General Awareness

BUSINESS AND ECONOMY - October 2018

Oct 2018

Jul 31, 2020

Taking on SpaceX, Amazon to Invest $10 Billion in Satellite Broadband Plan

Amazon.com Inc will invest more than $10 billion to build a network of 3,236 satellites that will provide high-speed broadband internet services to people around the world who lack such access.
The announcement follows the Federal Communications Commission's approval of the plan, called "Project Kuiper", for the constellation of low-Earth orbit (LEO) satellites that will compete with the Starlink network being built by Elon Musk's SpaceX. It also comes on the heels of Amazon posting its biggest profit in its 26-year history.
The project will also benefit wireless carriers deploying 5G and other wireless service to new regions, Amazon said. By comparison, SpaceX has launched over 500 satellites of the roughly 12,000 expected for its Starlink constellation in low Earth orbit and plans to offer broadband service in the United States and Canada by the year's end. The FCC approved SpaceX's request in 2018.

BOB Financial Solutions Limited Ropes Fiserv, Inc for Digital Transformation

BOB Financial Solutions (BFSL), a wholly owned subsidiary of Bank of Baroda, has chosen Fiserv, Inc, a global provider of payments and financial services technology solutions, to enable the digitisation of their end-to-end card issuance and processing cycle and support the launch of several new and high-tech products including contactless credit cards, tokenisation and integration with branded wallets, and virtual credit cards.
BFSL is one of the earliest issuers of credit cards in India and has a reputation for delivering superior card products and services to its customers. To advance their digital strategy and keep pace with rapidly changing consumer expectations, BFSL will utilise FirstVisionTM from Fiserv, an end-to-end managed services solution that enables card issuing and processing with global economies of scale and integrated capabilities that span the card lifecycle.
The FirstVision platform will enable BFSL to move forward on their digital transformation journey with a fully integrated suite of card management tools including digital cards and loyalty management, advanced fraud modules, risk management and analytics solutions.
BOB Financial Solutions Limited (formerly known as 'Bobcards Limited') was established in the year 1994.

Facebook Set to Expand Jio WhatsApp Partnership

Facebook founder and CEO Mark Zuckerberg said that the social network will expand the partnership with Jio platforms on WhatsApp to other commerce customers in India and will take the solution outside of India to other countries.
In April, Facebook announced investments of $ $5.7 billion in Jio Platforms Limited, part of Reliance Industries Limited, making Facebook its largest minority shareholder. The deal with Jio allowed WhatsApp's integration with JioMart to enable people to connect with businesses, shop and ultimately purchase products in a seamless mobile experience.

Piyush Goyal Inaugurates CII National Digital Conference on Ease of Doing Business

According to Commerce Minister Piyush Goyal, the government is aiming to cover the nation's length and breadth with optic fibres within the next two years.
Inaugurating CII National Digital conference on Ease of Doing Business for Atmanirbhar Bharat, the Minister emphasised that slowly but surely a single window concept will be achieved. He urged both industry and government to work as partners and the industry will have to play a proactive role in helping the government identify the tax evaders.
The Minister said that he is dedicated to policy simplification and asked for industry's feedback in areas where policy stability is possible.

Huawei Takes Top Spot in Global Phone Shipments for First Time

According to analysts' estimates, Huawei became the biggest vendor of smartphones in the world for the first time.
It took the top spot by shipping 55.8 million devices in the last quarter, overtaking Samsung's 53.7 million.
The report comes from analytics firm Canalys, which called the change "remarkable".
The fact that China came out of pandemic lockdown earlier than other countries is pinpointed as the reason for Huawei's success.
Huawei phones have also struggled to appeal to Western markets because they do not have Google-made apps, which are banned due to US trade restrictions.
Its new-found dominance is mainly driven by its impressive sales back home in China.
Overseas shipments are actually down for the company, by 27% - but Canalys estimates that it now sells more than 70% of all smartphones in mainland China.
As per analyst Ben Staton from Canalys, this is a remarkable result that few people would have predicted a year ago.

