What is PMI? Purchasing Managers’ Index is an economic indicator which indicates the business activity & economic health of both the manufacturing and service sectors. PMI of India is published by Japanese firm Nikkei but compiled and constructed by IHS …
About MSF Marginal Standing Facility (MSF) is the rate at which the banks are able to borrow overnight funds from RBI against the approved government securities. MSF is a very short term borrowing scheme for banks. Banks may borrow funds …
Background In May 2020 as a part of the Aatmanirbhar Bharat package, the government allowed state governments to hike their borrowing limits from 3% to 5% of Gross State Domestic Product (GSDP), translating into an additional borrowing space of Rs …
What is the Operating ratio? Operating ratio measures expenses as a proportion of revenue or the amount spent on every rupee earned. A measure of expenditure against revenue, the operating ratio shows how efficiently the organisation is operating and how …
What are SDLs? State Development Loans (SDLs) are market borrowings by state governments. The RBI issues these securities on their behalf, through auctions. Purpose of issuing State Development Loans is to meet the budgetary needs of state governments. Each state …
What is a Non-Banking Financial Company (NBFC)? An NBFC is a company registered under the Companies Act, 1956 which provides banking services without meeting the legal definition of a bank. They engage in the business of loans and advances, acquisition …
What is external debt? External debt is the portion of a country’s debt that is borrowed from foreign lenders through commercial banks, governments, or international financial institutions. Governments and eligible corporations can raise loans from abroad. Components of external debt …
What is it? Electronic Way Bill (E-Way Bill) is basically a compliance mechanism wherein by way of a digital interface the person causing the movement of goods uploads the relevant information prior to the commencement of movement of goods and …
Context The contraction of the economy raises concern on the employment situation as the shrinking sectors are those that create the maximum new jobs. While the ‘Garib Kalyan Rojgar Abhiyan’ launched recently could be an immediate relief, the ₹50,000-crore employment …
What’s in the news? Export and Import Bank of India (Exim Bank) released a study titled ‘Self-Reliant India: Approach and Strategic Sectors to Focus.’ Highlights of the study Promoting self-reliance in sectors such as electronics and defence equipment, among others, …