Monthly GK Banking Capsule

November 2020

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 Monthly GK Banking Capsule
November 2020

MONTHLY GENERAL KNOWLEDGE BANKING &

FINANCE CAPSULE – NOVEMBER 2020
SBM Bank India to launch neo banking platform
• An entirely owned subsidiary of State Bank of Mauritius (SBM), SBM Bank India will launch a neo banking
platform.
• In August 2020, SBM Bank launched Goal-Based Recurring Deposit Platform, Nivesh, in partnership with
fintech PayNearby.
• In January 2019, SBM bank became the first foreign bank in India, which received a universal banking
license from RBI to function as an entirely owned Subsidiary.
Tamil Nadu Government exempts all battery-operated vehicles from Automobile tax
• Tamil Nadu Government has granted 100 % exemption to all or any battery-operated vehicles from motor
vehicle tax.
• Though the Government has now granted 100% exemption, it had earlier issued orders for a concessional
rate of fifty percent on lifetime tax.
• This was connected for battery-operated 2 wheelers and 4 wheelers non-transport (personal use only)
vehicles.
• 100% exemption is going to apply to all or any battery-operated vehicles (BOVs), both transport and non-
transport (EVs), from November 3, 2020, to December 31, 2022.
POSOCO data shows an increase in India’s power consumption in October 2020
• India’s power consumption increased to 110.94 billion units as per data in October 2020 from Power Grid
Operation Corporation Limited (POSOCO).
• India’s power consumption was 97.84 billion units in October 2019. Power consumption in October 2020
was nearly 14% above consumption in October 2019.
• Peak demand or highest demand during any day is additionally rising.
• Himachal Pradesh, Punjab, Uttar Pradesh, Uttarakhand, Gujarat, Madhya Pradesh, Bihar, and Jharkhand are
states where electricity consumption remained above that in 2019.
Aloke Singh appointed as CEO of Air India Express
• Aloke Singh has been appointed as Chief Executive Officer (CEO) of Air India Express.
• He has earlier worked with Indian Airlines, Alliance Air, Air India, and Oman Air.
• He has also worked as a consultant with CAPA - Centre for Aviation, an aviation advisory organization.
• Aloke Singh will replace the present CEO of Air India Express, Shyam Sundar Krishnamurti.
Bharti AXA's non-life insurance merges with ICICI Lombard General Insurance
• CCI (Competition Commission of India) has approved the merger of Bharti AXA's non-life insurance business
with ICICI Lombard General Insurance.
• After the merger, ICICI Lombard General Insurance will become India's largest non-life insurance firm.
• Now, ICICI Lombard General Insurance and Bharti AXA will form an integration committee to finish the
merger.
• They will acquire regulatory approvals from SEBI, RBI, IRDA, NCLT, and others. The deal for the merger was
announced in August 2020.
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 Monthly Government Schemes Capsule
November 2020

