October 2017
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Unique IAS Academy – OCTOBER 2017 Banking Current Affairs • Reserve Bank of India has constituted a 10-member „High Level Task Force on Public Credit Registry (PCR) for India‟, which will suggest a roadmap for developing a transparent, comprehensive and near-real-time PCR for India. The committee will be Headed by YM Deosthalee, ex-CMD, L&T Finance Holdings. • State Bank of India (SBI) has signed an agreement with Escorts Ltd. to finance farmers for purchase of Escorts tractors. • IndusInd Bank, in association with MobiKwik announced the launch of a co-branded wallet „IndusInd MobiKwik‟ that allows its customers to pay at the MobiKwik merchant network using their accounts, with a ‟Direct Debit Feature‟. • State Bank of India launched the second edition of its Hackathon named 'Digitize For Bank.' This hackathon will be held from 1st to12th November 2017. This edition focuses on four „Cognitive‟ themes namely Facial Recognition, Signature Recognition, Voice based Authentication and Cheque Truncation Value Enhancers. • The Indian government announced an allocation of Rs 2.11 lakh crore over 2 years for the recapitalization of public sector banks. As part of the plan, the government will essentially issue bonds to banks worth Rs 1.35 lakh crore while Rs 76,000 crore will come through budgetary support. Lenders will subscribe to these bonds as part of their investment portfolio. • After making Legal Entity Identifier (LEI) mandatory for transactions in interest rate, forex and credit derivative market, Reserve Bank of India (RBI) is set to make LEI compulsory for companies having aggregate fund-based and non-fund based exposure over Rs 5 crore. Banks will be required to capture this number in the Central Repository of Information on Large Credits (CRILC) database that captures details of loan above Rs 5 crore. The LEI number will help banks in monitoring the aggregate exposure of corporate borrowers. Firms can obtain their LEI code from Legal Entity Identifier India Ltd. (LEIL). • Reserve Bank of India has imposed a monetary penalty of Rs 2 crore on IDFC Bank for contravention of regulatory restrictions pertaining to loans and advances. • State Bank of India has slashed Immediate Payment Service (IMPS) charges up to 80 percent. After the revision, no IMPS service charge will be imposed on online transactions under Rs 1000. For the transactions between Rs 1000 and Rs 10,000, the users will have to pay Re 1 while for an amount between Rs 10,001 and Rs 1,00,000, the users will be charged Rs 2. • AU Small Finance Bank tied up with Small Industries Development Bank of India (SIDBI) to launch a Rs200 crore fund for providing loans to micro, small and medium enterprises (MSMEs). The program will fund term loans in the Rs25 lakh to Rs2 crore ticket size. 0422 4204182,9884267599 1st Street Gandhipuram Coimbatore Page 1 Unique IAS Academy – OCTOBER 2017 • RBI issued guidelines to banks to provide funds to women self help groups, SHGs, in rural areas at 7% under the Deendayal Antyodaya Yojana - National Rural Livelihoods Mission (DAY-NRLM) in the current fiscal (2017-18). • As per the World Payment Report, the initiatives of government and National Payments Corporation of India (NPCI) will help non-cash transactions grow at a compound annual growth rate of 26.2 percent during 2016 to 2020. The Report was jointly commissioned by Capgemini and BNP Paribas. • The nation's largest lender State Bank of India is creating a 15,000-sqft innovation center in Navi Mumbai investing around Rs 100 crore. The center, to be built at its Global IT Centre in Belapur in Navi Mumbai, will be the largest innovation center by any financial services company in the country. • HSBC announced the launch of a mobile app - Trade Transaction Tracker - to help customers track the status of their trade transactions on a real-time basis. It will provide a global view of import and export documentary credit and collections transactions, across markets in one single app. • HSBC has appointed John Flint as its next chief executive. Flint currently runs HSBC's retail and wealth management business. He will start in his new role on February 21, 2018. He will take over from current chief executive Stuart Gulliver, who is retiring after seven years in the job. • State Bank of India launched a new product to provide a short-term working capital demand loan to its MSME clients. The new initiative, called SME Assist, would offer loans to MSME customers on the basis of their input credit claims under Goods and Services Tax (GST). The loan processing fee under the scheme is Rs 2,000. • US-based fintech company Mastercard has announced the launch of its global research and development arm Mastercard Labs in Pune, India. After Singapore, this will be the second Mastercard Labs in Asia-Pacific, and ninth in the world. • Private sector Yes Bank has committed Rs 156 crore to fund first Sewage Treatment Plant (STP) to be constructed