Current Affairs 15th June

National Affairs

1. Global DPI Summit 2023 held in Pune; MoU signed between India & 4 Nations on sharing INDIA STACK

 

The Global DPI Summit 2023 was a side event of the third meeting of the G20 (Group of Twenty) Digital Economy Working Group (DEWG) in Pune, Maharashtra, from June 12 to 13, 2023.

 

Rajeev Chandrasekhar, Minister of Electronics and Information Technology (MeitY), served as the Union Minister of State (MoS).

 

Digital Public Infrastructure (DPI) for Ease of Living, Ease of Doing Business, and Ease of Governance was the summit’s theme. A Memorandum of Understanding (MoU) regarding the sharing of the INDIA STACK was signed at the event by India and the four nations of Armenia, Sierra Leone, Suriname, and Antigua and Barbuda.

International Affairs

1. INS Satpura represented Indian Navy at Multilateral Naval Exercise Komodo 2023 in Indonesia

The Indian Naval ship INS Satpura took part in the fourth edition of Multilateral Naval Exercise “Komodo” (MNEK 2023) from June 4 to June 8, 2023, in Makassar, South Sulawesi, Indonesia.

 

As part of the Indian Navy’s deployment to ASEAN (Association of Southeast Asian Nations) nations, INS Satpura participated in the exercise.

 

The Indian Navy was represented by INS Satpura at the International Fleet Review (IFR) on June 5, 2023, which was overseen by Indonesian President Joko Widodo.

 

The Indian Navy’s participation in the MNEK exercise series reaffirms India’s commitment to “Act East” (Maritime Cooperation) in its pursuit of “Security and Growth for All in Region” (SAGAR).

 

MNEK’s status:

 

Since 2014, MNEK has been a biannual event that takes place every two years between the Pacific Ocean and the Indian Ocean.

 

The third and final MNEK edition was held in Indonesia on the island of Lombok from May 4 to 9, 2018.

 

Due to the COVID-19 pandemic, the first version since 2018 was Komodo 2023.

 

The involvement of INS Satpura:

 

During the harbour phase, it actively participated in the International Maritime Security Symposium, as well as other activities like the City Parade, cultural programs, and band performances. On June 8, 2023, it also participated in a multilateral maritime exercise.

 

Note: All ASEAN navies took part in the inaugural ASEAN-India Maritime Exercise AIME23, which took place in South East Asia between May 2 and May 8, 2023, while INS Satpura was stationed there.

 

Concerning MNEK 2023:

 

Participants: The opening of the international exercise of the 2023 MNEK was marked by the navies of 36 nations, including the United States of America (USA), Australia, Brazil, Bangladesh, Canada, China, and India.

 

Theme: “Partnership to recover and to rise stronger” was MNEK 2023’s theme.

The Indonesian Navy issued an invitation to the participating nations to collaborate in order to assist in the resolution of humanitarian issues and potential natural disasters in the region.

 

Key Points:

 

Several exchanges that support multilateral cooperation in the Indo-Pacific maritime environment were made possible by the exercise.

 

The exercises emphasize aspects of operational-level exercises that do not involve warfighting.

 

An international fleet review, community outreach, military sports engagements, and a shore phase with engineering and medical civic action programs are also included.

2. In Europe NATO begins its air drill -“Air Defender 23”

The German-led air force deployment for NATO’s “Air Defender 23” exercise in Europe began on June 12, 2023.

 

Between June 12 and June 23, 2023, 250 military aircraft from 25 NATO members and partner nations, including Japan and Sweden, are participating in the exercise.

 

The exercise will focus on providing more extensive training and maintaining the United States’ (US) presence in Europe. The purpose of the exercise is to improve interoperability as well as readiness to defend against cruise missiles and drones in the event of an attack within NATO territory.

 

The North Sea, the Baltic Sea, and southern Germany would be the locations of training missions.

