part 9

[Virtual Presenter] An Intergovernmental Agreement on the Promotion and Mutual Protection of Investments was signed after the event. iii.She visited Samarkand State University and the Lal Bahadur Shastri Monument in Tashkent. Notably, Lal Bahadur Shastri, the 2nd PM of India, passed away in Tashkent just hours after signing the Tashkent Declaration. Recent Related News: i.David Lammy MP, Secretary of State for Foreign, Commonwealth and Development Affairs, the United Kingdom (U-K---) paid an official visit to India from 24th to 25th July 2024 at the invitation of Union Minister Dr S Jaishankar, Ministry of External Affairs (M-E-A--), Government of India (GoI). This marks his first official visit to India in his capacity as UK Foreign Secretary after Labour Party swept the UK’s General Elections held in July, 2024. ii.Union Minister Dr Subrahmanyam Jaishankar, Ministry of External Affairs (M-E-A--) undertook an official visit to Maldives for 3 days from August 9 to 11, 2024, followed the recent visit of H E Dr Mohamed Muizzu, the President of Maldives to India in June 2024, to strengthen India Maldives relations and review ongoing projects. About Uzbekistan: Prime Minister– Abdulla Aripov Capital– Tashkent Currency– Uzbekistani Som Highlights of PM Modi’s visit to Vientiane, Lao P-D-R from 10-11 October 2024 Narendra Modi, Prime Minister (P-M---) of India, visited Vientiane, the capital of Lao People’s Democratic Republic (LPDR or Laos), from 10th to 11th October 2024 at the invitation of Sonexay Siphandone, PM of Lao, to strengthen the bilateral relations between India and Laos. Highlights of PM Modi’s 2 day visit to Laos: i.During his visit to Laos, PM Modi attended the 21st Association of Southeast Asian Nations (A-S-E-A-N)India Summit and the 19th East Asia Summit, hosted by Laos, the current Chair of asean. ii.PM Modi met with Thongloun Sisoulith, President of Lao P-D-R in Vientiane on 11th October 2024. iii.He also held bilateral talks with PM Sonexay Siphandone in Vientiane.21st asean India Summit: i.The asean India Summit reviewed the progress of India asean relations through their Comprehensive Strategic Partnership and how to enhance it in future. The member States of asean, founded in 1967, are Indonesia, Malaysia, the Philippines, Singapore, Thailand, Viet Nam, Laos, Cambodia, Brunei Darussalam and Myanmar. ii.To realize the full potential of the asean India partnership, a new asean India Plan of Action (20262030) was agreed to be created. iii.Two joint statements were also adopted during the summit. Joint Statement on Strengthening asean India Comprehensive Strategic Partnership for Peace, Stability and Prosperity in the Region based on the asean Outlook on the Indo Pacific (A-O-I-P-) with the support of India’s Act East Policy (A-E-P--) –India’s Act East Policy will play a vital role in advancing the partnership between asean and India. asean India Joint Statement on Advancing Digital Transformation Leaders asean partnered with India to enhance digital public infrastructure. PM Modi announces celebrating 2025 as asean India Year of Tourism, allocates USD 5 mn for joint initiatives i.India has announced that it will contribute USD 5 million towards the joint cooperative activities for the development of tourism across the asean region. Report Errors in the P-D-F [email protected] Copyright 2014-2024 @ AffairsCloud.com 107.

