Current Affairs 13th June

National Affairs

1. Highlights of German Federal Minister of Defence Boris Pistorius’s visit to India; TKMS MDL sign pact for bid IN’s Rs 43,000cr P75I Project

 

From June 5-8, 2023, Boris Pistorius, the Federal Minister of Defense of Germany, was in India for a four-day official visit to facilitate bilateral defence cooperation and investigate potential avenues for strategic partnership.

 

Talks are held between Boris Pistorius, the defence minister, and Rajnath Singh, the union minister of India, the ministry of defence, to improve bilateral defence cooperation, particularly industrial partnership.

 

The Indian side requested the German side to diversify their supply chains to countries that are open and stable, and the issue of disruptions in global supply chains was also brought up.

 

For the Indian Navy’s (IN) P-75 India (P75I) Submarine Project, German defence major Thyssenkrupp Marine Systems (TKMS) and state-run Mazagon Dock Shipbuilders Limited (MDL) signed a Memorandum of Understanding (MoU).

2. PM Narendra Modi inaugurated the first-ever National Training Conclave for Civil Servants

Prime Minister (PM) Narendra Modi held the inaugural National Training Conclave on June 11, 2023, at the International Exhibition and Convention Centre, Pragati Maidan, New Delhi, Delhi. The event aimed to improve the training infrastructure for civil servants across India.

 

The National Programme for Civil Services Capacity Building (NPCSCB) – “Mission Karmayogi” is in charge of organizing the Conclave, which was hosted by the Capacity Building Commission (CBC).

 

The preparation modules sustain the capability of authorities as well as impart the entire of

government approach and soul of Jan Bhagidari (individuals’ cooperation).

 

Highlights:

 

The Coordinated Government Web-based Preparing (iGOT) Karmayogi stage has

achieved a level battleground as it gives potential open doors to everybody to

preparing.

 

The objective of the Karmayogi Mission is to enhance the orientation, mindset, and approach of government employees ii. North of 1500 delegates from different preparation organizations, including Focal, State, Provincial and Zonal Preparation Establishments, and Exploration organizations went to the gathering.

 

The discussions were attended by civil servants from central government departments, state and local governments, and experts from the private sector.

 

The Conclave will feature eight-panel discussions, each focusing on key issues related to Civil Service training institutes like faculty development, training impact assessment, and content digitisation. This diverse gathering will foster the exchange of ideas, identify the challenges that are being faced and the opportunities that are available, and generate actionable solutions and comprehensive strategies for capacity building.

3. Unemployment Rate fell to 7.7% in May: CMIE Report 

Indian Economy Monitoring Center Pvt. Ltd. (CMIE) recently released data on the current unemployment rate in India for May 2023. According to its statistics, the unemployment rate decreased to 7.7% as a result of a decrease in 441.9 million people’s labour participation.

 

The unemployment rate in India for people over the age of 15 fell to 7.7% in May 2023, down from 8.5% in April. Meanwhile, the labour participation rate fell by 1.1 percentage points to 39.6% in May, down from 49.5 per cent in April. The decline in labour participation was significantly higher in rural India than in urban India. In addition, there was a decrease in both the employed and unemployed populations in the urban labour market.

International Affairs

1. President Droupadi murmurs visit to Suriname & Serbia – 4th to 9th June 2023

From June 4 to June 9, 2023, Draupadi Murmu, the Indian president, visited Serbia and Suriname. She visited Paramaribo, Suriname at the greeting of Chandrikapersad Santokhi, Leader of the Republic of Suriname and Serbia at the Greetings of Aleksandar Vučić, Leader of Serbia.

 

This is President Droupadi Murmu’s first trip to Europe and her first state visit since taking office in July 2022. The first time an Indian president visited Serbia is during President Murmu’s visit.

 

During her visit, Suriname’s President regarded President Murmu with the “Amazing

The request of the Chain of the Yellow Star” is the most noteworthy regular citizen distinction of Suriname.

 

India and Suriname signed MoUs and a Work Plan in the areas of health, agriculture, and capacity building while the President was in the country.

 

During her trip to Serbia, she also gave a speech at the Business Forum between India and Serbia.

 

By the end of this decade, President Droupadi Murmu and President Aleksandar Vucic have agreed to increase bilateral trade from the current 320 million euros to one billion euros.

Banking and Finance

1. Highlights of the 2nd Bi-Monthly Monetary Policy of FY24

The Save Bank of India’s (RBI) 6-individuals Money related Arrangement Board (MPC) met

on sixth, seventh and eighth June 2023 and delivered its second every other month financial strategy articulation for FY24 (Monetary year 2023-2024).

 

Key Points:

 

The MPC has decided to maintain the status quo by maintaining the same policy rates under the liquidity adjustment facility (LAF), with the stance remaining focused on the removal of accommodation.

 

Growth: For FY24, real GDP growth in India was anticipated to be 6.5 percent, with 8% in Q1, 6.5 percent in Q2, 6% in Q3, and 5.7% in Q4.

 

Inflation: Inflation in the Consumer Price Index (CPI) was anticipated to be 5.1% in FY24, with 4.6% in Q1, 5.2% in Q2, 5.4% in Q3, and 5.2% in Q4.

 

Important Development Regulations To resolve non-performing assets (NPA) and streamline instructions for regulated entities, RBI introduced a comprehensive regulatory framework under which all REs, including cooperative lenders, could execute “compromise settlements/one-time settlements (OTS) and technical write-offs.”

 

The Priority Sector Lending (PSL) Target phase-in period for Primary (Urban) Cooperative Banks (UCBs) has been extended by two years, from March 31, 2024, to March 31, 2026, by RBI.

