SBI Associates Clerk 2015 - Free online Gk , current affairs, Free
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SBI Associates Clerk 2015 - Free online Gk , current affairs, Free
General Knowledge General Knowledge Capsule Capsule for IBPS PO, IBPS Clerk, SBI Clerk , SBI PO, SBI Associates PO, SBI Associates Clerk. GK CAPSULE FOR SBI ASSOCIATE CLERK-2015 S.No . 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 C ontents C urrent RB I P olic y & Reserv e R at es N ews Rel ated t o B anking & Financ e N ews rel ated t o R BI N ew Appo int ment i n Indi a N ew Appo int ment i n W o rld SUM MIT Scheme & Plan Launch ed by U nion & State G overnment Award s & Ho nors Person in N ews Boo ks & Th ei r Au thors L EADER S VISITED IN ID IA O BITUARY Sports N ews N ews Rel ated To Defense & Tec hno logy I mportant Days L IST OF W O RLD CO UN TRIES & TH EIR CAPITAL C urrency Important News (Ind ia & W orld ) Page No . Free Mock Test for Marketing, Banking , Computer etc Free online study TRY NOW Current RBI Policy & Reserve Rates: •Repo Rate 8% (Unchanged) •Reverse Repo 7% (Unchanged) •CRR 4% (Unchanged) •SLR 22% (Unchanged) •MSF 9% (Unchanged) •Bank Rate 9% (Unchanged) Note: As on 30, Sept, 2014, RBI (Reserve Bank of India) in its fourth bimonthly monetary policy statement kept the key policy rate unchanged. RBI issued guidelines for setting up a trading platform for trade receivables and bills of exchanges of Micro and Small and Medium Enterprises - MSME. The Trade Receivables Discounting System - TReDS should have a minimum paid up equity capital of 25 crore rupees and non-promoters would not hold over 10 per cent of the equity capital of TReDS. RBI relaxed norms for Prepaid Payment Instruments (PPIs) and doubled the limit to one lakh rupees from 50000 rupees. Highlights of RBI norms on PPI i. The maximum validity of gift cards has been enhanced from one year to three years. Other provisions of PPI guidelines with respect to gift cards will continue. ii. RBI also allowed issue of multiple PPIs by banks from fully-KYC compliant bank accounts for dependent or family members. Only one card can be issued to one beneficiary. The central bank also permitted banks to issue rupee denominated PPIs for visiting foreign nationals and NRIs. 3. RBI keeps interest rate unchanged i. RBI in its fifth bi-monthly monetary policy statement kept the policy rates unchanged. ii. The headline inflation has been receding steadily, and current readings are below the January 2015 target of 8 per cent as well as the January 2016 target of 6 per cent,'' the RBI said. 4. RBI eased gold imports and scrapped 20:80 schemes. The decision to withdraw the 20:80 schemes will cut smuggling of gold and raise legal shipments into India. Visit: www.freeonlinegk.com 5. Government needs to infuse as much as Rs 2.4 lakh crore ($38.78 billion) into state-owned banks by end-March 2019 to meet different kinds of capital requirements including Basel III, provisioning for asset quality, and additional risks, said a central bank Deputy Governor SS Mundra. 6. RBI tightens norms for NBFCs: Tightening norms for non-banking financial companies (NBFCs), the Reserve Bank of India raised the capital adequacy requirement and the net owned fund limit, among others, with an objective to mitigate risks in the sector. Note: i. At present, the net owned fund (NOF) requirement is at Rs.25 lakh. In a phased manner, the NBFCs would be required to raise it to Rs.1 crore by March, 2016, and to further double it to Rs.2 crore by 2017. iii. Also, NBFCs primarily engaged in lending against gold jewellery, will have to maintain a minimum Tier I capital (or equity capital) of 12 per cent with effective from April 1 as against existing requirement of 10 per cent. iv. For deposit and non-deposit taking NBFCs, Capital to Risk (Weighted) Assets Ratio or CRAR, which includes Tier I capital of 7.5 per cent, which have to be raise the Tier I capital to 8.5 per cent by end of March 2016 and 10 per cent by March, 31, 2017. 7. The Reserve Bank has signed a pact with Central Bank of Kenya for exchange of information and supervisory cooperation. 8. RBI Draft Guidelines for Licensing of New Banks in the Private Sector Key points: i. Minimum capital requirement will be Rs 500 crore. ii. Aggregate foreign shareholding in the new bank should not exceed 49 per cent for the first five years. iii. The new bank should open at least 25 per cent of its branches in unbanked rural centres. 9. Non-Banking Financial Company (NBFC): A Non-Banking Financial Company (NBFC) is a company registered under the Companies Act, 1956 are financial institutions that provide banking services without meeting the legal definition of a bank, i.e. one that does not hold abanking license. Difference between banks & NBFCs: i. NBFC cannot accept demand deposits; ii. NBFCs do not form part of the payment and settlement system and cannot issue cheques drawn on itself; iii. deposit insurance facility of Deposit Insurance and Credit Guarantee Corporation is not available to depositors of NBFCs, unlike in case of banks. Key Points i. Minimum capital requirement will be Rs 500 crore. ii. Aggregate foreign shareholding in the new bank should not exceed 49 per cent for the first five years. iii. The NBFCs are allowed to accept/renew public deposits for a minimum period of 12 months and maximum period of 60 months. They cannot accept deposits repayable on demand. iv. NBFCs cannot offer interest rates higher than the ceiling rate prescribed by RBI from time to time. The present ceiling is 12.5 per cent per annum. v. The deposits with NBFCs are not insured. 10. RBI Draft Guidelines for Licensing of Foreign Banks - Foreign banks that want to set up operations in India will have to do so through an independent subsidiary. This means they cannot operate as a branch of the parent bank. Key Points: i. The initial minimum capital for a WoS will be Rs. 500 crore. ii. RBI said that the WoS (wholly-owned subsidiary) will be required to meet Basel-III requirements (9 per cent Tier-I capital) right from Day One. For the first three years, the WoS will have to maintain Tier-I capital at 10 per cent. iii. The Priority Sector Lending (PSL) requirement will be 40 per cent for WoSs, such as domestic scheduled commercial banks iv. The new bank should open at least 25 per cent of its branches in unbanked rural centres. 11. Reserve Bank of India reduced free usage of other bank automated teller machines (ATMs) to 3 per month from 5: Frequent withdrawal of money from ATMs will become expensive from November, with the RBI imposing a limit of 3 transactions per month from ATMs of other banks and 5 from the same bank in six metropolitan cities. Note: A customer will be required to pay a fee of up to Rs 20 for using Automated Teller Machines (ATMs) beyond the permitted numbers of transactions in Delhi, Mumbai, Chennai, Bangalore, Kolkata and Hyderabad. . RBI issued two new categories of banksSmall and Payments which can improve financial inclusion. Important Points: i. The idea of small and payments banks was first proposed by the Nachiket Mor committee on financial inclusion. ii. The minimum paid-up capital requirement of both small banks and payments banks is Rs. 100 crore. iii. The payments bank will have to invest in government securities with a maturity of up to one year. iv. Small banks will offer both deposits as well as loan products. ii. Payments banks will be used only for transaction and deposits purposes. Unlike small banks, payments banks can't lend money to people. 