Q. What is Budget Transparency? Scratching its genesis, discuss the benefits associated with budget transparency as well as the ways through which it can be promoted in functioning of a government?

Model Answer Budgets are key documents since they lay out a government’s priorities in terms of policies and programs. Opening up budgets and democratizing the budget process gives citizens a say in policy formulation and resource allocation. Budget transparency refers to the extent and ease with which citizens can access information about and provide feedbackContinue reading “Q. What is Budget Transparency? Scratching its genesis, discuss the benefits associated with budget transparency as well as the ways through which it can be promoted in functioning of a government?”

About: Krishna Godavari basin

About: Krishna Godavari basin The delta plain formed by Krishna and Godavari rivers in the state of Andhra Pradesh and the adjoining areas of Bay of Bengal is known as Krishna Godavari Basin. It is a proven hydrocarbon reserve, with an inland part that covers an area of 28,000 sq. km and an offshore (located in the sea orContinue reading “About: Krishna Godavari basin”

About: Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)

About: Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) was enacted in 2005 providing a legal right to employment for adult members of rural households. It aims at addressing causes of chronic poverty through the ‘works’ (projects) that are undertaken, and thus ensuring sustainable development. Core objectives: Providing not less than 100Continue reading “About: Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)”

How Covid-19 lockdowns have impacted the global energy sector

The International Energy Agency (IEA) has released a report, Global Energy Review 2020, detailing the impact of Covid-19 on global energy demands and CO2 Report Summary: Covid-19 impact on global energy demands: Decline in overall Energy demand: The IEA is forecasting a 6% decline in energy demand for the year. In absolute terms this is theContinue reading “How Covid-19 lockdowns have impacted the global energy sector”

The WTO’s dispute settlements mechanism is all but dead

Headline : The WTO’s dispute settlements mechanism is all but dead Details : In News: The World Trade Organization’s (WTO’s) dispute settlement mechanism is on the brink of collapsing.   About: World Trade Organisation (WTO) In 1948, the General Agreement on Tariffs and Trade (GATT) came in as an ad hoc and provisional mechanism to enableContinue reading “The WTO’s dispute settlements mechanism is all but dead”

About: Purchasing Manager Index (PMI) and It’s significance

Headline : Manufacturing PMI improves Details : In News: The Nikkei India Manufacturing Purchasing Managers’ Index rose in November from October, indicating an increase in manufacturing activity November. About: Purchasing Manager Index (PMI) The Nikkei India Manufacturing PMI is based on data compiled from monthly survey responses by purchasing managers in more than 400 manufacturing companies, on various factors that represent demand conditions.Continue reading “About: Purchasing Manager Index (PMI) and It’s significance”

Transforming farm loans Editorial 1st Dec’19 FinancialExpress

Headline : Transforming farm loans Editorial 1st Dec’19 FinancialExpress Details : Importance of crop loans in India: Crop loan is a lifeline for over 145 million farmers in India. Every year, millions of farmers and thousands of bank branches go through a intense process of granting crop loans delivered through Kisan Credit Cards. Banks disbursed Rs 12.5Continue reading “Transforming farm loans Editorial 1st Dec’19 FinancialExpress”

India can learn agri-policy lessons from China Editorial 25th Oct’19 FinancialExpress

Headline : India can learn agri-policy lessons from China Editorial 25th Oct’19 FinancialExpress Details : India and China have similar challenges in agriculture: India and China are the most populous countries in the world, having a population size of 1.35 billion and 1.39 billion, respectively, in 2018. With limited arable land [about 120 million hectare (m ha)Continue reading “India can learn agri-policy lessons from China Editorial 25th Oct’19 FinancialExpress”

IMF members delay quota changes, agree to maintain funding

Headline : IMF members delay quota changes, agree to maintain funding Details : In News Members of the International Monetary Fund (IMF) have agreed to maintain its funding at $1 trillion but postponed changes to its voting structure. Highlights of the deal The deal will allow an extension of non-permanent, supplementary sources of funds, such as the NewContinue reading “IMF members delay quota changes, agree to maintain funding”

Explained: Why interest rates aren’t falling

Headline : Explained: Why interest rates aren’t falling Details : Context for the article: This article explores why, despite significant repo rate cuts by the RBI, the interest rates in the banking system are not falling much. Rate cuts by the RBI: Since February, the Reserve Bank of India (RBI) has aggressively cut the repo rate.Continue reading “Explained: Why interest rates aren’t falling”

What impact will the thundershowers, hailstorm have on rabi crop?

Headline : What impact will the thundershowers, hailstorm have on rabi crop? Details : The topic Recently, there was heavy rainfall and hailstorms in the many areas of northern India. This articles assesses the impact of heavy rainfall and hailstorms on rabi crops. Background In early February, the National Capital Region, Punjab, Haryana, parts of Uttar PradeshContinue reading “What impact will the thundershowers, hailstorm have on rabi crop?”