SIDBI and TransUnion CIBIL Launch Financial Knowledge Platform for MSMEs

The Small Industries Development Bank of India in association with TransUnion CIBIL launched a comprehensive financial education and knowledge platform for micro, small and medium enterprises.
The one-stop knowledge portal- MSMESaksham, will guide MSMEs (micro, small and medium enterprises) seeking seamless and quick access to finance and will also support them in managing their credit obligations.
According to SIDBI's Chairman and Managing Director Mohammad Mustafa, SIDBI (Small Industries Development Bank of India) is happy to partner with TransUnion CIBIL in empowering MSMEs by making them financially aware and loan-ready so that timely and affordable financial support is realised.
The portal aims to guide MSMEs across their credit lifecycle, from availing credit to start and grow their businesses, to manage credit lines to sustain and build structural strength of the business as well as ensuring timely closures and renewals of credit facilities.

Uttar Pradesh Ropes in PwC for Identifying Product Categories for World Exports

Uttar Pradesh is eyeing grabbing a major share in the world supply of select product categories totalling more than $260 billion in world exports, thus taking advantage of the "geo-politcal disturbances" that are disrupting the China-dominated supply chains of these products.
The state roped in PricewaterhouseCoopers and identified seven such product categories including ceramics, woven fabrics, trunk, suitcases and allied products, footwear, among others, where it can carve a position in world supply in the short term. In the long term, it continues to develop itself as a major force in the manufacturing and export of electronics, processed food and chemicals.
China controls 80% of the $10 billion world exports of ceramic bathware products, while 77% of the world's woven fabric exports worth $9 billion is dominated by the country.
The UK-based firm will help the state make its products more competitive for the world market by presenting ways to optimise labour and land, as well as also focus on packaging and branding of the products, and looking for suitable foreign buyers that may be willing to disengage with China.

Praj Signed MoU with ARAI to Jointly Develop Advanced Biofuels Technology Application

Praj Industries (Praj) and Automotive Research Association of India (ARAI) signed a Memorandum of Understanding (MoU) under which they will jointly develop advanced biofuels application technology for the usage in industry and transportation. This technology will help to reduce the health risks posed by air pollution in the transportation sector.
This collaboration will enable them to jointly address technologies to expand the use of biofuels in a variety of applications, including the use of Internal Combustion Engines (ICEs) in the transportation sector.
As per the MoU, Praj will provide biofuel technology solutions through its TEMPO(Technology, Engineering, Manufacturing, Project management, Operations) business model and ARAI will contribute its vast experience in the field of alternative fuels, green and sustainable mobility.
The projects that are jointly undertake will reinforce of Praj's Bio-MobilityTM platform that offers technology solutions globally to produce carbon neutral transportation fuel from bio-based feedstock for all modes of mobility
The collaboration also aims to strengthen the position of India as a technology leader in the global biofuels industry.

Jul 30, 2020

Sembcorp Commissions 3 Wind Projects of 800 MW

Minister for Power and New & Renewable Energy (MNRE) R. K. Singh inaugurated Sembcorp's state-of-the-art three wind power projects with a total capacity of 800 MW. Sembcorp Energy India Limited (SEIL), a wholly-owned subsidiary of Sembcorp Industries, announced the completion of its latest 800 MW wind power projects, bringing its renewable energy capacity in India to 1,730 MW. With the full commissioning of its three 300 MW wind projects, Sembcorp has become the first independent power producer to fully commission its projects awarded in the first three wind auctions held by Solar Energy Corporation of India (SECI). Together, these assets provide enough clean energy to power more than 6,00,000 homes and avoid over two million tonnes/annum of carbon dioxide emissions. This capacity is also the largest operational wind capacity with any developer to-date from SECI auctions.
Singh congratulated SEIL and the Singapore government for their work and commitment to the renewable energy sector. He said that we are determined to achieve energy transition for which we will ensure transparency, fairness and level playing field to our partners in the sector. He further added that we are committed to achieving the target of 175 GW Renewable Energy capacity by 2020 and Prime Minister Narendra Modi's vision of 450 GW Renewable Energy capacity by 2030.

