Daily Prelims Notes 9 October 2021
- October 10, 2021
- Posted by: admin1
- Category: DPN
Daily Prelims Notes
9 October 2021
Table Of Contents
- RBI turns to mopping up liquidity
- Immediate Mobile Payment Service (IMPS)
- Pregnant women with Covid can pass on antibodies to foetus
- Chief Economic Advisor to the Government of India
- Google cracks down on climate change denial by targeting ads
- Global minimum tax
- Tawang Mapping
- Kanniyakumari clove gets GI Tag
- Palk Bay scheme
- Privilege Motion
- Nobel Peace Prize (2021)
- Bhashan Char Island
Subject – Economy
Context – Monetary Policy Committee (MPC) decided to keep the repo rate unchanged and retain the accommodative policy stance.
To know about Monetary Policy Committee, please click here.
To know about Accommodative monetary policy, please click here.
To know about Repo Rate, please click here.
Government Securities Acquisition Programme (G-SAP)
- The RBI launched G-SAP to address the concerns of the financial markets on liquidity after the outbreak of the Covid pandemic.
- The G-Sec Acquisition Programme (G-SAP) is basically an unconditional and a structured Open Market Operation (OMO), of a much larger scale and size.
- The word ‘unconditional’ here connotes that RBI has committed upfront that it will buy G-Secs irrespective of the market sentiment.
To know about GSAP, please click here.
Variable Rate Reverse Repo (VRRR)
- The Reserve Bank of India (RBI) had said that it would conduct four variable reverse repo rate (VRRR) auctions of Rs 13 lakh crore in the fortnight beginning August 13 till September 24, to absorb surplus liquidity from the banking system.
- Under the revised liquidity management framework announced on February 6, 2020, the RBI has been conducting 14-day variable rate reverse repo (VRRR) auctions as its main liquidity operation.
- With the commencement of normal liquidity operations, the VRRR, which was temporarily held in abeyance during the pandemic, has been re-introduced since January 15, 2021.
- The quantum of VRRR will increase by Rs 50,000 crore with each auction.
- Markets have adapted and even welcomed the VRRR in view of the higher remuneration it offers relative to the fixed rate overnight reverse repo.
Subject – Economy
Context – RBI hikes IMPS daily transaction limit to ₹5 lakh
- The Reserve Bank of India on Friday announced a proposal to increase the per-transaction limit for the Immediate Payment Service (IMPS) from ₹2 lakh to ₹5 lakh for channels other than SMS and IVRS.
- This will lead to further increase in digital payments and will provide an additional facility to customers for making digital payments beyond ₹2 lakh.
- The per-transaction limit for SMS and IVRS (interactive voiceresponse) channels is ₹5,000.
- The RBI also unveiled a slew of other measures related to payment and settlement systems including geotagging of payment system touchpoints.
- It has proposed to lay down a framework for geotagging (capturing geographical coordinates through latitude and longitude) of physical payment acceptance infrastructure, point of sale terminals and quick response (QR) codes used by merchants.
Different ways to transfer funds online in India–
India currently has various methods to transfer money online such as digital wallets, UPI, and more. However, the most commonly used online fund transfer method has been:
- National Electronic Funds Transfer (NEFT)
- Real-Time Gross Settlement (RTGS)
- Immediate Mobile Payment Service (IMPS)
While NEFT and RTGS were introduced by RBI (Reserve Bank of India), IMPS was introduced by National Payments Corporation of India (NPCI).
- National Electronic Funds Transfer (NEFT) is a payment system that facilitates one-to-one funds transfer.
- Using NEFT, people can electronically transfer money from any bank branch to a person holding an account with any other bank branch, which is participating in the payment system.
- Fund transfers through the NEFT system do not occur in real-time basis and the fund transfer settles in 23 half-hourly batches.
- Real-Time Gross Settlement (RTGS) is another payment system in which the money is credited in the beneficiary’s account in real-time and on a gross basis.
- The RTGS system is primarily meant for large value transactions that require and receive immediate clearing.
- Immediate Mobile Payment Services(IMPS) is a real-time instant inter-bank funds transfer system managed by National payment corporation of India.
- IMPS is available 24/7 throughout the year including bank holidays, unlike NEFT and RTGS.
To know about UPI, please click here.
National Payments Corporation of India
- National Payments Corporation of India (NPCI), an umbrella organisation for operating retail payments and settlement systems in India, is an initiative of Reserve Bank of India (RBI) and Indian Banks’ Association (IBA) under the provisions of the Payment and Settlement Systems Act, 2007.
- It is a “Not for Profit” Company under the provisions of Section 25 of Companies Act 1956 (now Section 8 of Companies Act 2013), with an intention to provide infrastructure to the entire Banking system in India for physical as well as electronic payment and settlement systems.
