Daily Current Affairs : 08-Nov-2019
Major Topics Covered :
COMPENSATION RULES FOR PRIVATE BANK CHIEFS
DOCUMENTATION IDENTIFICATION NUMBER
BRU REFUGEES
VARIOUS MoU SIGN BETWEEN INDIA & OTHER COUNTRIES
CLIMATE CHANGE AND HEAT-INDUCED MORTALITY IN INDIA
SAMUDRA SHAKTI
INDIAN AIR QUALITY INTERACTIVE REPOSITORY (IndAIR)
THE INDIA JUSTICE REPORT 2019
COMPENSATION RULES FOR PRIVATE BANK CHIEFS
Part of GS- 3 Economy
Why in news:
The compensation paid to chiefs of private sector banks and key officials has now come under the radar of the Reserve Bank of India and from April 1, 2020, new regulations will come into force.
According to the new rules, at least 50% of the compensation paid to CEOs, whole-time directors, material risk takers and control function staff should comprise performance-linked payouts.
Highlights:
The central bank wants a proper balance between fixed pay and variable pay.
The Indian regulator of banks and financial institutions has based its guidelines on the recommendations contained in the Implementation Standards of the Financial Stability Board (FSB), with headquarters in Basel, Switzerland.
FSB’s recommendations state that “a substantial proportion of compensation, that is, at least 50%, should be variable and paid on the basis of individual, business-unit and firm-wide measures that adequately measure performance".
Further defining this formula for fixed versus variable pay, the RBI said where the variable pay is upto 200% of the fixed pay, a minimum of 50% is dependent on overall compensation for the variable pay.
Where it is above 200%, then the minimum stipulated is 67%.
In any case, the ceiling for variable pay should not exceed 300% of the fixed pay.
These new guidelines, as indicated, will come into force from April 1, 2020 and are applicable to private sector banks, including local area banks, small finance banks and payments banks.
This also includes foreign banks operating in a wholly-owned subsidiary structure.
There is also a mention of deferral arrangements, with the stipulation that at least 60% of the variable must be covered under the deferral arrangement.
This is meant to ensure the performance or results of the banks stay on course beyond the term for which the compensation is paid.
Source: Live Mint, Economic Times.
DOCUMENTATION IDENTIFICATION NUMBER
Part of GS- 3Economy
Why in news:
DIN System of CBIC comes into existence from 08-Nov-2019.
Highlights:
The Documentation Identification Number (DIN) system of Central Board of Indirect Taxes (CBIC) will come into existence from 08-Nov-2019.
This path breaking system in indirect tax administration has been created as per the direction of Finance Minister Nirmala Sitharaman.
Now, any CBIC communication will have to have a Documentation Identification Number.
The correspondent reports that the step is aimed at bringing transparency and accountability in the indirect tax administration through widespread use of information technology.
The Government has already executed the DIN system in the direct tax administration.
The DIN would be used for search authorisation, summons, arrest memo, inspection notices and letters issued in the course of any enquiry.
Any communication from GST or Custom or Central Excise department without a computer-generated DIN, would be treated as invalid and shall be non-est in law or deemed to be as if it has never been issued.
It will provide the taxpayer a digital facility to verify any communications.
About :
Central Board of Indirect Taxes (CBIC):
CBDT is the nodal national agency responsible for administering Customs, GST, Central Excise, Service Tax & Narcotics in India.
The Customs & Central Excise/CGST department was established in the year 1855 by the then British Governor General of India, to administer customs laws in India and collection of import duties / land revenue.
It is one of the oldest government departments of India.
Source: All India Radio.
BRU REFUGEES
Part of GS- 3 Internal Security & GS- 4
Why in news:
On 7-Nov-2019, the Tripura government announced that it would restore food supplies, leading to Brus withdrawing a road blockade they had set up for eight days.
Highlights:
The restoration of supplies, however, is only until a deadline of November 30, within which the Brus have to decide whether they will accept a package for repatriation to Mizoram.