[Audio] This financial support will also support in building tourism infrastructure and promotional activities across ASEAN and India, benefiting both regions. ii.It was also announced that year 2025 will be celebrated as the year of the ASEAN-India Year of Tourism to further strengthen the growing relationship between India and ASEAN nations. It will develop deeper tourism connections, cultural exchange, and economic ties across the region. This year also marks 10 years of India's Act East Policy. PM Modi Announced 10-Point Action Plan: PM Modi announced a 10-point plan to deepen India's friendship with ASEAN in alignment with the theme of Enhancing Connectivity and Resilience- i.Celebrating the year 2025 as ASEAN-India Year of Tourism for which India will contribute USD 5 million towards joint activities. ii.Celebrating a decade of the Act East Policy through several people-centric activities, including a youth summit, a start-up festival, a hackathon, a music festival, building on an ASEAN-India network of think tanks and the Delhi Dialogue. iii.An ASEAN-India women scientists' conclave will be organized under the ASEAN-India Science and Technology Development Fund. iv.Number of scholarships will be doubled at Nalanda University and a provision of new scholarships will be made available for ASEAN students at the Agricultural Universities in India. v.The ASEAN-India Trade and Goods Agreement will be reviewed by 2025. vi. India would contribute an additional USD 5 million to enhance disaster resilience. vii.A new health ministers' track will be introduced to build health resilience. viii.A regular mechanism of ASEAN-India cyber policy dialogue will be initiated to strengthen digital and cyber resilience. ix.A workshop on green hydrogen is planned to be organized. x. All ASEAN leaders will be invited to join the 'Plant a Tree for Mother' campaign towards building climate resilience. Myanmar sent Representatives to ASEAN summit for 1st time in 3 years Myanmar sent its representative to the ASEAN summit for the first time in three years due to their inability to put an end to a conflict between military and pro-democracy forces and thus to discuss efforts to restore calm in Myanmar. ASEAN barred Myanmar's junta leaders from its summits due to their February 2021 revolt, and the generals have refused to send "non-political representatives" instead. 19th East Asia Summit (EAS): ii.The East Asia Summit (EAS) provided a chance for the leaders of the participating countries, including India, to share their views on issues of regional importance and measures to promote peace, stability and prosperity in the Indo-Pacific region. The East Asia Summit comprises the 10 ASEAN countries and eight partners – Australia, China, India, Japan, South Korea, New Zealand, Russia and the United States. Timor-Leste has the observer status at the EAS. India & Laos signed MoUs/ Agreements Across Various Fields: India and Laos signed several Memorandums of Understanding (MoUs) and agreements in various fields like defence cooperation, customs, audio-visual, and preservation of heritage. The MoUs were exchanged in the presence of PM Modi and PM Sonexay Siphandone in Vientiane, Lao PDR. Details of the.

[Audio] Signatories: The MoU was signed by Union Minister Rajnath Singh, Minister of Defence, GoI and General Chansamone Chanyalath, Deputy PM and Minister of National Defence, Lao PDR. ii.An MoU on Cooperation of Broadcasting was signed between Lao National Television, the Ministry of Information Culture and Tourism of Lao PDR and Prasar Bharati, an Indian state-owned public broadcaster. Signatories- The MoU was signed by Prashant Agrawal, Ambassador of India to Lao PDR and Amkha Vongmeunka, General Director of Lao National TV. iii.The Government of Laos and the GoI signed an agreement for the Co-operation and Mutual Assistance in customs-related matters. Signatories: The MoU was signed by Sanjay Kumar Agarwal, Chairman, Central Board of Indirect Taxes & Customs and Phoukhaokham Vannavongxay, Director General Customs, Ministry of Finance, Lao PDR. Noted Announcements: India and Laos announced the implementation of several Quick Impact Projects (QIPs). i.QIPs on the preservation of the heritage of performing art of Phalak-Phalam (Lao Ramayana) drama in Luang Prabang Province. Signatories: Prashant Agrawal and Soudaphone Khomthavong, Director of Luang Prabang Department of Information. ii.QIP on Renovation of Wat Phakea Temple in Luang Prabang Province Signatories: Prashant Agrawal and Soudaphone Khomthavong, Director of Luang Prabang Department of Information. iii.QIP on Preservation of Shadow Puppet Theatre's Performance in Champasak Province Signatories: Prashant Agrawal and Somsack Phomchalean, President of Champasak Sadao Puppets Theater, Office at Ban. Note: India also announced a project to improve nutrition security in Lao PDR through food fortification by providing USD 1 million in assistance through the India-UN Development Partnership Fund. About Lao People's Democratic Republic (Lao PDR) Prime Minister – Sonexay Siphandone Capital – Vientiane Currency – Laotian Kip About the Association of Southeast Asian Nations (ASEAN) Secretary–General – Kao Kim Hourn Headquarters – Jakarta, Indonesia Founded – August 1967 Member States– 10 Highlights of President Droupadi Murmu's visit to Algeria, Mauritania and Malawi Droupadi Murmu, President of India, was on a three nation tour to Algeria, Mauritania and Malawi from 13th to 19th October 2024. The three nation tour aimed to strengthen India's bilateral relations with these African nations. Details of the visit: i.President Murmu visited Algeria from 13th to 15th October2024 at the invitation of H.E. Mr. Abdelmadjid Tebboune, President of the People's Democratic Republic of Algeria. She became the first Indian President to visit Algeria since 1985. ii.She visited Mauritania on 16th October 2024. She became the first high-level dignitary from India to visit Mauritania since its independence in 1960. Report Errors in the PDF - [email protected] Copyright 2014-2024 @ AffairsCloud.com.

