Small grant but a big opportunity for local bodies
Context: In early November 2021, a potentially game-changing and transformative development went by, almost unnoticed — the release of almost Rs. 8,500 crores to 19 States, as a health grant to rural and urban local bodies (ULBs), by the Department of Expenditure, the Ministry of Finance. Relevance: GS-III: Indian Economy, GS-II: Governance (Government Policies and […]
India’s informal economy has not shrunk
Context: According to a recent State Bank of India (SBI) Research report, the informal economy in India has been shrinking since 2018. Relevance: GS-III: Indian Economy (Inclusive growth, Government Policies and Interventions) Dimensions of the Article: More about the Informal Economy About India’s Informal Workforce Issues with the SBI Study on the Informal Sector in […]
RBI puts entry of big businesses in banking on hold
Context: The Reserve Bank of India (RBI) has kept in limbo the proposal of its Internal Working Group (IWG) for granting banking licence to big corporate houses amid fears over connected lending and self-dealing if they are allowed in the banking space. Relevance: GS-III: Indian Economy Dimensions of the Article: RBI on entry of big […]
Centre forms four panels to look into EPFO functioning
Context: The Union Government has formed four ad-hoc board-level committees to look into the functioning of different aspects of the Employees’ Provident Fund Organisation (EPFO), including IT, communications and pension. Relevance: GS-III: Indian Economy (Economic development and growth, Government Policies and Initiatives, Issues with the design and implementation of policies) Dimensions of the Article: What […]
Bring in three-rate GST structure
Context: The Government can rationalise the GST rate structure without losing revenues by rejigging the four major rates of 5%, 12%, 18% and 28% with a three-rate framework of 8%, 15% and 30%, as per a National Institute of Public Finance and Policy (NIPFP) study. Multiple rate changes since the introduction of the GST regime […]
Pointers that India is witnessing a K- shaped recovery
Context: There has been great chatter about a V-shaped recovery for quite a while, ever since the first lockdown following the novel coronavirus pandemic. However, some of the view that there is undeniably some type of recovery, but one can hardly label it V-shaped. The recovery we see today is more K-shaped than V-shaped, with […]
New cryptocurrency bill seeks to ban private players
Context: The Union Government will introduce a Bill to regulate cryptocurrency and ostensibly ban all private cryptocurrencies, along with 25 other pieces of legislation, in the winter session of Parliament that begins on November 2021. Relevance: GS-II: Governance (Government Policies and Interventions, Issues arising out of the design and implementation of policies), GS-III: Indian Economy […]
Co-op societies are not banks, RBI cautions
Context: The Reserve Bank of India (RBI) has cautioned members of the public not to deal with co-operative societies undertaking banking business by adding ‘bank’ to their names. Relevance: GS-III: Indian Economy Dimensions of the Article: About the RBI’s concern regarding Cooperative banks What are Cooperative Banks? Structure of co-operative banks in India Importance of […]
India largest recipient of remittances in 2021: World Bank
Context: India received $87 billion in remittances in 2021, and the United States was the biggest source, accounting for over 20% of these funds, the World Bank said in its latest report. Relevance: GS-III: Indian Economy (Growth and Development of Indian Economy, Human Resource, Indian Diaspora) Dimensions of the Article: What are remittances? World Bank’s […]
US inflation and impact on India
Context: Retail inflation in the US has risen to 6.2% which is the highest year-on-year jump in 3 decades. However, U.S. consumers withstood rising inflation to power a burst of shopping ahead of the holiday season. Relevance: GS-III: Indian Economy Dimensions of the Article: What is Inflation? Rising Inflation in U.S. Effect of US Inflation […]