1. A Public Credit Registry will
1. Provide information on borrowings only from scheduled commercial banks and NBFCs.
2. Help improve India’s ranking in the World Bank’s Ease of Doing Business.
Select the correct answer using the code given below:
A. 1 only
B. 2 only
C. Both 1 and 2
D. Neither 1 nor 2
Answer - Option B
Explanation:
A comprehensive credit information repository covering all types of credit facilities (funded and non-funded) extended by all credit institutions – Commercial Banks, Cooperative Banks, NBFCs, MFIs – and also covering borrowings from other sources, including external commercial borrowings and borrowing from market, is essential to ascertain the total indebtedness of a legal or natural person.
With technology acting as an enabler, this repository can make near real time monitoring of credit risk possible and also address legitimate privacy concerns of the borrowers by making all access to a borrower’s information contained in the repository dependent on the borrower’s consent.
With a PCR in place, and with full coverage of credit market ensured by mandatory reporting, the ease in getting credit and in turn the ranking of India in the World Bank’s ease of doing business index would also likely to be improved.
The Reserve Bank of India (RBI) had formed a high-level task force on public credit registry (PCR) for India. The task force was chaired by Y M Deosthalee.
The task force has suggested the registry should capture all loan information and borrowers be able to access their own history. Data is to be made available to stakeholders such as banks, on a need-to-know basis. Data privacy will be protected.
2. Consider the following statements in the context of Payments Regulatory Board:
1. It will replace the existing Board for Regulation and Supervision of Payment and Settlement Systems.
2. RBI Governor will be the ex-officio chairperson of the board.
3. Ratan Watal Committee for Digital Payments recommended the establishment of Payment Regulatory Board.
Which of the above statements are correct?
A. 1 and 2 only
B. 2 and 3 only
C. 1 and 3 only
D. 1, 2 and 3
Answer - Option D
Explanation:
Payments Regulatory Board
The Union Government in Budget 2017-18 has proposed creation of a six member Payments Regulatory Board in the Reserve Bank of India (RBI) as part of bringing about structural reforms in the payment eco-system.
Statement 1 is correct: It designates RBI as the nodal authority for the regulation and supervision of payment systems. It will replace the existing Board for Regulation and Supervision of Payment and Settlement Systems. For the purpose, necessary amendment are proposed in the Finance Bill 2017 to amend the Payment and Settlement Systems Act, 2007.
Statement 2 is correct: Composition: RBI Governor will be the ex officio Chairperson, Deputy Governor who is in—charge of the Payment and Settlement Systems will be member, and one officer of RBI will be nominated by its Central Board will be its members.
Statement 3 is correct: Ratan Watal Committee for Digital Payments the 11- member committee was notified in September 2016 by the Union Finance Ministry to review existing payment systems in country and recommend appropriate measures for encouraging Digital Payments. It recommended the establishment of Payment Regulatory Board.
3. Consider the following statements about Prompt Corrective Action:
1. It is a plan to help banks come out of stressed assets situation.
2. It is initiated by RBI.
Which of the above statements is/are correct:
A. 1 only
B. 2 only
C. Both 1 and 2
D. Neither 1 nor 2
Answer - Option C
Explanation:
PCA norms allow the regulator to place certain restrictions such as halting branch expansion and stopping dividend payment. It can even cap a bank’s lending limit to one entity or sector. Other restructuring operations and activation of recovery plan.
Banks’ promoters can be asked to bring in new management, too. The RBI can also supersede the bank’s board, under PCA.
The PCA is invoked when certain risk thresholds are breached. There are three risk thresholds which are based on certain levels of asset quality, profitability, capital and the like.
The third such threshold, which is maximum tolerance limit, sets net NPA at over 12% and negative return on assets for four consecutive years.
The 11 banks under the PCA are: Allahabad Bank, United Bank of India, Corporation Bank, IDBI Bank, UCO Bank, Bank of India, Central Bank of India, Indian Overseas Bank, Oriental Bank of Commerce, Dena Bank and Bank of Maharashtra. These banks together control over 20 percent of the credit market.
4. Consider the following statements on Pradhan Mantri Mudra Yojana:
1. The scheme has a corpus of Rs20,000 Crore.
2. The loans given under the Scheme are of three types i.e. Shishu, Kishore and Tarun.
Which of the above statements is/are correct:
A. 1 only
B. 2 only
C. Both 1 and 2
D. Neither 1 nor 2
Answer - Option C
Explanation:
The PMMY Scheme was launched in April, 2015. The scheme’s objective is to refinance collateral-free loans given by the lenders to small borrowers.