[Audio] iii.She also visited Lilongwe, Malawi from 17th to 19th October 2024 at the invitation of the President of Malawi, H.E. Dr. Lazarus McCarthy Chakwera. Highlights of the President's Visit to Algeria: President Murmu visited Martyrs Memorial in Algeria: i.On 14th October 2024, President Droupadi Murmu visited Maqam Echahid Memorial in Algiers and laid a wreath and paid tribute to the soldiers who lost their lives in the Algerian War of Independence. ii.She also visited the National Museum of Moudjahid which preserves the memories of Algeria's struggle against French colonialism.She also visited the Roman Ruins, Mausoleum, and Hamma Garden. President Murmu received Honorary Doctorate in Political Science President Droupadi Murmu was awarded the Honorary Doctorate in Political Science by Sidi Abdellah Science and Technology Pole University in Algiers on 14th October 2024. She received the honours from Kamal Baddari, Algeria's Minister of Higher Education and Scientific Research. Highlights of the Presidents Visit to Mauritania: Bilateral Meeting with Mauritanian President Mohamed Ould Ghazouani On 16th October 2024, President Droupadi Murmu held a bilateral meeting with Mohamed Ould Ghazouani, President of Mauritania. She also participated in the delegation-level talks. Four Memorandum of Understandings (MoUs) were signed between India and Mauritania to strengthen the bilateral ties. Details of the MoUs: i.Foreign ministries of India and Mauritania signed an agreement to enhance bilateral relations in areas of mutual interest, contributing to international peace and security. This will also facilitate the exchange of opinions and consultations between India and Mauritania at various levels. This will also enable cooperation in research on foreign policy issues, exchange of archival documents and preparation of compendia of documents and materials related to bilateral relations. ii.Sushma Swaraj Institute of Foreign Service in Delhi and the Diplomatic Academy of ministry of foreign affairs operation and Mauritanian Abroad of the Islamic Republic of Mauritania signed a MoU to enable cooperation in mutually beneficial areas. iii.India and Mauritania also signed an agreement for the exemption from visa requirements for holders of diplomatic and official/service passports. This will enable citizens of India and Mauritania who hold such passports to enter each other's countries for up to 90 days within a 180-day period without a visa. iv.India and Mauritania also signed a MoU regarding the India cultural exchange program for the years 2024-2028. This aims to strengthen the friendly links and deepen cultural relations between India and Mauritania especially in the fields of music, dance, theatre, art, archaeology, archives, library, and museum. Highlights of the President's Visit to Malawi: President Murmu Held bilateral meeting with Lazarus Chakwera: President Droupadi Murmu held a bilateral meeting with Lazarus Chakwera, President of Malawi to further strengthen the India-Malawi relationship. The meeting led to the signing of 4 MoUs: art and culture, cooperation on youth matters, sports cooperation and pharmacopeial cooperation. Report Errors in the PDF - [email protected].

[Audio] Details of the MoUs: i.The MoU on Sports cooperation include events and activities organised by both countries based on reciprocity and mutual benefit to strengthen and promote cooperation between India and Malawi on sports matters. ii.The MoU for Cooperation on youth matters will focus on boosting cooperation between India and Malawi in areas such as youth exchange programs, youth conferences, and emerging youth issues among others. iii.The MoU on Arts and culture aims to deepen the cultural relations between both countries in the fields of music, dance, theater, art, archaeology, archives, library and museum etc. iv.The MoU for Pharmacopeial cooperation will help in developing generic medicines and availability of affordable medicines in Malawi. It will also boost the ability of regulatory public health authorities of both countries to meet the needs of their respective populations and provide opportunities for technical cooperation in areas which are of mutual benefit. Additional info: i.India is currently the 4th largest trading partner of Malawi. ii.India is also one of the largest investors in Malawi, with over USD 500 million worth of investments in various sectors. The scope of investment and cooperation can be enhanced to the fields of agriculture, mining, energy, tourism etc. iii.India was amongst the first countries to establish diplomatic relations with Malawi immediately after its Independence in 1964. BANKING & FINANCE NEWS BANKING NEWS RBI IN NEWS Highlights of RBI's 4th Bi-monthly MPC Meeting 2024 : RBI Keeps Repo Rate Unchanged at 6.5%; Retains 7.2% GDP Growth for FY25 The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) met from 7th October to 9th October 2024 and released its fourth Bi-Monthly Monetary Policy of Financial Year 2024-25 (FY25) which continues to expect India's real Gross Domestic Product (GDP) to grow at 7.2% in FY25. The October FY25 meeting was RBI's 51st MPC meeting. RBI has projected the real GDP growth for 2024-25 with Q2 at 7.0%; Q3 at 7.4% and Q4 at 7.4%. The real GDP growth for Q1:2025-26 is projected at 7.3%. The repo rate under the Liquidity Adjustment Facility (LAF) was kept unchanged at 6.50% for the 10th consecutive time with a majority vote of 5:1. Nagesh Kumar voted to reduce the policy repo rate by 25 basis points. The RBI changes stance of monetary policy to 'neutral' from withdrawal of accommodation and to remain unambiguously focused on a durable alignment of inflation with the target, while supporting growth. The next meeting of the MPC is scheduled for 4th to 6th December 2024. Note: The government reconstituted the MPC in October 2024 by appointing economists Ram Singh, Saugata Bhattacharya and Nagesh Kumar to the six-member rate-setting panel for four years. Report Errors in the PDF - [email protected] Copyright 2014-2024 @ AffairsCloud.com 111.