2 iii. Payments Banks cannot set up subsidiaries to undertake NBFC business. iv. Hence, payments banks will offer only a limited range of products such as acceptance of demand deposits and remittance of funds. v. Those eligible to set up a small bank include resident individuals with 10 years of experience in banking and finance, companies and societies, NBFCs, microfinance institutions and local area banks. v. Of the minimum capital, the guidelines said, the promoters' initial minimum contribution will be at least 40 per cent, to be locked in for a period of 5 years. vi. The Reserve Bank of India has issued final norms for payment banks and small finance banks that would allow mobile firms and supermarket chains, to enter the banking arena to cater to individuals and small businesses. vii. The move aims at deepening financial inclusion and boost saving habits. Shriram Capital, Janalakshmi Financial Services, Magma Fincorp and Muthoot Finance, among others, are expected to throw their hats into the ring to set up small banks. viii. The Department of Posts, Bharti Airtel, Vodafone India, Tata Teleservices, Western Union and online digital payment players such as Paytm, Oxigen and MobiKwik have expressed interest in floating payment banks. Companies will have to apply by January 16, 2015, for licences in both categories. Key activities i. The small bank will primarily undertake basic banking activities of acceptance of deposits and lending to un-served and underserved sections, including small business units, small and marginal farmers, micro and small industries and unorganised sector entities. ii. Small banks will be required to maintain a minimum capital adequacy ratio of 15 per cent of the loans on a continuous basis. iii. In the draft guidelines, the RBI had suggested that small banks would have a restricted area of operations (possibly contiguous districts in a homogenous States). However, in the final guidelines, these restrictions have been removed. The small bank will be required to extend 75 per cent of its credit to the priority sector Payment Banks: i. Payments banks can accept deposits current and savings bank from individuals, small businesses and other entities but cannot provide loans. However, they cannot accept non-resident Indian deposits. ii. The payment bank will initially be restricted to holding a maximum balance of Rs1 lakh per individual customer. iii. While the bank can issue ATM/debit cards, it cannot issue credit cards.It can contract outside liabilities (deposits) but not exceeding 33.33 times (against 20 times in the draft guidelines) its net worth. 13. RBI issues guidelines for NBFCs on lending against shares. Note: According to the guidelines applicable to NBFCs with asset size of Rs. 100 crore and above, the NBFCs have to maintain a loan-to-value (of shares pledged) of 50 per cent and accept only Group 1 securities as collateral for loans of a value more than Rs. 5 lakh. 14. RBI notified the increase in deposit money under Public Provident Fund, PPF to 1.5 lakh rupees from 1 lakh rupees. 15. The Reserve Bank of India (RBI) issued draft guidelines for implementation of Bharat Bill Payment System (BPPS), an 'anytime anywhere' bill payment system: Note: i. Bharat Bill Payment System is intended for the implementation of a unified bill payment system across the country. This integrated bill payment system will comprise of two entities: i. Entity operating at Bharat Bill Payment System (BBPS) will be setting up the standards related to payments, clearance and settlement process ii. Second entity would be Bharat Bill Payment Operating Units (BBPOUs). It will be carrying out the operations in adherence to the standards fixed by BBPS. iii. Authorised entities such as agents, banks, service providers, payment gateways would be the participants at the Bharat Bill Payment System. 16. Raghuram Rajan, the Governor of the Reserve Bank of India (RBI) announced that plastic currency notes will be launched in 2015 after field trials. 17. Reserve Bank of India (RBI) issued the guidelines to allow the minors of age above 10 years to independently open and operate savings bank accounts and use other facilities like ATM and cheque books. SBI in news SBI to raise Rs.4,000 cr for BPCL's petrochemical plan i. State-run Bharat Petroleum Corporation Ltd (BPCL) is planning to raise Rs.4,000crore for the expansion of its Kochi refinery and to fund its petrochemicals venture, said three banking sources aware of the development. 3 Ii. BPCL is planning to diversify into downstream petrochemicals with an investment of Rs.4,588crore by using propylene. State Bank of India to launch Islamic equity fund i. State-owned bank will launch an Islamic equity fund next month aimed primarily at the country's 170 million Muslims.SEBI recently allowed the government-owned State Bank of India BSE 0.41 % and three mutual funds to launch Sharia funds. Note:India is only the second country outside the Islamic world where a state-owned bank is offering a Sharia-compliant fund. The U.K. issued sovereign Islamic bonds in June. SBI launches first homegrown economic indicator the SBI Monthly Composite Index and the SBI Yearly Composite Index that will primarily track manufacturing activity and offer a forward-looking economic trends. SBI Online were among the three most searched words on the internet search engine in 2014. SBI signed 500 million dollar Line of Credit with Export-Import Bank of Korea (Korea Eximbank). SBI, celebrated 150 years of its operations in Sri Lanka on 13/Sept/2014. SBI launches mPassBook facility on its smartphone application anywhere' mobile application, for its retail banking users. SBI lend $ 1 billion to Adani Group to build Australian coal mine which it aims to build by end-2017. Founder of Adani Group - Gautam Adani. SBI Cards ties up with Future Group company Fashion at Big Bazaar (FBB) to offer a co-branded CREDIT CARD, 'Styleup'Ǥ New Appointments in India 2014 IndiaNew Minister Appointed: 1. Manohar Parrikar Defence Minister 2. Suresh Prabhu - Railway Minister 3. D V Sadananda Gowda - Law and Justice Minister 4. Ravi Shankar Prasad: Communications and Information Technology 5. Jagat Prakash Nadda: Health & Family Welfare 6. Birender Singh - Minister for Rural Development, Panchayati Raj and Drinking Water and Sanitation 7. Dr. Harsh Vardhan: Science and Technology, Earth Sciences 8. Dr. Mahesh Sharma New Tourism Minister Others Appoinment 1. Aziz Qureshi appointed as New Governor of Mizoram. 2. KK Paul is given the additional charge as the Governor of Uttarakhand. 3. Rajinder Khanna to be New Chief of RAW for a period of two years from December 31 after incumbent Alok Joshi retires. 4. Jyotsna Suri elected as the President of the (FICCI) the Federation of Indian Chambers of Commerce & Industry (FICCI).She succeeded Sidharth Birla. 5. Prakash Mishra takes over as DG of country's largest paramilitary and lead anti-Naxal operations force CRPF.Mishra was an exOdisha police DGP and 1977-batch IPS officerv 6. Dineshwar Sharma has been appointed as the next chief of Intelligence Bureau(IB). he will succeed Syed Asif Ibrahim whose tenure ends on December 31. 7. Randhir Singh appointed as honorary member of International Olympic Committee (IOC) in Monaco. 8. Anurag Jain appointed as joint Secretary in Prime Minister's Office (PMO) of India. 9. Govt appoints Dinesh Kumar as CEO of Polavaram Project. 10. Arun Duggal appointed as non-executive Chairman of Credit rating agency ICRA. He will replace Pranab Kumar Choudhury who will resign from ICRA Limited and all other affiliated entities on 29 January 2015. 11. Anil Sinha takes over as new CBI Chief. Mr. Sinha is the third consecutive chief of the agency from Bihar following Ranjit Sinha and A.P. Singh 12. Former Uttar Pradesh chief secretary Anoop Mishra was appointed as new Secretary General of the Lok Sabha. He was appointed by Lok Sabha Speaker Sumitra Mahajan. 13. West Bengal Governor Keshari Nath Tripathi was appointed as Governor of Bihar. 14. Former Supreme Court judge CK Prasad is set to be appointed as the next Chairperson of the Press Council of India. Prasad will succeed Justice Markenday Katju as the Chairman of the PCI 15. Deepak Gupta: appointed new Chairman of UPSC. He replaced Rajni Razdan. 16. Hasmukh Adhia: appointed Director of Central Board of Directors of the RBI. 17. Laxmikant Parsekar new Goa CM 18. Jawed Usmani appointed as State Chief Information Commissioner in UP 19. Mannan Kumar Mishra appointed Chairman of Bar Council of India 20. Hasmukh Adhia appointed Financial Services Secretary. He replaces GS Sandhu 21. Mallikarjun Kharge inducted into the three-member Chief Information Commissioner (CIC) selection committee Note: The other two members of the committee are Prime Minister Narendra Modi (as head) and Union Finance and Defence Minister Arun Jaitely. ii. The Right to Information (RTI) Act, 2005 says that CIC selection can be done by a three-member panel comprising the Prime Minister, who shall be the Chairperson of the committee, Leader of Opposition in Lok Sabha and a cabinet minister nominated by the Prime Minister. 22. Anita Kapur appointed new Central Board of Direct Taxes (CBDT) Chairperson. He replace K V Chowdary www.bankersadda.com | www.careerpower.in | www.careeradda.co.in 27 23. Tribal leader Ganpat Vasava new Gujarat Speaker 24. Surya Prakash appointed as Chairman of Prasar Bharti Board. He succeeded Mrinal Pande 25. Devendra Fadnavis : New Chief Minister of Maharashtra 26. Manohar Lal Khattar: New Chief Minister of Haryana Note: Khattar won the Assembly polls from Karnal seat. 27. Arvind Subramanian appointed new Chief Economic Advisor. 28. Rajiv Mehrishi appointed new finance secretary. He replace Arvind Mayaram 29. Atul Kumar Jain: New Chief of staff for Southern Naval Command 30. Narinder Batra elected President of the Hockey India. 