An independent fiscal watchdog for Parliament Editorial 21st Sep’19 TheHindu

Headline : An independent fiscal watchdog for Parliament Editorial 21st Sep’19 TheHindu Details : Access to all of good quality analysis on economic, fiscal or financial matters is important for democracy: For an effective democracy, it is important for our electorate and the representatives to have an independent, non-partisan source for these hard facts and evidence. This isContinue reading “An independent fiscal watchdog for Parliament Editorial 21st Sep’19 TheHindu”

MicroCredit Vs MicroFinance

Headline : Explained: What ails the existing microcredit model Details : In News Studies suggest that the existing systems of microcredit have a limited impact on the long-term wellbeing of the recipients. Telegram: https://t.me/MrunalsEconomy           www.UpscExpress.com About: Microcredit Microcredit refers to the granting of very small loans to impoverished borrowers. Rationale Loans givenContinue reading “MicroCredit Vs MicroFinance”

Fintech committee recommends new legal framework for consumer protection

Headline : Fintech committee recommends new legal framework for consumer protection Details : In News: A panel on issues related to financial technology (fintech) has recently submitted its recommendations to the Finance Ministry. The committee has suggested putting in place a comprehensive legal framework to protect consumers of digital services. What Is Financial Technology (Fintech)? Financial technology (Fintech)Continue reading “Fintech committee recommends new legal framework for consumer protection”

A road map to transforming India’s energy Editorial 30th Aug’19 HindustanTimes

Headline : A road map to transforming India’s energy Editorial 30th Aug’19 HindustanTimes Details : India progressing: Forty years ago, India barely had a car manufacturer, was way behind in the space race, and had an insignificant IT sector. Today, India is the world’s fourth largest car manufacturer, and is set to become only the fourth countryContinue reading “A road map to transforming India’s energy Editorial 30th Aug’19 HindustanTimes”

India’s water crisis: All stakeholders must come together Editorial 29th Aug’19 HindustanTimes

Headline : India’s water crisis: All stakeholders must come together Editorial 29th Aug’19 HindustanTimes Details : Water stress in India: India is home to 17% of world’s population, but has only 4% of the world’s fresh water resources. At present, 75% of Indian households do not have access to drinking water, and close to 90% of ruralContinue reading “India’s water crisis: All stakeholders must come together Editorial 29th Aug’19 HindustanTimes”

Economy: RBI has done its bit, now over to the government Editorial 9th Aug’19 HindustanTimes

Headline : RBI has done its bit, now over to the government Editorial 9th Aug’19 HindustanTimes Details : Rate cut by RBI: Inflation is within control. The economy is slowing down.  RBI has lowered its growth projections for the first half of the year sharply. The RBI’s projections indicate that it expects growth to improve in theContinue reading “Economy: RBI has done its bit, now over to the government Editorial 9th Aug’19 HindustanTimes”

About Protocol on Inland Water Transit and Trade (PIWTT), Navigable Inland Waterways, IWAI

Headline : India connects Bangladesh to Bhutan, through waterway Details : The News: In a first-ever development, Indian waterways is being used to transport cargo between 2 countries i.e. Bhutan and Bangladesh. The inland waterways vessel containing cargo from Bhutan to Bangladesh will move via River Brahmaputra ( NW 2) and the Indo Bangla Protocol RouteContinue reading “About Protocol on Inland Water Transit and Trade (PIWTT), Navigable Inland Waterways, IWAI”

Sovereign foreign borrowing

Headline : Sovereign foreign borrowing is a bold move Editorial 12th Jul’19 HindustanTimes Details : Sovereign Bonds: During the recent Budget, the Indian finance minister announced plan of the government of India to borrow in foreign currency to finance the fiscal deficit. The plan is to raise up to 10-15% of government borrowing — $10 billion —Continue reading “Sovereign foreign borrowing”

RBI: Monetary Policy and Monetary Policy Committee, Important Terminology [Repo rate, MSF, LAF, Reverse repo rate ]

Headline : RBI takes offbeat tack to help reverse growth slowdown Details : The News: Telegram: https://t.me/MrunalsEconomy In its monetary policy review, the Monetary Policy Committee of the RBI has decided to cut the repo rate by 35 basis points (bps). In addition, the RBI also announced some measures to boost economic activity. Important Terminologies: RiskContinue reading “RBI: Monetary Policy and Monetary Policy Committee, Important Terminology [Repo rate, MSF, LAF, Reverse repo rate ]”

Economy – MSME Sector :Problems,Demands, Significance, Schemes, Committees

Headline : MSME loans: Delay in disbursal of loans to MSMEs Details : In  News: The union finance minister held a meeting with MSME representatives to devise plans for this critical sector. The MSMEs representatives highlighted problems faced by the sector, and made certain demands for the revival of the sector. She also asked industry representatives to sendContinue reading “Economy – MSME Sector :Problems,Demands, Significance, Schemes, Committees”

India needs to be geared to a single-minded pursuit of growth Editorial 5th Aug’19 IndianExpress

Headline : India needs to be geared to a single-minded pursuit of growth Editorial 5th Aug’19 IndianExpress Telegram: https://t.me/UpscExpress Details : Path to $5 trillion economy: India needs to transition towards a $5 trillion economy, taking it from lower-middle income status to upper-middle income. The path of this transition can only be paved with reforms. Some of theContinue reading “India needs to be geared to a single-minded pursuit of growth Editorial 5th Aug’19 IndianExpress”