Alok Kumar Gupta becomes MD and CEO of ONGC Videsh

• Alok Kumar Gupta (AK Gupta) has become MD and Chief Executive Officer (CEO) of ONGC Videsh Limited
(OVL).
• He was working as Director (Operations) of OVL. He has also worked as Head of the latest businesses in
Marketing in ONGC and Head Business development in ONGC Videsh.
• ONGC Videsh Limited (OVL) is a world branch of ONGC. It’s a Miniratna Central Public Sector Enterprise
(CPSE).
• It is under the executive control of the Ministry of Petroleum & Gas. It’s an entirely owned subsidiary of
ONGC. ONGC’s chairman and MD is an additional chairman of ONGC Videsh.
Ministry of Information & Broadcasting forms committee to review guidelines for Television Rating agencies
• The Ministry of Information & Broadcasting has formed a committee to review present guidelines for
Television Rating agencies.
• Prasar Bharti CEO Shashi Shekhar Vempati is the Chairman of the committee. Dr. Shalabh, Pulak Ghosh, and
Dr. Rajkumar Upadhyay are other members of the committee.
• The committee also examines numerous evolving dynamics of the tv rating system. It will submit its report
in two months.
• It will also study the Telecom Regulatory agency of India’s recommendations on television rating systems in
India.
• Present Guidelines on Television Rating Agencies in India were notified by the Ministry of Information &
Broadcasting in 2014.
SBI Card in partnership with Paytm
• SBI Cards and Payment Services has launched credit cards in partnership with Paytm.
• The credit card is launched on the Visa platform and is available in two variants, Paytm SBI Card and Paytm
SBI Card SELECT.
• The card can be used all over the Paytm ecosystem, third-party platforms, and offline retail stores. It has a
Tapped to Pay feature to allow contactless payments.
• Previously, SBI card has launched a co-branded contactless credit card with IRCTC.
• SBI Cards and Payment Services (SBI Card) is owned by State Bank of India and The Carlyle Group.
Bengaluru Tech Summit organized virtually for the first time
• Bengaluru Tech Summit e-organized virtually for the first time.
• PM Modi inaugurated it on 19 November.
• Its theme was ’NEXT IS NOW’. Bengaluru Tech Summit 2020 was a three-day-long event and the 23 edition
of the Bengaluru Tech summit.
• More than 25 countries and 250 domain experts took part in the summit.
• Software Technology Parks of India (STPI)-IT export awards, smart bio awards, and Bengaluru impact
awards were given during the summit.
• The Department of Electronics Information Technology Biotechnology and Science & Technology of
Karnataka Government organized the Bengaluru Tech Summit.
ANSR Consulting Inc acquires FastNext
• ANSR Consulting Inc has acquired FastNext, an Artificial Intelligence-driven tech company.
• ANSR Consulting Inc establishes and operates global capability centers (GCCs) for large enterprises.
• Due to the acquisition of FastNext, ANSR’s client was able to make their GCC teams using deep learning and
AI-powered tools.
• ANSR’s Talent500 platform and FastNext’s recruiting tech products will enable the AI-led talent acquisition
market.
Global Rubber Conference (GRC) 2020 organized in Bangkok
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November 2020

• Global Rubber Conference (GRC) 2020 was organized in Bangkok on 12-13 November through a hybrid
format.
• The conference was a two-day-long event. Rubber Authority of Thailand was the host for the conference.
The World’s largest producer of natural rubber, Thailand’s Confexhu Group organized it.
• The theme of the Global Rubber Conference (GRC) 2020 was ‘Unlocking Opportunities in a World of
Disruption’.
• The impact of global disruptive forces on the natural rubber industry was discussed during the conference.
• Global Rubber Conference (GRC) 2020 is the 16 edition of the Global Rubber Conference.
• The hybrid format means that both in-person attendees and remote viewers took part in the
conference.
CCEA approved investment in Luhri Stage-I Hydro Electric Project
• Cabinet Committee on Economic Affairs approved the investment of ₹1,810.56 crores in the Luhri Stage-I
Hydro Electric Project on the Sutlej River.
• 210 MW Luhri Stage-I Hydro Electric Project is going to be located in Shimla and Kullu districts, Himachal
Pradesh.
• Satluj Jal Vidyut Nigam Limited (SJVNL) is implementing the project on Build-Own-OperateMaintain (BOOM)
basis.
• Lohri Stage-I Hydro Electric Project will be commissioned within 62 months. It’s a Life Cycle of 40 years.
PM Modi and Conte sign 15 agreements
• PM Modi and Italy's PM of Giuseppe Conte have signed 15 agreements and adopted an Action Plan for
2020-25.
• Action Plan has been adopted for fixing priorities, strategic goals, and mechanisms for 2020-25.
• PM Modi and PM of Italy also said that the two countries are committed to figuring closely on the
development-oriented global agenda for their respective G20 Presidencies (India in 2022 and Italy in 2021).
• India and Italy a virtual summit. Previously, Italy has let India hold the G20 summit in 2022 when India
completed 75 years of its independence.
• Italian Trade Agency and Invest India has signed an agreement to promote investment. Cassa Depositi e
Prestiti SpA, Italy and NIIF, India signed an agreement to promote co-financing.
• High-Level Economic Dialogue was held between CEOs of Indian and Italian companies on October 28,
2020, and ministerial interaction was held on November 2, 2020.
Ro-Pax ferry service inaugurated in Gujarat
• Prime Minister Narendra Modi inaugurated the Ro-Pax ferry service between Hazira and Ghogha in Gujarat
via video conferencing.
• The ferry service will reduce the 370-km road distance between the 2 places to 60-km by sea route.
• The Ropax ferry vehicle can carry 550 passengers, 30 trucks, 7 smaller trucks, and 100-2 wheelers in 1 trip.
It’ll be an all-weather service that can operate all 12 months regardless of the weather and high tides.
• 100 meter long and 40-meter wide Ro-Pax terminal, constructed with the value implications of roughly Rs
25 crore, has facilities like an administrative office block, parking lot, substation, and reservoir.
• The reduced cargo period from 10 to 12 hours to about four hours also will end in huge savings of fuel
which is estimated to be around 9,000 liters per day and lower the upkeep cost of vehicles drastically.
Snam and Greenko sign agreement for developing hydrogen value chain in India
• Italian company Snam and Greenko have signed an agreement for developing a hydrogen value chain in
India.
• The agreement will help Snam and Greenko in collaborating on the planning of hydrogen production
methods from renewable sources.