31. Murali Lanka: Chief Executive Officer (CEO) of WalMart India 32. Kaushal Srivastava: Chairman of the Central Board of Excise and Custom (CBEC) 33. Syed Muazzem Ali new Bangladesh Envoy to India. He replace Tariq A. Karim 34. Rajiv appointed acting Central Vigilance Commissioner (CVC). He replace Pradeep Kumar 35. Hemant Contractor New Chairman of Pension Fund Regulatory Fund and Development Authority (PFRDA). 36. O. Panneerselvam: new chief minister of Tamil Nadu. He replace J. Jayalalithaa Note: He is 28th Chief Minister of Tamil Nadu. 37. Justice HL Dattu: new Chief Justice of India. He replace CJI RM Lodha 38. Le Yucheng appointed China's New Ambassador to India. He replace replaced Wei Wei 39. P Sathasivam appointed new Governor of Kerala. He replace Sheila Dikshit 40. Lalitha Kumaramangalam appointed new chief of the National Commission for Women (NCW). She replaces Mamta Sharma. 41. BJP veteran L.K. Advani appointed as the chairman of the prestigious Ethics Committee of Lok Sabha. 42. Shah Rukh Khan appointed Ambassador of Interpol's initiative 'Turn Back Crime' campaign, aimed at promoting greater awareness on how to prevent crime. 43. Adil Zainulbhai appointed as the Chairman of Quality Council of India (QCI). 44. Amit Mathew elected as chairman of Audit Bureau of Circulations 45. Suresh Prabhu appointed as PM Narendra Modi's Sherpa for the Group of 20 annual Summit 2014. Note: The G-20 annual summit will be held in Brisbane from 15 November to 16 November 2014. ii. Suresh Prabhu will attend the G20 Sherpa's meeting that is going to be held in Canberra, Australia from 30 September to 1 October 2014. iii. Sherpa is a senior official responsible for preparing the agenda for leaders to consider during the summit. 46. India TV chairman and editor-in-chief Rajat Sharma appointed as the president of News Broadcasting Association 47. Former Union Home Secretary GK Pillai appointed Vice Chairman of Tata Steel 48. Hardeep Singh Puri appointed as Secretary General of Independent Commission on Multilateralism (ICM) 49. RN Ravi appointed as new chief of Joint Intelligence Committee. Note: Intelligence Committee is a body tasked to assess intelligence gathered by various intelligence agencies including IB and RAW. 50. T M Bhasin: New Chairman of Indian Banks Association. He replaces KR Kamath. 51. K V Thomas: new Chairman of Parliament's Public Accounts Committee. 52. K.V. Chowdary appointed as new Chairman of Central Board of Direct Taxes (CBDT). He succeed R K Tewari 53. Arvind Gupta appointed Deputy National Security Advisor 54. Aditya Vardhan Agarwal, new Vice-President of Indian Chamber of Commerce 55. Justice Dr. Chellur sworn in as Chief Justice of Calcutta High Court 56. Former India cricket captain Kapil Dev will head the Arjuna Awards selection committee for choosing this year's outstanding sportspersons of the country 57. Former Hockey Captain Ajitpal Singh to head Dronacharya Award Selection Committee 58. Ravi Shankar joined infrastructure finance company IDFC as the head of Bharat Banking. Note: IDFC, which recently bagged a commercial banking licence, plans to start bank operations by October next year. The list of Cabinet Ministers: 59. Rajnath Singh: Home Minster 60. Sushma Swaraj: External Affairs & Overseas Indian Affairs 61. Arun Jaitley: Finance Corporate Affairs 62. M. Venkaiah Naidu: Urban Development Housing and Urban Poverty Alleviation & Parliamentary Affairs 63. Nitin Jairam Gadkari: Road Transport and Highways Shipping. 64. Uma Bharati: Water Resources, River Development and Ganga Rejuvenation 65. Dr. Najma A. Heptulla: Minority Affairs 66. Ramvilas Paswan: Consumer Affairs, Food and Public Distribution 67. Kalraj Mishra: Micro, Small and Medium Enterprises 68. Maneka Gandhi: Women and Child Development 69. Ananthkumar: Chemicals and Fertilizers 70. Ashok Gajapathi Raju: Civil Aviation 71. Anant Geete: Heavy Industries and Public Enterprises 72. Harsimrat Kaur Badal: Food Processing Industries 73. Narendra Singh Tomar: Mines & Steel Labour and Employment 74. Jual Oram: Tribal Affairs 75. Radha Mohan Singh: Agriculture New Appointment in World 1. Tabare Ramon Vazquez Rosas won Uruguay Presidential Election 2014.Vazquez belongs to the leftist Broad Front coalition party of Uruguay.replaed Jose Mujica who was barred by law from running for a second consecutive term. 2. Anerood Jugnauth appointed as Mauritius Prime Minister by the President Purryag by replacing Prime Minister Navinchandra Ramgoolam. 3. Richard Rahul Verma -US Ambassador to India replaced Kathleen Stephens. 4. Ashton Carter new US defense secretary to replace Chuck Hagel as US Defence Secretary. 5. National Rifle Association of India ,NRAI, chief Raninder becomes first elected Indian in ISSF International Shooting Sport Federation committee. 6. India's S Ravi in ICC panel of umpires for World Cup. 7. Richard Rahul Verma sworn in as US Ambassador to India by Secretary of State John Kerry.He will replace Nancy Powell, who resigned in March after a damaging row over the treatment of diplomat Devyani Khobragade over visa fraud charges. 8. Japanese Prime Minister Shinzo re-elected for another four year term 9. US senate confirms Vivek Murthy as 19th Surgeon General of America.He is youngest person and first person of Indian-origin to hold the post. 10. Michel Kafando: New interim president of Burkina Faso 11. Klaus Werner Iohannis elected new President of Romania. He replace Traian Basescu. 12. Farhan Akhtar appointed as UN Women Goodwill Ambassador for South Asia. 13. Tata Sons Chairman Ratan Tata has been appointed to the board of Interpol Foundation to contribute to its two new global initiatives aimed at combating organised crime and terrorist activities by the international police organisation. 14. Dilma Rousseff re-elected as Brazilian President for 2nd term 15. Joko Widodo: New President of Indonesia 16. Khaled Bahah: new Prime Minister of Yemen 17. Leah Kalanguka crowned as Miss Uganda 2014 18. Ron Klain : President Barack Obama appointed a former chief of staff Ron Klain as Ebola "czar." 19. Pratima Dharm - Georgetown University appoints Pratima Dharm as first Hindu priest 20. John Key re-elected as the Prime Minister of New Zealand for a third term 21. Ashraf Ghani sworn in as Afghanistan President. He replaced Hamid Karzai 22. Voreqe Bainimarama new Prime Minister of Fiji 23. Lieutenant General Rizwan Akhtar appointed Inter-Services Intelligence (ISI) chief 24. Leonardo DiCaprio appointed as UN Messenger of Peace 25. Kaushik Basu: International Economic Association appointed as President-Elect Note: Amartya Sen became the first Indian to join IEA. 26. Subhash Chandra Garg appointed as Executive Director (ED) in World Bank. 27. Sergio Marchionne new Ferrari chairman. He replace Luca Cordero di Montezemolo 28. TCS re-appoints N Chandrasekaran as CEO 29. Recep Tayyip Erdogan: Turkey's new president 30. Haider al-Abadi : New Iraqi Prime Minister 31. Chief Prayuth Chan-ocha elected new PM of Thailand Summit 1. Lima Climate Change Conference - December 2014 i. Officials from over 190 nations, including India converged in Lima at the UN climate summit to negotiate on a new ambitious and binding deal to cut global carbon emissions. ii. During the 12-day summit in the Peruvian capital, countries will put forward what they plan to contribute to the 2015 pact in the form of Intended Nationally Determined Contributions (INDCs) by the first quarter of 2015, well in advance of the Paris conference in December. iii. Environment Minister Prakash Javadekar leads India's 17- member delegation to negotiate terms for the final agreement to be signed in Paris, which will take effect in 2020. 2. SAARC Summit: 18th SAARC 2014- Kathmandu (Nepal) South Asian Association for Regional Cooperation (SAARC) Headquarter - Kathmandu (Nepal) Members 8 India, Nepal, Bhutan, Bangladesh, Afghanistan, Maldives, Pakistan, Sri Lanka (MBA IN BSP) Note: i. This is the third time Nepal will host the SAARC Summit after 1997 and 2002. ii. The 17th SAARC summit was held in November 10, 2011 in the South Province of Maldives Theme of 18th SAARC Summit - 'Deeper Integration for Peace, Progress and Prosperity' 3. G 20 Summit: G20 Leaders Summit (2014) held in Brisbane, Queensland (Australia). G-20 meeting (2014) of Finance ministers and central bank governors held in Cairns (Australia). G-20 Labour and Employment Ministerial meet held in Melbourne (Australia) 15th G-20 Summit 2015 Turkey 16th G-20 Summit 2016 China About G-20- i. The G20 is the premier forum for international economic cooperation and decision-making, with members from 19 countries plus the European Union. iii. G20 members account for 85 percent of the world economy, 80 percent of global trade and two-thirds of the world's population. iv. The G20 represents all geographic regions of the world, but remains small enough to be an effective decision-making body. v. The members are: Argentina, Australia, Brazil, Canada, China, European Union, France, Germany, Indonesia, India, Italy, Japan, Republic of Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, United Kingdom and the United States. 