Economy: Sovereign Bonds, Borrowing, Policy, Rationale

Headline : The name is dollar bond Editorial 3nd Aug’19 IndianExpress Details :   Sovereign Bonds: During the recent Budget, the Indian finance minister announced plan of the government of India to borrow in foreign currency to finance the fiscal deficit. The plan is to raise up to 10-15% of government borrowing — $10 billion —Continue reading “Economy: Sovereign Bonds, Borrowing, Policy, Rationale”

Significance of US Federal Reserves rate cut and its impact on India

Headline : Significance of US Federal Reserves rate cut and its impact on India Details : In News: The US Federal Reserve has recently announced a quarter-percentage-point cut in interest rates, the first rate cut by the US central bank in 11 years. About US Federal Reserves rate: The fed funds rate is critical in determiningContinue reading “Significance of US Federal Reserves rate cut and its impact on India”

Why is Maharashtra witnessing another spike in Covid-19 cases?

Why is Maharashtra witnessing another spike in Covid-19 cases? Q. What is the news? With the coronavirus number showing an increasing trend over the last two weeks, Maharashtra has reintroduced some restrictions on the assembly and movement of people. The state government has warned that it could even bring back the lockdown if it was felt necessary. Q. WhatContinue reading “Why is Maharashtra witnessing another spike in Covid-19 cases?”

Resolving India’s banking crisis Editorial 11th May’19 TheHindu

Headline : Resolving India’s banking crisis Editorial 11th May’19 TheHindu Details :   India’s banking sector problem: Huge increase in Non-performing assets (NPAs): Non-performing assets (NPAs) at commercial banks amounted to Rs 10.3 trillion, or 11.2% of advances, in March 2018. Public sector banks (PSBs) accounted for Rs 8.9 trillion, or 86%, of the total NPAs.Continue reading “Resolving India’s banking crisis Editorial 11th May’19 TheHindu”

Prelims 2019: Purchasing Manager’s Index (PMI) , Central Statistics Office (CSO)

Headline : Industrial output shrinks for first time in nearly 2 yrs Details : The News According to the recent data released by the Central Statistics Office (CSO), industrial output contracted (fell 0.1%) in March 2019, the first time in nearly two years. About Central Statistics Office (CSO): The CSO is a governmental agency under theContinue reading “Prelims 2019: Purchasing Manager’s Index (PMI) , Central Statistics Office (CSO)”

Smart farming: Agriculture data can reap a bumper harvest Editorial 25th Apr’19 FinancialExpress

Headline : Smart farming: Agriculture data can reap a bumper harvest Editorial 25th Apr’19 FinancialExpress Details : Dependence on government for agriculture data: Agricultural statistics is not easy to collect and compile, hence the dependence on the government. But this data suffers from the issues of timeliness, reliability and integrity. Yet, since it is only source, there isContinue reading “Smart farming: Agriculture data can reap a bumper harvest Editorial 25th Apr’19 FinancialExpress”

In Brief: About National Housing Bank (NHB), About National Bank for Agriculture and Rural Development (NABARD)

News : RBI divests its entire stake in Nabard, NHB News Analysis Reserve Bank has divested its entire stake in National Housing Bank (NHB) and the National Bank for Agriculture and Rural Development (NABARD), with this the government is now cent percent holder of both these financial institutions. RBI had 100% shareholding in NHB, whichContinue reading “In Brief: About National Housing Bank (NHB), About National Bank for Agriculture and Rural Development (NABARD)”

In Brief: PJ Nayak Committee and Banks Board Bureau (BBB)

Headline : BBB tags 75 officers for leadership roles in PSBs Details : The News: The Banks Board Bureau (BBB) has recently identified 75 senior officers for leadership roles in Public Sector Banks (PSBs). The BBB also gave its recommendations in key areas that needed to be strengthened besides improvising governance practices among PSBs.   AboutContinue reading “In Brief: PJ Nayak Committee and Banks Board Bureau (BBB)”

Pakistan’s economy and IMF’s help

Headline : Either way, the news is bad Editorial 20th Apr’19 TheHindu Pakistan’s economy in free-fall: Pakistan’s economy is in ruins, with almost every indicator deteriorating substantially. Inflation: Inflation, at 9.4%, is at its highest level in five-and-a-half years and is likely to rise to double digits for the months ahead. Currency depreciation: The Pakistani rupee continues toContinue reading “Pakistan’s economy and IMF’s help”

Large banks more efficient, scope for more mergers in the sector: RBI study

Headline : Large banks more efficient, scope for more mergers in the sector: RBI study Details : The News According to a recent study “‘Labour Cost Efficiency of Indian Banks”, conducted by RBI, large banks tended to be more efficient than small banks, suggesting more mergers in future.   Bank Mergers: Important reports In 1991, Narasimham (a formerContinue reading “Large banks more efficient, scope for more mergers in the sector: RBI study”

Mrunal Videos Links [1-24] and PDF’s + Quiz +Doubt PDF’s

Mrunal Videos Link:  https://drive.google.com/drive/folders/16HPve7F4M_TjdcyKrqN6sETesXs2btXc?usp=sharing All 1-24 Mrunal Videos at a single Point. ➖➖➖➖➖➖➖➖➖➖ Join Telegram: https://t.me/MrunalsEconomy ➖➖➖➖➖➖➖➖➖➖

