Subject: Economy Context: India’s foreign exchange reserves jumped by a record $11.9 billion in the week ending July 31 to hit a fresh high of $534.5 billion, making it the fifth largest holder of reserves in the world. Concept: The Forex Reserves (‘foreign exchange reserves’) of an economy is its ‘foreign currency assets’ added with its gold reserves, SDRs […]
Subject: Economy Context: NCAER’s Business Confidence Index (BCI), an indicator of the business sentiment across the Indian industry, stood at 46.4 in the first quarter of 2020-21, a drop of 40.1 per cent from its level of 77.4 in the previous quarter. Concept: Business sentiment across Indian industry fell to its lowest level in the first quarter […]
Subject: Economy Context: Reserve Bank of India (RBI) has formed a five member committee under the chairmanship of former ICICI Bank CEO KV Kamath. Concept: The immediate task of the committee is to recommend a list of financial parameters to be factored into the assumptions that go into each resolution plan, and the sector specific […]
Subject: Economy Context: In its monetary policy review, the Reserve Bank of India gave the green signal to a loan restructuring scheme for stressed borrowers Concept: Restructuring is a practice that allows banks to modify the terms of the loan when the borrower is facing financial stress. Banks do that to avoid the borrower being declared a […]
Subject: Economy Context: RBI has put in place certain safeguards amid rising concerns over borrowers using multiple operating accounts, both current as well as cash credit (CC)/overdraft (OD). Concept: An overdraft is an extension of credit from a lending institutionthat is granted when an account reaches zero. The overdraft allows the account holder to continue withdrawing money […]
Subject: Economy Context: The Reserve Bank of India (RBI) decided to broaden the scope of priority sector lending (PSL) by including start-ups and enhancing borrowing limits for renewable energy sectors. Concept: Priority Sector refers to those sectors of the economy which may not get timely and adequate credit. Priority Sector Lending is an important role […]