1. Govt extends tenure of the Company Law Committee by one year
Tags: committee Economics/Business Person in news
The Government of India has extended the tenure of the Company Law Committee by one year till 16 September 2023.
IMPORTANT FACTS -
- The committee was set up by the Union Corporate Affairs Ministry in 2019 and it was extended by the ministry last year by one year till 2022.
- The committee was set up by the government to examine and make recommendations to the government on various issues related to implementation of the Companies Act 2013 and Limited Liability Partnership Act 2008.
- It was an effort by the government to promote ease of living by providing ease of doing business to law-abiding corporates.
Chairman of the committee :
- The 11 member committee is chaired by the Union Corporate Affairs Secretary Tarun Bajaj.
- Union Minister for Corporate Affairs : Nirmala Sitharaman
2. Adani to Export Power to Bangladesh
Tags: Economics/Business Person in news
Asia’s richest and world’s third richest person Gautam Adani has tweeted that it will export electricity from its coal fired power plant in Jharkhand to Bangladesh by Bijoy Dibosh (vijay divas), 16 Dec 2022.
IMPORTANT FACTS -
- Gautam Adani tweet came after he met the visiting Bangladesh Prime Minister Sheikh Hasina in New Delhi.
- Adani Power limited is setting up 1600 MW Godda Power Project in Jharkhand. It is also building a transmission line to evacuate the power to Bangladesh.
- Bangladesh is currently facing an acute shortage of power due to sharp increase in the price of coal, oil and natural gas in the world due to ongoing Russia-Ukraine conflict.
- 16 December is observed as victory day or Bijoy Diwas in Bangladesh as the Pakistan Army surrendered to Mukti Bahini and Indian Army leading to Independence of Bangladesh in 1971.
3. Nitin Gadkari to inaugurate “Manthan” on 8thSeptember in Bengaluru
Tags: Summits Economics/Business State News
Union Minister for Road, Transport and Highways, Nitin Gadkari will inaugurate, “Manthan '', in Bengaluru on September 08, 2022. Union Minister of State for Road Transport and Highway and Civil Aviation General (Dr) VK Singh (Retd.) and Basavaraj Bommai, Chief Minister, Karnataka will also attend the conference.
IMPORTANT FACTS -
Aim of Manthan :
- Manthan— a three-day by-invitation conference cum public EXPO organised by the Ministry of Road Transport and Highways aims to anchor discussions across multiple issues and opportunities in the roads, transport and logistics sector and engage with the States, UTs and other key stakeholders from the industry for sharing of best practices, policy support, and capacity development.
ADDITIONAL INFORMATION -
Theme of Manthan :
- The theme of Manthan is ‘’IDEAS TO ACTION: Towards a smart, sustainable, road infra, mobility and logistics ecosystem.’’
- The Next-Gen M Parivahan Mobile App will also be launched during the event.
- He will also inaugurate the 41st Meeting of Transport Development Council .
4. Cabinet approves interest subvention of 1.5% per annum on Short Term Agriculture Loan upto Rs 3 lakh
Tags: National Government Schemes Economics/Business
The Union Cabinet chaired by the Prime Minister has approved restoration of interest subvention on short-term agricultural loans to 1.5 percent for all financial institutions.
IMPORTANT FACTS -
- This decision has been taken to ensure adequate credit flow to the agriculture sector.
Against short term loans of up to Rs 3 lakh given to farmers for the financial years 2022-23 to 2024-25 to lending institutions (public and private sector banks, small finance banks, regional rural banks, co-operative banks) 1.5 percent interest subvention will be given.
Under this, an additional budgetary provision of Rs 34,856 crore would be required for the period from 2022-23 to 2024-25 for increasing the interest subvention.
Background :
Ensuring uninterrupted credit to farmers at affordable rates has been the top priority of the Government of India.
Keeping this in mind, the Kisan Credit Card scheme was launched for the farmers, to empower them to buy agricultural products and services by taking loans at any time.
To ensure that farmers can pay the minimum rate of interest to the bank, the Government of India launched the Interest Subvention Scheme (ISS), which has now been renamed as the Revised Interest Subvention Scheme (RISS).
Its objective is to provide short term loans to farmers at low interest rates.
Benefit to farmers :
The increase in interest subvention will help in ensuring stability of credit flow to the agriculture sector.
This will ensure the financial position and viability of the lending institutions especially the Regional Rural Banks and Co-operative Banks.
This will ensure adequate agricultural credit to the rural economy.
More and more farmers will get the benefit of agriculture loan.
This will help in employment generation, as short term agricultural loans are provided for all activities including animal husbandry, dairy, poultry, fisheries.
Kisan Credit Card Scheme :
It provides loans to farmers all over India so that farmers can reduce the financial crunch during farming.
It was introduced in 1998 by National Bank for Agriculture and Rural Development on the recommendation of R V Gupta.