Since October 1, six members of the Reang or Bru community have reportedly died in relief camps in Tripura, after the Centre decided to stop food supplies and cash dole.
They were among 32,000 Brus living in these camps since 1997, when they fled their homes in Mizoram.
Who are the Brus?
Bru or Reang is a community indigenous to Northeast India, living mostly in Tripura, Mizoram and Assam.
In Tripura, they are recognised as a Particularly Vulnerable Tribal Group.
In Mizoram, they have been targeted by groups that do not consider them indigenous to the state.
In 1997, following ethic clashes, nearly 37,000 Brus fled Mamit, Kolasib and Lunglei districts of Mizoram and were accommodated in relief camps in Tripura.
Since then, 5,000 have returned to Mizoram in eight phases of repatriation, while 32,000 still live in six relief camps in North Tripura.
Source: Indian Express
VARIOUS MoU SIGN BETWEEN INDIA & OTHER COUNTRIES
INDIA AND MALDIVES
Why in news?
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has approved the Memorandum of Understanding (MoU) between India and Maldives on Training and Capacity-Building Programme for Maldivian Judicial Officers in India.
Benefits:
The MoU will promote cooperation between India and Maldives in judicial and other legal areas, and enable exchange of knowledge and technology in training and capacity building.
India and Germany
Why in news?
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has given ex-post facto approval for the MoUs between India and German for collaboration in the field of Occupational Diseases, Rehabilitation and vocational training of Insured Persons with disabilities.
Benefits:
The MoUs with the DGUV (Deutsche GesetzlicheUnfallversicherung), a specialized agency in Germany working for Occupational Safety and Health (OSH) and social protection, will help broadly in: -
Exchanging information and promoting activities in the area of rehabilitation related to medical, occupational and social rehabilitation of Insured Persons with disabilities, and Prevention, detection and treatment of occupational diseases:
Major Impact:
Exchange of information and collaboration will enable capacity building and social rehabilitation of Insured Personswith disabilities, besides prevention, detection and treatment of occupational diseases.
INDIA AND BANGLADESH
Why in news?
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has given ex-post facto approval for the MoU between India and Bangladesh on withdrawal of 1.82 cusec of water from Feni River by India for drinking water supply scheme for Sabroom town Tripura, India.
Benefits:
As on date, there is no water sharing agreement on Feni river between India and Bangladesh. The present supply of drinking water to Sabroom town is inadequate.
The ground water in this region has high iron content. Implementation of this scheme would benefit over 7000 population of Sabroom town.
INDIA AND PARAGUAY
Why in news?
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has given ex-post facto approval to the Memorandum of Understanding (MoU) between India and Paraguay for Strengthening Cooperation in the field of Tourism. The MoU was signed in New Delhi on 27th September, 2019.
Salient features and main objectives of the MoU:
Expansion of bilateral cooperation in the tourism sector;
Exchange of information and data related to tourism;
Encouraging cooperation between tourism stakeholders including Hotels and Tour Operators and airlines;
Establishing exchange programmes for cooperation in Human Resource Development;
Investment in the Tourism and Hospitality sectors;
Exchanging visits of Tour Operators/Media/Opinion-Makers for promotion of two-way tourism;
Exchange of experience in the areas of promotion, marketing destination, development and management;
Participation in travel fairs/exhibitions in each other’s country; and
Promoting safe, honourable and sustainable tourism.
Benefits:
The MoU between India and Paraguay will help the two nations in creating an institutional mechanism for enhancing cooperation in the tourism sector.
It will further help India in increasing foreign tourist arrivals from Paraguay, which in turn, will result in economic development and employment generation.
It will create favourable conditions for long-term tourism cooperation for the mutual benefits of all stakeholders within the broader framework and areas of cooperation.
The MoU will explore to incorporate the best practices in order to implement the measures that will realize the objectives set out in this MoU.
INDIA AND BRAZIL : - HEALTH AND MEDICINE
Why in news?