Mrunal Videos Links [1-24] and PDF’s + Quiz +Doubt PDF’s 

Mrunal Videos Link:  https://drive.google.com/drive/folders/16HPve7F4M_TjdcyKrqN6sETesXs2btXc?usp=sharing All 1-21 Mrunal Videos at a single Point. ➖➖➖➖➖➖➖➖➖➖ Join Telegram: https://t.me/MrunalsEconomy ➖➖➖➖➖➖➖➖➖➖

In Brief: Data Localisation, NPCI, Retail Payment and RBI’s Authority

Headline : WhatsApp yet to comply with data localisation norms: RBI Details : The News Recently, the RBI has made the revelations that WhatsApp is not in compliance with RBI’s data localisation norms. This is the first time ever that the Reserve Bank has made any statement about WhatsApp’s payments business and compliance with data localizationContinue reading “In Brief: Data Localisation, NPCI, Retail Payment and RBI’s Authority”

Climate Change and it’s impact on Wind Power

Headline : Climate change may hit India’s wind power Details : The News According to a new study, climate change could significantly affect wind power generation in India.   Effect of Climate Change on Wind Energy in India The study According to a study, wind energy production in India is vulnerable to climate change. The windContinue reading “Climate Change and it’s impact on Wind Power”

Editorial : Agriculture sector

Headline : Time for India to relook the agricultural sector Editorial 30th Mar’19 FinancialExpress Details : India’s progress in agriculture: India has made significant strides in agriculture and food security since independence. It has transformed from a food deficit nation to ensuring its food security despite an almost four-fold increase in population. But time has come toContinue reading “Editorial : Agriculture sector”

Everything about Indian economy Slowdown?

Headline : Is the Indian economy slowing down? Details : Context of the topic The topic analyses the indicators suggesting slowing down of economic growth, what are its causes and related concerns. Indicators suggesting decrease in Indian economic growth Decline in sales: Decline in car sales of Maruti suzuki (the largest carmaker in India), tractor sales ofContinue reading “Everything about Indian economy Slowdown?”

Everything about Global Multidimensional Poverty Index (MPI)2018 report.

Headline : 27 crore Indians move out of poverty in 10 years, yet country still has highest number of poor, says report Details : The News Telegram : https://t.me/SimplifiedIAS • Recently, The Global Multidimensional Poverty Index (MPI)2018 report has been released, which was prepared by The United Nations development Programme (UNDP) and the Oxford Poverty and Human Development Initiative (OPHI). About Global MPI • TheContinue reading “Everything about Global Multidimensional Poverty Index (MPI)2018 report.”

Everything About Forex swap auction

About Forex swap auction RBI normally uses Open Market Operations (OMOs) to inject liquidity into the system. However, this is first time that Forex Swap auction has been deployed as a tool by the RBI for liquidity injection. Telegram: https://t.me/SimplifiedIAS   How it will work? The swap is in the nature of a simple buy/sellContinue reading “Everything About Forex swap auction”

The RBI has formed a 10-member task force, headed by M Deosthalee, to suggest a roadmap for building a comprehensive Public Credit Registry (PCR) to improve market efficiency. What is a PCR and how will it impact credit culture in India?

The RBI has formed a 10-member task force, headed by M Deosthalee, to suggest a roadmap for building a comprehensive Public Credit Registry (PCR) to improve market efficiency. What is a PCR and how will it impact credit culture in India? Approach: Introduce with what a PCR is and its objective Make a note on the currentContinue reading “The RBI has formed a 10-member task force, headed by M Deosthalee, to suggest a roadmap for building a comprehensive Public Credit Registry (PCR) to improve market efficiency. What is a PCR and how will it impact credit culture in India?”

Prelims Program: India’s access to important ports abroad

Headline : Prelims Program: India’s access to important ports abroad Details : India’s access to important ports abroad Telegram: https://t.me/SimplifiedIAS Sabang port, Indonesia India is developing its maiden deep-sea port in Indonesia’s Sabang. The port is close to Andaman and Nicobar Islands making its maiden foray in the southeast Asian. Its position at the mouth ofContinue reading “Prelims Program: India’s access to important ports abroad”

G20 summit: India presents 9-point agenda on fugitive economic offenders

Headline : G20 summit: India presents 9-point agenda on fugitive economic offenders Details : The news Recently, Prime Minister Narendra Modi has suggested a nine-point agenda to tackle the menace of fugitive economic offenders and sought strong and active cooperation across G20 countries to deal with the menace of fugitive economic offenders The agenda was presented byContinue reading “G20 summit: India presents 9-point agenda on fugitive economic offenders”

Brief about Fly Ash

Fly ash is a fine powder which is a byproduct from burning pulverized coal in electric generation power plants. Fly ash is a pozzolan, a substance containing aluminous and siliceous material that forms cement in the presence of water. When mixed with lime and water it forms a compound similar to Portland cement. The flyContinue reading “Brief about Fly Ash”

India’s poor export infrastructure remains a major limitation on its export competitiveness. Discuss. Enumerate some of the steps the government of India is taking to improve our export infrastructure.

