Current Affairs for BANK, IBPS Exams 18 November 2016

Current Affairs for BANK, IBPS Exams

18 November 2016

:: National ::

Govt come up with measures

All new bank accounts, except those opened under the Jan Dhan Yojana, and time deposits in banks, post offices and co-operative banks will now require a PAN card.
Even as the Centre eased its demonetisation norms to facilitate cash flows for farmers and families of couples about to get married.
Up to Rs. 2.5 lakh each can be withdrawn by the prospective bride and groom’s family for their wedding expenses and farmers can withdraw up to Rs. 25,000 a week, even as the Centre reduced the exchange limit for old notes to Rs. 2,000 from the Rs. 4,500 earlier.
Debit card holders can now withdraw up to Rs. 2,000 from their accounts by swiping their cards at select petrol pumps with SBI POS devices, following a tie-up between public sector oil marketing companies and the bank.
People are already allowed to pay for their fuel using old notes till the midnight of November 24.
The Finance Ministry allowed traders registered with agricultural produce markets to withdraw up to Rs. 50,000 a week from banks, while farmers were given 15 more days to pay crop insurance premium.

Process of demonetisation started in May

“The process of changing the currency notes had been long overdue. It had been pending since 2011. When the NDA government came to power, the discussions began.
But the entire process started moving in a decisive direction since May this year, when Prime Minister Narendra Modi gave the go-ahead.
There is rationing of cash as printing started only two months ago as the machines had to be attuned to the new plates and security features.
Magenta Rs. 2,000 notes contain the same “covert” security features as the old Rs. 500 and Rs. 1000 notes.
Changing the security features is a huge exercise and takes anywhere between five and six years. The last time such an exercise was done was in 2005 when currency notes of all denominations with new security features were introduced.
There are three types of security features in a note: overt, which can de detected by the naked eye; semi-covert, detected by a hand-held machine; and covert, visible only in big machines installed at banks.
The government has said that the introduction of new notes would check counterfeiting.
According to investigations done by the National Investigation Agency (NIA), much of the fake currency in circulation in India was printed in the government press of Pakistan.
It would take years to counterfeit the new notes. Any country changes its notes every 7-8 years with additional security features to check counterfeiting.
There was no major change in the Rs. 1,000 notes introduced in 2000, while changes in the Rs. 500 note, were done over a decade ago.

Illegal drugs takes huge hit after demonetisation

The ganja smugglers in the Visakha Agency area of are in a fix after Prime Minister Narendra Modi’s announcement of demonetisation of Rs. 500 and Rs. 1000 notes.
It is learnt that huge stock of dry ganja piled up in interior villages of the Agency area, and they are unable to move the stock, as the Adivasi farmers are not accepting the notes of higher denomination.
In Balapam village in Chintapalli mandal, the village, there is stock worth of about Rs. 3 crore rotting.
The Visakha Agency area has gained notoriety in the last few years after middlemen and smugglers turned the Adivasis, who lived by growing family-sustainable paddy and horticulture, to potent ganja cultivators.
It is revenue spinner for most of the Adivasis in the interior parts of the Agency area where the Maoists hold sway and as per an estimate over 150 villages in the nine out of 11 agency mandals have switched over to cultivation of the hemp.
Though there is no accurate estimate of how many acres in the hilly terrain is under ganja cultivation, Excise Department’s rough estimate is around 5,000 to 7,000 acres.
The yield per acre is around 1,000 to 1,200 kgs and the rate paid to the farmers is around Rs. 2,000 per kg. This suggests that the ganja business at the cultivation point exceeds Rs. 1,000 crore annually.
In the entire supply chain, from the farmers to the end users, the mode of payment is cash and ever since Rs. 500 and Rs. 1000 have been demonetised, the smugglers neither have been able to legalise the bulk cash that they possess nor they have been able to pay the farmers and move the stock.

:: International ::

Fight in Syria shows no sign of ending

Syrian government and Russian warplanes pounded rebel-held parts of northern Syria, including battered second city Aleppo, where food aid rations were near-depleted after months of regime siege.
The renewed bombardment killed at least 35 people in Aleppo city in 24 hours, and sparked anger from Washington and the United Nations.
It came as President Bashar al-Assad said in an interview that U.S. president-elect Donald Trump could be a “natural ally” if he fights “terrorists”.
Damascus considers all those who oppose Mr. Assad’s government to be “terrorists” like the Islamic State jihadist group, which Mr. Trump has said should be the focus of U.S. involvement in Syria.
The regime and its ally Russia launched a wide-ranging assault on rebels on Tuesday, shattering a month of relative calm in the rebel-held east of devastated Aleppo. But Moscow denied carrying out air strikes on east Aleppo.
The Syrian Observatory for Human Rights, a Britain-based monitor, said six children were among the 35 killed in government strikes and artillery fire on besieged opposition-held districts.
The Independent Doctors Association, a medical group, said barrel bomb attacks had damaged two facilities it supports in eastern Aleppo — the children’s hospital and the only blood bank in the area.
Medical facilities have regularly been hit, and sometimes completely destroyed, in the government's fight against rebels, though Damascus and Moscow deny they target hospitals.

PMO assured that supply of currency notes to be increased

The Prime Minister’s office assured bankers that it will increase the supply of currency notes to tide over an acute cash shortage.
The call was attended by the chief executives of all the banks as well as chief secretaries of various states. Reserve Bank of India (RBI) and other government officials were also present on the call.
The Centre has assured that cash would be airlifted, if necessary, so that it reached currency chests in time, the banker said.
According to other officials present in the meeting, the central bank and some large public sector bank chiefs raised the issue that bank branches were facing a shortage of cash.The RBI said there was no reason for panic.
Currency notes are distributed to bank branches from the 4,000-odd currency chests in the country - of which, more than 2,600 are owned by the State Bank of India and its associate banks.
Chief executives of some smaller private sector banks raised the issue that cash distribution was ‘lop sided’ in favour of large banks. Many small lenders do not have their own currency chests and have to depend on other banks for supply of cash.
The recalibration of automated teller machines that started on Thursday is also taking time, bankers said. The ATM task force, which was set up to quicken the process, had asked banks to recalibrate 12,500 machines per day.

India’s CAD to remain at a low level

India’s current account deficit is expected to stay comfortable at $10.1 billion in this financial year, largely on account of likely demand moderation post the demonetisation move, says a Citigroup report.
According to the global financial services major, the country’s current account could likely widen in fiscal year 2017-18 to $30 billion or 1.2 per cent of GDP.
As per the report, the current account could likely widen in financial year 2018 as average crude prices are expected to rise, along with the gold demand in the next fiscal year.
Moreover, higher exports growth and non-oil, non gold imports are likely to widen the country’s current account situation as well.

Govt says total solar power capacity reached 8.7 MW

An addition of 1,964.76 MW in the first seven months of the current fiscal has taken the total solar power generation capacity in the country to 8,727.62 MW, the Parliament was informed.
As on October 31, 2016, solar energy projects with an aggregate capacity of over 8727.62 MW have been installed in the country,” New and Renewable Energy Minister said in written reply to Lok Sabha.
He stated that 1,964.76 MW of solar power generation capacity has been added in the country till October-end of this financial year. During last fiscal, 3,018.88 MW of solar power generation capacity was added.
He said the World Bank had approved a total amount of $625 million, including a Clean Technology Fund (CTF) loan of $120 million and a CTF grant of $5 million for grid-connected rooftop solar programme.