[Audio] RBI's Policy Rates: Category Rate Policy Repo Rate 6.5% Fixed Reverse Repo Rate 3.35% Standing Deposit Facility (SDF)Rate 6.25% Marginal Standing Facility (MSF) Rate 6.75% Bank Rate 6.75% Cash Reserve Ratio (CRR) 4.50% Statutory Liquidity Ratio (SLR) 18% MPC keeps FY25 inflation forecast unchanged at 4.5% i.The RBI has maintained 4.5% as Consumer Price Index (CPI) inflation projection for FY25 with Q2 at 4.1%, Q3 at 4.8% and Q4 at 4.2%. CPI inflation for Q1:2025-26 is projected at 4.3%. ii. The RBI has set a target for CPI inflation of 4% within a band of +/- 2%. iii. Headline inflation declined sharply to 3.6% and 3.7% in July and August respectively from 5.1% in June 2024. Food inflation, however, is expected to ease by Q4:2024-25 on better kharif arrivals and a good rabi season. iv.India's Current Account Deficit(CAD) widened to 1.1% of GDP inQ1FY25. RBI increases UPI 123Pay transaction limit to Rs.10,000 and UPI Lite wallet limit to Rs.5,000 The RBI announced significant changes to the Unified Payments Interface (UPI) system during its MPC meeting. The central bank raised the transaction limits for two key UPI services—UPI 123Pay and UPI Lite offering more convenience for millions of users. i.In order to promote wider adoption of UPI and make it more inclusive, RBI decided to increase the pertransaction limit in UPI123Pay from Rs 5,000 to Rs 10,000. UPI 123Pay was created by the RBI and the National Payments Corporation of India (NPCI) and launched in 2022. This facility is now available in 12 languages. It is an instant payment system for feature phone users that facilitates transactions through four technology alternatives – an IVR (Interactive Voice Response) number, app functionality in feature phones, missed call-based approach and also proximity sound-based payments. ii.The UPI Lite Wallet limit has been increased from Rs 2,000 to Rs 5,000 to simplify small-value digital transactions for users. UPI Lite was introduced by the National Payments Corporation of India (NPCI) in 2022 to make small-value transactions easily without a Personal Identification Number (PIN). With the wallet limit now increased to Rs 5,000, users can store money directly on their devices. UPI Lite eliminates the need to access a bank server for every transaction, providing quick payments for everyday purchases, such as groceries or transport fares. iii. The RBI also increased the per transaction limit of UPI Lite to Rs.1000 from Rs.500. Report Errors in the PDF - [email protected] Copyright 2014-2024 @ AffairsCloud.com 112.

