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Banking, Finance & Economy PDF 2021 - April
Table of Contents
Banking, Finance & Economy News: April 2021 ........................................................................................................... 4
RBI IN NEWS ................................................................................................................................................................ 4
APPOINTMENTS & RESIGNATIONS ......................................................................................................................... 16
OBITUARY .................................................................................................................................................................. 19
OTHER NEWS ............................................................................................................................................................ 20
Banking, Finance & Economy Q&A: April 2021 .......................................................................................................... 79

Banking, Finance & Economy News: April 2021

RBI IN NEWS
The Base rate of NBFC-MFIs borrowings for Q1 FY21 was 7.81%: RBI
Reserve Bank of India (RBI) has informed 7.81% as the applicable average base rate to be charged for the
loans that are borrowed from Non-Banking Financial Company – Micro Finance Institutions (NBFC-MFIs)
for the first quarter of Financial Year 2022 (Q1FY22).
• The base rate for the Q1FY22 was lower than that of Q4FY21 by 15 basis points (0. 15%).In Q1FY21
the base rate was about 8.76%.
Background
• In February 2014, RBI in its Directions over Modifications in “Pricing of Credit” for NBFC-MFIs, stated
that it will be determining the interest rate of NBFC-MFIs borrowing for all upcoming quarter at the
last working day of the previous quarter.
• RBI fixed the base rate of NBFC-MFIs as the average of the base rates of the five largest commercial
banks by its assets multiplied by 2.75.
Note -Base rate is defined as the minimum interest rate set by the RBI below which Indian banks are not
permitted to lend to their customers. It was introduced in June 2010.
About Non-Banking Financial Company-Micro Finance Institution(NBFC-MFIs):
NBFC-MFI are the non-deposit taking financial companies which will be getting NBFC status from RBI and
registered under the Companies Act, 2013.
Conditions to qualify as NBFC-MFI:
• To register as an NBFC, the MFI needs to have a Minimum Net Owned Funds (NOF) of Rs. 5 crores.
• For MFIs that are registered in the North Eastern Region, Rs. 2 crore is required as a minimum NOF.
• At least 85% of its Net Assets should be like Qualifying Assets. (No restrictions on the remaining
15%)
• Note – The Qualifying Assets are those assets that have a substantial period to be ready for their
intended use or sale.
RBL collaborated with Tide to serve Indian SMEs

RBL Bank, a Private sector lender, collaborated with UK based business banking fintech Tide Platform
Limited (Tide) to provide bank account infrastructure to Tide’s India platform, which is focused to serve
mainly small and medium enterprises(SMEs).
• Tide’s first market outside the UK is India due to its vast SME population of around 63 million, and
the people’s entrepreneurial spirit.
• Gurjodhpal Singh, the former vice president of PayU (Payment Service Provider) will lead Tide’s
business in India.
Features of the Tide platform:
• The tie-up will provide an option for the SMEs to open current and savings accounts at RBL Bank
through Tide’s business platform.
• Through RBL payment APIs (application programming interfaces), Tide members will be able to
make seamless transactions from Tide’s platform.
• Apart from the SME sector, unregistered and unorganised sector companies also will be benefited
from Tide.
• Tide is aiming to acquire 25,000 customers in India within FY22 and up to 20 lakh customers in the
next 5 years.
About RBL Bank:
MD & CEO – Vishwavir Ahuja
Headquarters – Mumbai, Maharashtra
Tagline– Apno Ka Bank

About Tide Platform Limited (Tide):
• It is accounting for 25% of global SMEs and 5% of the UK’s business banking market.
CEO – Oliver Prill,
Headquarters – London, United Kingdom
Tide India – Hyderabad, Telangana
RBI Fixed the WMA limit to Rs 1.2 lakh Crore for the 1st Half of FY22
The Reserve Bank of India (RBI), in consultation with the Government, decided the limits for Ways and
Means Advances (WMA) for the centre to Rs 1.2 lakh crore for the first half of the financial year 2021-
22(FY22) i.e. April 2021 to September 2021.
Background:
• On April 01, 2020, RBI has fixed the WMA limit to Rs 1.2 lakh crore for the first half of the FY21 but
by April 20, 2020, in order to tackle the financial crisis arisen due to the COVID-19 pandemic, it has
hiked the limit to Rs 2 lakh crore for the remaining months of the first half of FY21.
• For the second half of FY21 i.e. (October 2020 – March 2021), RBI has decided the amount Rs 1.25
lakh crore as the WMA.
• Now for the first half of FY22, the WMA limit has been fixed to the pre-pandemic level of Rs 1.2 lakh
crore.
What is WMA?
• The RBI provides temporary loans to the centre & state governments as a banker to the government.
This facility is called Ways and Means Advances (WMA) it was introduced in the year1997. Under this
facility, the Centre and states can borrow money from RBI for a period of 90 days.
The interest rate for WMA:
• The interest rate on WMA will be the repo rate, currently the repo rate is at 4%. If the WMA exceeds
the limit of 90 days, it would be treated as an overdraft (OD). The interest rate on overdrafts would
be 2 % more than the repo rate.
About Reserve Bank of India(RBI):
• Key Appointments in RBI – Appointments Committee of the Cabinet (ACC) headed by the Prime
Minister appoints the governor and deputy governors.
• Section 7 in The RBI Act, 1934, empowers the government to issue directions to the RBI governor in
the public interest
• Shaktikanta Das – 25th governor of the RBI from 11 December 2018
RBI Extended the Timeline for AFA Norms on e-Mandate to September 30,2021
On March 31, 2021, The Reserve Bank of India (RBI) extended the timeline for Banks to move to the new
norms for Additional Factor Authentication (AFA)on e-mandate for recurring payments through online
transactions by 6 months i.e. till September 30, 2021.
Background:
• The framework for e-mandate was first issued by RBI in August 2019 and fixed the timeline up to
March 31, 2021 however, banks have not developed capabilities to support the new system and
hence it is finally extended to September 30.
Objective: The primary objective of the framework was to protect customers from fraudulent transactions
and enhance customer convenience.
e-Mandate:
• It is a digital payment service initiated by RBI and the National Payments Corporation of India (NPCI).
• It will allow the issuing bank and other institutions to automatically debit mentioned amount
recurring payments (like insurance premiums, bill payments, loan instalment collections) from the
users’ bank account without their intervention.
Framework by RBI on e-mandate Recurring Transactions:
i.For opting e-mandate facility the cardholder should undertake a one-time registration process, with
Additional Factor of Authentication (AFA) validation by the issuer.
ii.For auto-debit from cards/wallets above the cut-off (Rs 5,000), an additional one-time password (OTP)
should be provided.

Note – On January 1, 2021, RBI had enhanced the limit for contactless card transactions and e-mandates for
recurring transactions through cards and UPI from Rs 2,000 to Rs 5,000.
iii.The bank has to send a notification to customers 5 days before the e-mandate payments and it also
should send a pre-transaction notification to the cardholder, at least 24 hours prior to the debit from the
card and allow it only after the customer has confirmed it.
iv.The framework mandated the use of AFA during registration and first transaction.
v.The users will have an online facility to withdraw from the e-mandate facility at any point and no charges
will be levied for availing the same.
vii.The processing of e-mandate registered cards for recurring transactions without AFA will be
discontinued after September 30 2021.
Establishment – 1st April 1935
Governor – Shaktikanta Das
RBI Tightened the Security Norms for Payment companies

Following the rise in cyber-security breaches at Indian tech startups over the last few months, the Reserve
Bank of India (RBI) has tightened its supervision norms over Payment companies that are storing customer
data.
• As per RBI’s norms, from April 1, 2021, all licensed payment system operators (PSOs) have to submit
detailed “compliance certificates” to the RBI twice a year.
• The certificate should be signed by their CEOs or managing directors, confirming adherence to all RBI
regulations around security and storage of payment data.
What is Compliance Certificate?
A certificate of compliance is a written document that states the fulfilment of a given requirement. It is a
formal certification that declares that an individual or company met a set of conditions.
Background:
• These norms came after when the financial data of about 200 million Indian users were breached
(especially from the systems of JusPay and Mobikwik).
• On March 26, 2021 RBI’s Department of Payment and Settlement Systems (DPSS) issued a letter to all
PSOs, which mentioned the RBI’s norms to submit the compliance certificate on April 30 and
October 31(for the period ending March 31 and September 30) every year.
• These norms are an addition to norms by RBI in April 2018 which asked all PSOs to submit board-
approved annual System Audit Report (SAR) by CERT-empanelled auditors.
• Indian payments and tech startups which have witnessed data leaks and cyber-attacks are grocery
delivery giant BigBasket(acquired by Tata), ed-tech startup Unacademy, crowdfunding platform
Impact Guru and payment aggregator JusPay.
About The Department of Payment and Settlement Systems(DPSS):
• The Board for Regulation and Supervision of Payment and Settlement Systems (BPSS), a sub-
committee of the Central Board of the RBI is the highest policy-making body on payment systems in
the country.
• The DPSS of RBI serves as the Secretariat to BPSS and executes its directions.
• In India, the payment and settlement systems are regulated by the Payment and Settlement
Systems Act, 2007 (PSS Act) and the Payment and Settlement Systems Regulations, 2008.
RBI extended RTGS and NEFT money transfer facilities to Non-Bank Payment System Operators
On April 7, 2021, the Reserve Bank of India (RBI) extended the membership of Centralised Payment
Systems (CPSs) facilities such as National Electronic Funds Transfer (NEFT) and Real-Time Gross
Settlement (RTGS) to non-bank payment system operators.
• Until now, only banks were allowed to use RTGS and NEFT payments facilities.
• Now, Prepaid Payment Instrument (PPI) issuers, card networks, White label ATM operators and
Trade Receivables Discounting System (TReDS) platforms which are regulated by RBI can use NEFT
and RTGS modes.

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Objective: To minimise the settlement risk in the financial system and enhance the reach of digital financial
services to all user segments.
RBI has doubled the Payments bank’s deposit limit to ₹2 lakhs to improve the Interoperability of
PPIs to full-KYC
On April 7, 2021, RBI increased the existing maximum end of day balance (limit of funds that the account
holders can keep until the end of the day) per customer of payment banks from Rs 1 lakh to Rs 2 lakh to
support MSMEs, unorganised entities, other small businesses and to improve the interoperability of Prepaid
Payment Instruments (PPIs) to full-KYC (Know Your Customer).
Background:
• On November 27, 2014 RBI has fixed the maximum end of day balance per customer for payment
banks as Rs 1 lakh.
• Earlier most payments banks sweep-in, sweep-out the deposits with their partner banks if an
individual’s end-of-day balance crossed the ₹1 lakh limit.
Key points on PPIs(Mobile Wallets) to full-KYC:
• RBI stated that the migration of PPIs (Mobile Wallets) to full-KYC was not significant (guidelines were
given in October 2018) and hence it has hiked the limit of the outstanding balance in PPIs to Rs 2 lakh
from Rs.1 Lakh.
• Cash withdrawal: Currently the cash withdrawal is allowed only for full-KYC PPIs issued
by banks and the same facility is available through ATMs and PoS terminals.
• Now RBI allowed cash withdrawals from full KYC PPIs which are issued by non-bank entities
About Payment Banks:
i.In January 2014 RBI gave guidelines to form Payment Banks to push financial inclusions based on
Nachiket Mor committee recommendations.
ii.Payment Banks will be licensed under Section 22 of the Banking Regulation Act, 1949, and will be
registered as a public limited company under the Companies Act, 2013.
iii.On April 11, 2016, Airtel Payments Bank became the first entity in India to receive a payments bank
license RBI.
Guidelines of Payment Banks:
• These banks can operate current accounts and saving accounts. They can issue ATM or Debit cards,
Net Banking and Mobile Banking facilities to their customers and they can also distribute non-risk
financial products such as mutual funds and insurance.
• But, they don’t have the rights to provide lending services such as credit cards and loans facilities.
• The initial minimum capital requirement of ₹100 crores is mandatory for Payment banks
• The restricted deposits are currently updated to ₹2 lakhs per customer.
About RTGS and NEFT:
• RTGS is a funds transfer system where it allows a continuous and real-time settlement of fund
transfers, individually on a transaction by transaction basis (without netting).
• NEFT is a nationwide centralized payment system that allows the transfer of funds from one bank’s
account to another.
RBI has extended PSL by Banks to NBFCs up to September 30, 2021

On April 7, 2021, the Reserve Bank of India(RBI) extended the classified lending of Banks to NBFCs for on-
lending under the Priority Sector Lending (PSL) for 6 months i.e. up to September 30, 2021.
Background:
• To boost credit among small and needy borrowers, on August 13, 2019 RBI allowed banks to classify
their lending to registered NBFCs (other than MFIs) as PSL which was about 5% of a bank’s total PSL
(for on-lending to Agriculture/MSME/Housing) till March 31, 2020, and later the facility was
extended up to March 31, 2021.
• Around ₹37,000 crore has been lent by banks to NBFCs for on-lending to the specified Priority
Sector (PS) by December 2020.
Objective: To ensure continued availability of credit to PS and to aid faster economic recovery

About Priority Sector(PS):
i.The Government of India and RBI has considered specific sectors in India as important for the
development of the basic needs of the country and given priority to them over other sectors i.e. PS.
ii.RBI has mandated all scheduled commercial banks and foreign banks to set aside 40% of their Adjusted
Net Bank Credit (ANDC) for lending to these sectors.
iii.Regional rural banks, co-operative banks and small finance banks have to allocate 75% of ANDC to PSL.
Categories under priority sector:
• Agriculture
• Micro and Small Enterprises
• Education
• Housing
• Export Credit & others
RBI has increased the PSL loan limits for lending against NWRs /eNWRs to Rs 75 lakh
On April 7, 2021, RBI has enhanced the loan limits under Priority Sector Lending(PSL) for banks’ lending
against Negotiable Warehouse Receipts (NWRs) / electronic Negotiable Warehouse Receipts (eNWRs)
from ₹50 lakhs to ₹75 lakhs per borrower.
Objective: To encouraging farm credit to individual farmers against pledge/ hypothecation of agricultural
produce
Credit limit:
• RBI has increased the credit limit under PSL to ₹75 lakhs for pledge/hypothecation of agricultural
produce (within 12 months) with NWRs/eNWRs.
• For other warehouse receipts (other than NWRs/eNWRs) the loan limit will continue to be ₹50 lakhs.
About Negotiable warehouse receipt(NWR):
• It was launched in 2011, which allows the farmers to transfer ownership of commodity stored in a
warehouse without having to deliver the physical commodity.
• In 2017 the negotiable warehousing receipts were introduced in electronic format (eNWR)
• NWRs/e-NWRs will be issued by warehouses registered with the Warehousing Development and
Regulatory Authority (WDRA).
• Warehouse receipts are made negotiable under the Warehouse (Development and Regulation) Act,
2007, and regulated by WDRA
RBI Amended India’s Inflation-Forecasting Model – QPM

RBI has revised the Quarterly Projection Model (QPM) to enrich the model’s analytics and to capture the
interactions between the fiscal and monetary policy with real-economy elements.
• The revised model is termed QPM 2.0 and it incorporates, fiscal-monetary dynamics, disaggregated
fuel pricing (oil price, exchange rate and fuel taxes), the balance of payments and exchange rate
interactions.
Background:
• In 2016 RBI has introduced QPM based on the ‘Forecasting and Policy Analysis System’ to provide
support for flexible inflation targeting (FIT) framework/ Inflation Forecast Targeting
framework in India
• QPM is structured around a small New-Keynesian open-economy framework.
• The model captures key India-specific features, especially, in terms of inflation dynamics and
characteristics of monetary policy transmission.
• It describes the model properties in terms of the responses of key macroeconomic variables to
different shocks.
About QPM 2.0
The new model’s framework was described as a forward-looking, open economy, calibrated, New-
Keynesian gap model.The model consists of 3 blocks such as fiscal block, fuel block and balance of
payments block
i.The fiscal block (1st block):
• It decomposes the government’s primary deficit into structural and cyclical components with shocks
to the structural component impacting inflation through aggregate demand and country risk premia.

ii.The fuel block (2nd block): It includes India’s complex system of pricing, which includes the items like
• Petrol and diesel – they are priced based on international oil prices, exchange rates, and local taxes,
• Liquefied Petroleum Gas (LPG) and kerosene prices – are determined by market
• Electricity costs – are administered by state governments.
• The cost-push implications are also incorporated in this block.
Note – Cost-push inflation occurs when overall prices increase (inflation) due to increases in the cost of
wages and raw materials.
iii.The balance of payments block (3rd block):
• This block incorporates the determinants of current and capital accounts and their interaction with
the exchange rate management.
• It also recognizes the costs associated with a sudden increase in volatility of the exchange rate which
is induced by the sudden surges or reversals in capital flows.
Analysis of – QPM based response on “key macroeconomic variables to different case of shocks”
Analysis in Fiscal block:
i.Case: Structural fiscal deficit shock
• It will contribute to demand pressures and create a positive output gap. Then the increasing debt
could contribute to the depreciation of the currency through elevated country risk premia.
Response:
• The model will necessitate the monetary policy action since the positive output gap and currency
depreciation together can lead to higher inflation.
ii.Case: Cyclical fiscal deficit shock
Response: It will have a modest impact on inflation and it is negligible.
Analysis in Fuel block:
Case: An increase in fuel taxes feeds into higher fuel prices and ex-food fuel inflation through the cost-push
channel.
Response:
• It recognizes Headline inflation that goes up by 25bps in response to a fuel tax increase of Rs 10 per
litre.
• If tax reversals do not happen, inflation will remain higher.
Analysis in Balance of payment block:
Case: Capital outflow shock as 1% of GDP
Response:
• In case if RBI intervenes and Sterilises 70% of these capital outflows, the reserves will deplete by 0.7
percentage points of nominal GDP and the exchange rate will depreciate, along with inflationary
pressure.
• In the case of no intervention of RBI, the exchange rate depreciation will be relatively higher.
RBI Announced its First OMP for Rs 25,000 crore under G-SAP 1.0
On April 8, 2021, The Reserve Bank of India (RBI) announced its first purchase of government securities for
an amount of Rs 25,000 crore under the G-sec Acquisition Programme (G-SAP 1.0), the purchase was
planned to be held on April 15, 2021.
Background:
• On April 7, 2021, the RBI had announced the introduction of a secondary market Government
Securities Acquisition Programme (G-SAP 1.0) for the financial year 2021-22(FY22) to enable an
orderly evolution of the yield curve.
• On April 8, 2021, RBI Governor Shaktikanta Das announced the RBI’s open market purchase(OMP) of
government securities (G-secs) ofRs 1 lakh crore under the G-SAP 1.0 in the first quarter (Q1) of
FY22.
The first purchase:
Under the OMP On April 15, the RBI planned to purchase 5 different types of government securities with
different maturities for a total of ₹25,000 crores through a multi-security auction.The maturity dates may
vary from November 2, 2023, to March 16, 2035.

About the G-SAP:
• G-SAP will run alongside RBI’s regular operations, including Liquidity Adjustment Facility (LAF),
open market operations (OMOs) and Operation Twist.
• The programme is built into the RBI’s liquidity planning framework for FY22 as a whole.
Yield:
• The yield on the 10-year benchmark bond was traded at 5.93% (on an average) during April 2020-
January 2021 and spiked to 6.25% on March 10, 2021.
• In synchronization with G-Sec yields, corporate bond yields also hardened in the recent period.
About OMO:
• It is the sale and purchase of government securities and treasury bills by RBI to regulate the
money supply in the economy. When the RBI wants to increase the money supply in the economy, it
purchases the government securities (G-Secs) from the market and it sells them to suck out liquidity.
About Government securities:
Government securities are government debt issuances used to fund daily operations, and special
infrastructure and military projects. They guarantee the full repayment of invested principal at the maturity
of the security and often pay periodic coupon or interest payments.
Types: There are many types of government securities in India. They can broadly be classified into four
categories, namely Treasury Bills (T-bills), Cash Management Bills (CMBs), dated G-Secs, and State
Development Loans (SDLs).
RBI Set up a Committee Headed by Sudarshan Sen to Review Working of ARCs

In April 2021, The Reserve Bank of India set up a 6 member committee to evaluate the role of Asset
Reconstruction Companies (ARCs) in stressed debt resolution and review their business model. The
committee will be headed by Sudarshan Sen, former executive director, RBI.
Members of the Committee:
• Vishakha Mulye- executive director, ICICI Bank
• P N Prasad- former deputy managing director , State Bank of India,
• Rohit Prasad- professor of economics, Management Development Institute, Gurugram,
• Abizer Diwanji – partner, Ernst and Young and,
• R Anand – chartered accountant.
Functions of the committee:
The committee will review the existing legal and regulatory framework of ARCs and recommend
measures to improve their efficiency and in addition will review their business models and role in the
resolution of stressed assets, including under the Insolvency and Bankruptcy Code (IBC).
• The committee has to submit its report within 3 months after its first meeting.
Note- RBI has mentioned about the formation of a committee to support ARC in the 1st Monetary Policy of
FY22.
Reason for Set Up:After enactment of the Securitisation and Reconstruction of Financial Assets and
Enforcement of Security Interest (SARFAESI) Act in 2002, regulatory guidelines for ARCs were issued in
2003 to enable development of this sector and to facilitate smooth functioning of these companies.
However, their potential to resolve stressed assets is yet to be realised completely.
About Asset Reconstruction Company(ARC):
• It is a financial institution (FI) that buys the NPAs (Non-Performing Assets) or bad loans from
banks and FI and helps them to recover from the NPAs.
• They are registered under RBI and regulated under the Securitisation and Reconstruction of
Financial Assets and Enforcement of Securities Interest (SARFAESI) Act, 2002.
• Capital needs: The net owned funds of ARCs should be Rs 100 crore or more and they also have to
maintain a capital adequacy ratio of 15% of its risk-weighted assets.
• ARC will have an Asset Management Company (AMC) to manage and sell bad assets. The banks will
get 15% cash and 85% Security Receipts (SR) against bad debt that will be sold to the ARC.

RBI Decided not to Activate CCyB due to Lack of Necessity
In April 2021, based on the empirical testing and review of Counter-Cyclical Capital Buffer (CCyB)
indicators by The Reserve Bank Of India (RBI), it has decided not to activate CCyB at present as there is no
necessity for it.
Background:
In February 2015, RBI has proposed the CCyB as a part of its Basel-III norms (not activated) and stated
that it would be activated as and when there is a necessity. (But till now keeping the ratio at 0 per cent)
About CCyB:
What is CCyB?
It is a part of Basel-III capital adequacy norms, which helps a bank to overcome distressed economic
conditions.
How will it work?
• As per CCyB, banks will be required to set aside a higher portion of their capital during good times
(when loans are growing rapidly), and that capital could be released and used during bad times
(when there is distress in the economy).
• CCyB is supposed to be in the form of equity capital.
• It works by forecasting the credit-to-GDP gap as the main indicator, in conjunction with credit-to-
deposit ratio, industrial outlook assessment survey, interest coverage ratio, and asset quality.
RBI had said the aim of the countercyclical capital buffer regime was two-fold.
Firstly, it requires banks to build up a buffer of capital in good times which may be used to maintain flow
of credit to the real sector in difficult times.
Secondly, it achieves the broader macro-prudential goal of restricting the banking sector from
indiscriminate lending in the periods of excess credit growth that have often been associated with the
building up of system-wide risk.
About Reserve Bank of India (RBI):
• Key Appointments in RBI – Appointments Committee of the Cabinet (ACC) headed by the Prime
Minister appoints the governor and deputy governors of RBI.
• Section 7 in The RBI Act, 1934, empowers the government to issue directions to the RBI governor.
• Shaktikanta Das – The 25th governor of RBI from 11 December 2018
RBI Cancelled the Licence of Bhagyodaya Friends Urban Co-operative Bank

The Reserve Bank of India (RBI) has cancelled the license of Bhagyodaya Friends Urban Co-operative
Bank Limited, Maharashtra in April 2021, as the bank doesn’t have adequate capital to fund its
depositors in full and as it did not comply with the various provisions of the Banking Regulation Act, 1949.
Restriction: After the license has been cancelled, the bank is prohibited from acceptance of deposits and
repayment of deposits.
Paying the depositors (as per the provisions of the DICGC Act, 1961):
• More than 98 per cent of the depositors of the Bhagyodaya Friends UCB will receive the full
amounts of their deposits from Deposit Insurance and Credit Guarantee Corporation (DICGC).
• After Liquidation, every depositor would receive a deposit insurance claim amount of his/her
deposits up to a monetary ceiling of Rs 5 lakh from the DICGC.
What is Liquidation?
It is the process of converting a company’s assets into cash and using those funds to repay, as much as
possible, the company’s debts.
RBI Allowed Commercial Banks to Pay up to 50% of pre-COVID-19 Dividends

In April 2021, RBI allowed banks for payment of dividends for FY21, with certain conditions and limits.
i.Commercial Banks: RBI allowed commercial banks to pay up to 50 per cent of what they paid before
COVID-19 from the profits for the fiscal ended March 31, 2021.
ii.Cooperative Banks: Cooperative banks are permitted to pay dividend on equity shares from the profits
of the financial year ended March 31, 2021.
iii.RBI mandated the banks to maintain the minimum regulatory capital requirements after dividend
payment.

iv.Dividend- A dividend is a distribution of profits by a corporation to its shareholders.
Note – Due to COVID-19 In December 2020, RBI made banks not to do the dividend payment on equity
shares from the profits for the FY20.
RBI Extended WMA Limit of Rs 51,560 crore for States, UTs till September 30, 2021
On April 23, 2021, due to the prevalence of the COVID-19, The Reserve Bank of India (RBI) has informed
the continuation of the existing interim Ways and Means Advances (WMA) limit of Rs 51,560 crore for all
states and Union Territories(UTs) for 6 months i.e. up to September 30, 2021.
Key Points:
• Continuation of SDF: Both the state governments and UTs obtained Special Drawing Facility (SDF)
will continue to be linked to their total investments in marketable securities issued by the
Government of India, including the Auction Treasury Bills (ATBs).
• Eligibility for availing the SDF: The eligibility for availing SDF will be calculated by means of the
total annual incremental investments in Consolidated Sinking Fund (CSF) and Guarantee
Redemption Fund (GRF)(Unchanged). (CSF and GRF are reserve funds maintained by State
Governments with RBI).
• Operating limit of SDF(Daily): It will be determined by applying a uniform hair cut of 5 per cent
over the market value of securities.
• Interest rate:Interest rate on SDF, WMA and OD shall continue to be linked to the Policy rate of the
Reserve Bank i.e., the Repo Rate. Interest will be charged for all the days the advance remains
outstanding.The prevailing rates are retained as given below:
Scheme Limit Rate of Interest
If availed against net annual incremental investment in CSF and Repo rate minus 2 per
GRF cent
Repo rate minus 1 per
SDF If availed against investment in G-sec/ ATBs cent
If outstanding up to 3 months from the date of making the advance Repo rate
If outstanding beyond three months from the date of making the
WMA advance Repo rate plus 1 per cent
If availed up to 100 per cent of WMA limit Repo rate plus 2 per cent
OD If exceeds 100 per cent of WMA limit Repo rate plus 5 per cent
• RBI had revised the WMA Scheme of States and Union Territories (UTs) based on the
recommendations of the Sudhir Shrivastava Chaired Advisory Committee on WMA to State
Governments.
• The WMA limit arrived at by the Committee based on total expenditure of States/ UTs, works out to
₹47,010 crore.
What are WMAs?
• WMAs are temporary advances given by the RBI to the government to tide over any mismatch in
receipts and payments.
• There are two types of Ways and Means Advances normal WMA and Special WMA or Special
Drawing Facility
What is a Special Drawing Facility (SDF)?
It is available before the availing of WMA and is offered against the collateral of the government securities
held by the state. The interest rate for SDF is 1% point less than the repo rate.
• It was established on the recommendation of the Hilton Young Commission.
• The First Governor of RBI was Sir Osborne Smith (1935 – 1937).
• The First Indian Governor of RBI was CD Deshmukh (1943 – 1949).
• Dr. Manmohan Singh is the only Prime Minister to have also served as the Governor of RBI ((1982 –
1985).
• The First women deputy Governor of RBI was KJ Udeshi.

RBI set up RRA 2.0 to Streamline its Regulations and Reduce Compliance
On April 15, 2021, RBI has formed the second Regulations Review Authority (RRA) named RRA 2.0 to
Streamline its Regulations and Reduce Compliance.
Background:
• RBI has set up the first RRA for one year i.e. from April 1, 1999, to April 1, 2000, in order to review
the regulations, circulars, reporting systems of RBI based on the feedback from the public, banks
and financial institutions.
• Y.V. Reddy, the Deputy Governor of that time has been appointed as the first head of RRA.
About RRA 2.0:
• After two decades, the second RRA i.e. the RRA 2.0 was formed to undertake a review of RBI’s
regulations and compliance procedures, in order to make them more effective.
• It was also set up for a period of one year from May 01, 2021, unless its tenure is extended by RBI.
• M. Rajeshwar Rao, Deputy Governor was appointed as the head of RRA.
Functions of RRA 2.0:
• To provide the regulatory and supervisory instructions by removing redundancies and
duplications.
• Streamline the reporting mechanism to reduce compliance burden.
• To engage with all regulated entities and other stakeholders to obtain feedback from them on
simplification of procedures and enhancement of ease of compliance
• It has to suggest the changes required in the dissemination process of RBI circulars/ instructions.
Deputy Governors – Mahesh Kumar Jain, Michael Debabrata Patra, and M Rajeshwar Rao
RBI Restricted American Express, Diners Club from Enrolling New customers from May 1, 2021
On April 23, 2021, The Reserve Bank of India (RBI) has restricted American Express Banking Corp
(Amex) and Diners Club International Ltd, the payment system operators from on-boarding new
domestic customers onto their card networks from May 1, 2021, due to the non-compliance with the
directions on Storage of Payment System Data.
• American Express and Diners Club are authorized to operate card networks in India under the
Payment and Settlement Systems Act, 2007 (PSS Act). Thus the current restrictions will not impact
the existing customers.
• The supervisory action has been taken in exercise of powers vested in RBI under Section 17 of the
PSS (Payment and Settlement Systems) Act.
About RBI’s Regulation over Storage of payment system data:
In April 2018, RBI has made certain regulation under PSS Act for the storage of payment system data to
payment system providers such as,
• Directed to store all the data related to payment systems with in 6 months (full end-to-end
transaction details/information collected/carried/processed as part of the message/payment
instruction) in a system only in India (within October 2018).
• Also required to submit a board-approved System Audit Report (SAR) conducted by a Computer
Emergency Response Team (CERT-In) empanelled auditor (within December 2018).
Reports of Motilal Oswal Financial Services (MOFSL)
As per the Motilal Oswal Financial Services (MOFSL) report, ICICI Bank’s share fell to 38% in January
2021. In February 2021, ICICI Bank was trailed by SBI Card (18.1%) and Axis Bank (18%) in new
issuances. In FY21, ICICI Bank gained the highest incremental market share of 32.4%, followed by SBI
Card at 30.6%.
About American Express Banking Corp (Amex):
Establishment – 1921
Headquarters – Gurgaon, Haryana
CEO – Manoj Adlakha

About Diners Club International Ltd:
It was the first independent payment card company in the world.
President & CEO – Eduardo Tobon
RBI Fixed the Bank’s MD&CEOs Tenure at 15 years; Upper age limit at 70 years
On April 26, 2021, the Reserve Bank of India (RBI) through its circular – “Corporate Governance in Banks
– Appointment of Directors and Constitution of Committees of the Board”, has fixed 15 years as the
tenure for the Managing Director and Chief executive officers (MD & CEOs) or whole-time
directors(WTDs) to hold their post in a bank.
• RBI’s instructions are meant for private sector banks, small finance banks (SFBs) and wholly-owned
subsidiaries of foreign banks.
• Note – The instructions are not applicable for foreign banks operating as branches in India.
RBI’s Regulations over MD&CEO or WTDs with conditions:
Instructions for MD&CEO or WTDs Conditions
Tenure 15 years –
Re-appointment Eligible – after
(in the same bank after the completion a gap of In the 3 years, they should not be appointed or
of tenure) 3 years associated with a bank (directly/indirectly)
Tenure for MD&CEO or WTD who is also RBI has sole discretion to extend the tenure up to 15
a promoter/ major shareholder 12 years years
Upper age limit 70 years Banks are freed to prescribe lower retirement age
Regulations for Non-Executive Directors(NEDs):
Tenure 8 years
Re-appointment Eligible after a gap of 3 years
Not more than Rs 20 lakh per annum
Remuneration (Exception- Chair of the board)
Upper age limit 75 years
Regulations over the Committees of the Board:
Risk Management Nomination and
Audit Committee of the Committee of the Board Remuneration Committee
Composition Board(ACB) (RMCB) (NRC)
Committee’s Should be constituted Should have a majority of
Board members only with NEDs NEDs Only with NEDs
Half of the member as
independent directors
Members of the Two-third should be of Half of the members as (one can be a member of
committee’s meeting independent directors independent directors RMCB)
Independent director Independent Director
Chair of the (should not be a member Independent director (shall (should not be a member of
committee’s meeting of ACB) be a member of RMCB) NRC)
RBI Issued Guidelines for Appointment of SCAs/SAs with Continuous 3 Years Tenure
On April 27, 2021, the Reserve Bank of India(RBI) issued guidelines for the appointment of Statutory
Central Auditors (SCAs)/Statutory Auditors (SAs) of Commercial Banks (excluding Regional Rural
Banks(RRBs)), Urban Cooperative Banks (UCBs) and Non-banking finance companies(NBFCs) (including
Housing finance companies(HFCs)) from FY22 onwards.
Instructions for appointment of SCAs/SAs:
i.Procedure for Appointment of SCAs/SAs
• The banks have to appoint the SCAs/SAs for a continuous period of 3 years, satisfying the eligibility
norms each year. This condition is made to protect the auditor’s/audit firms’ independence.

• Removal of the audit firms during the 3 years’ period could be done only with the prior approval of
the concerned office of RBI.
ii.Prior approval – They are required to take prior approval of RBI (Department of Supervision) for
appointment/reappointment of SCAs/SAs
iii.The number of SCAs/SAs:
Joint audit: The entities with asset size ofRs 15,000 crores and above as at the end of FY21, should
conduct the statutory audit under joint audit of a minimum of 2 audit firms Single Audit: All the other
Entities (apart from Rs 15,000 asset size entities) should appoint a minimum of 1 audit firm for
conducting statutory audit.
Asset Size of the Entity Maximum number of SCAs/SAs
Up to ₹5,00,000 crore 4
Above ₹ 5,00,000 crore and Upto ₹ 10,00,000 crore 6
Above ₹ 10,00,000 crore and Upto ₹ 20,00,000 crore 8
Above ₹ 20,00,000 crore 12
iv.Guidelines for UCBs and NBFCs:
• UCBs and NBFCs are allowed to adopt these guidelines from the H2 (second half) of FY22, as this is
the first for them to implement such guidelines.
• Non-deposit taking NBFCs with asset size below Rs 1,000 crores are given the option to continue
with their extant procedure.
APPOINTMENTS & RESIGNATIONS

RBI extends tenure of J&K Bank CMD, R K Chhibber by 6 months
On March 31, 2021, Reserved Bank of India (RBI), had extended the tenure of Rajesh Kumar Chhibber (R K
Chhibber), the Chairman & Managing Director (CMD) of Jammu & Kashmir (J&K) Bank by 6 months or till
the appointment of MD & CEO whichever is earlier.
• RBI extended his appointment by exercising its power conferred under Section 10BB(2) of the
Banking Regulation Act, 1949.
Key Points:
i.His extension will be effective from April 10, 2021.
ii.R K Chhibber was appointed as the CMD of J&K Bank in the year 2019 for the period of 6 months & after
that his tenure was extended numerous times.
Background:
J&K Bank appointed the R K Chhibber as CMD after dissolving the designation, chairman and CEO held by
Parvez Ahmed in order to increase the transparency, governance, compliance and profitability of the lender.
About Jammu & Kashmir (J&K) Bank:
Incorporated – 1938
Headquarter – Srinagar, Jammu & Kashmir
S Ramann CEO of NeSL appointed as the CMD of SIDBI

S Ramann, the Chief Executive officer(CEO) of National e-Governance Services Ltd (NeSL), has been
appointed as the Chairman and Managing Director (CMD)of Small Industries Development Bank of India
(SIDBI).
• He will hold the post of CMD of SIDBI for a period of 3 years from the date of his assuming charge or
until further orders.
i.SRamann, a 1991 batch Indian Audit and Accounts Service Officer, has served as the Principal Accountant
General of Jharkhand from 2015-2016
ii.BBB has also recommended ShivendraTomar, Managing Director of IFCI Venture Capital Funds Ltd, a
subsidiary of IFCI to the post of Managing Director and Chief Executive Officer(MD&CEO) of IFCI.

About SIDBI:
SIDBI was established under an Act of the Parliament in 1990.
Operated under the Department of Financial Services, Ministry of Finance.
Headquarters- Lucknow, Uttar Pradesh
Established on– 2nd April 1990
RBI Deputy Governor B P Kanungo Retires

On 2nd April, 2021 Reserve Bank of India’s Deputy Governor, B P Kanungo retired after serving as Deputy
governor for 4 years. He was appointed as Deputy governor in April 2017.
• As a Deputy Governor, he was in charge of various portfolios including currency management,
external investments, operations, payment, and settlement system.
• All his portfolios were reshuffled among the other 3 deputy governors – Mahesh Kumar Jain, Michael
Patra and Rajeshwar Rao.
World Bank Economist Poonam Gupta Appointed as 1st Woman DG of NCAER

On 5th April 2021, Poonam Gupta, economist of World Bank(WB) was appointed as the first
woman Director General(DG) of the National Council of Applied Economic Research (NCAER). She will
succeed Shekhar Shah, DG of NCAER since 2011, and assume office as the new DG of NCAER on 1st July
2021.
• Poonam Gupta has been working with the World Bank since 2013.
• She has served as the Reserve Bank of India Chair Professor at the National Institute of Public Finance
and Policy(NIPFP) and professor of Macroeconomics at the Indian Council for Research on
International Economic Relations(ICRIER), an autonomous economic think tank.
About National Council of Applied Economic Research (NCAER):
Director-General– Shekhar Shah
Established in 1956
Location– New Delhi
RBI Approved the Re-appointment of Murali Natrajan as the MD and CEO of DCB Bank
The Reserve Bank of India (RBI) has approved the re-appointment of Murali Natrajan as the Managing
Director (MD) and Chief Executive Officer (CEO) of DCB Bank for one year from April 29, 2021. Initially,
he was appointed as MD and CEO of DCB Bank in May 2009.
• About Murali Natrajan: Before joining DCB, he worked in foreign banks such as Standard Chartered
and Citibank.
• Note – DCB Bank is the first bank in India to start an Aadhaar-based ATM (2016).
About DCB Bank:
Tagline – We Value You
Atanu Chakraborty to become Part-time Chairman of HDFC bank

On 23rd April 2021,As per the information received from HDFC bank , the Reserve Bank of India(RBI) has
approved the appointment of Atanu Chakraborty as the part-time Chairman of the bank.
• He has been appointed for a period of 3 years with effect from May 5 ,2021 or the date of his taking
charge ,whichever is later.
About Atanu Chakraborty:
i.Atanu Chakraborty was a 1985 batch IAS officer of Gujarat cadre.
ii.He was a retired secretary of the Department of Economic Affairs Ministry in April 2020.
iii.He also served as secretary of Department of Investment and Public Asset Management(DIPAM).
Note:
As per the recent information from management of bank, he will also be appointed to handle additional
post of Independent Director of HDFC bank once the decision is taken by board of directors in upcoming
meeting.

