On February 5, 2020, the Union Cabinet approved to bring regulation of cooperative banks under Reserve Bank of India. In order to achieve this, the
Cabinet approved amendments to Banking regulation act
Highlights According to the amendment, the cooperative banks will now hold the regulatory requirements that have been set for scheduled commercial banks. With the amendment, the cooperative banks have to conduct regulatory commands over cooperative banks. Also, it has to take the approval of RBIin order to appoint its CEO. The amendment is being made to prevent scenarios such as PMC bank crisis in the futureBackground In September 2019, the RBI imposed sanctions on Punjab and Maharashtra Cooperative Banks (PMC). The withdrawal limit in the banks were setto Rs 1000. Later, it was increased to Rs 50,000 to ease the distress of the customers.
RBI placed the restrictions as the bad loans in the bank accounted to 3.76% of its advances. Also, the profit of the bank had been decreasing. It was00 crores in 2018 and decreased to 99 crores in 2019. Therefore, RBI took precautionary measures to prevent
The Union Budget 2020 was presented by the Finance Minister Shrimati Nirmala Sitaraman. The budget was presented under three themes namely
Aspirational India, Economic Development and Care Giving. The Economic Development includes industries, commerce and manufacturing.
The Finance Minster referred to words Sreni (Guilds) and Seti (Wholesale Merchants) from Harappan Civilization seals. This proves that India was richin trade, commerce and metallurgy even before 4,500 years ago. The Budget allocated funds for the following Investment Clearance Cell to be set up set up The Budget proposed to set an Investment Clearance Cell that will provide end to end support including pre-investment advisory, information related to land banks and facilitate clearances at centre and state level. 5 new smart cities The Budget 2020-21 proposes three main activities as thebackbone of infrastructure development. They are Upcoming Economic corridors Revitalization of manufacturing activities Technology and demands for aspirational classes The GoI is to set up 5 new smart cities that will aid in the above developments.
Manufacturing The Budget focuses on the networks of the manufactured products. It aims to hu make the chain a part of the global network.
Electronics Manufacturing The potential of the Electronics Manufacturing sector 70in job creation is immense. It is important for India to boost domestic manufacturing and attract large investments in the electronics value chain
Schemet toencourage mobile phones manufacturing
The Budget proposes a scheme to encourage manufacturing of mobile phones, electronic equipment and semiconductor packaging. The scheme shall be extendded to medical devices as well. National Technical Textile Mission introduced India imports 16 billion USD of technical textiles every year. In orderto reverse the trend and position India as a leader in Technical Textile sector, National Technical Textile Mission is introduced. The mission is to be implemented in 4 years between 2020-21 and 2023-24. The estimated cost of the mission is 1,480 crores.
Cabinet approved amendments to Banking regulation act
Highlights According to the amendment, the cooperative banks will now hold the regulatory requirements that have been set for scheduled commercial banks. With the amendment, the cooperative banks have to conduct regulatory commands over cooperative banks. Also, it has to take the approval of RBIin order to appoint its CEO. The amendment is being made to prevent scenarios such as PMC bank crisis in the futureBackground In September 2019, the RBI imposed sanctions on Punjab and Maharashtra Cooperative Banks (PMC). The withdrawal limit in the banks were setto Rs 1000. Later, it was increased to Rs 50,000 to ease the distress of the customers.
RBI placed the restrictions as the bad loans in the bank accounted to 3.76% of its advances. Also, the profit of the bank had been decreasing. It was00 crores in 2018 and decreased to 99 crores in 2019. Therefore, RBI took precautionary measures to prevent
The Union Budget 2020 was presented by the Finance Minister Shrimati Nirmala Sitaraman. The budget was presented under three themes namely
Aspirational India, Economic Development and Care Giving. The Economic Development includes industries, commerce and manufacturing.
The Finance Minster referred to words Sreni (Guilds) and Seti (Wholesale Merchants) from Harappan Civilization seals. This proves that India was richin trade, commerce and metallurgy even before 4,500 years ago. The Budget allocated funds for the following Investment Clearance Cell to be set up set up The Budget proposed to set an Investment Clearance Cell that will provide end to end support including pre-investment advisory, information related to land banks and facilitate clearances at centre and state level. 5 new smart cities The Budget 2020-21 proposes three main activities as thebackbone of infrastructure development. They are Upcoming Economic corridors Revitalization of manufacturing activities Technology and demands for aspirational classes The GoI is to set up 5 new smart cities that will aid in the above developments.
Manufacturing The Budget focuses on the networks of the manufactured products. It aims to hu make the chain a part of the global network.
Electronics Manufacturing The potential of the Electronics Manufacturing sector 70in job creation is immense. It is important for India to boost domestic manufacturing and attract large investments in the electronics value chain
Schemet toencourage mobile phones manufacturing
The Budget proposes a scheme to encourage manufacturing of mobile phones, electronic equipment and semiconductor packaging. The scheme shall be extendded to medical devices as well. National Technical Textile Mission introduced India imports 16 billion USD of technical textiles every year. In orderto reverse the trend and position India as a leader in Technical Textile sector, National Technical Textile Mission is introduced. The mission is to be implemented in 4 years between 2020-21 and 2023-24. The estimated cost of the mission is 1,480 crores.
1 comment:
The nice information is given above the Budget. If looking for any course on Accounting and Taxation Diploma Mumbai do visit IIPTR, Dadar.
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