The Lok Sabha passed two bills by voice vote without discussion, amid multiple adjournments and continued protests by the Opposition — the Factoring Regulation (Amendment) Bill, 2020, and the National Institutes of Food Technology, Entrepreneurship and Management Bill, 2021.
GS-II: Polity and Governance (Government Policies and Interventions), GS-III: Indian Economy (Growth and Development of Indian Economy, Mobilization of Resources, Industrial Policy, Inclusive Growth)
Dimensions of the Article:
- Factoring Regulation (Amendment) Bill
- National Institutes of Food Technology, Entrepreneurship And Management Bill, 2021
- What are Institutes of National Importance?
Factoring Regulation (Amendment) Bill
- The Factoring Regulation (Amendment) Bill, 2020 was passed to amend the Factoring Regulation Act 2011.
- The bill will help micro, small and medium enterprises (MSME) tide over their issue of delayed payments as it seeks to broaden the participation of entities undertaking factoring.
- The bill is also likely to enhance traction on the TReDS (Trade Receivables Discounting System – TReDS is an online electronic institutional mechanism for facilitating the financing of trade receivables of MSMEs through multiple financiers) platform introduced by the Reserve Bank of India back in 2014 for entrepreneurs to unlock working capital tied in their unpaid invoices.
- The bill also seeks to permit non-banking finance companies (NBFC) other than those whose principal business is factoring to discount invoices on TReDS and also reduce the time period for registration of invoice and satisfaction of charge upon it in order to avoid the possibility of dual financing.
National Institutes of Food Technology, Entrepreneurship And Management Bill, 2021
- Parliament has passed the National Institutes of Food Technology, Entrepreneurship and Management Bill, 2021 – i.e., Lok Sabha passed it after it was cleared by the Rajya Sabha earlier in 2021.
- With the passing of this bill National Institute of Food Technology Entrepreneurship and Management (NIFTEM) in Haryana and Indian Institute of Food Processing Technology (IIFPT) in Tamil Nadu under the Ministry of Food Processing Industries become Institutions of National Importance (INI).
- This step will provide these Institutes Greater Autonomy and hence, that they can start new and innovative courses, as well as help them to attract excellent faculty and students.
What are Institutes of National Importance?
- Institute of National Importance (INI) is a status that may be conferred on a premier public higher education institution in India by an act of Parliament of India.
- Institutes of National Importance receive special recognition and funding from the Government of India.
- INI relatively have higher degree of autonomy and they are allowed to open additional campuses anywhere in India or overseas.
- As of July 2021, there are 161 institutes, declared as Institutes of National Importance under a distinct Act of Parliament.
- These INIs include 23 IITs; 15 AIIMSs; 20 IIMs; 31 NITs; 25 IIITs; 7 IISERs, 7 NIPERs; 5 NIDs; 3 SPAs; 5 central universities; 4 medical research institutes, 2 food technology, and 14 other specialized institutes.
-Source: The Hindu