[Audio] RBI to create Climate Risk Information Repository for lenders i.The RBI has proposed to create a data repository named 'The Reserve Bank – Climate Risk Information System (RB-CRIS)' to monitor climate related risks. ii.The data repository will comprise two parts. The first part will be a web-based directory, listing various data sources, like meteorological, geospatial, etc. which will be publicly accessible in the RBI website. The second part will be a data portal comprising of datasets (processed data in standardized formats). iii.It will help the regulated entities to make climate risk assessments for ensuring stability of their balance sheets and that of the financial system. iv.The available climate related data is comprises various gaps such as fragmented and varied sources, differing formats, frequencies and units. RBI bars lenders from levying pre-payment fines on loans from MSEs i.The RBI announced that banks and Non-Banking Financial Companies (NBFCs) cannot levy foreclosure charges or pre-payment penalties on floating rate term loans sanctioned to Micro and Small Enterprises (MSEs). ii.Earlier, these regulated entities were not permitted to charge pre-payment penalties on floating rate term loans given to individual borrowers, except in case of business purposes. iii.The updated rule applies to loans extended by all RBI regulated entities including banks and finance companies. RBI launches name verification for NEFT, RTGS transfer i.The RBI has proposed a new feature of beneficiary account name look-up facility that would allow RealTime Gross Settlement (RTGS) and National Electronic Funds Transfer(NEFT ) remitters to verify the recipient's name before executing the payment. UPI and Immediate Payment Service (IMPS) have a similar facility for the remitter of funds to verify the name of the receiver before executive the payment. This initiative will reduce incidences of incorrect fund transfers. ii.NEFT has no minimum limit and maximum limit, while RTGS has a minimum limit of Rs 2 lakh and there is no upper limit for RTGS transactions. NEFT is often used for smaller transactions, while RTGS is preferred for larger amounts that need on the time settlement. RBI Mandates Full CIC Membership for ARCs i.The RBI makes it necessary for the Asset Reconstruction Companies (ARCs) to become members of all Credit Information Companies(CIC) and submit the required data to them in the prescribed format. As per the extant norms, ARCs had to be a member of at least one CIC. ii.RBI will align the norms for ARCs with the guidelines applicable to banks and NBFCs to track borrowers' credit history after the transfer of loans by banks and NBFCs to ARCs. iii.ARCs have been asked to rectify the rejected data received from CICs and upload the same with the CICs within seven days of receiving such data. iv.ARCs have also been asked to appoint a nodal officer for dealing with CICs. v.ARCs have been asked to implement this system and processes to ensure compliance with the revised guidelines latest by January 1, 2025. RBI issues 'Guidance Note' for regulated entities i.The RBI has issued a.

[Audio] ii.The note on Internal Risk Assessment (IRA) of ML and TF is intended for the REs, particularly for the dealing staff and the Anti-Money Laundering (AML) / Countering Financing of Terrorism (CFT) / Counter Proliferation Financing (CPF) practitioners of the REs. iii.The document also aims to provide support to formulate the internally developed RBA (risk-based assessment) of the respective REs by laying down certain broad principles, methodology, etc RBI Enhances Digital Payment Accessibility for Disabled i.The RBI has asked all Payment System Participants (PSPs) to review their payment systems to ensure easier accessibility to persons with disabilities. ii.The banks and non-bank payment system providers can then make necessary modifications in payment systems and devices like point-of-sale machines, which can be accessed and used by persons with disabilities with ease. They have also been asked to refer to the accessibility standards issued by the Ministry of Finance(MoF) in February 2024. iii.The providers are required to submit the modifications and the time to be taken within a month. RBI Announces Scholarship Scheme for Faculty Members from Academic Institutions i.The RBI has announced a scholarship scheme for full-time faculty members teaching economics or finance in University Grants Commission (UGC) and the All India Council of Technical Education (AICTE)recognized institutions in India. The scheme is managed by the Department of Economic and Policy Research at the RBI, to enhance research in monetary and financial economics, banking, and related areas. ii.The initiative aims at making faculty and students aware about the RBI activities while providing exposure to its operations. iii.A total of five scholarships will be awarded, each lasting three months, beginning from 9th December, 2024. Interested candidates must submit a research proposal (up to 1,000 words), a detailed CV, and an official verification letter from their institution by November 5, 2024. iv.Shortlisted scholars will receive a monthly allowance of Rs.50,000, along with a Rs.2,00,000 honorarium upon project completion. Scholars must submit a research report as a contribution to RBI's research activities and may present their findings at a seminar. Additionally, they can publish their work outside RBI with prior approval. About Reserve Bank of India (RBI) The Reserve Bank of India (RBI) was established on April 1, 1935 in accordance with the provisions of the Reserve Bank of India Act, 1934. All shares in the capital of the Bank were deemed transferred to the Government of India(GoI) on payment of a suitable compensation. Governor – Shaktikanta Das Headquarters – Mumbai, Maharashtra RBI Census: USA Continues to be Largest Source of FDI in India According to the annual Census on Foreign Liabilities and Assets of Indian Direct Investment Entities for 2023-24 from the Reserve Bank of India (RBI), the United States of America (USA) continued to be the largest source of Foreign Direct Investment (FDI) in India, followed by.

