aa Is Now In CHENNAI | MADURAI | TRICHY | SALEM | COIMBATORE | CHANDIGARH | BANGALORE |ERODE | NAMAKKAL | PUDUCHERRY |THANJAVUR |TRIVANDRUM | ERNAKULAM |TIRUNELVELI |VELLORE | www.raceinstitute.in | www.bankersdaily.in CAPSULE FOR RRB PO/ASST & NIACL (MAINS). GENERAL AWARENESS & STATIC GK Exclusively prepared for RACE students Chennai: #1, South Usman Road, T Nagar. | Madurai: #24/21, Near MapillaiVinayagar Theatre, Kalavasal. | Trichy: opp BSNL office, Juman Center, 43 Promenade Road, Cantonment. | Salem: #209, Sonia Plaza / Muthu Complex, Junction Main Rd, State Bank Colony, Salem. | Coimbatore #545, 1st floor, Adjacent to SBI (DB Road Branch),DiwanBahadur Road, RS Puram, Coimbatore| Chandigarh| Bangalore|Erode |Namakkal |Puducherry |Thanjavur| Trivandrum| Ernakulam|Tirunelveli | Vellore | H.O: 7601808080 / 9043303030 | www.raceinstitute.in Chennai RACE Coaching Institute Pvt Ltd CAPSULE FOR RRB PO/ASST & NIACL (MAINS) BANKING & FINANCIAL AWARENESS RESERVE BANK OF INDIA (RBI) Third Bi-Monthly Monetary Policy Statement, 2018-19: Resolution of the Monetary Policy Committee (MPC): Reserve Bank of India Policy Rate Current Rate Previous Rate Repo Rate 6.50% 6. 25% Reverse Repo Rate 6.25% 6. 00% Marginal Standing 6.75% 6. 50% Facility Rate Bank Rate 6.75% 6. 50% CRR 4% (Unchanged) 4% SLR 19. 5% 19. 5% (Unchanged) ➢ The six-member monetary policy committee (MPC) of the Reserve Bank of India (RBI) has decided to increase the repo rate by 25 basis points to 6.5% due to inflation concerns. ➢ According to the RBI Annual Report, it was mentioned due to the evolving economic conditions, real GDP growth for 2018-19 is expected to increase to 7.4% from 6.7% in the previous year. ➢ In order to address the concerns arising out of the anonymity and to prevent money laundering, the Reserve Bank has now made it compulsory to incorporate the purchaser’s name on the face of demand draft, pay order, banker’s cheques and other instruments. This directive will come into effect from 15th of September this year. R.A.C.E ➢ The Reserve Bank of India (RBI) will shortly issue Rs 100 denomination banknotes in the Mahatma Gandhi (New) Series, bearing the signature of Governor Urjit Patel. The new denomination notes will be lavender colour bearing the motif of 'Rani Ki Vav', which depicts India’s cultural heritage. Dimension of the banknote will be 66 mm × 142 mm. Rani ki vav is an intricately constructed stepwell situated in the town of Patan in Gujarat, India. It is located on the banks of Saraswati River. ➢ The RBI has issued licence to Bank of China to set up its first branch in India. It was a commitment made by the Prime Minister Modi to the President of China. ➢ The RBI has announced that the licence of Alwar Urban Co-operative Bank in Alwar, Rajasthan has been cancelled as it is not in a position to pay its depositors in full as and when their claims accrue, among other reasons. ➢ Airtel Payments Bank has received requisite approvals from the Reserve Bank to begin taking new customers. Also, Aadhaar-issuing authority UIDAI has allowed it to use the 12-digit unique identification number-based e-KYC ➢ The Fino Payments Bank was served a notice by the RBI to stop adding new customers for violating the norms related to the deposit limit and that certain accounts were found to have deposits exceeding Rs.1 lakh. ➢ India’s co-operative banking sector is set to undergo a transformation with the concept of Umbrella Organisation (UO) of Urban Co-operative Banks (UCBs). It would help to solve the issues that distress the sector. Gujarat is the first State in the country to have an UO for the UCB sector. ➢ The RBI has decided to pay Rs 50,000 crore as dividend to government in line with the Union Budget provisions, helping the Centre stick to its fiscal roadmap. The Reserve Bank, which follows July- Head Office - Chennai: Mob: 9043303030 / 7601808080| Madurai | Trichy | Salem | Coimbatore | Chandigarh | Bangalore| Erode |Namakkal |Puducherry |Thanjavur| Trivandrum| Ernakulam |Tirunelveli | Vellore | 2 Official Website: www.Raceinstitute.in Official Blog: www.Bankersdaily.in Chennai RACE Coaching Institute Pvt Ltd CAPSULE FOR RRB PO/ASST & NIACL (MAINS) June financial year, has paid about 63 per cent higher dividend than previous year (2016-17). The RBI made a dividend payout of Rs 30,659 crore for the fiscal ended June 2017. ➢ The value of transactions made through mobile wallets touched a record Rs.14,632 crore in June, Reserve Bank of India (RBI) data released showed, rising 4.2% from Rs.14,047 crore in May. However, the number of transactions fell around 5% to 309.62 million in June after reaching an all-time high of 325.41 million in May. The value of transactions increased to Rs.1.9 trillion in June from Rs.1.7 trillion in May. Payments using Real-Time Gross Settlement (RTGS) fell marginally by