Subject – Science and Tech
Context – Babies born to mothers with SARS-CoV-2 infection may have enhanced levels of immune cells known to be involved in rapid response to the viral infection, according to a study.
- Babies born to mothers with SARS-CoV-2 infection may have enhanced levels of immune cells known to be involved in rapid response to the viral infection, according to a study.
- The ability of immune cells to make mediators was enhanced even in babies born to mothers who had Covid earlier in pregnancy, the researchers said.
- This suggests that infection in the mother has altered the immune system of the baby.
- The researchers also found that the mothers pass antibodies against SARS-CoV-2 to their baby through the placenta – known as the transfer of passive immunity.
Subject – Economy
Context – CEA steps down as 3-yr tenure ends
- The Chief Economic Adviser (CEA) is a post in Government of India and is equivalent to rank of Secretary to the Government of India.
- The CEA is the ex-officio cadre controlling authority of the Indian Economic Service.
- The CEA is head of Economic Division of the Department of Economic Affairs, Ministry of Finance and Government of India.
- Until 2009, the CEA’s position was a Union Public Service Commission appointment and until the 1970s almost all CEAs were members of the Indian Economic Service.
To know more about Chief Economic Advisor, please click here.
Office of the Economic Adviser (OEA)
- Office of the Economic Adviser (OEA) is an attached office of the Department for Promotion of Industry and Internal Trade, Ministry of Commerce & Industry.
The main functions of the Office of Economic Adviser include, inter alia the following:
- Economic policy inputs on industrial development.
- Rendering advice relating to formulation of Industrial Policy, Foreign Trade Policy with respect to industrial sector in general with thrust on manufacturing, issues relating to bilateral and multilateral trade, as well as taxes and duties related to industry, including but not restricted to safeguard and anti-dumping duties.
- Analysis of trends of industrial production and growth.
- Examination of multilateral and bilateral issues and processing Policy Notes with economic implications referred to the Office.
- Compiling and releasing monthly Wholesale Price Indices
- Compiling and releasing monthly Index of Core Industries Production
- Developing other Indices on experimental basis, e.g. select business service price indices
- Supervising as a ‘source agency’, compilation of monthly production statistics for identified industrial items, their validation, and onward transmission for computation of the monthly Index of Industrial Production (IIP) by Central Statistics Office.
- Monthly Statistical compilation of macro indicators (secondary information).
Subject – Governance
Context – Google is cracking down on digital ads promoting false climate change claims or being used to make money from such content, hoping to limit revenue for climate change deniers and stop the spread of misinformation on its platforms.
- Google is cracking down on digital ads promoting false climate change claims or being used to make money from such content, hoping to limit revenue for climate change deniers and stop the spread of misinformation on its platforms.
- The company said Thursday in a blog post that the new policy will also apply to YouTube, which last week announced a sweeping crackdown of vaccine misinformation.
- The restrictions will prohibit ads for, and monetization of, content that contradicts well-established scientific consensus around the existence and causes of climate change.
- Along with addressing publishers’ frustrations, the changes are also apparently intended to counter online influencers who monetize, or make money from, YouTube videos promoting climate change denial theories by putting ads on them.
- Limits will be placed on content calling climate change a hoax or denying that greenhouse gas emissions and human activity have contributed to the earth’s long-term warming, the company said.
- Google is one of the two dominant players in the global digital ad industry, earning $147 billion in ad revenue last year. Facebook, the other big player, prohibits ads used to spread misinformation though it doesn’t list specific topics including climate change denial.
Subject – Economy
Context – Global Deal to End Tax Havens Moves Ahead as Nations Back 15% Rate
Subject – Geography
Context – India, China patrols face off in Tawang
Subject – Economy
Context – Kanniyakumari clove gets GI Tag
- The spices growers of Kanniyakumari have obtained the Geographical Indication Tag for the clove being grown in the hilly regions of the district as it is known for its rich aromatic oil content.
- Clove, one of the prominent spice crops of the district, is grown on 760 hectares in the densely wooded areas of Maaraamalai, Blackrock and Velimalai in the Western Ghats of the Veerapuli Reserve Forests and Mahendragiri.
- The district represents about 73% of the area under clove in Tamil Nadu.
To know about GI Tags and recent GI products, please click here.
Subject – Government Schemes
Context – Palk Bay scheme will be given a fillip: Murugan
- The Scheme, “Diversification Of Trawl Fishing Boats From Palk Straits Into Deep Sea Fishing Boats”, was launched in 2017 as a Centrally Sponsored Scheme.