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 Monthly Government Schemes Capsule
November 2020

• It will help them in collaborating on the design of hydrogen-ready infrastructure and applications in industry
and transport such as Fuel Cell electric vehicles.
• Japan’s ORIX Corporation had recently agreed to invest a minimum of $980 million for acquiring a stake in
Greenko Energy Holdings.
Centre of Excellence for Vegetable and Flowers inaugurated at Wayanad
• Centre of Excellence for Vegetables and Flowers has been inaugurated at Regional Agricultural Research
Station in Ambalavayal village of Kerala’s Wayanad district.
• Under the Indo-Dutch joint action plan, the Government of the Netherlands is providing technical support
for the Centre of Excellence for Vegetables and Flowers.
• The Agriculture Department, State Horticulture Mission, and Kerala Agricultural University are
implementing the project.
• Mission for Integrated Development of Horticulture will provide a sum of Rs 7 crore and Kerala Government
will provide Rs 6 crore under Rebuild Kerala Initiative.
NPCI places limit on volume for all Third-Party App Providers (TPAPs)
• National Payments Corporation of India (NPCI) has placed a 30% limit on volume for all Third-Party App
Providers (TPAPs).
• The limit is going to be effective from January 1, 2021. UPI has reached 200 crores (2 billion) transactions a
month.
• The 30% limit will be calculated as per the entire volume of transactions in UPI during the last three
months.
• NPCI has given existing TPAPs a time of two years from January 2021 for compliance with the order.
• Recently, S&P Global Market Intelligence has released a report to show that over two-thirds of UPI
transactions in 2019 were handled by Google Pay and PhonePe-led UPI payment apps.
• NPCI has also approved WhatsApp to gradually ‘go live’ on UPI, starting with a maximum registered user
base of 20 million in UPI.
Dr. M.S Sahoo committee submits a report for approval of resolution scheme
• Dr. M.S Sahoo’s committee has submitted its report and recommended 90 days for approval of the
resolution scheme under the proposed pre-packaged insolvency regime.
• Currently, the utmost limit under the Insolvency and Bankruptcy Code (IBC) is 330 days.
• The committee headed by Dr. M.S Sahoo, chairperson of Insolvency and Bankruptcy Board of India (IBBI),
has also said that pre-pack insolvency will not take the authority of the Committee of Creditors (CoC) or
dilute the balance.
• Defaulting promoters disqualified by Section 29A of IBC won’t get access to the proposed pre-packaged
insolvency regime.
• The Government will choose the implementation of the pre-pack mechanism through an ordinance or
amendment to IBC.
MNRE revises solar capacity addition target under PM-KUSUM scheme
• Ministry of New and Renewable Energy (MNRE) has revised the solar capacity addition target under
Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan (PM-KUSUM) Scheme from 25.75 GW to
30.8 GW by 2022.
• Along with revising the solar capacity addition target from 25,750 MW (25.75 GW) to 30,800 MW (30.8
GW), Central Support under PM-KUSUM has been revised to ₹34,035 crores.
Government decides to attach capital subsidy schemes with National Agriculture Infra Fund
• The Government has decided to connect capital subsidy schemes of different ministries with the National
Agriculture Infra Fund announced by the Finance Minister in May 2020.