About HDFC bank:
Establishment:1994
Managing Director & Chief Executive Officer: Sashidhar Jagdishan
Headquarters: Mumbai,Maharashtra
Tagline: We understand your world
Arun Raste appointed as new MD & CEO of NCDEX

Securities and Exchange Board of India(SEBI) has approved the appointment of Arun Raste as
Managing Director and Chief Executive Officer of National Commodity & Derivatives Exchange
Limited(NCDEX) for a term of five years. He succeeds Vijay Kumar.
• Arun Raste is currently working as an executive director in National Dairy Development
Board(NDDB)
• He has also worked in organisations like IDFC First Bank, Kotak Mahindra Bank, NABARD, ACC
Cement, and a non-profit NGO IRFT.
• Apart from this he has also served as a Director on the Board of Indian Immunological and Mother
Dairy Fruit and Vegetable.
About National Commodity & Derivatives Exchange Limited(NCDEX):
Establishment:2003
Headquarters:Mumbai,Maharashtra.
Govt Appointed Economic Affairs Secretary Ajay Seth as a Director on the Central Board of RBI
The government of India has appointed Ajay Seth, the Economic Affairs Secretary in the Ministry of
Finance as the non-official director of the Central Board of Reserve Bank of India(RBI).He
succeeds Tarun Bajaj, who was appointed as revenue secretary.
• Ajay Seth has assumed the charge of the Department of Economic Affairs in April 16,2021.
About the Central Board of Directors:
• It is the apex authority of RBI as it takes the important decisions of the RBI.
• The directors will be appointed by the Government under the provisions of the Reserve Bank of
India Act, 1934 for a period of 4 years.
Classification over the directors:
• Official Directors: It include the Governor and Deputy Governors (not more than four) of RBI.
• Non-official Directors: Government will nominate the directors on the Central Board in which 10
directors represents different sectors of the economy, such as, agriculture, industry, trade, and two
secritaries from the finance ministry along with 4 directors from four Local Boards (one Director
from each) of RBI.
About the Central Board of Directors of RBI:
Official Directors:
Shaktikanta Das (Governor of RBI), Mahesh Kumar Jain, M.D. Patra, M. Rajeshwar Rao (3 Deputy
Governors of RBI)
Non-official directors:
Shri Debasish Panda, Ajay Seth, (Government officials) and other include Natarajan Chandrasekaran,
Satish Kashinath Marathe, Shri Swaminathan Gurumurthy, Revathy Iyer and Sachin Chaturvedi.
Expenditure Secretary TV Somanathan appointed as Finance secretary

The Expenditure Secretary T V Somanathan was recently appointed as the Finance Secretary by the
Appointments Committee of the Cabinet.He will succeed Ajay Bhushan Pandey
• In the Finance Ministry the senior most secretary among the four secretaries in the finance ministry
is designated as the finance secretary.
About TV Somanathan:
i.TV Somanathan is a 1987 batch IAS officer of Tamil Nadu cadre. Somanathan was awarded the Gold
Medal for the Best IAS trainee of his cohort.
ii.Somanathan was appointed as the Secretary,Department of expenditure(DoE)in finance ministry in
December 2019.

iii.Prior to that, he was serving as a principal secretary in Tamil Nadu cadre.
iv.Earlier, he has served as a joint secretary in the Prime Minister’s Office.
About Ministry of Finance:
Union Minister: Nirmala Sitharaman
Minister of State(MoS): Anurag Singh Thakur
Secretary, Department of Financial Services: Debasish Panda
Secretary, Department of Investment and Public Asset Management (DIPAM): Tuhin Kanta Pandey
Secretary of Department of Economic Affairs: Ajay Seth
Amitabh Chaudhry re-appointed as MD & CEO of Axis Bank

On 29th April 2021, the board of Axis Bank approved the re-appointment of Amitabh Chaudhry as the
Managing Director(MD) and Chief Executive Officer(CEO) of Axis Bank for a period of 3 years, with
effect from January 1, 2022 up to December 31, 2024.
• Also the Reserve Bank of India (RBI) and shareholders of the bank have to approve the
appointment.
About Amitabh Chaudhry:
i.Amitabh Chaudhry was appointed as MD and CEO of Axis Bank for a period of three years, from January
1, 2019 to December 31, 2021.
ii.Prior to joining Axis Bank, Amitabh Chaudhry was MD and CEO of HDFC Standard Life Insurance
Company
About Axis Bank:
Establishment: 1993
Tagline: Badhti ka Naam Zindagi
OBITUARY
Kamalesh Chandra Chakrabarty Former RBI Deputy Governor Passed Away at 68
Kamalesh Chandra Chakrabarty (KC Chakrabarty), the former Deputy Governor of Reserve Bank of
India(RBI) passed away at the age of 68 in his residence in Mumbai, Maharashtra.
• He served as the deputy governor of RBI from 15th June 2009 to 25th April 2014.
• He has served as the CMD of Punjab National Bank (2007-2009) and Indian Bank (2005-2007).
• Before starting his career as a commercial banker at Bank of Baroda, he worked at the Banaras Hindu
University.
Father of Indian Banking reforms :Ex RBI Governor M Narasimham passed away at 94.
On 20th April 2021,13th Reserve Bank of India(RBI) Governor Maidavolu Narasimham passed away at
Hyderabad due to Covid-19.He was 94.He was born on 3rd June 1927 in Guntur,Andhra Pradesh.
About Maidavolu Narasimham:
i.M Narasimham was popularly known as The Father of Banking sector reforms in India for his
contribution to the Indian banking and financial sector.
ii.He was first from reserve bank cadre to be appointed as RBI Governor.
iii.He also served as the Executive director in World Bank and in International Monetary Fund
iv.He also served as the Vice President of Asian Development Bank(ADB).
Awards:
He was honoured with Padma Vibhushan award in the year 2000 for his contribution to Indian banking
sector.
Committees Involved:
i.He was the Chairperson of the committee on the Financial systems,1991 and the committee of Banking
sector reforms,1998 which are popularly known as Narasimham committee-I and Narasimham
committee-II.
ii.Narasimham committee-I recommended the merger of large Indian banks which was the reason
behind the recent merger of 10 nationalised banks.

iii.It also proposed the concept of Narrow Banking and was also responsible for the creation of private
sector banks like ICICI Bank,HDFC Bank and Kotak Mahindra Bank.
iv.His committee recommended the implementation of Securitisation and Reconstruction of financial
assets and Enforcement of Security Interest(SARFAESI) act ,2002.
v.It was also responsible for the raise in capital adequacy norms,entry of foreign banks and creation
of Asset Reconstruction Companies(ARC).
vi.Narasimham is also credited with recommending the setting up of regional rural banks (RRBs) as
subsidiaries of public sector banks.
Books:
He had written his story in his book “From Reserve Bank to Finance Ministry and beyond:Some
Reminiscences”.
OTHER NEWS
Cabinet Approvals for Amendments to Finance Bill,2021
Amendments to Finance Bill, 2021
The Union Cabinet has granted ex-post facto approval for Government amendments to the Finance Bill,
2021.
• The Finance Bill became Finance Act, 2021 on March 28, 2021, after receiving the nod of President
Ram Nath Kovind.
• The bill gives effect to tax proposals for FY 2021-22 which will generate timely revenue for the
Government and streamline existing provisions by addressing the grievances of taxpayers.
• The government has made around 127 amendments to the Finance Bill, 2021 which are expected to
boost the Ease of Doing Business and easing compliance burden.
Key Points
• It provides a 10-year income tax exemption to the National Bank for Financing Infrastructure and
Development (NBFID).
• Under Clause 116 of the Bill, Government has proposed to introduce an Agriculture Infrastructure
and Development Cess (AIDC) on Petrol and Diesel (INR 2.5/litre on petrol and INR 4/litre on
diesel).
• Apart from amending the Finance Act, the Bill also amends the Income Tax Act, 1961; Life Insurance
Corporation Act, 1956; the Securities Contracts (Regulation) Act, 1956; the Central Sales Tax Act,
1956; the SEBI Act, 1992.
Finance Bill
• A Finance Bill is a Money Bill defined in Article 110 of the Indian Constitution.
• The proposals of the government for levying new taxes, modifying existing tax structure or
continuance of existing tax infrastructure beyond the period approved by Parliament are submitted
to parliament through this bill.
Nirmala Sitharaman attends 6th Annual Meeting of Board of Governors of New Development Bank
2021
On March 30, 2021, Union Minister of Finance, Nirmala Sitharaman attended the 6th Annual meeting of the
Board of Governors of New Development Bank (NDB, formerly known as BRICS Development Bank), 2021
through video-conference in New Delhi. Due to pandemic, the Annual meeting took place in a virtual
format.
• Theme of Annual Meeting – ‘New Development Paradigms: The Evolution of Infrastructure’.
• Participants – Governors/Alternate Governors of Brazil, China, Russia & South Africa.
Key Points from FM’s Address
i.India highlighted NDB’s role in countercyclical lending through a USD 10 Billion Emergency Assistance
Programme for supporting member countries in their fight against COVID-19.
• Nirmala Sitharaman highlighted India’s initiative to set up a new Development Financial
Institution (DFI) with initial paid-up capital of USD 3 Billion, with a lending target of USD 69 Billion
in the next three years (2021-23).

• It urged BRICS to improve its ratings by International Rating Agencies through adequate
capitalization, Quality Governance and prudent management.
Loan Approval for Russia
NDB approved a loan of up to USD 1 Billion to support healthcare workers treating patients for COVID-19
in Russia.
New Development Bank
It was set up in 2014 by BRICS countries (Brazil, Russia, India, China, and South Africa).
Objective – To mobile resources for infrastructure & sustainable development projects in BRICS & other
EMDCs (Emerging Markets and Developing Countries).
NDB has so far approved 18 Projects of India for an amount of USD 6, 924 Million.
Central Banks of BRICS Countries
Brazil – Banco Central do Brasil (Central Bank of Brazil) (Headquarters – Brasilia)
Russia – Central Bank of Russian Federation (Headquarters – Moscow)
China – People’s Bank of China (Headquarters – Beijing)
India – Reserve Bank of India (Headquarters – Mumbai)
South Africa – South African Reserve Bank (Headquarters – Pretoria)
About New Development Bank (NDB):
President – Marcos Prado Troyjo
Headquarters – Shanghai, China
Ujjivan SFB Collaborates with nStore to Digitise Offline Retailers And Small Businesses
On 30th March 2021, Ujjivan Small Finance Bank(Ujjivan SFB) partnered with nStore Technologies
Private Limited (nStore)to digitise offline retailers.Under this collaboration, Ujjivan SFB will offer the
mobile application ‘nLincs’ to its current account holders who own local businesses and enable them to sell
their products online.
• nLincs was developed by nStore.
Key points
i.The local businesses and retailers can register online and host their product catalogue on the mobile
application – ‘nLincs’.
ii.Through this digital banking services like merchant QR, Current Account & Overdraft (OD) facilities to
meet their business needs and enable them to develop their business through digitisation with multiple
digital payment options.
iii.A QR code will be provided to the merchants which can be offered to their customers to access the
product catalogue and to make payments.
About Ujjivan Small Finance Bank(Ujjivan SFB):
Managing Director & CEO– Nitin Chugh
Headquarters– Bengaluru, Karnataka
Tagline– Build a Better Life
About Small Finance Bank:
• They are established as public limited companies in the private sector under the Companies Act,
2013 and governed by the provisions of RBI Act, 1934 and Banking Regulation Act, 1949
• Eligibility: Resident individuals/professionals with 10 years of experience in banking and finance
will be eligible as promoters to set up small finance banks.
• Capital Requirement: The minimum paid-up equity capital should be ₹200 crores (US$28 million).
NPCI set 30% market cap on UPI Transactions for TPAPs with Exemptions
National Payments Corporation of India(NPCI) has framed a new rule that limit digital payment apps’ share
in the overall volume of transactions on the unified payment interface (UPI) at 30 per cent in a bid to end
the monopoly of Big Tech firms on the growing payments market in India.
Key points:
i.The limit of 30% will be calculated based on the total volume of transactions processed on UPI by the
payment apps during the preceding three months.
ii.Payers are given the time limit until December 2023 to comply with the market cap norms on UPI.

iii.After January 2023 in the case of non-compliance, the regulator could prevent the player from
onboarding new users.
iv.Phone Pe and Google Pay accounted for 80% of overall transactions in the month of December 2020.
Guidelines of NPCI:
• The NPCI will send three alerts to the Third-Party Applications (TPAPs) and their partner banks
when they hit a 30% cap
• First Alert: It is through an email or a letter to a TPAP and its partner banks, after their market share,
in terms of total UPI transactions, hits the 25-27% Players will have to acknowledge this alert from
NPCI.
• Second alert: This alert will be sent by the retail payments organization once a player hits 27-30% of
the total market share, the entity have to provide evidence to NPCI of the actions undertaken to
comply with the market volume cap.
• Third alert:On crossing the 30% mark, third-party apps and their partner banks will have to stop
onboarding new users with immediate effect.
Exemptions:
• TPAs will get exemption for 6 months on a “case-to-case basis” so as to not disrupt the user
experience and they have to submit a plan on how they look to correct the market cap breach.
• The plan should reach NPCI in 5 working days from the date of communication regarding the breach,
the retail payments organization.
Top 5 Apps as on Feb 2021,
1. Phone Pe – 42.55% (975.53 million Transaction)
2. Google Pay – 36.11% (827.86 million Transaction)
3. Paytm Payments Bank App – 14.86% (340.71 million Transaction)
4. Axis Banks App – 2.82%(64.74 million Transaction)
5. Amazon Pay App – 1.93% (44.22 million Transaction)
6. Others – 1.73%
Both Phone Pe & Google Pay will have to take measures to decrease this market share within the next two
years.
About National Payments Corporation Limited (NPCI):
MD & CEO – Dilip Asbe
NSE Academy Signs MoU with GIFT SEZ Limited

NSE Academy Limited (NAL), wholly owned subsidiary of the National Stock Exchange(NSE) signed a
Memorandum of Understanding(MoU) with GIFT Special Economic Zone (SEZ) Limited, a wholly owned
subsidiary of Gujarat International Finance Tec-City Co. Ltd(GIFT city) to mentor financial services
professionals in GIFT City.
Features of MoU:
i.The MoU lays down the foundation of NSE Academy ltd and GIFT city to support the incapacity building of
trained manpower by developing, launching and conducting training programs related to International
financial Service.
ii.Both the organisations will work to create unique certification and regulatory programs for the corporate
and organisations operating in Indian Financial System Code (IFSC) at GIFT city.
iii.Both the organisation will facilitate research in the field of International Financial Services as well as
create a platform to organise conferences, speaker sessions and knowledge series in this area to create
awareness about IFSC under the joint banner of GIFT City and NSE Academy limited.
About NSE Academy Limited:
Managing Director & CEO– Abhilash Misra
Established in 12th March 2016
Headquarters– Mumbai, Maharashtra

SBI Signed a $1 Billion Loan Agreement with JBIC
On March 31, 2021, the State Bank of India (SBI) has signed a loan agreement of $1 billion with the Japan
Bank for International Cooperation (JBIC) to provide loans for the whole range of business operations of the
Japanese automobile manufacturers in India.
Key points:
i.In October 2020, SBI made similar $1 billion loan agreement with JBIC. After the current loan agreement,
the total loan facility is now about $2 billion.
ii.The financing will assist the Government’s ‘Make in India’ initiative.
iiiSBI will provide the loan with refinancing for the funding support to the manufacturers, suppliers and
dealers of Japanese automobiles in India.
iv.The agreement stated that from the total amount of $1 billion, $600 million will be financed by JBIC and
$400 million by other participating banks (Sumitomo Mitsui Banking Corporation(SMBC), MUFG Bank,
Mizuho Bank, Shizuoka Bank and Bank of Yokahama).
• The terms of the agreement such as tenure and interest charges are not disclosed by the bank.
Note – Refinancing is the process of taking out a new loan to pay off one or more outstanding loans.
About Japan Bank for International Co-operation (JBIC):
Governor – MAEDA Tadashi
Headquarters – Tokyo, Japan
About State Bank of India(SBI):
Establishment – 1st July 1955
Chairman – Dinesh Kumar Khara
Tagline – The Banker to Every Indian
UN-ESCAP Forecasted India’s GDP growth to 7% in FY22 and Contraction of 7.7% in FY21
On March 30, 2021, The United Nations Economic and Social Commission for Asia and the Pacific (UN-
ESCAP) reported the survey on economic growth over Asia and the pacific region the report
titled “Economic and Social Survey of Asia and the Pacific 2021:Towards post-COVID-19 resilient
economies”
Key points about the report by ESCAP:
• The report has forecasted the Indian economy to grow at 7% in FY22 against a contraction of 7.7%(-
7.7%) in FY21.
• It reported a “K-shaped recovery” in the economics of the Asia Pacific region, including India.
• On average, the Asia-Pacific region’s developing economies are expected to grow 5.9% in 2021
and 5% in 2022, with a contraction of 1%(-1%) in 2020.
• China became the only major economy (worldwide) to achieve a positive annual economic growth
rate in 2020.
ESCAP’s Report on Indian Economy:
• Despite a strong reduction in COVID-19 cases and vaccine rollout, ESCAP forecasted India’s 2021
economic output to remain below the 2019 level.
• It estimated a zero year-on-year growth with a moderate recovery in the fourth quarter of FY21.
• It mentioned the challenge that India could face i.e. The difficulty in maintaining low borrowing costs
meanwhile keeping the non-performing loans under check.
• In its second advance estimates of national accounts, the National Statistical Office (NSO) has
projected an 8 per cent contraction in 2020-21.
Economic report for Asia-Pacific regions:
• China: The report mentioned China to be the only major economy worldwide to achieve a positive
annual economic growth rate in 2020 with a 6.5% year-on-year growth rate.
• ESCAP estimated that additional 89 million people in the Asia-pacific region could have been pushed
back into extreme poverty at the $1.90 per day threshold.
Note – The international poverty line is $1.90 per day; it is the threshold that determines whether someone
is living in poverty.

About the K-shaped recovery:
• ESCAP reported that the Asia Pacific region, including India, is observing a “K-shaped recovery” of
their economies due to COVID-19.
“K-shaped recovery”- It is one of the types of recovery after a recession in which different sectors and
economic groups of an economy recover at different speeds, with the most vulnerable sections severely
impacted, taking longer to come out from the jolt of the pandemic-induced recession.
About The United Nations Economic and Social Commission for Asia and the Pacific (UN-ESCAP)
Establishment – 1947 as the Economic Commission for Asia and the Far East (ECAFE)
Executive Secretary – Armida Salsiah Alisjahbana
Headquarters – Bangkok, Thailand
Government Retains the Interest Rate of Small Savings Schemes for Q1 of FY22
Ministry of Finance, Government of India(GoI) had retained the Interest Rate of Small Savings Scheme for
the 1st quarter(Q1) for the Financial Year 2021-22 (FY22) same as 4th quarter (Q4) for the Financial Year
2020-21 (FY 21).
• This is the 4th consecutive quarter, that GoI had retained the Interest Rates of the small saving
schemes.
Interest Rates of the Small Savings Schemes are:
Rates of Interest from 1st April, 2021 Compounding
Schemes to 30th June, 2021 Frequency
Post Office Savings Account (SB) 4.00% Annually
5 Years National Savings Recurring
Deposit Account (RD) 5.80% Quarterly
1 Year Time Deposit 5.50% Quarterly
National Savings Monthly Income
Account (MIS) 6.60% Monthly and Paid
Senior Citizens Savings Scheme
Account (SCSS) 7.40% Quarterly and Paid
Public Provident Fund Account (PPF ) 7.10% Annually
Sukanya Samriddhi Account (SSA) 7.60% Annually
National Savings Certificates (NSC) 6.80% Annually
Kisan Vikas Patra (KVP ) 6.9%(will mature in 124 months) Annually
Note – On April 1, 2021, Minister of Finance, Nirmala Sitharaman announced that, GoI will retain (maintain)
the Interest Rates of Small Savings Scheme as of the 4th Quarter of FY 21(i.e. January 1, 2021 – March 31,
2021).
Earlier on March 31, 2021, Ministry of Finance had released the Interest Rates of Small Savings Scheme, In
that Release they had cut down (Reduced) the Rates of Interest of all the Schemes for 1st Quarter of
FY22(i.e. April 1, 2021- June 30, 2021). Click here to know about that Rates.(Rates released on March 31,
2021).
This is for the first time that the Centre has withdrawn the notified interest rates on small savings schemes
after switching to a quarterly interest rate in April 2016.
Who can Revise the Interest Rates?
Ministry of Finance can revise the Interest Rates of Small Savings Scheme, in excise of the power conferred
by Rule 9(1) of the Government Savings Promotion General Rules, 2018.

How often the Rate of Interest will be Revised?
The Rate of Interest was revised by Ministry of Finance once in 3 Months [i.e. (Apr-Jun), (July – Sep), (Oct –
Dec),(Jan-Mar)].
Minimum Amount for Opening the Account:
Post Office Savings Account(SB) – Minimum of Rs.500 is required for opening the account.
5 Years National Savings Recurring Deposit Account (RD)- Minimum INR 100/- per month or any
amount in multiples of INR 10/-. No maximum limit.
National Savings Time Deposit Account(TD) (1 Year, 2 Year, 3 Year & 5 Year)- Minimum INR 1000/-
and in multiple of 100. No maximum limit.
Monthly Income Scheme Account (MIS) – In multiples of INR 1000/- Maximum investment limit is INR
4.5 lakh in single account and INR 9 lakh in joint account.
Senior Citizens Savings Scheme Account(SCSS) – There shall be only one deposit in the account in
multiple of INR.1000/- maximum not exceeding INR 15 lakh.
Public Provident Fund Account(PPF ) – Minimum INR. 500/- Maximum INR. 1,50,000/- in a financial
year. Deposits can be made in lump-sum or in instalments.
Sukanya Samriddhi Account(SSA) – Minimum INR. 250/-and Maximum INR. 1,50,000/- in a financial
year. Subsequent deposit in multiple of INR 50/- Deposits can be made in lump-sum No limit on number of
deposits either in a month or in a Financial year.
National Savings Certificates (NSC) – Minimum of Rs. 1000/- and in multiples of Rs. 100/- No Maximum
Limit.
Kisan Vikas Patra(KVP) – Minimum of Rs. 1000/- and in multiples of Rs. 100/- No Maximum Limit.
Union Minister – Nirmala Sitharaman (Constituency – Karnataka).
Minister of State – Shri Anurag Singh Thakur (Constituency – Hamirpur, Himachal Pradesh).
ICICI and AXIS Bank tied up to form NUE with Amazon and Visa as Partners
On March 31, 2021, ICICI Bank and Axis Bank, have tied up to launch a New Umbrella Entity(NUE) for retail
payments along with global e-commerce major Amazon and cards major Visa as their partners.
• ICICI Bank and Axis Bank will be co-leading with each having a 20% stake (40%) and the other
partners including Amazon, Billdesk, Pine Labs and Visa will be holding a stake of 15% each (60%)
Background:
• RBI allowed other organisations to set up umbrella entities for payments systems to create an
alternate mechanism(rivalry) to the National Payments Corporation of India (NPCI) for speeding up
the cashless payment.
• RBI has fixed March 31, 2021, as the deadline for making application to form NUEs.
Other entities which formed NUEs:
• Reliance Industries along with Facebook and Google
• Paytm with OLA
• Tata Group with Mastercard, Bharti Airtel, Kotak Mahindra Bank and HDFC as its partners
About New Umbrella Entity(NUE):
i.NUEs will be a non-profit entity that will perform as like NPCI and operate new payment systems,
especially in the retail space such as ATMs, white-label point of sale terminals (PoS), Aadhaar-based
payments and remittance services, operation of clearing and settlement systems for participating banks and
non-banks, be interoperable with NPCI.
ii.They will be participating in the RBI’s payment and settlement systems.
Functions of NUE:
• It will develop new payment methods, standards and technologies.
• It will operate clearing and settlement systems, identify and manage risks such as settlement, credit,
liquidity.
• To avoid shocks, frauds and contagions it will monitor retail payment system developments.
Framework for forming NUE:
i.Governance: RBI has the right to approve the appointment of directors

ii.Shareholding Pattern:
• Any entity holding more than 25% of the paid-up capital of the NUE will be deemed to be a promoter.
• The promotor/promotor group should have 3 years of experience in the payments ecosystem
iii.Capital:
• Minimum paid-up capital – Rs. 500 crore
• Minimum net worth – Rs. 300 crore (should be maintained at all times)
• No promoter or promoter group should have more than 40% of investment in the capital of the
entity.
iv.Foreign Investment is allowed in NUEs
About ICICI Bank:
Establishment – 1995(Incorporated in 1994)
MD& CEO – Sandeep Bakhshi
Tagline – Hum hai na, Khayal Apka
About Axis Bank:
Commenced operations – 1994(founded – 1993)
MD & CEO – Amitabh Chaudhry
Tagline – Badhti ka Naam Zindagi
India’s GDP Estimated to Grow in the range of 7.5% to 12.5% in FY22: World Bank report
On March 31, 2021, The World Bank reported its South Asia Economic Focus report for the year 2021, titled
“Sour Asia Economic Focus Spring 2021: South Asia Vaccinates” and it has estimated India’s GDP (Gross
Domestic Product) growth to be in the range of 7.5% to 12.5% for the Financial year 2021-22 (FY22) and
contraction of 8.5% (-8.5%) for FY21.
Key points of the report:
• The World Bank has increased the GDP growth rate of India by 4.7% to 10.1% for FY22, due to
private consumption and investment growth. It has reported a 5.4% growth in its January report.
• The poverty rate (at the $1.90 line) for the South Asian group is projected to be within 6% and 9% in
FY22, and between 4% and 7% by FY24.
World Bank’s projection for India:
• The general government deficit is expected to remain above 10% of GDP until FY22 and which will
result in public debt at a peak of almost 90% of GDP in FY21.
• The current account is expected to return to mild deficits of around 1% in FY22 and FY23.
• World Bank’s projection compared well with IMF which predicted GDP growth rate to be 11.5 per
cent during FY22 and Economic Survey which forecast it at 11%.
• The government’s consumption is expected to rise by about 16.7% during FY21.
• It expected that Covid-19 might lead to a long-lasting inflexion in India’s fiscal path.
Poverty reduction:
• As South Asian countries’ growth resumes and the labour market prospects improved, poverty
reduction is expected to return to its pre-pandemic track.
• The income gap between the poorest (90% of the population) and the richest (10%) was widened
even further in India due to COVID-19 by 13.2% points.
About World Bank:
Establishment – 1944 as The International Bank for Reconstruction and Development
President – David Robert Malpass
Headquarters – Washington, D.C., United States
Government retained the inflation target 4% with a +/-2% Till March 2026
On April 1,2021, Government of India has decided to continue the existing inflation-targeting framework
which fixed the inflation target (price stability) of 4% with a +/- 2% tolerance band (in the range of 2% –
6%) for the next 5 fiscal years i.e. FY22 to FY26.

• The inflation target for the period April 1, 2021 to March 31, 2026 under the Reserve Bank of India
Act 1934 has been kept at the same level as was for previous 5 years.
• After framing the inflation target in 2016 the Retail inflation has fallen from 26% in the pre inflation
targeting phase to an average of 3.9% post its adoption (excluding the pandemic period).
Background:
• The inflation-targeting framework that is being followed now was based on an agreement signed
between the Government and the RBI in 2015.
• In May 2016, the RBI Act, 1934 was amended to provide a statutory basis for the implementation of
the flexible inflation targeting framework.
• It allowed for setting an inflation target by the Centre in consultation with the RBI, for every five
years.
• Based on this framework, the Monetary Policy Committee(MPC), headed by the RBI Governor, will
meet and decided on the monetary policy based on the inflation target.
Key points:
i.India’s retail inflation quickened to 5% in February,2021 from 1% in the January,2021 due to price hike of
food and fuel.
ii.Retail inflation accelerated to 5.03 per cent year-on-year, a three-month high, in February 2021 on higher
fuel prices.
ii.Economic Affairs Secretary Tarun Bajaj stated that the goverment will be borrowing 60% of ₹12.05
trillion gross borrowing target for FY22.
About The Monetary Policy Committee(MPC):
It is a 6 members committee which includes Shaktikanta Das (RBI Governor), Ashima Goyal, Shashanka
Bhide, Jayanth R. Varma, Michael Patra, and Mridul Saggara.
Moody’s Analytics report:
• It reported that India’s Retail inflation target has held above the RBI’s 4% and CPI (Consumer Price
Index) exceeded the upper band of 6% several times in 2020.
NPCI set up a subsidiary firm – NPCI Bharat BillPay Ltd

On April 01, 2021, The National Payments Corporation of India (NPCI) formed its wholly-owned subsidiary
firm called NPCI Bharat BillPay Limited (NBBL) to offer recurring payment services. NPCI transferred all its
Bharat Bill Payment System (BBPS) transaction mandates to the newly formed subsidiary.
• It has a paid-up capital of Rs 5 lakh and a Share capital of Rs 1 crore.
• Banks and payment aggregators on the Bharat Bill Payment Operating Units (BBPOU) platform have
been asked to start accounting their billing transactions under NBBL from April 1, 2021.
Note – Bharat BillPay is NPCI’s second subsidiary firm after NPCI International Payments (NIPL), which
takes care of deployment of the RuPay card scheme and UPI outside of India.
Background:
• RBI directed NPCI to set up a separate subsidiary to scale the interoperable bill platform by the way
of increased autonomy in operations and onboarding of new billers.
• NBBL is a public company registered in December 2020 with three directors – NPCI chief executive
Dilip Asbe, SBI deputy managing director and chief digital officer Ravindra Pandey, and NPCI non-
executive chairman Biswamohan Mahapatra.
Key points:
i.The new entity offers various recurring payment services to customers, including bill payments for
electricity, telecom, DTH, gas, education fees, water and municipal taxes, NETC FASTag recharge, loan
repayments, insurance, cable, housing society, subscription fees, hospital, credit card, clubs and
associations.
ii.The transaction can be initiated through multiple payment channels like Internet, Internet Banking,
Mobile, Mobile-Banking, Mobile Wallets, Kiosk, ATM, Bank Branch, Agents and Business Correspondents.

iii.NPCI stated that BBPS has processed 35 million transactions worth Rs 5,196 crore for more than 19,000
billers in March 2021.
About National Payments Corporation Limited (NPCI):
National Payments Corporation of India (NPCI) was incorporated in 2008 under the provisions of the
Payment and Settlement Systems Act, 2007.
MD & CEO – Dilip Asbe
Headquarter – Mumbai, Maharashtra
CDC tied up with Northern Arc for PBI to support MFIs

The CDC Group, the UK government’s development finance institution, has made a partnership with
Northern Arc Capital Limited(NACL), for investing a total of Rs 320 crore under pooled bond issuance
(PBI) to support six leading Indian microfinance institutions(MFIs).CDC’s Rs 320 crore investment in a pool
of NACL is its first-ever transaction in India .
• The investment will support MFIs by providing over 6.3 lakh micro-loans to low-income households
(primarily female and rural borrowers).
• CDC Group (“CDC”) will invest in the non-convertible debentures (“NCDs”) of six leading Indian
microfinance institutions: Annapurna Finance, Arohan Financial Services, ASA International, Asirvad
Microfinance Limited, Chaitanya India and Fusion Microfinance.
Objective: To facilitate finance to the small businesses especially for women to empower them by uplifting
their livelihoods.
Key points:
i.After this, it is planning to invest in the same structure in future.
ii.In 2021 CDC is aiming to invest over $1.75 billion in companies in Africa and Asia
About Pooled Bond Issuance(PBI):
• It is a kind of bond issuance in the form of pooled funds, in which pooled funds are the funds in a
portfolio from many individual investors for the purposes of investment.
• Examples: Mutual funds, hedge funds, exchange-traded funds, pension funds, and unit investment
trusts.
About CDC Group:
CEO – Nick O’Donohoe
About Northern Arc Capital Limited(NACL):
It is a leading digital debt platform that addresses the credit requirements of the underbanked in India.
Note – underbanked refers to individuals or families who often rely on alternative financial services such as
money orders, and payday loans rather than on traditional loans and credit cards.
Headquarters – Chennai, Tamil Nadu
CEO – Kshama Fernandes
India recorded Current account deficit of $1.7 billion in Q3FY21: RBI report
As per the RBI’s report “Developments in India’s Balance of Payments during the Third Quarter (October-
December) of 2020-21(Q3FY21)” on March 31, 2021, India has recorded a current account balance deficit
of $1.7 billion(i.e. 0.2% of Gross Domestic Product(GDP)) in Q3FY21 due to the COVID-19’s impact on
trade.
• The current account stood at a surplus of $15.1 billion and $19 billion in the first two quarters (Q1
& Q2) of FY21.
• India had a deficit in the current account of about $2.6 billion(i.e.0.4% of GDP) in the Q3FY20.
• RBI is expecting the size of the current account deficit to enlarge to $5-7 billion for Q4FY21 with an
aggregate current account surplus of $25-27 billion for FY21.
Key points about the RBI’s report for Q3FY21:
i.The Merchandise trade deficit: It was increased to $34.5 billion from $14.8 billion in Q2FY21.
ii.Net services receipts: It was increased to $23.6 billion.

iii.Net outgo on the primary income account: (primarily payments of investment income) It was increased
to $10.1 billion from $7.4 billion in FY20.
iv.Private transfer receipts :( especially remittances by Indians employed overseas) declined by 1.5% to
$20.7 billion in the Q3.
v.Net foreign direct investment(FDI): It was about $17 billion, compared with $9.7 billion in the Q3FY20.
vi.Net foreign portfolio investment (FPI): It was $21.2 billion as compared with $7.8 billion in Q3FY20.
vii.Foreign exchange reserves: It was hiked to $32.5 billion as compared to $21.6 billion in Q3FY20.
About Balance of payments:
i.It is a systematic statement of all economic transactions of the country with the rest of the world during a
specific period.
ii.Components of BoP: Current account, Capital account and Errors and Omissions along with changes in
Foreign Exchange Reserves.
iii.Current account: It measures the inflow and outflow of goods, services, investment incomes and
transfer payments.
• Current account deficit: It arises when the value of imports is greater than the value of exports.
• Current account surplus: It arises when the value of imports is less than the value of exports.
iv.Capital Account: It shows the capital expenditure and income of the country.
India contributes USD 300, 000 to UN Women

T.S. Tirumurti, India’s Permanent Secretary to the United Nations (UN) stated that India has
contributed USD 300, 000 (~ INR 2.2 Crores) to the UN Entity for Gender Equality and the Empowerment
of Women (also known as UN Women).
• In September 2020, India along with Afghanistan was elected as Members of the UN Commission
on Status of Women, a body of the Economic and Social Council (ECOSOC).
• In August 2020, India co-sponsored a UNSC (United Nations Security Council) Resolution tabled
by Indonesia for the Greater Participation of women in peacekeeping forces.
UN Women
i.It was created in 2010 (became operational in 2011) by the UN General Assembly.
ii.Its main role is to support inter-governmental bodies like the Commission on the status of women, in
their formulation of policies, global standards & norms.
Fact
Sustainable Development Goal-5 (SDG-5) stands for Achieving Gender Equality and empower all women
and girls
About UN Women:
Executive Director – PhumzileMlambo-Ngcuka
Headquarters – New York, USA
WTO revised its Global Trade Projection for 2021 to 8%

On March 31, 2021, the World Trade Organisation(WTO), the multilateral trade body in its Trade forecast,
revised its global merchandise trade volume growth for 2021 to 8% from the earlier forecast of 7.2% in
October 2020.
• WTO reported a 5.3% decline in global trade in 2020.
• As the effects of COVID-19 in trade were continuing, WTO expected the trade growth to be 4% in
2022.
Key points about the Forecast:
The World GDP at market exchange rates was forecasted to increase by 5.1% in 2021 and 3.8% in 2022,
after its contraction by 3.8%(-3.8%) in 2020.
• Asia: In 2020, WTO expected Asia’s export volume to be increased by 0.3% and import volume
decreased by 1.3% whereas for 2021 the exports are expected to grow by 8.4%.
• India: WTO reported a future growth in India’s exports as the top export markets of India such as
North America and the European Union(EU) have increased their imports demand by 11.4% and 8%.
• Goods exports in India for FY21 was about 8-10% which was lower than FY20’s value of $314 billion.

Merchandise Trade Volume report by WTO:
2019 2020 2021 2022
Annual % of World Merchandise Trade volume 0.2 -5.3 8 4
About World Trade Organisation(WTO):
• WTO deals with the global rules of trade between the countries.
Headquarters – Geneva, Switzerland
Establishment – 1 January 1995
Created by – Uruguay Round negotiations (1986-94)
Director-General – NgoziOkonjo-Iweala
Members – 164
World Bank approves USD 32 Million Project to improve Healthcare services in Mizoram
On April 1, 2021, the World Bank Board of Executive Directors approved a USD 32 Million (~INR 234.80
Crores) Project titled ‘Mizoram Health Systems Strengthening Project’ for improving management capacity
and quality of health services in Mizoram.
• The $32 million loan from the International Bank for Reconstruction and Development (IBRD), has a
maturity of 14.5 years, including a grace period of 5 years.
• The project will help Mizoram to improve quality certification at health facilities, enhance human
resources, improve health insurance and other innovations.
Areas of Focus
i.Reducing financial barriers in accessing hospital services. For this purpose, it will build cooperation with
India’s Pradhan Mantri Jan ArogyaYojna (PMJAY).
ii.Preventing out of pocket expenditure for health by poor families and expanding coverage.
iii.To invest in a comprehensive quality assurance programme for enabling quality certification of health
facilities.
Key Strategy
i.To ensure accountability, the project will move towards a performance-based financing system – Internal
Performance Agreements (IPAs) between the State Health Department and its subsidiaries.
ii.The Project will invest in infection prevention and control for a more resilient response to future
outbreaks, pandemics, and health emergencies.
iii.The Project will invest in It will also focus on the proper management of bio-medical waste management
in Mizoram through segregation, disinfection, and collection.
Mizoram’s Performance in the Health sector
• The major health issues facing Mizoram are the increasing burden of Non-Communicable Diseases
(NCDs), increasing urban-rural disparities & access to quality health services.
• NCDs in adults account for more than 50% of the disease burden in the state.
NIIFL made its 1st investment in Health sector by its investment in Manipal Hospital
On April 1, 2021, The National Investment & Infrastructure Fund Ltd (NIIFL) made its first investment in
the Indian healthcare sector by its investment of ₹2,100 crores in Manipal Hospitals through its direct
private equity fund, Strategic Opportunities Fund(SOF).
Key points:
• NIIFL will get a minority stake in Manipal Hospitals as Chairman of Manipal Education and Medical
Group RanjanPai is selling a small percentage of his stake in the company.
• In January 2021 Manipal Health Enterprises Private Limited acquired the Columbia Asia Hospital.
• This investment will support Manipal Hospitals’ journey of growth to become one of India’s largest
hospital chains.
• NIIFL manages over $4.5 billion of equity capital commitments across three funds (master fund, fund
of funds and Strategic Opportunities Fund).
About National Investment & Infrastructure Fund Ltd (NIIFL):
• It wasIndia’s first infrastructure specific investment fund or a sovereign wealth fund that was
set up by the Government of India.

• It is a collaborative investment platform for international and domestic investors, it invests across
asset classes such as infrastructure, private equity and other diversified sectors, with the objective to
generate attractive risk-adjusted returns.
MD and CEO – SUJOY BOSE
WB, AIIB Approved Loan for 300 Million USD Canal-based Drinking Water Projects in Punjab
The World Bank(WB) and Asian Infrastructure Investment Bank (AIIB) have approved the loan for the 300
Million USD (around Rs.2190 crore) canal-based drinking water project in Punjab.
The entire project will be co-financed by International Bank for Reconstruction and Development (IBRD) of
World Bank (USD 105 million), AIIB (USD 105 million) and the Government of Punjab (USD 90 million).
The $105 million loan from the International Bank for Reconstruction and Development (IBRD), has a final
maturity of 12.5 years including a grace period of three years.
Aim of the Projects:
• To ensure the quality of drinking water.
• To minimise the water losses for Amritsar and Ludhiana.
Drinking-Water Projects in Punjab:
The canal-based drinking water projects in Punjab is Amritsar Project and Ludhiana Project.
Amritsar Project:
i.Source of the surface water supply: Upper Bari Doab Canal.
ii.Under this project, The water treatment plant with a capacity of 440 million litres per day (MLD) will be
constructed in the village of Vallah in Amritsar.
iii.After the treatment the clear water will be pumped to the Over Head Service Reservoirs (OHSR) which
will enable a continuous water supply to the residents of the city.
iv.The infrastructure of the project is designed to fulfil the water demands for 30 years.
Benefits:
This project will benefit the residents of Amritsar with an estimated population of 14.51 lakh in 2025 and
22.11 lakh in 2055.
Ludhiana Project:
i.Source of the water supply: Sirhind Canal.
ii.Under this project 580 MLD water treatment plant will be constructed for treating the surface water and
the treated water will be pumped to the OHSR to meet the water supply needs of the residents.
Benefits:
This project will benefit the residents of Ludhiana with an estimated population of 20.76 lakh in 2025 and
29.35 lakh in 2055.
About Asian Infrastructure Investment Bank (AIIB):
President– Jin Liqun
Headquarters– Beijing, China
PayPal Launches Cryptocurrency Checkout Service in United States

PayPal Holdings Inc has started allowing United States(U.S.) consumers to use their cryptocurrency
holdings to pay its online merchants globally.
• In PayPal digital wallets, Customers who hold bitcoin, ether, bitcoin cash & litecoin will be able to
convert their holdings into fiat currencies at checkouts to make purchases.
• About PayPal :President and CEO- Dan Schulman; Headquarters- San Jose, California.
India’s Fiscal Deficit for FY21(April-February) was about 76% of RE : CGA

Based on the data released by the Controller General of Accounts (CGA) on March 31, 2021, the fiscal deficit
for the 11months of FY 2020-21(April – February) stood at Rs 14.05 lakh crore which is about 76% of the
revised estimates(RE)and for FY 2019-20 the deficit was about 135.2% of RE.