In 2004, it was extended for investment in non-farm activities keeping in view the credit requirement of farmers.
In Budget-2018-19, the government announced the extension of the Kisan Credit Card (KCC) facility to fisheries and animal husbandry farmers.
5. 5G spectrum auction ends with record bids worth over ₹1.5 lakh crore. Jio top bidder
Tags: Economics/Business National News
The biggest ever spectrum auction in India ended on August 1. The seven-day auction saw record sale of 5G telecom spectrum worth over Rs 1.5 lakh crore.
Important facts
In this auction, billionaire businessman Mukesh Ambani's company Jio made the highest bid to consolidate its leading position.
As per provisional figures, a total of Rs 1,50,173 crore bids were placed.
This auction amount of 5G spectrum capable of offering extremely high-speed mobile internet connectivity is almost double the Rs 77,815 crore 4G spectrum sold last year.
This amount is three times as against Rs 50,968.37 crore received from 3G auction in 2010.
Reliance Jio made the highest bid for radio waves offering connectivity at speeds nearly 10 times faster than 4G.
It was followed by Bharti Airtel and Vodafone Idea Limited.
Adani Group has bought 26 MHz spectrum to set up a private telecom network.
What is Electromagnetic Spectrum?
Signals are needed to connect cell phones and wireline telephone equipment from one end to the other.
These signals are carried over the airwaves, which are required to be sent on specified frequencies to avoid any kind of interference.
The central government owns all publicly available assets, including airwaves, within the geographical boundaries of the country.
What is 5G technology?
The fifth generation mobile network is called 5G.
The 5G network will operate in the millimetre-wave spectrum (30-300 GHz) which can send huge amounts of data at very high speeds.
It is the newest upgrade in Long Term Evolution (LTE) mobile broadband networks.
Internet speeds in the high-band spectrum of 5G have been tested to exceed 20 Gbps (gigabit per second).
6. 163rd anniversary of Income Tax Day observed by CBDT
Tags: Economics/Business Important Days
The 163rd anniversary of Income Tax Day was celebrated across India on 24 July by the Central Board of Direct Taxes (CBDT) and all its regional offices.
Important facts
Union Finance and Corporate Affairs Minister Nirmala Sitharaman said that the reforms introduced by the government in recent years have ensured a trust-based tax system.
Taxpayers have also reaffirmed the faith-based approach, as evidenced by the trend towards better tax collection and increase in the number of income tax returns filed.
Sitharaman lauded the Income Tax Department for successfully implementing the policy reforms.
He lauded the Income Tax Department for achieving the highest ever revenue collection of over Rs 14 lakh crore in the last financial year.
On this occasion the field formations held a number of events and activities.
About Income Tax Day
This day has been celebrated in India since 2010.
In 2010, the Income Tax Department decided to observe 24 July as an annual festival day, marking 150 years of Income Tax.
Income tax was first levied as a tax on July 24, 1860.
Therefore, July 24 holds a lot of importance for the Income Tax Department.
It was introduced by Sir James Wilson in 1857 to compensate for the loss suffered by the British Government during the First War of Independence.
Significance of the day
It is celebrated to appreciate the Income Tax Department for its immense service to the nation.
The agency administers direct taxes and serves as a source of revenue for the government.
It is also an effective tool for achieving socio-economic objectives.
The Income Tax Department adapts to sudden changes in the economy and enjoys a healthy growth in tax collection.
About Central Board of Direct Taxes (CBDT)
CBDT i.e. Central Board of Direct Taxes is a part of the Department of Revenue in the Ministry of Finance.
CBDT is empowered by the Board of Revenue Act 1963.
CBDT provides necessary inputs for direct tax policies and schemes in India. Also it is responsible for the administration of direct tax laws through the Income Tax Department.
All matters relating to direct taxes in India were entrusted to the Central Board of Direct Taxes with effect from 1 January 1964.
The CBDT is headed by the Chairman and can have six members, who are of the rank of Special Secretary.
It is the administrative body for the Income Tax Department.
7. Russia overtakes Saudi Arabia to become India's second largest oil supplier
Tags: Economics/Business International News
Russia has overtaken Saudi Arabia to become India's second largest oil supplier after Iraq.
Indian refiners bought about 25 million barrels of Russian oil in May, which is more than 16% of all Russian oil imports.
India is the world's third largest oil importer and consumer.
Iraq remained India's top oil supplier in May and Saudi Arabia is now the third largest supplier.
India has taken advantage of concessional prices to increase oil imports from Russia at a time when global energy prices are rising.
After the US and China, India is the world's third largest oil consumer, importing more than 85% of its oil.
Largest Oil Producer countries in the world
United States
Russia
Saudi Arabia
Canada
Iraq
China
United Arab Emirates
Brazil
Kuwait
Iran
8. World Bank cuts India's economic growth forecast to 7.5% for FY23
Tags: Economics/Business
The World Bank on June 7 slashed India's economic growth forecast for the current fiscal to 7.5 per cent, keeping in mind rising inflation, supply chain stagnation and geopolitical tensions.