[Audio] More than 75% (3/4th) of the companies that reported inward direct investment were subsidiaries of foreign companies. Key Findings: i.As per the RBI census, Non-Financial Companies(NFC)constituted for approximately 90% of the total FDI equity at face value. ii.It showed that total FDI in India increased by 23.3% at market-value in rupee terms during the Financial Year 2023-24(FY24), mainly due to large valuation gains as well as fresh FDI inflows while, the ODI growth was much lower at 3.4%. iii.The RBI's census revealed that more than 97% of the responding entities were unlisted as at endMarch 2024. iv.The data from RBI census showed that unlisted entities registered a growth of 17.5% in FDI at market value during the year. Among the listed entities, the corresponding growth was higher at 29.8%. Also, the listed and unlisted entities had almost equal shares in total FDI at market value. v.It showed that the ratio of outward to inward DI stock at market value has decreased from 19.3% (in March 2023) to 16.1% (in March 2024). vi.It further showed that foreign subsidiaries in India have strong hold on external trade linkages as exports and imports accounted for 35.4% and 31.5% of their sales and purchases, respectively. The total sales and purchases of foreign subsidiaries in India during 2023-24, increased by 13.2% and 10.6%, respectively, in rupee terms. While, the combined sales and purchases of overseas subsidiaries of Indian entities registered a growth of 11% during 2023-24, in rupee terms. vii.Manufacturing sector accounted for over 50% of the total FDI equity capital at market value while it had approximately 40% of the total share when calculated at face value. It mentioned that information and communication; financial and insurance activities in the services sector, were the major recipients of FDI during 2023-24. Recent Related News : On August 29, 2024, the Reserve Bank of India (RBI) launched a "Scheme for Trading and Settlement of Sovereign Green Bonds (SGrBs) in International Financial Services Centre (IFSC) in India" in exercise of its powers conferred under Section 45W of the RBI Act, 1934 read with Section 45U of the Act and of all the powers enabling it in this behalf. The scheme aims to facilitate investments in SGrBs issued by the Government of India (GoI) to eligible foreign investors in the IFSC About Reserve Bank of India(RBI): Governor– Shaktikanta Das(25th Governor of RBI) Headquarters- Mumbai, Maharashtra Established- 1 April, 1935 RBI Grants White-Label ATM Licence to Mumbai-based EPS Company The Reserve Bank of India (RBI) has granted a White Label Automated Teller Machine (ATM) License (WLA) after a gap of 10 years to Mumbai-based Electronic Payment and Services Limited (EPS), a privately-owned ATM outsourcing company. It has issued the license under the Payment and Settlement Systems (PSS) Act, 2007, with the primary objective of expanding the ATM networks in rural and semi-urban areas of India. With this, EPS has become the 5th company to receive a license.

[Audio] Key Points: i.EPS aims to deploy 9,000 WLAs across the country within the first 3 years under the brand name "EPS Bancs". ii.For the initial phase, the company plans to deploy around 2,000 ATMs by March 2025. Currently, EPS manages over 10,300 ATMs for banks in India. Key Guidelines to Acquire License of WLAO: i.As RBI guidelines, it is mandatory for applicant to mention about the proposed activity of operating the WLAs in its Memorandum of Association (MOA). ii.The interested non-bank entity must have a minimum net worth of Rs 100 crore as per the last audited balance sheet. The minimum net worth has to be maintained at all times. iii.The license issued by the RBI to set up the WLAs will be valid for 1 year. Also, the applicant is required to mention about the number of WLAs intended to be set up along with the scheme during the time of application. iv.In 2019, RBI has relaxed some of the conditions for WLAOs operating in India such as: WLAOs were allowed to buy wholesale cash, above a threshold of 1 lakh pieces (and in multiples thereof) of any denomination directly from the RBI and currency chests against full payment, WLAOs were permitted to source cash from any scheduled bank including Cooperative Banks and Regional Rural Banks (RRBs), among others. Points to Note: i.At present, there are 4 companies which operate WLAs in India: Hitachi Payment Services Private Limited, Tata Communications Payment Solutions Limited (TCPSL), India1 Payments Limited(BTI Payments Private Limited) and Vakrangee Limited. As of 31st July 2024, all these WLA operators (WLAO) had about 34,000 ATMs in India. ii.TCPSL established India's 1st WLA by the name of "Indicash" in Chandrapada, a small village in Thane district, Maharashtra on 27th June, 2013. Electronic Payment and Services Limited (EPS): It is backed by investors like the United Kingdom (UK)-based Apis Partners and Dutch Entrepreneurial Development Bank FMO. Chairman and Managing Director (CMD)- Mani Mamallan Headquarters- Mumbai, Maharashtra Established- 2011 About Reserve Bank of India (RBI): Governor– Shaktikanta Das (25th Governor of RBI) Headquarter– Mumbai, Maharashtra Established– 1 April, 1935 RBI Approved the Merger of Tata Capital & Tata Motors Finance The Reserve Bank of India (RBI) has approved the merger of Tata Motors Finance Limited (TMFL) with Tata Capital Limited (TCL), creating India's 12th largest Non-Banking Finance Company (NBFC). Note: i.As a consideration for the merger, TCL will issue its equity shares to the shareholders of TMFL resulting in TML effectively holding a 4.7% stake in the merged entity. ii.As of 31st March 2024, Tata Sons holds 92.83% of Tata Capital, while the remaining shares are owned by other Tata Group companies and trusts. Key Points: i.The merger received RBI approval after endorsements from the Competition Commission of India (CCI) and the boards of both firms. Report Errors.