Approach • Introduce with the need for export competitiveness • List shortcomings in export infrastructure • What steps were taken to improve export infrastructure • Conclude appropriately Model Answer : Over the last 25 years since India’s liberalisation, its foreign trade has expanded multifold. But India’s share in World Merchandise Exports over the last fewContinue reading “India’s poor export infrastructure remains a major limitation on its export competitiveness. Discuss. Enumerate some of the steps the government of India is taking to improve our export infrastructure.”

The concept of “port led development” is central to the Sagarmala vision.” What is Sagarmala initiative and how can it help in achieving the aim of port led development.

Approach: • Introduce with India’s potential for port-led development • Explain Sagarmala initiative with its components • Explain how it will help in port led development • Conclude appropriately Model Answer : India is richly endowed with natural maritime advantages, a strategic location for key international trade routes, and navigable and potentially navigable waterways. ThereContinue reading “The concept of “port led development” is central to the Sagarmala vision.” What is Sagarmala initiative and how can it help in achieving the aim of port led development.”

Public private partnership is a key model of infrastructure development in India today but there is a need to mature it to deliver infrastructure projects better and faster. Discuss in light of the Kelkar Committee’s recommendations.

Approach • Give a brief introduction about PPP • Highlight the various shortcomings in PPP • Discuss the important recommendation of Kelkar committee • Conclude appropriately. Model Answer : Public private partnership (PPP) is a long-term contract between a private party and a government entity, for providing a public asset or service, in which theContinue reading “Public private partnership is a key model of infrastructure development in India today but there is a need to mature it to deliver infrastructure projects better and faster. Discuss in light of the Kelkar Committee’s recommendations.”

The FDI policy is being continuously revised to promote both the Greenfield and Brownfield investments but they are treated differently. Discuss along with the recent steps taken by government to boost foreign investment in India.

Approach • Introduce with Greenfield and Brownfield investments • Briefly discuss how the policy differs slightly • Then discuss steps taken to promote foreign investment • Conclude appropriately Model Answer : Greenfield investment is the investment in new plants or investment in which a parent company or government begins a new venture by constructing newContinue reading “The FDI policy is being continuously revised to promote both the Greenfield and Brownfield investments but they are treated differently. Discuss along with the recent steps taken by government to boost foreign investment in India.”

Everything about Industrial Revival

Earlier slowdown in industrial growth: Demonetisation: The November 2016 demonetisation had a major impact on industrial activity. For example, growth in the IIP was a relatively robust 5% in November 2016, but slowed to 1.2% by February 2017. Activity resumed thereafter, but was hit again by the prospect of the Goods and Services Tax andContinue reading “Everything about Industrial Revival”

The lowdown on industrial renewal

Earlier slowdown in industrial growth: Demonetisation: The November 2016 demonetisation had a major impact on industrial activity. For example, growth in the IIP was a relatively robust 5% in November 2016, but slowed to 1.2% by February 2017. Activity resumed thereafter, but was hit again by the prospect of the Goods and Services Tax andContinue reading “The lowdown on industrial renewal”

The distinction between plan and non-plan expenditure in budget had created schools without teachers and hospitals without doctors. In the light of this statement, discuss major issues pertaining to plan and non-plan distinction. Approach

The distinction between plan and non-plan expenditure in budget had created schools without teachers and hospitals without doctors. In the light of this statement, discuss major issues pertaining to plan and non-plan distinction. Approach Introduce with the abolition of the plan and non-plan classification Highlight the major issues like focus on plan expenditure, excessive unionContinue reading “The distinction between plan and non-plan expenditure in budget had created schools without teachers and hospitals without doctors. In the light of this statement, discuss major issues pertaining to plan and non-plan distinction. Approach”

Discuss the advantages and risks of crypto-currencies like the Bitcoin.

Discuss the advantages and risks of crypto-currencies like the Bitcoin. Approach Introduce with the concept of cryptocurrency Discuss its advantages Highlight the risks Conclude with the government’s position that they have been outlawed Cryptocurrency is an electronic or digital currency that works on a peer-to-peer basis without the need for a trusted third party suchContinue reading “Discuss the advantages and risks of crypto-currencies like the Bitcoin.”

Quiz- Q20. Which of the following is/are part of the foreign exchange reserves of India?

Q20. Which of the following is/are part of the foreign exchange reserves of India? 1. Foreign Currency Assets (FCAs) 2. Gold 3. Special Drawing Rights (SDRs) Select the correct answer using the code given below: A. 1 only B. 1 and 2 only C. 2 and 3 only D. 1, 2 and 3 Answer: DContinue reading “Quiz- Q20. Which of the following is/are part of the foreign exchange reserves of India?”