Comparison with the Budget Estimation:
i.Fiscal Deficit:The fiscal deficit projections for FY21 was revised to Rs 18.48 lakh crore (9.5% of the GDP)
from the original budget estimate of Rs 7.96 lakh crore (3.5% of the GDP)
• The Fiscal deficit has reached a high of 4.6% of GDP in 2019-20, hence, at the Budget in February
2021 the Government aimed to reduce the fiscal deficit to 4.5% of GDP by 2025-26.
ii.Receipts: The government’s total receipts during (April-February)FY21 stood at Rs 14,13,096 crore or
88.2% of the RE (Rs 16,01, 650 crores) which was presented in the Budget
iii.Expenditure: The total expenditure was Rs 28,18,643 crore or 81.7% of the budget’s RE (34,50,305
crore). In FY20 the expenditure was 91.4% of RE.
The central government’s fiscal position in FY22 is expected to be slightly better than in FY21 as the fiscal
deficit was 76% of the revised estimate.
As per the borrowing plan for H1, the government will issue securities with a maturity of 2, 5, 10, 14, 30 and
40 years and that floating-rate bonds will also be issued.
About Fiscal Deficit:
• It is the excess of total spending from the Consolidated Fund of India (excluding repayment of the
debt) over total receipts into the Fund (excluding the debt receipts) during a financial year.
• Formula: Fiscal Deficit = Total expenditure of the government (capital and revenue expenditure) –
Total income of the government (Revenue receipts + recovery of loans + other receipts).
Govt decided to Borrow ₹7.24-lakh crore for the 1st Half of FY22
On March 31, 2021, The Government in consultation with the RBI decided to borrow ₹7.24-lakh crore for
the first six months of FY22. In terms of percentage, the borrowing was 5.5% less than FY21’s borrowing.
• The borrowing of ₹7.24-lakh crore for the first six months is about 60.06% of the gross issuances.
Comparison with the Budget’s estimation:
• The budget for 2021-22, has estimated the government’s gross borrowing for FY22 to be Rs 12.05
lakh crore and net borrowing of Rs 9.37 crore.
• During FY21, there was a gross borrowing of over ₹13.71-lakh crore.
Additional Info:
Accordingly, the revised limits for FPI investment in corporate bonds will be Rs 5,74,263 crore (April-
September 2021) and Rs 6,07,039 crore in the second half of the fiscal. The current limit is Rs 5,41,488
crore.
RBI States the limits for FPI investment in corporate bonds will remain unchanged at 15 per cent of
outstanding stock of securities for the financial year 2021-22.
About Controller General of Accounts (CGA):
• CGA is in the Department of Expenditure, Ministry of Finance is the Principal Accounting Adviser to
the Government of India.
• The Annual Appropriation Accounts (Civil) and Union Finance Accounts are submitted by CGA to
Parliament under Article 150 of the Constitution.
• It has the responsibility to Disburse the Pension through Public Sector Banks (PSBs) in respect of
Central Civil Pensioners, Freedom Fighters, High Court Judges, Ex-M.P. s and Ex-Presidents.
• Current CGA – Smt. Soma Roy Burman (24th CGA, from December 1, 2019).
YES Bank Bought RInfra’s Reliance Centre at Santacruz for Rs.1200 crore
YES Bank bought the Reliance Centre of Reliance Infrastructure Limited (RInfra) at Santacruz, Mumbai,
Maharashtra for Rs.1200 crores. This sale of the office building of 21432.28 square meter plot in Santacruz
is utilised to repay the debt of YES Bank.
Background:
i.Under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest
(SARFAESI) Act 2002, The YES bank has issued the demand notice to Reliance Infrastructure Ltd on 6th
May 2020, for non-payment of loans amounting to Rs. 2,892 crore.
ii.In July 2020, the YES Bank took over the possession of the Reliance Centre at Santacruz which served as
the headquarters of the Anil Ambani’s Group.
iii.Both YES Bank and RInfra have agreed to formalise this into a sale deal.

Additional info:
i.The sale of the assets by RInfra is a part of its aim to become debt free in 2021.
ii.In the past 3 months, the company has made similar deals like,
• Sale of its entire holding (74%) in Power Grid Corporation of India namely Parbati Koldam
Transmission Company, for Rs 900 crore.
• Sale of its Delhi-Agra road project to Cube Highways and Infrastructure III Pte for Rs.3600 crores.
About YES Bank:
MD & CEO– Prashant Kumar
Tagline– Experience our expertise
Incepted in 2004
Stand-Up India Scheme: About INR 25, 586 Crore Loans sanctioned by Banks since 2016
The Ministry of Finance has stated that Banks have sanctioned more than INR 25, 586 Crore (25,586.37
Crore) Loans to over 1.14 Lakh Accounts (Till March 23, 2021) under the Stand-Up India Scheme since its
launch in 2016.Simultaneously, the government extended the validity of the Stand-Up India Scheme till
2025.
• Around 93, 094 loans worth ~INR 21,200.77 Crore have been sanctioned to women-led business
enterprises under the scheme.
• INR ~3, 335.87 Crore have been sanctioned to over 16, 258 SC entrepreneurs & ~INR 1, 049.72 Crore
has been approved for 4, 970 ST entrepreneurs.
• The main aim of the Stand-Up India scheme is to promote Entrepreneurship among Women,
Scheduled Castes (SC) & Scheduled Tribes (ST) categories.
Stand-Up India Scheme
i.It was launched in 2016 by Prime Minister Narendra Modi. It is anchored by the Department of Financial
Services (DFS), Ministry of Finance, Government of India.
ii.The scheme facilitates bank loans between INR 10 Lakh and INR 1 Crore to at least one SC/ST borrower
and at least one-woman borrower per bank branch of Scheduled Commercial Banks.
• Loans under the scheme are available for only greenfield projects (First Time Venture of
Beneficiary) in manufacturing, services or trading sector & agricultural activities.
iii.Repayment Period – Maximum of 7 years (including moratorium period upto 18 months).
iv.In the case of non-individual enterprises at 51% of the shareholding and controlling stake should be
held by an SC/ST or woman entrepreneur.
v.The margin money is reduced from ‘up to 25 percent’ to ‘up to 15 percent’ of the project cost.
Eligibility
• Minimum Age – 18 years
• Zero default history of borrowers to any bank/financial institution.
Union Minister – Nirmala Sitharaman (Constituency – Karnataka).
Minister of State – Shri Anurag Singh Thakur (Constituency – Hamirpur, Himachal Pradesh).
Govt has infused Rs 14,500 Cr to 4 PSBs under Zero-Coupon Recapitalisation Bonds

On March 31, 2021, The Government of India(GOI) has infused Rs 14,500 crore ($1.98 billion) in four weak
Public Sector Banks (PSBs) by issuing them non-interest-bearing Zero-Coupon Recapitalisation
Bonds with maturities between March 31, 2031, and March 31, 2036.
• Out of the total amount infused the Central Bank of India was provided with Rs 4,800 crore, Indian
Overseas Bank (IOB) with 4,100 crores, Bank of India with Rs 3,000 crore and UCO Bank with Rs
2,600 crore.
• For FY22, the government had allocated Rs 20,000 crore for capital infusion into the public sector
banks for meeting regulatory requirements.
• The government has allocated Rs 5,500 crore to Punjab and Sind Bank (P&SB) in Q3FY21.

Background:
• Since the government is the biggest shareholder in PSBs, it has the responsibility to maintain the
capital reserves in it (Based on Reserve Bank of India’s(RBI)norms of Capital Adequacy Ratio (CAR)
of 12%).
• Hence the government will infuse capital through recapitalisation bonds into PSBs which are facing
capital shortages.
• Out of four banks, IOB, Central Bank of India and UCO Bank are currently under RBI’s prompt
corrective action (PCA) framework, which puts several restrictions related to lending, management
compensation and directors’ fees.
• The current capital infusion by the GOI is aimed to help these banks to come out of the PCA
framework.
Key points:
i.This infusion is from the remaining budgetary allocation for FY21.
ii.The date of issuance will be the date on which the subscription amount is received from these PSBs. PSBs
would hold these securities in their investment portfolio under the held-to-maturity category.
iii.GoI had infused Rs 2.5 trillion over FY18-FY20. While before FY18, the government would do a direct
infusion of equity in PSBs, from FY18 onwards the government has used recapitalisation bonds.
About Zero Recapitalisation Bond:
What are Recapitalisation Bonds?
These are the bonds issued to banks by GOI in the form of equity capital to increase the bank’s capital
reserves.
Zero-Coupon Recapitalisation Bond:
• It is a bond that is non-tradable and non-transferable which will be limited only to a specific bank for
a specified period.
• This bond has no coupon (i.e. zero coupons) and it will be issued at par value rather than the
discounted value.
• The Zero Coupon bonds generally come with a maturity period of 10 to 15 years.
• Under this bond, the amount has to be paid back by the bank at the end of the specified maturity
period and the government would then again use the funds raised to infuse back in PSBs as equity.
• This bond will be held at the Held-To-Maturity (HTM) category of the bank as per the RBI guidelines.
Note – Coupon is the Interest/Returns which the Investor gets on a bond.
Note – The term issued at par means the bond will be issued at face value. A bond Par value is static and it
will be assigned at the time when the security is issued.
Other types of Issuance:
When a company issues a bond and if it receives the face value of the security the bond is said to have
been issued at par. If the issuer receives less than the face value for the security, it is issued at a
discount. If the issuer receives more than the face value for the security, it is issued at a premium.
Dutch Development Bank invested $137 million in India’s EverSource Capital’s GGEF
On April 2, 2021, Dutch entrepreneurial development bank (FMO) invested $137 million (~ Rs 1000 crore)
in India’s Green Growth Equity Fund (GGEF), managed by EverSource Capital, to invest in India’ green
energy space such as clean energy, transportation, resource efficiency and energy services.
• This fund-raising was approved by South Korea-based Green Climate Fund’s (GCF) board, the world’s
largest dedicated climate fund
• This is the largest single country amount approved by GCF ever for a private sector equity fund
focused on climate mitigation.
Objective:EverSource Capital’s GGEF aims to reduce greenhouse gas (GHG) emissions and increase access
to India’s alternative water resources.
Note – Green Climate Fund, having an $8 billion portfolio, is the world’s largest dedicated climate fund.
Background:
• India’s GHG emission was the third-largest in the world, which is contributing to 7% of global
emissions and temperature rise.

• Hence India needs a total of $2.5 trillion over 2016-2030 to ensure low-carbon and climate-resilient
pathways.
• A study by Climate Policy Initiative says that India is mobilising less than 25% of the investment
needed to reach its target.
About Green Growth Equity Fund (GGEF):
i.GGEF is raising the capital to invest in the country’s green infrastructure sectors such as renewable
energy, transport, resource efficiency and energy services.
ii.The fund will also invest in value chain, water, waste and transport sectors that promote low carbon and
climate-resilient initiatives.
India’s Stats:
India is running the world’s largest clean energy programme to achieve 175 GW of renewable capacity, to
help reduce its carbon footprint by 33-35% from the 2005 levels, as part of global climate change transition
commitments adopted by 195 countries in Paris in 2015.
About EverSource Capital
• It is a joint venture between private equity firm Everstone Capital and global solar project developer
Lightsource BP.
• It is the fund manager of GGEF and it aims to raise a total of $940 million and has the National
Investments and Infrastructure Fund (NIIF) (£120 million) of India and the UK government’s
Department for International Development (£120 million) as anchor investors.
Chief Executive Officer – DhanpalJhaveri
About Dutch development bank (FMO):
Headquarters – Hague, Netherlands
CEO (interim) -Linda Broekhuizen
Government Promulgates Ordinance to amend Insolvency & Bankruptcy Code

The government of India has promulgated an Ordinance titled ‘The Insolvency and Bankruptcy Code
(Amendment) Ordinance, 2021’ to allow ‘pre-packaged insolvency resolution process (PIRP)’ to Micro,
Small & Medium Enterprises (MSME). It amends the Insolvency and Bankruptcy Code, 2016.
• The amendments are necessary to address the specific requirements of MSMEs relating to resolution
of their insolvency due to the unique nature of their businesses and simpler corporate structures.
Applicability
• PIRP will be applicable for MSMEs with a maximum default value of INR 1 Crore only. It can be filed
under a newly inserted Section 54C of the IBC.
Initiation/Trigger
• It is modelled on the debtor-in-possession approach.
• The debtors should have a base resolution plan in place before approaching creditors to initiate a
PIRP.
• The Pre-pack resolution must be approved by financial creditors with a minimum 66 % voting share
by value.
• If the Corporate debtor does not have financial creditors, the company may approve application filing
through a special resolution with a 75% majority, and move court to initiate PIRP.
Timelines
90 days to submit a resolution plan & 120 days for the entire process.
Control of Company
During PIRP, the management of affairs of the corporate debits will continue to vest in the Board of
Directors or partners of the corporate debtor.
Termination
• Can terminate process with minimum 66% CoC (Committee of Creditors) votes
Eligibility
• It should be eligible to submit a resolution plan under section 29A

• It should not have undergone PIRP or Completed Corporate Insolvency resolution process during the
period of three years preceding the initiation date.
• It should not be undergoing a corporate insolvency resolution process.
Newly Inserted Sections
Insertion of new section 11A – Disposal of applications under section 54C and under section 7 or
section 9 or section 10.
Insertion of new Chapter III-A titled ‘Pre-Package Insolvency Resolution Process’.
Insertion of new section 67A – Fraudulent management of corporate debtor during prepackaged
insolvency resolution process.
Insertion of new section 77A – Punishment for offences related to pre-packaged insolvency resolution
process.
Section 54-C – Application to initiate prepackaged insolvency resolution process.
General Procedure:-
Generally, under a pre-package process, the creditors & shareholders together identify a prospective
buyer and negotiate a resolution plan before approaching NCLT (National Company Law Tribunal).
• All resolution plans under the IBC need to be approved by the NCLT.
• The Insolvency and Bankruptcy Board of India (IBBI) is a key institution in implementing the IBC.
Criteria Pre-Packaged Insolvency Resolution Process (PIRP)
Eligibility Only MSMEs
Default Limit UptoRs 1 crore
Initiation by Corporate Debtor (CD)
Timeline 90 days to submit resolution plan & 120 days for entire process
Management Control Corporate Debtor-in-Possession with Creditor-in-Control
Resolution plan CD to submit Base Resolution Plan.
Termination Can terminate process with minimum 66% CoC (Committee of Creditors) votes
About Insolvency and Bankruptcy Board of India (IBBI):
Chairperson – Dr. M. S. Sahoo
Head Office – New Delhi
SEBI modified its framework on AMCs contribution to set up LPCC

On April 06,2021, Securities and Exchange Board of India (SEBI) modified its framework relating to the
guidelines on contribution to set up Limited Purpose Clearing Corporation (LPCC) by Asset Management
Companies (AMCs) of Mutual Funds(MFs).
Background:
In, September 2020, SEBI has approved the MF industry to set up LPCC based on recommendation of a
working group set up by the Mutual Fund Advisory Committee (MFAC) for clearing and settling repo
transactions incorporate debt securities and in February 2021, it has issued certain guidelines on forming
LPCC.
Guidelines of SEBI:
• AMCs were required to contribute ₹150 crores as share capital for setting up of LPCC by mutual
funds.
• It also prescribed that the contribution of AMCs is to be in proportion to the Asset Under
Management (AUM) of open ended debt oriented mutual fund schemes (excluding overnight, gilt
fund and gilt fund with 10-year constant duration but including conservative hybrid schemes)
managed by them for FY20.
Click here to know more
Modification over the guideline:
• Currently, SEBI has modified the proportion to AMU i.e. the contribution of AMCs now will be based
on average AUM of debt oriented schemes managed by them for the FY21.

Note – Asset Management Company (AMC) is a firm that invests pooled funds from clients in stocks, bonds,
real estate, master limited partnerships. Assets under management (AUM) is the total market value of the
investments that a person or entity manages on behalf of clients .
About Securities and Exchange Board of India (SEBI):
Establishment – On April 12, 1992, in accordance with the Securities and Exchange Board of India Act,
1992.
Chairman – Ajay Tyagi
IMF has projected India’s GDP growth to 12.5% & 6.9% in FY22 & FY23
On April 06, 2021, International Monetary Fund (IMF) in its biannual World Economic Outlook report has
hiked its growth projection of India for FY22 by 1% to 12.5% from 11.5% of its January 2021 estimation,
due to the normalization of economic activity.
• For FY21, it estimated an 8%(-8%) contraction of the Gross Domestic Product(GDP)and for FY23 the
growth forecast was revised to 6.9% from 6.8%.
• The report projected the global economy to grow at 6% in 2021 and 4.4% in 2022 as against a
contraction of 3.3% (-3.3%)in 2020.
Global outlook by IMF:
• In comparison with the pre-pandemic forecasts, the average annual loss in per capita GDP for 2020-
24 is projected to be 5.7% in low-income countries, 4.7% in emerging markets and at 2.3% in
advanced economies.
• Global poverty: As per the report, 95 million people are expected to have entered the ranks of the
extreme poor in 2020.
• Among developing economies, China was projected to grow at 8.4% in 2021 and 5.6% in 2022.
Economy Outlook of India by IMF based on COVID-19:
• IMF’s current forecast for India was calculated without including the risks arising from the second
wave of COVID -19.
• On April 4, 2021, India has registered more than 100,000 coronavirus cases with 50% of the cases
from Maharashtra.
• IMF stated a very severe downside risk to the growth outlook of the Indian economy due to the
increase in the number of cases.
About International Monetary Fund (IMF):
Establishment– 1944
Member Countries– 190
Headquarter – Washington, D.C., United States
Managing Director – Kristalina Georgieva
Economic Counsellor and Research Department Director – Gita Gopinath
India hosts First 2021 Meeting of BRICS Finance Ministers and Central Bank Governors
On April 6, 2021, India hosted a 2021 Meeting of BRICS Finance Ministers and Central Bank
Governors virtually from New Delhi. Union Minister for Finance & Corporate Affairs, Smt. Nirmala
Sitharaman and Governor of Reserve Bank of India, Shri. Shaktikanta Das Chaired this meeting.
i.This was the first meeting of the BRICS Finance Ministers and Central Bank Governors under the India
Chairship in 2021.
ii.India held the Chairmanship of BRICS for 2021 under the theme “BRICS@15: Intra BRICS Cooperation
for Continuity, Consolidation and Consensus “and also hosted the 13th BRICS Summit 2021. BRICS is
celebrating its 15th anniversary in 2021.
iii.BRICS Finance Ministers and Central Bank Governors discussed the financial cooperation agenda set by
India for 2021 –
• Global Economic Outlook and Response to COVID-19 pandemic,
• New Development Bank (NDB) Activities,
• Social Infrastructure Financing and Use of Digital Technologies,
• Cooperation on Customs related issues,

• IMF reforms, Fintech for SMEs and Financial Inclusion,
• BRICS Rapid Information Security channel and BRICS Bond Fund.
iv.Indian Finance Minister also conveyed the need for the $100 billion commitment per year from
developed countries to developing countries for strengthening climate action.
Nirmala Sitharaman attends 2nd Virtual G20 Finance Ministers & Central Bank Governors Meeting
(FMCBG) 2021
On April 7, 2021, Union Minister for Finance & Corporate Affairs Nirmala Sitharaman virtually participated
in the 2nd G20 Finance Ministers & Central Bank Governors (FMCBG) meeting 2021 held under the Italian
Presidency.
• The participants discussed policy responses to global challenges to restore strong, sustainable,
balanced and inclusive growth.
Key Points
i.The G20 Finance Ministers & Central Bank Governors discussed updates of the G20 Action plan in
response to COVID-19.
ii.Issues like supporting the financing needs of vulnerable economies, progress on International Taxation
agenda, promoting greener transitions & pandemic related financial regulation issues were discussed.
iii.Nirmala Sitharaman stated that India has covered over 87 Million citizens in its vaccination drive &
supplied over 64 Million doses to 84 countries, including 10 Million doses as grant.
iv.The members agreed on an update of the G20 Action Plan to reflect changes in the economic and health
outlook.
Extension of Debt Service Suspension Initiative
Nirmala Sitharaman supported the extension of Debt Service Suspension Initiative (DSSI) by 6 months
till December 2021. It will boost the support to the most vulnerable economies which have been affected by
COVID-19.
Background
• In April, 2020, The World Bank and the International Monetary Fund (IMF) asked G20 Countries to
establish the DSSI.
• Objective – To help countries concentrate their resources on fighting the pandemic and safeguarding
the lives and livelihoods of millions of the most vulnerable people.
• It took effect on May 1, 2020 and since then the initiative has delivered about USD 5 Billion in relief to
more than 40 eligible countries.
About G20
The G20 is made up of 19 countries and the European Union.The 19 countries are Argentina, Australia,
Brazil, Canada, China, Germany, France, India, Indonesia, Italy, Japan, Mexico, the Russian Federation, Saudi
Arabia, South Africa, South Korea, Turkey, the UK, and the US.
Established Year – 1999
2021 Presidency – Italy
Chairman – Mario Draghi (Prime Minister of Italy)
Jana SFB tied up with Axis Securities to Offer Services through a 3-in-1 Account
On April 7, 2021, Jana Small Finance Bank (Jana SFB) made a tie-up with Axis Securities, a wholly-owned
subsidiary of Axis Bank, to offer banking and investment services to its customers through a 3-in-1 account.
Features of the 3-in-1 account:
• The 3-in-1 account integrates the Savings Bank Account maintained by Jana Small Finance Bank
&Demat and Trading Accounts maintained by Axis Securities
• It will be useful for the customers to transfer funds quickly by reducing paperwork.
• It will provide a single platform to invest in various investment instruments including Mutual Funds,
Systematic Investment Plan (SIP), equities and other investment avenues offered by Axis Securities.
• The customers can choose from the various services of Axis Securities for investing like Mutual fund
investing, Stockbroking, Investment advisory and portfolio management services, along with the
opening of a Trading / Demat account.

What is SIP?
• SIP is an investment plan in which investors can make regular, equal payments into a mutual fund,
trading account, or retirement account. Investors can invest a pre-decided amount every month in
the MF scheme of their choice.
• SIPs are open-ended, i.e. customers can initiate or terminate a SIP at any time. There is an option of
pausing your SIP for a while if you don’t have enough money to invest.
About Jana Small Finance Bank:
Headquarters -Bengaluru, Karnataka
MD & CEO -Ajay Kanwal
About Axis Securities:
MD & CEO – B Gopkumar
ReNew Power Pvt. Ltd To Invest $9 Billion in Wind and Solar Projects
On April 7, 2021, ReNew Power Pvt. Ltd stated that, it will invest $9 Billion(~ INR 67,154 Crore) in Wind
and Solar Projects through 2025 in order to help the government of India’s Green Push Initiative.
Objective – To reduce the emission & create climate friendly environment.
Target – To more than triple its renewable power capacity to 18.5 gigawatts by 2025.
About the Organization:
ReNew has about 5.4 gigawatts of operational wind and solar plants, while 4.5 gigawatts of projects are
under development.
Stats of India:
• India, the world’s third-biggest emitter of greenhouse gases, aims to reduce its dependence on coal
and expand renewable power capacity almost five-fold to 450 gigawatts by 2030.
Note – International Energy Agency (IEA) notified that, New Generation of Indiawill spend 5% annual
growth in power demand through 2040.
About ReNew Power Pvt. Ltd:
It is backed by investors such as Goldman Sachs Group Inc. and Canada Pension Plan Investment Board.
Chairman– Sumant Sinha
Head quarter – Gurugram, Haryana
India Contributes USD 500, 000 to UN Counter-Terrorism Fund

T.S. Tirumurti, India’s Permanent Secretary to the United Nations (UN) stated that India has contributed an
additional USD 500, 000 (~ INR 3.7 Crores) to the United Nations Trust Fund for Counter-Terrorism. With
this, India’s total contribution to the UN Counter-Terrorism fund stands at around USD 1.05 Million.
• The UN Trust Fund for Counter-Terrorism was established by the Secretary-General in 2009
under DPA (Department of Political Affairs).
• India’s USD 1.05 Million Contribution to UN Counter-Terrorism Fund also includes the funding to
Africa.
UN Trust Fund
i.UN Trust Fund for Counter-Terrorism is utilized by UNOCT (United Nations Office of Counter-Terrorism)
for its programme of work, technical assistance & capacity-building support to the Member States through
the UN Counter-Terrorism Centre (UNCCT) and the Special Projects and Innovation Branch (SPIB).
• As of December 2019, UNOCT has received USD 236 Million in hard pledges & contributions from 31
donors.
• UNOCT was established through the adoption of UN General Assembly resolution 71/291 on 15 June
2017 for enhancing coordination and consistency across Global Counter-Terrorism Coordination
Compact entities.
• It will also ensure the proper implementation of the 4 pillars of the UN Global Counter-Terrorism
Strategy.

About United Nations Office of Counter-Terrorism (UNOCT):
Under-Secretary-General – Vladimir Voronkov
Pradhan Mantri Mudra Yojana: About INR 14.96 Lakh Crore sanctioned by Banks since 2015
The Ministry of Finance has stated that Banks & other Financial Institutions have sanctioned 28.68 Crore
beneficiaries worth INR 14.96 Lakh Crore (as of March 2021) under Pradhan Mantri Mudra Yojana
(PMMY), since its launch in 2015.
• MUDRA stands for Micro Units Development & Refinance Agency Ltd.
• As many as 4.2 Crore Mudra Loans worth INR 2.66 Lakh crore were sanctioned in FY 2020-21.
MUDRA Yojana – It was launched on April 8, 2015, by Prime Minister Narendra Modi.
i.Initially formed as a wholly-owned subsidiary of Small Industries Development Bank of India (SIDBI) with
100% capital being contributed by it.
ii.The Authorized Capital of MUDRA is INR 1000 Crore & the paid-up capital is INR 750 Crore, fully
subscribed by SIDBI.
iii.It was registered as a company under the Companies Act 2013 and as a Non-Banking Finance Institution
with the Reserve Bank of India (RBI).
Objective – To promote entrepreneurship among youths.
• Loans – Collateral free loans of upto INR 10 Lakh are extended by Member Lending Institutions
(MLIs) through Scheduled Commercial Banks, Regional Rural Banks (RRBs), Small Finance Banks
(SFBs), NBFCs & MFIs to MSMEs.
• MUDRA Bank, a public sector financial institution set up under PMMY Scheme provides loans at low
rates to MFI & NBFC which then provide credit to MSMEs.
• Purposes – Loans are extended for income-generating activities in manufacturing, trading and
services sectors and for activities allied to agriculture.
• Targeted Segments – Non-Corporate Small Business Segment (NCSB)
• Monitoring of Progress – At the state level, it will be monitored through SLBC (State-Level Bankers’
Committee) & at National Level by MUDRA/Department of Financial Services.
Categories
Mudra Loans are offered in 3 categories namely – ‘Shishu’, ‘Kishore’ & ‘Tarun’.
• Shishu – Loans of upto INR 50, 000
• Kishore – Loans of upto INR 50, 000 – INR 5 Lakh
• Tarun – Loans of upto INR 5 Lakh – INR 10 Lakh
Achievements of the Scheme
• The average ticket size of loans is about INR 52, 000
• 88% of the loans are in the ‘SHISHU’ category
• About 25% of loans have been given to New entrepreneurs, 68% to women entrepreneurs & 51% of
loans given to SC/ST/OBC borrowers.
• Out of 51%, SCs and STs constitute 22.53 % of the borrowers & OBCs constitute 28.42% of the
borrowers.
• About 11% of loans have been given to Minority Community Borrowers.
• According to a survey conducted by the Ministry of Labour & Employment, PMMY helped in the
generation of 1.12 crore jobs from 2015-2018.
• Out of 1.12 crore, women accounted for 69 Lakh (62%).
About Mudra Bank:
MD & CEO – Aalok Gupta
ADB Approved a USD 484-Million Loan to Improve Connectivity in CKIC

On 8th April 2021, The Asian Development Bank (ADB) approved a USD 484 Million (~₹ 3,616 Crore) Loan
to improve transport connectivity and road maintenance in Chennai-Kanyakumari Industrial
Corridor(CKIC) in Tamil Nadu.

About the Project:
i.This will upgrade around 590 kilometres of state highways in CKIC influence areas.
ii.In this highway up-gradation project, climate change adaptation measures will be incorporated, including
the improved drainage raised road embankments in critical sections and resizing of bridges and culverts.
iii.This will also strengthen the road safety improvement programmes through advanced technologies for
road monitoring and enforcement.
iv.This will also support the improved planning capacity of highways and minor ports department, Tamil
Nadu.
About Chennai-Kanyakumari Industrial Corridor(CKIC):
CKIC is a part of the East Coast Economic Corridor of India which stretches from West Bengal to Tamil
Nadu.
The CKIC connects India to the production networks of Southeast and East Asia.
About Asian Development Bank (ADB):
President– Masatsugu Asakawa
Managing Director General– Woochong Um
Established in– 1966
Headquarters– Manila, Philippines
Members– 68 members(49 – Asia & Pacific & 19 – outside)
Highlights of the first bi-monthly monetary policy for FY 2021 -22

The Reserve Bank of India’s (RBI) 6-members Monetary Policy Committee (MPC) had met on 5th, 6th and
7th April 2021 and released its first bi-monthly monetary policy statement for FY22 (April 2021 – March
2022).
Policy Rates:
The Policy rates were kept unchanged, which are as follows:
The central bank’s decision to keep rates unchanged for the fifth consecutive time.
Category Rate
Policy Rates
Policy Repo Rate 4.00%
Reverse Repo Rate 3.35%
Marginal Standing Facility (MSF) Rate 4.25%
Bank Rate 4.25%
Reserve Ratios
Cash Reserve Ratio (CRR) 3.50%
Statutory Liquidity Ratio (SLR) 18.00%
i.MPC’s Assessments on growth and inflation:
-Growth
• The committee has projected India’s real gross domestic product (GDP) growth for FY22
at 10.5% with 26.2% in Q1; 8.3% in Q2; 5.4% in Q3; and 6.2% in Q4.
-Inflation
• CPI inflation/Retail inflation for Q4FY21 was revised to 5.0% and for the H1 FY22 was projected to
be 5.2% along with 4.4 % in Q3 and 5.1% in Q4 (Factors considered: Food inflation, Taxes on
petroleum products, high international commodity prices and logistics costs)
• The government retained the inflation target at 4% with the lower and upper tolerance levels of 2%
and 6%, i.e. within a band of +/- 2 %, for the next five years (April 2021-March 2026).
Members of MPC:
The MPC meeting was headed by RBI Governor Shaktikanta Das the other 5 members of the committee
include,
• Dr. Shashanka Bhide, Dr. Ashima Goyal, Prof. Jayanth R. Varma, Dr. Mridul K. Saggar, and Dr. Michael
Debabrata Patra.

ii.MPC’s Statement on Developmental and Regulatory Policies:
-RBI extended the deadline for TLTRO on Tap Scheme
RBI has decided to extend the Targeted Long Term Repo Operations (TLTRO) on Tap Scheme by a period of
six months, i.e., till September 30, 2021. Earlier the scheme was made available till March 31, 2021.
Background:
• On October 9, 2020, RBI announced the TLTRO on Tap Scheme worth Rs 1 trillion to provide
liquidity support to various sectors and banks
Eligible Sectors under TLTRO on Tap Scheme:
• Initially, in October 2020 only 5 sectors are included under the scheme such as Agriculture, Agri-
Infrastructure, Secured Retail, Micro, Small and Medium Enterprises (MSMEs) and Drugs,
Pharmaceuticals and Healthcare.
• Later, in addition to them, Kamath Committee identified 26 stressed sectors and bank lending to
NBFCs were also included under the same in the December, 2020 and February, 2021.
• The liquidity availed by banks under the TLTRO scheme is to be deployed only in corporate bonds,
commercial paper, and non-convertible debentures issued by entities in these sectors.
• Investments made by banks under this facility can be classified as held to maturity (HTM) even above
the 25 per cent of total investment permitted to be included in the HTM portfolio.
-RBI planned to extend SLP of ₹50,000 cr. to AIFIs
To mitigate the impact of the pandemic and to support the economic rival RBI planned to extend fresh
lending of Special Liquid Facility(SLF) of Rs 50,000 crore for FY22 to All India Financial Institutions (AIFIs)
such as the National Bank for Agriculture and Rural Development (NABARD), the Small Industries
Development Bank of India (SIDBI), the National Housing Bank (NHB), and the EXIM Bank.
Special Liquid Facility(SLF):
• Rs 25,000 crore to NABARD to support agriculture and allied activities, the rural non-farm sector
and non-banking financial companies – microfinance institutions (NBFC-MFIs)
• Rs 10,000 crore to NHB to support the housing sector. To meet the funding requirements of micro,
small and medium enterprises (MSMEs) and Rs 15,000 crore to SIDBI.
Background:
• SLF of Rs 75,000 crore was provided to AIFIs during April-August 2020.
-RBI will set up a committee to help ARCs to realize their full potential
RBI will constitute a Committee to review the working of asset reconstruction companies (ARCs) in the
financial sector ecosystem and to recommend suitable measures to meet the growing requirements of the
financial sector.
Background:
• Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest
(SARFAESI) Act in 2002, which is a regulatory guideline for Asset Reconstruction Companies (ARCs)
were issued in 2003 to enable the development of this sector and to facilitate smooth functioning of
ARCs.
• ARC and an asset management company (AMC) will help public sector banks (PSBs) in dealing with
bad loans and stressed assets.
-RBI has extended PSL by Banks to NBFCs up to September 30, 2021
• RBI extended the classified lending of Banks to NBFCs for on-lending under the Priority Sector
Lending (PSL) for 6 months i.e. up to September 30, 2021.
-RBI has increased the PSL loan limits for lending against NWRs /eNWRs to Rs 75 lakh
• RBI has enhanced the loan limits under Priority Sector Lending(PSL) for banks’ lending against
Negotiable Warehouse Receipts (NWRs) / electronic Negotiable Warehouse Receipts (eNWRs) from
₹50 lakhs to ₹75 lakhs per borrower.
• Loan limit under priority sector lending to agriculture sector has been increased to Rs 60 lakh from
Rs 50 lakh.

-RBI accepted the WMA recommendation to advance the WMA limit for states by 46%
RBI constituted an Advisory Committee under the Chairmanship of Shri Sudhir Shrivastava in August 2019
to review the Ways and Means Advances (WMA) limits. The committee also made some recommendation
over WMA.
The recommendations that are accepted by RBI:
• An increase in the limit of WMA for all states to ₹47,010 crores, against the current limit of ₹32,225
crores (fixed in February 2016), represents an increase of about 46%.
• Continuation of the enhanced interim WMA limit of ₹ 51,560 crores for 6 months (April 1, 2021, to
September 30, 2021) which was allowed by RBI during FY21 to states/UTs for COVID-19.
What is WMA?
• It is a short-term borrowing arrangement between the RBI and central and state governments. RBI as
a banker to the State Governments provides WMA to the States Under Section 17(5) of RBI Act, 1934
to help them to tide over temporary mismatches in the cash flow of their receipts and payments.
-RBI announced the periodic publishing of FI Index
• RBI announced the construction and periodic publishing of the “Financial Inclusion Index” (FI Index)
annually in July month (for the financial year ending previous March) to measure the extent of
financial inclusion in the country.
• FI Index will be based on multiple parameters in order to reflect the broadening and deepening of
financial inclusion.
Financial inclusion:
• It is the delivery of financial products and services at an affordable cost to vast sections of
disadvantaged and low-income groups. Financial inclusion strives to remove the barriers that
exclude people from participating in the financial sector.
-RBI extended RTGS and NEFT money transfer facilities to Non-Bank Payment System Operators
RBI extended the membership of Centralised Payment Systems (CPSs) facilities such as National Electronic
Funds Transfer (NEFT) and Real-Time Gross Settlement (RTGS) to non-bank payment system operators.
• Until now, only banks were allowed to use RTGS and NEFT payments facilities.
• Now, Prepaid Payment Instrument (PPI) issuers, card networks, White label ATM operators and
Trade Receivables Discounting System (TReDS) platforms which are regulated by RBI can use NEFT
and RTGS modes.
-RBI has doubled the Payments bank’s deposit limit from Rs 1 lakh to Rs 2 lakhs
MPC has decided to enhance the limit of maximum balance at end of the day from ₹1 lakh to ₹2 lakh per
individual customer. It was decided based on a review of performance of payments banks and with a view
to encourage their efforts for financial inclusion and to expand their ability to cater to the needs of their
customers, including MSMEs, small traders and merchants.
-PPIs(Mobile Wallets) account limit increased to ₹ 2 lakh from ₹ 1 lakh;Improve the Interoperability
of PPIs to full-KYC
To promote optimal Utilisation of payment instruments (like cards, Mobile Wallets etc.), it is proposed to
increase the limit of outstanding balance in such PPIs(Mobile Wallets) from the current level of ₹1 lakh to
₹2 lakh.
• After this, Mobile wallets like Paytm, Mobikwik can be used to withdraw cash from ATMs.Earlier,
banking PPIs like the Yono app from SBI had this facility.
• The new changes will affect companies like Paytm, PhonePe, Mobikwik, and Google Pay among
others.
-RBI provided relief to ECB borrowers’ unutilised proceeds
• As per the External Commercial Borrowings (ECB) framework, ECB borrowers are allowed to park
ECB proceeds in term deposits with Authorised Dealer Category -I
(AD Category I) banks in India for a maximum period of 12 months.
• Now RBI has made relief and allowed the ECB borrower to place their unutilised ECB proceeds which
are drawn down on or before March 1, 2020, in terms of deposits in the AD Category-I banks in India
for up to March 1, 2022.

• It was especially for the borrowers who couldn’t utilise the already drawn down proceeds due to
lockdown and restrictions under COVID-19.
External Commercial Borrowings (ECB):
• It is a loan availed by an Indian entity from a non-resident lender with a minimum average maturity.
• The borrowing limit is about $750 million per financial year.
• The minimum average maturity period is 3/5 years.
Deputy Governors – Mahesh Kumar Jain, Michael Debabrata Patra, and M Rajeswar Rao (Bibhu Prasad
Kanungo retired on April 2, 2021)
U GRO Capital Partnered with SBM Bank India to Launch Credit Card for MSMEs
On 8th April, 2021, U GRO Capital in partnership with SBM Bank India launched “GRO Smart
Business” credit card for Micro, Small and Medium Enterprises (MSMEs).The Credit Card is powered by
RuPay, along with EnKash. These are specially designed for underbanked micro, small and medium
enterprises (MSMEs).
Objective – It will empower MSME entrepreneurs by providing financial assistance to solve multiple
financial challenges.
Who can avail this?
These can be availed by the U GRO Capital borrowers against a fixed deposit with SBM Bank India.
Key Feature of the Card:
The card shall have a ‘Tap-To-Pay’ functionality for contactless payments and can be used to withdraw cash
from the ATMs.
Features of the Credit card:
• Limit: 90% of FD amount
• Finance Charges:99% (monthly)
• Interest free period/Cash advance interest-free period: 50 days
• Cash Advance limit:30%
Features of the Fixed Deposit:
• Amount: 10,000 – Rs. 10 lakhs
• Tenure: 1-5 years
• Rate of Interest:5% (fixed)
• Required Documentation:AADHAR based OKYC & e-PAN verification (No hard documents
required)
• Time required to open the Fixed Deposit:3 hrs
About U GRO Capital:
CEO – Abhijit Ghosh
Head quarter – Mumbai, Maharashtra
SEBI Imposed Rs 25 Crore Fine On Ambanis For Violation Of Takeover Code Regulations In 2000
On 7th April 2021, the Securities and Exchange Board of India(SEBI) imposed a Rs.25 crores fine on the
promoters of Reliance Industries Limited (RIL) (Mukesh Ambani, Anil Ambani, Nita Ambani, Tina Ambani)
for the violation of the takeover code regulations in 2000.
• The imposed penalty will be jointly paid by the 34 individuals named in the SEBI order which
includes the mother and children of Mukesh Ambani and Anil Ambani within 45 days.
• SEBI issued the Show cause notice(SCN) to Ambani Family in 2011.
HDFC acquires 10% stake in Kerala Infrastructure Fund Management Ltd

On 6th April 2021, Housing Development Finance Corporation (HDFC) Limited acquired 9.9% stake in the
Kerala based Asset Management company, Kerala Infrastructure Fund Management Ltd (KIFML).
• 3,88,303 equity shares, each valued at Rs 10 were bought by HDFC Ltd on a private placement basis.
About Kerala Infrastructure Fund Management Limited (KIFML):
KIFML is an asset management company promoted by Kerala Infrastructure Investment Fund Board.
Established – November 2018

Headquarters – Trivandrum, Kerala
About HDFC Ltd:
Housing Development Finance Corporation (HDFC) Limited is an Indian financial services company
founded in 1977.
Chairman – Deepak Parekh
Vice Chairman & CEO – Keki Mistry
India’s First Municipal Green Bond was Issued by Ghaziabad, Uttar Pradesh
Ghaziabad Municipal Corporation, a civic body in Uttar Pradesh(UP), has become India’s first municipal
corporation to issue municipal green bonds.
• On April 8, 2021, Ghaziabad Municipal Corporation issued municipal green bonds in BSE and
raised Rs 150 crore (Base Issue: 100 Crore with the greenshoe option of 50 Crore).
• The corporation has received Rs 19.5 crore incentive from the Union government for raising funds
through municipal bonds.
• The merchant bankers to the bond issue were A K Capital Services Ltd and HDFC Bank Ltd.
Purpose:
• Funds of these green bonds will be used for the construction of a tertiary sewage treatment
plant (estimated to cost approximately Rs 239.93 crore) to benefit industries in Ghaziabad.
• This Municipal bond was issued as green bonds as the purpose comes underwater management i.e
recycling.
• The Ghaziabad Municipal Corporation (GMC) has entered into an understanding with Sahibabad
Industries Association for the purpose of achieving various goals and objectives relating to the water
supply.
Key points:
i.After this issuance, Ghaziabad became the 10th city in India and the 2nd city in UP to raise Municipal
Bonds (Lucknow 1st in UP).
ii.Other 9 cities that issued municipal bonds in India – Pune, Hyderabad, Indore, Amravati, Bhopal,
Visakhapatnam, Ahmedabad, Surat and Lucknow.
• The Bangalore Municipal Corporation issued municipal bonds for the first time in 1997
• Indore, Madhya Pradesh became the first state to get its municipal bonds listed on the National Stock
Exchange(NSE).
About the Ghaziabad’s bond:
• The coupon rate – 8.1% per annum (The most competitive rate so far for Municipal Bonds in India)
• Rating: The bond was rated AA by India Ratings and AA(CE) by Brickworks
• Maturity – 10 years.
• The bonds got oversubscribed with at least 40 bids worth over Rs 401 crore.
About Green bonds:
Green Bond is a debt instrument that is specially reserved to raise money for climate and environmental
projects. In 2009, the first official Green Bond was released by the World Bank.
Projects under Green Debt Securities (As per the SEBI (Issue and Listing of Debt Securities)
Regulations, 2008)
• Renewable and sustainable energy including wind, solar, bioenergy, other sources of energy that use
clean technology.
• Clean transportation including mass/public transportation.
• Sustainable water management including clean and/or drinking water, water recycling.
• Climate change adaptation
• Energy efficiency including efficient and green buildings.
• Sustainable waste management including recycling, waste to energy, efficient disposal of wastage.
• Sustainable land use including sustainable forestry and agriculture, afforestation.
• Biodiversity conservation.
About the RBI’s study on Green bonds:
i.Green bonds constituted only 0.7% of all the bonds issued in India since 2018.

ii.The bank lending to the non-conventional energy constituted about 7.9% of outstanding bank credit to
the power sector, as of March 2020.
iii.The Green Bonds have higher average coupon rates than the corporate government bonds with similar
tenure of (5/10 years).
FlexiLoans.com Partnered with PayPal to Offer Collateral Free Loan to MSME’s & Freelancers
On 6th April 2021, FlexiLoans.com, a digital lending platform focused on Micro, Small & Medium
Enterprises (MSME) partnered with PayPal, a leading digital payments company to offer collateral-free
business loans to MSMEs, freelancers, women entrepreneurs and sole proprietors.
• This partnership is in line with PayPal’s commitment to provide innovative credit solution
capabilities to Indian merchants who sell cross-border using PayPal.
Aim:
To offer MSMEs with working capital for business expansion, purchasing stock, inventory and other
expenditures related to business.
Features:
I. This partnership enables the borrowers to access term loans from Rs 50000 to Rs 1 crore.
ii.This benefits the merchants across more than 1500 cities and towns in India.
iii.The loan tenure ranges from 6 months to 36 months.
About PayPal:
President & CEO– Dan Schulman
Founded in – 1998
Headquarters- San Jose, California
About FlexiLoans.com:
Founders– Manish Lunia, Ritesh Jain, Deepak Jain & Abhishek Kothari
Bharti Axa Life Entered into Bancassurance Partnership with Fincare SFB
On 7th April 2021, Bharti Axa life insurance and Fincare Small Finance Bank(SFB) Limited joined
hands for a bancassurance partnership under which the bank will sell insurance policies to its customers.
• This partnership will enable the Fincare SFB to offer need-based financial protection products
suitable for the major segment of the population who are not aware of the benefits of insurance.
Features of the Partnership:
i.Under this partnership, Bharti Axa life insurance will offer a comprehensive suite of life insurance
products including protection, savings and investment plans to the customers of Fincare SFB.
ii.This partnership will enable more than 26.5 lakh customers of Fincare SFB to get access to life insurance
solutions and provide financial security to them.
About Fincare Small Finance Bank:
MD & CEO– Rajeev Yadav
About Bharti Axa Life Insurance:
MD & CEO– Parag Raja
Headquarters- Mumbai, Maharashtra
Formed in– 2006
IMF Policy Panel endorses USD 650 Billion Increase in SDR Allocation
The International Monetary Fund’s (IMF) Policy Panel has authorized a USD 650 billion expansion of
its International Reserve Asset (known as Special Drawing Rights (SDR)). It is the largest ever increase of
reserves in IMF’s history.
• The size of reserves has been increased with an aim of providing financial assistance to vulnerable
countries which are struggling with recessions caused by the Pandemic.
• It will also help them to obtain & administer millions of doses of COVID-19 vaccines.
• The first distribution of the fresh USD 650 Billion SDR is expected to start in August 2021.