The scheme, which has a corpus of Rs 20,000 crore, can lend between Rs 50,000 and Rs 10 lakh to small entrepreneurs.
Banks and MFIs can draw refinance under the MUDRA Scheme after becoming member-lending institutions of MUDRA.
Mudra Loans are available for non-agricultural activities upto Rs. 10 lakh and activities allied to agriculture such as Dairy, Poultry, Bee Keeping etc, are also covered.
There are three types of loans under PMMY:
1. Shishu (up to Rs.50,000).
2. Kishore (from Rs.50,001 to Rs.5 lakh).
3. Tarun (from Rs.500,001 to Rs.10,00,000).
Objectives of the scheme:
Fund the unfunded: Those who have a business plan to generate income from a non-farm activity like manufacturing, processing, trading or service sector but don’t have enough capital to invest can take loans up to Rs 10 lakh.
Micro finance institutions (MFI) monitoring and regulation: With the help of MUDRA bank, the network of micro finance institutions will be monitored. New registration will also be done.
Promote financial inclusion: With the aim to reach Last mile credit delivery to micro businesses taking help of technology solutions, it further adds to the vision of financial inclusion.
Reduce jobless economic growth: Providing micro enterprises with credit facility will help generate employment sources and an overall increase in GDP.
Integration of Informal economy into Formal sector: It will help India also grow its tax base as incomes from the informal sector are non-taxed.
5. Consider the following statements:
1. Ease of Doing Business Report is released annually by World Bank.
2. This year rank dropped to 77 among 190 Nations.
Which of the above statements is/are correct:
A. 1 only
B. 2 only
C. Both 1 and 2
D. Neither 1 nor 2
Answer - Option A
Explanation:
The World Bank has released its latest Doing Business Report (DBR, 2019).
The report ranks 190 economies based on how easy it is to do business there, taking into account trading regulations, property rights, contract enforcement, investment laws, the availability of credit and a number of other factors. The first report was published in 2003.
Performance of various countries:
The top five overall are: New Zealand, Singapore, Denmark, Hong Kong and Korea. The U.S. ranks 8th, down from 6th last year.
As per the latest report, Afghanistan had moved up the most, by 16 spots, from 183 th in last year’s ranking to 167th this year.
China and India — two economies with the largest populations — are among top 10 improves this year.
Afghanistan, Djibouti, Azerbaijan, Togo, Kenya, Côte d’Ivoire, Turkey and Rwanda rounded out the top 10 most improved list. In addition, Djibouti and India are the only economies to make the 10 top most improved list for the second consecutive year.
Performance of India:
India climbed 23 spots from a year ago to rank 77 out of 190 countries in the World Bank’s latest report on the ease of doing business.
It was also among the top 10 most improved economies along with countries such as China, Djibouti and Azerbaijan.
The ease of doing business in India improved notably after a series of reforms made it easier for companies to get construction permits, pay taxes and trade across borders.
6. Recently, International Labour Organisation released Global Wage Report. As per the report, following country has seen the highest Gender Wage Gap:
A. Pakistan
B. China
C. India
D. Brazil
Answer - Option C
Explanation:
The International Labour Organization (ILO) has released Global Wage Report 2018-19. As per the report, women are paid the most unequally in India, compared to men, when it comes to hourly wages for labour. On average, women are paid 34% less than men.
Highlights of the report:
The gender wage gap has remained unchanged at 20% from 2016 to 2017.
In advanced economies (G20), real wage growth declined from 0.9 per cent in 2016 to 0.4 per cent in 2017, meaning near stagnation. By contrast, in emerging economies and developing G20 countries, real wage growth dipped marginally from 4.9 per cent in 2016 and 4.3 per cent in 2017.
Inequality is higher in monthly wages, with a gap of 22 per cent. Overall, real wages grew just 1.8 per cent globally (136 countries) in 2017.
In most countries, women and men differ significantly in respect of working time – specifically, that part-time work is more prevalent among women than among men.
Way Forward:
The report advocated that emphasis needs to be placed on ensuring equal pay for women and men.
7. World Fisheries Day is celebrated on:
A. 21 November
B. 9 November
C. 15 November
D. 24 November
Answer - Option A
Explanation:
World Fisheries Day is celebrated on November 21st every year to highlight the importance of healthy oceans ecosystems and to ensure sustainable stocks of fisheries in the world.