Gujarat and UK India Business Council Sign MoU to Improve Industrial Development

The UK India Business Council signed a Memorandum of Understanding (MoU) with Industrial Extension Bureau (iNDEXTb), Industries and Mines Department, Government of Gujarat, the premier agency focused on accelerating industrial development in the state.
This collaborative partnership between the UKIBC and the Government of Gujarat will help to boost business and industrial development in the state. It will also aim to proactively enhance the business environment and strengthen collaboration with British businesses in Gujarat.
The MoU was signed at a virtual roundtable by Neelam Rani, Managing Director, Industrial Extension Bureau (iNDEXTb), Government of Gujarat and Kevin McCole, Managing Director, UKIBC in the presence of Peter Cook, Deputy High Commissioner, British Deputy High Commission - Ahmedabad, M. K. Das, Principal Secretary (Industries and Mines Department), Government of Gujarat and Arti Kanwar, Resident Commissioner & Commissioner (Investment Promotion), Government of Gujarat.

PFC Ties Up with IIT-Kanpur for Research and Training in Smart Grid Technology

State-owned Power Finance Corporation (PFC) signed an agreement with the Indian Institute of Technology- Kanpur for training, research, and entrepreneurship development in smart grid technology.
As per the memorandum of association, the PFC will provide financial assistance of ₹2.38 crore to IIT-K under its CSR initiative.
The objective of the pact is to provide support to IIT-K in developing infrastructure for research and development on smart grid technology, R Murahari, Executive Director (CSR&SD), PFC, said.
As part of the project, the IIT-K will also provide training on smart grid technology to 90 participants and provide fellowship to nine selected candidates for development of ideas on smart grid technology.
The fellows will be assisted by startup Innovation and Incubation Centre (SIIC) of IIT-K and encouraged to take up entrepreneurial activities.

Jul 29, 2020

Punjab Second Largest Tractor Exporter

Punjab has pipped Tamil Nadu to become the second largest tractor exporter in FY20. Maharashtra retained the top position by exporting tractors worth $186 million.
Punjab has manufacturing units of Sonalika, Mahindra & Mahindra and Preet Tractors having installed capacity of over four lakh tractors per annum. Sonalika alone has a capacity to manufacture three lakh tractors per annum.
According to Directorate General of Commercial Intelligence and Statistics data, Punjab exported tractors worth $178 million in 2019-20 while Tamil Nadu exported tractors worth $156 million.
Punjab is the only state among the top five exporting states which witnessed a growth of 1.70% in exports last fiscal. All other states witnessed a negative growth. Overall, the tractor exports nosedived to $765.77 million in FY20 as compared to $973.94 million in 2018-19, witnessing a decline of 21.37%.
Volume wise, the country exported 76,226 tractors in FY20 as compared to 92,075 in 2018-19, a decline of 17%. Sonalika was the largest exporter with 18,078 units.

Reliance to Pay for Future Group Retail Chains

As per reports, Mukesh Ambani's Reliance Industries Ltd will pay between Rs. 24,000 crore and Rs. 27,000 crore ($3.2-$3.6 billion) to buy the Indian retail chains owned by Future Group.
Asia's richest man, Ambani has been buoyed by investments close to $20 billion from backers including Google and Facebook in his oil-to-telecoms conglomerate, and is seeking to strengthen his hand in India's huge retail sector.
Reliance's existing retail operation already runs close to 12,000 stores, including a cash-and-carry wholesale business, in over 6,700 Indian towns and cities.
Owned by India's "father of modern retailing", Kishore Biyani, Future Group is home to supermarket chain Big Bazaar, upmarket food stores Foodhall, and bargain clothing chain Brand Factory.