Key Points
i.The idea of expanding IMF reserves was proposed by the USA.
ii.The IMF Policy panel also discussed efforts to reduce the impact of climate change on the global economy.
iii.IMF released an economic forecast which predicted the global economy to grow at 6% in 2021, which is
an upgrade from 5.5% growth forecasted in January 2021.
iii.By comparison, during the 2008 Financial Crisis IMF agreed to an increase of USD 250 Billion in IMF’s
SDR.
G20 Supports Fresh SDR issue
• The Finance Ministers of G20 supported the IMF’s decision to issue fresh SDR worth USD 650 Billion
to member countries.
• India was the only country to oppose the move. It has stated that money might be used for
‘extraneous purposes’ (not related to the intended purpose of maintaining domestic monetary and
financial stability).
What are Special Drawing Rights (SDR)?
i.It is an international reserve asset created by the IMF. It comprises the US dollar, the euro, Japanese yen,
British Pound sterling and Chinese renminbi (or Yuan).
• It was created to supplement the foreign exchange reserves of its member nations.
• When a country joins the IMF it is assigned an initial quota (denominated in SDRs).
• A member country’s quota determines its maximum financial commitment to the IMF and also
determines its voting power.
ii.Till date, SDR 204.2 Billion (equivalent to about USD 293 Billion) have been allocated to members.
• The US has the highest quota of 17.44% SDRs & 16.52 voting rights, while India has the 8th Highest
quota of 2.76% SDRs & a voting right of 2.63%.
• Countries that have contributed more Funds have more control in making and revision rules, while
countries that have contributed less enjoy comparatively lesser influence in policy decisions.
Members – 190
Headquarters – Washington D.C., USA
FDI Equity Inflows grew 28% to $54.18 billion in April-January 2020-21

As per the Commerce and Industry Ministry data released on April 4, 2021, the Foreign Direct Investment
(FDI) equity inflows into the country during April-January 2020-21(first ten months of FY21) grew up
by 28% to $54.18 billion in comparison with the April-January of FY20 which stood at $42.34 billion.
• Total FDI flow (which includes reinvested earnings) during April-January in FY21 increased by 15%
to $72.12 billion over the FY20.
• It is the highest ever for the first ten months of a financial year.
Key points:
• In terms of top investor countries, Singapore is at the top with 30.28%of the total FDI equity inflow
followed by the US (24.28 per cent) and the UAE (7.31 per cent).
• Computer software and hardware has emerged as the top sector during the first ten months of 2020-
21 with 45.81% of the total inflows. It was followed by construction (infrastructure) activities
(13.37%) and services sector (7.80%) respectively.
• The measures taken by the government such as FDI policy reforms, investment facilitation and ease
of doing business have resulted in increased FDI inflows into the country.
FDI: FDI is an investment in the form of a controlling ownership in a business in one country by an entity
based in another country.
About Ministry of Commerce and Industry:
Union Minister – PiyushGoyal (Constituency- Rajya Sabha, Maharashtra)
Minister of State -Hardeep Singh Puri (Constituency- Uttar Pradesh), SomParkash (Constituency-
Hoshiarpur, Punjab)

Axis Bank becomes Co-promoter of Max Life Insurance
Axis Bank along with its subsidiaries Axis Capital Limited & Axis Securities acquired 12.99% stake in Max
Life Insurance company to become a co-promoter of the insurance provider. The Axis Entities – Axis Capital
Limited & Axis Securities still have the right to acquire 7% in the life insurance company.
i.In February 2021, Insurance Regulatory and Development Authority of India (IRDAI) gave approval for
the acquisition.
Note- Axis bank is also the bancassurance partner of Max Life Insurance.
ii.Out of the 12.99% stakes, 9% was acquired by Axis Bank.
About Axis Bank:
Axis Bank is India’s 3rd largest Private sector bank. (only after HDFC & ICICI banks)
Tagline – “Badhti Ka Naam Zindagi”
About Max Life Insurance:
MD & CEO – Prashant Tripathy
Headquarters – New Delhi
Nirmala Sitharaman participates in 103rd Development Committee Meeting of World Bank-IMF

2021
Union Minister for Finance & Corporate Affairs Nirmala Sitharaman virtually participated in the 103rd
Development Committee Meeting of World Bank-International Monetary Fund (IMF) 2021. Nirmala
Sitharaman represented India, Bangladesh, Bhutan & Sri Lanka in the meeting.
i.The topics of discussion were
• World Bank Group (WBG) & IMF Support for Debt Relief Under the Common Framework & Beyond
• COVID-19 Pandemic: World Bank Group Support for Fair and Affordable Access to Vaccines by
Developing Countries
• From COVID-19 Crisis Response to Resilient Recovery-Saving Lives & Livelihoods while Supporting
Green, Resilient and Inclusive Development (GRID).
Highlights from FM’s Address
i.Nirmala Sitharaman stated that the Government has announced Atma Nirbhar Packages of INR 27.1
Lakh Crore, amounting to more than 13% of the GDP.
ii.The Atma Nirbhar Packages were aimed at pushing forward the economic reforms and also providing
social protection to the poor and vulnerable.
iii.FM highlighted WBG has increased its financing during the pandemic, the total financing approvals by
WBG exceeded by USD 100 Billion for the 1st time.
iv.She also highlighted WBG’s role in helping developing countries get access to COVID-19 vaccines in a
timely and affordable manner. WBG partnered with WHO (World Health Organization) & GAVI – the
Vaccine Alliance (previously known as Global Alliance for Vaccines and Immunization) for providing
vaccines to developing countries.
• The next meeting of the Development Committee is scheduled to be held on October 15, 2021, in
Washington DC, USA.
FM attends Plenary Meeting of IMFC of IMF
Nirmala Sitharaman virtually attended the Plenary Meeting of the International Monetary and Financial
Committee (IMFC) of the Board of Governors of the IMF at the Virtual Spring Meetings 2021.
• The discussions were based on IMF’s Global Policy Agenda titled ‘Bolstering the Recovery, Countering
Divergence’.
• It was attended by Governors/Alternate Governors representing 190 member countries of the IMF.
About World Bank Group (WBG):
President – David Malpass
Headquarters – Washington DC., USA
Member Countries – 189

Mobisafar partnered with YES BANK, NPCI to launch ‘Mobisafar Virtual RuPay Prepaid Card’
On April 5, 2021, Mobisafar Services Private Limited, a Fintech start-up made a partnership with YES BANK
& with National Payments Corporation of India (NPCI) for Rupay to launch ‘Mobisafar Virtual RuPay
Prepaid card’.
About ‘Mobisafar Virtual RuPay Prepaid Card’:
• The prepaid card will provide an easier way to access the wallet through both the
mobile app and desktop with a reloadable limit.
• Benefits: The card can be used for many common booking purposes such as booking
of airline tickets, movie tickets, hotels, retail shopping, and groceries.
• The card was established in accordance with the Government of India’s vision for
‘Make in India’ and ‘Atmanirbhar Bharat.”
Inauguration:
• Inauguration of the The Mobisafar Virtual RuPay Prepaid card was done by the former Cricketer
Kapil Dev along with Abhishek Pandey and Ajitesh Pandey, (founders of Mobisafar).
• Vivek Manchanda, YES Bank’s Digital Marketing Head and Nitin Gupta, NPCI also took part in the
inauguration as a special guest.
Prepaid cards vs. credit cards:
• While using credit cards the customer will be borrowing the money in case of Prepaid cards the
customer will be spending the money which was loaded already onto the card in advance.
Mobisafar Services Private Limited:
• It is involved in Insurance and pension funding and provides payments solutions to the masses
through its strong Agent Network using Semi-Closed Wallet.
• Services Include – Domestic Money Transfer (DMT), cash withdrawal, Mini ATM (AEPS), PAN Card
applications, travel bookings, Insurance, BBPS, Indo Nepal Money Transfer.
• Mobisafar has its existence over 13000+ pin codes along India with 1.5 lacs Business Correspondent
(BC) agents.
About Mobisafar Services Private Limited:
Headquarters – Ludhiana, Punjab
CEO – Abhishek Kumar Pandey
About YES Bank:
MD&CEO – Prashant Kumar
Tagline– Experience our Expertise
India’s debt-to-GDP ratio increased from 74% to 90% during Covid-19: IMF

On April 7, 2021, the International Monetary Fund(IMF) reported an increase in India’s debt to Gross
Domestic Product (GDP) ratio from 74 percent (at the end of 2019) to 90 percent (at the end of 2020)
during the COVID-19 period.
• Based on the IMF’s baseline forecast, it expects a further drop in India’s ‘Debt to GDP ratio’ to 80
percent due to the recent Indian economy recovery.
Key points:
i.IMF suggested India to support people and firms, and, in particular, the most vulnerable.
ii.Vitor Gaspar, Director of IMF’s Fiscal Affairs Department stated a worldwide increase in the widening
deficits, contraction in economic activity and debt sharply to 97 percent of GDP in 2020 and it will increase
slower to 99 percent in 2021 before stabilising below but close to 100 percent of GDP.
iii.The IMF mentioned that it stands ready to act and has a financial capacity of about USD 1 trillion when it
is necessary to restore confidence in markets.
About Debt-to-GDP Ratio:
• The debt-to-GDP ratio is the ratio of a country’s public debt to its gross domestic product (GDP).
• By comparing what a country owes with what it produces, the debt-to-GDP ratio reliably indicates
the particular country’s ability to pay back its debts it is often expressed as a percentage.

• The Formula: Debt to GDP= Total Debt of Country/Total GDP of Country.
• The increase in Debt to GDP ratio indicates that the country has weaker capacity to pay back its
debt.
Member Countries– 190
Headquarter – Washington, D.C., United States
Economic Counsellor and Research Department Director – Gita Gopinath
WazirX launched an NFT marketplace for Indian Artists

On March 5, 2021, WazirX, the Binance-owned cryptocurrency exchange has launched one of India’s first
marketplaces for Non-Fungible Tokens (NFT), which will enable Indian artists and creators to auction their
digital assets over the Blockchain-based platform and earn royalty.
Key points:
i.This marketplace enables the exchange of digital assets and intellectual properties such as art pieces,
audio files, videos and even tweets apart from other digital goods and services.
ii.According to industry data, the NFT market grew by 299 per cent in 2020 as it clocked more than $250
million as the total value of transactions.
• WazirX is now aiming to hit $1 billion in trading volume per day in 2021.
• WazirX ‘s NFT initiative is being led by Canada-based entrepreneur Sandesh B Suvarna with film
actor and producer Vishakha Singh as an adviser.
What is a cryptocurrency exchange?
• A cryptocurrency exchange, or a digital currency exchange (DCE), is a business that allows customers
to trade cryptocurrencies or digital currencies for other assets, such as conventional fiat money or
other digital currencies.
Non-fungible tokens (NFTs):
• NFTs are a class of cryptocurrency assets in which each item, or token A non-fungible token is a unit
of data stored on a digital ledger, called a blockchain, that certifies a digital asset to be unique and
therefore not interchangeable.
• NFTs can be used to represent items such as photos, videos, audio and other types of digital files.
• NFT is a one-of-its-kind asset that is non-fungible in nature. It means that NFT is not replaceable by
another ‘identical’ item.
• Note- At the end of 2020 ‘Unicas’, the world’s first crypto bank was launched in India as a Joint
Venture(JV) by Cashaa of the UK and United Multistate Credit co-operative society Ltd of India.
About WazirX:
Binance the world’s biggest crypto exchange platform has acquired WazirX by the end of 2019.
CEO – Nischal Shetty
SwitchON signed an MOU with PNB for Solar Pump Financing through Loss default guarantee fund
On April 10, 2021, SwitchON Foundation has partnered with Punjab National Bank(PNB) to offer finance to
the marginal farmers for buying solar pumps.
• PNB will be financing solar pumps through the SwitchON Foundation’s – First Loss Default
Guarantee Fund.
Objective: The basic aim of this fund is to help unbanked small marginal farmers without any collateral and
to promote clean energy.
First of its kind agreement:
i.It is a first of its kind agreement between a private non-profit organisation and a public sector bank to
set up a Guarantee Fund (usually guarantee fund will be set up by the Government).
ii.PNB is offering a payback period of 7 years with a zero down payment for up to 1.6 lakhs of loan for
small and marginal farmers.

iii.Previously, SwitchON partnered with RBL and Axis Bank to sanction loans for over 100 solar pumps, but
it is the first time that along with a Nationalized Bank for the financial partnership.
iv.There have been zero Non-Performing Assets (NPA) to date and farmers have seen a 1.6x raise in income
after the adoption of solar pumps through SwitchON.
Features of the Partnership:
• This partnership will be helpful to reduce greenhouse gas emissions, conserve natural resources and
enhance the quality of life of marginal farmers.
• It will also accelerate the achievement of the official target of the central PM-KUSUM (Pradhan Mantri
Kisan Urja Suraksha evam Utthaan Mahabhiyan) Scheme of India is to achieve 30.75 GW of solar
energy generation by 2022.
The First Loss Default Guarantee Fund:
• The first loss guarantee is a mechanism whereby a third party compensates lenders if the borrower
defaults i.e. (insurance against a loss).
• This clause makes the lender financially responsible for any loan losses up to a certain percentage
(decided, upfront, based on the perception of risk), which typically ranges between 8-20% of the
portfolio.
• The guarantee fund is set up to reduce lender’s risk – such arrangements are already have been set
up by the Ministry of MSME to increase lending for small business.
About SwitchON Foundation
Office Location – Kolkata, West Bengal
Managing Director – Vinay Jaju
About Punjab National Bank(PNB):
Founded – May 19, 1894
Commenced Operations – April 12, 1895
MD & CEO – CH. S. S. Mallikarjuna Rao
Headquarters– New Delhi, India
Tagline– The name you can bank upon
Airtel Payments Bank Announced ‘Rewards123’ Savings Account with Benefits On Digital
Transactions
On April 9, 2021, Airtel Payments Bank announced its new savings account ‘Rewards123’ which offers
benefits and value to customers when they transact digitally using the bank account.
Annual Fee: ‘Rewards123’ could be availed by the customers at an annual fee of Rs 299
Benefits of ‘Rewards123’ account:
• Consistent rewards for each month along with Annual Cashback Rewards of Rs.960
• Unlimited Deposits with Auto-Sweep Facility (Sweep account opened in Partnership with Suryoday
Small Finance Bank, which enables the customers to save more than 1L with Airtel Payments Bank.)
• Other benefits include zero minimum balance and free Platinum Online Mastercard Debit Card.
• Customers can easily open or upgrade to Rewards123 through the Airtel Thanks app using Video
KYC.
About Payments Bank:
• A committee headed by Nachiket Mor recommended setting up ‘Payments Bank’ to serve the lower-
income groups and small businesses.
• There are two kinds of banking licences that are granted by the Reserve Bank of India – universal
bank licence and differentiated bank licence.
• Payments bank comes under a differentiated bank licence since it cannot offer all the services that a
commercial bank offers.
About Airtel Payments Bank:
• 1st Payment Bank
Establishment – January 2017, by Bharti Airtel
MD and CEO – Anubrata Biswas

RXIL Becomes the 1st TReDS Platform to Record Highest Monthly Throughput of Rs 1,000 Crore
Receivables Exchange of India Ltd (RXIL), leading invoice discounting platform for MSMEs,has become
the 1st TReDS Platform to record the highest monthly transaction volumes of Rs 1,000 crore in the
month of March, 2021.
Transaction-Comparison:
i.RXIL, the 1st TReDS, has increased its transaction volumes from Rs 69 crore in April 2020 to Rs 1,105 crore
in March 2021, which is an indication of the revival and resumption of the economic activity.
ii.RXIL records the highest transactions volumes of more than ₹6,500 crore by way of discounting of
invoices of MSMEs in FY 2020-21.
iii.On a cumulative basis RXIL has processed throughput of more than Rs 10,000 crore since inception.
About Receivables Exchange of India Ltd (RXIL):
RXIL was launched in 2016.RXIL, a joint venture between the Small Industries Development Bank of India
(SIDBI) and the National Stock Exchange of India Limited (NSE) with State Bank, ICICI and Yes Bank as
other stakeholders.
About Trade Receivables Discounting System (TReDS):
TReDS is a digital platform where small businesses (MSMEs) can get access to capital by auctioning their
trade receivables. The process is also commonly known as ‘bills discounting’, a financier (typically a bank)
buying a bill (trade receivable) from a seller of goods before it’s due or before the buyer credits the value of
the bill.
Bill Desk Partnered J.P. Morgan To Provide Online Payments Solutions

Payments aggregator Bill Desk has Partnered with Global Financial Institution, J.P. Morgan to provide
online payments solutions to corporate clients of J.P. Morgan.
• This Partnership will integrate Bill Desk’s payments platform with the J.P. Morgan Access banking
portal & uses Application Programming Interface (API) technology to authenticate and verify
payments instantaneously, allowing payments to be executed in real time.
Key Points:
i.This Partnership, will help the Clients of J.P. Morgan to independently initiate statutory and utility
payments online.
ii.For this, Clients of J.P. Morgan will use 100 merchants that Bill Desk partners with, securely and without
additional manual assistance from their partner banks.
iii.Since the process is fully automatic, the transaction will be secure.
About Bill Desk:
Director & Co-founder – Karthik Ganapathy
Withdrawal of All-Inclusive Directions from Youth Development Co-operative Bank Limited -RBI
On April 5, 2021, the Reserve Bank of India(RBI) withdrew all restrictions imposed on the Youth
Development Co-operative Bank Ltd, Kolhapur, Maharashtra.
• Background: On January 5, 2019, The Cooperative Bank was placed under “All-Inclusive
Directions” by RBI as per the Banking Regulation Act, 1949, and further extended from time to time,
up to April 5, 2021.
• Earlier Restrictions: Restriction was given on cap of withdrawal and the bank was barred from
granting or renewing any loans and advances, making any investment, incurring any liability, without
prior approval in writing from RBI.
• Initially the withdrawal of currency was restricted to Rs.5000 which was enhanced to Rs.20000 in
June, 2020.
YES Bank implemented its first SOFR linked trade transaction

YES Bank executed its first Secured Overnight Financing Rate (SOFR) linked trade borrowing transaction
from an American Lender Wells Fargo Bank. The borrowing is intended to provide further impetus to the
bank’s export finance business.

• This is an on-balance sheet transaction and the first onshore foreign currency borrowing on the SOFR
benchmark.
• This transaction is a part of YES bank’s benchmark transition management plan and this borrowing
will support the bank for a transition to the new Alternate Reference Rates (ARRs) as the USD LIBOR
(London Inter-Bank Offered Rate), is going to be phased out by the end of 2021.
First SOFR linked ECB:
In March 2021, the State Bank of India (SBI) and Indian Oil Corporation Limited (IOCL) inked India’s first
SOFR linked External Commercial Borrowing (ECB) deal by replacing LIBOR. Click here to know more…
About Alternate Reference Rates (ARRs):
i.A reference rate is an interest rate benchmark that will be used to set other interest rates.
ii.LIBOR is a benchmark interest rate (indicates borrowing costs between banks) at which the global
banks lend to one another in the international interbank market for short-term loans.
• According to the Federal Reserve and regulators in the UK, LIBOR is having scandals and lack of
validity hence it will be phased out completely by June 30, 2023.
iii.SOFR and Sterling Overnight Interbank Average Rate (SONIA) are the two popular alternative rates
that exist at present to replace LIBOR.
Beneficiaries of Government Welfare Scheme Can Open ‘Basic Savings Account’ in Post Office
In exercise of the powers conferred under Section 3A of the Government Savings Promotion Act 1873(5
of 1873) Finance Ministry has amended the Post Office Savings Account Scheme, 2019 & the Scheme was
named as “Post Office Savings Account (Amendment) Scheme, 2021″.
Following are the Changes after this amendment,
• Beneficiaries of the Government welfare scheme can open a Basic Savings Account in Post office
which is similar to “Basic Savings Bank Deposit Account” (BSBDA).
• Government had reduced the Account Maintenance Fee from ₹100 to ₹50.
• Until now BSBDA will be opened in a scheduled commercial bank or Indian Post Payment Bank
(IPPB).
Who can avail the account?
• The account can be opened by a registered adult member of any Government welfare scheme and in
case of minor along with guardian who was registered for any government benefit.
• Basic Savings Accounts which are already opened under the Post Office Savings Account Rules,1981
will not be covered under the new basic savings account.
Basic Savings Account of Post office:
• Deposit required for opening of account – Nil.
• Minimum balance to be maintained in the account – Nil.
• A person can have only one basic savings account in a bank or in the post office.
• This savings account has all the features and benefits offered by the BSBDA (except the limit of 4 cash
withdrawals in a month).
• Interest rates: 2.75% per annum, with the Frequency of payout at Quarterly and the account can be
linked to a POSA (Post Office Savings Account)
The Ministry has reduced Account Maintenance fee POSA:
• The Post Office Savings Accounts can be opened with a minimum amount of ₹500.
• Deposit limit – minimum of ₹10 & no limit on maximum deposit.
• Withdrawal limit- minimum of ₹50 and no withdrawal will be permitted which has the effect of
reducing the balance to less than ₹500.
• Account Maintenance Fee – ₹100 will be deducted (in case the account balance not raised to ₹500 at
the end of the financial year) now, the Finance Ministry has halved the Account Maintenance Fee
to ₹50 (inclusive of GST).
Jan Dhan Yojana savings account:
• It is being the famous savings bank account, which can be opened in any of the bank’s branch or
business correspondent’s kiosks or even with India Post Payment Banks. It has 42.20 crore accounts
and over ₹1.45 lakh crore balance, the scheme has been successful in distributing the welfare funds.

About RBI guidelines for the BSBDA:
• An individual is not eligible to have more than one BSBDA in one bank.
• The BSBDA holder is not eligible to open any other savings bank account in that bank, if he has any
then he will be required to close it within 30 days from the date of opening a BSBDA.
• The customer can have Term/Fixed Deposit, Recurring Deposit accounts in the bank where he holds
the BSBDA.
• There are no restrictions on age and income criteria of the individual for opening BSBDA
• In BSBDA, banks are required to provide free of charge minimum 4 withdrawals, through ATMs and
other mode including RTGS/NEFT/Clearing/Branch
SEBI has Revised the Reporting Formats for Mutual Funds

• On April 12,2021 Based on the consultation from the industry, Securities and Exchange Board of
India (SEBI) has revised the reporting formats for mutual funds with new guidelines.
• The guidelines are for the reports which will be submitted by asset management companies (AMCs)
to trustees, by AMCs to SEBI and by trustees to the SEBI.
• SEBI has discontinued the bi-monthly and half-yearly basis submission of the compliance certificate
by an AMC to the trustees and added both the reports in their quarterly report.
Format for Quarterly Report (Qr) From AMCs to Trustees:
SEBI has informed the AMCs to submit the QR on the activities of Mutual Funds/AMCs to trustees
within 21 days from the end of respective quarters (March, June, September and December)
Details to be included in the QR:
• Number of live schemes (as on the last day of the quarter)
• Details of Schemes – which were not constituted, merged, close-ended Schemes Rolled-over and
schemes that underwent fundamental attribute change.
• Clearance received to launch New Schemes
• Details of Assets Under Management (AUM) and details of AMC related information, details related to
investment, product, risk management, valuation of investments, investor.
Details on Half-Yearly Trustee Report by Trustees to SEBI:
• The AMC should need to mention ‘Yes’/’No’ with respect to each compliance item and if mentioned
as ‘No’, then the nature of non-compliance along with the corrective action taken should be given.
• The guidelines would come into effect from June 2021 (For quarterly report) and – from the half-
year ended March 2021(for half-yearly trustee report).
• --SEBI Imposed Rs 25 crore penalty to YES Bank for AT-1 Bonds Misselling:
• Due to misselling of the lender’s Additional Tier 1 (AT-1) bonds during the period from December 1,
2016 to February 29, 2020 Securities and Exchange Board of India (SEBI) imposed Rs 25
crore penalty for Yes Bank.
• SEBI also imposed Rs 1 crore fine to Vivek Kanwar (the head of the private wealth management
team) and Rs 50 lakh to each of Ashish Nasa and Jasjit Singh Banga (part of the private wealth
management team at the time of violation) and gave 45 days as timeline to pay the penalty.
• Note – Additional Tier-1(AT-1) bonds, are unsecured and perpetual in nature issued by banks to
shore up their core capital to meet the Basel-III norms.
Establishment – On April 12, 1992, in accordance with the Securities and Exchange Board of India Act,
1992.
Punjab National Bank launches digital initiative PNB@Ease

On 12th April 2021 Punjab national bank(PNB) launched a digital initiative PNB@Ease to
commemorate 127 years of their service to the nation. This service is set to be activated across 165
identified locations across India.
About PNB@Ease:
i.This new initiation will bring a “Banking-on-the-Go” model. Using this, customers themselves can

make every transaction undertaken by a bank branch.
ii.All kinds of services can be availed such as from opening a savings account to apply for various kinds of
loans without visiting a branch.
iii.PNB @Ease outlets will be loaded with five Kiosks i.e. ATM, Bunch Note Acceptor, Account Opening
Kiosk, Card Issuance Kiosk, and internet-enabled Kiosk.
Nomura has revised India’s GDP growth rate of FY22 to 12.6% from 13.5%
On April 9, 2021 Nomura, has decreased the India’s gross domestic product (GDP) growth rate
forecasted for FY22 to 12.6 per cent from its earlier prediction of 13.5 per cent due to the rise in
COVID-19 cases and retail inflation.
Key points:
• It also revised the GDP growth rate projection to 11.5 per cent for the calendar year 2021 from the
previous 12.4 per cent.
• It also decreased the GDP growth in the first quarter (Q1) of FY22 as 32.5 per cent, from the earlier
expectation of 34.5 per cent.
• Currency risk: It reported currency risk for India in which the rupee may dent and will lead to cost-
push price pressures and fan inflation
• Nomura pegged retail inflation at 4.7% in 2021, down from 5% earlier.
• Report on Emerging Market (EM): Nomura reported a possibility of tighter financial conditions with
higher inflation to the EM of Asia such as Indonesia, India and the Philippines.
About Nomura:
President and Group CEO– Kentaro Okuda
NCDC availed Rs 600 crore loan from Deutsche Bank AG to Support Cooperatives
On April 13, 2021, National Cooperative Development Corporation (NCDC) made its 1st deal with
Deutsche Bank AG, Germany’s largest bank to avail a loan for €68.87 million (around Rs 600 crore) to
finance the development work of cooperatives across India.
• NCDC also signed an MoU with Indian Chamber of Commerce (ICC) headquartered in Kolkata to
support Farmer Producer Organisations (FPOs) to sell their product. Both the agreements were
presided over by the Agriculture minister Narendra Singh Tomar.
Purpose: The agreements of NCDC with Deutsche Bank and ICC, will lead the Farmers and FPOs to
obtain easier credit and market.
About NCDC’s Activities:
• The fund raised is to support NCDC’s activities around FPOs as NCDC is the lead agency along with
NABARD and Small Farmer Agri-Business Consortium to set up the new 10,000 FPOs over the next
few years.
• Since 2014, NCDC has extended loans up to 16 billion Euros (~₹1,42,880 crore) with zero NPA’s
(Non Performing Assets) to co-operatives of various sizes and 94 per cent of farmers are part of at
least one co-operative.
German partnership:
• German is one of the top 10 global trade partners of India and also being India’s largest trading
partner in Europe.
• This is the first highest lending by one of the largest European banks to the NCDC.
About National Cooperative Development Corporation (NCDC):
Establishment – 1963 as a development finance statutory institution under the Ministry of Agriculture
and Farmers Welfare
Managing Director– Sundeep Kumar Nayak
Head Office– New Delhi

About Deutsche Bank AG:
Headquarters – Frankfurt, Germany
CEO -Christian Sewing
IRDAI has Amended the Insurers’ FoF Investment in AIFs

The Insurance Regulatory and Development Authority of India (IRDAI), the insurance sector regulator
has amended rules for the local insurers to make investment in fund of funds(FoFs) in Alternative
Investment Funds (AIFs).
Key points about the Amendment:
As per the ‘Investment -Master circular -2017’ by IRDAI has not permitted investments in AIFs, which
are of Fund of Funds(FoFs) and leverage funds and now that circular has been amended.
• As per the amendment, no investments are permitted into AIFs which undertake leverage or
borrowing other than to meet day-to-day operational requirements and as permitted under SEBI
(Alternative Investment Funds) Regulations, 2012.
• Insurers are allowed to invest in FoFs which comply with the requirement of Section 27E of the
Insurance Act, 1938 within the country.
• Insurers are barred from investment into FoFs which are utilized by AIFs to invest in overseas
companies/funds.
• Insurers are not allowed to invest in an AIF which has exposure to an FoF in which the insurer has
invested already.
• Certificate Requirement: On a quarterly basis, the insurer need to obtain a certificate which will be
issued by the concurrent auditor on the compliance of the conditions and file it with quarterly
periodical returns
About Alternative Investment Fund (AIF):
• AIF is a privately pooled investment vehicle that collects funds from sophisticated investors,
whether Indian or foreign, for investing it by a defined investment policy for the benefit of its
investors.
Categories of AIFs:
Category I AIFs – Venture capital funds (Including angel funds), Small and Medium Enterprises(SME)
Funds, social venture funds, infrastructure funds (Investment for start-up SMEs, infrastructure)
Category II AIFs – real estate funds, private equity funds (PE funds), funds for distressed assets
AIFs which do not fall in Category I and III and which do not undertake leverage or borrowing other
than to meet day-to-day operational requirements and as permitted in the SEBI (Alternative
Investment Funds) Regulations,2012
Category III AIFs – Hedge funds, Private Investment in Public Equity Funds (PIPE) Funds
IRDAI has Extended the Regulatory Sandbox Regulations for 2 Years

The Insurance Regulatory and Development Authority of India (IRDAI) has extended the validity of
Regulatory Sandbox for 2 years as per the IRDAI (Regulatory Sandbox) (Amendment) Regulations, 2021
Why extended?
• As most of the approved experiments may not be completed (due to COVID-19) within the
scheduled time of July 25, 2021.
• This extension of the time period will enable the applicants to complete their existing sandbox
experiments and new sandbox proposals also will be allowed.
Background:
• The sandbox regulation was introduced by IRDAI in 2019 and scheduled to expire after 2 years i.e.
on July 25, 2021, but now due to the extension for 2 more years the total duration of the sandbox
regulation now becomes 4 years.
• IRDAI invited applications for the first cohort of the regulatory sandbox from September 15, 2019,
till October 14, 2019(received 173 applications of which 67 were approved).
• The second cohort was introduced for one month from September 15, 2020 (received 185
applications).

Eligibility and Testing process:
• The applicants should have a net worth of Rs 10 lakh in the previous financial year to file products
under the regulatory sandbox.
• Testing: Permission for testing in the IRDAI regulation is set for 6 months if needed can avail
extension for a maximum period of 6 months to complete the test i.e. all the testing procedures
should be completed within a period of 12 months.
What is a Regulatory Sandbox?
• A regulatory sandbox is a framework set up by a regulator that allows FinTech startups and other
innovators to conduct live experiments in a controlled environment under a regulator’s
supervision.
About Insurance Regulatory and Development Authority of India (IRDAI):
A statutory body formed under the Insurance Regulatory and Development Authority Act, 1999 (IRDAI
Act 1999) on the recommendations of the Malhotra Committee
Establishment – 1999(incorporated- 1st April 2000)
Headquarters – Hyderabad, Telangana
Chairman – Subhash Chandra Khuntia
NHB provides Rs. 10,000 crore Special Refinancing Facility 2021 to HFCs & PLIs
On 13th April 2021,National Housing Bank (NHB) has launched Rs.10,000 crore ‘Special Refinance
Facility-2021’ (SRF-2021) Scheme for Housing Finance Companies (HFC) and Primary Lending
Institutions (PLI) .
Objective:
i.The main objective of this scheme is to provide liquidity Support to HFCs and eligible PLIs by providing
short term refinance support.
ii.Under this SRF, NHB has decided to provide short term liquidity support to PLIs.
iii.This scheme also gives support to HFCs to maintain a constant growth in the housing finance sector.
Highlights:
• All PLIs who have availed financial assistance under SRF/ ASRF including any other eligible PLI
(HFCs/ RRBs/ SFBs/ SCBs as eligible for Refinance under LRS) with a maximum net NPA of 7.5%
and a minimum of 51%ratio of individual housing loans to total assets (as under Liberalised
Refinance Scheme(LRS) for HFCs) are eligible.
• The period of loan is one year from the date of draw down and it has to be repaid in 4 equal
quarterly installments or before it.
• The interest rate will be based on the repo rate and is as same as repo rate plus the rating spread
and it has to be paid on quarterly basis along with installment.
• The maximum value of refinance will be 20% of the net owned fund of the PLI as on 31.03.2020/
NHB or Rs.2000 crore, whichever is lower.
• Only standard accounts will be considered as security for refinancing
This initiative is in line with Reserve Bank of India’s(RBI) Rs.10,000 crore Special liquidity Facility-
2(SLF-2) provided to NHB in accordance to the recent increase of covid-19 cases.
Also in 2020 NHB had provided Rs.10,000crore SRF that was granted by RBI under the Atmanirbhar
Bharat Abhiyaan. During the period April 1, 2020 to March 31, 2021, NHB has extended an amount of
Rs.42,823.93 crore as refinance to PLIs.
Click here to read more about SRF-2021
About National Housing Bank(NHB):
Establishment: July 9, 1988
Headquarters: New Delhi
Managing Director: Sarada Kumar Hota
Retail Inflation Increased to 5.52% in March, 2021: NSO

Based on the data released by the National Statistical Office(NSO), Ministry of Statistics and Programme
Implementation (MoSPI)on April 12, 2021, India’s retail inflation was accelerated to a four-month
high of 5.52 per cent in March, 2021 due to an increase in food rates.

Key points about the NSO data for March 2021:
Core inflation: Due to demand and increase in commodity prices the Core inflation was also increased
to a 29-month high of 5.96 per cent in March 2021 from 3.95 per cent in 2020 and 5.88% in February
2021
Food inflation rate: It rose by 4.94 per cent against 3.87 per cent in February due to the protein items
such as pulses (tur, urad), meat, fish and egg.
Fuel and light inflation rate: It was increased to 4.5 per cent against 3.53 per cent in February.(The
decline in prices of vegetables might lead to food inflation of around 2-2.5 per cent in April 2021).
Services inflation: It rose by 6.88 per cent
• Industrial output also fell for the second successive month in February 2021, contracting 3.6 per
cent year on year
• The average inflation rate in FY21 rose to 6.18 per cent as of 4.76 per cent in FY20.
• The consumer price index (CPI) based inflation rate was about 5.03 per cent in February 2021 and
5.84 per cent in March 2020
• As per the Index of Industrial Production (IIP), Electricity was the only sector that registered
a positive growth of 0.1 per cent, while manufacturing output was reduced to 3.7 per cent and
mining fell to 5.5 per cent.
About Ministry of Statistics and Programme Implementation (MoSPI):
Minister of State (MoS)– Rao Inderjit Singh
Statistics Day – June 29
IFC Invests USD 100 mn in J.C. Flowers India Opportunities Fund

On 14th April 2021,International Finance Corporation (IFC),member of the World Bank Group
announced to invest USD 100 million in J.C. Flowers India Opportunities Fund to help Indian
financial institutions in resolving distressed assets.
• The investment is part of IFC’s Distressed Asset Recovery Program’s (DARP) work in India.Initially,
IFC will invest USD 40 million.
Objective
i.It will help the domestic lenders(Lenders in India) to resolve their distressed assets and free up the
capital for new lending.
ii.It will allow mid-sized firms to preserve jobs and avoid insolvency during the pandemic.
Key Points:
i.Under this venture, $27 billion worth dedicated platform for mid sized distressed assets will be
created. This will account for more than a third of the country’s corporate stressed assets.
Benefits:
• This partnership helps in recovery as well as revitalization of India’s economy by promoting growth
of credit and ensuring the continuity of hard hit businesses.
• Apart from this investment, IFC will help in adoption of environmental and social standards by
J.C.Flowers and Eight Capital .
Note – So far IFC has provided $7.7 billion globally including the mobilization of $5billion.It has also
helped in recovering over$33 billion non performing assets of banks and in resolving over 18 million
obligations of debtors.
About International Finance Corporation(IFC):
Executive Vice President & Managing Director: Makhtar Diop
Headquarters: Washington D.C.,USA.
USFB Made First Digital Lending Partnership with NIRA

Ujjivan Small Finance Bank (USFB), a wholly-owned subsidiary of Ujjivan Financial Services Limited
made a partnership with a fintech, NIRA to strengthen its digital footprint and onboard its customers for
Personal Loans. This was USFB’s first Digital Lending Partnership.
Key points about the partnership:
Objective: To serve the unserved and underserved customers through personal loans.

