May ' 25 Flashcards
(41 cards)
the Reserve Bank of India (RBI) initiated ______ significant surveys aimed at gathering valuable insights to guide its monetary policy decisions. These surveys are designed to assess inflation expectations and consumer confidence across urban and rural populations in India.
three
1.Inflation Expectations Survey of Households (IESH):
Objective: To capture households’ subjective assessments of price movements and inflation based on their individual consumption patterns.
Coverage: Conducted across _____ cities in India.
Purpose: The findings will help the RBI understand public expectations of inflation, which is crucial for setting interest rates and other monetary policies.
19
- Urban Consumer Confidence Survey (UCCS):
Objective: To collect qualitative responses from _______ regarding their sentiments on the general economic situation, employment scenario, price levels, and their own income and spending.
Coverage: Conducted across 19 cities in India.
Purpose: This survey provides insights into the confidence levels of urban consumers, which can influence consumption patterns and economic growth.
urban households
- Rural Consumer Confidence Survey (RCCS):
Objective: To gather current perceptions and one-year-ahead expectations of rural and semi-urban households on the general economic situation, employment scenario, overall price situation, and their income and spending.
Coverage: Spanning _____ states and Union Territories (UTs).
Purpose: Understanding rural consumer confidence is vital, given the significant contribution of the rural economy to India’s overall economic health.
31
the Department of Posts (DoP) also known as India Post, Ministry of Communications (MoC) has signed a Memorandum of Understanding (MoU) with _______, a joint venture between State Bank of India (SBI) and French-based AMUNDI Asset Management company (AAMC), to simplify the customer on-boarding process for Mutual Fund (MF) investors
SBI Funds Management Limited (SBIFM)
The initiative aims to streamline the Know Your Customer (KYC) process, ensure convenience, security and regulatory compliance for investors across India.
Union Minister Jyotiraditya Scindia, MoC and Ministry of development of Northeastern Region (MDoNER) has launched ‘Gyan Post’, a new service to make the delivery of educational, social, cultural and religious books more affordable across India.
- ‘Gyan Post’ will be operational at all department post offices across India from _______.
1st May 2025
Pune (Maharashtra) based Bajaj Allianz General Insurance Company Limited, a joint venture between Bajaj Finserv Limited (Pune) and Germany-based Allianz SE, launched _______, a first-of-its-kind parametric climate risk insurance product in India.
- The product is designed to offer quick financial relief to individuals affected by climate changerelated weather events such as extreme heat, cold waves, or excessive rainfall.
- It will provide financial support of up to Rs 6,000 per worker if the daily Air Quality Index (AQI) exceeds 400 beyond two strikes.
‘ClimateSafe’
The United States of America (USA) retains its position as the largest economy in the world with a Gross Domestic Product (GDP) of USD 30.51 trillion, followed by China (USD 19.53 trillion) and Germany (USD 4.92 trillion) in Washington, D.C., the United States of America (USA) based International Monetary Fund (IMF’s) ‘April 2025 World Economic Outlook (WEO)’,
- India is the ______ largest economy in the world with a Gross Domestic Product (GDP) of USD 4.39 trillion. India is expected to overtake both Germany and Japan by the year 2030, provided the current economic growth trajectory remains consistent.
- The IMF also forecasts India to be the fastest-growing major economy over the next two years, maintaining a significant advantage over both global and regional competitors.
fourth
the Reserve Bank of India (RBI) approved the formation of an interim “Committee of Executives” to oversee operations at Mumbai (Maharashtra) based ______, for up to three months or until a new Chief Executive Officer (CEO) is appointed, following the resignation of the bank’s Managing Director (MD) and CEO Sumant Kathpalia.
- The decision comes in the wake of significant accounting discrepancies related to the bank’s derivatives portfolio
IndusInd Bank Limited
Mumbai (Maharashtra)-based State Bank of India (SBI) signed a Memorandum of Understanding (MoU) with New Delhi (Delhi) based ________, an autonomous body under the Ministry of Home Affairs (MHA), to enhance the banking services infrastructure at 26 land ports situated along India’s borders with Nepal, Bangladesh, Bhutan, and Myanmar.
Land Ports Authority of India (LPAI)
New Delhi (Delhi)-based Sa-Dhan, a Self-Regulatory Organisation (SRO) appointed by the Reserve Bank of India (RBI) for microfinance and impact finance institutions, signed a Memorandum of Understanding (MoU) with Mumbai (Maharashtra)-based _______ to enhance financial access for small, micro, and women-led enterprises, especially in rural and semi-urban regions of India.
