Current Affairs - 21st Jan 2014
RBI sets up panel to review governance of bank boards
India's banking regulator has set up an expert panel to put banks under the scanner on a range of governance parameters including pattern of ownership, functioning of boards and compensation of board members. the Reserve Bank of India (RBI) on Monday said it had formed an expert panel chaired by PJ Nayak, former chairman and CEO of Axis Bank. The panel, which is expected to submit its report within three months from the date of its first meeting, will review among other things the central bank's regulatory guidelines on ownership of banks and representation in the boards. The committee will ascertain if there is conflict of interest in board representation, including among owner representatives and regulators. It will also assess and review the 'fit and proper' criteria for all categories of directors of banks, including tenure of directorship.
Jain community provided minority status
The Union Cabinet on Monday agreed to grant the Jain community — followers of an ancient faith often confused to be a sect of Hinduism — the status of a “national minority”. This fulfills a long-standing demand by the 7-million-strong community that has sought to maintain its religious and cultural identity. As a religious minority, Jains will qualify for constitutional safeguards and special policy attention alongside five other such religious minority groups: Muslims, Christians, Sikhs, Buddhists and Parsis. Under the Constitution, religious minorities enjoy special rights. For example, under Article 30, they can manage their own educational institutions without interference or opening them up for reservation for students from other communities. They also become eligible for funds under the government’s minority welfare programmes. In India, 15 per cent of all funds under various programmes must be targeted towards minorities. A national minority status allows us to enjoy fundamental rights under Article 25 and Articles 26 to propagate our religion and also freedom to manage our religious affairs. Without this, our identity was eroding.
Agni-IV test successful
India test-fired its second-most ambitious nuclear missile in the making, the new-generation Agni-IV with a strike range of 4,000 km, and promptly declared it was ready for induction. The over 5,000 km Agni-V missile, in turn, will be tested for the third time later this year. Both the missiles are geared towards providing the country with some much-needed credible strategic deterrence against China, which can target any Indian city with its intercontinental ballistic missiles (ICBMs) like the 11,200 km range Dong Feng-31A. the two-stage Agni-IV missile was tested from the Wheeler Island off the Odisha coast in its "actual weapon configuration", in which it will be delivered to the Strategic Forces Command (SFC). The tri-Service SFC, created in January 2003 to manage the country's nuclear arsenal, already has the different Prithvi variants (250 to 350 km), Agni-I (700 km), Agni-II (2,000 km) and Agni-III (3,000 km) in its inventory.
After a long wait, NSE will launch VIX trading
Capital market regulator Sebi has finally given its go-ahead to the National Stock Exchange (NSE) to launch derivatives on its volatility index, VIX. Over the next few days, the exchange will start futures and options contracts on the index, which measures market volatility, It's been a long-standing wish of NSE to start futures and options on VIX, but it failed to convince the market regulator, which reasoned that more futures and option products are not in the best interest of retail investors .
