What are Open Market Operations (OMOs)? Open Market Operations are conducted by the RBI which involves sale or purchase of G-Secs to or from the market. The objective is to control the money supply conditions. If there is excess money …
What are P-Notes? P-Notes or Participatory Notes are instruments issued by a registered foreign institutional investor to an overseas investor who wishes to invest in Indian stock markets without registering themselves with the market regulator, the Securities and Exchange Board …
What’s in the news? The RBI has released a framework for setting up of a new umbrella entity for retail payments in the country including net and Aadhar-based payments and remittances as well as ATMs and point of sale payment …
Background According to Section 47 of the RBI Act, profit of the RBI has to be transferred to the government periodically. However, before transferring, some amount of the profit is kept aside for maintaining reserves of the RBI. What constitutes …
About IIP Index of Industrial Production (IIP) details out the growth of various sectors in an economy such as mineral mining, electricity and manufacturing. It is compiled and published every month by the Ministry of Statistics and Programme Implementation. The …
Context: The economic impact of COVID-19 has resulted in unanimity among economists that the global economy will experience one of its worst years in history. India is no exception and it is clear that, for the first time in many …
Context To revive the economy from the COVID-19 induced current slowdown, it is imperative that confidence must be injected back in the entire ecosystem. Consequences of economic contraction The slowdown in economic activity is both a function of external factors …
About MPC The Monetary Policy Committee (MPC) is a committee of the RBI which is entrusted with the task of fixing the benchmark policy interest rate (repo rate) to contain inflation within the specified target level. Under the flexible inflation …
What is it? Market Intervention Scheme is a price support mechanism implemented on the request of State Governments for procurement of perishable and horticultural commodities in the event of a fall in market prices. The Scheme is implemented when there …
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 …