1. Canara Bank introduces health care loans and savings accounts for women
Tags: Economy/Finance
Canara Bank launches health care loan 'Canara Heal' and savings account for women 'Canara Angel', launches technological advancements and digital SHG initiative.
An Overview of the News
Healthcare Loan Product: Canara Heal
Canara Bank introduces a new healthcare-focused loan product named Canara Heal.
Designed to cover the shortfall in hospitalization expenses, particularly aimed at settling healthcare insurance claims via Third Party Administrators (TPA) for self and dependents.
Savings Account for Women: Canara Angel
Canara Bank launched a specialized savings account tailored for women, dubbed Canara Angel.
Unique features include a Cancer Care policy, a pre-approved personal loan known as Canara ReadyCash, and an Online Loan against term deposit product called Canara MyMoney.
Collaborations and Partnerships
Canara Bank formalizes Memorandums of Understanding (MoUs) with MediAssist Healthcare Services Ltd and Bajaj Allianz General Insurance Company Ltd.
These partnerships aim to enhance healthcare accessibility and affordability for customers through the Canara Heal product.
Innovative Payment Solutions
Unveiling of 'Canara UPI 123PAY ASI', a user-friendly payment interface.
Introduction of 'Canara HRMS Mobile App for Staff', an HR management solution for the bank's employees.
Digital SHG Initiative
CEO of the Reserve Bank Innovation Hub, Rajesh Bansal, launched a Digital SHG initiative called Canara SHG e-MONEY.
Canara Bank becomes the pioneer in offering seamless doorstep digital services to Self-Help Groups (SHGs) in collaboration with RBIH.
The initiative aims to provide instant digital credit to customers' accounts.
2. PepsiCo India to Establish Rs 1266 Crore Flavor Plant in Ujjain
Tags: Economy/Finance
PepsiCo India announced a significant investment of Rs 1266 crore to set up a flavor manufacturing facility in Ujjain, Madhya Pradesh.
An Overview of the News
This investment is in line with the vision of Aatmanirbhar Bharat, reflecting PepsiCo India's commitment to domestic manufacturing. It will produce beverage flavors specifically designed for the Indian market.
Existing Facilities and Future Operations:
This will be PepsiCo India's second flavor manufacturing facility in the country, with the first one being located in Channo, Punjab.
Construction of the Ujjain plant is scheduled to begin in 2024, with operations expected to begin in the first quarter of 2026.
Collaboration with Madhya Pradesh Government:
Jagrut Kotecha, Chief Executive Officer, India and South Asia, PepsiCo, expressed his gratitude for the support of the Madhya Pradesh government, emphasizing the company's commitment to enhancing the socio-economic landscape of the region.
About PepsiCo
PepsiCo, Inc. is a global company headquartered in Harrison, New York.
It serves the food, snack and beverage industries.
PepsiCo handles the manufacturing, distribution and marketing of its products.
The company oversees all aspects of the food and beverage market.
CEO - Ramon Laguarta
CFO - Hugh F. Johnston
CIO - Seth Cohen
COO - Gregg Roden
3. LIC Named World's Strongest Insurance Brand
Tags: Economy/Finance
The latest Brand Finance Insurance 100 2024 report positions Life Insurance Corporation of India (LIC) as the world's most robust insurance brand, emphasizing its global reputation and reliability.
An Overview of the News
LIC maintains its top spot globally with a consistent brand value of USD 9.8 billion, solidifying its dominance in the insurance industry.
Cathay Life Insurance follows closely with a 9% increase in brand value to USD 4.9 billion, securing the second position.
NRMA Insurance ranks third, witnessing an impressive 82% rise in brand value to USD 1.3 billion.
Impressive Premium Collection of LIC
LIC India achieves a remarkable feat by recording the highest first-year premium collection of Rs 39,090 crore in FY23, showcasing its financial strength.
SBI Life Insurance and HDFC Life Insurance lead the private sector, with significant premium collections of Rs 15,197 crore and Rs 10,970 crore, respectively.
Market Performance and Share Price of LIC
LIC's shares reach an all-time high, reinforcing its position as India’s fifth most valuable listed company and highlighting its market dominance.
Global Dominance of Chinese Brands
Chinese insurance giants such as Ping An, China Life Insurance, and CPIC continue to lead global rankings, with Ping An witnessing a 4% rise in brand value to USD 33.6 billion.
Notable Growth in Brand Values
NRMA Insurance from Australia experiences a notable 82% increase in brand value to USD 1.3 billion, while Denmark’s Tryg witnesses a 66% rise to USD 1.6 billion, reflecting significant growth in brand value.
4. PolicyBazaar Ventures into Payment Aggregation with Launch of PB Pay Pvt Ltd
Tags: Economy/Finance
PolicyBazaar, a leading player in insurance and financial services, announced the formation of 'PB Pay Pvt Ltd' to diversify its offerings.