Quiz- Q15. The summation of the value of final goods and services produced in each sector of an economy during a particular year is:

Q15. The summation of the value of final goods and services produced in each sector of an economy during a particular year is: A. Net Domestic Product B. Gross National Product C. National Income D. Gross Domestic Product Answer: D Exp: The value of final goods and services produced in each sector during a particularContinue reading “Quiz- Q15. The summation of the value of final goods and services produced in each sector of an economy during a particular year is:”

Railway Zones of India and Their Divisions

Railway Zones of India and Their Divisions The journey of railways in Indian sub-continent started in 1853 with 34 kilometers (kms). First rail ran on 16th April, 1853 and covered the 21-mile distance in about 75 minutes from Bombay to Thane. The Railway Board in 1950 decided for the regrouping of the Indian Railways intoContinue reading “Railway Zones of India and Their Divisions”

Discuss the positive and negative effects of globalization on farmers in India.

Approach: ● Introduce with what is globalisation ● Positives and Negative impact of globalisation on Indian agriculture ● What measures were taken to safeguard farmers ● Way forward Answer: Globalization aims at integrating national economy with that of the world. Increased free and open international trade, foreign investment, technology exchange etc. are all integral to the globalisedContinue reading “Discuss the positive and negative effects of globalization on farmers in India.”

GST- Pros and Cons of Electricity Inclusion

Why should electricity be brought in GST 1. Multiplicity of rates Currently, there is a confusing number of electricity taxes that vary by states and across user categories (lower tax rates for consumers and high for industrial users). Taxes levied by the states thus vary from 0% to 25%. The current situation imposes large costsContinue reading “GST- Pros and Cons of Electricity Inclusion”

Everything about TFA, GATS and  WTO Ministerial Conference

The Ministerial Conference is the highest decision-making body of the WTO and meets at least once every two years. Main points of discussion in MC11 Service negotiation under GATS will be on priority: Domestic regulation: to address the contentious issue of professional visa fee hikes by the likes of the US and UK, which India hasContinue reading “Everything about TFA, GATS and  WTO Ministerial Conference”

Effects of Globalization on Indian Economy

Effects of Globalization on Indian Economy 1. Liberalization– main features of liberalization policy were:- (i) General reduction in role of state in economic governance. (ii) Withdrawal by state from many economic sectors and its replacement by the private sectors. (iii) Decline in the public sector spending in basic and key industries like banking, insurance andContinue reading “Effects of Globalization on Indian Economy”

China Myanmar Economic Corridor

China and Myanmar have moved a step closer on negotiating the China-Myanmar economic corridor. This initiative is being given a high priority on account of the stalled Bangladesh-China-India-Myanmar (BCIM) connectivity proposal. The negotiations for the formation of the BCIM corridor have virtually been stalled after Beijing went ahead with its plans to establish the China-PakistanContinue reading “China Myanmar Economic Corridor”

Everything about Global Entrepreneurship Summit (GES)

Global Entrepreneurship Summit (GES) • It is the preeminent annual entrepreneurship gathering that convenes emerging entrepreneurs, investors and supporters from around the world. • It was started by U.S. government in 2010. • It serves as a vital link between governments and the private sector and convenes global participants to showcase projects, network, exchange ideasContinue reading “Everything about Global Entrepreneurship Summit (GES)”

Any attempt by an institution to withhold information from its stakeholders should invite strict censure. Do you agree?

No, I do not completely agree. There may be situations where information would need to be withheld for larger public interest. Such circumstances can arise when the matter concerns: i. Preserving national security e.g. it would be wrong for the media to relay live coverage of a terror attack while the operation is still in progress,Continue reading “Any attempt by an institution to withhold information from its stakeholders should invite strict censure. Do you agree?”

What is dynamic pricing? Examine the ethical issues involved in dynamic pricing by a private firm and by a govt. organization. (150 words – 10 marks)

Dynamic pricing is a pricing strategy wherein the price is not firmly set; instead it changes based on changing circumstances, such as increases in demand at certain times, type of customer being targeted or changing marketing conditions. The fundamental concern w.r.t. dynamic pricing strategies is the availability of viable alternatives. This ensures that any such mechanism providesContinue reading “What is dynamic pricing? Examine the ethical issues involved in dynamic pricing by a private firm and by a govt. organization. (150 words – 10 marks)”

Global Entrepreneurship Summit (GES):

Global Entrepreneurship Summit (GES): It is the preeminent annual entrepreneurship gathering that convenes emerging entrepreneurs, investors and supporters from around the world. It was started by U.S. government in 2010. It serves as a vital link between governments and the private sector, and convenes global participants to showcase projects, network, exchange ideas, and champion newContinue reading “Global Entrepreneurship Summit (GES):”

What is ‘Swiss challenge’ approach?

Swiss challenge method is a process of giving contracts. Any person with credentials can submit a development proposal to the government. That proposal will be made online and a second person can give suggestions to improve and beat that proposal. It is a method where third parties make offers (challenges) for a project within aContinue reading “What is ‘Swiss challenge’ approach?”