• Salaried customers can apply for a personal loan by using the NIRA app, which will fund the low-
income salaried class.(The Lowest eligible Income to receive the loan Varies from Rs.11,000-
Rs.20,000).
About Small Finance Bank (SFB):
• SFBs are the financial institutions that will provide financial services to the unserved and unbanked
region of the country. They will be registered as a public limited company under the Companies Act,
2013.
• Capital Small Finance Bank followed by Equitas Small Finance Bank were the first two SFBs formed
in India.
• Shivalik Mercantile Co-operative Bank (SMCB) was India’s 1st Urban Co-operative Bank(UCB)
Converted into SFB under the Voluntary Transition Scheme of RBI.
About Ujjivan Small Finance Bank(USFB):
Establishment – 1st February 2017
Headquarters– Bengaluru Karnataka
MD & CEO– Nitin Chugh
Tagline – Build a Better Life
About NIRA:
Headquarters – Bangalore, Karnataka
CEO and Co-founder – Rohit Sen
Axis Bank Initiates International Fund Transfer Feature in Mobile App

Axis Bank has allowed its customers to make International Fund Transfers (send money abroad) in
over 100 currencies across 150 countries through the ‘Send Money Abroad’ feature in the Axis Mobile
application with simple two-step process.
• The users can send up to USD 25,000 (Rs.~18.63 Lakh) per transaction for any different purposes
such as education fee payment, family maintenance, and health-related expenses.
About SWIFT:
• Axis bank transfers funds to global banks through the Society for Worldwide Interbank Financial
Telecommunications (SWIFT) mode.
• SWIFT is a cooperative that provides safe and secure financial transactions as it assigns a unique
code of either 8 characters or 11 characters for each financial organization.
Citi bank to withdraw consumer banking business in India

On 15th April 2021,the multinational investment bank, Citi bank headquartered in New York has
announced to exit its consumer banking operations in India.
Highlights:
i.As a part its global restructuring process Citi bank has decided to close its operations in consumer
banking in 13 countries which includes Australia, Bahrain, China, India, Indonesia, Korea, Malaysia,
Philippines, Poland, Russia, Taiwan, Thailand and Vietnam.
ii.This exit has been made mainly to focus on the banks in Asia and EMEA (Europe, Middle-East and
Africa) regions across four wealth centers viz Singapore, Hong Kong, the UAE and London.
About Citi Bank:
It was founded in 1812 as a city bank of New York, USA. It is the 1st National city bank of New York
Chief Executive Officer(CEO): Jane Fraser
Headquarters: New York, USA
About Citi bank India:
Head quarters: Mumbai, Maharashtra
CEO, Citi India and Regional Head for South Asia: Ashu Khullar
Establishment: 1902

RBL Bank partners with Mastercard to offer first of kind payment solution
On 15th April 2021 RBL Bank announced its partnership with Mastercard to provide first of its kind
payment solution in India through the Pay by bank app. It iis a mobile based consumer friendly
payment solution.
Highlights:
i.Through this payment solution – the Pay by Bank app , customers of RBL bank will be able to do
contactless transactions both in store and online across the world.
ii.Also this facility makes sure that all the payment credentials of the Bank’s customers are completely
secured and are never exposed to the merchant.
iii.Since account holders use their mobile app for making payments and so there is an increased volume
of contactless transactions , merchants will be more benefited.
iv.Also there will be increased approval rates as each transaction are authenticated by the account
holders.
v.This facility can be availed with any merchant who accepts mastercard and also allows contactless
online payments worldwide.
About RBL Bank:
Incorporated in :1943 under the Indian Companies Act,1913.
Managing Director(MD) and Chief Executive Officer (CEO) : Vishwavir ahuja
Headquarters:Mumbai, Maharastra.
Tagline: Apno ka Bank.
The bank’s name was changed from “The Ratnakar Bank Limited” to “RBL Bank Limited” in August
2014.
About Mastercard:
Executive Chairman: Ajay Banga
Chief Executive Officer(CEO): Michael Miebach
Headquarters: New York, USA
ETMONEY launched India’s first Aadhaar-based SIP payment

ETMONEY launched India’s first Aadhaar-based Systematic Investment Plan(SIP) payments feature.
This feature will enable anyone to start a SIP online and make automatic payments using a simple
Aadhaar based One-Time Password (OTP) verification.
About the Aadhaar based SIP payment feature:
Objective: To make investments more seamless and accessible to the widest section of Indian society.
OTP verification feature:
The Aadhaar-linked SIP payment will enable more Indians to invest regularly through SIPs as more than
100 crore bank accounts are linked in Aadhar and as the payment is done through OTP verification, it
makes the online investment easier.
Easier payment mandates:
As SIPs will do monthly investments through automated payment, the new feature will set up the users
SIP mandates (automated SIP payment) easily through their Aadhaar linked bank accounts.
About Systematic Investment Plan (SIP):
• It is a kind of investment in Mutual Funds in which one can invest a small sum of a fixed amount in
a preferred Mutual Fund scheme at regular intervals (once a month or once a quarter) instead of
making a lump-sum investment.
• SIP (payment mandates): By activating a SIP, a fixed amount will be deducted from the customer’s
bank account every month and invested in their mutual funds (similar to a recurring deposit).
About ETMONEY:
Head office – Gurugram, Haryana
Founder & CEO – Mukesh Kalra

SBI General Insurance signed a Corporate Agency Agreement with UBKGB
In April 2021, SBI General Insurance has signed a Corporate Agency Agreement with Uttarbanga
Kshetriya Gramin Bank(UBKGB) to retail its insurance products.
Purpose of the agreement:
• Through this agreement, SBI General Insurance’s products will be distributed in West Bengal
through UBKGB.
• SBI General Insurance will offer a comprehensive range of general insurance products and through
which the UBKGB will offer them to its customers
• UBKGB has 142 branches in West Bengal.
About Uttarbanga Kshetriya Gramin Bank (UBKGB)
Headquarters – West Bengal
Chairman – D. S. Rathour
About SBI General Insurance:
MD & CEO – Prakash Chandra Kandpal
Tagline – Suraksha aur Bharosa dono
SEBI Issued Guidelines for Warehousing Norms for Agri and Non-Agri Goods
SEBI has issued guidelines for preparing warehousing norms by Clearing Corporations(CCs) for
agricultural/agro-processed goods and non-agricultural goods (base and industrial metals). The
guidelines would come into effect from June 1, 2021.
Guidelines by SEBI to CCs:
i.The norms set by CCs will be the minimum requirements/standards that its Warehouse Service
Providers(WSPs) should comply with.
ii.In addition to the norms of CCs, the WSPs should comply with the norms laid down by Warehousing
Development and Regulatory Authority (WDRA)
iii.Bankruptcy: In the event of bankruptcy or insolvency of the WSP, the CCs should remove the WSP
from the accredited warehouse list and should not place any restriction for possession of its
commodities.
iv.A CC cannot stop its WSP from providing service to other CCs as it can be accredited with more than
one CC.
Warehousing Norms:
• Capital: An accredited WSP should have a minimum subscribed and paid-up share capital of Rs 10
crore.
• Experience: The promoter or promoter groups of a WSP are required to be in the public
warehousing business for at least 3 years and a CC can relax the requirement, based on certain
conditions.
• Net worth: The net worth required of a WSP varies for agricultural/agri-processed, base/industrial
metals and composite goods and they will get six months to augment the net worth in case there is
a reduction of net worth below the stipulated amount.
• The value of the goods stored in the accredited storage facilities of WSP should not exceed 33
times the net worth of the WSP (irrespective of the number of CCs it serves)
• Review: Every year CCs have to review each WSP and it should have a grievance cell to handle the
investor complaints.
About Securities and Exchange Board of India (SEBI)
Market Share in IHLs Remains Higher in Banks than HFCs: NHB

As per the National Housing Bank’s (NHB) report “The Trend and Progress of Housing in India” April
2021.The market share of banks in individual housing loans(IHLs) has gone up to 67% in 2019-20 from

62% in 2017-18 and housing finance companies (HFCs) has come down to 33%( 2019-20) from 38%
(2017-18).
i.e. The market share of Individual Housing Loans (IHLs) in banks remained higher than that of Housing
Finance Companies (HFCs).
Analysis of IHLs market share:
Market Share on IHLs (2019- Market Share on IHLs (2018- Market Share on IHLs (2017-
2020 ) 2019) 2018)
Banks 67 per cent 64 per cent 62 per cent
HFCs 33 per cent 36 per cent 38 per cent
Overall Growth: The overall growth in IHLs of banks and HFCs combined stood at 10 per cent in 2019-
20 compared to 16 per cent in 2018-19.
Outstanding IHLs: The total outstanding IHLs of HFCs and banks combined was around Rs 20-lakh
crore at the end of March 2019-20 compared to around Rs 18-lakh crore in 2018-19.
Outstanding IHLs of Banks and HFCs registered year-on-year growth of 8.5 per cent and 3 per cent,
respectively.
Slab wise analysis: Slab-wise analysis of total IHLs of banks and HFCs combined was around 44 per
cent of the total IHL as of March 31, 2020 (against 47 per cent as of March 31, 2019) was towards Rs 124
lakh housing units (119 lakh as on March 31, 2019) and 56 per cent of the total IHL (53 per cent as on
March 31, 2019) was towards 30 lakh housing units in the IHL slab of over 25 lakh.
Establishment – July 9, 1988 under the National Housing Bank Act, 1987.
Headquarters– New Delhi
Managing Director – Sarada Kumar Hota
LIC Partners with Paytm for handling e-payments

India’s Largest Insurer, Life Insurance Corporation (LIC) of India has appointed Paytm to carry out its
digital transactions.The partnership aims to hope with the increasing demand of digital payment.
Objective – To provide an easy payment process, a broader range of payment options, and more players
(wallets, banks, etc) in payment channels to the customers of LIC.
Note – LIC collects premiums worth Rs 60,000 crore via digital mode, (exclusion of Bank Payments) &
there are ~ 8 crore digital transactions.
About Life Insurance Corporation:
Establishment:1st September 1956
Chairman: M.R.Kumar
Headquarters:Mumbai,Maharashtra.
About Paytm:
Chief Executive Officer: Vijay Shekhar Sharma
Headquarters: Noida,Uttar Pradesh
Gramcover partners with AICIL to enhance insurance penetration in rural India

A rural insurtech startup Gramcovers and the Agriculture Insurance Company of India Limited(AICIL)
have partnered to develop the insurance penetration in rural India.
Objective:
i.The main objective of this partnership is to identify and develop useful rural insurance products that
could help farmers.
ii.It also aims to increase the insurance coverage in rural parts of India.
Highlights:
• Initially they will work on market research to identify and develop new insurance products that will
help farmers in protecting their livelihood.
• This tie up will improve the claim payment turnaround time and develop underwriting and will
ensure quick settlement of claims.
• Under this partnership they have planned to reach around 25 million farmers.

About Agriculture Insurance Company of India Limited (AICIL):
Establishment: 20th December 2002 under the Indian Companies Act 1956
Chairman and Managing Director: Malay Kumar Poddar
Headquarters: New Delhi
About Gramcover:
Chief Executive Officer: Dhyanesh Bhatt
Headquarters: Noida,Uttar Pradesh
Currency Chest Theft From Axis Bank in Chandigarh’s Sector 34

Rs 4.04 crore has been stolen by a private security guard from the Currency chest of Axis Bank in
Chandigarh’s Sector 34. It is the first time in Chandigarh where such a huge amount was stolen from
inside a bank.
What is a Currency chest?
It is a depositary of the Reserve Bank of India (RBI), in which it stocks the money meant for banks and
ATMs. Whenever, RBI prints new currency notes, first it delivers to currency chests and then currency
chests deliver these new currency notes to banks. They are usually situated on the premises of different
banks but administered by the RBI.
ADB partners with Habitat for Humanity to provide housing loans to vulnerable communities
On 19th April 2021, Asian Development Bank(ADB) and Habitat for Humanity International made a
partnership to help Microfinance Institutions(MFI) in providing housing loans to low income families in
rural and semi urban areas of Bangladesh,India,Indonesia and Philippines.
Objective:
i.This partnership aims to provide technical expertise to MFIs in delivering housing microloans.
ii.It also aims to expand ADB’s Microfinance Risk Participation and Guarantee Program by providing
micro loans for housing ,home improvement and water sanitation for vulnerable communities.
Highlights
• In the first phase Commercial banks will provide $30 million financing for housing loans to MFIs
• In order to improve the construction quality and climate resilience by upgrading semi permanent
structures and installing sanitation and water connections ,loans will be given to around 20,000
households by partner MFIs in the first phase.
About 90 percent of the financing is targeted for women micro borrowers.this will help in empowering
women.
Note:
ADBs Microfinance Program has helped more than 6 million borrowers gain access to better housing.
About Asian Development Bank:
President: Masatsugu Asakawa
Established in: 1966
Headquarters: Manila,Philippines
Members: 68 members(49-Asia & Pacific & 19 – outside)
About Habitat for Humanity:
Chief Executive Officer: Jonathan Reckford
Chief Operating Officer: Patrick Canagasingham
Headquarters: Atlanta,Georgia
PhonePe becomes 1st company to cross 1 billion transactions in UPI

PhonePe,a Bengaluru based digital payments and financial services company has become the first
company to cross 1 billion transactions on Unified Payment Interface(UPI).The company has crossed
over 1.3 billion transactions on its platform across payment offerings of wallet,cards and UPI in March
2021.PhonePe has seen a growth in UPI transactions to 975.53 million in February 2021 from
902.03 million in December 2020.

Bitex Became the First Cryptocurrency Exchange in India to Provide Investment Declaration
Reports
Bitex, theUnited Arab Emirates (UAE) based Cryptocurrency exchange, has announced its issuing of
investment declaration reports for all its retail and institutional investors in compliance with the
amendments made to the Companies Act 2013, by which it became the first Crypto currency exchange in
India to provide such reports.
Background:
In March 2021, The Ministry of Corporate Affairs (MCA) amended Schedule III of the Companies Act,
2013, and made it mandatory for Indian companies, unlisted and private to disclose their dealings in
crypto currency or virtual currency they have traded or invested.
Purpose of the Report:
The report will contain information about what the investors have sold or bought, hence, it will act
as proof of the exact money the investors made or lost while trading in crypto currencies to tax
authorities. (Earlier these details were not provided to the investors)
Taxation over crypto currencies:
The Income-tax Act doesn’t define exactly how crypto currencies are taxed but follows three different
approaches to tax.
• First – The gains over trading crypto currencies will be taxed as business income.
• Second – The gains over speculative transactions are taxed as per an individual’s income tax slab.
• Third – It is the capital gains approach in which if investors hold crypto currencies for 36 months or
more, the gains would be taxable as long-term capital gains (LTCG), and less than 36 months, it
would be short-term capital gains (STCG).
About Bitex
Headquarters – Dubai, UAE
Founder and CEO – Monark Modi
Google pay creators partners with Federal bank to launch Neobank Fi for millennials
Sujith Narayanan and Sumit Gwalani , co-creators of Google Pay have announced the launch of Fi,a
NeoBank for salaried millennials in partnership with Federal Bank.
• Fi’s android app will start operation from 21st April 2021 and its iOS app is still in processing and
will be launched soon.The android app was in beta mode with 500 users.
Neo Bank:
A Neo Bank is a kind of digital bank that works virtually.It doesn’t have any branches.it doesn’t have a
banking license of its own but it partners with other commercial banks to provide licensed services.
Note – State Bank of India and Kotak Mahindra have launched their own neobanking initiatives, called
YONO and 811 respectively.
About Fi NeoBank:
Fi Neo Bank was founded in 2019 and has raised USD 13.5 million in its seed round led by Sequoia India
and Ribbit Capital.
Co Founders:Sujith Narayanan,Sumit Gwalani
Headquarters:Bengaluru,Karnataka
About Federal Bank:
Incorporated :April 23,1931 as the Travancore federal bank limited,Kerala under the Travancore
companies regulation ,1916
Managing Director(MD) & Chief Executive Officer(CEO):Shyam Srinivasan
Headquarters:Aluva,Kerala
Tagline:Your Perfect Banking Partner
SBI MF becomes 1st mutual fund company to cross Rs.5 lakh crore AAUM
SBI Mutual Funds(MF) announced that its Average Assets Under Management(AAUM) has crossed Rs.5
lakh crore making it the first mutual fund company to cross this mark.

• Its AAUM has increased to Rs.5.04 lakh crore in 2020-21 from Rs.3.37 lakh crore in 2019-20 fiscal
year.
• SBI MF has seen a growth of 35 percent during the financial year 2020-21.
ICRA Predicts India’s GDP forecast for FY22 to 10-10.5% down by 0.5%
On April 20, 2021, the Information and Credit Rating Agency of India Limited (ICRA) reduced India’s
GDP growth forecast for FY22 by 0.5 per cent i.e. projected growth to a range of 10-10.5 per cent,
against 10-11 per cent of its earlier estimation due to the surge in COVID-19 cases and the localized
restrictions.
• It also mitigated the GDP growth for Q1 FY22 (April-June 2021), from 27.5 per cent to 20-25 per
cent
Nomura’s Projection:
• Nomura, a Japanese brokerage has specified a rise in India’s ‘Oxford Stringency Index’ to 69.9 as of
April 13, 2021, from 57.9 at the start of previous week.
• It also decreased the proprietary business resumption index to 90.4 for the week ended April 11,
2021, from 93.7 on April 4, 2021.
Note – In March 2021 the India’s economic activity recorded a broad-based and sharp improvement.
Downgraded projection of India’s GDP growth by Brokerages:
Brokerage Current GDP growth forecast % for FY22 Earlier Forecast %
Nomura 12.60% 13.50%
JP Morgan 11 % 13%
UBS 10% 11.50%
Citi 12% –
Reserve Bank of India (RBI) has projected FY’22 GDP growth at 10.5 per cent, while International
Monetary Fund (IMF) puts it at 12.5 per cent. The World Bank sees 2021-22 growth at 10.1 per cent.
About Information and Credit Rating Agency of India Limited (ICRA):
It is owned by Moody’s Corporation
Headquarters – Gurgaon, Haryana
MD & Group CEO – Mr. N. Sivaraman
HSIIDC signed a MoU with WTC for Trade and Investment in Faridabad
The Haryana State Industrial and Infrastructure Development Corporation (HSIIDC) signed a
Memorandum of Understanding (MoU) with the World Trade Center(WTC) to promote trade and bring
in National and International investment in Faridabad, Haryana.
• This is a part of the efforts of the Government of Haryana to generate long term economic
momentus to sustain the economic growth in Faridabad.
Features of the partnership:
i.This partnership will provide a platform to HSIIDC and support WTC Faridabad and investors through
a single window clearance system for the required application, sanctions, incentives, and permissions
according to the existing policies and regulations of the Government of Haryana.
ii.Through this collaboration the WTC is planning to set up WTC Faridabad.
Additional info:
Faridabad, the home of various e-manufacturing unit, is one of the prime industrial estate of HSIIDC
About Haryana State Industrial and Infrastructure Development Corporation (HSIIDC):
Managing Director– Anurag Agarwal
Head Office– Panchkula, Haryana

Co-lending Partnership between HDFC & Indiabulls HFL
On April 21, 2021, Housing Development Finance Corporation (HDFC) Ltd and Indiabulls Housing
Finance Limited (Indiabulls HFL) entered into a strategic co-lending partnership to offer housing loans
to homebuyers.
• The loans under the co-lending will be in the funding ratio of 80:20 in which 80% of the loan is with
HDFC’s and 20% with Indiabulls HFL’s.
• Indiabulls will service the loan account throughout the life cycle of the loan and it holds 20% of the
credit risk by way of direct exposure.
• The loans will be offered at a 7-8 per cent prime lending rate.
About RBI’s Framework over Co-lending:
• In the case of co-lending between NBFC’s and Banks – in September 2018, the Reserve Bank of
India (RBI) has mandated to share a minimum of 20% of the credit risk by way of direct exposure
on NBFC’s books till maturity and the balance on the bank’s books.
• But RBI has not specified any prohibitions over two Non-Banking Finance Companies (NBFCs)
from using the co-lending model.
• Note – Both HDFC and Indiabulls HFL are NBFCs
What is a Co-lending partnership?
Under Co-lending two lender firms will come together to disburse loans. The association will allow firms
to source clients, perform credit appraisals, and disburse funds.
About Housing Development Finance Corporation (HDFC):
Establishment –1977
Managing Director – Ms. Renu Sud Karnad
Vice-Chairman & CEO – Mr. Keki M. Mistry
Tagline – With You, Right Through
About Indiabulls Housing Finance Limited:
Vice-Chairman & Managing Director – Gagan Banga
South Africa’s second largest bank, FirstRand Bank to exit India

FirstRand Bank , the second largest bank in South Africa has decided to withdraw its banking services
from India just within a week of Citi banks exit.The Asset value is $118 billion.
Highlights:
i.FirstRand had started its banking service in India in late 2009 but it started lending to individual
customers and small and medium enterprises only in 2012.
ii.The bank has its only office in Mumbai and acts as a branch of FirstRand Bank South Africa.
iii.As per its annual report(2019-20),there were Rs.318 crore deposits in the bank and its advances
stood at Rs.420 crore at the end of March 2020.
Note:
The Bank decided to exit India because of the increasing non performing assets in India and its failure to
expand further and add more branches.
About FirstRand Bank:
Chief Executive Officer: Alan Patrick Pullinger
Headquarters: Johannesburg,SouthAfrica
First Neobank in Kerala – Launched by Aceware Fintech

In April 2021, Aceware FinTech Services, a Kerala-based fintech services company, launched
Kerala’s first neobank called Ace Money Neobank, in partnership with YES Bank and ICICI Bank.
Services under Ace Money Neobank:
• Under Ace Money Neobank, the start-ups, merchants, and enterprise entities can open present
accounts, in line with the corporate.

• Its services include Doorstep supply of cash, money transfer, bill payments and recharges, land and
building tax payment, ticket bookings, birth, death, and marriage certificates, passport, pan card,
Fastag, and insurance services.
• Note – The services of Ace Money Neobank are available at all the panchayats in Kerala
What is Neobank?
It is a kind of digital bank without any branches. It is entirely online instead of being present physically
at a specific location (target customers making monetary transactions via mobile apps and other digital
media platforms).
India’s first NeoBanks:
• Chqbook(Chqbook.com)– India’s first Neobank for small business owners like kiranas, merchants,
chemists, and others running proprietorships.
• FamPay – India’s first Neobank for teenagers.
• Finin – India’s first full-fledged consumer neobank.
About ICICI Bank:
About Aceware FinTech Services:
Headquarters – Cochin, Kerala
CEO – Jimmin James Kurichiyil
IOB appoints Ernst & Young as its Digital Consultant

Indian Overseas Bank (IOB) appointed Ernst & Young Global Limited, a multinational professional
services network as its digital consultant. This partnership is a part of IOB’s growth strategy to
transform its banking services into Digital format.
Aim:
To increase IOB’s digital share in the market and to attract millennial customers.
Benefits of Digital consultant:
The Digital consultant will support IOB to focus on utilizing and adopting the new technologies and
enhance its service quality and delivery to its customers.
This initiative will also help the bank to speedup digitalization in all the areas of banking like assets and
liability products and services.
About Indian Overseas Bank (IOB):
MD & CEO– Partha Pratim Sengupta
Founded on – 10th February 1937
Headquarters– Chennai, Tamil Nadu
Tagline– Good people to grow with
Tata Steel and HSBC Executed Global First Blockchain-enabled, Paperless Trade Transaction in
Steel Industry
In April 2021, Tata Steel Ltd and HSBC, a banking and financial services organisation, executed
the global first blockchain-enabled paperless transaction in steel industry. Under the transaction, Tata
Steel exported steel to Universal Tube & Plastic Industries, UAE.
• Contour and essDOCS are the blockchain platforms used under the transaction.
• HSBC UAE has issued the Letter of Credit (LC) to Universal Tube & Plastic Industries (Importer)
with HSBC India, as the advising and negotiating bank for Tata Steel(Exporter)
• Reduced Cost and time: Digitisation of the transaction reduced the costs associated with paper-
based documentation and the time also reduced from weeks to few days.
Benefits:
Tata Steel said this technology in trade finance enables comprehensive visibility for all involved parties
and enhances security in payment.
Reduced transaction time will help boost the efficiency of trade in the India-UAE corridor.

It also shortens the transaction time of Letter-of-Credit (LC) transactions.
Facts:
UAE is India’s third largest trade partner .
About HSBC:
Group Chairman – Mark E Tucker
Care Ratings Revised down India’s GDP Growth Forecast for FY22 to 10.2% from 10.7-10.9%
Care Ratings has reduced India’s Gross Domestic Product (GDP) growth forecast for FY22 to 10.2 per
cent from its earlier projection of 10.7-10.9 per cent. In the last 30 days, this is the third revision by the
rating agency due to the surge in COVID-19 cases and local restrictions (Especially Maharashtra).
Growth Predictions of Care Ratings:
• On March 24, 2021, Care Ratings projected an 11-11.2 per cent GDP growth based on GVA (gross
value added) growth of 10.2 per cent, and on April 5, 2021, it has projected the same at 10.7-10.9
per cent.
• It has forecasted an increase in GVA to increase from Rs 124.11 lakh crore (FY21) to Rs 136.82 lakh
crore (FY22) which was an increase of 10.2 per cent.
• The loss in GDP for 2021 due to lockdowns are predicted to 0.8 – 1 per cent(as compared to earlier
prediction of 11-11.2 per cent)
About Care Ratings:
Establishment – April 1993
MD & CEO – Mr. Ajay Mahajan
DCB Bank Acquired 9% Stake in Techfino Capital

On April 21, 2021, DCB Bank Limited acquired a minority stake of around 9 per cent equity stake in
Techfino Capital Private Limited (TCPL), a non-banking financial company (NBFC).
• TCPL provides customized consumer loans in the education and healthcare sectors and is present in
key metros and tier-II cities across India
• The funds raised by TCPL will be used in the enhancement of its current Tech Stack, apart from on-
lending to customers.
About Techfino Capital Private Limited (TCPL):
Headquarters – Bangalore, Karnataka
Founder – Jayaprakash Patra, Ratikanta Satapathy, Rajesh Panda
About DCB Bank:
MD and CEO – Murali Natrajan
Tagline – We Value You
BRICS’ NDB Issued USD 1.5 billion Benchmark Bond

In April 2021, the New Development Bank (NDB) of BRICS (Brazil, Russia, India, China, and South Africa)
issued a USD 1.5 billion benchmark bond with 5 years of maturity. This is the 3rd USD benchmark
bond offering of NDB in the international markets.
About the Bond in brief:
Purpose: NDB will use the total earnings of the Bond for financing sustainable development activities
and to provide COVID-19 Emergency Program Loans to the member countries (BRICS).
Investors’ distribution:
• Based on geography: Asia – 36%, EMEA – 60%, Americas – 4%
• Based on the type of investors: Central Banks/Official Institutions – 78%, Banks – 16%, Asset
Managers – 4%, Private Banks – 1%, others – 1%.

Summary of the Bond:
Issuer NDB
Size USD 1.5 billion
Maturity 5 years
Yield 1.154% annual / 1.151% semi-annual
Coupen 1.125% per annum
Citigroup Global Markets Ltd, HSBC London PLC, Industrial and Commercial Bank of
Lead China (Asia) Ltd, J.P. Morgan P, Standard Chartered Bank UK, and TD Securities
Managers (Canada) Inc.
• The book of the bond was oversubscribed with the order book in excess of USD 1.975 billion.
• In 2021, NDB plans to raise ~USD 7 billion equivalents across international and domestic capital
markets across different currencies.
Earlier Bond issuances:
• In April 2020, NDB established the Emergency Assistance Facility up to USD 10 billion for crisis-
related assistance to its member countries.
• In December 2019, NDB registered USD 50 billion Euro Medium Term Note Programme in the
international capital markets.
About New Development Bank (NDB):
• It is a multilateral development bank established by the BRICS countries to mobilize resources for
infrastructure and sustainable development projects in BRICS and other developing countries.
• The first President of NDB was from India ( V. Kamath)
Establishment – 2014 (Operational from 2016)
Headquarters -Shanghai, China
HSBC India ties up with Google Pay and Visa for tokenization on its credit card
HSBC India has partnered with Google Pay(GPay) and Visa to provide a secured tokenization on its
credit cards.
• Because of this partnership, contactless payments can be done by linking HSBC credit cards in
Google Pay and it will help to avoid physical contact for payment.
• This is done based on the principle of NFC(Near Field Communication),QR pay and in-app purchase
Note:
The main objective of this partnership is to provide enhanced security and convenience for the card
holders
Tokenization:
• The process of replacing a card’s sensitive information like card number, expiration date,
security code with a device-specific alternate code, or ‘Token’ is called Tokenization.
• This process eliminates the need of sharing the card number,expiry date or security code by
only sharing the token number specific to the card.
About HSBC India:
Chief Executive Officer: Surendra Rosha
About Google Pay:
Parent company: Google
Founders: Sujith Narayanan and Sumit Gwalani
BFSL, Mastercard Launched World’s 1st QR on Card Program – ConQR to Support SMEs
On April 22, 2021, The Mastercard and Bank of Baroda Financial Solutions (BFSL), a wholly-owned
subsidiary of Bank of Baroda came together to launch World’s 1st QR on Card Program ‘ConQR’ – a
Mastercard QR on Card solution to simplify digital payments of Small and medium-sized enterprises
(SMEs).

About ConQR:
• The ConQR Credit Card will have a Bharat QR Code on the card face (as part of the card
personalisation process), and it will works based on a Mastercard patented technology.
• Thus the cardholders/ SMEs can use the ConQR card to accept cashless payments i.e they can use
QR in the card to make payments, and also receive payments (the card acts as an acceptance point
as well)
• The QR Code will also carry the small businesses’ details thus making it easier for small businesses
to receive digital payments.
• Availability: ConQR card will be first offered to small businesses that currently use BoB’s
acceptance solutions, and later it will be available to all existing and new customers of BoB.
Note – In 2020 Bank of Baroda launched five new credit cards; one of them was Swavlamban, which
targets the low-income employees of select corporate and Micro, Small & Medium Enterprises (MSMEs).
About BOB Financial Solutions Limited:
MD&CEO – Shailendra Singh
About Mastercard:
Establishment-1979
Headquarters – New York, U.S.
President and CEO – Michael Miebach
Indian Bank Partners with Chennai Angels to support Start-ups

In order to extend support to Start-ups under the program ‘IND Spring Board’, Indian Bank made an
agreement with The Chennai Angels, an angel investment group on April 22, 2021.
About IND Spring Board:
• Purpose: To support Start-ups for the expansion of their commercial production.
• Credit Facility to start-up: Under this programme, Indian Bank will provide credit facilities of up
to Rs 50 crore for working capital requirements and also provide term loan requirements for
acquiring fixed assets for their unit.
About Angel Investors:
An angel investor (also known as a private investor, seed investor, or angel funder) is a high-net-worth
individual who provides financial service for small startups or entrepreneurs, typically in exchange for
ownership equity in the company.
Eligibility:
• An individual angel investor should have a net tangible asset of at least 2 crores excluding the value
of his principal residence and with at least 10 years of investment experience
• The net worth should be at least 10 crore
About Indian Bank:
MD&CEO – Padmaja Chunduru
Tagline– Your Own Bank
About The Chennai Angles:
Establishment – November 2007
India Ratings Reduced India’s GDP Growth Forecast for FY22 to 10.1% from 10.4%
On April 23, 2021, India Ratings and Research (Ind-Ra) have reduced India’s GDP growth forecast of
FY22 to 10.1 per cent, from its earlier projection of 10.4 per cent.
• The agency stated that the vaccination efforts for the pandemic will cost 12 per cent of the GDP to
the union government and 0.24 per cent to the state governments.
• It expects retail and wholesale inflation to average 5.0 per cent and 5.9 per cent, respectively, in
FY22

• The demand-side component of GDP of Private final consumption expenditure, Government final
consumption expenditure, and Gross fixed capital formation are now expected to grow at 11.8 per
cent, 11.0 per cent and 9.2 per cent, respectively, in FY22, as against the earlier forecast of 11.2 per
cent, 11.3 per cent and 9.4 per cent.
• Maharashtra is the economically biggest and the most industrialized state contributing 13.9 per
cent to the national GDP.
The revised growth forecast by SBI Research:
On April 23, 2021, SBI Research also reduced India’s growth forecast for FY22 to 10.4 per cent from 11
per cent of the earlier predictions and it forecasted 14.3 per cent of nominal GDP.
S&P Global Ratings Projection:
S&P Global Ratings in its report on Asia-Pacific Financial Institution projected Indian economy growth
for FY22 at 11 per cent. It has also projected an additional 6.1 per cent-6.4 per cent forecast increase for
the next couple of years.
About India Ratings and Research(Ind-Ra):
It is a 100% owned subsidiary of the Fitch Group.
MD & CEO– Rohit karan Sawhney
Axis Direct Launched a Mobile App – Axis Direct RING

Axis Direct, the flagship brand of Axis Securities, a wholly-owned subsidiary of Axis Bank, launched a
mobile application called ‘Axis Direct RING’ which support in making a simple and fast investment
in stock markets.
Features of Axis Direct RING:
• It will help investors find investment opportunities every 60 seconds.
• Axis Direct RING provides a wide range of trading tools, such as screeners, intuitive charts, detailed
quotes, price alert notifications, research calls, and updates.
• It offers a fast trading interface and real-time access to stock prices with instant execution of trades.
• It offers an overview of all the major Indian stock markets and exchanges (National Stock
Exchange(NSE), Bombay Stock Exchange (BSE), and Multi Commodity Exchange(MCX) )and the
customers can access all the market instruments, such as equity, Futures and options (F&O),
currency, commodity, and mutual funds, across exchanges.
• The app also will be helpful to beginners as well as professional investors as it has a wide range of
trading tools, such as screeners, intuitive charts, detailed quotes, price alert notifications, research
calls, and updates.
Headquarters-Mumbai, Maharashtra
MD & CEO -B Gopkumar
ICICI Bank, SBI Cards Leads New Credit Card Issuance as HDFC Bank under Temporary Halt
ICICI Bank and SBI Cards have a strong growth in new Credit card issuance from December 2020 to
February 2021, after the temporary halt of HDFC Bank Ltd from issuing new cards from December
2020.
Background:
On December 2, 2020, the Reserve Bank of India (RBI) has stopped HDFC which has the largest credit
card base in India from issuing new credit card due to its series of digital banking outages.
Comparison of outstanding credit cards(RBI data):
Outstanding credit cards as of February Oustanding credit cards as of December
Bank 2021 2020
HDFC
Bank 1.51 crore 1.53 crore
ICICI 1.03 crore 99.1 lakh
SBI Cards 1.17 crore 1.14 crore

Axis Bank 70.36 lakh 68.7 lakh

About the growth phase of ICICI:-
• It became the 2nd largest credit card issuer as it has captured around 43.4 per cent of the total
incremental cards issued by banks between Nov. 30, 2020, and Feb. 28, 2021, and it issued 6.66
lakh cards out of the total 15.34 lakh new credit cards given out by the system.
• ICICI-Amazon Pay credit card issued by ICICI in December 2020 has also helped ICICI Bank to
grow its credit card loans.
• Market share: In FY21 ICICI Bank gained the highest incremental market share of 32.4%, followed
by SBI Card at 30.6%.
Key points about credit card issuance:
• In February 2021, around 5.49 lakh new credit cards were issued in India which shows a 47 per
cent year-on-year (y-o-y) decline, and the total credit card base stood at 61.6 million at the end of
February 2021, an 8 per cent y-o-y decline.
• There were a total of 6.16 crore outstanding credit cards as of February 2021 end compared to 6.03
crore at the end of December 2020.
• Worldline’s India Digital Payments Report in 2020 stated that 15 banks only accounted for the 95
per cent credit cards issued in India.
About HDFC Bank:
MD & CEO – Sashidhar Jagdishan
Tagline– We understand your world
About ICICI Bank:
PFRDA Plans to Raise the NPS’ Entry Age Limit to 70 years

The Pension Funds Regulatory and Development Authority (PFRDA) is planning to raise the maximum
age of entry into the National Pension System (NPS) to 70 years from 65 and plans to allow those who
join after the age of 60 to continue their NPS accounts till 75 years (Present age limit is 70).
It is expected that PFRDA may add around 10 million new subscribers in FY22 for NPS and Atal Pension
Yojana (APY) combined( Added 8.3 million in FY21) and it plans to increase the limit for full withdrawal
of the pension amount by Rs 5 lakh(Present limit Rs 2 lakh or less)
IFSCA Allowed NBFC’s Investment in GIFT City

In April 2021, the International Financial Services Centre Authority (IFSCA) allowed the Non-Banking
Finance Companies(NBFCs) (both local and global) to start their operations in Gujarat’s GIFT
City (Gujarat International Finance Tec-City) to enable the local NBFCs to get global exposure.
Key points:
i.Permitted Operations – Operations such as providing loans, investment banking, exotic derivative
trades, third-party product sale are permitted for NBFCs.
ii.They are also provided with flexibility in terms of competitive tax regime,ownership, and ability to
repatriate funds (send funds to other countries) freely.
iii.Earlier Banks, Foreign financial institutions and Reinsurance companies were only allowed to operate
under GIFT city and now NBFC also came under the list.
Some of the banks currently operating in GIFT city:
• Standard Chartered Bank (Foreign bank)
• State Bank of India (SBI), Bank of Baroda (Public sector banks)
• Axis Bank, HDFC Bank, ICICI Bank (Private banks)
Note – GIFT City hosted India’ first IFSC (International Finance Services Centre).