4. NATO Summit 2014- Wales (Britain) Note: This is the first NATO summit since Chicago in 2012, ii. Britain last hosted the summit in 1990, when Margret Thatcher was Prime Minister About NATO (North Atlantic Treaty Organisation) - NATO's essential purpose is to safeguard the freedom and security of its members through political and military means. Chief Jens Stoltenberg Members 28 countries members. Headquarter Brussels, Belgium 5. Nuclear security summit i. 3rd Summit 2014 : Hague, Netherland ii. 4th Summit 2016: United States 6. BRICS summit 6th BRICS Summit 2014: Fortaleza, Brazil Theme "Inclusive Growth: Sustainable Solutions". Next 7th BRICS Summit to be held in Ufa, Russia Note: Ufa is the capital city of the Republic of Bashkortostan, Russia, and the industrial, economic, scientific and cultural centre of the republic. www.bankersadda.com | www.careerpower.in | www.careeradda.co.in 30 The New Development Bank (NDB), is operated by the BRICS states (Brazil, Russia, India, China and South Africa) as an alternative to the existing World Bank and International Monetary Fund. The New Development Bank headquarter will be in Shanghai, China. The Bank will have a rotating chair and its first President will come from India for the first six years. 7. IBSA Summit: India will host the next summit of IBSA (India, Brazil, South Africa) in New Delhi in 2015. 8. G 8 Summit: G-8 Countries: Canada, France, Germany, Italy, Japan, Russia, Britain and the US 40th G-7 summit 2014 held at Brussels. Note: It was the first time that the EU hosted a G7 summit. The summit is jointly represented by the European Council President Herman van Rompuy and the European Commission President. OTHERS SUMMIT 1. International Buddhist Conference 2014 held in Nepal 2. 9th East Asia Summit held in Nay Pyi Taw, Myanmar 3. 45th International Film Festival of India begins in Goa. 4. The International Renewable Energy Agency, IRENA hold its eighth Council meeting in Abu Dhabi. 5. The World Economic Forum summit held in New Delhi 6. India-Arab League officials meeting held in New Delhi 9. Sixth World Ayurveda Congress held in New Delhi. Note: Theme of the sixth WAC was "Health Challenges and Ayurveda 10. The 10th edition of World Islamic Economic Forum, WIEF held in Dubai. 11. G-4 foreign minister meeting held in New York to discuss Security Council reform Note: G -4 countries include- India, Brazil, Germany and Japan 12. UN Climate Change Summit 2014 held in New York 13. 13th edition of the Pravasi Bharatiya Divas (PBD) will be held for the first time in Gandhinagar, Gujarat. India deal with China India signs pact with China to better trade ties of $20bn: India signed a 5-year trade and economic cooperation agreement with China with a view to improve the trade balance. Important Points 1. India, China sign 3 MoUs including setting up Industrial Park in Gujarat The agreements include i. Sister city pact between Guangzhou in China and Ahmedabad ii. Setting up of an industrial park in Vadodara district (Gujarat) iii. The third is between the governments of Gujarat and a Chinese province. 2. New road to Kailash Mansarovar via Nathu La 3. Mumbai and Shanghai will be twin cities. 4. China will set up two industrial parks in India, one each in Gujarat and Maharashtra. India deal with Japan Important Points 1. Japan promise to give USD 35 to India thorugh public & private funding over the next five years for developmental projects, including building of smart cities and next generation infrastructure as also cleaning of the Ganges. 2. Both sides signed 5 pacts covering defence exchanges, cooperation in clean energy, roads & hishways, healthcare and women. 3. India, Japan sign MoU to develop Varanasi into 'smart city': by using the experience of Kyoto, the 'smart city' of Japan, under a pact signed b/w India & Japan. 4. Japan to work with India in finding sickle cell anemia remedy. Modi met Shinya Yamanaka, Japan's stem cell pioneer and 2012 Nobel Prize winner for medicine, at Kyoto University and discussed treatment of the disease. MOUs-Deal between India & Other Countries 1. India extends $80-mn line of credit to Fiji: India announced a $75-million line of credit for Fiji for a co-generation power www.bankersadda.com | www.careerpower.in | www.careeradda.co.in 31 plant and upgrading the sugar industry and also a $5-million fund to develop its villages even as the two countries agreed to expand their defence and security cooperation. Note : PM of Fiji - Frank Bainimarama, Capital of Fiji Suva, Currency - Dollar 2. China and Australia signed a memorandum of understanding (MoU) on bilateral Antarctic cooperation. 3. India and Australia signed five pacts on social security, transfer of sentenced prisoners, combating narcotics trade, tourism, and Arts and Culture. Australian Prime Minister Tony Abbott and his Indian Counterpart Narendra Modi agreed to have a Free Trade deal by 2015 end. 4. The government has allocated Rs 5,000 crore rupees under AYUSH Mission for promoting traditional methods of treatment in the country. 5. India and Bhutan signed a Memorandum of Understanding (MoU) to develop Nalanda University in Bihar as an international centre of excellence. 6. India and Republic of Korea signed an a Memorandum of Understanding (MoU) to facilitate technical cooperation in Railway sector between the two countries. 7. Nepal, India agree to form task force to install petro pipeline. 8. Government is planning to cover the entire country under Indira Gandhi Maatritva Sahyog Yojana by 2016. ii. The scheme envisages providing cash directly to pregnant and lactating mothers during pregnancy and lactation to improve health and nutrition. 9. India, Vietnam decide to step up security, defence ties. India offers USD 300mn credit line to Vietnam for trade 10. India signed the Minamata Convention on Mercury with Japan. Note: The Minamata Convention gives five years time to India to control and reduce emissions from new power plants and 10 years time for the already existing power plants. 11. India and Nepal have inked the Power Trade Agreement (PTA), allowing exchange of electricity and opening up new vistas of cooperation in the hydro-power sector. 12. India and United Kingdom (UK) signed a Memorandum of Understanding (MoU) on Culture Cooperation over next five years. 13. India's low-cost carrier IndiGo signed a Memorandum of Understanding (MoU) to buy 250 A320neo Family aircraft worth 25.5 billion US dollars from Airbus Group. This agreement is Airbus single largest order by number of aircraft. 14. India and Norway signed 13 agreements to promote bilateral relations. These include agreement between Defence sector of two countries and an agreement on exemption of visa requirement for holders of diplomatic and official passports. 15. ONGC Videsh Ltd, signed an agreement with Petroleos Mexicanos (Pemex) for cooperation in the Latin American nation. Note: Mexico is the largest crude oil producing country in Latin America. 16. Nepal seeks technical cooperation from India for extending Provident Fund (PF) 17. India and Vietnam inked seven pacts, including one to enhance cooperation in the strategic oil sector, as they called for "freedom of navigation" in the South China Sea, 18. Hero MotoCorp Limited has entered into an agreement with the Andhra Pradesh Government for setting up a Greenfield twowheeler manufacturing plant in Chittoor district 19. Latin American nation Peru has plans to sign a free trade agreement with India. Note: Peru is the sixth largest gold producer, mining 5 million ounces every year. Peru is also the second largest producer of silver and the third biggest producer of copper, tin, zinc and lead. 20. Bangladesh and India have signed a memorandum of understanding (MoU) for enhanced cooperation in the fields of traditional medicine like Ayurveda and Unani, 21. United Arab Emirates has signed three agreements with the United Nations World Food Program, WFP, offering 31 million US dollars worth of humanitarian aid for the Syrian refugees. 22. Wildlife Trust of India (WTI) and Tata Chemicals Limited (TCL) signed MoU to setup India's first Coral Garden in Gujarat. This Coral Garden will be set up at Mithapur coastal region of Devbhoomi-Swarka district of Gujarat. 23. India and Germany agreed to prepare a roadmap for cooperation in skill development, solid waste management and cleaning of rivers. 