Commodity and Exchanges

What is a commodity? Commodities are products that can be bought, sold or traded in different kinds of markets. Commodities are the raw materials that are used to create products which are consumed in everyday life around the world, from food products in India to building new homes in Europe or to running cars inContinue reading “Commodity and Exchanges”

Smart Cities

what are Smart Cities? A ‘smart city’ is an urban region that is highly advanced in terms of overall infrastructure, sustainable real estate, communications and market viability. It is a city where information technology is the principal infrastructure and the basis for providing essential services to residents. There are many technological platforms involved, including butContinue reading “Smart Cities”

Angel Investors VS Venture Capital

Business Angel Investors are individuals, often successful business people who are investing their own personal funds into a potentially rewarding business opportunity. Whereas Venture Capital is invested by firms or companies that use other people’s money. They raise that money by offering investors a chance to take part in a fund that is then usedContinue reading “Angel Investors VS Venture Capital”

Important Commitees

N.K.Singh committee To review the FRBM Act of 2003 Ratan Watal Committee On digital payments Anil Kakodkar Committee On railway safety A.K.Bhargava Net Neutrality Madhukar Gupta committee India Pakistan Border issue Aravind Subramanian Tackle shortage of pulses in India Bibek Debroy committee Railways and privatization of railways Shekatkar committee Defense Shyam Benegal committee Film certificationContinue reading “Important Commitees”

EXIM Bank

Export–Import Bank of India was established in 1982 under the Export-Import Bank of India Act 1981. Since its inception, Exim Bank of India has been both a catalyst and a key player in the promotion of cross border trade and investment. Over the period, it has evolved into an institution that plays a major roleContinue reading “EXIM Bank”

Market Stabilization Bond

MSS bonds bear an interest rate that can boost banks’ income. This incentivizes banks to participate effectively in demonetization drive. MSS as SLR bonds: MSS bonds can also be used to calculate banks’ mandatory bond holding. MSS bonds does not increase Government’s fiscal deficit. According to CRISIL, the stock of G-secs with the RBI, necessaryContinue reading “Market Stabilization Bond”

Monetary Policy Committee

MPC is headed by RBI governor, is a six-member panel, of which three members are from RBI and three are independent members selected by government. The independent members are experts in the field of economics, banking or finance. The governor, however, will not enjoy a veto power to overrule the other panel members, but willContinue reading “Monetary Policy Committee”

Most Favoured Nation (MFN) status

What is Most Favoured Nation’ (MFN) status?  The WTO as the trade-promoting body has certain key principles or philosophical themes for its working. One such principle is non-discrimination which is well scripted in Most Favored Nation (MFN) treatment. The MFN is a status or treatment given by one country to another in trade matters. ItContinue reading “Most Favoured Nation (MFN) status”

WTO- Trade Facilitation Agreement (TFA)

Trade Facilitation Agreement (TFA) Trade Facilitation Agreement (TFA) envisages faster clearances and reduction of red tapism at the borders and would thereby help in the ease of doing business. TFA is bound to change the Indian trade and would bring more transparency in trade process. after TFA ratification, the world wide best trade practices wouldContinue reading “WTO- Trade Facilitation Agreement (TFA)”

United Nations Conference on Trade and Development (UNCTAD)

The United Nations Conference on Trade and Development (UNCTAD) was established in 1964 as a permanent intergovernmental body. UNCTAD is the principal organ of the United Nations General Assembly dealing with trade, investment, and development issues.  The organization’s goals are to: “maximize the trade, investment and development opportunities of developing countries and assist them inContinue reading “United Nations Conference on Trade and Development (UNCTAD)”

India’s first international stock exchange – India INX – GIFT, Gujarat

India’s first international exchange–India INX– was recently inaugurated by PM at International Financial Services Centre (IFSC) in Gujarat International Financial Tech City (GIFT) located in Gandhinagar. India International Exchange (INX), the wholly-owned subsidiary of the Bombay Stock Exchange (BSE), through its global bourse, will start trading initially in equity derivatives, currency derivatives, commodity derivatives including Index and Stocks.Continue reading “India’s first international stock exchange – India INX – GIFT, Gujarat”

Universal basic income

Core concept : It was proposed by left liberal political philosopher Philippe van Pari in his book real freedom for all. According to him, basis for universal basic income is the fair distribution of real freedom to pursue the realisation of ones conception of the good life. Core of the concept of basic income isContinue reading “Universal basic income”

What is Green Climate Fund?

What is Green Climate Fund? The Fund is a unique global platform to respond to climate change by investing in low-emission and climate-resilient development. GCF was established by 194 governments to limit or reduce greenhouse gas (GHG) emissions in developing countries, and to help vulnerable societies adapt to the unavoidable impacts of climate change. GivenContinue reading “What is Green Climate Fund?”

National Mission for Clean Ganga

National Mission for Clean Ganga (NMCG) is the implementation wing of National Ganga River Basin Authority (NGRBA). It is a registered society originally formed by Ministry of Environment, Forests and Climate Change(MoEFCC) on 12th August 2011 under the Societies Registration Act, 1860. Now both NGRBA and NMCG are allocated to the Ministry of Water Resources,Continue reading “National Mission for Clean Ganga”

NABARD

NABARD: It is an apex development and specialized bank established on 12 July 1982 by an act by the parliament of India. Its main focus is to uplift rural India by increasing the credit flow for elevation of agriculture & rural non farm sector. It was established based on the recommendations of the Committee setContinue reading “NABARD”

