July 20, 2021

• The PCA is invoked when certain Table of Contents prescribed risk thresholds are breached based on, asset quality, profitability, Economy ...... 1 capital, etc. PCA Framework ...... 1 • Another threshold, is maximum tolerance Art and Culture ...... 1 limit, which sets net NPA at over 12% and Tipu Sultan ...... 1 negative return on assets for four consecutive years. Governmental Initiatives ...... 2 Banks usual course of action post PCA Mid-Day Meal Scheme ...... 2 categorisation: Smart Cities Mission ...... 3 • Launch special drives to reduce the stock International Relations ...... 3 of NPAs International Atomic Energy Agency (IAEA) ... 3 • Contain generation of fresh NPAs. • Banks are also not allowed to enter into new lines of business. ______• RBI also imposes restrictions on the bank Economy on borrowings from interbank market. PCA Framework Why in News? Post removal from PCA restrictrictions, IDBI bank is looking for avenues to enhance its credit growth. About PCA (Prompt and Corrective Action) Framework: Art and Culture • PCA norms allow RBI to place certain Tipu Sultan restrictions like halting branch expansion Why in News? and stopping dividend payment to the Mysore King of 18th century Tipu Sultan is at the shareholders. centre of controversy over attempts to name a • RBI can even cap a bank’s lending limit garden after him in Mumbai. and exposure to one entity or sector. • Other corrective action that can be About Tipu Sultan: imposed on banks include: • He was a ruler of o special audit, the erstwhile o restructuring operations, and kingdom of o activation of recovery plan. Mysore and was o The RBI can also supersede the the eldest son of bank’s board, under PCA. Sultan Hyder Ali of Mysore.

• Tipu is seen as a man of imagination and Recently, a new study highlighting the inter- courage, a brilliant military strategist who, generational benefits of Midday Meal Scheme even though in a short reign of 17 years, was published. mounted the most serious challenge the About the Mid-Day meal scheme: East India Company (EIC) faced in India. • MDM Scheme guarantees one meal to all Contributions of Tipu Sultan: the children in government and other • Fought the first Anglo-Mysore War (1767- aided schools and madarsas supported 69) at the age of 17 and subsequently, under Samagra Shiksha Abhiyan. against the Marathas and in the Second • These students are guaranteed one Anglo-Mysore War (1780-84). nutritional cooked meal at least 200 days • He fought EIC forces four times during in a year. 1767-99. However, he was killed • It is under the Ministry of Education. defending his capital Srirangapatnam in • It was launched in the 1995 as the the Fourth Anglo Mysore War, 1799. National Programme of Nutritional • Tipu is known to have reorganised his Support to Primary Education, a centrally army along European lines, using new sponsored scheme. technologies, including the first war • In 2004, the scheme was relaunched as rocket. the MDM Scheme. • He devised a land revenue system based • The Scheme is also covered under the on detailed surveys and classification, in National Food Security Act, 2013. which tax was imposed directly on the • Objective: peasant, and was collected through o Address hunger and malnutrition, salaried agents in cash, widening the o increase enrolment and state’s resource base and reducing attendance in school, middlemen. o improve socialisation among • Other initiatives: castes, o Modernised agriculture, o provide employment at grassroot o Gave tax breaks for developing level especially to women. wasteland, • The MDM rules 2015, states that the place o Built irrigation infrastructure, of serving meals to the children shall be o Repaired old dams, school only. o Promoted agricultural • Nutritional norms: manufacturing and sericulture. o Built a navy to support trade. o Commissioned a “State commercial corporation” to set up and build factories. Governmental Initiatives Mid-Day Meal Scheme Why in News?

Smart Cities Mission • It reports to both the UN General Why in News? Assembly and Security Council. Recently, Jaipur Smart City Limited has completed • It has headquarters in Vienna, Austria. nine big projects to secure first place in the online Key functions: ranking under Smart Cities Mission. • Promote the safe, secure and peaceful use About Smart Cities Mission: of nuclear technologies in the globe. • It is an innovative initiative under MoHUA, • Promote the peaceful use of nuclear to drive economic growth and improve energy, quality of life of people by enabling local • Inhibit nuclear energy’s use for any development with harnessing technology military purpose, also including nuclear to create smart outcomes for citizens. weapons. • Objective: The IAEA has three chief areas of work: o Promote cities which provide core • Safety and security infrastructure, • Science and technology o Give a decent quality of life to • Safeguards and verification citizens, Other important aspects of IAEA: o A clean and sustainable • India is a founding member of the IAEA, environment, i.e., joined it in 1957. o Application of Smart Solutions. • Presently, IAEA functions as an • It aims to develop areas step-by-step with autonomous organisation within the the help of these three models: United Nations system. o Retrofitting. • Funding of IAEA: Contributions and o Redevelopment. donations from non-members. o Greenfield development. Note: IAEA is not specialised agency of UN. • It is a Centrally Sponsored Scheme(CSS). International Relations International Atomic Energy Agency (IAEA) Why in News? IAEA has stated that the dragging talks for restoration of JCPOA has put IAEA is an “uncomfortable position” with its role beoing undermined. About IAEA: • The IAEA is a UN agency working as the international centre for cooperation in the nuclear/atomic field. • It works with its member countries and many other partners to promote peaceful uses of nuclear technologies. • In 1957, it was set up as the world’s “Atoms for Peace” organization within the United Nations.