Business & Finance - Current Affairs for December, 2017

GoI observed Universal Health Coverage Day, 2017 on Dec 11. The Union Health Minister and MoS (Finance) launched "LaQshya - Labour Room Quality Improvement Initiative, a Safe Delivery Mobile Application for health workers who manage normal and complicated deliveries in the peripheral areas, and also released the Operational Guidelines for Obstetric High Dependency Units (HDUs) and Intensive Care Units (ICUs). Mission Indradhanush, one of the largest global public health initiatives was launced in 2014. In its four phases till date, MI has successfully reached over 25 million children in over 528 districts. The Pradhan Mantri Dialysis Program has also been launched where 1.43 lakhs patients have availed free services from 1,069 Dialysis Units and under Free Drugs and Diagnostics Program; AMRIT outlets nearly 47 Lakh patients have benefitted from AMRIT Pharmacies through purchase of subsidized medicines. LaQshya: Know More

• LaQshya is expected to improve the quality of care that is being provided to the pregnant mother in the Labour Room and Maternity Operation Theatres, thereby preventing the undesirable adverse outcomes associated with childbirth.
• This initiative will be implemented in Government Medical Colleges (MCs) besides District Hospitals (DHs), and high delivery load Sub- District Hospitals (SDHs) and Community Health Centres (CHCs).
• The initiative plans to conduct quality certification of labour rooms and also incentivize facilities achieving the targets outlined.
• The goal of this initiative is to reduce preventable maternal and new-born mortality, morbidity and stillbirths associated with the care around delivery in Labour room and Maternity OT and ensure respectful maternity care.

As part of its attempts to increase the institutional participation in the commodity segment, the Securities and Exchange Board of India (SEBI) plans to allow mutual funds and portfolio managers to invest in commodity derivatives segment. This closely follows the recent regulatory decision of allowing a category of Alternate Investment Funds (AIFs) to invest in commodity derivatives. In a discussion paper released on Dec 7, 2017, SEBI has put forth proposals to create a regulatory framework to allow MFs and portfolio managers to participate in the commodity segment, which came under the capital market's purview in September 2015. For MFs, the regulator is evaluating whether fund houses can be allowed to invest in commodity derivatives through existing schemes with certain investment restrictions or safeguards or there is a need for a complete separate set of schemes. The separate schemes could be commodity arbitrage funds, exchange-traded funds or open-ended schemes based on commodity derivatives. In terms of existing schemes, the regulator has sought public views on whether fund houses can be allowed to invest a certain part of the scheme's assets under management (AUM) in commodity derivatives though it should never be allowed to be 100% of the AUM and further the exposure towards one commodity should be capped at 10%. For portfolio managers, SEBI has sought public view on issues like the extent of leveraging, mechanisms to safeguard client interests, pooling of client money and disclosure requirements.

The Centre on Dec 5 2017 released the mid-term review of the Foreign Trade Policy (FTP), with the focus expected to be on policy measures to boost the exports of goods and services and to increase employment generation and value-addition in the country. The mid-term review of FTP is aimed at mid-course correction. It was to be announced on July 1, together with the implementation of the GST regime. But the announcement was postponed to take into account feedback from the export sector regarding GST-related issues. Highlights from FTP Mid Term Review

• The value of new incentives is Rs. 8,000 crore
• The FTP would focus on micro, small and medium enterprises, labour-intensive segments and agriculture sector.
• Incentives for goods exports is Rs. 4,567 crore, and for services exports is Rs. 1,140 crore.
• This is in addition to the recently announced incentives to ready-made garments.
• Self-certification scheme for duty-free imports
• FTP is a dynamic document and regular changes are made to increase value addition in the country, generate more employment and boost exports
• Today's announcement includes a 2% increase each in incentive rates of the Merchandise Exports from India Scheme and Services Export from India Scheme.
• Trade accounts for 45% of the country's GDP. FTP incentives now cover 8,000 of the total 12,000 lines of items.
• Of these incentives, Rs 749 crore for leather and footwear, Rs 1354 crore for agriculture and related items, Rs 759 crore for marine exports, Rs 369 crore for telecom and electronic items, Rs 921 crore for handmade carpets, Rs 193 crore for medial and surgical equipments, Rs 1140 crore for textiles and ready made garments.
• A new trade data analytics division under the Directorate General of Foreign Trade will analyse real time data to help fine tune policy.