 

“Air Safeguard” was considered in 2018 to answer the Russian extension of

Crimea from Ukraine

 

Note: Article Five of NATO states that an attack on one member is the same as an attack on all.

Banking and Finance

1. RBI Governor Shaktikanta Das Launched Financial Inclusion Dashboard Antardrishti 

Shaktikanta Das, Governor of the Reserve Bank of India (RBI), introduced the financial inclusion dashboard known as “Antardrishti” in June 2023.

 

Purpose: By storing pertinent data, the dashboard provides the necessary information to evaluate and monitor the progress of financial inclusion.

 

Through a multi-stakeholder approach, the dashboard, which is currently intended for internal use within the RBI, will further facilitate greater financial inclusion.

 

The national level of financial exclusion will be assessed at the local level by the dashboard.

 

Index of Financial Inclusion (FI):

 

At the same time, Yogesh Dayal, Chief General Manager of the RBI, spoke about another initiative that promotes and measures the extent of financial inclusion (FI), the FI Index, which was created by the RBI in 2021 and is based on three FI dimensions—Access (35%), Usage (455), and Quality (20%).

 

The FI-List consolidates subtleties of banking, speculations, protection, postal too

as the annuity is in a meeting with the public authority and particular sectoral

controllers.

 

The index will compile data on various facets of financial inclusion into a single value between 0 and 100, where 0 denotes complete financial exclusion and 100 denotes complete financial inclusion.

2. Fino Payments Bank joins Hubble Money to introduce a Spending Account

Fino Payments Bank Ltd. and Hubble Money, a fintech company based in Bengaluru (Karnataka), have created India’s and the world’s first spending accounts to help customers manage their finances, track expenses, and earn rewards on purchases. Fino Payments Bank has formed this partnership as part of its Fino 2.0 initiative to expand its digital offerings and improve the overall customer experience.

 

It will cater to the aspirations and lifestyle shifts of Gen Z and millennial customers.

 

Features:

 

The spending account allows depositors to save money and receive a cashback of up to 10% on all purchases made using the account.

 

On the money stored in the account, users will receive an annual interest rate of 2.75 per cent.

 

The FinoPay mobile app is used to access the digital savings account of Fino Payments Bank, which is integrated with the spending account.

 

They can keep track of their expenses across more than fifty partner brands, which could help them save up to Rs. 20,000 per year.

3. SEBI introduces a framework for Direct Mutual Fund Investment Platforms

The Securities and Exchange Board of India (SEBI) introduced a regulatory framework on June 13, 2023, for execution-only online investment platforms that facilitate investments in direct (commission-free) mutual fund (MF) plans beginning with

September 01, 2023.

 

This clarifies the responsibilities of these platforms, addresses investor concerns about associated risks, and establishes a grievance resolution mechanism.

 

This introduction came after the MF Advisory Committee’s public consultation and discussions, where it was decided to establish a framework for Execution Only Platforms for MF direct plans and schemes. The SEBI (Stock Brokers) Regulations of 1992 have been altered in this regard.

 

In order to safeguard investors’ interests in securities and encourage the growth of the securities market, SEBI issued this circular under Section 11(1) of the SEBI Act, 1992.

 

What regulations exist?

 

Within three months of the regulation’s implementation, platforms offering MF investment services in direct, commission-free plans will be required to apply for an “Execution Only Platform” (EOP) license from either SEBI or the Association of Mutual Funds in India (AMFI).

These MF investment platforms are currently licensed as stock brokers or Investment Advisors (IAs).

 

If a platform is only accessible to clients of investment advisors or stock brokers, it will not require an EOP registration.

 

The EOPs have been given two choices by SEBI: they can register with AMFI and become agents for asset management companies, or they can register with a stock broker and become agents for investors. The price they charge for their services will depend on who they become as an agent.