[Audio] ii.Tata Capital aims to expand its customer base in the growing commercial vehicle and passenger car financing markets through this merger. iii.The merger process is expected to take about 9 to 12 months, pending additional regulatory approvals from the Securities and Exchange Board of India (SEBI) and the National Company Law Tribunal (NCLT). iv.Tata Capital plans to list its shares by September 2025, enhancing its vehicle financing and digital service offerings. RBI Imposed a Penalty of Rs 28.30 Lakh on SG Finserve RBI has imposed a monetary penalty of Rs 28.30 lakh on SG Finserve Limited (formerly known as M/s Moongipa Securities Limited) for non-compliance with specific conditions under which the company was issued the Certificate of Registration (CoR) by RBI under section 45IA (5) of RBI Act, 1934. This penalty will not affect SG Finserve's customers. The penalty was imposed in the exercise of powers conferred under the provisions of clause (a) of sub-section (1) of Section 58G read with sub-section (6) of Section 58B of the RBI Act, 1934. RBI Imposed Penalty of Rs 14 Lakh on Arunachal Pradesh Rural Bank RBI has imposed a monetary penalty of Rs 14 Lakh on Arunachal Pradesh Rural Bank for noncompliance with certain directions issued by RBI on 'Strengthening of Prudential Norms- Provisioning Asset Classification and Exposure Limit' and 'Know Your Customer (KYC)'. This penalty will not affect the bank's customers. The penalty was issued in the exercise of powers conferred under the provisions of section 47A(1)(c) read with sections 46(4)(i) and 51(1) of the Banking Regulation (BR) Act, 1949 Ujjivan Small Finance Bank receives RBI approval for foreign exchange services Bangalore (Karnataka) based Ujjivan Small Finance Bank Limited (Ujjivan SFB) received approval from the Reserve Bank of India (RBI) for foreign exchange services, enabling it to offer a range of foreign exchange (forex) products and services. USFB received the 'Authorised Dealer Category 1 licence' granted under Section 10(1) of the Foreign Exchange Management Act (FEMA), 1999 enabling the bank to offer a wider range of foreign exchange services and transactions. In retail banking, USFB will offer several service remittances which include, Foreign Currency Non-Resident (FCNR) deposits; Resident Foreign Currency (RFC) deposits; Forex cards; Currency exchange; Capital transactions including; External Commercial Borrowings (ECB); Overseas Direct Investment (ODI); and Foreign Direct Investment (FDI). RBI approves Piramal Payment Services to launch 'Piramal Pay' Prepaid Payment Instrument Piramal Payment Services Limited(PPSL), a subsidiary of Piramal Capital & Housing Finance Ltd (Piramal Finance), has received approval from the Reserve Bank of India(RBI) to set up a Prepaid Payment Instrument (PPI) service called 'Piramal Pay'. This authorisation was granted under the.