Sitharaman Attends 5th Annual Meeting of Board of Governors of Asian Infrastructure Investment Bank

Union Minister of Finance Nirmala Sitharaman attended the 5th Annual Meeting of the Board of Governors of Asian Infrastructure Investment Bank (AIIB) through video conference.
Every year at the Annual Meeting, the Board of Governors meet to take key decisions that impact the Bank's future. The discussions at the meeting broadly covered official business including the election of the President of the AIIB and a roundtable discussion on the theme 'AIIB 2030-Supporting Asia's Development over the Next Decade'.
Sitharaman was identified as a Lead Speaker at the roundtable discussion. In her intervention, she appreciated AIIB's efforts for fast-tracking financial assistance of about $10 billion to its member countries including India to combat COVID-19 pandemic.
She mentioned about Prime Minister Narendra Modi's initiative of creating a COVID-19 Emergency Fund for SAARC Nations and India's efforts in supplying critical medical health kits to tackle the COVID-19, and now supporting global efforts of COVID-19 vaccine trials. Besides, the Finance Minister highlighted India's participation in the "G20 Debt Service Suspension Initiative".
Sitharaman also outlined various measures taken by the Government in response to the COVID-19, including the $23 billion Pradhan Mantri Garib Kalyan Yojana (PMGKP) and $295 billion Atma Nirbhar Bharat Package (ANBP), which aim at protecting all sectors and sections of the economy.

SBI Provides USD 16 Million Liquidity Support for Local Businesses in Maldives

According to the Indian High Commission in the Maldives, the State Bank of India (SBI) is providing liquidity support of USD 16.20 million for local businesses and deferred loan repayment for over 200 retail accounts.
On the occasion of Independence Day of the Maldives on July 26, Indian High Commissioner Sunjay Sudhir said that assistance of USD 400 million through an extended currency swap arrangement has been made available already to tide over liquidity shortage. India will soon announce another substantial financial assistance package to support the Maldivian economy and assist in economic recovery post-COVID-19.

ICICI Lombard in Talks to Acquire Bharti Axa General Insurance

As per reports, private sector lender ICICI Lombard is set to acquire Bharti Axa General Insurance in an all stocks deal worth between Rs. 2500 and Rs. 2800.
The proposed merger will require requisite approvals from Insurance Regulatory and Development Authority (IRDAI) to go through.
The full stock buyout would also likely see AXA, the French insurance and asset management company, which currently holds a 49 per cent stake in the insurance company, exit their India business.

Bharti AXA General Insurance Launches Crop Insurance Campaign, 'Bohot Zaroori Hai'

Bharti AXA General Insurance launched its crop insurance campaign,'Bohot Zaroori Hai' for farmers in Maharashtra and Karnataka to encourage them about their yield protection and financial security. It aims to create awareness to farming communities about the relevance and significance of crop insurance, which can alleviate rural distress caused by crop failure or damage due to unseasonal rains, monsoon failure among others.
Bharti AXA General Insurance had received Rs. 800 crore worth crop insurance mandate from the governments of Maharashtra and Karnataka to insure their farmers under the Pradhan Mantri Fasal Bima Yojana (PMFBY).
Bharti AXA General Insurance has secured authorization for a period of 3 years from both the state governments to implement the PMFBY in six districts of Maharashtra and three districts of Karnataka.
The PMFBY offers insurance cover to farmers against losses of crops during the entire cycle from preparation of sowing to harvesting and post-harvest, due to poor yield.
PMFBY is open for both lenders and non lenders. The scheme covers food crops (cereals, millets and pulses), oilseeds as well as horticultural crops.

