digital, in tier-3 to tier-6 centres and north eastern states | governed through an advisory council but it will be managed and administered by the RBI | corpus of Rs. 500 crores | from the card-issuing banks and card networks operating in the country | The PIDF will also receive recurring contributions to cover operational expenses from card-issuing banks and card networks. RBI will also contribute to yearly shortfalls, if necessary.

13. | three mines which WCL has opened are 1. Adasa Mine, an underground to open cast mine, in Nagpur Area of Maharashtra, 2. Sharda underground Mine in Kanhan Area and 3. Dhankasa underground mine in Pench Area of Madhya Pradesh.

Western Coalfield Limited (WCL) → is one of the eight Subsidiary Companies of Coal India Limited (CIL) which is under the administrative control of Ministry of Coal | Company incorporated under the Companies Act, 1956 | conferred "Miniratna" status on 15th March'2007.

14. | giant leap forward to leverage technology for faster Customs clearance of imported goods | start of Turant Customs at Bengaluru and Chennai will be the first phase of the All India roll out which would get completed by 31st December this year | Launched by Central Board of Indirect Taxes and Customs.

Central Board of Indirect Taxes and Customs → is a subsidiary of the Department of Revenue under the Ministry of Finance.

15. | are reserve assets held by a central bank in foreign currencies, used to back liabilities on their own issued currency as well as to influence monetary policy | denominated and expressed in the US dollar | reserves comprise - 1.Foreign currency assets (FCAs), 2. Gold, 3.SDR (special drawing rights) in IMF, 4.RTP (reserve tranche position) in IMF | governed by RBI under RBI act,1934.

16. | is a duty that is proposed to be imposed on imported goods in addition to the customs levy that gets charged at the port of entry | is a fiscal measure that imposes a charge on goods or services in accordance with the destination principle of taxation | BAT seeks to promote “equal conditions of competition” for foreign and domestic companies supplying products or services within a taxing jurisdiction.

17. | Reserve Bank of India (RBI) has constituted a five-member Internal Working Group to review extant ownership guidelines and corporate structure for ‘Indian Private Sector Banks.

18.     | initiative of National Cooperative Development Corporation (NCDC) | aims to help cooperative institutions access innovative ideas of young professionals while the interns will gain experience of working in the field to be self-reliant | Professional graduates in disciplines such as Agriculture and allied areas, IT etc and also who are pursuing or have completed their MBA degrees in Agri-business, Cooperation, Finance, International Trade etc will also be eligible | Each intern will get financial support over a 4 months internship period.

National Cooperative Development Corporation → established by an Act of Parliament in 1963 as a statutory Corporation under the Ministry of Agriculture & Farmers’ Welfare | HQ: Head Office at New Delhi and multiple Regional Offices.

19. | IGX is a digital trading platform that will allow buyers and sellers of natural gas to trade both in the spot market and in the forward market for imported natural gas | will allow trading across three hubs —Dahej and Hazira in Gujarat, and Kakinada in Andhra Pradesh | Imported Liquefied Natural Gas (LNG) will be regassified and sold to buyers through the exchange, removing the requirement for buyers and sellers to find each other | buyers do not have to contact multiple dealers to ensure they find a fair price.

20. | released by the UN Conference on Trade and Development (UNCTAD) | India was the world’s 9th largest recipient of foreign direct investments (FDI) in 2019 with $51 billion in foreign investment.

United Nations Conference on Trade and Development (UNCTAD) → is a permanent intergovernmental body established by the United Nations General Assembly in 1964 | part of the UN Secretariat | supports developing countries to access the benefits of a globalized economy more fairly and effectively. Along with other UN departments and agencies, it also measures the progress made in the Sustainable Development Goals, as set out in Agenda 2030 | HQ: Geneva, Switzerland.

21. | means financing for purchase, construction or repair of residential dwelling units and some other activities including giving loans to corporates and government agencies for employee housing projects | To qualify as a housing finance company, 50% of net assets should be to real estate lending of which at least 75% should be towards individual housing loans | RBI has classified housing finance companies (HFC) as systemically important and non-systemically important | RBI has proposed to double the minimum net owned fund(NOF) requirement for housing finance companies to Rs 20 crore.

22. | extracted from palm trees before sunrise, is a nutrient-rich health drink consumed in many states. However, due to lack of institutionalized market technique, the commercial production and large-scale marketing of Neera has not commenced yet | India has an abundance of palm fields in states like Maharashtra, Gujarat, Goa, Daman & Diu, Dadra and Nagar Haveli, Tamil Nadu, Uttar Pradesh and Bihar that can make India a leading producer of Neera globally.

The Khadi and Village Industries Commission → under Khadi and Village Industries Commission Act,1956 | an apex organisation under the Ministry of Micro, Small and Medium Enterprises.