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November 2020

• The capital subsidy schemes of various ministries would be converged with the ₹1-lakh crore National
Agriculture Infra Fund.
• As a result, it might be possible to get funding from the National Agriculture Infra Fund and avail of capital
subsidies provided under Central and State Government schemes.
Ministry of Power notifies all licensed DISCOMs as DCs and brings them under Energy Conservation (EC) Act,
2001
• The Ministry of Power has informed all licensed Power Distribution Companies (DISCOMs) as Designated
Consumers (DCs) and brought them under Energy Conservation (EC) Act, 2001.
• In September 2020, the notification was issued and everyone entities with distribution licenses by
State/Joint Electricity Regulatory Commission under Electricity Act, 2003 were notified as DCs.
• The notification was prepared in consultation with the Bureau of Energy Efficiency (BEE), a statutory body
under the Ministry of Power.
Karnataka Government to sign seven MoUs with GIA partners
• The Karnataka Government signed seven MoUs with Global Innovation Alliance (GIA) partners.
• GIA partner countries hosted technology sessions during Bengaluru Tech Summit, which was virtually
organized from 19 November to 21 November.
• Minister-level delegations of the most Global Innovation Alliance (GIA) partner countries also took part in
the Bengaluru Tech Summit.
• Australia, France, Germany, Israel, Netherlands, Switzerland, and the UK are some countries that took part
in the Bengaluru Tech Summit.
• Governments of various countries collaborate under Global Innovation Alliance (GIA) for the development
of collaborative R&D and Tech projects.
TCS Netherlands BV to accumulate 100% shares of Postbank Systems AG (PBS)
• TCS Netherlands BV, a subsidiary of Tata Consultancy Services (TCS) will acquire 100% shares of Postbank
Systems AG (PBS) from Deutsche Bank AG in Germany.
• Postbank Systems AG has been providing IT services to Postbank AG, a subsidiary of Deutsche Bank.
• The agreement for acquisition is likely to be finalized by the end of 2020.
• As TCS being the fastest growing IT service provider in Germany, the possession will further strengthen its
work in Germany.
IFSCA approved International Financial Services Centres Authority (Banking) Regulations 2020
• International Financial Services Centres Authority (IFSCA) has approved draft banking regulations for
banking operations at IFSCs.
• It will lay down the principles for the banking operations permissible at the IFSC.
• The draft regulations will enable the authority to make a decision on other permissible activities like credit
enhancement, credit insurance, and sale, purchase of portfolios, etc.
• It will allow the opening of a foreign currency account by persons residing outside India.
15 Finance Commission submitted its report for 2021-22 to 2025-26
• The 15 Finance Commission led by N.K Singh has submitted its final report for the financial years 2021-22 to
2025-26 to the President.
• The report is titled ‘Finance Commission in Covid Times’.
• The Finance Commission recommended the devolution of funds between the center and state for 2021-22
to 2025-26.
• The Finance Commission has suggested in its interim report for the FY 2021 that states are going to be given
41% of all taxes.
Union Cabinet approves Production Linked Incentive scheme worth 1.46 lakh crore

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November 2020

• The production-Linked Incentive (PLI) scheme has been approved by the Union Cabinet for Enhancing
India’s Manufacturing Capabilities and Exports in 10 key sectors.
• The PLI scheme has identified 10 key sectors during which it’ll make Indian manufacturers at par with global
competition, attract investment, support cutting-edge technology, enhance exports, and can make India an
integral part of the worldwide supply chain.
• It will stimulate the Vision of ‘AatmaNirbhar Bharat’ and make new job opportunities in different sectors.
Indian Economy may enter recession for the first time in history
• Indian Economy may enter a technical recession for the first time in history at the end of the second
quarter of 2020-21.
• RBI has released an article named State of the Economy. The article is a part of RBI’s monthly bulletin for
November 2020.
• The article mentioned a 23.9% decline in GDP within the first quarter of 2020-21 and says that its
nowcasting assessment suggests ease within the speed of GDP contraction to 8.6% in the second quarter of
2020-21.
• State of the economy article published by RBI in its monthly bulletin says that the situation for the July-
September quarter will be known after National Statistical Office (NSO) estimates are going to be released
at the end of November 2020.
Government imposes 5% BCD on components of open cells for LED and LCD TVs
• The Government has imposed 5% Basic Customs Duty (BCD) on components of open cells for LED and LCD
TVs.
• The chip on film, printed circuit board assembly, and cell are the components of open cells.
• The Government has imposed a 5% BCD on these cells. Previously, the Government has decided that a 5%
duty will be re-imposed on open cell TV panel imports.
RCEP signed at Hanoi regional summit
• Regional Comprehensive Economic Partnership has been signed at a regional summit held in Hanoi.
• The ceremony for the signing of RCEP was held virtually because of the Coronavirus pandemic.
• Vietnam is the ASEAN chair for 2020. Cohesive and Responsive was the theme for its ASEAN chairmanship.
• The ceremony was held on the sidelines of the 37 ASEAN Summit. The leaders have left open the option for
India. It can re-apply and restart negotiations for RCEP membership.
Labour Ministry releases draft rules for Code on Social Security 2020
• On 13 November, the Ministry of Labour and Employment released draft rules for the Code on Social
Security.
• As per the draft rules, the workers will register with Aadhaar on a self-declaration basis on a specific portal.
• Aadhaar-based registration on the Government portal will be compulsory to get benefits under the Social
Security scheme.
• The registration can be done by any worker under the age of 16-60 years.
FSSAI decides to form Food Safety Co-ordination Committee (FSCC)
• Food Safety and Standards Authority of India has decided to form the Food Safety Coordination Committee
(FSCC).
• FSCC will lead the food safety emergencies in the country.
• FSSAI CEO Arun Singhal will act as chairperson of the committee.
• FSCC will include 15 members with joint secretaries from various Ministries and Government departments.
Certificate of Authorisation (CoA) of five PSOs canceled by RBI
• RBI has canceled the certificate of Authorisation (CoA) of 5 Payment System Operators for different
reasons.
• The Payment System Operators were issued CoA to operate prepaid payment instruments.
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November 2020