24. India signed loan agreement with World Bank for Mizoram State Roads Project (MSRP II). As per the agreement, soft loan window of World Bank, International Development Agency (IDA) will provide assistance of 107 million US dollars for the Project. 25. India and Czech Republic signed MoU on technical cooperation in Railway. 26. India to give grant of $1 million for construction of cricket stadium in Afghanistan. The stadium is set to come up in Aino Mina, a northern suburb of Kandahar city on land donated to the Afghanistan Cricket Board in 2012. Modern Banking Facts: ICICI Bank was the first Indian Bank to provide internet banking facility. ICICI Bank was the first Bank to provide Mobile ATM. Bank of Baroda has the maximum number of overseas branches. SBI (State Bank of India) has the total number of maximum branches and holds 2nd position in the world. India's first "talking" Automated Teller Machine (ATM) launched by Union Bank of India (UBI) for visually impaired was launched in Ahmedabad (Gujarat). RBI to issue Rs 10 plastic currency notes in 5 cities: Kochi, Mysore, Jaipur, Bhubhaneswar and Shimla. Note: First plastic notes issued by Australia in 1988. RuPay is an Indian domestic card scheme conceived and launched by the National Payments Corporation of India (NPCI). RuPay facilitates electronic payment at all Indian banks and financial institutions, and competes with MasterCard and Visa in India. India's first non-bank owned ATM (White Label ATMs) opens in Maharashtra: Tata Communications Payments Solutions Ltd, a wholly owned subsidiary of Tata Communications Ltd, opened first White Label ATM at Chandrapada in Thane district, in Maharashtra. Banking topics in news NPA's (Non Performing Assets): i. A mortgage in default would be considered non-performing, after a prolonged period of non-payment(90 days). ii. The lender will force the borrower to liquidate any assets that were pledged as part of the debt agreement. If no assets were pledged, the lenders might write-off the asset as a bad debt and then sell it at a discount to a collections agency. Debt recovery tribunal (DRT- A court for such cases) A person whose account is declared as NPA SARFAESI ACT - In 2002, Govt. gave bank's a lifeline called as SARFAESI Act (Securitization and Reconstruction of Financial Assets and Enforcement of security interest Act) i. With this Act bank has the power to take possession of the owner's mortgaged property or can transfer this to some other ownership. What bank will do with the acquired property? i. Bank can use this for their own purpose like , opening a new branch on it, installing of ATM's etc. ii. Bank can advertise in newspapers for the auction of the property acquired and could auction them on any pre decided day. iii.Bank can sell the property to ARC (Asset Reconstruction Company), these are registered companies under RBI, they buy such assets from banks and sell them at higher prices to gain profits. Goods and Services Tax i. It is an indirect tax that will lead to the abolition of all other taxes such as, central sales tax, state-level sales tax, excise duty, service tax, and value-added tax (VAT). Both the state and the central governments will impose GST on almost all goods and services produced in India or imported into the country. ii. Exports will not be subject to GST. Direct taxes, such as income tax, corporate tax and capital gains tax will not be affected. It will simplify India's tax structure, broaden the tax base, and create a common market across states. This will lead to increased compliance and increase India's tax-to-gross domestic product ratio. iii. The highest rate of taxation under GST will be around 15 per cent in the first year, and eventually come down to 12 per cent in the second year. By comparison, the current rate of the various indirect taxes levied in India amounts to roughly 20 per cent. Goods deemed necessary or of basic importance will be taxed at a lower rate. iv. The GST can be implemented only through a Constitutional Amendment Bill, which means it needs to be approved by not less than two-thirds of the members present and voting in each House of Parliament. The GST must also be ratified by the legislatures of at least one-half of the states. v. States will get one-year time to implement the provisions of Goods and Services Tax (GST) after introduction of the new indirect tax regime from 1st April 2016. Types of Bank Accounts in India (Deposit Accounts) Traditionally banks in India have four types of deposit accounts, namely Saving Banking Accounts, Current Accounts, Recurring Deposits and, Fixed Deposits. 1. Saving Account - Saving accounts are opened to encourage the people to save money and collect their savings. The saving account holder is allowed to withdraw money from the account as and when required. The interest on Saving Bank Accounts was fixed by RBI and it was fixed at 4.00% on daily balance basis. RBI has deregulated Saving Fund account interest rates and now banks are free to decide the same within certain conditions imposed by RBI. Features of Saving Accounts 1. There is no restriction on the number and amount of deposits. However, in India, mandatory PAN (Permanent Account Number) details are required to be furnished for doing cash transactions exceeding र50,000. 2. Withdrawals are allowed subject to certain restrictions. 3. A minimum amount has to be kept on saving account to keep it functioning. 2. Current Account Current Accounts are basically meant for businessmen and are never used for the purpose of investment or savings. Features of Current Accounts (1) The main objective of Current Account holders in opening these account is to enable them (mostly businessmen) to conduct their business transactions smoothly. (2) There are no restrictions on the number of times deposit in cash / cheque can be made or the amount of such deposits; (3) Usually banks do not pay any interest on such current accounts. (4) The current accounts do not have any fixed maturity as these are on continuous basis accounts. (5) Cheque book facility is provided and the account holder can deposit all types of the cheques and drafts in their name or endorsed in their favour by third parties. 3. Recurring Desposit Account: Recurring Deposit is a special kind of Term Deposit offered by banks in India popularly known as RD accounts which help people with regular incomes to deposit a fixed amount every month into their Recurring Deposit account and earn interest at the rate applicable to Fixed Deposits. Features of RD Accounts 1. Recurring Deposit accounts are normally allowed for maturities ranging from 6 months to 120 months 2. These accounts can be opened in single or joint names. Nomination facility is also available. 3. Rate of Interest offered is similar to that in Fixed Deposits. 4. Interest is compounded on quarterly basis in recurring deposits. 4. Fixed Deposit Account (FD) - The account which is opened for a particular fixed period (time) by depositing particular amount (money) is known as Fixed (Term) Deposit Account. The term 'fixed deposit' means that the deposit is fixed and is repayable only after a specific period is over. Under fixed deposit account, money is deposited for a fixed period say six months, one year, five years or even ten years. The money deposited in this account can not be withdrawn before the expiry of period. Features of FD Accounts 1. The main purpose of fixed deposit account is to enable the individuals to earn a higher rate of interest on their surplus funds (extra money). 2. The amount can be deposited only once. For further such deposits, separate accounts need to be opened. 3. Fixed Deposit Account may be opened for a minimum period of 7 days and maximum period of 10 years. 4. The minimum amount required to open a Fixed Deposit is Rs.1000. 