Jul 28, 2020

BIS to Frame Quality Norms for 371 Items by March 2021 to Curb Non-essential Imports

To check imports of sub-standard and non-essential goods, including from China, the Bureau of Indian Standards (BIS) said that it is framing mandatory quality standards for 371 items identified by the commerce ministry and the process will be completed by March 2021. The list of 371 tariff lines includes several segments, ranging from steel, chemicals, pharmaceuticals and electrical machinery to furniture and toys.
As per BIS Director General Pramod Kumar Tiwari, the commerce ministry has identified 371 imported tariff lines, including Chinese products. We are trying to frame standards and make them mandatory and improve enforcement of the same.
The concerned ministries are identifying the important products from the list given by the commerce ministry and approaching BIS for making the standards mandatory.
Asked for how many products from the list the standards have been made so far, Tiwari said that it is a complex issue. Different ministries like steel, chemicals and petroleum have been told to identify the products for making standards.
For some products, ministries have decided not to have standards because of insignificant import volumes, while for certain items, there are already standards in place.

Danish Company Maj Invest Buys 18% Equity in SAVE Solutions for Rs. 120 crore

Danish company Maj Invest bought 18% equity in SAVE Solutions, an Indian financial inclusion company, for Rs. 120 crore, reflecting investor confidence in the sector's potential even amid Covid-19.
SAVE Solutions is a business correspondent for State Bank of India, Bank of India and Bank of Baroda and intends to use this capital to expand its direct lending through subsidiaries SAVE Microfinance and SAVE Financial Services.
SAVE, which started its journey from Gaya in 2009, may use part of the funds to strengthen IT infrastructure.
Unitus Capital advised SAVE Solutions on the deal while Khaitan & Co advised the overseas firm.
Maj Invest manages $12 billion in assets, of which about $1 billion are in private equity commitments. Its financial inclusion funds invest directly in micro lenders across Asia, Latin America and Africa.

Guidelines for Schemes to Boost Domestic Manufacturing of Bulk Drugs and Medical Devices

The government released guidelines for four schemes to boost domestic manufacturing of bulk drugs and medical devices as part of its drive to reduce dependency on imports for these critical products.
In line with the vision of Prime Minister Narendra Modi, the schemes have been conceptualised for making India 'atmanirbhar (self-reliant) in the pharma sector.
The schemes—a production-linked incentive (PLI) scheme and industry park scheme each for bulk drugs and medical devices—seek to make India self-reliant in pharmaceuticals raw materials such as drug intermediates, active pharmaceutical ingredients (APIs) and key starting materials (KSMs), and medical devices.
Currently the country almost entirely depends on imports—mostly from China—for production/supply of 53 critical bulk drugs, while 86% of medical devices, too, are imported.
Bulk drug parks "will be based on plug and play model with prior regulatory approvals, state of art infrastructure, excellent connectivity, affordable land, competitive utility charges, and strong R&D ecosystem and so on.

Jul 27, 2020

India Hikes Exposure to US Government Securities by Nearly USD 13 Billion in May

According to latest official data, India's holdings of American government securities increased by nearly USD 13 billion to USD 169.9 billion at the end of May. So far this year, the country's exposure has seen significant fluctuations and had touched a record high of USD 177.5 billion in February.
After marginally rising to USD 157.4 billion in April, the holdings jumped to USD 169.9 billion in May, an increase of around USD 13 billion in a month's time.
India's holdings stood at USD 164.3 billion in January. The American government securities are purchased by the Reserve Bank of India (RBI).
The country was the 12th largest holder of the American government securities while Japan had the maximum exposure at USD 1.260 trillion at the end of May. At the second spot was China with holdings worth USD 1.083 trillion, followed by the United Kingdom at the third place with an exposure of USD 393.5 billion.
As per the data, Ireland is at the fourth position, followed by Brazil, Luxembourg, Hong Kong, Switzerland, Cayman Islands, Belgium and Taiwan.