This is the second time that the World Bank has revised its GDP growth forecast for India in the current fiscal year 2022-23 (April 2022 to March 2023).
In April 2022, the World Bank had lowered the forecast from 8.7 percent to 8 percent, after which it is now estimated to be 7.5 percent.
Economic growth forecast expected to be 7.1 percent in 2023-24
The World Bank report also said that India's growth is expected to slow further to 7.1 per cent in 2023-24.
However, this is 30 basis points higher than the previous estimate of 6.8 percent.
India's GDP growth 6.5 percent in 2025
India's GDP growth for the financial year 2024-25 has been pegged at 6.5 percent by the World Bank.
However, this figure of decline in the growth forecast for the financial year 2022-23 is higher than the local estimation.
The Reserve Bank of India (RBI) has pegged GDP growth at 7.2 per cent for the financial year 2022-23.
India's other growth projections
Global rating agencies also downgraded India's economic growth forecast.
Moody's Investors Service cut its GDP forecast for 2022 to 8.8 percent from 9.1 percent, citing high inflation.
S&P Global Ratings too had cut India's growth projection for 2022-23 to 7.3 per cent, from 7.8 percent.
In March, Fitch had cut India's growth forecast to 8.5 per cent, from 10.3 percent.
The IMF has also lowered the projection to 8.2 percent from 9 per cent.
Asian Development Bank (ADB) has pegged India's growth at 7.5 per cent.
In April, the RBI lowered the forecast to 7.2 per cent from 7.8 per cent amid volatile crude oil prices and supply chain disruptions due to the Russia-Ukraine war.
9. 51st Session of Standing Committee for Promotion of Exports (Shipping)
Tags: Economics/Business
%20copy.jpg)
The Standing Committee for Export Promotion (Shipping) held its 51st session on June 3, 2022 at Udyog Bhawan, New Delhi.
It was presided over by the Special Secretary, Logistics Division, DPIIT Amrit Lal Meena.
The Chairman advised shipping associations to implement uniform best practices across the country to make Indian exports more competitive in global markets.
There was active participation of industry associations and organisations like INSA, FFFAI, CFSAI AMTOI, IPA, FICCI, CBIC and FIEO in this session.
Since the launch of PM Gatishakti on 13 October 2021, focusing on resolving user issues has been an essential commitment of the Government.
The Forum's first meeting took place after India successfully crossed the US$ 400 billion target for exports in FY 2021-22.
During the meeting all the issues were classified into three major groups -
Procedural issues
Issues impacting logistics costs
Technology related issues to enhance EXIM efficiency
About Department for Promotion of Industry and Internal Trade (DPIIT)
In the year 2019, the Department of Industrial Policy and Promotion (DIPP) was renamed as Department for Promotion of Industry and Internal Trade (DPIIT).
It is administered by the Ministry of Commerce and Industry.
It is a nodal government agency to formulate and implement development strategies for the industrial sector, along with other socio-economic objectives and national priorities.
10. U.S. becomes India’s biggest trading partner at $119 billion
Tags: Economics/Business International News
In the year 2021-22, the US overtook China to become India's top trading partner, reflecting strong economic ties between the two countries.
As per commerce ministry data, bilateral trade between the US and India stood at $119.42 billion in 2021-22, as against $80.51 billion in 2020-21.
India's exports to the US increased to $76.11 billion in 2021-22 from $51.62 billion in the previous fiscal While imports increased to $43.31 billion in 2020-21 as compared to about $29 billion.
During 2021-22, India's two-way trade with China stood at $115.42 billion as compared to $86.4 billion in 2020-21.
During 2021-22, India's two-way trade with China stood at $115.42 billion as compared to $86.4 billion in 2020-21.
Exports to China marginally increased to $21.25 billion last fiscal year from $21.18 billion in 2020-21, while imports jumped to $94.16 billion from about $65.21 billion in 2020-21.
The trade gap widened to $72.91 billion in 2021-22 from $44 billion in the previous fiscal.
Reason of increasing bilateral trade with the US
Strengthening of economic ties between the two countries.
Global firms are reducing their dependence only on China for their supplies and diversifying business to other countries such as India.
India has joined the US-led initiative to establish the Indo-Pacific Economic Framework (IPEF) and the move will further boost economic ties.
Major export items from India to the US
Petroleum polished diamonds, pharmaceutical products, jewellery, light oils and petroleum, frozen shrimp, made ups etc.
Major import items from US to India
Petroleum, rough diamonds, liquified natural gas, gold, coal, waste and scrap, almonds etc
Important facts
China was India's top trading partner from 2013-14 till 2017-18 and also in 2020-21.
Before China, UAE was India's largest trading partner.