 

Background:

 

Investment advisors and stock brokers who are registered with SEBI offer services for executing transactions in direct plans of MF schemes by utilizing their technology or digital platforms. According to the regulations that were established by SEBI (Investment Advisers) in 2013 or SEBI (Stock Brokers) in 1992, these platforms are frequently utilized by investors who are not their clients. Technology or digital platforms, such as those offered by Investment Advisors and Stock Brokers to non-clients, currently lack a specific framework for providing execution services for direct plans of MF schemes and gathering transaction-related data.

The aforementioned regulatory framework has been developed in this regard.

4. Microfinance Loan Portfolio increased by 22% in FY23; NBFC-MFIs being top lenders with a 40% share

The gross loan portfolio of the microfinance industry increased by 22% in FY23 to Rs 3.5 lakh crore, serving 6.6 crore unique borrowers, according to data released by MFIN (Microfinance Institutions Network).

 

As of March 2023, there were 13 crore active microfinance loan accounts, an increase of 14.6%.

 

Key Points:

 

NBFC-MFIs (Non-Banking Finance Companies – Microfinance Institutions) remained the largest provider of microcredit in terms of outstanding loans, with a 40% share of the industry portfolio in FY23, up from 35.22% in FY22.

 

Small finance banks came in second with 16.6% of the market, followed by banks with 34%. Other NBFCs held 8.5% of the market, while MFIs held 1%.

 

Distribution in the Region:

 

Bihar replaced Tamil Nadu as the largest state in terms of portfolio outstanding in terms of regional distribution, followed by Uttar Pradesh in third place.

 

Under regional distribution, 63% of the total portfolio was distributed to the East, North-East, and South of India.

 

Over FY23, the East and North-East’s share decreased continuously, reaching 34.9% as of March 2022 from 37.7%.

 

The North and South regions each increased by more than 1%.

 

NBFC-MFIs:

 

In March 2023, the owned portfolio of Rs 1.1 lakh crore and the managed or off-balance sheet portfolio of Rs 23,931 crore made up the NBFC-MFIs’ Assets under Management (AUM), which increased 39% year-over-year to Rs 1.3 lakh crore.

 

For FY23, the average ticket size increased 13% year over year to Rs 42,010.

 

In FY22, NBFC-MFIs received Rs 74,787 crore in debt funding, 59.2% more than in FY22. To Rs 26,332 crore, total equity increased by 25.4%.

Science and Technology

1. GRSE Launched two Warships INS Anjadip & Sanshodhak; Foundation laid for the 7th ASW-SWC Ship

Garden Reach Shipbuilders and Engineers Ltd. (GRSE) launched two warships of INS “Anjadip,” the third of eight indigenously built Anti-Submarine Warfare Shallow Water Craft (ASW-SWC), and INS “Sanshodhak,” the fourth and final in the series of Survey Vessels (Large) (SVL) Project, at the shipbuilding facility of Larsen & Toubro (L&T) in Kattupalli, Chennai

 

For the Indian Navy, GRSE is currently building eight ASWSWCs and four SVLs, all of which are in various stages of completion.

 

Key Points:

 

Priya Pandit, Commander-in-Chief of Strategic Forces Command and recipient of the Param Vishisht Seva Medal (PVSM) and the Ati Vishisht Seva Medal (AVSM), launched the INS Anjadip. GRSE, Kolkata, West Bengal, built it.

 

The ship was given the name Anjadip to represent the strategic significance of the island of Anjadip, which is off the coast of Karwar (Karnataka).

 

Ships from ASW SWC have a length of 77 meters, a displacement of 900 tons, a top speed of 25 knots, and an endurance of 1800 nautical miles (NM).

 

The fourth and final SVL Project vessel, INS “Sanshodhak,” is being constructed by L&T/GRSE for the Indian Navy. The Chief Hydrographer of the Indian Government, VAdm Adhir Arora, was the main guest at the Launching Ceremony.

 

Note that R B Pandit also laid the keel for the 7th ASW SWC ship at the launch event’s conclusion.