Daily Current Affairs Capsules 25th January 2024

1. RBI announces revised eligibility norms for Urban Co-operative Banks (UCBs)

In the news:

• The Reserve Bank of India (RBI) has disclosed the revision of eligibility norms for the inclusion of urban cooperative banks (UCBs) in the second schedule of the Reserve Bank of India Act, 1934.
• Objective: To bring these banks under an updated regulatory framework.
• The criteria for classifying a UCB as Financially Sound and Well Managed (FSWM) were notified.
• RBI has now decided to align the eligibility norms for UCBs with the Revised Regulatory Framework.
• Criteria:
• Capital Adequacy: Maintain a Capital to Risk Weighted Asset Ratio (CRAR) of at least 3% more than the minimum CRAR requirement applicable to the UCB.
• Regulatory and Supervisory Compliance: Have no major regulatory and supervisory concerns.
• Eligible UCBs can apply for inclusion in the Second Schedule by submitting the necessary documents to the concerned Regional Office of the Department of Supervision of the Reserve Bank. The required documents include:
• Copy of the resolution passed by the Annual General Body/Board of Directors authorizing the application to RBI for inclusion.
• Major financial details of the bank along with copies of the published balance sheet for the last three years.
• The revised instructions will be effective from the date of the circular, which is January 17, 2024.

2. Canara HSBC Life Insurance launches iSelect Guaranteed Future Plus

In the news:

• Canara HSBC Life Insurance introduced iSelect Guaranteed Future Plus, a comprehensive plan.
• It is designed to deliver life insurance and assured benefits.
• This plan offers financial security and stability, catering to individuals and their families at various life stages and significant milestones.
• It empowers policyholders to accumulate a financial reserve for significant milestones like marriage, retirement, and child education, with guaranteed lump-sum benefits at the policy’s conclusion.
• Recently launched insurance scheme:
• Max Life launched SWAG Pension Plan
• LIC introduces Jeevan Dhara II Deferred Annuity Plan

3. Sebi releases framework for Offer for Sale (OFS) to employees through stock exchange

In the news:

• Securities and Exchange Board of India (Sebi) has released a circular summarizing the framework for offer for sale (OFS) of shares to employees through stock exchanges such as BSE and NSE.
• The promoters of eligible companies will be permitted to sell shares within two weeks from the offer for sale (OFS) transaction to the employees of such companies.
• Key provisions:
  • Bidding will be allowed during trading hours on T+1 day only.
  • Employees will place bids only at cut-off price of T+1 day.
  • The maximum bid amount will be ₹5 lakh.
  • Each employee is eligible for allotment of equity shares up to ₹2 lakh.
• In case there is an under-subscription in the employee portion, the unsubscribed portion may be allotted to such employees whose bid amount is over ₹2 lakh on a proportionate basis for a value over ₹2 lakh subject to the total allotment to an employee not exceeding ₹5 lakh.
• The employees are supposed to pay upfront the margin to the extent of 100 percent of the order value in cash or cash equivalents.
• What is Offer For Sale? (OFS)
• It is a simpler method of share sale through the exchange platform for listed companies.
• Introduced in: 2012
• Introduced by: SEBI
• Aim: To facilitate promoters of listed companies to reduce their holdings and comply with the minimum public shareholding norms within the stipulated time frame.
• Adopted by:
  • The method was largely adopted by listed companies, both state-run and private, to adhere to the SEBI order.
  • Later, the government started using this route to divest its shareholding in public sector enterprises.
• Features:
  • The OFS mechanism is used only when existing shares are put on the block.
  • Only promoters or shareholders holding more than 10% of the share capital in a company can come up with such an issue.
  • The mechanism is available to 200 top companies in terms of market capitalization.
  • In an OFS, a minimum of 25% of the shares offered, are reserved for mutual funds (MFs) and insurance companies.
  • The company must inform the stock exchanges two banking days before the OFS about its intention.
• Bidding by:  Foreign institutional investors, retail investors, or companies.

