Q. World trade organisation (WTO) as a multilateral body is facing challenges on various counts. In this light discuss the relevance of WTO and also suggest suitable reform in its functioning.

Structure of the answer: Introduction (about WTO) Challenges faced by WTO Relevance of WTO Reform in functioning of WTO Model Answer WTO was set up under Marrakesh Treaty (1994) and as an organization aim to improve living standards, generate employment, and expand global trade. However, in recent years WTO is facing challenges on various counts such as: ConsensusContinue reading “Q. World trade organisation (WTO) as a multilateral body is facing challenges on various counts. In this light discuss the relevance of WTO and also suggest suitable reform in its functioning.”

About: Cairn dispute, Retrospective taxation , The Permanent Court of Arbitration

Cairn wins arbitration ruling against India in tax dispute In News The Permanent Court of Arbitration (PCA) at The Hague has ruled that the Indian government was wrong in applying retrospective tax on Cairn Energy Plc. This is the second ruling against the Indian government at international tribunals over the retrospective tax issue in three months. InContinue reading “About: Cairn dispute, Retrospective taxation , The Permanent Court of Arbitration”

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)”

About: Foreign Exchange Reserves

About: Foreign Exchange Reserves Foreign exchange reserves are the foreign currencies held by a country’s central bank.The reserves in India are managed by the Reserve Bank of India for the Indian government and the main component is foreign currency assets. Reserve Bank of India accumulates foreign currency reserves by purchasing from authorized dealers in open market operations. ReserveContinue reading “About: Foreign Exchange Reserves”

About: India’s agricultural exports

About: India’s agricultural exports Agricultural exports are extremely important as the exports help farmers/producers/exporters to take advantage of wider international market and increase their income. Exports have also resulted in increased production in agriculture sector by increasing area coverage and productivity. Giant strides have been made in agri export since independence. In 1950-51, India’s agriContinue reading “About: India’s agricultural exports”

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”

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”

Bank merger announcement is a needless distraction Editorial 5th Sep’19 IndianExpress

Headline : Bank merger announcement is a needless distraction Editorial 5th Sep’19 IndianExpress Details : Public Sector Bank (PSB) merger: In a major reform measure, the Union Finance Ministry has announced the merger of 10 public sector banks (PSBs) into four entities. Seen as a response to slowdown: The announcement comes in the wake of growthContinue reading “Bank merger announcement is a needless distraction Editorial 5th Sep’19 IndianExpress”

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”

Deceleration in economy: Cyclical downswing, not a deep structural slowdown, says RBI

Headline : Deceleration in economy: Cyclical downswing, not a deep structural slowdown, says RBI Details : In News The Reserve Bank of India has released its annual report for the year 2018-19. The report confirms that several sectors are undergoing a deceleration in the economy. However, it states that the deceleration could turn into cyclical downturnContinue reading “Deceleration in economy: Cyclical downswing, not a deep structural slowdown, says RBI”

Supreme Court upholds homebuyers’ rights as financial creditors under IBC

Headline : Supreme Court upholds homebuyers’ rights as financial creditors under IBC Details : Why in News: The Supreme Court has upheld the validity of an amendment to the Insolvency and Bankruptcy Code (IBC) that treats homebuyers as financial creditors, thus giving homebuyers the right to take legal recourse against developers under three key laws. Background:Continue reading “Supreme Court upholds homebuyers’ rights as financial creditors under IBC”

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”

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: 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”

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: 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”