5. Withdrawals are not allowed. However, in case of emergency, banks allow to close the fixed account prior to maturity date. In such cases, the bank deducts 1% (deduction percentage many vary) from the interest payable as on that date. About (BASIC SAVING BANK DEPOSIT ACCOUNT): Under the guidelines issued on August 10, 2012 by RBI: Any individual, including poor or those from weaker section of the society, can open zero balance account in any bank. BSBDA guidelines are applicable to "all scheduled commercial banks in India, including foreign banks having branches in India". ii. The aim of introducing 'Basic Savings Bank Deposit Account' is very much part of the efforts of RBI for furthering Financial Inclusion objectives. Main Points of BSBDA-Small Accounts: i. In BSBDA, banks are required to provide free of charge minimum 4 withdrawals, through ATMs ii. Total credits in such accounts should not exceed 1 lakh rupees in a year. iii. Maximum balance in the account should not exceed 50,000 Rs at any time iv. The total of debits by way of cash withdrawals and transfers will not exceed 10,000 rupees in a month v. Foreign remittances cannot be credited to Small Accounts without completing normal KYC formalities v. Small accounts are valid for a period of 12 months initially which may be extended by another 12 months if the person provides proof of having applied for an Officially Valid Document. ATMs: (Automated Teller Machine): The ATM debit cards, credit cards and prepaid cards (that permit cash withdrawal) issued by banks can be used at ATMs for various transactions. Use of ATMs of Other Banks: i. 5 free transactions are permitted per month (inclusive of financial and/or non-financial) at other bank ATMs for Savings Bank Account holders. ii. For transaction beyond this minimum number of transactions, banks charge maximum of Rs 20/ - per transaction. iii. Reserve Bank of India reduced free usage of other bank automated teller machines (ATMs) to 3 per month from 5 from November, in six metropolitan cities - Delhi, Mumbai, Chennai, Bangalore, Kolkata and Hyderabad. WHITE Label ATMs: ATMs which are owned and operated by non-banking companies are called White Label ATMs. Note: RBI authorised four entities to operate as WLAs namely Tata Communications Payment Solutions, Prizm Payment Services Pvt. Ltd, Muthoot Finance Limited and Vakrangee Ltd. Personal Identification Number (PIN) : A Personal Identification Number is a secret numeric password shared between user and a system that can be use to authenticate the user to the system. IFSC (Indian Financial System Code): Indian Financial System Code is an alpha-numeric code that uniquely identifies a bank-branch participating in the NEFT system. ii. This is an 11 digit code with the first 4 alpha characters representing the bank, The 5th character is 0 (zero).and the last 6 characters representing the bank branch. iii. IFSC is used by the NEFT system to identify the originating / destination banks / branches and also to route the messages appropriately to the concerned banks / branches. For ex: SBIN0015986 : i. First 4 character SBIN refers to State Bank of India. ii. 0 is a control number. iii. last six characters (015986) represents the SBI branch Jail Road, Hari Nagar New Delhi. MICR (Magnetic Ink Character Recognition): MICR stands for Magnetic Ink Character Recognition. MICR Code is a 9 numeric digit code which uniquely identifies a bank branch participating in the ECS Credit scheme. MICR code consists of 9 digits e.g 400229128 i. First 3 digits represent the city (400) ii. Next 3 digits represent the bank (229) iii. Last 3 digits represent the branch (128) Note: The MICR Code allotted to a bank branch is printed on the MICR band of cheque leaves issued by bank branches. Cheque Truncation: i. Truncation is the process of stopping the flow of the physical cheque issued by a drawer at some point with the presenting bank en-route to the drawee bank branch. ii. In its place an electronic image of the cheque is transmitted to the drawee branch by the clearing house, along with relevant information like data on the MICR band, date of presentation, presenting bank, etc. iii. Cheque Truncation speeds up the process of collection of cheques resulting in better service to customers, reduces the scope for clearing-related frauds or loss of instruments in transit, lowers the cost of collection of cheques, and removes reconciliation-related and logistics-related problems, thus benefitting the system as a whole. Bancassurance: The sale of insurance and other similar products through a bank. This can help the consumer in some situations; for example, when a bank requires life insurance for those receiving a mortgage loan the consumer could purchase the insurance directly from the bank. Banking Ombudsman Scheme 2006: i. The Banking Ombudsman Scheme enables an expeditious and inexpensive forum to bank customers for resolution of complaints relating to certain services rendered by banks. ii. The Banking Ombudsman is a senior official appointed by the Reserve Bank of India to redress customer complaints against deficiency in certain banking services. iii. All Scheduled Commercial Banks, Regional Rural Banks and Scheduled Primary Co-operative Banks are covered under the Scheme. Other Important Points: The Banking Ombudsman does not charge any fee for filing and resolving customers' complaints. The amount, if any, to be paid by the bank to the complainant by way of compensation for any loss suffered by the complainant is limited to the amount arising directly out of the act or omission of the bank or Rs 10 lakhs, whichever is lower. The Banking Ombudsman may award compensation not exceeding Rs 1 lakh to the complainant only in the case of complaints relating to credit card operations for mental agony and harassment. If a complaint is not settled by an agreement within a period of one month, the Banking Ombudsman proceeds further to pass an award. Before passing an award, the Banking Ombudsman provides reasonable opportunity to the complainant and the bank, to present their case. If one is not satisfied with the decision passed by the Banking Ombudsman, one can approach the appellate authority against the Banking Ombudsmen's decision. Appellate Authority is vested with a Deputy Governor of the RBI. If one is aggrieved by the decision, one may, within 30 days of the date of receipt of the award, appeal against the award before the appellate authority. Deposit insurance and credit guarantee corporation (DICGC) All commercial banks including branches of foreign banks functioning in India, local area banks and regional rural banks are insured by the DICGC. Note: Primary cooperative societies are not insured by the DICGC. Maximum deposit amount insured by the DICGC - Each depositor in a bank is insured upto a maximum of Rs.1,00,000 (Rupees One Lakh). Credit Information Bureau (India) Limited: is India's first Credit Information Company (CIC) founded in August 2000. CIBIL collects and maintains records of an individual's payments pertaining to loans and credit cards. Coins in India Coins: The Government of India has the sole right to mint coins. Denominations: Coins in India are presently being issued in denominations of one rupee, two rupees, five rupees and ten rupees. Currency in India Currency: Banknotes in India are currently being issued in the denomination of Rs 10, Rs 20, Rs 50, Rs 100, Rs500, and Rs1000. These notes are called banknotes as they are issued by the Reserve Bank of India (Reserve Bank). Bank Notes in India Contemporary Currency notes have 15 languages on the panel which appear on the reverse of the note. Soiled Notes: Soiled notes are those which have become dirty and slightly cut. Mutilated Notes: Notes which are in pieces and/or of which the essential portions are missing can also be exchanged. Imperfect banknotes: Imperfect banknote means any banknote, which is wholly or partially, obliterated, shrunk, washed, altered or indecipherable but does not include a mutilated banknote. The deadline for exchanging pre-2005 currency notes of various denominations, including Rs 500 and Rs 1,000, has been extended by another six months till June, 30, 2015. i. The Reserve Bank of India has stated that the public can do so till June 30, 2015. Earlier in March 2014, it had set the last date for public to exchange these notes was January 1, 2015. ii. Post-2005 notes have added security features and help in curbing the menace of fake currency. Security Features of Indian Banknotes Watermark Security Thread Latent Image Microlettering Intaglio Identification Mark Fluorescence Important Banking Terminology: 1. Basis points: It is the increase in interest rates in percentage terms. For instance, if the interest rate increases by 50 basis points (bsp), then it means that interest rate has been increase by 0.50%. One percentage point is broken down into 100 basis points. Therefore, an increase from 2% to 3% is an increase of one percentage point or 100 basis points. 2. Bank Rate: Bank Rate is the rate at which central bank of the country (in India it is RBI) allows finance to commercial banks. Bank Rate is a tool, which central bank uses for short-term purposes. Any upward revision in Bank Rate by central bank is an indication that banks should also increase deposit rates as well as Base Rate / Benchmark Prime Lending Rate. Thus any revision in the Bank rate indicates that it is likely that interest rates on your deposits are likely to either go up or go down, and it can also indicate an increase or decrease in your EMI. 3. Liquidity adjustment facility (LAF) is a monetary policy tool which allows banks to borrow money through repurchase agreements. LAF is used to aid banks in adjusting the day to day mismatches in liquidity. LAF consists of repo and reverse repo operations. 