About NBFCs:
• NBFC is a company registered under the Companies Act, 1956 which is engaged in the business of
loans and advances, acquisition of shares/stocks/bonds/debentures/ securities issued by
Government or local authority or other marketable securities.
• Non-core activities of NBFCs include – portfolio management services, merchant banking services,
investment advisories, and trusteeship services.
About International Financial Services Centres Authority (IFSCA):
Establishment – April 27, 2020, under the International Financial Services Centres Authority Act, 2019.
Headquarters – GIFT City, Gandhinagar, Gujarat.
Chairman – Injeti Srinivas
IRDAI Allowed Investments in Debt Securities of InvITs, REITs

The Insurance Regulatory and Development Authority of India (IRDAI) allowed insurers to invest in
debt instruments which are issued by Infrastructure Investment Trusts (InvITs) and Real Estate
Investment Trusts (REITs).
Categories of Investment:
• Approved Investments: IRDAI has categorised the investments in debt instruments of InvITs and
REITs rated above AA as “approved investments”.
• Other investments: The instruments which are rated below AA are categorised as “other
investments”
Classification based on Ratings of assets:
• 75% of investments should be of AAA rated assets,
• 25% should be of AA or A rated asset,
• If needed to invest in instruments rated below AA, the insurer has to get approval from the IRDAI.
Other Regulations:
i.As per IRDAI’s regulation more than 10 per cent of the outstanding debt instruments cannot be
invested by the insurer in a single InvIT or Reit.
ii.The total investment of insurance companies i.e. investments in both units and debt instruments of
InvITs and REITs should not exceed 3 per cent of their total fund size.
iii.InvIT’s debt instruments will be classified as “Infrastructure Investment” and REITs’ will be a part of
industry group “Real Estate Activities”.
iv.If the sponsor of the InvITs and REIT is also the promoter of an insurance company then that
company cannot invest in the debt instruments of such InvITs and REITs.
v.The Investment in Debt Securities of InvITs/REITs shall be valued either as per FIMMDA or at
applicable market yield rates published by any Rating Agency registered with SEBI.
vi.The codes applicable under Category of Investment (COI) for Debt Instruments of InvITs and REITs
are:
Approved Investments
• D42: Debt Instruments of InvITs – IDIT
• D43: Debt Instruments of REITs – EDRT
Other Investments
• E31: Debt Instruments of InvITs – IOIT
• E32: Debt Instruments of REITs – ODRT
About Insurance Regulatory and Development Authority of India (IRDAI):
It is formed under the Insurance Regulatory and Development Authority Act, 1999 (IRDAI Act 1999) on
the recommendations of the Malhotra Committee.
Establishment – 1999(incorporated- 1st April 2000)
Headquarters – Hyderabad, Telangana
Chairman – Subhash Chandra Khuntia
Paytm Launched India’s 1st Video-based Wealth Community

On April 26, 2021, Paytm, the digital financial service company introduced India’s first video-based
wealth community for the users to interact with subject-matter experts in live sessions on different

wealth topics such as Initial public offering(IPO), Futures and Options(F&O), Exchange-traded
funds(ETFs), mutual funds, stocks, gold, fixed income, and personal finance.
• The Paytm wealth community will be owned and operated by One97 Communications Limited (OCL
Ltd) and the beta mode of the community was launched on the Paytm Money platform.
Feature of the Wealth community:
• The community provides 30-60 minute sessions conducted by creators along with live video
content on an interactive chat platform in different languages such as Hindi, English, Gujarati and
others.
• Through the platform, the users could clarify their doubts and learn by interacting with experts and
also can discuss with other users on the platform.
• In the beta phase, only a minimal number of creators were onboarded with KYC norms and
recorded/checked all their contents.
About Paytm:
Establishment – August 2010
Headquarters – Noida, Uttar Pradesh
Founder & CEO -Vijay Shekhar Sharma
SBI Mutual Fund Launched its Second Index Fund – SBI Nifty Next 50 Index Fund
On April 26, 2021, SBI Mutual Fund launched SBI Nifty Next 50 Index Fund an open-ended index
scheme. It is the second index fund of SBI Mutual Fund as it already has the SBI Nifty Index Fund under
the Exchange Traded Fund (ETF) category.
Objective: To enable the investors to invest in all securities under Nifty Next 50 Index with lower costs.
• The scheme would allow for the investment in all the securities (around 95% to 100%) covered by
the Nifty Next 50 Index.
• It also would cover around 5% investments in units of liquid mutual fund and Money Market
instruments (including commercial papers & bills, treasury bills, triparty repo, Government
securities (with one-year maturity), call or notice money, certificate of deposit, usance bills).
• The investment could be done daily, weekly, monthly, quarterly, semi-annual and annual SIP and
the amount required for application is about Rs 5,000.
About NIFTY Next 50:
• NIFTY Next 50, the flagship index of the National Stock Exchange’s (NSE) has completed its 25
years of journey on April 22, 2021, as it was launched on April 22, 1996.
• It is an index for companies on the NSE of India in which it represents 50 companies from NIFTY
100 after excluding the NIFTY 50 companies.
About SBI Mutual Fund:
It is a joint venture between the State Bank of India, and Amundi, a European asset management
company.
MD&CEO -Mr. Vinay M. Tonse
Tagline – A Partner for Life
Air Pollution Costs Indian Business Around 95 Billion USD Every Year: Study
The study by the Industry Group Confederation of Indian Industry (CII); Clean Air Fund, a charity and
Delberg, a consulting firm has released a study which states that the air pollution in India annually costs
Indian business around 95 Billion USD (~INR 7 lakh Crore), and around 3% of the Gross Domestic
Product(GDP) of India.
• The cost is equal to 50% of all tax collected annually, or 150% of India’s healthcare budget.
Findings of the study:
i.The air pollution also reduces the annual consumer spending by 22 billion USD.
ii.Annually the higher pollution level reduces around 1.3 billion USD from the IT sector of India in the
lost productivity.
iii.The report estimated that the IT sector will lose more than 2.5 USD every year if Delhi fails to clean its

toxic air.
Note:
• Delhi is the world’s most polluted capital.
• According to IQAir’s 2020 World Air Quality Report, 35 of the world’s 50 most polluted cities are in
India.
India Needs 401 Billion USD Capital Investment to Fight Climate Change: BofA’s Report
According to the report of Bank of America(BofA), India needs 401 Billion USD Capital investments as a
part of its measures to control pollution under the 2015 Paris Climate Agreement, to save 106 GW of
energy and 1.1 billion tonne greenhouse gases between 2015 and 2030.
• Bank of America(BofA) has identified 2 new themes in India’s combat against Pollution:
i.Blending Ethanol
ii.Green Hydrogen
• This is added to the existing 7 themes identified by BofA.
• The BofA reports expect India to step up its target to reduce the emission by 2047 and announce it
at the Climate Summit.
Effort of Government of India:
i.The Government of India had increased the ethanol blending with petrol ratio from 1.4% in 2014 to
5% in 2020, 10% by 2022 and to 25% by 2025.
ii.The government has also indicated plans to blend hydrogen with CNG and utilise CNG pipeline infra to
reduce hydrogen transportation cost.
iii.The non-fossil fuel-based energy installed power capacity has reached 38% against the target of the
Paris Agreement to achieve 40% by 2030.
Facts:
i.Railways which has set 100 per cent electrification target by FY23, has already recorded its highest
ever route electrification in FY21 at 6000 km, which is 14 per cent higher than the previous best in
FY19.
ii.On Renewable Energy front, India has set a target to generate 175GW by 2022 & 450GW 2030.
About Bank of America (BofA):
CEO– Brian Moynihan
Headquarters– Charlotte, North Carolina, United States
Govt Infused Rs 200 crore into IFCI to Improve its Financial Condition
In order to improve the financial health of the Industrial Finance Corporation of India (IFCI), in April
2021, the Government has infused Rs 200 crore capital in IFCI through issue of equity shares. After the
capital infusion, the government’s holding in IFCI was increased from 61.02 per cent to 63.8 per cent.
Background: In the budget of FY21, the government had committed for fundingRs 200 crore to IFCI. In
March 2020 also, the government infused Rs 200 crore.
About IFCI’s financial status in Q3FY21:
• Loss: In the third quarter (Q3) of FY21, IFCI has recorded a consolidated net loss of Rs 717.99 crore
as compared with the net profit of Rs 335.38 crore in Q3FY20
• Income: The consolidated total income of IFCI for Q3FY21 shows an 11.2 per cent decrease from its
Q3FY20’s net income i.e. from Rs 687.36 crore to Rs 610.12.
Key points about IFCI:
• IFCI, India’s oldest term lender was set up as a Statutory Corporation in 1948 for providing
medium and long term finance to the industry.
• Currently, IFCI is a Government Company as Government is holding 63.08% of the paid-up capital
of IFCI.
• IFCI is also registered with the Reserve Bank of India (RBI) as a Systemically Important Non-
Deposit taking Non-Banking Finance Company (NBFC-ND-SI)

About The Industrial Finance Corporation of India (IFCI):
Deputy Managing Director – Shri Sunil Kumar Bansal
ADB provided $1.5 billion to India to deal with pandemic

The latest Annual Report of Asian Development Bank(ADB) released on 27th April 2021 showed that
ADB had provided $1.5 billion(~Rs 1.11 lakh crore) to India in supporting the response to tackle
covid-19.
About the funding:
i.In 2020,ADB has committed to provide $31.6 billion to help Asia and the Pacific to tackle Covid-19
outbreak and to support a green, sustainable recovery from the pandemic and address long term
development challenges.
ii.The $31.6-billion ADB committed from its own resources in 2020 was 32 percent higher than 2019’s
$24 billion.
iii.Half of ADB’s 2020 commitments i.e $16.1 billion, was targeted for pandemic response, and the
rest was for helping developing member countries (DMCs) to address the long-term development
agenda, such as advancing gender equality, tackling climate change, and investing in quality
infrastructure
iv.The $1.5 billion financing to India is a part of the ADB’s $16.1 billion pandemic response in 2020
through a $20 billion assistance package announced by ADB in April 2020 to help its 26 member
countries in managing the pandemic.
Private sector Funds:
Apart from this,ADB has supported private sectors by providing $2.9 billion out of the $16.1 billion
which included direct support to private sector companies, as well as through trade and supply chain
finance to keep trade networks functioning.
ADB had also launched a $9 billion facility to support access to safe and effective vaccines and their
equitable and efficient delivery.
• To fund these commitments, ADB implemented the largest borrowing programme in its history by
raising $35.8 billion through local currency bonds and green, gender, health, and water bonds.
• The bank also mobilised record co-financing of $16.4 billion, which included $10.8 billion for Covid-
19 response, from peer international organisations and private financial institutions.
FSS and NIPL Partner to Expand UPI in International Market

Financial Software and Systems (FSS), India’s largest payments processor, and NPCI International
Payments Ltd (NIPL), the International arm of National Payment Corporation of India(NPCI) made a
partnership to expand Unified Payment Interface (UPI) rails in international markets.
• Under the partnehip, in order to implement large-scale national payments infrastructure and to
provide UPI payment services for Payment service providers(PSPs), FSS will use its experience and
understanding.
• NIPL will provide its real-time payments processing platform along with its technical acumen to
scheme operators.
About Unified Payments Interface (UPI):
• It is an instant real-time payment system developed by NPCI facilitating inter-bank transactions. It
is regulated by the Reserve Bank of India(RBI) and works by instantly transferring funds between
two bank accounts on a mobile platform.
• India’s UPI processed transactions in 2020 are equivalent to 15% of GDP (worth $457 billion) with
a 285% Compound annual growth rate (CAGR)
About Financial Software and Systems (FSS):
Founder, Chairman and Managing Director – Nagaraj Mylandla

About NPCI International Payments Ltd (NIPL):
It is the first wholly-owned subsidiary of NPCI that takes care of deployment of the RuPay card scheme
and UPI outside of India.
Establishment – April 3, 2020
CEO – Ritesh Shukla
Google Announced Rs 135 Crore Fund to Tackle the COVID-19 crisis in India
Sundar Pichai, Chief Executive Officer (CEO) of Google and Alphabet, announced that Google will
provide around Rs 135 crore as an aid to India to tackle the COVID-19 crisis in India. Google’s fund will
help India to procure medical supplies including oxygen and testing equipment.
About the fund:
i.This funding includes 2 grants of a total value Rs 20 crore from Google.org, the philanthropic arm of
Google, these 2 grants will go to
• GiveIndia to provide cash assistance to the affected families
• United Nations Children’s Fund (UNICEF) to support the need for urgent medical supplies
ii.The ongoing “Employee giving campaign” of Google has contributed Rs 3.7 crore to support the
high risk and marginalised communities.
iii.The fund also includes the additional Rs 112 in Ad Grant to local health authorities and non-profits
for more language coverage options to support public health information campaigns.
Mastercard announced 10 million USD fund to India:
i.Mastercard, the US-based multinational financial service company, has announced a 10 Million USD
fund to support India’s combat against the COVID-19 crisis.
iiThe fund will be delivered through Mastercard Impact Fund.
iii.The fund will be used for
• Access to hospital resources.
• Access to additional oxygen supplies
• Support to the Mastercard employees across India.
iv.As a part of its corporate efforts, Mastercard will fund the additional shipments of 1000 oxygen
generators.
About Google:
CEO– SundarPichai
Headquarters– California, United States
ADB Projected 11% GDP growth for India in FY22

Asian Development Outlook (ADO), 2021 was released by Asian Development Bank (ADB) on April 26,
2021, in which it forecasted the Indian economy to grow at 11 per cent in FY22 increased from 8%
earlier and it also predicted a GDP expansion in FY22 at 7 per cent. It also pointed out the risk in
economic recovery due to an increase in COVID-19 cases.
Key points of the ADO on Economic Growth:
• Developing Asia: The economic growth in developing Asia is recovering to 7.3 per cent in 2021
followed by a 0.2 per cent contraction in 2020. Developing Asia includes newly industrialized
economies, it consists of 46 members of the ADB list.
• South Asia: GDP growth of South Asia for 2021 is expected to be 9.5 per cent following a
contraction of 6 per cent in 2020 and expects 6.6 per cent growth in 2022.
• East Asia: East Asia’s GDP is expected to grow at 7.4 per cent in 2021 and 5.1 per cent in 2022
• China: China’s GDP expansion is predicted to 8.1 per cent in 2021 and 5.5 per cent in 2022.
Cost of vaccinating India’s entire population above 18 years 0.36% of GDP: Ind-Ra
The India Ratings and Research (Ind-Ra) recently said the estimated cost to vaccinate all the Indians
of age 18 years will be Rs 67,193 crores. This is 0.36% of the GDP of the country.
• With this, the total size of population eligible for vaccination is 84.19 crores.
• The Union Government will incur Rs 20,870 crores of the cost (12% of GDP)and the state
government shall incur Rs 46,323 crores(0.24% of GDP).

• Highest burden would fall on Bihar at 0.6% of gross state domestic product (GSDP), followed by
Uttar Pradesh at 0.47% and Jharkhand at 0.37% of GSDP.
Axis Bank Board Approved the Reclassification of NIACL from Promoter to Public Investor
On April 28, 2021, The board of Axis Bank approved the reclassification of New India Assurance Co Ltd (NIACL)
from promoter category to public category investor.
• As of April 22, 2021, 0.67 per cent of the total issued and paid-up equity share capital of the Axis bank was
held by NIACL.
• The approval of the stock exchanges, statutory/regulatory authorities and shareholders of the bank are also
subjected to reclassification.
• Re-classification of Promoters as Public is done based on the regulatory norms of SEBI.
Background: NIACL has requested Axis Bank to reclassify it to a public category from promoter category
investor.
About Promoter and Public:
• The Companies Act, 2013 defines a Promoter as one/more people who have control over the affairs of the
company, directly or indirectly.
• They will plan the business, carry out all the legal formalities that are required to be fulfilled, and ensure that
the business is running at the desired pace.
• The persons other than the promoter and promoter group, subsidiaries and associates of the company are
called public and the public shareholding defines the equity shares of the company held by the public.
About Axis Bank:
Commenced operations – 1994(founded – 1993)
Tagline – Badhtika Naam Zindagi
About New India Assurance Co Ltd (NIACL):
Chairman & MD – Atul Sahai
Govt Retained the GPF Interest Rate Unchanged at 7.1% for Q1 FY22
Ministry of Finance, Government of India(GoI) retained the General Provident Fund (GPF) and other non-
government PF, Gratuity funds interest rate unchanged at 7.1 per cent for the first quarter Q1 of FY22.
• In April 2020, the GPF interest rate was changed from 7.9 per cent to 7.1 per cent and after that, the interest
rate was being unchanged consecutively for 5 quarters.
• In April 2021, the Finance Ministry has also retained the Interest Rate of Small Savings Scheme for
Q1FY22. Click here to know more
The 10 funds which are applicable for interest rates:
• General Provident Fund (Central Services)
• Contributory Provident Fund (India)
• All India Services Provident Fund
• State Railway Provident Fund
• General Provident Fund (Defence Services)
• Indian Ordnance Department Provident Fund
• Indian Ordnance Factories Workmen’s Provident Fund
• Indian Naval Dockyard Workmen’s Provident Fund
• Defence Services Officers Provident Fund and
• Armed Forces Personnel Provident Fund
About General Provident Fund (GPF):
• GPF is a saving instrument only for government employees, they can contribute a portion of his/her salary
regularly till the time he/she is employed. On retirement, the employer transfers the total accumulated
amount in the GPF account to the employee.
• Before retirement, if an individual can withdraw the money, he should have been in services for at least 10
years.
• The interest income earned on the GPF amount is exempted under Section 80C of the Income Tax Act, 1961.
• Note – Private sector company employee is not eligible for the GPF

• 3 types of Provident Fund are – General Provident Fund (GPF), Public Provident Fund (PPF), and Employees
Provident Fund (EPF).
ICICI Bank Launched Digital Banking Service for Merchants – ‘Merchant Stack’
On April 29, 2021, ICICI Bank launched ‘Merchant Stack’, a digital banking services as a continuation of its ‘ICICI
Stack’, for retail merchants especially for the Micro, Small and Medium Enterprises (MSMEs) and Entrepreneurs.
Objective: To enable the merchants such as grocers, supermarkets, large retail store chains, online businesses
and large e-commerce firms to serve their customers continuously under pandemic using contactless banking
services.
Important components of ‘Merchant Stack’:
• A new account called – Super Merchant Current Account
• 2 Instant credit facilities based on Point of Sale (POS) transactions – Merchant Overdraft and Express Credit
• Digital Store Management facility to support merchants in online business
• The loyalty rewards programme in alliances with major e-commerce and digital marketing platforms.
InstaBIZ: The benefits of Merchant Stack could be availed by downloading the InstaBIZ app, the app will be
accessible on ICICI’s Corporate Internet Banking (CIB) platform also.
Note – The bank has stated the existence of 2 crore merchants in India with ~$780 billion in value transaction in
2020.
Indian Bank Signed an MoU with BSNL to Provide Telecom Services

Indian Bank signed a Memorandum of Understanding(MoU) with Bharat Sanchar Nigam Limited(BSNL) to
provide telecom services to the bank at a competitive rate.
The MoU was signed in the presence of the executive director of Indian Bank and chief general manager of BSNL
Chennai Telephones.
Note:
Indian bank already uses the service of BSNL and Mahanagar Telephone Nigam Ltd (MTNL) for the Wide Area
Network (WAN) across India.
About Indian Bank:
MD & CEO- PadmajaChunduru
Executive Director– ShenoyVishwanath V
Founded in– 1907
Banking, Finance & Economy Q&A: April 2021

1.To which country the New Development Bank approved a loan worth USD 1 Billion as covid-19
assistance, during the 6th Annual meeting of the Board of Governors of NDB that was virtually
attended by Nirmala Sitharaman?
1) India
2) Russia
3) Vietnam
4) Brazil
5) Indonesia
Answer- 2) Russia
Explanation:
Finance Minister, Nirmala Sitharaman attended the 6th Annual meeting of the Board of Governors of
New Development Bank (NDB, formerly known as BRICS Development Bank), 2021 through video-
conference in New Delhi. Due to pandemic, the Annual meeting took place in a virtual format.NDB
approved a loan of up to USD 1 Billion to support healthcare workers treating patients for COVID-19 in
Russia.

2.Which bank partnered (in Mar’21) with Tide India platform to provide bank accounts for the
Small & Medium Enterprise (SME) customers of Tide India?
1) DCB Bank
2) IDFC First Bank
3) IndusInd Bank
4) RBL Bank
5) South Indian Bank
Answer- 4) RBL Bank
Explanation:
RBL Bank, a Private sector lender, collaborated with UK based business banking fintech Tide Platform
Limited (Tide) to provide bank account infrastructure to Tide’s India platform, which is focused to serve
mainly small and medium enterprises(SMEs). Tide’s first market outside the UK, is India due to India’s
vast SME population. Under this tie-up, RBL Bank will provide options for the SMEs to open current and
savings accounts.
3.Which Small Finance Bank (SFB) will offer the mobile app, ‘nLincs’ to its customers under its
recently (in Mar’21) partnership with nStore Technologies?
1) Ujjivan SFB
2) Equitas SFB
3) AU SFB
4) Janalakshmi SFB
5) Suryoday SFB
Answer- 1) Ujjivan SFB
Explanation:
Ujjivan Small Finance Bank (Ujjivan SFB) partnered with nStore Technologies Private Limited (nStore)to
digitise offline retailers and small businesses in India.Under this collaboration, Ujjivan SFB will offer the
mobile application ‘nLincs’, to its current account holders who own local businesses and enable them to
sell their products online.Digital banking services like merchant QR, Current Account & Overdraft (OD)
facilities can also be availed by business entities.
4.To limit the market share of dominant UPI apps, NPCI has set a limit of _______ in the total
volume of UPI transactions that can be handled by an app, which need to be attained by the end
of 2022.
1) 40%
2) 15%
3) 20%
4) 30%
5) 25%
Answer- 4) 30%
Explanation:
National Payments Corporation of India’s (NPCI) has defined its guidelines and exemptions on the 30%
market cap on Unified Payments Interface (UPI) transactions for third-party app providers (TPAPs) to
limit the volume and value of transactions per customer, which need to be attained by the end of
2022.Phone Pe and Google Pay accounted for 80% of overall transactions in the month of December
2020.
5.Which company recently (in Mar’21) signed an MoU with GIFT Special Economic Zone (SEZ) Ltd
to mentor financial services professionals in GIFT City?
1) Keynote Corporate Services Ltd
2) HDFC Asset Management Co. Ltd
3) Jindal Leasefin Ltd
4) NSE Academy Ltd
5) IIFL Holdings Ltd

Answer- 4) NSE Academy Ltd
Explanation:
NSE Academy Limited (NAL), wholly owned subsidiary of the National Stock Exchange(NSE) signed an
MoU with GIFT Special Economic Zone (SEZ) Limited, a wholly owned subsidiary of Gujarat
International Finance Tec-City Co. Ltd (GIFT city) to mentor financial services professionals in GIFT City.
6. Which bank signed a $1 billion loan agreement (in Mar’21) with Japan Bank for International
Cooperation (JBIC) to provide loans to Japanese automobile manufacturers in India?
1) HDFC Bank
2) Canara Bank
3) Indian Bank
4) State Bank of India
5) Punjab National Bank
Answer- 4) State Bank of India
Explanation:
On March 31, 2021, the State Bank of India (SBI) signed a loan agreement of $1 billion with the Japan
Bank for International Cooperation (JBIC) to provide loans for the whole range of business operations of
the Japanese automobile manufacturers in India. In October 2020, SBI made a similar $1 billion loan
agreement with JBIC. After the current loan agreement, the total loan facility is now about $2 billion.
7.What was the GDP growth projected for India in FY-2022 as per the UN-ESCAP’s “Economic and
Social Survey of Asia and the Pacific 2021: Towards post-COVID-19 resilient economies” report?
1) 7%
2) 5.6%
3) 7.7%
4) 8.2%
5) 6.1%
Answer- 1) 7%
Explanation:
The United Nations Economic and Social Commission for Asia and the Pacific (UN-ESCAP) reported the
survey on economic growth over Asia and the pacific region the report titled “Economic and Social
Survey of Asia and the Pacific 2021: Towards post-COVID-19 resilient economies”.The report has
forecasted the Indian economy to grow at 7% in FY22 against a contraction of 7.7%(-7.7%) in FY21.It
reported a “K-shaped recovery” in the economics of the Asia Pacific region, including India.
8. What was the interest rate set by the Finance Ministry for Post Office Savings Account for the 1st
Quarter of FY-22?
1) 7.6%
2) 6.1%
3) 4.0%
4) 5.6%
5) 7.1%
Answer- 3) 4.0%
Explanation:
The Ministry of Finance had retained the Interest Rate of Small Savings Scheme for the 1st quarter(Q1) for the
Financial Year 2021-22 (FY22) same as 4th quarter (Q4) for the Financial Year 2020-21 (FY 21).
Schemes Rates of Interest from 1st April, 2021 to Compounding
30th June, 2021 Frequency
Post Office Savings Account (SB) 4.00% Annually
Senior Citizens Savings Scheme 7.40% Quarterly and Paid
Account (SCSS)
Public Provident Fund Account (PPF) 7.10% Annually

9.Which bank(s) partnered with e-commerce major Amazon & Visa cards (in Mar’21) to launch a
New Umbrella Entity (NUE) for retail payments?
1) ICICI Bank
2) HDFC Bank
3) Axis Bank
4) Only 1 & 2
5) Only 1 & 3
Answer- 5) Only 1 & 3
Explanation:
On March 31, 2021, ICICI Bank and Axis Bank, have tied up to launch a New Umbrella Entity (NUE) for
retail payments along with global e-commerce major Amazon & Visa as their partners.
10. What was the amount allocated by RBI for the 1st half of FY22 for its temporary loan facility,
“Ways and Means Advances” (WMA)?
1) Rs. 1.75 lakh crores
5) Rs. 2 lakh crores
Answer- 3) Rs. 1.2 lakh crores
Explanation:
RBI decided the limits for Ways and Means Advances (WMA) for the Center to the pre-pandemic level of
Rs 1.2 lakh crore for the 1st half of the FY22. i.e. April 2021 to September 2021.The RBI provides
temporary loans to the central & state governments through the facility called “Ways and Means
Advances” (WMA).
11. What was the deadline set by RBI (in Mar’21) for Banking entities to implement e-Mandate
services to the customers for recurring payments?
1) September 30, 2021
2) April 30, 2021
3) July 31, 2021
4) October 1, 2021
5) August 1, 2021
Answer- 1) September 30, 2021
Explanation:
RBI extended the timeline for Banks to move to the new norms for Additional Factor Authentication
(AFA) on e-Mandate for recurring payments through online transactions by 6 months i.e. till September
30, 2021. e-Mandate / e-Nach is a digital payment service for banks to collect recurring payments (like
insurance premiums, bill payments, loan instalment collections) from their customers without any
human intervention.
12. What was the estimated GDP growth for India as per the World Bank’s report, “Sour Asia
Economic Focus Spring 2021: South Asia Vaccinates” that was released in March 2021?
1) 10.1%
2) 7.5%
3) 12.5%
4) 8.8%
5) 13.35%
Answer- 1) 10.1%
Explanation:
The World Bank reported its South Asia Economic Focus report for the year 2021, titled “Sour Asia
Economic Focus Spring 2021: South Asia Vaccinates” that estimates India’s GDP (Gross Domestic

Product) to grow by 10.1% in FY-22 due to private consumption and investment growth.It also
estimated India’s growth to be in the range of 7.5% to 12.5% for the Financial year 2021-22 (FY22).
13. Who is the present (as of Apr’21) Chairman & Managing Director of Jammu & Kashmir (J&K)
Bank, whose tenure has been extended by 6 months by RBI in March 2021?
1) Parvez Ahmed
2) Shyam Srinivasan
3) R K Chhibber
4) V. G. Mathew
5) Sumant Kathpalia
Answer- 3) R K Chhibber
Explanation:
On March 31, 2021, Reserved Bank of India (RBI), had extended the tenure of Rajesh Kumar Chhibber (R
K Chhibber), the Chairman & Managing Director (CMD) of Jammu & Kashmir (J&K) Bank by 6 months or
till the appointment of MD & CEO whichever is earlier.
14._________ announced the inflation rate of 4% with a +/- 2% tolerance band for the next _____
years.
1) Govt. of India, 2 years
2) Reserve Bank of India, 2 years
4) Reserve Bank of India, 5 years
Answer- 3) Govt. of India, 5 years
Explanation:
On April 1,2021, Government of India has decided to continue the existing inflation-targeting framework
which fixed the inflation target (price stability) of 4% with a +/- 2% tolerance band (in the range of 2%
– 6%) for the next 5 fiscal years i.e. FY22 to FY26.Indian Govt. has allocated ₹12.05 trillion as the total
Gross borrowing target for FY22, of which 60% will be borrowed by the 1st half (September) of the year.
15. Name the newly formed (in Apr’21) company, a wholly-owned subsidiary of National
Payments Corporation of India (NPCI).
1) NPCI Aadhaar Enabled Payment System Ltd
2) NPCI Bharat BillPay Ltd
3) NPCI BHIM Aadhaar Ltd
4) NPCI National Financial Switch Ltd
5) NPCI Immediate Payment Service Ltd
Answer- 2) NPCI Bharat BillPay Ltd
Explanation:
On April 01, 2021, The National Payments Corporation of India (NPCI) formed its wholly-owned
subsidiary firm called NPCI Bharat BillPay Limited (NBBL) to offer recurring payment services. NPCI
transferred all its Bharat Bill Payment System (BBPS) transaction mandates to the newly formed
subsidiary.It has a paid-up capital of Rs 5 lakh and a Share capital of Rs 1 crore.
16.UK’s CDC Group & India’s Northern Arc Capital Ltd entered into a partnership (in Apr’21),
through which CDC group will invest Rs. 320 crores in 6 of India’s leading Microfinancing
Institutions. What is the financial tool used in this investment?
1) Secured Debentures
2) Non-Convertible Debentures
3) Non-Redeemable Debentures
4) Convertible Debentures
5) Redeemable Debentures
Answer- 2) Non-Convertible Debentures

Explanation:
The CDC Group, the UK government’s development finance institution, has made a partnership with
Northern Arc Capital Limited(NACL) from India, for investing a total of Rs 320 crore under pooled bond
issuance (PBI) through Non-Convertible Debentures (“NCDs”) to support 6 leading Indian microfinance
institutions(MFIs). The investment will support MFIs by providing over 6.3 lakh micro-loans to low-
income households.
17.What was India’s Current Account Deficit (as per RBI) during the Q3FY21 due to the COVID-
19’s impact on trade?
1) $ 5.7 billion
2) $ 3.4 billion
3) $ 5 billion
4) $1.7 billion
5) $ 2.8 billion
Answer- 4) $1.7 billion
Explanation:
As per the RBI’s report “Developments in India’s Balance of Payments during the Third Quarter
(October-December) of 2020-21(Q3FY21)” on March 31, 2021, India has recorded a current account
balance deficit of $1.7 billion (i.e. 0.2% of GDP) in Q3FY21 due to the COVID-19’s impact on trade.
18. In April 2021, India contributed USD 300,000 to UN-Women. Which of the following points
listed are correct with respect to the UN?
a) T.S. Tirumurti is India’s Permanent Secretary to the United Nations
b) India & China were elected as Members of the UN Commission on Status of Women for 4-year
term
c) Phumzile Mlambo-Ngcuka is the present Executive Director of UN Women
1) Only b
2) Only b & c
3) Only a & b
4) All a, b & c
5) Only a & c
Answer- 5) Only a & c
Explanation:
T.S. Tirumurti, India’s Permanent Secretary to the United Nations (UN) stated that India has contributed
USD 300,000 (~ INR 2.2 Crores) to the UN Entity for Gender Equality and the Empowerment of Women
(also known as UN Women). In September 2020, India & Afghanistan were elected as Members of the UN
Commission on Status of Women, a body of the Economic and Social Council (ECOSOC) for a 4-year term.
About UN Women:
Executive Director – Phumzile Mlambo-Ngcuka
19.What is the World Merchandise Trade Volume growth for 2021, projected by WTO (as of
Apr’21)?
1) 0.2%
2) 5.3%
3) 8.0%
4) 4.0%
5) 3.45%
Answer- 3) 8.0%
Explanation:
World Trade Organisation (WTO), revised its global merchandise trade volume growth for 2021 to 8%
from the earlier forecast of 7.2% in October 2020.

2019 2020 2021 2022
Annual % of World Merchandise Trade volume 0.2
-5.3 8 4
On 15th February 2021, Ngozi Okonjo-Iweala from Nigeria was appointed as the 7th Director-General of
WTO.
About WTO:
Headquarters – Geneva, Switzerland
Establishment – 1 January 1995
20.What was the change made by RBI for supervising Indian Payment Companies, after the leak
of financial data of 200 million Indian users from JusPay & Mobikwik?
1) Companies shall include 3D Secure authentication
2) Companies shall provide Compliance Certificate once in 2-years
3) Companies shall include 3D Secure & Address Verification Service
4) Companies shall provide Compliance Certificate twice in 1-year
5) Companies shall include Address Verification Service
Answer- 4) Companies shall provide Compliance Certificate twice in 1-year
Explanation:
Following the rise in cyber-security breaches at Indian tech startups over the last few months, the
Reserve Bank of India (RBI) has tightened its supervision norms over Payment companies that are
storing customer data.As per RBI’s norms, from April 1, 2021, all licensed payment system operators
(PSOs) have to submit detailed “compliance certificates” to the RBI twice a year.These norms came after
when the financial data of about 200 million Indian users were breached (especially from the systems of
JusPay and Mobikwik).
21.In April 2021, _____________ approved loan worth USD 32 Mn to ________ for improving its
management capacity & quality of health services.
1) World Bank, Mizoram
2) Asian Development Bank, Rajasthan
3) Asian Infrastructure Investment Bank, Punjab
4) Asian Infrastructure Investment Bank, Mizoram
5) World Bank, Punjab
Answer- 1) World Bank, Mizoram
Explanation:
In April, 2021, the World Bank Board of Executive Directors approved a USD 32 Mn (~INR 234.80
Crores) Project ‘Mizoram Health Systems Strengthening Project’ for improving management capacity
and quality of health services in Mizoram.The project will help Mizoram to improve quality certification
at health facilities, enhance human resources, improve health insurance and other innovations.
About World Bank:
Headquarters – Washington D.C., USA
22.Which state govt. recently (in Apr’21) got approval for financial assistance from the World
Bank & Asian Infrastructure Investment Bank (AIIB) for its USD 300 mn canal-based drinking
water projects?
1) Mizoram
2) Rajasthan
3) Gujarat
4) Punjab
5) Tamil Nadu
Answer- 4) Punjab

Explanation:
International Bank for Reconstruction and Development (IBRD) of World Bank & Asian Infrastructure
Investment Bank (AIIB) have approved the loan for the 300 Million USD (around Rs.2190 crore) for the
canal-based drinking water projects in Punjab: Amritsar Project & Ludhiana Project.
About Asian Infrastructure Investment Bank (AIIB):
About World Bank:
President– David Malpass
Headquarters– Washington DC, USA
President– Jin Liqun
Headquarters– Beijing, China
23.Which payment company recently (in Apr’21) allowed its customers in the USA to trade with
Cryptocurrencies?
1) Amazon Pay
2) PayPal
3) Google Pay
4) Stripe
5) Apple Pay
Answer- 2) PayPal
Explanation:
PayPal, started to allow U.S. consumers to use their cryptocurrency holdings to pay its online merchants
globally.
24.India’s fiscal deficit for 11 months of the FY21 reached 76% of the revised estimated fiscal
deficit. What was the revised estimated Fiscal Deficit of India for FY-21 (Apr’20-Mar’21)?
1) Rs 12.05 lakh crore
Answer- 3) Rs 18.48 lakh crore
Explanation:
In March, 2021 the Controller General of Accounts (CGA), notified the fiscal deficit for the 11months of
FY21(Apr – Feb) stood at Rs 14.05 lakh crore which is about 76% of the revised estimates of Rs 18.48
lakh crore (9.5% of the GDP).Govt. in consultation with the RBI decided to borrow ₹7.24-lakh crore for
the 1st six months of FY22. As per budget 2021-22, the government’s gross market borrowing will be Rs
12.05 lakh crore.
25.Which bank recently (in Apr’21) acquired the Rs.1200 crores worth Santacruz centre of
Reliance Infrastructure Limited (RInfra) for non-payment of loans?
1) YES Bank
2) IDBI Bank
3) IDFC First Bank
4) Axis Bank
5) IndusInd Bank
Answer- 1) YES Bank
Explanation:
YES Bank bought the Reliance Centre of Reliance Infrastructure Limited (RInfra) at Santacruz, Mumbai,
Maharashtra for Rs.1200 crores.
This comes as a result of YES bank's demand notice to Reliance Infrastructure Ltd that was issued on 6th
May 2020, for non-payment of loans amounting to Rs. 2,892 crore.

26. The Finance Ministry has extended the validity of the Stand-Up India Scheme till 2025, where
it also announced that Rs. 25,586 Crore Loans to over 1.14 Lakh Accounts were distributed under
the scheme.
Identify the points which are precisely linked to the Stand-Up India Scheme:
A) The bank loan scheme was introduced in 2016 with a maximum repayment period of 7 years.
B) Loans are provided only for Greenfield projects.
C) Bank loans up to Rs. 10 lakhs can be availed by SC, ST & Women borrowers from Scheduled
Commercial Banks.
1) Only C
2) Only A & C
3) All A, B & C
4) Only B & C
5) Only A & B
Answer- 5) Only A & B
Explanation:
Finance Ministry has stated that Banks have sanctioned more than INR 25, 586 Crore Loans to over 1.14
Lakh Accounts (Till March 23, 2021) under the Stand-Up India Scheme since its launch in 2016.
Simultaneously, the government extended the validity of the Stand-Up India Scheme till 2025.
• Bank loans between INR 10 Lakh & INR 1 Crore to at least one SC/ST borrower & at least one-
woman borrower per bank branch of Scheduled Commercial Banks.
• Loans under the scheme are available for only greenfield projects.
• Repayment Period – Maximum of 7 years
27.On March 31, 2021, The Government of India has infused Rs 14,500 crore in 4 weak Public
Sector Banks (PSBs) by issuing non-interest-bearing Zero-Coupon Recapitalisation Bonds.
Pick the points that precisely match with Govt. recapitalisation:
A) 4 PSB’s – United Bank of India, Indian Overseas Bank, Bank of India & UCO Bank
B) Govt. has allocated Rs. 20,000 crores for FY-22 for capital infusion in PSBs for meeting
regulatory requirements.
C) Zero-Coupon Recapitalisation Bonds are Tradable bonds, through which weak PSB’s can raise
money
1) Only A & B
2) Only A & C
3) Only C
4) Only B
5) Only B & C
Answer- 4) Only B
Explanation:
On March 31, 2021, The Government of India(GOI) has infused Rs 14,500 crore ($1.98 billion) in 4 weak
Public Sector Banks (PSBs) by issuing them non-interest-bearing Zero-Coupon Recapitalisation Bonds
with maturities between March 31, 2031, and March 31, 2036.
· 4-Banks: Central Bank of India, Indian Overseas Bank (IOB), Bank of India & UCO Bank.
· 3 of the 4 PSB’s namely IOB, Central Bank of India and UCO Bank are currently under RBI’s prompt
corrective action (PCA) framework.
· For FY22, the government had allocated Rs 20,000 crore for capital infusion into the public sector
banks for meeting regulatory requirements.
· Zero-Coupon Recapitalisation Bonds are bonds that are non-tradable & non-transferable which will
be limited only to a specific bank for a specified period.
28.Which financial institution recently (in Apr’21) invested $137 million in India’s Green Growth
Equity Fund (GGEF), that is managed by EverSource Capital?
1) Reconstruction Finance Corporation (RFC)
2) Dutch Entrepreneurial Development Bank (FMO)

3) Korea Development Bank (KDB)
4) European Investment Bank (EIB)
5) Japan Bank for International Cooperation (JBIC)
Answer- 2) Dutch Entrepreneurial Development Bank (FMO)
Explanation:
On April 2, 2021, Dutch entrepreneurial development bank (FMO) invested $137 million (~ Rs 1000
crore) in India’s Green Growth Equity Fund (GGEF), managed by EverSource Capital, to invest in India’
green energy space such as clean energy, transportation, resource efficiency and energy services.
About EverSource Capital:
It is the fund manager of GGEF and it aims to raise a total of $940 million
GGEF’s anchor investors – India’s National Investments and Infrastructure Fund (NIIF) and the UK’s
Department for International Development.
29. As per the, ‘The Insolvency and Bankruptcy Code (Amendment) Ordinance, 2021’, Corporate
debtors can initiate Pre-Packaged Insolvency Resolution Process (PIRP) on ____________ with
maximum default of __________.
1) Non-Banking Financial Company (NBFC), Rs. 10 crore
2) Micro, Small & Medium Enterprises (MSME), Rs. 10 crore
3) Non-Banking Financial Company (NBFC), Rs. 1 crore
4) Micro Finance Institutions, Rs. 10 crore
5) Micro, Small & Medium Enterprises (MSME), Rs. 1 crore
Answer- 5) Micro, Small & Medium Enterprises (MSME), Rs. 1 crore
Explanation:
The government of India has promulgated an Ordinance - ‘The Insolvency and Bankruptcy Code
(Amendment) Ordinance, 2021’ to allow ‘Pre-Packaged Insolvency Resolution Process (PIRP)’ to Micro,
Small & Medium Enterprises (MSME).
· Corporate Debtors of the MSME can initiate PIRP on MSMEs with a maximum default value of INR 1
Crore.
· Insolvency proceedings include 90 days to submit a resolution plan & 120 days for the entire
process.
30.What is the average base rate set by RBI for loans lent by Non-Banking Financial Company –
Micro Finance Institutions (NBFC-MFIs) for the 1st quarter of Financial Year 2022 (Q1FY22)?
1) 7.81%
2) 8.76%
3) 6.25%
4) 6.67%
5) 7.69%
Answer- 1) 7.81%
Explanation:
RBI informed 7.81% as the applicable average base rate to be charged for the loans that are borrowed
from Non-Banking Financial Company – Micro Finance Institutions (NBFC-MFIs) for the 1st quarter of
Financial Year 2022 (Q1FY22).
· In Q1FY21 the base rate was about 8.76%.
· To register as an NBFC, the MFI needs to have a Minimum Net Owned Funds (NOF) of Rs. 5 crores.
31. ________ released guidelines to Asset Management Companies for setting-up Limited Purpose
Clearing Corporation (LPCC) in Mutual Funds with a share capital of _________.
1) Securities and Exchange Board of India (SEBI), Rs. 200 crores
2) Reserve Bank of India (RBI), Rs. 250 crores
3) Securities and Exchange Board of India (SEBI), Rs. 150 crores

4) Mutual Fund Advisory Committee (MFAC), Rs. 250 crores
5) Mutual Fund Advisory Committee (MFAC), Rs. 150 crores
Answer- 3) Securities and Exchange Board of India (SEBI), Rs. 150 crores
Explanation:
Securities and Exchange Board of India (SEBI) modified its framework relating to the guidelines on
contribution to set up Limited Purpose Clearing Corporation (LPCC) by Asset Management Companies
(AMCs) of Mutual Funds(MFs).
· AMCs were required to contribute ₹150 crores as share capital for setting up of LPCC by mutual
funds.
32.What was the growth rate projected for India in FY-22 as per the International Monetary Fund
(IMF)’s “World Economic Outlook” report?
1) 6.9%
2) 12.5%
3) 11.5%
4) 7.77%
5) 9.09%
Answer- 2) 12.5%
Explanation:
International Monetary Fund (IMF) in its biannual World Economic Outlook report has hiked its growth
projection of India for FY22 by 1% to 12.5% from 11.5% of its January 2021 estimation, due to the
normalization of economic activity.
· GDP forecast for FY23 was revised to 6.9% from 6.8%.
· Global economy to grow at 4.4% in 2022.
Headquarter – Washington, USA
33. Which country virtually hosted 2021’s 1st Meeting of BRICS Finance Ministers and Central
Bank Governors?
1) Brazil
2) Russia
3) India
4) China
5) South Africa
Answer- 3) India
Explanation:
On April 6, 2021, India hosted a 2021’s 1st Meeting of BRICS Finance Ministers and Central Bank
Governors virtually from New Delhi. Union Minister for Finance & Corporate Affairs, Nirmala
Sitharaman & Governor of RBI, Shaktikanta Das Chaired the meeting.
· India held the Chairmanship of BRICS for 2021 & will host the 13th BRICS Summit 2021.
34. Nirmala Sitharaman virtually participated in the 2nd G20 Finance Ministers & Central Bank
Governors (FMCBG) meeting 2021 under the presidency of ___________, where she supported the
extension of Debt Service Suspension Initiative (DSSI) till __________.
1) Italy, December 2022
2) Germany, October 2021
3) India, October 2021
4) Germany, December 2022
5) Italy, December 2021
Answer- 5) Italy, December 2021

Explanation:
Finance Minister Nirmala Sitharaman virtually participated in the 2nd G20 Finance Ministers & Central
Bank Governors (FMCBG) meeting 2021 held under the Italian Presidency.
· Nirmala Sitharaman supported the extension of Debt Service Suspension Initiative (DSSI) by 6
months till December 2021.
· In April, 2020, The World Bank and the International Monetary Fund (IMF) asked G20 Countries to
establish the DSSI to reduce the debt burden of countries while fighting the pandemic.
35. Which Small Finance Bank (SFB) recently (in Apr’21) partnered with Axis Securities to offer
banking and investment services to its customers through a 3-in-1 account?
1) Jana SFB
2) Ujjivan SFB
3) Equitas SFB
4) Utkarsh SFB
5) Suryoday SFB
Answer- 1) Jana SFB
Explanation:
Jana Small Finance Bank (SFB) made a tie-up with Axis Securities, a wholly-owned subsidiary of Axis
Bank, to offer banking and investment services to its customers through a 3-in-1 account.
· The 3-in-1 account integrates the Savings Bank Account maintained by Jana Small Finance Bank &
Demat and Trading Accounts maintained by Axis Securities
36.Which renewable energy company recently (in Apr’21) announced to invest USD 9 Billion in
Wind and Solar Projects by 2025?
1) Inox Renewables
2) Torrent Power
3) ReNew Power
4) Tata Power
5) Azure Power
Answer- 3) ReNew Power
Explanation:
ReNew Power announced to invest $9 Billion (~ INR 67,154 Crore) in Wind and Solar Projects by 2025
in order to help the government of India’s Green Push Initiative.
· India aims to reduce its dependence on coal and expand renewable power capacity almost five-fold
to 450 gigawatts by 2030.
37.To improve the interoperability of Prepaid Payment Instruments (PPIs) to full-KYC, RBI has
doubled the Maximum limit of the Payment Bank Savings Accounts.
Which of the following points is precise with respect to payment banks?
A) Maximum limit of Savings Account is Rs. 4 lakhs
B) Minimum Paid-up capital of Payment Banks is Rs. 100 crore
C) They can provide all banking facilities - Debit cards, Credit Cards, Mobile Banking
1) Only A & B
2) Only A
3) Only B
4) Only B & C
5) Only C
Answer- 3) Only B
Explanation:
On April 7, 2021, RBI increased the existing maximum limit of Savings Accounts in payment banks from
Rs 1 lakh to Rs 2 lakh to improve the interoperability of Prepaid Payment Instruments (PPIs) to full-KYC.
Note- RBI has also extended payment facilities such as National Electronic Funds Transfer (NEFT) and
Real-Time Gross Settlement (RTGS) to non-bank payment system operators.

