Current Affairs of 7th January

1. SBI MF Receives RBI Approval to Purchase 10% of Equitas Small Finance Bank.

In an exchange filing, the bank stated that SBI Funds Management Ltd. received approval from the Reserve Bank of India to acquire up to a 9.99% stake in Equitas Small Finance Bank through the schemes of SBI Mutual Fund. Both DSP Mutual Fund and Franklin Templeton Mutual Fund have received RBI approval to acquire a 9.99% stake in the bank.

 

More Information About the Change:

 

In an otherwise weak broader market, a surge in buying activity resulted in the stock price of Equitas Small Finance Bank rising as much as 7% to a new record high. After the Reserve Bank of India (RBI) approved SBI Funds Management Limited (SBIFML)’s application to acquire bank shares, the private lender’s share price increased.

 

Compliances in this regard:

 

The Banking Regulation Act of 1949, RBI’s Master Direction on Prior Approval for Acquisition of Shares or Voting Rights in Private Sector Banks (dated November 19, 2015) and Master Direction on Ownership in Private Sector Banks (dated May 12, 2016), as well as the Securities and Exchange Board of India’s regulations, the Foreign Exchange Management Act of 1999, and any other applicable guidelines, regulations, or statutes, must all be followed in order for the aforementioned approval to be granted.

 

The Bank’s Ownership:

 

Promoter group entities will hold 745 percent of the bank as of September 30, 2022, while mutual funds and foreign institutions will hold 13.17 percent and 4.26 percent of the shares, respectively. Retail investors, among others, own 6.73 percent of the company. According to exchange data, SBI Large & Midcap Fund owned 3.09 percent of the bank.

 

2. GoldenPi Technologies, backed by Zerodha, receives a debt broker license from SEBI.

 

Zerodha-backed GoldenPi Technologies has become the first online bond platform provider to receive a debt brokerage license from the market regulator Securities and Exchange Board of India (Sebi). The Bengaluru-based fintech firm expects this development to spur greater trust in online bonds and debentures investment space.

 

Platforms for online debt trading are governed by:

 

According to the SEBI Regulations, 2021, no business or individual may operate as a provider of online bond platforms without a certificate of registration as a stock broker. These regulations were issued for online debt trading platforms.

 

The company stated in a press release that the award of the license by Sebi to GoldenPi is anticipated to act as a catalyst for increased investor trust in the online bonds and debentures investment space.

 

GoldenPi Technologies’s Profile:

 

The Zerodha-backed company, which was founded in 2017, currently lists more than 100 bonds and debentures every day on its online platform.

 

It has over 3.7 lakh active users who invest in corporate bonds, NCDs, IPOs, and other fixed-income assets through its platform.

 

3. The government established a committee to safeguard employment, culture, and language in Ladakh.

 

A High Powered Committee (HPC) has been established by the Indian Ministry of Home Affairs (MHA) to address concerns regarding the protection of Ladakh’s culture, language, land, and employment opportunities. Under the chairmanship of Minister of State for Home Affairs Nityanand Rai, a committee of 17 members has been established.

 

The Committee Consists of:

 

Shri Nityanand Rai, Minister of State for Home Affairs, will serve as the committee’s chairman.

 

The Lieutenant Governor of the Union Territory of Ladakh, the Member of Parliament for Ladakh, the Chairmen/Chief Executive Councilors of the LAHDCs of Leh and Kargil, and a number of other representatives from the MHA and the Department of Jammu, Kashmir, and Ladakh Affairs will be on the committee in addition to Rai.

 

The committee has also invited Leh and Kargil representatives to participate. Members of the Apex Body, a group that represents the Buddhist community in Ladakh, as well as representatives of other religious and community organizations, will be on the committee from Leh. The committee will include political and community leaders as well as members of 

the Kargil Democratic Alliance from Kargil.

 

The Indian government’s commitment to addressing Ladakh’s concerns and safeguarding the region’s distinctive culture and way of life is reflected in the HPC’s establishment. The HPC will work to ensure that the needs of the people of Ladakh are met and that the region is able to contribute to the country’s overall development. Ladakh plays a crucial role in the security and stability of the region due to its strategic location and importance.

 

This Committee’s Goal:

 

The Ladakh Autonomous Hill Development Councils (LAHDCs) of Leh and Kargil have been empowered by the formation of the committee, which aims to encourage inclusive development and employment creation in the region.

 

It is tasked with discussing measures to preserve Ladakh’s distinctive culture and language, as well as safeguarding the region’s land and employment opportunities for the benefit of its inhabitants.