Islamic Development Bank

The Islamic Development Bank is an international financial institution established in pursuance of the Declaration of Intent issued by the Conference of Finance Ministers of Muslim Countries held in Jeddah in December 1973, and the Bank was formally opened on 20 October 1975. The purpose of the Bank is to foster the economic development andContinue reading “Islamic Development Bank”

Cashless Payment : Bharat QR

India has reached a new milestone in cashless transaction by launching BharatQR, the world’s first interoperable payment acceptance solution. This is the second big ticket initiative from the Centre, after BHIM, towards pushing digital transactions.    What is BharatQR code? BharatQR code is an interoperable payment acceptance solution. Even if the merchant and customer are on differentContinue reading “Cashless Payment : Bharat QR”

Index of Industrial Production (IIP)

The Eight Core Industries comprise nearly 38 % of the weight of items included in the Index of Industrial Production (IIP). They are: Coal (weight: 4.38 %) Crude Oil(weight: 5.22 %) The Natural Gas(weight: 1.71 %) Petroleum Refinery (weight: 5.94%) Fertilizer (weight: 1.25%) Steel (weight: 6.68%) Cement (weight: 2.41%) Electricity generation (weight: 10.32%) - max weightageContinue reading “Index of Industrial Production (IIP)”

What is Wholesale Price Index (WPI) ?

Wholesale Price Index (WPI) WPI measures the change in price level at wholesale market. WPI – consists of 676 commodities (services are not included in WPI in India). It is measured on year-on-year basis i.e., rate of change in price level in a given month vis a vis corresponding month of last year. This is alsoContinue reading “What is Wholesale Price Index (WPI) ?”

What is Mission Indradhanush?

What is Mission Indradhanush? Mission Indradhanush aimed to revamp the functioning of public sector banks so that PSBs can compete with the Private Sector Banks. The mission is a brainchild of PJ Nayak committee. It is launched by Ministry of Finance under the Department of Financial Services. The mission is regarded as one of theContinue reading “What is Mission Indradhanush?”

Small Finance Banks

The small finance bank will primarily undertake basic banking activities of acceptance of deposits and lending to unserved and underserved sections including small business units, small and marginal farmers, micro and small industries and unorganized sector entities. What they can do: Take small deposits and disburse loans. Distribute mutual funds, insurance products and other simpleContinue reading “Small Finance Banks”

India’s First Coastal Corridor

Vishakhapatnam – Chennai Costal Corridor The Visakhapatnam-Chennai Industrial Corridor section of the East Coast Economic Corridor, connecting four economic hubs and nine industrial clusters, will mark the first industrial corridor developed along India’s coast. The East Coast Economic Corridor will ultimately extend from Kolkata to Tuticorin The Indian government is keen to encourage manufacturing, includingContinue reading “India’s First Coastal Corridor”

Economy Curves- Very Important

Philips curve shows the tradeoff between unemployment and inflation. It indicates that to reduce unemployment, an economy has to adjust with higher level of inflation. Kuznet curve explain the relationship between growth and equality. During the initial stages of development inequality increases with economic growth. Laffer curve shows the relationship between tax revenue and taxContinue reading “Economy Curves- Very Important”

About Ease of Doing Business Index

Word Bank releases Doing Business reports and it review business regulations and their enforcement across countries. It was introduced in 2004. A high ease of doing business ranking means the regulatory environment is more conducive to the starting and operation of a local firm. The rankings are determined by sorting the aggregate distance to frontierContinue reading “About Ease of Doing Business Index”

Viability Gap Funding

Viability Gap Funding There are many projects with high economic returns, but the financial returns may not be adequate for a profit-seeking investor. For instance, a rural road connecting several villages to the nearby town. This would yield huge economic benefits by integrating these villages with the market economy, but because of low incomes itContinue reading “Viability Gap Funding”

Liquidity trap

The liquidity trap is the situation in which prevailing interest rates are low and savings rates are high, making monetary policy ineffective. In a liquidity trap, consumers choose to avoid bonds and keep their funds in savings, because of the prevailing belief that interest rates will soon rise. This reduces the Bond yield and makesContinue reading “Liquidity trap”

Differentiated and Payment Banks

Differentiated Banks This system of banks is different from universal banks as they are mandated to serve niche interests and can offer limited products. Payment banks and small banks are part of differentiated banking. The purpose of these banks is to promote financial inclusion. Nachiket Mor committee in 2014 recommended the establishment of such institutions. PaymentContinue reading “Differentiated and Payment Banks”

Difference between Disinvestment and privatization

Privatization involves transforming the ownership of a public sector business to the private sector known as a ‘strategic buyer’. In privatization, full ownership is transferred to the strategic partner. In disinvestment, the same transformation process happens while retaining 26% or in some cases 51% percent of share right (i.e. the voting power) with the publicContinue reading “Difference between Disinvestment and privatization”

What is Special Economic Zone? #upsc #ias

Special Economic Zone (SEZ) Special Economic Zone (SEZ) is a special geographical region which has completely different laws when compared to other regions. SEZ’s enjoys tax breaks, simplified procedures, less regulations and restrictions, exemption from customs and duties, all of which is done to Generate additional Economic activity Promote exports of goods and services Promote InvestmentContinue reading “What is Special Economic Zone? #upsc #ias”