• RBI canceled CoA of Card Pro Solutions Pvt Ltd and InCashMe Mobile Wallet Services Pvt Ltd due to non-
compliance with a regulatory requirement.
• CoA of Aircel Smart Money was canceled due to non-renewal. CoA of Delhi Integrated MultiModal Transit
System Ltd and Pyro Networks Pvt Ltd was canceled due to voluntary surrender.
RBI’s Internal working party proposes that enormous corporates should be allowed to market banks
• RBI’s Internal working party has proposed that enormous corporates and industrial houses could also be
allowed to market banks within a robust legislative framework.
• The Reserve Bank working party has also recommended a rise in promoter stake from the present 15% to
26% after 15 years of operation.
• The group has also suggested an enabling legislative framework for consolidated supervision of huge
conglomerates.
• As per the present rules, promoters should reduce their stake to 40% in three years of operation of the
bank. Then, they ought to reduce to fifteen in 15 years.
State of Tax Justice Report hasestimated USD 10.3 billion tax loss to India
• The State of Tax Justice Report has estimated USD 10.3 billion (about ₹75,000 crore) tax loss to India thanks
to global tax abuse by MNCs and evasion by individuals.
• As per the report, countries worldwide lose quite USD 427 billion in taxes annually thanks to corporate tax
abuse and personal evasion at the international level.
• Out of the entire loss to India, the loss of USD 10 billion is thanks to tax abuse by MNCs and therefore the
loss of USD 200 million is thanks to evasion by private individuals as per the State of Tax Justice Report.
• The State of Tax Justice Report also says that India is most vulnerable or exposed to the likelihood of illicit
financial flows within the sort of outward FDI.
Government may change the deadline to achieve a target of 20% blending of biofuels in petrol
• The Government may change the deadline to realize the target of 20% blending of biofuels in petrol.
• The current deadline for achieving a target of 20% blending of ethanol in petrol is 2030.
• The Government is providing loans for establishing distilleries to feature ethanol production capacity of
468-crore liter.
• This would also help sugar mills Government also intends to use rice with FCI and maize from states with
surplus production of maize to supply ethanol from the ethanol supply year (November to December),
which is close to starting.
LIC launches Atma Nirbhar Agents NewBusiness Digital Application (ANANDA)
• LIC launched Atma Nirbhar Agents NewBusiness Digital Application (ANANDA).
• ANANDA may be a digital application tool for agents and therefore the onboarding process.
• It will help in getting a life assurance policy through a paperless module.
• LIC was formed on 1 September 1956. Its chairperson is M R Kumar.
• Its slogan is yogakshemam vahamyaham (Your welfare is our responsibility).
Government asks companies through digital media to comply with the 26% FDI limit
• The Ministry of Information and Broadcasting has asked companies that are involved in uploading or
streaming of news and current affairs via digital media to comply with the 26% FDI limit.
• Companies having less than 26% FDI will inform names and addresses of directors or shareholders and
shareholding patterns to the Ministry within one month.
• Companies having more than 26% FDI will take steps to reduce FDI to 26% by 15 October 2021.
• In August 2019, Cabinet has decided to limit FDI under the Government route in uploading or streaming of
news and current affairs through digital media at 26%.
Union Finance Minister announces ₹2.65-lakh-crore worth economic stimulus under the Atmanirbhar Bharat
3.0 package
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November 2020