[Audio] Regional Rural Banks (RRBs), Local Area Banks (LABs), Non-Banking Finance Companies (NBFCs), including Housing Finance Companies(HFCs), among others. The new guidelines have enabled the entities to either gain direct access, permitting them to execute transactions on the NDS-OM platform, or opt for indirect access in partnership with an entity that holds direct access. RBI has issued these directions in exercise of the powers given under section 45W of the RBI Act, 1934 read with section 45U of the RBI Act, 1934. The revised directions now called the RBI (Access Criteria for NDS-OM) Directions, 2024 and these directions came into effect from 18th October, 2024. About NDS-OM: i.It is a screen based electronic anonymous order matching system for secondary market trading in Government Securities (G-secs)owned by the RBI. It was launched in 2005. ii.The aim of NDS- OM to reduce inefficiencies stemming from telephone orders and manual paperwork while increasing transparency for all market participants. iii.The Government of India(GoI) issues bonds, treasury bills, and State Development Loans from the NDS platform. Key Changes: i.As per the new directions, any entity or person who is eligible to invest in G-secs in accordance with the rules or guidelines issued by the GoI or state governments or the RBI, as amended from time to time will be eligible to have direct or indirect access to NDS-OM. ii.Entities that are eligible to seek direct access to NDS-OM are required to fulfill certain conditions such as: Security General Ledger (SGL) account and a current account with the RBI or a designated settlement bank; and membership of securities settlement segment of Clearing Corporation of India Limited (CCIL). iii.RBI has specified that direct access to NDS-OM granted to an entity is not transferable and RBI has power to add new conditions if the entity is found to violate the provisions of these directions or any other rules or regulations or conditions of access. iv.Foreign Institutional Investors (FIIs) and Corporate Companies will continue to have indirect access to NDS-OM. Provident Funds(PF), pension funds, and regulated Market Infrastructure Institutions (MIIs) too will have direct access to the platform. Recent Related News: The Ministry of Corporate Affairs (MCA), Government of India (GoI) in consultation with the Reserve Bank of India (RBI) notified the National Bank for Financing Infrastructure and Development (NaBFID) as a Public Financial Institution (PFI) under the Section 2 of the Companies Act, 2013. About Reserve Bank of India(RBI): Governor- Shaktikanta Das (25th Governor of RBI) Headquarter- Mumbai, Maharashtra Established-1 April, 1935 SEBI SEBI Allows MFs to Sell Credit Default Swaps to Boost Corporate Bond Liquidity On 20th September 2024, the Securities and Exchange Board of India (SEBI) has now allowed Mutual Funds (MFs) to sell Credit Default Swaps (CDSs), a move which aimed to boost liquidity in the corporate bond market. Report.

[Audio] This announcement was made by SEBI in circular issued in exercise of powers given under Section 11 (1) of the SEBI Act, 1992, read with the provisions of regulation 43 (1) and regulation 77 of SEBI (Mutual Funds) Regulations, 1996. Earlier, MFs could only engage in CDS transactions as buyers, basically to hedge credit risks on corporate bonds within Fixed Maturity Plans (FMPS) lasting for over one year. Key Changes: i.The MF schemes are allowed to sell CDS only within the scope of investing in synthetic debt securities backed by cash, Government Securities (G-Secs), or Treasury Bills (T-bills). ii.As per new guidelines, the total exposure for a scheme including, both buying and selling CDSs should not exceed 10% the scheme's assets. CDS will be valued based on actual traded levels or credit spreads. iii.SEBI has directed the MFs to disclose details of their CDS transactions like: the rating of CDS seller and deals with sponsor group companies. Note: CDS is a credit derivative that provides protection to buyer against potential default and helps to manage and transfer credit risk. SEBI Amended Delisting Regulations; Introduced Fixed Price Process for Voluntary Delisting On 25th September 2024, the Securities and Exchange Board of India (SEBI) has amended the Delisting of Equity Shares Regulations, 2024 which has now allowed companies to delist shares through a fixed price process as an alternative to the Reverse Book Building (RRB) process. This will help in facilitating ease of doing business for listed firms. These amendments are introduced by SEBI in exercise of powers given by section 31 read with section 21A of the Securities Contracts (Regulation) Act, 1956 (42 of 1956) and section 30, subsection (1) of section 11 and sub-section (2) of section 11A of the SEBI Act, 1992 (15 of 1992). These new regulations are now known as the SEBI (Delisting of Equity Shares) (Amendment) Regulations, 2024. Key Changes: i.As per the new framework, promoters can offer to buy back all publicly held shares at a price that is at least 15% higher than the "fair price" of the stock. The new framework will be applicable to only those companies whose shares are frequently traded. ii.The new framework has specified that in case the acquirer has proposed delisting through a fixed price process, the acquirer will provide a fixed delisting price which will be at minimum 15% more than the floor price calculated in terms of regulation 19A of these regulation. iii.As per new regulations, the floor price cannot be lower than the highest paid in acquisitions made during the last 26 weeks preceding the reference date or any other criteria including volume-weighted average price paid by an acquirer in the 52 weeks preceding the reference date and adjusted book value. iv.SEBI has reduced the limit for delisting success under the Reverse Book Building (RBB) process from 90% to 75% of public shareholder participation, provided that minimum 50% of public shareholding has been tendered. v.The new framework has specified that investment holding companies (holdcos) are required to have at least.