Bank of India (BoI)
Mumbai (Maharashtra)-based Reserve Bank of India (RBI) released the latest ‘Data on services trade for March 2025’. As per the data, India’s exports of goods and services reached all-time high of USD _______ in Financial Year 2024-25 (FY25), from its previous estimate of USD 820.93 billion (announced on April 15, 2025). This marks an increase of 6.01% compared to India’s total exports of USD 778.1 billion recorded in FY24.
824.9 billion
- This exponential growth in the exports sector in FY25 was mainly driven by a record surge in the shipments of services that reached USD 386.5 billion in the FY24 despite global trade headwinds.
i. The data further revealed that services exports surged to a record high of USD 387.5 billion in FY25, registering a growth of ______ over USD 341.1 billion in FY24.
ii. As per RBI’s data, services shipments has increased by 18.6% to USD 35.6 billion in March 2025 over USD 30 billion in March 2024.
iii. The data highlighted key sectors like telecommunication, computer and information services, transport, travel and financial services, which contributed significantly in the growth of India’s export sector.
iv. The data also showed that merchandise exports excluding petroleum products has increased to record high of USD 374.1 billion in FY25, reflecting growth of 6% from USD 352.9 billion in FY24, the highest ever annual non-petroleum merchandise exports.
13.6% ;
S&P Global Ratings (previously known as standard & Poor’s) released its report titled “Global Macro Update: Seismic Shift in US Trade Policy Will Slow World Growth”, revising India’s Gross Domestic Product (GDP) growth forecast for the fiscal year 2025-26 (FY26) to ______, a reduction of 20 basis points (bps) from its previous estimate of 6.5% in March 2025.
- The downgrade is attributed to uncertainties arising from recent United States (U.S.) tariff policies and their potential spillover effects on the global economy.
- India’s GDP growth forecast for FY27 has been revised to 6.5%, reflecting a reduction of 30 bps from the previous estimate of 6.8%.
6.3%
Projections of India’s GDP growth by following agency in April 2025,
i. International Monetary Fund (IMF) reduced India’s FY26 growth forecast by 30 bps to 6.2%, citing global trade tensions.
ii. World Bank (WB) adjusted India’s FY26 growth projection downward by 40 bps to 6.3%, aligning with concerns over global economic uncertainties.
iii. Reserve Bank of India (RBI) revised its FY26 growth estimate to 6.5%, a 20 bps reduction.
Bengaluru (Karnataka) – based _______, the payment service provider, has launched India’s first Model Context Protocol (MCP) server for a payment gateway, which enables businesses to integrate Artificial Intelligence (AI)-driven systems directly with its payment infrastructure.
- For the first time, AI agents and tools like Claude, Zapier, VS Code can natively talk to Razorpay with simple instructions.
- The new MCP server aims to streamline administrative work and workflow automation.
Razorpay Software Private Limited
i. MCP server, allows AI Assistants to carry out tasks, such as creating payment links, initiating refunds, and managing transactions, without the need for traditional dashboards or Application Programming Interface (API).
ii. With this development, businesses using Razorpay, can connect their AI tools, ranging from chat-based assistants to automated systems, directly linked to the backend of Razorpay.
- It enables payments to be initiated and processed with simple commands, making the process faster and less dependent on manual inputs.
iii. Earlier, payments were initiated and authorized by businesses by using the Razopay dashboard.
Note: The MCP was developed by Anthropic, is an open standard designed to enable Large Language Models (LLMs) to interact seamlessly with external tools, systems, and data sources.
Gurugram (Haryana)-based ________, a wholly owned subsidiary of One MobiKwik Systems Limited (MobiKwik), has received the final regulatory approval, Certificate of Authorisation (CoA) from the Reserve Bank of India (RBI) to operate as an online Payment Aggregator (PA).
Zaak ePayment Services Private Limited (Zaakpay)
- The CoA, granted under the Payment and Settlement Systems Act, 2007, enables Zaakpay to facilitate merchant payments through online platforms.
i. The approval allows Zaakpay, a fintech firm to provide businesses with comprehensive digital payment solutions across multiple modes. It will expand its business across credit and debit cards, net banking, Unified Payments Interface (UPI), wallets, pay later options and Equated Monthly Installments (EMIs).
ii. Zaakpay, currently caters to enterprise clients in sectors including transit, e-commerce, digital lending, healthcare, and utility bill payments.
iii. Zaakpay was granted in-principle approval to operate as a PA by RBI in 2023.