An Overview of the News
The Board of Directors of Policybazaar approved the incorporation of PB Pay Private Limited on March 20, 2024.
The subsidiary's focus on payment aggregation services awaits regulatory approval, particularly from the Reserve Bank of India (RBI).
Business Scope and Capitalization
PB Pay Private Limited will operate as a Non-Banking Financial Company (NBFC) focusing on payment aggregation services.
The authorized share capital for the subsidiary has been set at Rs 50,00,00,000, with a proposed paid-up capital of Rs 27,00,00,000.
Ownership and Transaction Details
As a wholly owned subsidiary of Policybazaar, PB Pay Private Limited will be considered a related party.
Despite the absence of a visible promoter for Policybazaar, the transaction is expected to be at a considerable distance, reflecting the status of its professionally managed entity.
5. SBI Card launches 'SimplySave Merchant SBI Card' for MSMEs
Tags: Economy/Finance
SBI Cards and Payment Services Limited (SBI Card), India's largest standalone credit card company, launched 'SimplySave Merchant SBI Card', an exclusive credit card tailored for Micro, Small and Medium Enterprises (MSMEs).
An Overview of the News
The card, aimed at MSME merchants, was launched by State Bank of India (SBI) Chairman Dinesh Khara during the Global Fintech Fest held in Mumbai, Maharashtra.
The primary objective of 'SimplySave Merchant SBI Card' is to address the need for convenient and quick access to formal credit options for MSMEs.
This credit card operates within the RuPay network and can also be integrated with the Unified Payments Interface (UPI), thereby facilitating payments through various UPI-enabled third-party applications.
SBI Cards and Payment Services Limited, a subsidiary of State Bank of India (SBI), was earlier known as SBI Cards and Payment Services Private Limited (SBICPSL).
About State Bank of India
Established in 1806 as the Bank of Calcutta, it was later renamed the Imperial Bank of India.
Nationalized by the Government of India in 1955, it became the State Bank of India.
Provides personal banking, corporate banking, agricultural banking and international banking services.
Personal banking services include savings and current accounts, loans, credit cards and investment products.
SBI promotes digital banking with initiatives like YONO and SBI Quick.
Received awards such as Best Bank Award by Euromoney Magazine and Best Retail BankAward in India by Asian Banker.
The headquarters is located in Mumbai, Maharashtra.
6. Launch of 'CRCS-Sahara Refund Portal' by Union Home Minister and Cooperation Minister Amit Shah
Tags: Economy/Finance
On 18 July 2023, Union Home Minister and Cooperation Minister Amit Shah inaugurated the 'CRCS-Sahara Refund Portal' in New Delhi.
An Overview of the News
The Ministry of Cooperatives is actively working to strengthen the cooperative movement in India and protect the interests of cooperative members.
Background:
The Ministry of Cooperatives filed an application in the Hon'ble Supreme Court of India to address the grievances of the genuine members and depositors of the Cooperative Societies of Sahara Group.
On March 29, 2023, the Supreme Court ordered the transfer of Rs 5000 crore from the "Sahara-SEBI Refund Account" to the Central Registrar of Cooperative Societies (CRCS) for payment to valid depositors.
Objective of the Portal:
'CRCS-Sahara Refund Portal' has been developed to facilitate submission of valid claims by genuine depositors of Sahara Group of Co-operative Societies.
Eligible depositors include members of Sahara Credit Cooperative Society Limited, Saharayan Universal Multipurpose Society Limited, Hamara India Credit Cooperative Society Limited and Stars Multipurpose Cooperative Society Limited.
Significance:
With the launch of the portal, the refund process has been streamlined, ensuring that genuine depositors receive their dues from Sahara Group of Cooperative Societies.
It exemplifies the commitment of the government to protect the interests of cooperative members and strengthen the cooperative movement across the country.
7. Foxconn pulls out of joint venture with Vedanta to make semiconductors
Tags: Economy/Finance
On 10 July 2023, India's Make in India initiative suffered a major loss when Vedanta Limited's agreement with Taiwanese company Foxconn to manufacture semiconductors in India was cancelled.
An Overview of the news:
- It was established production for semiconductors in India.
- According to a report, the company has expressed confidence about India's semiconductor development. The company will fully support the "Make in India" campaign of the Government of India.
- According to Vedanta, it will work with local partners to meet the needs of its stakeholders.
- Foxconn and Vedanta last year signed an agreement to invest $19.5 billion to build a semiconductor and display production plant in Gujarat.