• Union Minister of Finance has announced a total of 12 measures amounting to ₹2.65-lakh-crore under the
Atmanirbhar Bharat 3.0 package on 12 November 2020.
• Government and RBI have till now announced a total stimulus of ₹ 29.87 lakh crore (15% of India’s GDP) to
help stressed sectors during the Covid-19 pandemic.
• Out of the entire stimulus, stimulus worth 9% of GDP came from the Government.
• The Government has so far announced stimulus measures five times and Atmanirbhar Bharat 3.0 is the fifth
stimulus package.
Government’s CPI inflation target valid till 31 March 2021
• The Government’s CPI inflation target of 4% is valid till March 31, 2021, and it's taken no call yet on
continuing with an equivalent target or fixing a replacement target.
• May 2016 amendment to order Bank of India Act, 1934 provided for setting of an inflation target by the
Government in consultation with RBI, once in every five years.
• In August 2016, the Government notified the buyer price level (CPI) inflation target of 4% with an upper
limit of 6% and a lower limit of twenty-two.
• The CPI inflation target was fixed for the amount from August 5, 2016, to March 31, 2021.
Senapathy Gopalakrishnan appointed as first chairperson of Reserve Bank Innovation Hub (RBIH)
• Senapathy Gopalakrishnan, who is co-founder and former co-Chairman of Infosys and famous as Kris
Gopalakrishnan, has been appointed as the first chairperson of Reserve Bank Innovation Hub (RBIH) by RBI.
• The chairperson Senapathy Gopalakrishnan will lead the Governing Council (GC) and Governing Council will
guide and manage RBIH.
RBI places Lakshmi Vilas Bank (LVB) under moratorium and limits deposit withdrawal at Rs 25,000 per
depositor
• RBI has placed Lakshmi Vilas Bank (LVB) under moratorium and limited deposit withdrawal at Rs 25,000 per
depositor.
• RBI has also superseded the board of LVB for 30 days and announced a draft scheme for its amalgamation
with DBS Bank India Ltd (DBIL).
• The withdrawal limit of Rs 25,000 per depositor will continue till 16 December.
• DBIL is Singapore-based DBS Bank Ltd.’s wholly-owned subsidiary.
• DBS Bank Ltd. may be a subsidiary of DBS Group holding ltd.
DIPAM invites proposal for appointing a consultant to advise on stake sale in PSBs and insurance companies
• Department of Investment and Public Asset Management (DIPAM) has invited a proposal for appointing a
consultant to advise on stake sales in PSBs and insurance companies.
• The consultant also helps DIPAM in planning the processes and procedures for various modes of
disinvestment.
• The consultant should have a maximum of 30 years of experience in banking, insurance, and financial
institutions and must not exceed 65 years of age.
CCI allows Reliance Retail Ventures Limited and Reliance Retail & Fashion Lifestyle Limited to accumulate
Future Group’s businesses
• CCI has allowed Reliance Retail Ventures Limited and Reliance Retail and Fashion Lifestyle Limited to
accumulate Future Group’s retail, wholesale, logistics & warehousing businesses.
• Amazon has appealed to SEBI, BSE, and NSE against the Rs. 24,713-crore acquisition of Future Group’s
businesses.
• On 25 October, Singapore International Arbitration Centre (SIAC) ordered an interim stay on the selling of
Future Retail Limited’s assets to Reliance Retail.
40% of Dedicated Freight Corridor (DFC) route to be completed in FY 2020-21