· Payment Banks can issue ATM or Debit cards, Net Banking and Mobile Banking facilities, but are
restricted from providing credit cards and loans facilities.
· The initial minimum capital requirement of ₹100 crores is mandatory for Payment banks
38.In April 2021, RBI extended the classification of NBFCs under Priority Sector Lending (PSL) up
to September 30, 2021.
Which of the following points are correct with respect to Priority Sector Lending (PSL)?
A) All scheduled banks should set aside 40% of their Adjusted Net Bank Credit (ANDC) for PSL
B) Maximum loan limit under PSL for banks’ lending against Negotiable Warehouse Receipts
(NWRs) is Rs. 50 lakhs
C) Housing loans are categorized under PSL
1) Only A & B
2) All A, B & C
3) Only B
4) Only A & C
5) Only B & C
Answer- 4) Only A & C
Explanation:
On April 7, 2021, the Reserve Bank of India(RBI) extended the classified lending of Banks to NBFCs for
on-lending under the Priority Sector Lending (PSL) for 6 months i.e. up to September 30, 2021.
i.RBI has mandated all scheduled commercial banks and foreign banks to set aside 40% of their
Adjusted Net Bank Credit (ANDC) for lending to these sectors.
ii.On April 7, 2021, RBI has enhanced the loan limits under PSL for banks’ lending against Negotiable
Warehouse Receipts (NWRs) from ₹50 lakhs to ₹75 lakhs per borrower.
iii.Categories under Priority Sector: Agriculture, Micro and Small Enterprises, Education, Housing,
Export Credit & others.
39.In April 2021, India’s Permanent Secretary to the United Nations, ____________ announced India’s
contribution of an additional __________ to the UN Trust Fund for Counter-Terrorism.
1) Syed Akbaruddin, USD 500,000
2) T.S. Tirumurti, USD 25,00,000
3) Syed Akbaruddin, USD 25,00,000
4) T.S. Tirumurti, USD 10,00,000
5) T.S. Tirumurti, USD 500,000
Answer- 5) T.S. Tirumurti, USD 500,000
Explanation:
T.S. Tirumurti, India’s Permanent Secretary to the United Nations (UN) stated that India has contributed
an additional USD 500, 000 to the United Nations Trust Fund for Counter-Terrorism. With this, India’s
total contribution to the UN Counter-Terrorism fund stands at around USD 1.05 Million.
About United Nations Office of Counter-Terrorism (UNOCT):
Under-Secretary-General – Vladimir Voronkov
40.As of March 2021, loans worth of Rs. 14.96 lakh crores were sanctioned under Pradhan
Mantri Mudra Yojana (PMMY).
Which of the following statements related to PMMY is true?
A) PMMY scheme was launched by PM Modi in 2016
B) Micro Units Development & Refinance Agency Ltd (MUDRA) was launched as a fully owned subsidiary
of SIDBI
C) Collateral free loans upto Rs. 1 Crore can be availed by Women Entrepreneurs
1) Only A
2) Only A & B
3) Only B
4) Only B & C

5) Only A & C
Answer- 3) Only B
Explanation:
The Ministry of Finance has stated that Banks & other Financial Institutions have sanctioned 28.68
Crore beneficiaries worth INR 14.96 Lakh Crore (as of March 2021) under Pradhan Mantri Mudra
Yojana (PMMY), since its launch in 2015.
i.MUDRA – Micro Units Development & Refinance Agency Ltd, a financial institution was launched in
April, 2015 as a 100% owned company under Small Industries Development Bank of India (SIDBI).
ii.Collateral free loans of upto INR 10 Lakh are extended by Member Lending Institutions (MLIs)
through Scheduled Commercial Banks, Regional Rural Banks (RRBs), Small Finance Banks (SFBs), NBFCs
& MFIs to MSMEs.
41.Which bank recently (in Apr’21) approved USD 484 Mn Loan for the road transport
connectivity project along Chennai-Kanyakumari Industrial Corridor(CKIC) in Tamil Nadu?
1) Asian Infrastructure Investment Bank
2) New Development Bank
3) World Bank
4) International Monetary Fund
5) Asian Development Bank
Answer- 5) Asian Development Bank
Explanation:
On 8th April 2021, The Asian Development Bank (ADB) approved a USD 484 Million Loan to improve
transport connectivity and road maintenance in Chennai-Kanyakumari Industrial Corridor(CKIC) in
Tamil Nadu.
· CKIC is a part of the East Coast Economic Corridor of India which stretches from West Bengal to
Tamil Nadu.
42. RBI, in its 1st bi-monthly monetary policy statement for FY22, set the Marginal Standing
Facility (MSF) Rate to _______, and Cash Reserve Ratio (CRR) to __________.
1) 4.00%, 3.50%
2) 3.75%, 4.00%
3) 3.50%, 4.25%
4) 4.25%, 3.50%
5) 3.35%, 4.25%
Answer- 4) 4.25%, 3.50%
Explanation:
The Reserve Bank of India’s (RBI) 6-members Monetary Policy Committee (MPC) released its first bi-
monthly monetary policy statement for FY22 (April 2021 – March 2022).
Category Rate
Repo Rate 4.00%
Reverse Repo Rate 3.35%
Marginal Standing Facility (MSF) Rate 4.25%
Bank Rate 4.25%
Cash Reserve Ratio (CRR) 3.50%
Statutory Liquidity Ratio (SLR) 18.00%
43.In the 1st bi-monthly policy for FY-22, RBI has extended the Special Liquid Facility(SLF) of Rs
50,000 crores to financial institutions, of which Rs. 25,000 crores are allocated to ____________.
1) NABARD
2) SIDBI
3) MUDRA Bank

4) National Housing Bank
5) IDBI Bank
Answer- 1) NABARD
Explanation:
In the 1st Bi-monthly policy, RBI has extended the Special Liquid Facility(SLF) of Rs 50,000 crore for
FY22 to All India Financial Institutions (AIFIs).
· Rs 25,000 crore to NABARD to support agriculture and allied activities, the rural non-farm sector &
Non-Banking Financial Companies (NBFC).
· Rs 10,000 crore to National Housing Bank (NHB) to support the housing sector.
· Rs 15,000 crore to SIDBI to meet the funding requirements of micro, small and medium enterprises
(MSMEs).
44. To promote mobile payment in India, the Monitory Policy Committee has increased the
balance limit of Mobile Wallets to ___________ & enabled cash withdrawal from ATMs using Mobile
Wallets.
1) Rs. 1 lakhs
2) Rs. 50,000
3) Rs. 2 lakhs
4) Rs. 2.5 lakhs
5) Rs. 1.5 lakhs
Answer- 3) Rs. 2 lakhs
Explanation:
The 1st Monitory Policy Committee of FY-22 has proposed to increase the limit of outstanding balance in
such PPIs (Mobile Wallets) from the current level of ₹1 lakh to ₹2 lakhs.
After this, Mobile wallets like Paytm, Mobikwik can be used to withdraw cash from ATMs. Earlier,
banking PPIs like the Yono app from SBI had this facility.
45. Which bank recently partnered with U GRO Capital to launch “GRO Smart Business” credit
card for Micro, Small and Medium Enterprises (MSMEs)?
1) CSB Bank
2) SBM Bank India
3) DCB Bank
4) IDFC FIRST Bank
5) RBL Bank
Answer- 2) SBM Bank India
Explanation:
On 8th April, 2021, U GRO Capital in partnership with SBM Bank India launched “GRO Smart Business”
credit card for Micro, Small and Medium Enterprises (MSMEs).
About U GRO Capital:
CEO – Abhijit Ghosh
46. Which organisation recently (in Apr’21) imposed a fine of Rs. 25 crores on the promoters of
Reliance Industries Limited (RIL)?
1) Supreme Court of India
2) Reserve Bank of India
3) Securities and Exchange Board of India
4) International Court of Arbitration
5) Ministry of Corporate Affairs
Answer- 3) Securities and Exchange Board of India

Explanation:
On 7th April 2021, the Securities and Exchange Board of India(SEBI) imposed a Rs.25 crores fine on the
promoters of Reliance Industries Limited (RIL) (Mukesh Ambani, Anil Ambani, Nita Ambani, Tina
Ambani) for the violation of the takeover code regulations in 2000.
47.Recently (in Apr’21), Reserve Bank of India’s Deputy Governor(DG) __________ retired, which led
to reshuffling of portfolios among the remaining DG’s.
1) Mahesh Kumar Jain
2) Sachin Chaturvedi
3) Michael Patra
4) B P Kanungo
5) Rajeshwar Rao
Answer- 4) B P Kanungo
Explanation:
On 2nd April, 2021 Reserve Bank of India’s Deputy Governor, B P Kanungo retired after serving as
Deputy governor for 4 years. He was appointed as Deputy governor in April 2017.
· All his portfolios were reshuffled among the other 3 deputy governors – Mahesh Kumar Jain, Michael
Patra and Rajeshwar Rao.
48.____________ Municipal Corporation, is the 1st in India to issue Municipal Green Bonds in BSE,
while _________ Municipal Corporation is the 1st to introduce Municipal Bonds in India.
1) Ghaziabad, Bangalore
2) Indore, Bangalore
3) Bangalore, Ghaziabad
4) Ghaziabad, Indore
5) Bangalore, Indore
Answer- 1) Ghaziabad, Bangalore
Explanation:
Ghaziabad Municipal Corporation, a civic body in Uttar Pradesh(UP), has become India’s 1st municipal
corporation to issue municipal green bonds.
· It issued municipal green bonds in Bombay Stock Exchange (BSE) & raised Rs 150 crore.
· Funds of these green bonds will be used for the construction of a tertiary sewage treatment plant to
benefit industries in Ghaziabad.
· The Bangalore Municipal Corporation issued municipal bonds for the 1st time in Indian in 1997.
· Indore was the 1st to get its municipal bonds listed on the National Stock Exchange(NSE).
49. In April 2021, RBI revised the Quarterly Projection Model (QPM) – 2.0 to provide targeted
Inflation Forecast on:
A) Fiscal & Monetary behaviours
B) Pricing of Fuels
C) Balance of Payments
1) Only A
2) Only B & C
3) Only A & C
4) Only A & B
5) All A, B & C
Answer- 5) All A, B & C
Explanation:
RBI has revised the Quarterly Projection Model (QPM) to enrich the model’s analytics and to capture the
interactions between the fiscal and monetary policy with real-economy elements.
· The revised model, QPM 2.0 incorporates, fiscal-monetary dynamics, disaggregated fuel pricing (oil
price, exchange rate and fuel taxes), the balance of payments and exchange rate interactions.
· QPM 2.0 model consists of 3 blocks - Fiscal Block, Fuel Block, Balance of Payments Block.

· In 2016 RBI has introduced QPM to provide support for flexible Inflation Forecast Targeting
framework in India.
50. In April 2021, RBI announced the purchase of ________ worth Govt. Securities of the total
targeted _________ set under the G-sec Acquisition Programme (G-SAP 1.0) for the 1st quarter (Q1)
of FY22.
1) Rs 25,000 crore; Rs 1 lakh crore
2) Rs. 10,000 crore; Rs. 50,000 crore
3) Rs. 12,500 crore; Rs. 1 lakh crore
4) Rs. 25,000 crore; Rs. 50,000 crore
5) Rs. 12,500 crore; Rs. 50,000 crore
Answer- 1) Rs 25,000 crore; Rs 1 lakh crore
Explanation:
In April 2021, RBI announced its first purchase of government securities for an amount of Rs 25,000
crore under the G-sec Acquisition Programme (G-SAP 1.0) of the total Rs 1 lakh crore target set under
the G-SAP 1.0 for the 1st quarter (Q1) of FY22. RBI has planned to purchase 5 different types of
government securities.
51. Which company partnered with the digital lending platform, FlexiLoans.com, (in Apr’21) to
offer collateral-free business loans to MSMEs, freelancers, women entrepreneurs & sole
proprietors?
1) PayPal
2) Citibank
3) HSBC Holdings
4) MasterCard
5) DCB Bank
Answer- 1) PayPal
Explanation:
FlexiLoans.com, a digital lending platform focused on Micro, Small & Medium Enterprises (MSME)
partnered with PayPal, to offer collateral-free business loans to MSMEs, freelancers, women
entrepreneurs and sole proprietors.
· Loans from Rs 50000 to Rs 1 crore will be provided for a tenure ranging from 6 months to 36
months.
52. Which insurance provider recently (in Apr’21) entered into a bancassurance partnership
with Fincare Small Finance Bank?
1) Exide Life Insurance
2) Bharti AXA Life Insurance
3) Tata AIA Life Insurance
4) ICICI Prudential Life Insurance
5) Kotak Life Insurance
Answer- 2) Bharti AXA Life Insurance
Explanation:
Bharti Axa life insurance and Fincare Small Finance Bank(SFB) Limited joined hands for a
bancassurance partnership under which the bank will sell insurance policies to its customers.
About Bharti Axa Life Insurance:
MD & CEO– Parag Raja
53. In April 2021, the largest ever in expansion to the reserves of Special Drawing Rights (SDR) of
USD 650 billion was made. Which organisation defines the SDR?
2) Finance Ministry of India

3) World Bank
5) World Economic Forum
Answer- 1) International Monetary Fund
Explanation:
The International Monetary Fund’s (IMF) Policy Panel has authorized a USD 650 billion expansion of its
International Reserve Asset (known as Special Drawing Rights (SDR)). It is the largest ever increase of
reserves in IMF’s history.
· Special Drawing Rights (SDR) is an international reserve asset created and defined by the IMF.
· It comprises 5 currencies – US dollar, Euro, Japanese yen, British Pound sterling and Chinese
Renminbi (or Yuan).
54. During April-January 2020-21, the Foreign Direct Investment (FDI) inflow into India grew by
28% to $54.18 billion. Which is India’s top FDI investor?
1) Mauritius
2) USA
3) UK
4) UAE
5) Singapore
Answer- 5) Singapore
Explanation:
The Ministry of Commerce and Industries announced that Foreign Direct Investment (FDI) equity
inflows into India during April-January 2020-21(first ten months of FY21) grew by 28% to $54.18
billion.
· Singapore is the top with FDI to India, followed by the US and the UAE.
55.Name the world bank economist who was recently (in Apr’21) appointed as the 1st woman
Director General of the National Council of Applied Economic Research (NCAER)?
1) Jayati Ghosh
2) Poonam Gupta
3) Gita Gopinath
4) Soma Mondal
5) Soumya Swaminathan
Answer- 2) Poonam Gupta
Explanation:
Poonam Gupta, economist of World Bank was appointed as the 1st woman Director General (DG) of the
National Council of Applied Economic Research (NCAER). She will succeed Shekhar Shah, DG of NCAER
since 2011, and assume office as the new DG of NCAER on 1st July 2021.
56.Which bank recently (in Apr’21) acquired the stakes in Max Life Insurance company to
become a co-promoter of the insurer?
1) Axis Bank
2) Bandhan Bank
3) HDFC Bank
5) Canara Bank
Answer- 1) Axis Bank
Explanation:
Axis Bank along with its subsidiaries Axis Capital Limited & Axis Securities acquired 12.99% stake in
Max Life Insurance company to become a co-promoter of the insurance provider.
About Axis Bank:

Tagline – “Badhti Ka Naam Zindagi”
57.Finance Minister Nirmala Sitharaman virtually participated in the 103rd Development

Committee Meeting of World Bank-International Monetary Fund (IMF) 2021. Along with India,
she was also the representative of __________
1) Bhutan
2) Bangladesh
3) Sri Lanka
4) Only 1 & 3
5) All 1, 2 & 3
Answer- 5) All 1, 2 & 3
Explanation:
Union Minister for Finance & Corporate Affairs Nirmala Sitharaman virtually participated in the 103rd
Development Committee Meeting of World Bank-International Monetary Fund (IMF) 2021.
• Nirmala Sitharaman represented India, Bangladesh, Bhutan & Sri Lanka in the meeting.
Nirmala Sitharaman also virtually attended the Plenary Meeting of the International Monetary and
Financial Committee (IMFC) of the Board of Governors of the IMF at the Virtual Spring Meetings 2021.
About World Bank:
Headquarters – Washington DC., USA
58.In partnership with which bank, the Fintech start-up Mobisafar Services launched its ‘Mobisafar
Virtual RuPay Prepaid card’ in April 2021?
1) YES Bank
2) Axis Bank
3) ICICI Bank
4) Kotak Mahindra Bank
5) HDFC Bank
Answer- 1) YES Bank
Explanation:
Mobisafar Services Private Limited, a Ludhiana-based Fintech start-up, has launched ‘Mobisafar Virtual
RuPay Prepaid card’ in partnership with YES BANK, National Payments Corporation of India (NPCI).
59. The International Monetary Fund (IMF) reported India’s Debt to GDP ratio has increased
from 74% in 2019 to 90% in 2020. What does the increase in Debt to GDP ratio indicate?
1) Country has higher Debt borrowings
2) Country has higher capacity to pay back debt
3) Country has lower capacity to pay back debt
4) Country has lower Debt borrowings
5) Country has poor External trade
Answer- 2) Country has higher capacity to pay back debt
Explanation:
The International Monetary Fund(IMF) reported an increase in India’s debt to Gross Domestic Product
(GDP) ratio from 74 percent (at the end of 2019) to 90 percent (at the end of 2020) during the COVID-19
period.
· The debt-to-GDP ratio reliably indicates the particular country’s ability to pay back its debts.
· Debt to GDP= Total GDP of Country/ Total Debt of Country
60. Which company launched India’s 1st Blockchain-based Non-Fungible Tokens (NFT) for
auctioning digital assets?
1) Unocoin
2) Paxful
3) BuyUcoin

4) WazirX
5) Zebpay
Answer- 4) WazirX
Explanation:
WazirX, the Binance-owned cryptocurrency exchange has launched India’s 1st marketplaces for Non-
Fungible Tokens (NFT), which will enable Indian artists and creators to auction their digital assets over
the Blockchain-based platform and earn royalty.
NFTs are a class of cryptocurrency assets in which each item, or token A non-fungible token is a unit of
data stored on a digital ledger, called a blockchain, that certifies a digital asset to be unique and
therefore not interchangeable.
61. Which public sector bank partnered with SwitchON Foundation (in Apr’21) to set up “First
Loss Default Guarantee Fund” that provides collateral free loans to small & marginal farmers for
buying solar pumps?
1) Canara Bank
3) Union Bank of India
5) Indian Bank
Answer- 4) Punjab National Bank
Explanation:
SwitchON Foundation partnered with Punjab National Bank (PNB) to setup “First Loss Default
Guarantee Fund” which offer loans upto 1.6 lakhs to small & marginal farmers for buying solar pumps.
· It is a 1st of its kind agreement between a private non-profit organisation and a public sector bank to
set up a Guarantee Fund.
· India’s PM-KUSUM Scheme targets to achieve 30.75 GW of solar energy generation by 2022.
62. Which payment bank launched a new savings account ‘Rewards123’ that offers benefits for
customers for their digital transactions?
1) Paytm Payment Bank
2) Airtel Payment Bank
3) NSDL Payments Bank
4) Jio Payments Bank
5) Fino Payment Bank
Answer- 2) Airtel Payment Bank
Explanation:
Airtel Payments Bank announced its new savings account ‘Rewards123’ which offers benefits and value
to customers when they transact digitally using the bank account.
About Airtel Payments Bank:
India’s 1st licensed Payment Bank
Establishment – January 2017, by Bharti Airtel
63. Which is India’s 1st TReDS platform to record Rs. 1000 crore monthly transactions by
volume?
1) Receivables Exchange of India Ltd
2) PayKun
3) M1 Exchange
4) e-PG Pathshala
5) A. Treds Ltd
Answer- 1) Receivables Exchange of India Ltd

Explanation:
Receivables Exchange of India Ltd (RXIL), leading invoice discounting platform for MSMEs, has become
the 1st TReDS Platform to record the highest monthly transaction volumes of Rs 1,000 crore in the
month of March, 2021.
· Trade Receivables Discounting System (TReDS) is a digital platform where small businesses
(MSMEs) can get access to capital by auctioning their trade receivables.
64. Which payment gateway provider recently (in Apr’21) partnered with J.P. Morgan to provide
online payments solutions to the corporate clients of J.P. Morgan?
1) PayU
2) Instamojo
3) Razorpay
4) PayPal
5) BillDesk
Answer- 5) BillDesk
Explanation:
Payments aggregator ‘BillDesk’ partnered with Global Financial Institution, J.P. Morgan to provide online
payments solutions to corporate clients of J.P. Morgan.
About Bill Desk:
Director & Co-founder – Karthik Ganapathy
65. From which co-operative bank, RBI recently (in Apr’21) withdrew all its restrictions?
1) Youth Development Co-operative Bank Ltd
2) Citizen Credit Cooperative Bank Ltd
3) Surat Peoples' Co-Op Bank Ltd
4) Cosmos Cooperative Bank Ltd
5) Bharat Cooperative Bank (Mumbai) Ltd
Answer- 1) Youth Development Co-operative Bank Ltd
Explanation:
On April 5, 2021, the Reserve Bank of India (RBI) withdrew all restrictions imposed on the Youth
Development Co-operative Bank Ltd, Kolhapur, Maharashtra.
Previously, the bank was imposed with restrictions on withdrawals, granting or renewing any loans and
advances, making any investment, incurring any liability, without prior approval in writing from RBI.
66.Which bank recently (in Apr’21) executed its 1st Secured Overnight Financing Rate (SOFR)
linked trade borrowing transaction with American Lender ‘Wells Fargo Bank’?
1) YES Bank
3) HDFC Bank
4) Canara Bank
5) Axis Bank
Answer- 1) YES Bank
Explanation:
On April 6, 2021, YES Bank executed its first Secured Overnight Financing Rate (SOFR) linked trade
borrowing transaction from an American Lender Wells Fargo Bank.
SOFR and Sterling Overnight Interbank Average Rate (SONIA) are the two popular alternative rates to
the global benchmark interest rate, LIBOR (London Inter-Bank Offered Rate), which will be phased out
by the end of 2021.

67. Identify the points that are correctly related to “Post Office Savings Account (Amendment)
Scheme, 2021″.
A) Minimum Account Maintenance fee for the Basic Savings Account is reduced from Rs. 500 to
Rs. 100
B) Basic Savings Account can be opened in any Scheduled commercial bank
C) No deposit is required for opening the account
1) Only B & C
2) Only A
3) Only A & B
4) Only A & C
5) All A, B & C
Answer- 1) Only B & C
Explanation:
Finance Ministry has amended the Post Office Savings Account Scheme, 2019 & the Scheme was named
as “Post Office Savings Account (Amendment) Scheme, 2021″.
• Government had reduced the Account Maintenance Fee for basic savings account from ₹100 to ₹50.
• Deposit required for opening of account – Nil.
• Basic Savings Account can be opened in a scheduled commercial bank or Indian Post Payment Bank
(IPPB).
68. Which bank was issued a penalty of Rs 25 crore by SEBI (in Apr’21) for misselling its
Additional Tier-1 bonds?
1) YES Bank
3) HDFC Bank
4) Canara Bank
5) Axis Bank
Answer- 1) YES Bank
Explanation:
Securities and Exchange Board of India (SEBI) has revised the reporting formats for mutual funds with
new guidelines.
SEBI has informed the Asset Management Companies (AMCs) to submit the QR on the activities of
Mutual Funds/AMCs to trustees within 21 days from the end of respective quarter.
SEBI has also imposed a penalty of Rs 25 crore to Yes Bank for misselling lender’s AT-1 bonds during the
period from December 1, 2016 to February 29, 2020.
69. In April 2021, Punjab National Bank launched a digital initiative PNB@Ease. Through which
of the following “PNB@Ease” can be accessed?
1) Automated Teller Machine (ATM)
2) Mobile Banking App
3) Real Time Gross Settlement (RTGS)
4) UPI Payments
5) All the Above
Answer- 1) Automated Teller Machine (ATM)
Explanation:
On 12th April 2021 Punjab national bank (PNB) launched a digital initiative PNB@Ease to
commemorate 127 years of their service to the nation.
PNB@Ease outlets will be loaded with five Kiosks i.e. ATM, Bunch Note Acceptor, Account Opening
Kiosk, Card Issuance Kiosk, and internet-enabled Kiosk.
70.What was India’s GDP projected by Nomura (in Apr’21) for FY22?
1) 13.5%
2) 12.6%

3) 15.4%
4) 11.01%
5) 9.09%
Answer- 2) 12.6%
Explanation:
On April 9, 2021 Nomura, has decreased the India’s gross domestic product (GDP) growth rate
forecasted for FY22 to 12.6 per cent from its earlier prediction of 13.5 per cent due to the rise in COVID-
19 cases and retail inflation.
About Nomura:
71.Which bank provided a loan worth Rs. 600 crores to National Cooperative Development
Corporation (NCDC) in April 2021?
1) International Investment Bank
2) Sumitomo Mitsubishi Bank
3) Deutsche Bank
Answer- 3) Deutsche Bank
Explanation:
On April 13, 2021, National Cooperative Development Corporation (NCDC) made a deal with Deutsche
Bank AG, a German Investment Bank to avail a loan for €68.87 million (around Rs 600 crore) to finance
the development work of cooperatives across India.
· NCDC will use the amount to provide easier credits to Farmers and FPOs.
72. In April 2021, IRDAI amended its regulations for investing in Fund of Funds (FOF). Which of
the following is correct with respect to FoF’s?
A) FoF is a type of Alternative Investment Fund (AIF) which invests in another AIF
B) Insurers are allowed to invest in FOF which comply with the requirement of Section 27E of the
Insurance Act, 1938
C) Insurers in India are allowed to invest in overseas FoF’s
1) Only A
2) Only A & C
3) Only B & C
4) Only A & B
5) All A, B & C
Explanation:
In April 2021, IRDAI amended the rules for investing in Fund of Funds (FoF)
i. Fund of Funds(FoF) are Alternative Investment Fund (AIF) which collects funds from sophisticated
investors, whether Indian or foreign, and invests in another AIF.
ii. Insurers are allowed to invest in FoFs within the India, whereas they are barred from investment into
in overseas FoFs.
iii. Insurers are allowed to invest in FoFs which comply with the requirement of Section 27E of the
Insurance Act, 1938 within the country.
73.What is a Sandbox & What was the extension given to it by IRDAI in April 2021?
1) Testing Environment, 5 years
2) Investment Scheme, 2 years
3) Reinsurance Agreement, 5 years
4) Reinsurance Agreement, 6 months
5) Testing Environment, 2 years

Answer- 5) Testing Environment, 2 years
Explanation:
IRDAI has extended the validity of the Regulatory Sandbox for 2 years.
This extension of the time period will enable the applicants to complete their existing sandbox
experiments and new sandbox proposals also will be allowed.
‘Sandbox’ is a framework set up by a regulator that allows FinTech startups and other innovators to
conduct live experiments in a controlled environment under a regulator’s supervision.
74.What is the total amount allocated by the National Housing Bank for its “Special Refinance
Facility-2021” (SRF-2021) Scheme which will benefit all eligible Primary Lending Institutions
(PLI)?
1) Rs. 14,400 crore
2) Rs. 22,800 crore
3) Rs. 10,000 crore
4) Rs. 5,000 crore
5) Rs. 25,000 crore
Answer- 3) Rs. 10,000 crore
Explanation:
National Housing Bank (NHB) has launched Rs. 10,000 crores ‘Special Refinance Facility-2021’ (SRF-
2021) Scheme to Primary Lending Institutions (PLI) which includes Housing Finance Companies (HFCs),
Scheduled Commercial Banks including Regional Rural Banks (RRBs), Small Finance Banks (SFBs).
75. What was the Core Inflation rate for March 2021, which was at a 29-month high due to the
increasing food price?
1) 5.96%
2) 6.25%
3) 6.67%
4) 5.52%
5) 5.67%
Answer- 1) 5.96%
Explanation:
As per the data released by National Statistical Office(NSO), India’s retail inflation was accelerated to a
4-month high of 5.52% in March due to an increase in food rates.
· Due to demand and increase in commodity prices the Core inflation was also increased to a 29-
month high of 5.96% in March 2021 from 3.95% in 2020.
76.Which organisation (in Apr’21) announced to invest USD 100 mn in J.C. Flowers India
Opportunities Fund to help Indian financial institutions in resolving distressed assets?
2) Multilateral Investment Guarantee Agency
3) International Finance Corporation
4) International Bank for Reconstruction and Development
5) International Development Association
Answer- 3) International Finance Corporation
Explanation:
On 14 April 2021, International Finance Corporation (IFC), member of the World Bank Group
th
announced to invest USD 100 million in J.C. Flowers India Opportunities Fund to help Indian financial
institutions in resolving distressed assets and free up the capital for new lending.
• The investment is part of IFC’s Distressed Asset Recovery Program (DARP) work in India.

77. Which Small Finance Bank (SFB) recently (in Apr’21) made a digital lending partnership with
the fintech company ‘NIRA’ for providing personal loans?
1) Equitas SFB
2) ESAF SFB
3) Suryoday SFB
4) Capital SFB
5) Ujjivan SFB
Answer- 5) Ujjivan SFB
Explanation:
Ujjivan Small Finance Bank (USFB), partnered with a fintech, NIRA to strengthen its digital footprint and
onboard its customers for Personal Loans. This was USFB’s 1st Digital Lending Partnership.
· NIRA is a Bangalore based financial institution which provides a small line of credit ranging from Rs.
5000 to Rs. 1 lakh.
78. Which bank (in Apr’21) allowed its customers to transfer funds upto USD 25,000/transaction
across 150 countries through its “Send Money Abroad” feature?
1) ICICI Bank
2) Axis Bank
3) Canara Bank
5) HDFC Bank
Explanation:
Axis Bank has allowed its customers to make International Fund Transfer in over 100 currencies across
150 countries through the ‘Send Money Abroad’ feature in the Axis Mobile application with a simple
two-step process, with a maximum of USD 25,000 per transaction.
79.Who was appointed as the head of RBI’s 2nd Regulation Review Authority (RRA)?
1) M. Rajeshwar Rao
2) Y.V. Reddy
3) Michael Patra
4) BP Kanungo
5) Mahesh Kumar Jain
Answer- 1) M. Rajeshwar Rao
Explanation:
RBI has formed the 2nd Regulation Review Authority (RRA) named RRA 2.0 in order to review the
regulations, circulars, reporting systems of RBI based on the feedback from the public, banks and
financial institutions.
· M. Rajeshwar Rao, Deputy Governor was appointed as the head of RRA 2.0
· RBI set up its 1st RRA for one year i.e. from April 1, 1999, to April 1, 2000
80. Which International bank recently (in Apr’21) announced to close its consumer banking
operations in 13 countries including India?
1) Standard Chartered
2) Capital One
3) HSBC Bank
4) DBS Bank
5) Citibank
Answer- 5) Citibank
Explanation:
Citibank announced to exit its consumer banking operations in India.

As a part of its global restructuring process Citibank has decided to close its operations in consumer
banking in 13 countries which includes Australia, Bahrain, China, India, Indonesia, Korea, Malaysia,
Philippines, Poland, Russia, Taiwan, Thailand and Vietnam.
81. Which bank partnered with MasterCard (in Apr’21) for providing contactless payment
solutions to its customers through MasterCard’s ‘Pay by Bank’ app?
1) IDBI Bank
2) RBL Bank
3) Indian Bank
4) ICICI Bank
5) DCB Bank
Answer- 2) RBL Bank
Explanation:
RBL Bank announced its partnership with MasterCard to provide the first of its kind payment solution in
India through the Pay by bank app. Now, the customers of RBL bank will be able to do contactless
transactions both in store & online across the world through MasterCard’s ‘Pay by Bank’ app.
82. Which brokerage company launched India’s 1st Aadhaar-based Systematic Investment
Plan(SIP) payments feature?
1) India Infoline
2) Zerodha
3) Groww
4) Upstox
5) ETMONEY
Answer- 5) ETMONEY
Explanation:
ETMONEY launched India’s first Aadhaar-based Systematic Investment Plan(SIP) payments feature. This
feature will enable anyone to start a SIP online and make automatic payments using a simple Aadhaar
based OTP verification.
· This is aimed at making investments more seamless & accessible to the widest section of Indian
society.
83. Which Insurance provider recently (in Apr’21) signed a Corporate Agency Agreement with
Uttarbanga Kshetriya Gramin Bank (UBKGB) to retail its insurance products?
1) Star Health and Allied Insurance
2) SBI General Insurance
3) Care Health Insurance
4) HDFC ERGO General Insurance
5) Bajaj Allianz General Insurance
Answer- 2) SBI General Insurance
Explanation:
In April 2021, SBI General Insurance signed a Corporate Agency Agreement with Uttarbanga Kshetriya
Gramin Bank(UBKGB) to retail its insurance products.
84. SEBI recently (in Apr’21) issued guidelines for preparing warehousing norms by Clearing
Corporations (CCs) for agricultural & Non-agricultural goods. What is the minimum paid-up
capital needed to be accredited as a Warehouse Service Provider (WSPs)?
1) Rs 1 crore
2) Rs 50 lakhs
3) Rs 10 lakhs
4) Rs 5 crore
5) Rs 10 crore
Answer- 5) Rs 10 crore

Explanation:
SEBI has issued guidelines for preparing warehousing norms by Clearing Corporations (CCs) for
agricultural/agro-processed goods and non-agricultural goods (base and industrial metals). The
guidelines would come into effect from June 1, 2021.
• An accredited Warehouse Service Providers (WSPs) should have a minimum subscribed and paid-
up share capital of Rs 10 crore.
85.Which organisation released the “The Trend and Progress of Housing in India” report that
analyzed the Indian housing loan sector?
1) NABARD
2) Housing and Urban Development Corporation
4) NITI Aayog
5) National Housing Bank
Answer- 5) National Housing Bank
Explanation:
As per the National Housing Bank’s (NHB) report of “The Trend and Progress of Housing in India” in
April 2021, the market share of Individual Housing Loans (IHLs) in banks remained higher than that of
Housing Finance Companies (HFCs).
Outstanding IHLs of Banks and HFCs registered year-on-year growth of 8.5 per cent and 3 per cent,
respectively.
86. Which e-payment company partnered with LIC (in Apr’21) for facilitating digital payment
services to the customers of LIC?
1) PayPal
2) Amazon
3) Paytm
4) Razorpay
5) Google Pay
Answer- 3) Paytm
Explanation:
Life Insurance Corporation (LIC) of India has appointed Paytm to carry out its digital transactions. This
partnership will satisfy the increasing demand for digital payment.
• Paytm will provide an easy payment process, a broader range of payment options, to the customers
of LIC.
About Paytm:
Chief Executive Officer - Vijay Shekhar Sharma
Headquarters - Noida,Uttar Pradesh
87.Which company recently (in Apr’21) partnered with Agriculture Insurance Company of India
Limited (AICI) for providing insurance to the rural farmers?
1) Continental Suraksha Insurance Brokers
2) Gramcover Insurance Brokers
3) Anar Insurance Brokers
4) Sriyah Insurance Brokers
5) Axion Insurance Brokers
Answer- 2) Gramcover Insurance Brokers
Explanation:
In April 2021, Gramcover Insurance Brokers partnered with Agriculture Insurance Company of India
Limited (AICI) to develop the insurance penetration in rural India.
• The main objective of this partnership is to identify and develop useful rural insurance products
that could help farmers.

88. In April 2021, Rs 4.04 crore was stolen from the Currency Chest of Axis Bank in Chandigarh.
What is a Currency Chest?
1) Secret Vault of the Bank
2) Place where money is stored by RBI for Banks & ATMs
3) Storage place for excess revenue of the bank
4) Place where RBI prints currency
5) Storage place for International Money Exchange
Answer- 2) Place where money is stored by RBI for Banks & ATMs
Explanation:
Rs 4.04 crore has been stolen by a private security guard from the Currency chest of Axis Bank in
Chandigarh Sector 34. It is the first time in Chandigarh where such a huge amount was stolen from
inside a bank.
• Currency chest is a depositary of the Reserve Bank of India (RBI), in which it stocks excess money
meant for banks and ATMs.
89.In April 2021, RBI has set-up a 6-member committee headed by Sudarshan Sen, to evaluate
the role of Asset Reconstruction Companies (ARCs) in stressed debt resolution.
Which of the following point(s) is/are correct with respect to ARCs?
A) ARCs buy NPAs (Non-Performing Assets) or bad loans from banks to helps them recover fast
B) An ARC should maintain a capital adequacy ratio of 15% of its risk-weighted assets
C) The minimum capital for an ARC is Rs. 2 crores as per the SARFAESI Act
1) Only A & B
2) All A, B & C
3) Only B & C
4) Only C
5) Only A & C
Explanation:
In April 2021, RBI has set-up a 6-member committee headed by Sudarshan Sen, to evaluate the role of
Asset Reconstruction Companies (ARCs) in stressed debt resolution and review their business model.
i.ARC is a financial institution (FI) that buys the NPAs (Non-Performing Assets) or bad loans from banks
and FI and helps them to recover from the NPAs.
ii.They are registered under RBI and regulated under the Securitisation and Reconstruction of Financial
Assets and Enforcement of Securities Interest (SARFAESI) Act, 2002.
iii.Capital needs: The net owned funds of ARCs should be Rs 100 crore or more and they also have to
maintain a capital adequacy ratio of 15% of its risk-weighted assets.
90. Which organisation partnered with Habitat for Humanity International (in Apr’21) to provide
housing loans to 20,000 beneficiaries in Bangladesh, India, Indonesia & Philippines?
1) World Bank
2) Bill and Melinda Gates Foundation
3) Greenpeace
Explanation:
In April 2021, Asian Development Bank (ADB) and Habitat for Humanity International made a
partnership to help Microfinance Institutions (MFI) in providing housing loans to low income families in
rural and semi urban areas of Bangladesh, India, Indonesia and Philippines.
• Loans will be given to around 20,000 households by partner MFIs in the 1st phase. About 90% of
the financing is targeted towards women micro borrowers.
About Asian Development Bank:
President: Masatsugu Asakawa

Established: 1966
Headquarters: Manila, Philippines
91. In April 2021, RBI proposed to review the Countercyclical Capital Buffer (CCyB). What is the
current CCyB rate?
1) 0.25%
2) 1.50%
3) 1%
4) 0.50%
5) 0%
Answer- 5) 0%
Explanation:
In April 2021, Based on the empirical testing and review of Countercyclical Capital Buffer (CCyB)
indicators by The Reserve Bank Of India (RBI), it has decided not to activate CCyB at present as there is
no necessity for it.
RBI keeps the CCyB, a part of its Basel-III norms, at 0%.
92. Which is the 1st Indian company to cross 1 billion UPI transactions?
1) Freecharge
2) PhonePe
3) MobiKwik
4) Google Pay
5) Amazon Pay
Answer- 2) PhonePe
Explanation:
PhonePe, a digital payments & financial services company has become the 1st Indian company to cross 1
billion transactions on Unified Payment Interface(UPI).
• The company crossed over 1.3 billion transactions on its platform across payment offerings of
wallet, cards and UPI in March 2021.
93. Who was re-appointed as the MD & CEO of DCB bank in April 2021?
1) Matam Venkata Rao
2) S. S. Mallikarjuna Rao
3) Lingam Venkat Prabhakar
4) Murali Natrajan
5) Ashwani Bhatia
Answer- 4) Murali Natrajan
Explanation:
The Reserve Bank of India (RBI) has approved the re-appointment of Murali Natrajan as the Managing
Director (MD) and Chief Executive Officer (CEO) of DCB Bank for one year from April 29, 2021. Initially,
he was appointed as MD and CEO of DCB Bank in May 2009.
94.Which is the 1st Cryptocurrency exchange in India to launch a report that provides exact
information of the tradings made by Individuals to Indian Tax authority?
1) Bitex
2) Poloniex
3) Coinbase
4) BitFlyer
5) Coinmama
Answer- 1) Bitex
Explanation:
Bitex, the United Arab Emirates (UAE) based Cryptocurrency exchange, has announced its issuing of
investment declaration reports for all its retail and institutional investors.