around 0.5% to 11.43 million in June from 11.49 million in the preceding month. ➢ The United Arab Emirates (UAE) has emerged as the top source of inward remittances, while Kerala has received the maximum funds sent from abroad, according to the Reserve Bank of India’s survey of inward remittances for 2016-17. Among destinations, Kerala has the highest share with 19%, followed by Maharashtra (16.7%), Karnataka (15%), Tamil Nadu (8%) and Delhi (5.9%). ➢ The Foreign bank State Bank of Mauritius, SBM would soon operate as a banking subsidiary of SBM Group in India under the name of SBM Bank (India) Ltd. It has also announced plans to launch six new branches in Delhi, Bengaluru, Kolkata, Pune, Ahmedabad and Jaipur by next year. It is the first foreign bank in India to obtain a wholly-owned subsidiary licence from the RBI. ➢ Yes Bank has received approval from capital markets regulator SEBI to start mutual fund business. This approval is subsequent to the Reserve Bank of India’s (RBI) approval granted to Yes Bank to sponsor a mutual fund followed by SEBI’s in-principle approval received subsequently.The name of the Mutual Fund business is Yes Asset Management (India) Limited (YAMIL). ➢ The Reserve Bank of India (RBI) will transfer Rs.50,000 crore of its surplus money to the R.A.C.E government, the highest since 2015-16, in a partial relief for the latter struggling to replenish public sector banks. ➢ Bank credit grew by 12.84 per cent to Rs 86,16,408 crore in the fortnight ended June 22, according to RBI data. In the year-ago fortnight, bank loans stood at Rs 76,35,689 crore. The growth in advances was slightly higher than the growth registered in the previous fortnight ended Jun 8. It had risen by 12.67 per cent to Rs 85,98,703 crore. ➢ The Reserve Bank of India has chosen “customer protection” as theme for the Financial Literacy Week beginning on June 4 till June 8 will focus on creating awareness among customers of banks about financial products and services, good financial practices and going digital. ➢ The Reserve Bank of India has decided to allow urban co-operative banks (UCB) to convert into small finance banks (SFB). It is a move aimed at bringing these entities into mainstream banking. ➢ IDFC Bank has received the RBI’s approval for merger of Capital First, Capital First Home Finance and Capital First Securities with the company. ➢ To provide a single-point and real-time source for financial liabilities of a person or entity, the Reserve Bank of India has decided to set up a public credit registry (PCR) in a modular and phased manner. The move is based on the recommendations of a committee it set up last year, headed by Y. M. Deosthalee. ➢ The Reserve Bank of India has amended the Gold Monetisation Scheme (GMS) 2015.The designated banks are free to fix the interest rates on short-term bank deposits (STBDs), which are for a short period of one to three years (with a facility of roll over). However, any pre-mature Head Office - Chennai: Mob: 9043303030 / 7601808080| Madurai | Trichy | Salem | Coimbatore | Chandigarh | 3 Bangalore| Erode |Namakkal |Puducherry |Thanjavur| Trivandrum| Ernakulam |Tirunelveli | Vellore | Official Website: www.Raceinstitute.in Official Blog: www.Bankersdaily.in Chennai RACE Coaching Institute Pvt Ltd CAPSULE FOR RRB PO/ASST & NIACL (MAINS) redemption of Medium and Long-Term Government Deposit MLTGD shall be only in rupees. Where the redemption of the deposit is in gold, an administrative charge shall be collected from the depositor. ➢ The Reserve Bank came out with draft guidelines on loan system for delivery of bank credit to improve discipline among larger borrowers. The draft stipulates a minimum level of 'loan component' in fund based working capital finance and a mandatory Credit Conversion Factor (CCF). In respect of borrowers having aggregate fund based working capital limit of Rs 150 crore and above from the banking system, a minimum level of 'loan component' of 40 per cent shall be effective from October 1, 2018. ➢ The RBI has tightened norms for Liberalised Remittance Scheme (LRS) by making quoting of permanent account number (PAN) mandatory even for transactions below USD 25,000. Under the LRS, all resident individuals, including minors, are allowed to freely remit up to USD 2,50,000 per financial year for any permissible current or capital account transaction or a combination of both. ➢ The Reserve Bank has altered priority sector eligibility and classification norms. The housing loan limits for eligibility under priority sector lending will be revised to Rs 35 lakh in metropolitan centres, Rs 25 lakh in other centres. Loans limit to housing projects for home construction economically weaker sections and low-income groups, is revised to Rs 3 lakh per annum and Rs 6 lakh per annum respectively under Pradhan Mantri Awas Yojana.