23. autonomous body set up jointly by the Ministry of Finance, the erstwhile Planning Commission, and several state governments | registered under the Societies Registration Act, 1860 | founded in 1976 | undertakes research, policy advocacy and capacity building in areas related to public economics | receives an annual grant from the Ministry of Finance and various State governments.

24. | Government of India and Asian Infrastructure Investment Bank(AIIB) has signed | To assist India to strengthen its response to the adverse impacts of the COVID-19 pandemic on poor and vulnerable households | financed under the COVID-19 Crisis Recovery Facility of the AIIB and co-financed by the Asian Development Bank | executed by the Department of Economic Affairs, Ministry of Finance.

AIIB → multilateral development bank with a mission to improve social and economic outcomes in Asia | HQ: Beijing, China | India joined AIIB in 2016 | China is the largest shareholder in AIIB with a 26.06% voting power, followed by India with a 7.62% voting power.

25. To extend support to the promoters of the operational MSMEs which are stressed and have become NPA as on 30th April, 2020 | provides a guarantee cover worth Rs. 20,000 crores to the promoters who can take debt from the banks to further invest in their stressed MSMEs as equity | operationalised through Credit Guarantee Fund Trust for MSEs (CGTMSE) | will be a moratorium of 7 years on payment of principal whereas maximum tenure for repayment will be 10 years.

26.   To facilitate incentivisation of investments in the establishment of infrastructure in the animal husbandry sector | Beneficiaries - Farmer Producer Organizations (FPOs), MSMEs, Section 8 Companies, Private Companies and individual entrepreneurs with minimum 10% margin money contribution by them | balance 90% would be the loan component to be made available by scheduled banks | government will provide 4% interest subvention to eligible beneficiaries from the Aspirational Districts and 3% for beneficiaries from other Districts.

27. tends to provide job seekers and entrepreneurs, with access to free online coursework and mentoring support designed to help them reinvent their careers and businesses | is a long term institutional training to the nation’s youth through its network of training institutes and infrastructure | IBM will provide multifaceted digital skill training | Directorate General of

Training (DGT) under the aegis of the Ministry of Skill Development & Entrepreneurship (MSDE) is responsible for implementing the program.

28. | 2015 | provide loans up to 10 lakh to the non-corporate, non-farm small/micro enterprises | Lending Institutions Commercial Banks, RRBs, Small Finance Banks, MFIs and NBFCs | Categories of Loans - Shishu: Covering loans up to Rs. 50,000, Kishore: Covering loans above Rs. 50,000 and up to Rs. 5 lakhs, Tarun: Covering loans above Rs. 5 lakh and up to Rs. 10 lakhs | collateral-free loans.

29. | is an autonomous body under Department for Promotion of Industry & Internal Trade (DPIIT), Ministry of Commerce & Industry, Government of India | 1958 | to promote productivity culture in India | an autonomous, multipartite, non-profit organization and has been registered as a Society under the Societies Registration Act XXI of 1860.

30.  are ‘policy spaces’ for countries to mitigate the impact of patents (i.e., the excessively high price of patented medicines due to lack of competition) | TRIPs agreement and subsequent Doha Declaration on TRIPS and Public Health of 2001 provide some flexibilities in this regard | Flexibilities aim to permit developing and least-developed countries to use TRIPS-compatible norms in a manner that enables them to pursue o their own public policies, either in specific fields like access to pharmaceutical products or protection of their biodiversity, in establishing macroeconomic, institutional conditions that support economic development.

31. | NITI Aayog task force on sugarcane and sugar industry submitted its report to the government.

Sugarcane pricing in India → governed by the statutory provisions of the Sugarcane (Control) Order, 1966 issued under the Essential Commodities Act (ECA), 1955 | Fair and Remunerative Price (FRP) - It is the cane price announced by the Central Government on the basis of the recommendations of the Commission for Agricultural Costs and Prices (CACP) after consulting the State Governments and associations of sugar industry | FRP is minimum price paid by mills to farmers.

32. | Recently, set up Rice Export Promotion Forum (REPF) under the aegis of the Agricultural and Processed Foods Export Promotion Development Authority (APEDA) | objective is to identify, document particulars and reach out to stakeholders across the entire production/ supply chain of export of rice for increasing these exports significantly to the global market | monitor, identify and anticipate developments pertaining to rice production and exports and recommend necessary policy measures.

APEDA → under the Agricultural and Processed Food Products Export Development Authority Act, 1985 | under Ministry of Commerce and Industry | mandated with the responsibility of export promotion and development of products such as Fruits, Vegetables, Meat, Poultry, Dairy Products, Floriculture, Alcoholic and Non-Alcoholic Beverages etc.