Subject: Economy Context: Decoding GDP contraction Findings: Compared to the first quarter of last year, the income split showed growth in agriculture, minor declines in financial services, utilities (like electricity and water) and public administration, and major declines in retail, transportation, manufacturing, hotels, and construction. The expenditure split showed growth in government spending, private consumption […]
Subject: Economy Context: Ministry of Home Affairs (MHA) has suspended the Foreign Contribution Regulation Act (FCRA) licences of four associations this year Concept: The Foreign Contribution (Regulation) Act, 2010 and rules framed under it (the “FCRA” or “Act”) regulate the receipt and usage of foreign contribution by non-governmental organisations (“NGOs”) in India. Since the Act is internal security […]
Subject: Economy Context: Reserve Bank of India (RBI) data showed India’s foreign exchange (forex) reserves surged by $3.883 billion to touch a lifetime high of $541.431 billion in the week ended August 28. Concept: Forex reserves are external assets in the form of gold, SDRs (special drawing rights of the IMF) and foreign currency assets […]
Subject: Economy Context: A maximum of 15 per cent cess on GST rate of 28 per cent are levied on luxury goods and aerated drinks which will help create a corpus for compensating states for any loss of revenue from GST implementation Concept: In economics, a demerit good is a good or service whose consumption is considered unhealthy, degrading, or otherwise […]
Subject: Economy Context: Amid disruptions caused by Covid-19, the Finance Minister has referred to an Act of God while businesses are looking at a legal provision, force majeure, to cut losses Concept: The law of contracts is built around a fundamental norm that the parties must perform the contract. When a party fails to perform […]