Venture capital and Private Equity Subject – Economy Context – While investments into Indian start-ups by private equity and venture capital funds have hit an all-time high, the ticket size of the deals has also gone up significantly in the first eight months of 2021. Concept – Venture capital and private equity are […]
National Monetisation Pipeline Subject – Economy Context – Finance Minister Nirmala Sitharaman will launch the National Monetisation Pipeline (NMP) tomorrow at New Delhi. Concept – The objective of the asset monetisation programme is to unlock the value of investment made in public assets which have not yielded appropriate or potential returns so far. […]
Industry Status Subject – Economy Context – Industry status will give real estate sector a boost Concept – The term ‘industry status’ has not actually been specifically defined in any legislation in India. Conferring industry status basically entails an inclusion in the State/Central industrial policy. Getting loans at lower interest rates, enabling large investors […]
Non-Deliverable Forward (NDF) Markets Subject – Economy Context – The offshore NDF market for the rupee remains a challenge, despite RBI’s attempts to curb its influence. Concept – NDFs are foreign exchange derivative instruments on non-convertible or restricted currencies traded over the counter (OTC) mainly at offshore centres outside the direct jurisdiction of […]
Liberalised Remittance Scheme (LRS) Subject – Economy Context – The outflow of foreign exchange under the Liberalised Remittance Scheme (LRS) of the Reserve Bank of India (RBI) has bounced back in the first quarter ended June 30, 2021 after a steep fall during the year-ago period when the Covid pandemic hit countries across the world […]
Bubble Subject – Economy Concept – Bubbles occur when assets become artificially expensive, driven by a false belief known as a misconception. There are identifiers that might help spot potential, irrational exuberance in the market. Here are seven of them: Entry of new investors– About 1.42 crore new demat accounts were added in FY21, which is about threefold more than that seen in FY20. Leverage play – Leverage refers to the […]
Forex Reserves Subject – Economy Context – Fall in currency assets, gold pulls forex reserves off record high. Concept – Foreign exchange reserves are assets held on reserve by a central bank in foreign currencies, which can include bonds, treasury bills and other government securities. It needs to be noted that most foreign exchange reserves […]
Participatory notes (P-notes) Subject – Economy Context – P-note investment rises to 40-month high in July. Concept – Participatory notes (P-notes) are issued by registered foreign portfolio investors (FPIs) to overseas investors who wish to be a part of the Indian stock market without registering themselves under SEBI directly after going through a […]
Peer-to-Peer Lending Subject – Economy Context – Fintech platform CRED has launched a peer-to-peer lending feature called CRED Mint. Concept – P2P lending is a form of crowdfunding; an online platform that matches lenders with borrowers in order to provide unsecured loans. The borrower can either be an individual or a business requiring a […]