 

By allowing non-bank Prepaid Payment Instrument (PPI) issuers to issue e-RUPI vouchers and allowing individuals to issue e-RUPI vouchers on their behalf, RBI proposed expanding the scope and reach of e-RUPI vouchers.

 

The Reserve Bank of India (RBI) made the decision to permit Indian banks to issue RuPay Prepaid Forex (Foreign Exchange) cards that can be used at ATMs, Point-of-Sale (POS) machines, and online merchants in other countries to provide Indian travelers with more payment options.

2. SBM Bank India Launches World Elite Metal Debit Card for the Uber-affluent Indian

SBM World Elite Metal Debit Card, Powered by Mastercard, was introduced by SBM Bank (India) Limited (SBM Bank India) on June 9, 2023, to provide Uber-affluent Indians with exclusive, invitation-only access to the world of luxury.

 

As an international debit card, you can make international purchases with it.

It is valid for five years from the card’s issuance date.

 

It is designed for and only available to SBM Private customers and will appeal to a growing group of wealthy Indians with an international outlook.

 

Key Points:

 

The guaranteed Mastercard concierge network and exclusive privileges at 500 luxury hotels, resorts, and Michelin-starred restaurants worldwide, including Taj Epicure, are included with each card.

 

Additionally, it grants free access to an unlimited number of airport lounges worldwide.

 

This debit card doesn’t cost anything extra to use for cash withdrawals at any ATM (automated teller machine).

 

The cardholders have access to the best health advisors and coordinators, a network of more than 50,000 of the best medical experts in the world, and VIP (Very Important Person) access to 46 premium golf clubs and golf programs in 12 countries.

3. World Bank approves $148M loan to West Bengal for Enhanced Rural Irrigation Practices

On June ninth, 2023, The World Bank’s Leading group of Chief Chiefs has supported a

USD 148 million advance to help West Bengal, India, in further developing water system rehearses

 

in country regions. The loan will assist the region in more effectively utilizing the surface and groundwater resources for agricultural purposes.

 

West Bengal intends to build ranchers’ livelihoods through creation of a scope of

heartbeats, natural products, and vegetables which requires water for water system.

The West Bengal Sped up Improvement of Minor Water system Undertaking –

Stage II will uphold the state’s Branch of Water Assets Examination and

Improvement and water-client affiliations (WUAs) to design and work new

water system designs, for example, check dams, limited scope capacity structures, stream

recovery, tube wells, and siphon dug wells.

 

The irrigation methods will make it possible to diversify the crops grown, increasing the yield of high-value crops like the production of at least 10,000 tons of fish and 17,000 tons of oilseed annually.

 

During Stage I, the Undertaking made 2,277 WUAs and arrived at 125,000 recipients.

The International Bank for Reconstruction and Development’s (IBRD) $148 million loan has a maturity of 11.5 years and a four-year grace period.

 

Note: West Bengal is one of the biggest food-delivering states in India — creating

almost 15% of the country’s rice — and the second biggest fish-delivering state.

4. ADB to Fund USD 130 Million Loan for Horticulture in Himachal Pradesh

The Himachal Pradesh Subtropical Horticulture, Irrigation, and Value Addition Project, which aims to increase agricultural productivity, improve access to irrigation, and promote horticulture agribusinesses in order to raise farmers’ incomes in Himachal Pradesh, India, received a USD 130 million loan on June 8, 2023, from the Asian Development Bank (ADB).

 

This arrangement depends on the result of ADB’s task status office which

exhibited the subtropical agriculture creation more than 200 hectares and

arranged the draft water client affiliation (WUA) act and the draft state

agriculture improvement methodology.

 

Signatories:

 

With Takeo Konishi, Director of ADB’s India Resident Mission, Mr. Rajat Kumar Mishra, Additional Secretary, Department of Economic Affairs, Ministry of Finance, for the Government of India, signed the Himachal Pradesh Subtropical Horticulture, Irrigation, and Value Addition Project.

 

The project’s advantages:

 

At least 15,000 farm households in seven districts of the state—Bilaspur, Hamirpur, Kangra, Mandi, Sirmour, Solan, and Una—will benefit from this project by increasing their income and their resilience to the effects of climate change.

 

This project will strengthen the capacity of the water user association (WUA) and improve on-farm irrigation as well as water management on approximately 6,000 hectares of farmland.

 

This undertaking will make bunch wide local area cultivation creation and

advertising affiliations (CHPMAs), as well as locale wide CHPMA helpful

social orders, for ranchers to get to subtropical cultivation markets.

 

CHPMAs will be managed by the Farmer Producer Company (FPC), which will also be in charge of developing business plans, promoting agribusiness, and designing value-added facilities like sorting and packaging facilities and storage and collection centres.

Economy and Business

1. UAE emerges as the fourth largest investor in India in FY23

After the Comprehensive Economic Partnership Agreement (CEPA) between the two nations was successfully implemented on May 1, 2022, the United Arab Emirates (UAE) rose to become India’s fourth largest investor in the fiscal year 2022-23.

 

In 2023, UAE’s Unfamiliar Direct Venture (FDI) to India has ascended to USD 3.35

Billion which is dramatically multiplied from USD 1.03 Billion in 2021 to 22.

 

In 2022-23, the UAE ranked fourth among Indian investors, down from seventh in 2021-22.

Singapore was the biggest financial backer in India with USD 17.2 billion interest in

FY23, trailed by Mauritius (USD 6.1 billion) and the US (USD 6 billion).

 

NOTE: UAE’s interests in India are mostly in areas like administration, ocean transport,

power and development exercises.