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November 2020

• 40% of Dedicated Freight Corridor (DFC) routes are going to be completed in FY 2020-21 and freight trains
will start running on 40% of DFC by 2021.
• The overall cost of the DFC is Rs 81,459 crore. It has two corridors. They’re the western and the eastern
corridor.
• The length of the western corridor is 1,504 km. It extends from J N Port in Mumbai to Dadri in Uttar
Pradesh.
27.6% GST revenue lost by states during March-August 2020
• A study of 30 states has shown that states have lost 27.6% GST revenue during March-August 2020as
compared with March-August 2019.
• Odisha has seen a 14.1% decline in GST Collection during March-August 2020. Meghalaya has seen a decline
of 39.3%.
• Among the southern states, Kerala has seen a maximum decline of 33.7% and Karnataka has seen a rock
bottom decline of 20.5%.
• The top five states account for 50% of aggregate state GST revenue. They are Maharashtra, Uttar Pradesh,
Tamil Nadu, Karnataka, and Gujarat.
Merger of Lakshmi Vilas Bank with DBS Bank India Limited approved
• The merger of Lakshmi Vilas Bank with DBS Bank India Limited has been approved by the Union Cabinet.
• Lakshmi Vilas Bank was placed under a moratorium for one month from November 17, 2020, on RBI’s
application under section 45 of the Banking Regulation Act, 1949.
• Out of the entire equity, Rs 2,000 crore will be infused during the current financial year 2020-21.
• Rs. 2,480.92 crores FDI has been approved by the cabinet in ATC Telecom Infrastructure by ATC Asia Pacific.
NPCI completes private placement of 4.63% of its equity shares
• National Payments Corporation of India (NPCI) has completed a personal placement of 4.63% of its equity
shares.
• This has widened NPCI’s shareholding to 19 RBI regulated entities.
• The private placement offer was made to 131 RBI regulated entities and 19 were allotted shares in NPCI.
• The names of some new shareholders are IndiaPosts Payment Bank, Paytm Payment Bank, Mobikwik,
Amazon Pay, Pine Labs, and PhonePe.
Rupee loses against the US Dollar while currencies of other emerging economies
• The rupee is constant to lose against the US Dollar while currencies of other emerging economies are
continuing to rise from April 2020.
• In 2020, Rupee has lost 3.59% against the greenback (an informal term for a dollar) and performed worse
among Asian currencies like China’s Renminbi, the Philippines’ Peso, Taiwan’s dollar, and Korea’s won.
• These currencies appreciated to quite 4% against the dollar. Monetary easing by the US Federal Reserve has
caused the greenback index to move down by 10% from its peak in March 2020.
• Between March and October, Rupee also appreciated from 76.3 to 72.7. But, it depreciated within the last
two months.
IBBI Chairman says that resolvability index should be developed for companies
• In IBBI’s latest quarterly newsletter for July-September 2020, IBBI Chairman MS Sahoo has said that a
resolvability index should be developed for companies.
• IBBI Chairman has also said that a legally decided minimum threshold of resolvability will prevent viable
companies from closing and facilitate more credit flow to companies.
• Resolvability shows the readiness of companies to implement strategies to rescue them from financial
stress.
RBI advises writing off of Rs 318-crore worth tier-II bonds of LVB
• RBI has advised writing off of Rs 318-crore worth tier-II bonds of Lakshmi Vilas Bank (LVB).
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• RBI had earlier decided to write down ₹8,400 crores worth Additional Tier 1 (AT1) bonds of Yes Bank in
March 2020. A
• T-1 bonds are Basel-III compliant. They have a loss absorbency clause.
• This allows their writing off or conversion into equity in case of stress to banks.
• Loss absorbency clause or writing off of bonds is triggered when Common Equity Tier 1 (CET1) falls below
5.5% before March 2019 and below 6.125% later.
Index of Eight Core Industries for October 2020 released
• The Office of Economic Adviser releases the Index of Eight Core Industries for October 2020 and combined
Index of Eight Core Industries stood at 124.2 in October 2020.
• The Index of Eight Core Industries in October 2020 declined by 2.5% as compared with the index of October
2019.
• In the data released for October 2020, the ultimate rate of growth Index of Eight Core Industries for July
2020 has been revised to (-) 7.6%
FM holds 5 meetings to review the Capital Expenditure of CPSEs in the current financial year
• The Chairman-cum-Managing Directors (CMDs) of 10 Central Public Sector Enterprises (CPSEs) of those
Ministries also participated within the meeting.
• Ministry of Finance has said that 24 thousand 227 crore rupees capital expenditure has been done against
the target of 61 thousand 483 crore rupees for 2020-21.

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