Why the Worst of Food Inflation May Be Over Sub: Eco Sec: Inflation Recent Trends in Food Inflation: Retail food inflation remained above 8% from November 2023 to June 2024. The year-on-year increase in the Consumer Food Price Index (CFPI) fell to 5.4% in July 2024, down from 9.4% in June 2024. The […]
SEBI Hits a Wall on ₹76000-Crore Worth Dues in FY2023-24 Sub: Eco Sec: Capital Market Difficult to Recover (DTR) Dues: SEBI has marked dues worth ₹76,293 crore as Difficult to Recover (DTR) at the end of FY2023-24. This amount is 4.1% higher than the ₹73,287 crore recorded in the previous year. DTR dues […]
DPIIT’s Review of Curbs on Chinese Investments Sub: Eco Sec: External Sector Objective of the Curbs: The restrictions on Foreign Direct Investment (FDI) from China were introduced to prevent opportunistic takeovers of Indian firms, especially during vulnerable times. This policy was implemented through Press Note 3 in 2020, which mandated that investments from […]
MSCI’s Lifting of Restrictions on Adani Group Stocks Sub: Eco Sec: Capital market Resumption of Normal Operations: MSCI has lifted restrictions on the treatment of Adani Group stocks during its August 2024 Index Review. Updates include resuming adjustments to the free float status and other metrics for Adani Group securities. Background on Restrictions: […]
Central Bank Digital Currencies (CBDCs) and Their Impact During Crises Sub: Eco Sec: Monetary Policy CBDCs as Safe Havens During Crises: Risk of Bank Runs: In times of financial crises, CBDCs could be perceived as safer alternatives to traditional bank deposits, especially uninsured deposits, increasing the risk of bank runs as depositors may […]
SEBI Board’s Code on Conflict of Interest Sub: Eco Sec: Capital Market Background: Hindenburg Research accused SEBI Chairperson Madhabi Puri Buch of having a stake in offshore entities linked to the Adani money siphoning scandal. Buch and her husband clarified that the investment was made before her tenure at SEBI, and all necessary […]
Inflation Trends in July Sub: Eco Sec: Inflation Dramatic Drop in Inflation: Inflation in India’s consumer prices dropped significantly from 5.1% in June to a 59-month low of 3.54% in July. The food price rise moderated to a 13-month low of 5.4% from a six-month high of 9.4% in June. Base Effect Impact: […]
Price Instability in Ethiopia due to Forex Reforms Sub: Eco Sec: External sector Impact of Flexible Exchange Rate Policy: Ethiopia’s government implemented a flexible exchange rate policy last month, leading to the Ethiopian birr losing 60% of its value against the dollar. This significant devaluation has resulted in spiraling inflation and increased anxiety […]
Japanese Investors’ sell Foreign Bond Sub: Eco Sec: External sector Net Selling of Foreign Bonds: Japanese investors were net sellers of foreign bonds for the second consecutive month in July. The primary reason was declining bond yields in the United States, driven by rising expectations of an imminent rate cut by the U.S. […]