Gandhinagar (Gujarat) based International Financial Services Centres Authority (IFSCA) and Mumbai (Maharashtra)-based _______ have signed a Memorandum of Understanding (MoU) to boost capacity building and training initiatives in the securities markets in the Gujarat International Finance Tec-city- International Financial Services Centre (GIFT-IFSC) in Gandhinagar, Gujarat.
National Institute of Securities Markets (NISM)
- The MoU was signed both the entities in the presence of Tuhin Kanta Pandey, Chairperson of Mumbai (Maharashtra)-based Securities and Exchange Board of India (SEBI) and K. Rajaraman, Chairperson of IFSCA.
Note: NISM is a public trust established in 2006 by the SEBI
the Reserve Bank of India (RBI) imposed monetary penalties totalling ______ on five major Indian banks — Mumbai (Maharashtra) based ICICI Bank Limited, Mumbai (Maharashtra) based Axis Bank Limited, Vadodara (Gujarat) based Bank of Baroda (BoB), Pune (Maharashtra) based Bank of Maharashtra (BoM) and Mumbai (Maharashtra) IDBI Bank Limited — for non-compliance with various regulatory guidelines.
Rs 2.52 crore
Mumbai (Maharashtra)-based _______ and New York (United States of America, USA) based International Business Machines (IBM) Corporation partnered with the Government of Andhra Pradesh (AP) to set up India’s largest quantum computer at the upcoming Quantum Valley Tech Park, located in Amaravati, AP.
- This initiative is aligned with India’s National Quantum Mission (NQM), which aims to establish the country as a global hub in quantum computing, fostering innovation, job creation, and advanced research capabilities
Tata Consultancy Services Limited (TCS)
Hyderabad (Telangana) based _______ announced the launch of its revolutionary innovation, India’s first Artificial Intelligence (AI) powered gold melting Automated Teller Machine (ATM).
- The state-of-the-art ATM machine offers the ability to buy, sell, exchange, lease, digitize, and monetize gold and gold jewellery
Goldsikka Limited
New York, United States of America (USA) based Moody’s Ratings, formerly Moody’s Investors Service, released its Global Macro Outlook 2025-26 (May update). It revised India’s Gross Domestic Product (GDP) growth forecast for 2025 downward to ______, from the earlier estimate of 6.5%.
- It has retained its GDP growth projection for 2026 at 6.5%, following an estimated expansion of 6.7% in 2024.
6.3%
- This adjustment reflects concerns over global economic uncertainties, including heightened USA policy unpredictability, trade restrictions, and escalating geopolitical tensions, particularly between India and Pakistan .
Mumbai (Maharashtra)-based Securities and Exchange Board of India (SEBI) has mandated minimum investment threshold or ticket size of _______ for the issuance of Securitised Debt Instruments (SDIs) for the Reserve Bank of India (RBI)-regulated originators and unregulated entities engaged in securitization activities.
- It is now mandatory to have at least 3-year operating experience for originators.
- SEBI issued these new rules for SDIs by amending the ‘issue and listing of securities debt instruments and security receipts’ rules.
Rs 1 crore
These new norms aim at ensuring originators maintain interest in underlying assets, promoting market stability and investor confidence
Securitised Debt Instruments (SDIs)
i. SEBI has clarified that for originators which are not regulated by RBI, the minimum investment threshold for subsequent transfers will be Rs 1 crore.
ii. As per SEBI’s rules, public offers for SDIs will remain open for at least 3 days and maximum 10 days, subject to the condition that advertisement requirements aligned with SEBI’s regulations for nonconvertible securities.
iii. All SDIs are now required to be issued and transferred only in demat form. This rule is applicable across the board, irrespective of the nature of the originator.
iv. As per the new rules, originators are now required to hold minimum ______ of the securitized pool, or 5% in the case of receivables with a maturity period of up to 24 months (2 years).
v. SEBI has also introduced an optional clean-up call for originators, which will allow them to repurchase maximum 10% of the original value of the assets.
10%
- SEBI has further clarified that loans with maximum tenor of 2 years must be held for at least 3 months before secutritisation.
- While, for loans with tenor of more than 2 years must be held for minimum 6 months before secutritisation.
About Securitised Debt Instruments (SDIs):
i. These are financial products developed by pooling together different types of debt like: loans, mortgages, or receivables and then selling them as securities to investors.
ii. This whole process of selling debt to investors is known as _______which enables the originator i.e. bank to convert liquid assets into liquid ones, offering another source of funding.
iii. Investors who invest in these SDIs receive returns based on the performance of the underlying debt pool.
‘securitisation’