• The report will contain information about what the investors have sold or bought, hence, it will act
as proof of the exact money the investors made or lost while trading in cryptocurrencies to Indian
Tax authorities.
95. Which company partnered with Federal Bank to launch a Neo Banking app, “Fi” for the
salaried millennials?
1) Freecharge
2) PhonePe
3) MobiKwik
4) Google Pay
5) Amazon Pay
Answer- 4) Google Pay
Explanation:
Google Pay partnered with Federal Bank to launch a Neo Banking app, “Fi” for the salaried millennials.
About Federal Bank:
MD & CEO: Shyam Srinivasan
Headquarters: Aluva, Kerala
Tagline: Your Perfect Banking Partner
96. Which is India’s 1st Mutual Fund to have crossed Rs.5 lakh crore in Average Assets Under
Management?
1) Mirae Mutual Funds
2) ICICI Prudential Mutual Funds
3) Axis Mutual Funds
4) Kotak Mutual Funds
5) SBI Mutual Funds
Answer- 5) SBI Mutual Funds
Explanation:
SBI Mutual Funds (MF) announced that its Average Assets Under Management (AAUM) has crossed Rs.5
lakh crore making it the first mutual fund company to cross this mark.
97.What is the maximum growth rate projected for India for FY22 by the Information and Credit Rating
Agency of India Limited (ICRA) in April 2021?
1) 10.5%
2) 12.6%
3) 11%
4) 13.69%
5) 12%
Answer- 1) 10.5%
Explanation:
Information and Credit Rating Agency of India Limited (ICRA) reduced India’s GDP growth forecast for
FY22 by 0.5 per cent i.e. projected growth to a range of 10-10.5 per cent, against 10-11 per cent of its
earlier estimation.
Brokerage Current GDP growth forecast % for FY22
Nomura 12.60%
JP Morgan 11 %
UBS 10.00%
Citi 12.00%

98. In April 2021, Padma Vibhushan awardee, Maidavolu Narasimham passed away. What was
the Govt. position previously held by him?
1) Cabinet Secretary
2) Finance Minister
3) Chief Justice of India
4) RBI Governor
5) President of India
Answer- 4) RBI Governor
Explanation:
Former RBI Governor, Padma Vibhushan awardee, Maidavolu Narasimham passed away at Hyderabad
due to Covid-19. He is known as “The Father of Banking sector reforms in India”.
He headed the committee that recommended the implementation of Securitisation and Reconstruction
of financial assets and Enforcement of Security Interest(SARFAESI) act ,2002.
99.Which state’s Industrial and Infrastructure Development Corporation recently (in Apr’21)
signed an MoU with the World Trade Center (WTC) to promote trade and International
investment?
1) Punjab
2) Telangana
3) Karnataka
4) Goa
5) Haryana
Answer- 5) Haryana
Explanation:
The Haryana State Industrial and Infrastructure Development Corporation (HSIIDC) signed a
Memorandum of Understanding(MoU) with the World Trade Center(WTC) to promote trade and bring
in National and International investment in Faridabad, Haryana.
100.Which company recently (in Apr’21) entered into a co-lending partnership with HDFC ltd for
offering housing loans?
1) IIFL Home Finance Limited
2) Shriram Housing Finance Limited
3) Indiabulls Housing Finance Limited
4) Mahindra Rural Housing Finance Limited
5) Magma Housing Finance Limited
Answer- 3) Indiabulls Housing Finance Limited
Explanation:
Housing Development Finance Corporation (HDFC) Ltd and Indiabulls Housing Finance Limited
(Indiabulls HFL) entered into a strategic co-lending partnership to offer housing loans to homebuyers.
About Indiabulls Housing Finance Limited:
Vice-Chairman & MD – Gagan Banga
101. In April 2021, FirstRand Bank decided to withdraw all its banking services from India. The
bank belongs to which country?
1) Germany
2) France
3) USA
4) South Africa
5) New Zealand
Answer- 4) South Africa

Explanation:
FirstRand Bank, 2nd largest bank in South Africa has decided to withdraw its banking services from
India just within a week of Citibank's exit.
About FirstRand Bank:
Chief Executive Officer: Alan Patrick Pullinger
Headquarters: Johannesburg, South Africa
102. Which bank(s) partnered with Aceware FinTech Services to launch Kerala’s 1st neobank
‘Ace Money Neobank’?
1) ICICI Bank
2) YES Bank
3) HDFC Bank
4) Only 1 & 2
5) All 1, 2 & 3
Answer- 4) Only 1 & 2
Explanation:
In April 2021, Aceware FinTech Services, a Kerala-based fintech services company, launched Kerala’s
first neobank called Ace Money Neobank, in partnership with YES Bank and ICICI Bank.
• Neobank is a kind of digital bank without any branches.
103. Which Bank recently (in Apr’21) appointed Ernst & Young Global Limited as its digital
consultant?
1) Bandhan Bank
2) Indian Overseas Bank
3) Federal Bank
4) Corporation Bank
5) Canara Bank
Answer- 2) Indian Overseas Bank
Explanation:
Indian Overseas Bank (IOB) appointed Ernst & Young Global Limited, a multinational professional
services network as its digital consultant. This partnership is a part of IOB’s growth strategy to
transform its banking services into Digital format.
About Indian Overseas Bank (IOB):
MD & CEO– Partha Pratim Sengupta
104. Which organisation partnered with Tata Steels to implement the World’s 1st blockchain-
enabled paperless transaction in the steel industry?
1) DBS Bank
2) MasterCard
4) NatWest
5) HSBC
Answer- 5) HSBC
Explanation:
In April 2021, Tata Steel Ltd and HSBC, a banking and financial services organisation, executed the
global first blockchain-enabled paperless transaction in the steel industry. Under the transaction, Tata
Steel exported steel to Universal Tube & Plastic Industries, UAE.
• Contour & essDOCS are the blockchain platforms used under the transaction.
Headquarters of Tata Steel Ltd – Jamshedpur, Jharkhand
Headquarters of HSBC – London, United Kingdom

105. What is the GDP forecast of India for FY22 as per Care Ratings, as of April 2021?
1) 12.6%
2) 11%
3) 10.2%
4) 12%
5) 9.3%
Answer- 3) 10.2%
Explanation:
Care Ratings has reduced India’s Gross Domestic Product (GDP) growth forecast for FY22 to 10.2% from
its earlier projection of 10.7-10.9%.
About Care Ratings:
Establishment – April 1993
MD & CEO – Mr. Ajay Mahajan
106. Which bank recently (in Apr’21) acquired a 9% equity stake in Techfino Capital Private
Limited (TCPL)?
1) RBL Bank
2) IndusInd Bank
3) DBS Bank
4) Bandhan Bank
5) DCB Bank
Answer- 5) DCB Bank
Explanation:
DCB Bank Limited acquired a minority stake of around 9% equity stake in Techfino Capital Private
Limited (TCPL), a non-banking financial company (NBFC).
107.In April 2021, the New Development Bank (NDB) issued a USD 1.5 billion benchmark bond.
Identify the points that are correctly related to NDB:
A) The USD 1.5 billion benchmark bond has a maturity period of 5 years
B) The bond will provide COVID-19 Emergency Program Loans to ASEAN countries
C) India’s K V Kamath was the 1st President of NDB
1) Only A & B
2) Only B & C
3) All A, B & C
4) Only A & C
5) Only C
Answer- 4) Only A & C
Explanation:
In April 2021, the New Development Bank (NDB) of BRICS (Brazil, Russia, India, China, and South Africa)
issued a USD 1.5 billion benchmark bond with 5 years of maturity.
• NDB will use the total earnings of the Bond for financing sustainable development activities and to
provide COVID-19 Emergency Program Loans to the member countries (BRICS).
• India’s K V Kamath was the 1st President of the New Development Bank (NDB).
108. Which Bank partnered (in Apr’21) with Google Pay & Visa to provide a secure tokenization
to its credit cards?
2) HSBC India
3) DBS Bank
4) Citibank
5) Deutsche Bank
Answer- 2) HSBC India

Explanation:
HSBC India has partnered with Google Pay (GPay) and Visa to provide a secure tokenization on its credit
cards.
This is done based on the principle of NFC(Near Field Communication), QR pay and in-app purchase
109. Which company along with Mastercard launched the World’s 1st QR Credit Card “ConQR”?
1) Mahindra & Mahindra Financial Services
2) Bank of Baroda Financial Solutions
3) Tata Capital Financial Services
4) Shriram City Union Finance
5) Ujjivan Financial Services
Answer- 2) Bank of Baroda Financial Solutions
Explanation:
The Mastercard and Bank of Baroda Financial Solutions (BFSL), a wholly-owned subsidiary of Bank of
Baroda came together to launch World’s 1st QR on Card Program ‘ConQR’ – a Mastercard QR on Card
solution to simplify digital payments of Small and medium-sized enterprises (SMEs).
• ConQR Credit Card will have a Bharat QR Code on the card face
110. Which bank signed an Agreement (in Apr’21) with The Chennai Angels to provide credit up
to Rs. 50 crores to the Start-up company?
1) Canara Bank
2) Indian Overseas Bank
3) Federal Bank
4) Indian Bank
Answer- 4) Indian Bank
Explanation:
In order to extend support to Start-ups under the program ‘IND Spring Board’, Indian Bank made an
agreement with The Chennai Angels, an angel investment group on April 22, 2021.
Indian Bank will provide credit facilities of up to Rs 50 crore for working capital requirements.
111. Which Bank’s license was cancelled by RBI (in Apr’21) due to its inadequate capital?
1) Independence Cooperative Bank
2) CKP Co-operative Bank
3) Bhagyodaya Friends Urban Co-operative Bank
4) Mapusa Urban Co-operative Bank
5) Vasantdada Nagari Sahakari Bank
Answer- 3) Bhagyodaya Friends Urban Co-operative Bank
Explanation:
The Reserve Bank of India (RBI) has cancelled the license of Bhagyodaya Friends Urban Co-operative
Bank Limited, Maharashtra in April 2021, as the bank doesn’t have adequate capital to fund its
depositors in full and as it did not comply with the various provisions of the Banking Regulation Act,
1949.
112.What is India’s GDP for FY22 projected by India Ratings and Research in April 2021?
1) 10.6%
2) 12.6%
3) 11.1%
4) 10.1%
5) 11.5%
Answer- 4) 10.1%

Explanation:
On April 23, 2021, India Ratings and Research (Ind-Ra) reduced India’s GDP growth forecast of FY22 to
10.1% from its earlier projection of 10.4%.
113.What is/are the types of Investment that are facilitated through the ‘Axis Direct RING’ mobile
application of Axis Direct?
1) Mutual Funds
2) Government Securities
3) Debentures
4) Stock Market
5) All the Above
Answer- 4) Stock Market
Explanation:
Axis Direct, the flagship brand of Axis Securities, a wholly-owned subsidiary of Axis Bank, launched a
mobile application called ‘Axis Direct RING’ which supports making a simple, fast & real time investment
in stock markets.
MD & CEO- B Gopkumar
114.Indian States & UTs can avail Ways and Means Advances (WMA) at an interest rate of _____, as
RBI extended the interim Ways and Means Advances (WMA) limit of Rs 51,560 crore for __________
in April 2021.
1) 3.5%, 1 year
2) 4%, 1 year
3) 4.25%, 1 year
4) 4%, 6 months
5) 3.5%, 6 months
Answer- 4) 4%, 6 months
Explanation:
On April 23, 2021, due to the prevalence of the COVID-19, The Reserve Bank of India (RBI) has informed
the continuation of the existing interim Ways and Means Advances (WMA) limit of Rs 51,560 crore for
all states and Union Territories(UTs) for 6 months i.e. up to September 30, 2021.
• States & UTs can avail WMA, SDF and Overdraft at an interest rate equal to the RBI’s repo rate
(current repo rate – 4%).
115.Which International financial company along with Diners Club International Ltd was
restricted by RBI (in Apr’21) for integrating new domestic customers into their network?
1) JCB Co., Ltd.
2) Mastercard
3) American Express
4) Capital One
5) Visa
Answer- 3) American Express
Explanation:
On April 23, 2021, The Reserve Bank of India (RBI) has restricted American Express Banking Corp
(Amex) and Diners Club International Ltd, the payment system operators from on-boarding new
domestic customers onto their card networks from May 1, 2021, due to the non-compliance with the
directions on Storage of Payment System Data.
116. Which bank is India’s leading lender of Credit Cards as of February 2021?
2) Axis Bank

3) Citibank
4) ICICI Bank
5) HDFC Bank
Answer- 5) HDFC Bank
Explanation:
ICICI Bank and SBI Cards have a strong growth in new Credit card issuance from December 2020 to
February 2021, after the temporary halt of HDFC Bank Ltd from issuing new cards from December 2020.
Bank Outstanding credit cards as of February Outstanding credit cards as of December
2021 2020
HDFC 1.51 crore 1.53 crore
Bank
ICICI 1.03 crore 99.1 lakh
SBI Cards 1.17 crore 1.14 crore

Axis Bank 70.36 lakh 68.7 lakh
117. PFRDA is planning to raise the maximum entry age to _________ for the National Pension
System from _________.
1) 45, 40
2) 65, 60
3) 50, 45
4) 70, 65
5) 65, 50
Answer- 4) 70, 65
Explanation:
The Pension Funds Regulatory and Development Authority (PFRDA) is planning to raise the maximum
age of entry into the National Pension System (NPS) to 70 years from 65 and plans to allow those who
join after the age of 60 to continue their NPS accounts till 75 years (Present age limit is 70).
118.Who/What recently (in Apr’21) got approval from the International Financial Services
Centre Authority (IFSCA) for operating in Gujarat’s GIFT City?
1) Foreign Portfolio Investors
2) Mutual Funds Brokerages
3) Foreign Direct Investors
4) Insurance Companies
5) Non-Banking Finance Companies
Answer- 5) Non-Banking Finance Companies
Explanation:
In April 2021, the International Financial Services Centre Authority (IFSCA) allowed the Non-Banking
Finance Companies(NBFCs) (both local and global) to start their operations in Gujarat’s GIFT City
(Gujarat International Finance Tec-City) to enable the local NBFCs to get global exposure.
119. ____________ allowed insurers to invest in debt instruments issued by InvIT & REIT with at
least _______ being invested in AAA rated assets.
1) RBI, 25%
2) SEBI, 50%
3) IRDAI, 75%
4) SEBI, 75%
5) IRDAI, 50%
Answer- 3) IRDAI, 75%

Explanation:
The Insurance Regulatory and Development Authority of India (IRDAI) allowed insurers to invest in
debt instruments which are issued by Infrastructure Investment Trusts (InvITs) and Real Estate
Investment Trusts (REITs).
• 75% of investments should be of AAA rated assets
• 25% should be of AA or A rated asset
120. In April 2021, ________ allowed commercial banks to pay up to _________ of dividends for FY 21.
1) SEBI, 25%
2) RBI, 50%
3) IRDAI, 50%
4) SEBI, 75%
5) RBI, 25%
Answer- 2) RBI, 50%
Explanation:
In April 2021, RBI allowed banks for payment of dividends for FY21, with certain conditions and limits.
RBI allowed commercial banks to pay up to 50% of what they paid before COVID-19 from the profits for
the fiscal ended March 31, 2021.
121. Who was appointed as the MD & CEO of National Commodity & Derivatives Exchange Limited
(NCDEX) by SEBI in April 2021?
1) Ajay Tyagi
2) P. S. Reddy
3) Arun Raste
4) G.V. Nageswara Rao
5) Vijay Kumar
Answer- 3) Arun Raste
Explanation:
SEBI approved the appointment of Arun Raste as Managing Director and Chief Executive Officer of
National Commodity & Derivatives Exchange Limited (NCDEX) for a term of five years. He succeeds Vijay
Kumar.
122.Which financial institution introduced India’s 1st video-based Wealth Community for its
users to live interact with subject-matter experts?
1) PhonePe
2) Zerodha
3) Upstox
4) Paytm
5) India Infoline
Answer- 4) Paytm
Explanation:
Paytm, the digital financial service company introduced India’s first video-based wealth community for
the users to interact with subject-matter experts in live sessions on different wealth topics such as IPO,
F&O, ETFs, mutual funds, stocks, gold, fixed income, and personal finance.
123. Which Mutual Fund company recently (in Apr’21) launched its Nifty Next 50 Index Fund to
enable investors to invest in Nifty Next 50 at low cost?
1) HDFC Mutual Fund
2) Reliance Mutual Fund
3) Axis Mutual Fund
4) SBI Mutual Fund
5) Edelweiss Mutual Fund
Answer- 4) SBI Mutual Fund

Explanation:
On April 26, 2021, SBI Mutual Fund launched SBI Nifty Next 50 Index Fund, an open-ended index
scheme. It is the second index fund of SBI Mutual Fund as it already has the SBI Nifty Index Fund under
the Exchange Traded Fund (ETF) category.
• It enables the investors to invest in all securities under the Nifty Next 50 Index with lower costs.
• The investment could be done daily, weekly, monthly, quarterly, semi-annual and annual SIP.
124. In April 2021, RBI released a circular “Corporate Governance in Banks – Appointment of
Directors and Constitution of Committees of the Board”.
Identify the points that are correct with respect to RBI’s notification:
A) Tenure of MD & CEO of Banks is increased to 20 years
B) Maximum age limit of Non-Executive Directors is altered to 75 years
C) Changes are applicable to all banking entities except Foreign banks operating as branches in
India
1) Only B & C
2) Only A
3) Only C
4) All A, B & C
5) Only A & B
Answer- 1) Only B & C
Explanation:
RBI in its circular – “Corporate Governance in Banks – Appointment of Directors and Constitution of
Committees of the Board”, has fixed 15 years as the tenure for the Managing Director and Chief
executive officers (MD & CEOs) or whole-time directors (WTDs) to hold their post in a bank.
• RBI also extended the Upper age limit for MD & CEOs of banks to 70 years
• While Non-Executive Directors can serve upto 75 years of age or for a maximum tenure of 8 years.
• The instructions are applicable to all banking entities except Foreign banks operating as branches
in India.
125.Who was appointed as the Non-Official Director of the Central Board of RBI by Finance
Ministry in April 2021?
1) Arvind Panagariya
2) Tarun Bajaj
3) Ajay Bhushan Pandey
4) Urjit Patel
5) Ajay Seth
Answer- 5) Ajay Seth
Explanation:
The government of India has appointed Ajay Seth, the Economic Affairs Secretary in the Ministry of
Finance as the non-official director of the Central Board of RBI. Ajay Seth assumed the charge of
Economic Affairs Secretary in April 16,2021.
126. In April 2021, Bank of America (BofA) recommended Indian Govt to invest USD 401 Billion
to fight Climate Change.
Which of the points are correctly related to the recommendations & India’s initiatives?
A) BofA recommends 2 themes - Blending Ethanol & Green Hydrogen to combat pollution
B) India has increased ethanol blending ratio with Petrol to 5% in 2020
C) In 2021 Budget, India approved Rs. 10,000 crore under Production Linked Incentive scheme
to create 45 GW solar PV manufacturing capacity
1) Only B & C
2) Only A & C
3) All A, B & C
4) Only B

5) Only A & B
Explanation:
According to the report of Bank of America (BofA), India needs 401 Billion USD Capital investments as a
part of its measures to control pollution under the 2015 Paris Climate Agreement, to save 106 GW of
energy and 1.1 billion tonne greenhouse gases between 2015 and 2030.
i.Bank of America(BofA) has identified 2 new themes for India to combat Pollution: i.Blending Ethanol
ii.Green Hydrogen
ii.Govt. of India has increased the ethanol blending with petrol ratio from 1.4% in 2014 to 5% in 2020,
10% by 2022 and to 25% by 2025.
iii.In 2021 Budget, Govt. approved Rs 4,500-crore production linked incentive scheme to create 10 GW
solar PV manufacturing capacity.
127.Which organisation conducted the study that revealed Air Pollution in India annually costs
95 Billion USD, or 3% of India’s GDP to Indian Businesses?
1) Federation of Indian Chambers of Commerce & Industry
2) Quality Council of India
3) Confederation of Indian Industry
4) Central Pollution Control Board
5) The Energy and Resources Institute
Answer- 3) Confederation of Indian Industry
Explanation:
Confederation of Indian Industry (CII); Clean Air Fund, a charity and Delberg, a consulting firm has
released a study which states that Air pollution in India annually costs Indian businesses around 95
Billion USD (~INR 7 lakh Crore), or 3% of India’s GDP.
128.In April 2021, Indian Govt. invested ________ to improve the financial health of ______________.
1) Rs 200 crore, India Infrastructure Finance Company
2) Rs 375 crore, Industrial Investment Bank of India
5) Rs 200 crore, Industrial Investment Bank of India
Answer- 1) Rs 200 crore, India Infrastructure Finance Company
Explanation:
In order to improve the financial health of the Industrial Finance Corporation of India (IFCI), in April
2021, the Government has infused Rs 200 crore capital in IFCI through issue of equity shares. After the
capital infusion, the government’s holding in IFCI was increased from 61.02 per cent to 63.8 per cent.
129. Which international organisation (as of Apr’21) provided a total of $1.5 billion (~Rs 1.11
lakh crore) to India for tackling covid-19?
1) World Bank
2) World Health Organisation
3) New Development Bank
4) UNICEF
Explanation:
The latest Annual Report of Asian Development Bank(ADB) released on 27th April 2021 showed that
ADB had provided $1.5 billion(~Rs 1.11 lakh crore) to India in supporting the response to tackle covid-
19.

130. In April 2021, RBI issued guidelines for the appointment of Statutory Central Auditors
(SCAs)/Statutory Auditors (SAs) for Banks and NBFCs.
Identify the points that are correctly related to the guidelines:
A) SCAs/SAs should be appointed for a continuous period of 3 years with effect from FY-22
B) Regional Rural Banks are exempted from this procedure
C) Entities with asset size less then Rs 15,000 crores, should appoint a minimum of 1 audit firm
for auditing
1) Only B & C
2) Only A & C
3) All A, B & C
4) Only B
5) Only A & B
Explanation:
On April 27, 2021, RBI issued guidelines for the appointment of Statutory Central Auditors
(SCAs)/Statutory Auditors (SAs) of Commercial Banks (excluding Regional Rural Banks(RRBs)), Urban
Cooperative Banks (UCBs) and Non-banking finance companies(NBFCs) (including Housing finance
companies(HFCs)) from FY22 onwards.
i.The banks have to appoint the SCAs/SAs for a continuous period of 3 years, satisfying the eligibility
norms each year.
ii.All the other Entities with asset size less then Rs 15,000 crores, should appoint a minimum of 1 audit
firm for conducting statutory audit.
131. Which company partnered (in Apr’21) with NPCI International Payments Ltd (NIPL) to
expand its UPI transactions in Global Market?
1) Avancer Software Solutions
2) Financial Software & Systems
3) Sensiple Software Solutions
4) Aspire Systems
5) Global Software Solutions
Answer- 2) Financial Software & Systems
Explanation:
Financial Software and Systems (FSS), India’s largest payments processor, and NPCI International
Payments Ltd (NIPL), the International arm of National Payment Corporation of India (NPCI) made a
partnership to expand Unified Payment Interface (UPI) rails in international markets.
132. Which organisation (in Apr’21) announced a financial assistance of Rs 135 crores to India
for procuring medical supplies including oxygen to tackle COVID-19?
1) Google
2) Amazon
3) Microsoft
4) Facebook
5) Apple
Answer- 1) Google
Explanation:
Sundar Pichai, Chief Executive Officer (CEO) of Google and Alphabet, announced that Google will provide
around Rs 135 crore as an aid to India to tackle the COVID-19 crisis in India. Google’s fund will help
India to procure medical supplies including oxygen and testing equipment.
133.Which organisation projected India’s GDP to grow by 11% in FY-22 in its Asian Development
Outlook in April 2021?
1) Moody's Analytics
2) UN-ESCAP

3) World Bank
4) Bank of America
Explanation:
Asian Development Outlook (ADO), 2021 was released by Asian Development Bank (ADB) on April 26,
2021, in which it forecasted the Indian economy to grow at 11 per cent in FY22 from 8% earlier and it
also predicted a GDP expansion in FY22 at 7 per cent. It also pointed out the risk in economic recovery
due to an increase in COVID-19 cases.
134.Which organisation (in Apr’21) predicted that India should spend Rs 67,193 crores for
vaccinating all Indians above 18 years?
1) India Ratings and Research
2) Fitch Ratings
3) Bank of America
4) Moody's Analytics
Answer- 1) India Ratings and Research
Explanation:
The India Ratings and Research (Ind-Ra) said the estimated cost to vaccinate all the Indians of age 18
years will be Rs 67,193 crores. This is 0.36% of the GDP of the country.
135 ________ reclassified New India Assurance Co Ltd (NIACL) as Public Category investor from
Promoter as per the regulatory guidelines of ________.
1) Canara Bank, SEBI
2) Axis Bank, SEBI
3) Canara Bank, RBI
4) Axis Bank, Ministry of Corporate Affairs
5) Canara Bank, Ministry of Corporate Affairs
Answer- 2) Axis Bank, SEBI
Explanation:
On April 28, 2021, The board of Axis Bank approved the reclassification of New India Assurance Co Ltd
(NIACL) from promoter category to public category investor. NIACL owns 0.67 per cent of the total
issued and paid-up equity share capital of the Axis bank.
• Reclassification of Promoters as Public is done based on the regulatory norms of SEBI.
136. The Ministry of Finance announced the interest rates for General Provident Fund (GPF) &
other non-government PF for Q1 of FY22.
Identify the points that are correctly related to GPF:
A) Interest rate of 7.1% is fixed for GPF scheme for Q1 of FY22
B) Only Government employees are eligible for GPF scheme
C) Investing in GPF provides Income Tax exemptions under Section 80C of Income Tax Act
1) Only A & C
2) All A, B & C
3) Only B
4) Only A & B
5) Only B & C
Explanation:
Ministry of Finance, retained the General Provident Fund (GPF) and other non-government PF, Gratuity
funds interest rate unchanged at 7.1% for the first quarter Q1 of FY22.
i.The interest income earned on the GPF amount is exempted under Section 80C of the Income Tax Act,
1961.

ii.GPF is a saving instrument only for Government employees, they can contribute a portion of his/her
salary regularly till the time he/she is employed.
137. Which Bank launched the digital banking service, ‘Merchant Stack’ to serve its retail
merchant customers?
1) Canara Bank
2) Axis Bank
3) ICICI Bank
4) HDFC Bank
5) Indian Bank
Answer- 3) ICICI Bank
Explanation:
ICICI Bank launched ‘Merchant Stack’, a digital banking services as a continuation of its ‘ICICI Stack’, for
retail merchants especially for the Micro, Small and Medium Enterprises (MSMEs) and Entrepreneurs.
138. Which bank signed an MoU (in Apr’21) with BSNL to receive telecom services for the Bank at
a competitive rate?
1) Indian Bank
2) Canara Bank
Answer- 1) Indian Bank
Explanation:
Indian Bank signed an MoU with Bharat Sanchar Nigam Limited (BSNL) to provide telecom services to
the bank at a competitive rate. The MoU was signed in the presence of the executive director of Indian
Bank and chief general manager of BSNL Chennai Telephones.
139.Who was appointed as the Finance Secretary of India in April 2021?

1) Ajay Bhushan Pandey
2) Ajay Seth
3) T V Somanathan
4) Debasish Panda
5) Tuhin Kanta Pandey
Answer- 3) T V Somanathan
Explanation:
The Expenditure Secretary T V Somanathan was recently appointed as the Finance Secretary by the
Appointments Committee of the Cabinet. He will succeed Ajay Bhushan Pandey.
Finance Secretary is the senior most post among the 4 secretaries in the Finance Ministry.
140. In April 2021, Amitabh Chaudhry was appointed as the MD & CEO of ________ for a 3-year term
until 31 December 2021.
1) ICICI Bank
2) Axis Bank
3) Federal Bank
4) Bandhan Bank
5) City Union Bank
Explanation:
On 29th April 2021, the board of Axis Bank approved the re-appointment of Amitabh Chaudhry as the
Managing Director(MD) and Chief Executive Officer(CEO) of Axis Bank for a period of 3 years, with effect
from January 1, 2022 up to December 31, 2024.

Static Banking Questions
1.Where is the headquarters of the United Nations Economic and Social Commission for Asia and
the Pacific (UN-ESCAP) located?
1) Manila, Philippines
2) Kuala Lumpur, Malaysia
3) Bangkok, Thailand
4) Jakarta, Indonesia
5) Beijing, China
Answer- 3) Bangkok, Thailand
Explanation:
About The United Nations Economic and Social Commission for Asia and the Pacific (UN-ESCAP)
Establishment – 1947 as the Economic Commission for Asia and the Far East (ECAFE)
Executive Secretary – Armida Salsiah Alisjahbana
Headquarters – Bangkok, Thailand
2.Which bank functions with the tagline, “Apno Ka Bank”?

1) DCB Bank
2) IDFC First Bank
3) IndusInd Bank
4) RBL Bank
5) South Indian Bank
Answer- 4) RBL Bank
Explanation:
About RBL Bank:
MD & CEO – Vishwavir Ahuja
Tagline– Apno Ka Bank
3.Where is the headquarters of the digital wallet firm Mobikwik?

1) Mumbai, Maharashtra
2) New Delhi
3) Noida, Uttar Pradesh
4) Chennai, Tamil Nadu
5) Gurugram, Haryana
Answer- 5) Gurugram, Haryana
Explanation:
RBI asked the digital wallet firm Mobikwik, which is facing data breach allegations, to get a forensic
audit done immediately. A group of hackers made allegations that they have accessed personal and
financial data of nearly 10 crore Mobikwik customers.
· Mobikwik is headquartered at Gurugram, Haryana.
4.When was the National Investment & Infrastructure Fund Ltd (NIIFL) established?
1) 2014
2) 2019
3) 2018
4) 2004
5) 2015
Answer- 5) 2015
Explanation:
About National Investment & Infrastructure Fund Ltd (NIIFL):
It is India’s 1st infrastructure specific investment fund or a sovereign wealth fund that was set up by the
Government of India.

MD and CEO – SUJOY BOSE
5. What is the tagline of YES Bank?

1) Relationship Beyond Banking
2) Your Perfect Banking Partner
3) Experience Our Expertise
4) India’s International Bank
5) Together We Can
Answer- 3) Experience Our Expertise
Explanation:
About YES Bank:
MD & CEO– Prashant Kumar
Tagline– Experience our expertise
Incepted in 2004
6.What is the Maximum time limit for completion of the Corporate Insolvency Resolution Process
(CIRP) under the Insolvency and Bankruptcy Code (IBC) of India?
1) 180 days
2) 90 days
3) 270 days
4) 330 days
5) 120 days
Answer- 4) 330 days
Explanation:
Section 12 of the Insolvency and Bankruptcy Code (IBC), provides timelines for the completion of the
Corporate Insolvency Resolution Process (CIRP) within a period of 180 days extendible to a maximum of
270 days from the Insolvency Commencement Date (ICD).
In 2019, the IBC was amended to mandatorily complete the process within a period of 330 days from
the ICD.
7.When was the Securities and Exchange Board of India (SEBI) established?
1) 2001
2) 1995
3) 1987
4) 1992
5) 1973
Answer- 4) 1992
Explanation:
Establishment – On April 12, 1992
8. Through which of the Monetary Policy Instrument, RBI lends overnight loans to scheduled
banks, against government securities?
1) Repo Rate
2) Bank Rate
3) Marginal Standing Facility Rate
4) Reverse Repo Rate
5) Statutory Liquidity Ratio

Answer- 3) Marginal Standing Facility Rate
Explanation:
The MSF or Marginal Standing Facility (MSF) Rate is the rate at which RBI lends funds overnight to
scheduled banks, against government securities.
9.Match the given International Banks with their headquarters:

i. Asian Infrastructure Investment Bank a. Beijing, China
ii. New Development Bank b. Washington, D.C., U.S
iii. Asian Development Bank c. Manila, Philippines
iv. International Monetary Fund d. Shanghai, China
1) i-a, ii-b, iii-d, iv-c
2) i-a, ii-d, iii-c, iv-b
3) i-a, ii-b, iii-c, iv-d
4) i-a, ii-c, iii-b, iv-d
5) i-b, ii-c, iii-d, iv-a
Answer- 2) i-a, ii-d, iii-c, iv-b
Explanation:
International Banks Headquarters
Asian Infrastructure Investment Bank Beijing, China
New Development Bank Shanghai, China
Asian Development Bank Manila, Philippines
International Monetary Fund Washington, D.C., U.S
10. Where is the headquarters of Fincare Small Finance Bank located?

1) Bengaluru, Karnataka
2) Mumbai, Maharashtra
3) New Delhi
4) Chennai, Tamil Nadu
5) Hyderabad, Telangana
Answer- 1) Bengaluru, Karnataka
Explanation:
About Fincare Small Finance Bank:
MD & CEO– Rajeev Yadav
11. Which of the following Monetary Policy Instruments is used by RBI for injection and
absorption of liquidity in the market by sales & purchase of Government Securities?
1) Corridor
2) Liquidity Adjustment Facility
3) Market Stabilisation Scheme
4) Open Market Operation
5) Marginal Standing Facility
Answer- 4) Open Market Operation
Explanation:
Open Market Operation (OMO) is a Monetary Policy Instrument used by RBI for injection and absorption
of liquidity in the market by sales & purchase of Government Securities.
12.What is the type of Inflation that occurs when the overall price of a product increases due to
increase in the cost of wages & raw materials?
1) Demand-Pull inflation
2) Cost-Pull inflation

3) Demand-Push inflation
4) Cost-Push inflation
5) Built-In inflation
Answer- 4) Cost-Push inflation
Explanation:
Cost-push inflation occurs when overall prices of a product increase (inflation) due to increases in the
cost of wages and raw materials.
13.When was the National Housing Bank established?

1) 1955
2) 1969
3) 1999
4) 1988
5) 1982
Answer- 4) 1988
Explanation:
Establishment –July 9, 1988
Headquarters –New Delhi
Managing Director – Sarada Kumar Hota
14. “SWIFT” is commonly referred to as a term during transactions between banks. What does ‘I’
stand for in SWIFT?
1) Intermediate
2) International
3) Identification
4) Immediate
5) Interbank
Answer- 5) Interbank
Explanation:
Society for Worldwide Interbank Financial Telecommunication (SWIFT) is a vast messaging network
used by banks and other financial institutions to quickly, accurately, and securely send and receive
information, such as money transfer instructions.
15.When was the Agriculture Insurance Company of India Limited established?

1) 1992
2) 1956
3) 1973
4) 2008
5) 2002
Answer- 5) 2002
Explanation:
About Agriculture Insurance Company of India Limited:
Establishment: 20th December 2002
Chairman & MD: Malay Kumar Poddar
Headquarters: New Delhi.
16.Which is the 1st bank to start Aadhaar-based ATM service?

1) IndusInd Bank
2) Karur Vysya Bank
3) DCB Bank
4) City Union Bank
5) RBL Bank

Answer- 3) DCB Bank
Explanation:
DCB Bank is the first bank in India to start an Aadhaar-based ATM service (2016).
17. Match the following financial institutions with their respective Paid up capitals:
i. Payment Banks a. Rs. 500 crore
ii. Universal Banks b. Rs. 1 lakh
iii. Small Finance Banks c. Rs. 100 crore
iv. One Person Company d. Rs. 200 crore
1) i-d, ii-b, iii-a, iv-c
2) i-c, ii-d, iii-a, iv-b
3) i-b, ii-a, iii-c, iv-d
4) i-c, ii-a, iii-d, iv-b
5) i-d, ii-b, iii-c, iv-a
Answer- 4) i-c, ii-a, iii-d, iv-b
Explanation:
Financial Institutions Paid Up Capitals
Payment Banks Rs. 100 crore
Universal Banks Rs. 500 crore
Small Finance Banks Rs. 200 crore
One Person Company Rs. 1 lakh
18.Match the following Banks with their respective headquarters:

i. Corporation Bank a. Kolkata, West Bengal
ii. Indian Overseas Bank b. Mangalore, Karnataka
iii. Bandhan Bank c. Aluva, Kerala
iv. Federal Bank d. Chennai, Tamil Nadu
1) i-c, ii-d, iii-a, iv-b
2) i-b, ii-d, iii-a, iv-c
3) i-a, ii-b, iii-c, iv-d
4) i-b, ii-d, iii-a, iv-c
5) i-a, ii-d, iii-c, iv-b
Answer- 2) i-b, ii-d, iii-a, iv-c
Explanation:
Banks Headquarters
Corporation Bank Mangalore, Karnataka
Indian Overseas Bank Chennai, Tamil Nadu
Bandhan Bank Kolkata, West Bengal
Federal Bank Aluva, Kerala
19.Which is India’s 1st full-fledged consumer ‘neobank’?

1) Chqbook
2) Finin
3) Yelo
4) FamPay
5) Open
Answer- 2) Finin
Explanation:
Finin – India’s first full-fledged consumer neobank.

20.Who was the 1st President of the New Development Bank?
1) Rajesh Khullar
2) Marcos Prado Troyjo
3) Tenzin Lekphell
4) K V Kamath
5) Masatsugu Asakawa
Answer- 4) K V Kamath
Explanation:
India’s K V Kamath was the 1st President of the New Development Bank (NDB), which was established
by the BRICS countries.
About NDB:
Headquarters - Shanghai, China
21. Which of the following is NOT one of the 4 All India Financial Institutions listed by RBI?
1) Export - Import Bank of India (Exim Bank)
2) National Bank for Agriculture and Rural Development (NABARD)
3) Small Industries Development Bank of India (SIDBI)
4) Industrial Investment Bank of India (IIBI)
5) National Housing Bank (NHB)
Answer- 4) Industrial Investment Bank of India (IIBI)
Explanation:
4 All India Financial Institutions listed by RBI:
• Export - Import Bank of India (Exim Bank)
• National Bank for Agriculture and Rural Development (NABARD)
• Small Industries Development Bank of India (SIDBI)
• National Housing Bank (NHB)
22.‘InstaBIZ’ is a mobile banking app from Which Bank?

1) Canara Bank
2) Axis Bank
3) ICICI Bank
4) HDFC Bank
5) Kotak Mahindra Bank
Answer- 3) ICICI Bank
Explanation:
ICICI Bank’s “InstaBIZ” is a mobile app for business customers to access banking accounts and do
transactions.
23. Who authored the book, “From Reserve Bank to Finance Ministry and Beyond: Some
Reminiscences”?
1) Manmohan Singh
2) S Venkitaramanan
3) M. Narasimham
4) Bimal Jalan
5) Raghuram Rajan
Answer- 3) M. Narasimham
Explanation:
The Book, “From Reserve Bank to Finance Ministry and Beyond: Some Reminiscences” was authored by
former RBI Governor M. Narasimham.

24. When was the Financial platform ‘Paytm’ established?
1) 2005
2) 2015
3) 2012
4) 2008
5) 2010
Answer- 5) 2010
Explanation:
About Paytm:
Establishment – August 2010
Headquarters – Noida, Uttar Pradesh
Founder & CEO -Vijay Shekhar Sharma
GA Questions Asked in Exams
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• GA Questions asked in IBPS RRB PO Mains Exam 2019
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Banking, Finance & Economy PDF 2021 - April

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Banking, Finance & Economy News: April 2021

RBL collaborated with Tide to serve Indian SMEs

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RBI Tightened the Security Norms for Payment companies

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RBI has extended PSL by Banks to NBFCs up to September 30, 2021

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RBI Amended India’s Inflation-Forecasting Model – QPM

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RBI Set up a Committee Headed by Sudarshan Sen to Review Working of ARCs

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RBI Cancelled the Licence of Bhagyodaya Friends Urban Co-operative Bank

RBI Allowed Commercial Banks to Pay up to 50% of pre-COVID-19 Dividends

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APPOINTMENTS & RESIGNATIONS

S Ramann CEO of NeSL appointed as the CMD of SIDBI

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RBI Deputy Governor B P Kanungo Retires

World Bank Economist Poonam Gupta Appointed as 1st Woman DG of NCAER

Atanu Chakraborty to become Part-time Chairman of HDFC bank

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Arun Raste appointed as new MD & CEO of NCDEX

Expenditure Secretary TV Somanathan appointed as Finance secretary

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Amitabh Chaudhry re-appointed as MD & CEO of Axis Bank

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NSE Academy Signs MoU with GIFT SEZ Limited

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NPCI set up a subsidiary firm – NPCI Bharat BillPay Ltd

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CDC tied up with Northern Arc for PBI to support MFIs

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India contributes USD 300, 000 to UN Women

WTO revised its Global Trade Projection for 2021 to 8%

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