4. Repo Rate: Whenever the banks have any shortage of funds they can borrow it form RBI. Repo rate is the rate at which commercial banks borrows rupees from RBI. A reduction in the repo rate will help banks to get money at cheaper rate. When the repo rate increases borrowing form RBI becomes more expensive. 5. Reverse Repo Rate: Reverse Repo rate is the rate at which RBI borrows money from commercial banks. Banks are always happy to lend money to RBI since their money is in the safe hands with a good interest. An increase in reverse repo rate can cause the banks to transfer more funds to RBI due to this attractive interest rates. One factor which encourages an organisation to enter into reverse repo is that it earns some extra income on its otherwise idle cash. 6. CRR (Cash Reverse Ratio): CRR is the amount of funds that the banks have to keep with RBI. If RBI increases CRR, the available amount with the banks comes down. RBI is using this method (increase of CRR), to drain out the excessive money from the banks. 7. SLR (Statutory Liquidity Ratio): SLR is the amount a commercial banks needs to maintain in the form of cash, or gold, or govt. approved securities (Bonds) before providing credit to its customers. SLR rate is determined and maintained by RBI in order to control the expansion of the bank credit. Need of SLR: With the SLR, the RBI can ensure the solvency of a commercial banks. It is also helpful to control the expansion of the Bank credits. By changing SLR rates, RBI can increase or decrease bank credit expansion. Also through SLR, RBI compels the commercial banks to invest in the government securities like govt. bonds. Main use of SLR: SLR is used to control inflation and propel growth. Through SLR rate the money supply in the system can be controlled effectively. 8. Marginal Standing Facility (MSF): MSF rate is the rate at which banks borrow funds overnight from the Reserve Bank of India (RBI) against approved government securities. 9. NEFT (National Electronic Fund Transfer): NEFT enables funds transfer from one bank to another but works a bit differently than RTGS. NEFT is slower than RTGS. The transfer is not direct and RBI acts as the service provider to transfer the money from one account to another. You can transfer any amount through NEFT, even a rupee. Note: Rs 50,000 is a limit in a NEFT to NEPAL in a single day. 10. RTGS (Real time gross settlement ): RTGS system is funds transfer systems where transfer of money or securities takes place from one bank to another on a "real time" and on "gross" basis. Settlement in "real time" means payment transaction is not subjected to any waiting period. The transactions are settled as soon as they are processed. Minimum & Maximum Limit of RTGS: 2 lakh and no upper limit. 11. Fiscal Deficit: A deficit in the government budget of a country and represents the excess of expenditure over income. So this is the amount of borrowed funds require by the government to meet its expenditures completely. 12. Direct Tax: A direct tax is that which is paid directly by someone to taxing authority. Income tax and property tax are an examples of direct tax. They are not shifted to somebody else. 13. Indirect Tax: This type of tax is not paid by someone to the authorities and it is actually passed on to the other in the form of increased cost. They are levied on goods and services produced or purchased. Excise Tax, Sales Tax, Vat, Entertainment tax are indirect taxes. 14. Foreign Exchange Market : Foreign exchange market is the place where the financial institutions of different countries come and exchange the currencies in a defined manner and set rates. In forex market the deals of currencies are done and in turn it defines the value of one currency in comparison to the other. A foreign investor (FII or FDI) is a major source of foreign currency in India. 15. NOSTRO Account: A Nostro account is maintained by an Indian Bank in the foreign countries. 16. VOSTRO Account: A Vostro account is maintained by a foreign bank in India with their corresponding bank. 17. SDR (Special Drawing Rights): SDR are new form of International reserve assets, created by the International Monetary Fund in 1967. The value of SDR is based on the portfolio of widely used countries and they are maintained as accounting entries and not as hard currency or physical assets like Gold. 18. BOND: Publicly traded ling term debt securities issued by corporations and governments, whereby the issuer agrees to pay a fixed amount of interest over a specified period of time and to repay a fixed amount of principal maturity. 19. CRAR(Capital to Risk Weighted Assets Ratio): Capital to risk weighted assets ratio is arrived at by dividing the capital of the bank with aggregated risk weighted assets for credit risk, market risk and operational risk. 20. Non Performing Assets (NPA): An asset (loan), including a leased asset, becomes non performing when it stops generatig income for the bank. Note: Once the borrower has failed to make interest or principle payments for 90 days the loan is considered to be a non-performing asset. 21. Inflation: inflation is a rise in the general level of prices of goods and services in an economy over a period of time. When the general price level rises, each unit of currency buys fewer goods and services. Consequently, inflation reflects a reduction in the purchasing power per unit of money a loss of real value in the medium of exchange and unit of account within the economy. 22. GDP - An estimated value of the total worth of a country's production and services, within its boundary, by its nationals and foreigners, calculated over the course on one year. Note: GDP = consumption + investment + (government spending) + (exports − imports). Total value of products & Services produced within the territorial boundary of a country. 23. GNP - An estimated value of the total worth of production and services, by citizens of a country, on its land or on foreign land, calculated over the course on one year. Note: GNP = GDP + NR (Net income inflow from assets abroad or Net Income Receipts) - NP (Net payment outflow to foreign assets). Total value of Goods and Services produced by all nationals of a country (whether within or outside the country). Credit Rating Agency in India & World Indian credit rating industry mainly comprises of CRISIL, ICRA, CARE, ONICRA, FITCH (India Ratings & Research) & SMERA. CRISIL - Credit Rating Information Services of India Limited, Headquarter Mumbai ICRA - Investment information and credit rating agency Headquarter - Gurgaon, India CARE - Credit Analysis and Research Headquarters Mumbai ONICRA - Headquarter - Gurgaon, India SMERA - Headquarters Mumbai Fitch (India Ratings & Research) - Headquarters Mumbai Note: CRISIL is the largest credit rating agency in India, with a market share of greater than 60%. Leading Credit Rating Agency in World 1. Standard & Poor's (S&P) Headquarter New York, US 2. Moody's Headquarter - New York, US 3. Fitch - Headquarter - New York, US Person in News 1. The Prime Minister of Taiwan Jiang Yi-huah on 29 November 2014 resigned after election loss. He lost his first election since protests erupted over a controversial TRADE deal with mainland China. 2. Pakistani actress Veena Malik sentenced to 26 years in jail for blasphemy. 3. Sachin Tendulkar named ambassador for 2015 ICC World Cup. 4. AIBA (International Boxing Association)bans Sarita Devi from October 1, 2014 to October 1, 2015 for refusing to accept her bronze medal at the Asian Games. 5. Former Olympic wrestling champion Steeve Guenot suspended for one year by the French anti-doping agency for missing doping tests. 6. By scaling Mount Vinson, Antarctica's highest mountain at 4,892 metres, Tashi Malik and Nungshi Malik from Dehradun have become the world's first twins and siblings to climb the highest peaks on the seven continents.Both accomplished their "Mission 2 for 7". 7. Priyanka Chopra inks deal with American ABC TV network. 8. Rampal Singh Jatin arrested by Haryana Police from his ashram in Hisar. He is famous as Sant Rampal and is a self-styled Godman www.bankersadda.com | www.careerpower.in | www.careeradda.co.in 40 9. Congress leader G.K. Vasan quits Congress 10. Bangladesh Jamaat-e-Islami Chief Motiur Rahman Nizami to death penalty for crimes against humanity during 1971 Bangladesh Liberation War. 11. Oscar Pistorius: Oscar Pistorius sentenced to five years in prison for killing her girl friend Reeva Steenkamp. Oscar Pistorius is a South African sprint runner. Resign/Retired 1. Isro chairperson K Radhakrishnan retires -Spearheading Indian Space Research Organisation triumphantly through several milestones. 2. Former Arsenal and French star Thierry Henry retires, ending a 20-year career. 