- It was launched as part of the umbrella Blue Revolution Scheme.
- It is a Tamil Nadu-specific scheme aimed at providing 2,000 vessels in three years to fishermen of the State and motivating them to abandon bottom trawling.
- Bottom trawling, an ecologically destructive practice, involves trawlers dragging weighted nets along the sea-floor, causing great depletion of aquatic resources.
- Another objective of the scheme is to “reduce fishing pressure” around the proximity of the International Maritime Boundary Line (IMBL) so that Tamil Nadu fishermen do not cross the IMBL and fish in Sri Lankan waters.
- The Funding pattern of the scheme is Centre 50%, State 20%, Institutional funding 10% and Beneficiary 20%.
- The Scheme is limited to vessels costing upto Rs. 80 Lakh.
- The scheme is not part of Pradhan Mantri Matsya Sampada Yojana.
To know about Pradhan Mantri Matsya Sampada Yojana, please click here.
Subject – Polity
Context – Centre didn’t specifically ask for oxygen deaths data: Cong.
- All Members of Parliament (MPs) enjoy rights and immunities, individually and collectively, so that they can discharge their duties and functions effectively.
- Any instance when these rights and immunities are disregarded by any member of Lok Sabha or Rajya Sabha is an offence, called ‘breach of privilege’, which is punishable under the Laws of Parliament.
- Any member from either house can move a notice in the form of a motion against the member who he/she thinks is guilty of the breach of privilege.
- Both Houses of the Parliament reserve the right to punish any action of contempt (not necessarily breach of privilege) which is against its authority and dignity, as per the laws.
Rules governing Privilege Motion
- The rules governing the privilege are mentioned in the Rule No 222 in Chapter 20 of the Lok Sabha Rule Book and Rule 187 in Chapter 16 of the Rajya Sabha rulebook.
- The rules explain that any member of the House may, with the consent of the Speaker or the Chairperson, raise a question involving an incident that he or she considers a breach of privilege either of a member or of the House or of a committee.
- The notice, however, has to be about a recent incident and should need the intervention of the House.
- These notices have to be submitted before 10 am to the Speaker or the Chairperson of the House.
Role of the Lok Sabha Speaker and Rajya Sabha Chairperson
- The speaker of Lok Sabha and the Chairperson of Rajya Sabha are the first level of scrutiny of a privilege motion in the two Houses of Parliament.
- They can either take a decision on the privilege motion or can also refer it to the privileges committee of Parliament.
- Once the Speaker or the House Chairperson gives consent under Rule 222, the concerned member is allowed to explain himself or herself.
- The Speaker of Lok Sabha nominates a committee of privileges consisting of 15 members of parliament from each party.
- The report prepared by the committee is submitted to the House for its consideration.
- The Speaker may also allow a half-hour debate on the report by the committee before passing orders or directing that the report be tabled before the House. A resolution is passed.
- In the Rajya Sabha, the deputy chairperson heads the committee of privileges, which consists of 10 members.
- Parliamentary privileges are special rights, immunities and exemptions enjoyed by the two Houses of Parliament, their committees and their members.
- The Constitution also extends the parliamentary privileges to those persons who are entitled to speak and take part in the proceedings of a House of Parliament or any of its committees. These include the Attorney General of India and Union ministers.
- The parliamentary privileges do not extend to the President who is also an integral part of the Parliament. Article 361 of the Constitution provides for privileges for the President.
- Article 105 of the Constitution expressly mentions two privileges, that is, freedom of speech in Parliament and right of publication of its proceedings.
- Apart from the privileges as specified in the Constitution, the Code of Civil Procedure, 1908, provides for freedom from arrest and detention of members under civil process during the continuance of the meeting of the House or of a committee thereof and forty days before its commencement and forty days after its conclusion.
- It needs to be noted that the Parliament, till now, has not made any special law to exhaustively codify all the privileges.
Subject – Science and Tech
Context – Philippines journalist Ressa and Russian journalist Muratov win 2021 Nobel Peace Prize
- Maria Ressa and Dmitry Muratov, journalists whose work has angered the rulers of the Philippines and Russia, were awarded the Nobel Peace Prize on Friday, an award the committee said was an endorsement of free speech rights under threat worldwide.
- The two were awarded “for their courageous fight for freedom of expression” in their countries.
- The prize is the first Nobel Peace Prize for journalists since the German Carl von Ossietzky won it in 1935 for revealing his country’ssecret post-war rearmament programme.
- The Nobel Peace Prize will be presented on Dec. 10, the anniversary of the death of Swedish industrialist Alfred Nobel, who founded the awards in his 1895 will.
Subject – IR
Context – Rohingya refugees to be sent to island
To know about the island, please click here.