Daily Current Affairs for UPSC Civil Services Exam – 05 June 2021

Daily Current Affairs for UPSC Civil Services Exam – 05 June 2021

In Today’s News:

  1. Monetary Policy Committee.
  2. G-Secs purchase by RBI planned.
  3. SAGE initiative.

1. Monetary Policy Committee

News Summary

The RBI’s Monetary Policy Committee met on 4.6.2021 amidst the second wave of the COVID pandemic and voted unanimously to keep the policy repo rate unchanged at 4%.

Prelims GS – Economic Development

MPC:
  • The Monetary Policy Committee (MPC) is a committee of the Reserve Bank of India, headed by the RBI Governor, which is entrusted with the task of fixing the benchmark policy interest rate (repo rate) to contain inflation within the specified target level.
  • Monetary Policy Committee will have six members:
    • the RBI Governor (Chairperson),
    • the RBI Deputy Governor in charge of monetary policy,
    • one official nominated by the RBI Board and
    • the remaining three members would represent the Government of India.
  • MPC was set up to task RBI with the responsibility for price stability and inflation targeting.
  • The MPC takes decisions based on the majority vote (by those who are present and voting). In case of a tie, the RBI governor will have the second or casting vote.
  • The decision of the Committee would be binding on the RBI.

2. G-Secs purchase by RBI planned

News Summary

The RBI has said that the purchase of Government securities(G-Secs) will be conducted and will continue Open Market Operations(OMO) to maintain the liquidity conditions.

Prelims GS – Economic Development

OMO:
  • The RBI manages the liquidity conditions, rupee strength through a tool called Open Market Operations(OMO).
  • OMO is nothing but the sale and purchase of Government Securities.
  • If the liquidity conditions are tight, RBI will purchase Government Securities. This will release liquidity into the market.
  • If there is excess liquidity in the market, then RBI will sell Government Securities. This will suck out the rupee liquidity.

3. SAGE initiative

News Summary

The Minister of Social Justice and Empowerment, Shri ThaawarchandGehlot virtually launched the SAGE (Seniorcare Aging Growth Engine) initiative and SAGE portal for elderly persons.

Prelims GS – Governance

SAGE initiative:
  • SAGE refers to the Seniorcare Aging Growth Engine initiative.
  • The SAGE portal will be a “one-stop access” of elderly care products and services by credible start-ups.
  • The start-ups will be selected on the basis of innovative products and services, which they should be able to provide across sectors such as health, housing, care centers, apart from technological access linked to finances, food and wealth management, and legal guidance.
  • The SAGE project aims to identify, evaluate, verify, aggregate, and deliver products, solutions, and services directly to the stakeholders.
  • The Ministry of Social Justice and Empowerment will act as a facilitator, enabling the elderly to access the products through these identified start-ups.
  • India’s elderly population is on the rise, and as per surveys, the share of elders, as a percentage of the total population in the country, is expected to increase from around 7.5% in 2001 to almost 12.5% by 2026, and surpass 19.5% by 2050.

Click here to view the Courtesy: PIB release.

 

 

 

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