Tamil Nadu Signs 16 MoUs for Investments Worth Rs. 5,137 crore

In a bid to bring increased investments into the state, the Tamil Nadu government signed 16 memoranda of understanding (MoUs) worth Rs. 5,137 crore aimed at creating employment opportunities for over 6,555 people. The fresh bunch of MoUs come close on the heels of the state inking 8 MoUs with companies involving investment of about Rs. 10,339 crore and promising employment opportunities for 13,507 people.
Among the major investments, Adani Enterprises, the flagship company of the Adani Group, signed an MoU worth Rs. 2,300 crore for setting up a data centre while Princeton Digital Group inked a deal for Rs. 750 crore. Super Auto Forge, manufacturer of cold and warm forged steel and aluminium parts and BPL-FTA Enterprises, have given an investment commitment of Rs. 500 crore each. The Super Auto investment will be for steel and aluminium parts manufacturing.

Gross NPA of Banks May Rise to 12.5% by March 2021: RBI FSR

According to the 21st issue of Financial Stability Report (FSR), released in July 2020 by Reserve Bank of India (RBI), the gross nonperforming assets (GNPA) ratio of all scheduled commercial banks (SCBs) may increase from 8.5% in March 2020 to 12.5% by March 2021 under the baseline scenario; the ratio may escalate to 14.7% under a very severely stressed scenario.
While Public sector banks' (PSBs) gross bad loans ratio of 11.3% at the end of March, 2020 may increase to 15.2% by March 2021 under the baseline scenario, on the other hand, private banks may see an increase from 4.2% to 7.3%.
FSR reflects the collective assessment of the Sub-Committee of the Financial Stability and Development Council (FSDC) on risks to financial stability, and issues relating to development and regulation of the financial sector.

Aditya Puri Sells Shares worth Rs. 843 crore in HDFC Bank

Aditya Puri, managing director and chief executive officer of the country's largest private sector lender HDFC Bank sold 95% of his stake valued at Rs. 843 crore in the bank this week. As per reports, Aditya Puri sold 74.2 lakh shares of the bank between July 21 and Jul 24. Before this transaction, Puri held 77.96 lakh shares or 0.14% of banks equity capital.
Puri who took home Rs 18.92 crore salary including perquisites but excluding stock options in the financial year 2019-20 sold shares worth Rs 200 crore in HDB Financial Services, the unlisted NBFC arm of the private lender in December last year. These shares were held through a family trust Vistra ITCL (India). In 2013, he transferred his shares to his family as part of the succession planning. The family's shareholding was transferred to the Trust, Vistra ITCL.
The term of Aditya Puri who has been the managing director and chief executive since 1994 when the bank was set up ends on October 20, 2020. HDFC Bank board in November last year (2019) set up a search committee to identify his successor. Aditya Puri will act as an advisor to the 6-member group comprising Shyamala Gopinath, Sanjiv Sachar, M. D. Ranganath, Sandeep Parekh, Srikanth Nadhamuni and Keki Mistry.

Share on

TCY Analytics (View Subscription Plans)

Subscribe to GK Updates

I want to receive

GK Tags

October GK, September GK, August GK, INTERNATIONAL AFFAIRS, ENVIRONMENT, BUSINESS AND ECONOMY, SCIENCE & TECHNOLOGY, SPORTS, NATIONAL AFFAIRS, DEFENCE, PERSONS IN NEWS, DAYS AND EVENTS, AWARDS AND HONOURS, GOVERNMENT POLICIES AND SCHEMES, GENDER/ HEALTH/ EDUCATION, ART AND CULTURE, BOOKS AND AUTHORS, TOURISM AND HOTEL INDUSTRY AWARENESS, ART AND CULTURE, LAW AND CONSTITUTIONAL AFFAIRS

Start Discussion

On any topic

Take Tests

Compiled from GK updates

Login

Sign Up

Forgot Password

Download TCY App

Unlock All Services and Enjoy The Premium Benefits

US$ 10

US$ 13

US$ 15

US$ 17

US$ 19

US$ 20

US$ 21

US$ 22

US$ 23

US$ 24

US$ 25

US$ 26