at Varanasi under Hybrid Annuity-PPP Model. • Moody‟s Investors Service has affirmed ratings on domestic as well as foreign currency bond programs of the country‟s largest lender SBI. Moody‟s affirmed the Baa3 rating on the bank‟s senior unsecured debt (issued via its London branch) and (P)Baa3 rating on its senior unsecured medium-term note (MTN) program. • Union Bank of India launched an Android app, Union Sahyog, as part of its drive to digitise customer-facing banking services. Union Sahyog app is bilingual — offering both English and Hindi language — and packs in all mobile-based banking applications, missed call/SMS-based services, Internet banking login and self-user creation and other services. • International Business Machines Corporation (IBM) has announced the launch of IBM Blockchain, a new blockchain banking solution, that will help financial institutions for cross-border payments. 0422 4204182,9884267599 1st Street Gandhipuram Coimbatore Page 2 Unique IAS Academy – OCTOBER 2017 • Reserve Bank of India has clarified that linking of Aadhaar to the bank account is mandatory under the Prevention of Money-Laundering (Maintenance of Records) Second Amendment Rules, 2017 published in the Official Gazette on 01st June 2017. • Government has made it mandatory for banks and financial institutions to check the original identification documents of individuals dealing in cash above Rs. 50,000, to weed out the use of forged or fake copies. • Govt. named Rajnish Kumar as the new chairman of SBI, for 3-year term. Kumar will succeed Arundhati Bhattacharya. • RBI is going to launch a financial literacy drive in 80 blocks in nine states on pilot basis to educate people on e-transactions, formal sector borrowings and insurance purchases. As per RBI, the pilot project will be commissioned in the 9 states of Maharashtra, Chhattisgarh, Bihar, Odisha, Karnataka, Telangana, Andhra Pradesh, Haryana and UP. • RBI opened a branch in the Dehradun city to make transactions of the Uttarakhand State government more convenient. • Vijaya Bank entered into an MoU with Hindustan Petroleum Corporation Ltd (HPCL) for enabling all HPCL retail outlets with BHIM/UPI merchant solutions. This rollout will empower all petrol pump attendants and LPG delivery personnel to accept digital payments. Schemes/Portals/Missions Launched • Union Ministries of Power and Textiles jointly launched an initiative 'SAATHI' (Sustainable and Accelerated Adoption of efficient Textile technologies to Help small Industries). Under this initiative, Energy Efficiency Services Limited (EESL), a public sector entity under the Union Ministry of Power, will acquire energy efficient Powerlooms, motors and Rapier kits in bulk and provide them to the small and medium powerloom units. • Gujarat Government announced the Garments and Apparel Policy-2017, with the aim of creating more opportunities in the garment sector of Gujarat and to create huge employment opportunities for women through the apparel industry. This Policy is prepared with an aim to make Gujarat number 1 in textile which produces more of cotton. • Communications Minister Manoj Sinha launched the Sampoorna Bima Gram (SBG) Yojana and an initiative for expansion of clientele base of Postal Life Insurance (PLI). Under Sampoorna Bima Gram (SBG) Yojana, at least one village (with min. 100 households) will be identified in each of the revenue districts of the country. Coverage of all households is the primary objective of this scheme. 0422 4204182,9884267599 1st Street Gandhipuram Coimbatore Page 3 Unique IAS Academy – OCTOBER 2017 • Mahindra & Mahindra has launched a program, Prerna, to empower women working in the agriculture sector by promoting efficient and ergonomic farm tools and equipment. The project will be initially launched in the state of Odisha, with the intention to positively impact the lives of over 1,500 families across 30-plus villages. • Madhya Pradesh Chief Minister Shivraj Singh Chouhan inaugurated the ambitious 'Bhavantar Bhugtan Yojna' for the farmers of the state. Madhya Pradesh is the first state to lend money to farmers at zero percent interest. • In an attempt to end Gender bias in women against women, the Ministry of Women and Child Development is undertaking an online campaign #IamThatWoman. Through the campaign, the Ministry seeks to highlight the various aspects of women standing 'by' and 'for' women. • Goods and Services Tax Network (GSTN) has launched an excel-based offline tool for businesses to file initial GSTR- 3B returns. GSTN, in a statement in New Delhi, stated that taxpayers can download the offline utility from the GSTN portal and after fill in the data the file can be uploaded on GST portal. • MP Govt. implemented the Chief Minister's Skill Promotion and Skills Scheme to provide jobs by providing employment oriented training to the youth. All the youth who are in the age group of 18-35 are being benefitted through Mukhya Mantri Kaushal Samvardhan Yojana and Mukhya Mantri Kaushalya Yojana.