8. Consider the following statements about India Meteorological Department:
1. Formed in 1875, it functions under Ministry of Earth Sciences.
2. It is headquartered in Chennai.
3. It also deals with seismology apart from meteorology.
Which of the above statements is/are correct:
A. 1 and 2 Only
B. 1 and 3 Only
C. 1 Only
D. All are Correct
Answer - Option B
Explanation:
India Meteorological Department (IMD):
It is national meteorological service of the country and chief government agency dealing in everything related to meteorology, seismology and associated subjects.
It was formed in 1875. It functions under Ministry of Earth Sciences. It is headquartered in New Delhi.
Mandate:
Undertake meteorological observations and provide current information and forecasting information for most favorable operation of weather-dependent activities such as irrigation, agriculture, aviation, shipping etc.
Offer warning against severe weather phenomenon such as tropical cyclones, northwesters, dust storms, heat waves, cold waves, heavy rains, heavy snow, etc.
Provide met-related statistics needed for agriculture, industries, water resources management, oil exploration, and any other
strategically important activities for the country.
Engage in research in meteorology and allied subjects.
Detect and locate earthquakes and evaluate seismicity in various parts of the country for developmental projects.
9. Consider the following statements about Sagar Vani:
1. It will help to serve the coastal community, especially the fishermen.
2. It is a software platform where various dissemination modes will be
integrated on a single central server.
3. It is developed under the Ministry of Earth Science.
Which of the above statements is/are correct?
A. 1 only
B. 1 and 2 only
C. 1, 2 and 3 only
D. 2 and 3 only
Answer - Option C
Explanation:
Sagar Vani
Statement 1 is correct: Sagar Vani is an integrated information dissemination system that will serve the coastal community, especially the fishermen community with the advisories and alerts towards their livelihood as well as their safety at Sea.
Statement 2 is correct: The ‘Sagar Vani’ is a software platform where various dissemination modes will be integrated on a single central server. The system also has facility to provide access to various stakeholders (NGOs, State Fishery Departments, Disaster Management Authorities, etc.) so that they too will be able to further disseminate these ocean information and alerts to the user community.
It seeks to target the reach of information to the 9.27 lakh people involved in actual fishing either full or part time. The system that can send information in regional languages through various platforms including radio, television, voice calling, text service, social media, mobile apps and email aims at timely dissemination of ocean information and advisory services that includes Potential Fishing Zone (PFZ) advisories, Ocean State Forecast (OSF), High Wave Alerts and Tsunami early warnings.
Statement 3 is correct: The advanced system has been developed by Indian National Centre for Ocean Information Services (INCOIS), under the Ministry of Earth Science, through its industry partner, Gaian Solutions Pvt. Ltd. It includes Multi Lingual SMS, Voice Call / Audio Advisory, Mobile Apps (User / Admin modules), Social Media (Facebook, Twitter, etc.), Email, GTS, Fax, Digital Display Boards, Radio / Television broadcast units, IVRS, Cloud Channels, etc.
10. Advent of which of the following technologies is often
referred to as Industrial Revolution 4.0?
1. Cloud computing
2. Computers
3. Internet of Things
4. Telecommunication
Select the correct answer using the codes given below
A. 1 and 3 only
B. 3 and 4 only
C. 2 and 4 only
D. All are Correct
Answer - Option A
Explanation:
First Industrial Revolution:
The First Industrial Revolution took place from the 18th to 19th centuries in Europe and America. It was a period when mostly agrarian, rural societies became industrial and urban. The iron and textile industries, along with the development of the steam engine, played central roles in the Industrial Revolution.
Second Industrial Revolution:
The Second Industrial Revolution took place between 1870 and 1914, just before World War I. It was a period of growth for pre-existing industries and expansion of new ones, such as steel, oil and electricity, and used electric power to create mass production. Major technological advances during this period included the telephone, light bulb, phonograph and the internal combustion engine.
Third Industrial Revolution:
The Third Industrial Revolution, or the Digital Revolution, refers to the advancement of technology from analog electronic and mechanical devices to the digital technology available today.
The era started during the 1980s and is ongoing. Advancements during the Third Industrial Revolution include the personal computer, the internet, and information and communications technology (ICT)
Fourth Industrial Revolution
Option 1 and 3 are correct: The Fourth Industrial Revolution builds on the Digital Revolution, representing new ways in which technology becomes embedded within societies and even the human body.
The Fourth Industrial Revolution is marked by emerging technology breakthroughs in a number of fields, including robotics, artificial intelligence, nanotechnology, quantum computing, Cloud Computing, biotechnology, The Internet of Things (IoT), 3D printing and autonomous vehicles.