Rising interest rates & debt fund investments Subject: Economy Section: Monetary Policy Concept : Investors who put money in debt mutual funds and other securities are worried about their returns as the Reserve Bank of India prepares to raise interest rates in the coming months to tackle inflation. Impact debt funds? A rise […]
Special Purpose Acquisition Companies (SPACs) Subject: Economy Section: Monetary Policy Context The government is reportedly considering a regulatory framework for special purpose acquisition companies (SPACs) to lay the ground for the possible listing of Indian companies through this route in the future. Concept: An SPAC, or a blank-cheque company, is an entity specifically […]
e-commerce portal rules Subject: Economy Context- The Department of Consumer Affairs is in the process of bringing in revised e-commerce rules. The e-commerce rules were first notified in July, 2020 and later amended in May, 2021. A fresh revision is expected soon. Concept- About Draft Consumer Protection (E-Commerce) Rules, 2021: Key Features: Definition […]
The National Pharmaceutical Pricing Authority Subject: Economy Why in the news? The National Pharmaceutical Pricing Authority (NPPA), under the Ministry of Chemicals and Fertilizers, has fixed the price of 15 key drug formulations, used to treat diseases, including diabetes. Concept: NPPA was constituted by the Government of India in 1997 as an attached […]
Nidhi Company Subject: Economy Why in the news? The Company Law Committee has made a host of recommendations for stricter regulation of Nidhi companies. Details: The committee suggested that the Centre should prescribe rules and only companies that fulfil the prescribed financial and non-financial criteria should be declared as Nidhis. The declaration notification […]
Exposure Norms Subject: economy The Reserve Bank of India (RBI) laid down a set of rules for non-bank financiers on large exposures, lending to directors and sought additional disclosures in their notes to accounts. Details: Aggregate exposure of an upper layer NBFC to any entity must not be higher than 20% of its […]
Cost-Push Inflation Subject: Economy Section :Inflation It is “supply-side, cost-push” factors which affect the prices of most of the items constituting the CPI. The clear worry is that the recent Monetary Policy Committee move could potentially raise costs for all borrowers and lead to further price increases. Cost-Push Inflation: Cost push inflation is […]
External Benchmark Lending Rate Subject: Economy Section :Monetary Policy The Reserve Bank of India’s (RBI) endeavor to improve monetary transmission to banks’ lending rates has gained traction with the advent of EBLR regime Transmission of Monetary Policy: The transmission of monetary policy describes how changes made by the Reserve Bank to its monetary policy […]
Resilience and Sustainability Trust Subject: Economy Section :External sector The Executive Board of the International Monetary Fund (IMF) approved the establishment of the Resilience and Sustainability Trust (RST) to help countries build resilience to external shocks and ensure sustainable growth, contributing to their long-term balance of payments stability. Resilience and Sustainability Trust: On […]
GST Rates Rationalisation Subject: Economy Context- The Group of Ministers (GoM) will deliberate and finalise recommendations which will be sent to the GST Council, headed by Finance Minister Nirmala Sitharaman and comprising state finance ministers. Concept- There was a thought in some quarters that the slab of 5 per cent may be broken […]