4. Sweden set to become NATO member as Turkey approves

In the news:

• Turkey’s parliament ratifies Sweden’s NATO membership bid, clearing the biggest remaining hurdle to expanding the Western military alliance after 20 months of delay.
• All NATO members need to approve applications from countries seeking to join the alliance.
• Sweden’s membership would make the entire Baltic coastline NATO territory – except the Russian coast and that of its enclave Kaliningrad.
• Recently, NATO signs 1.1 billion euro contract for 155mm artillery ammunition

5. Petroleum Ministry approves ONGC’s Green Energy Unit

In the news:

• The Ministry of Petroleum and Natural Gas has approved for the formation of a subsidiary company by the Oil and Natural Gas Corporation Limited (ONGC), dedicated to the green energy and gas sector.
• This significant move reflects the company’s commitment to diversify its portfolio and contribute to sustainable energy solutions.
• The newly approved subsidiary, tentatively named “ONGC Green Limited,” is slated to be a wholly-owned entity of ONGC.
• However, the proposed name is subject to the approval of the Ministry of Corporate Affairs, Government of India.
• The board also granted in-principle approval for the establishment of a Joint Venture Company (JVC) with NTPC Green Energy Limited.
• This move is significant in the context of the country’s commitment to the “Panchamrit” pledge made at COP26 in 2021.

6. Air India launches country’s 1st Airbus A350-900 flight

In the news:

• Air India operated its first Airbus A350 aircraft from Bengaluru’s Kempegowda International Airport to Mumbai.
• This is said to be India’s first Airbus A350-900 and is being operated in Chennai, Hyderabad, and Delhi.
• The Airbus has a capacity of 316 passengers and the flight saw 294 onboard.
• The airbus will be deployed on longer routes, and the domestic routes will be for better compliance and operation purposes.

7. CCI clears JSW Group’s 38% stake buy in MG Motor India

In the news:

• The Competition Commission of India (CCI) has cleared JSW Group’s proposed acquisition of a 38% stake in MG Motor India Pvt Ltd.
• MG Motor India is a wholly-owned subsidiary of Shanghai-headquartered SAIC Motor.
• JSW Ventures Singapore Pte, a newly incorporated entity, is a wholly-owned subsidiary of JSW International Tradecorp Pte and belongs to Sajjan Jindal-led JSW Group.
• MG Motor India is engaged in the manufacturing and sale of passenger cars (including EVs) under the company’s brand ‘MG’.

8. Serum Institute Partners with CEPI for affordable outbreak vaccines

In the news:

• The Serum Institute of India (SII) has joined the Coalition for Epidemic Preparedness Innovations (CEPI) network of vaccine producers in the Global South.
• Aim: To strengthen the response to future public health disease outbreaks through rapid, agile, and equitable means
• The collaboration between CEPI and SII aligns with the ambitious 100 Days Mission, a goal embraced by the G7, G20, and industry leaders.
• CEPI is investing up to $30 million to expand SII’s manufacturing capacity.
• SII becomes the fourth member of CEPI’s global manufacturing network, following Aspen in South Africa, Institut Pasteur de Dakar in Senegal, and Bio Farma in Indonesia
• The geographical emphasis is on areas at high risk of outbreaks caused by deadly viral threats such as Lassa Fever, Nipah, Disease X, and other pathogens with epidemic or pandemic potential prioritized by CEPI.

9. Cabinet clears Rs 8,500 cr incentive scheme for coal gasification projects

In the news:

• The Union Cabinet approved a Rs 8,500 crore incentive scheme for coal gasification projects.
• The adoption of gasification technology in India is expected to reduce the country’s reliance on imports of natural gas, methanol, ammonia, and other essential products.
• The government is targeting to gasify 100 million tonnes (MT) of coal by 2030.
• In the gasification process, coal is partially oxidized by air, oxygen, steam, or carbon dioxide under controlled conditions to produce a liquid fuel known as syngas.
• Syngas or synthesis gas can be used for power generation and to make methanol as well.

10. Himachal Pradesh launches ‘My School-My Pride’ for education transformation

In the news:

• Himachal Pradesh government has unveiled the ambitious ‘My School-My Pride’ campaign under the ‘Apna Vidyalay’ program.
• The ‘My School-My Pride’ campaign encourages active participation from individuals and organizations to adopt schools and contribute to various aspects of students’ growth.
• Under the programme, stakeholders will be urged to provide career counselling, offer remedial teaching, coach students for examinations, and engage in community support services.
• The initiative also involves monetary contributions for infrastructure development, event sponsorship, scholarships, and support for the Mid-Day Meal (MDM) programme.
• Under the programme, ‘Giving back to society’ initiative retired teachers or other employees, professionals, housewives or any other member of the society will be encouraged to come forward and become a member of the academic support team to teach the students without taking any payment or honorarium
• The Samagra Shiksha Abhiyan (SSA) will launch an online portal dedicated to the Apna Vidyalaya programme, ensuring transparency, accountability, and real-time monitoring of activities.
• Adding to the holistic approach, the ‘systematic adolescent management and value addition dialogue’ (SAMVAD) component will educate school going adolescents on moral values, drug awareness, nutrition, legal knowledge, and empowerment schemes.