Vedanta Limited:
- Vedanta Limited is an Indian multinational mining company headquartered in New Delhi,
- Founder: Dwarka Prasad Agarwal
- Established: 25 June 1965
- CEO: Sunil Duggal
- Subsidiaries: Hindustan Zinc, Bharat Aluminum Company, More
- Parent organization: Vedanta Resources
8. Union Cabinet approved PM-PRANAM scheme
Tags: Economy/Finance National News
The Union Cabinet Committee on Economic Affairs (CCEA) on 28 June approved the PM-PRANAM Scheme.
An overview of the news
The scheme is aimed at incentivising states to use alternative, non-chemical fertilisers.
The cavinet also decided to continue the current urea subsidy for three years starting FY23, with an outlay of Rs 3.68 trillion.
About PM-PRANAM Scheme
The full name of PM PRANAM is Promotion of Alternative Nutrients for Agriculture Management Scheme.
Aim of the Scheme :
to reduce the use of chemical fertilisers
Reducing the subsidy burden on chemical fertilisers, which is projected to reach Rs 2.25 lakh crore in 2022-23 - 39 per cent more than last year's figure of Rs 1.62 lakh crore.
70 percent of the grant provided under the scheme can be used for asset creation related to technology adoption of alternative fertilizers and alternative fertilizer production units at village, block and district level.
Introduction of sulphur-coated urea (Urea Gold)
The Cabinet Committee on Economic Affairs (CCEA) has made a significant decision to introduce sulphur-coated urea, also known as Urea Gold, in the country.
This move aims to address the issue of sulphur deficiency in the soil.
Sulphur-coated urea offers a more economical and efficient solution compared to other types of urea available in the market.
It provides a higher nitrogen absorption rate, leading to better crop productivity.
Conventional urea typically has a nitrogen absorption rate of around 30%.
Neem-coated urea, which is another alternative, offers a higher absorption rate of 50%.
9. Union Cabinet approves highest ever Fair and Remunerative Price for Sugarcane Farmers
Tags: Economy/Finance National News
The Union Cabinet on 28th June has approved a fair and remunerative price of 315 rupees per quintal for sugarcane farmers for the season 2023-24.
An overview of the news
This decision is aimed at benefiting five crore sugarcane farmers and their dependents, as well as five lakh workers employed in the sugar mills and related ancillary activities.
It is important to note that this price is the highest ever offered to sugarcane farmers, demonstrating the government's commitment to supporting the agricultural sector.
National Research Foundation (NRF) Bill, 2023
The government has decided to introduce the NRF Bill, 2023, which aims to strengthen the research ecosystem in the country.
The Union Cabinet has approved this bill, which will establish the NRF as an apex body responsible for seeding, growing, and promoting research and development.
The bill intends to foster a culture of research and innovation throughout India's universities, colleges, and research institutions.
Objectives of NRF
The NRF will provide high-level strategic direction for scientific research in India.
Over the next five years, the NRF is expected to receive a total estimated cost of 50 thousand crore rupees.
By repealing the Science and Engineering Research Board (SERB) established in 2008, the NRF will take on an expanded mandate, covering activities beyond those of SERB.
This will enable the NRF to forge collaborations among industry, academia, government departments, and research institutions.
Collaboration and Participation
The NRF will create an interface mechanism to facilitate the participation and contribution of industries, state governments, scientific ministries, and line ministries in research activities.
By encouraging collaboration between different stakeholders, such as industry, academia, and government, the NRF aims to enhance the impact of scientific research and promote innovation.
10. Center extends financial incentives to 12 states to accelerate power sector reforms
Tags: Economy/Finance National News
Centre has provided financial incentives to 12 states to accelerate power sector reforms. These states will receive over 66 thousand crore rupees incentives for reforms in the power sector.
An overview of the news
This initiative aims to support and motivate states in implementing reforms that enhance the efficiency and performance of the power sector.
The announcement regarding this initiative was made in the Union Budget 2021-22 by the Union Finance Minister.
As part of the initiative, states are granted an additional borrowing space of up to 0.5 percent of their Gross State Domestic Product (GSDP) annually for a period of four years, from 2021-22 to 2024-25.
Based on the recommendations of the Ministry of Power, the Ministry of Finance has granted permission for the reforms undertaken by 12 state governments in the years 2021-22 and 2022-23.
As a result, these states have been allowed to raise financial resources of Rs 66,413 crore through the additional borrowing permissions over the past two financial years.
Each State as an incentive to embark on the reform process is as follows:
SL No. | State | Cumulative amount (Rs in crore) |
1. | Andhra Pradesh | 9,574 |
2. | Assam | 4,359 |
3. | Himachal Pradesh | 251 |
4. | Kerala | 8,323 |
5. | Manipur | 180 |
6. | Meghalaya | 192 |
7. | Odisha | 2,725 |
8. | Rajasthan | 11,308 |
9. | Sikkim | 361 |
10. | Tamil Nadu | 7,054 |
11. | Uttar Pradesh | 6,823 |
12. | West Bengal | 15,263 |
Total | 66,413 |
