COST OF DOING BUSINESS TO SEE SIGNIFICANT RISE
Why in news? As COVID-19 takes its toll on the economy and on human lives, the cost of doing business is set to go up as companies gear up to adhere to new safety and hygiene standards in their daily operations despite likely scaled down business activity and lower earnings. Why would the Cost of […]
INDIA AMONG TOP 3 MILITARY SPENDERS: REPORT
Why in news? The global military expenditure rose to $1917 billion in 2019 with India and China emerging among the top three spenders, according to a report ‘Trends in World Military Expenditure, 2019’ by Stockholm International Peace Research Institute (SIPRI). Details India’s tensions and rivalry with both Pakistan and China are among the major drivers […]
RBI OPENS RS. 50,000-CR LIQUIDITY TAP FOR MUTUAL FUNDS
Why in news? In a bid to address concerns arising out of Franklin Templeton’s decision to wind up six debt funds, the Reserve Bank of India on 27th April 2020, decided to open a special liquidity facility for mutual funds (SLF-MFs) of ₹50,000 crore. The move is aimed at easing the liquidity pressure that mutual funds […]
SIGNALLING SUPPORT: ON RBI RELIEF FOR MUTUAL FUNDS
Why in news? The Reserve Bank of India’s decision to open a special facility to ensure the availability of adequate liquidity for the mutual fund industry is a timely move in signalling to investors that the central bank is alert to the need to preserve financial stability in these challenging times. In assigning ₹50,000 crore […]
WHAT RBI’S RS 50,000 CRORE BOOST MEANS FOR MUTUAL FUNDS?
Why in news? The Reserve Bank of India (RBI) on 27th April, 2020 announced a special liquidity window of Rs 50, 000 crore to bail out mutual funds hit by the turmoil in the debt fund segment that led to the closure of six credit risk funds by Franklin Templeton Mutual Fund. How will liquidity window […]
TEN STEPS WHILE RESTARTING THE ECONOMIC ENGINE
The recommended Ten Steps: Any calibrated approach to ‘restarting the economy’ should include the following 10 steps: 1. Relax the fiscal deficit target: Stretching the deficit target to release money which can be used for well-directed income transfers and food support, facilitate business disruption loans by offering guarantee to commercial banks, soften the blow to […]
SEBI SURVEILLANCE TILL MAY 28
Why in news? The tightened surveillance measures for stock markets, introduced on March 23 for a period of one month, have been extended until May 28. In a statement on 21st April, the Securities and Exchange Board of India (SEBI) said the stock markets are expected to remain volatile in the near future on account of […]
ADDITIONAL TRADE BARRIERS VIOLATE WTO’S PRINCIPLE
Why in news? India’s recently adopted policy to curb opportunistic takeovers of domestic companies goes against the principles of the World Trade Organisation (WTO), the spokesperson of the Chinese Embassy in India said on 20th April 2020. This is the first response from the Chinese side after the Ministry of Commerce and Industry in an April […]
OPEN UP E-COM SERVICES: IAMAI
Why in news? The Internet and Mobile Association of India (IAMAI) on 20th April 2020 said it had requested the government to open up e-commerce services, adding that the online vs offline debate is an ‘incorrect portrayal’ of the ground reality as lakhs of sellers from the physical markets also sold online. This follows the ‘last-minute […]
U.S. OIL PRICES FALL BELOW ZERO, GOES TO MINUS $37.63 PER BARREL
Why in news? Traders fled from the expiring May U.S. oil futures contract in a frenzy, this led to sending the contract into negative territory for the first time in history. May U.S. crude futures plunged to a depth never before seen, settling on the day at minus $37.63 a barrel. Why did this happen? […]