3. Indian Hockey coach Terry Walsh quits 4. Leela Samson resigned as Sangeet Natak Akademi chairperson 5. B Muthuraman, Vice-Chairman of Tata Steel retired from the Board of the company 6. Maharashtra chief minister Prithviraj Chavan has resigned 7. Pankaj Advani announced to retire from professional snooker 8. Li Na: 2-time Grand Slam winner China player Li Na retires from tour Note: she won the 2011 French Open, and Australian Open title 9. Vinod Kumar Duggal: Vinod Kumar Duggal resigned as Manipur Governor 10. Sheila Dikshit: Kerala governor resigned 11. K Sankaranarayanan: Maharashtra governor resigned 12. Kamla Beniwal: Mizoram Governor removed 13. Dipa Karmakar became first Indian woman gymnast to win medal in Commonwealth Games 14. Nehchal Sandhu: Deputy National Security Adviser resigned Books & Their Authors 1. PM Narendra Modi launched Born Again on the Mountain by Arunima Sinha 2. Prince of Gujarat: The Extraordinary Story of Prince Gopaldas Desai released authored by Rajmohan Gandhi. 3. Rajdeep Sardesai penned the book titled 2014: The Election That Changed. 4. Book titled Letters for a Nation written by Jawaharlal Nehru & Madhav Khosla was published by Allen Lane an imprint of Penguin Books . 5. Next China-India War- World's First Water War authored by General S. Padmanabhan released. 6. The book titled Black Tornado: The Three Sieges of Mumbai 26/11 authored by Sandeep Unnithan. 7. President of India Pranab Mukherjee penned a book titled The Dramatic Decade: The Indira Gandhi Years.published by Rupa. 8. Biography My Name is Abu Salem released written by S Hussain Zaidi and published by Penguin. 9. 'Playing it My Way': Author - Sachin Tendulkar & Boria Majumdar Note: Playing It My Way is the autobiography of former Indian cricketer Sachin Tendulkar. 10. Book "Truth Always Prevails" written by Sadruddin Hashwani 11. "Hlaf Girlfriend" - written by Chetan Bhagat 12. "The Narrow Road to the Deep North" authored by Richard Flanagan 13. "Untold Story of Indian Public Sector" - authored by Dr UD Choubey, 14. "Final Test: Exit Sachin Tendulkar" authored by Dilip D'Souza 15. "A Man and a Motorcycle, How Hamid Karzai Came to Power": written by Bette Dam 16. "Not Just an Accountant" authored by former CAG Vinod Rai 17. Book "The Vijay Mallya Story" written by K Giriprakash 18. And Then One Day: Naseeruddin Shah's autobiography 19. God of Antarctica written by Yashwardhan Shukla: 20. "One Life is Not Enough" : written by Kunwar Natwar Singh Note: The book is an autobiography of the former External Affairs Minister and senior Congress Party leader Natwar Singh. 21. A book "Munger through the Ages" authored by late Devendra Prasad Yadav General Knowledge General Knowledge Capsule Capsule for IBPS PO, IBPS Clerk, SBI Clerk , SBI PO, SBI Associates PO, SBI Associates Clerk. 22. The Lives of Others" a novel written by: Neel Mukherjee Note: Novel is short listed for the prestigious Man Booker Prize 2014. 23. The Substance and the Shadow: written by Uday Tara Nayar, a former journalist. Note: The Substance and the Shadow, the biography of 91-year-old actor Dilip Kumar. 24. Warrior State written by T V Paul 25. Blood Feud written by Edward Klein 26. A Bad Character: authored by Deepti Kapoor. 27. The Good, the Bad and the Ridiculous - Khuswant Singh www.bankersadda.com | www.careerpower.in | www.careeradda.co.in 41 28. Train To Pakistan - Khuswant Singh 29. An Uncertain Glory: India and its Contradictions - Jean Dreze and Amartya Sen. 30. A Brush with Life- Satish Gujral 31. A Bend in the river- V.S. Naipaul 32. God of Small things- Arundhati Rai 33. Inheritance of Loss- Kiran Desai. 34. Joseph Anton- Sulman Rushdie (Autobiography) 35. "Khushwantnama-The Lessons of My Life " Khushwant singh 36. Lajja- Taslima Nasrim. 37. My Unforgettable Memories-Mamata Banerjee 38. My Years with Rajiv and Sonia written by R.D.Pradhan 39. ModiNomics: Inclusive Economics, Inclusive Governance: authored by Sameer Kochhar. 40. Crusader or Conspirator? Coalgate and other Truths authored by PC Parakh 41. The Accidental Prime Minister: The Making and Unmaking of Manmohan Singh authored by Dr. Sanjaya Baru Leader's visited India/World 1. Bangladesh President Abdul Hamid arrives in Kolkata on a six-day official visit during which he held talks with the Indian leadership with an aim to further strengthen the already close bilateral relations between the two countries. 2. Nguyen Tan Dung: Vietnam Prime Minister visited India 3. Mark Zuckerberg: Facebook founder visited India 4. Amazon founder Jeff Bezos visited India. 5. Frank Walter: Foreign Minister of Germany visited India 6. Australian PM Tony Abbott to visited India 7. Chinese President Xi Jinping visited India 8. President of India Pranab Mukherjee visited Vietnam 9. Sushma Swaraj visited Bahrain 10. Sushma Swaraj visited Nepal 11. Prime Minister of India Narendra Modi visited Nepal 12. Prime Minister of India Narendra Modi made his first foreign tour to Bhutan 13. Prime Minister of India Narendra Modi visited Japan 14. Prime Minister of India Narendra Modi visited US 15. Chuck Hagel: US Defence Secretary visited India 16. Jim Yong Kim: World Bank President visited India. 17. Bill Clinton: Former US President visited in Lucknow 18. William Hague: UK Foreign Minister visited India 19. Laurent Fabius: French Foreign Minister to visited India. 20. G L Peiris: Foreign Minister of Sri Lanka visited India 21. Wang Yi: Chinese Foreign Minister visited India OBITUARY 1. Pioneer of home video game console Ralph Henry Baer died 2. Veteran Journalist Piratla Venkateswarlu passed away 3. Hockey Olympian Grihanandan Singh died 4. Carnatic vocalist Nedanuri Krishnamurthy died 5. Justice Krishna Iyer passes away. 6. Bollywood actor Deven Varma passes away. He shot to fame with his performance in 1975 film Chori Mera Kaam, which bagged him his first Filmfare Award for Best Comedian. 7. Veteran music critic SV Krishnamurthy passed away. 8. Senior Congress leader, former Maharashtra Chief Minister, A R Antulay passed. 9. Former Arunachal Pradesh CM Jarbom Gamlin passes away. 10. Israeli cricket umpire Hillel Oscar dies after being struck by ball. 11. Theatre personality Veenapani Chawla passes away. 12. Crime novelist PD James died at the age of 94. 13. Historian Tapan Raychaudhuri died. 14. Kathak queen Sitara Devi died. She was 94. She was honoured with the Legends of India Lifetime Achievement Award 2011 for her contribution to the classical dance genre for over six decades. 15. Filmmaker Kailasam Balachander passed away. He was honoured with the Padma Shri in 1987and is a recipient of the ANR National Award and Dadasaheb Phalke Award, India's highest award in cinema in 2010. 16. Legendary Kathak danseuse Sitara Devi died 17. Bollywood actor-comedian Deven Verma died at 78 18. Australian cricketer Phillip Hughes passed away 19. Murli Deora - Former Union Minister, senior Congress leader passed away. 20. Ravi Chopra, director of famous TV show Mahabharata, passed away. 21. Warren Anderson, wanted in Bhopal gas tragedy, dies 22. Sadashiv Amrapurkar: Veteran Bollywood actor died 23. Michael Sata - Zambian President dies in London 24. Senzo Meyiwa: South African footballer (National Team Captain) died 25. M V Kamath - Veteran journalist passes away. He is the former chairman of Prasar Bharti and recipient of Padma Bhushan. 26. SS Rajendran: veteran Tamil actor, passes away 27. Jagdish Sharan Pande: Noted freedom fighter died 28. Oscar de la Renta: Fashion designer died 29. Lynda Bellingham: British actress and presenter died 30. Turaga Janaki Rani: Telugu writer died 31. Elizabeth Pena: American actress died 32. Uppalapu Srinivas: Renowned Mandolin exponent passed away Note: Srinivas (45), popularly known as 'Mandolin Srinivas', is a renowned mandolin player of South Indian Carnatic music. 33. Maya Rao: Renowned Kathak dancer died. 34. Bipin Chandra: Noted historian passes away 35. Norman Gordon: South African fast bowler oldest surviving Test cricketer at 103 years old, passed away 36. Sattiraju Lakshminarayana, , the artist, filmmaker, humourist popularly known as Bapu, passed away in Chennai, 37. Richard Attenborough: Gandhi' filmmaker dies at 90 38. UR Anantha Murthy: Eminent Kannada writer passes away. Anantha Murthy, a writer and critic, was considered one of the pioneers of the Navya movement in Kannada literature. 39. BKS Iyengar: World-renowned yoga guru and founder of the Iyengar School of Yoga BKS Iyengar passed away Sports News Prolific Indian Sports stars - 1. ARCHERY Rajat Chauhan, Sandeep Kumar Abhishek Verma Abhishek Verma Trisha Deb Purvasha Shende Jyothi Vennam, Trisha Deb 2. ATHLETICS Priyanka Pawar (Running) Tintu Luka(Running) Mandeep Kaur (Running) Poovamma Machettira (Running)