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Daily G.K. - Top Stories

28 Jun 2015

INTERNATIONAL AFFAIRS

Euro Zone Readies for Greek Default

  • Greece`s European partners shut the door on extending a credit lifeline to Athens, leaving the country facing a default that could push it out of the euro and cause ripple effects across the European economy and beyond.
  • Finance ministers of the other 18 countries sharing the euro met for the first time without Greece after rejecting its pleas to extend an expiring bailout. The left-wing Syriza government had asked for an extension until after a July 5th referendum in which Greek voters would decide on whether to accept new, tough bailout terms that the government opposes.
  • Without the extra time, Athens is set to default on a crucial IMF payment.
  • The 18 blamed Greece for breaking off negotiations and pledged to do whatever it takes to stabilize the common currency area, declaring they were in much better shape to do so than at the height of the euro zone crisis a few years ago.
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ENVIRONMENT

Corals Adapting to Global Warming

  • A new study says, when global warming is threatening the very survival of coral reefs, some coral populations already have genetic variants necessary to tolerate warm ocean waters.
  • Humans can also help to spread these genes by mixing and matching corals from different latitudes may boost reef survival.
  • Worldwide, coral reefs have been badly damaged by rising sea surface temperatures.
  • A research found that corals do not have to wait for new mutations to appear. Averting coral extinction may start with something as simple as an exchange of coral immigrants to spread already existing genetic variants.
  • Coral larvae can move across oceans naturally, but humans could also contribute, relocating adult corals to jump-start the process.
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BUSINESS AND ECONOMY

RBI Rejects Low Bids in Rs. 15 cr Gilt Sale

  • The RBI cancelled auction of gilts worth Rs. 9,000 crore out of the scheduled Rs. 15,000 crore as the government and the central bank were unwilling to sell government securities (G-sec) at lower than expected price. The government did not mind to reduce its borrowing for the week since it has enough cash in its books, while investors wanted lower price because of a volatile global market situation, mainly because of the Greece payment crisis.
  • This was the biggest ever partial cancellation of gilt auction in India's G-sec market.
  • The government had announced auction of G-secs worth Rs. 6,000 crore maturing in 2030, and three papers worth Rs. 3,000 crore each maturing in 2024, 2032 and 2044. However, while it accepted bids for the 15-year paper maturing in 2030, it rejected all bids for the other papers aggregating Rs. 9,000 crore.

Exports Losing Steam

  • As per exporters body FIEO, the continuous decline in exports may result in job losses and impact economic growth.
  • Based on the order booking position, exports may significantly decline in term of volume in months to come, which will result in layoffs.
  • If exports continue to move in the negative territory, it will sooner or later put pressure on CAD and may derail the rebuilding of economy.
  • Contracting for the sixth month in a row, India's exports plunged 20.19 per cent in May to $22.34 billion, mainly due to global slowdown and drop in crude prices, which have impacted overseas shipments of petroleum products.
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SCIENCE & TECHNOLOGY

India to Launch SAARC Satellite by December 2016

  • India is continuing its efforts toward space exploration and it will launch the SAARC satellite by December 2016.
  • The two-tonne satellite will have 12 Ku band transponders, with each dedicated to one country in the region for providing communication, education, telemedicine, disaster monitoring and other need-based services.
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