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has approved the Memorandum of Understanding (MoU) between India and Brazil in the field of Health and Medicine. The MoU is expected to be signed in November, 2019.
Benefits:
The bilateral MoU between India and Brazil will encourage cooperation between the two countries through joint initiatives, technology development in the health sector and development of research in the health sector.
It will facilitate in improving the public health status of people of both the countries.
It will strengthen bilateral ties between India and Brazil.
AVOIDANCE OF DOUBLE TAXATION AND PREVENTION
Why in news?
The Union Cabinet Chaired by the Prime Minister Shri Narendra Modi approved the signing of the Protocol amending the Convention between the Government of the Republic of India and the Government of the Federative Republic of Brazil for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income.
Implementation Strategy and Targets:
After Cabinet approval, necessary formalities for bringing the Protocol into force will be completed. Implementation would be watched and reported by the Ministry.
Major impact:
Through updating of the Double Taxation Avoidance Convention’s (DTAC's) provisions to international standards, the Amending Protocol between India and the Federative Republic of Brazil will facilitate elimination of double taxation.
Clear allocation of taxing rights between Contracting States through DTAC will provide tax certainty to investors & businesses of both countries.
The Amending Protocol will augment the flow of investment through lowering of tax rates in source State on interest, royalties and fees for technical services.
The Amending Protocol implements minimum standards and other recommendations of G-20 OECD Base Erosion Profit Shifting (BEPS) Project.
Inclusion of Preamble Text, a Principal Purpose Test, a general anti abuse provision in the DTAC along with a Simplified Limitation of Benefits Clause as per BEPS Project will result in curbing of tax planning strategies which exploit gaps and mismatches in tax rules.
Point-wise details:
The existing DTAC between India and Brazil was signed on 26th April, 1988 and was amended through a Protocol signed on 15th October 2013 in respect of exchange of information. Through the present Protocol, the DTAC has been amended on various other aspects.
The amended DTAC also implements the minimum standards as well as other recommendations of the G-20 OECD Base Erosion and Profit Shifting (BEPS) Project.
Background:
The existing Double Taxation Avoidance Convention (DTAC) between India and Brazil being very old was required to be amended to bring it in line with international developments and also to implement the recommendations contained in the G20 OECD Base Erosion and Profit Shifting Project (BEPS).
INDIA AND SWITZERLAND
Why in news?
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has given ex-post facto approval to the Memorandum of Understanding (MoU) between India and Switzerland on Technical Cooperation in the field of Climate Change and Environment. The MoU was signed in Switzerland on 13th September, 2019.
Major impact:
Environmental degradation falls on the socially and economically disadvantaged, more heavily than the better of sections of the society. Any effort at thwarting environmental degradation would lead to environmental equity in the sense of availability of sound environmental resources to all sections of the society.
Benefits:
The MoU will enable establishment and promotion of closer and long-term cooperation between the two countries in the field of environmental protection and management of natural resources on the basis of equity, reciprocity and mutual benefits, taking into account the applicable laws and legal provisions in each country.
It will enhance public accountability by way of exchange of information and technology between the two countries.
Further, it is expected to bring in the latest technologies and best practices suited for bringing about better environment protection, better conservation, better management of climate change and wildlife protection/conservation.
Salient features:
Capacity-building on Climate Change and Sustainable Water management;
Sustainable Forest Management;
Sustainable development of mountainous regions;
Environmentally sustainable and resilient urban development;
Addressing issues of Air, land and water pollution;
Focussing on Clean and Renewable Energy; and
Climate change risk management.
INDIA AND GUINEA
Why in news?
The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has given approval for the MoU between India and Guinea in the field of Renewable Energy.
Objective:
To establish the basis for a cooperative institutional relationship
To encourage and promote bilateral technical cooperation in the field of renewable energy on the basis of mutual benefit, equality and reciprocity between the Parties.
Areas of cooperation include Solar Energy, Wind Energy, Bio-energy, and Waste to energy, Small Hydro Storage and Capacity Build.
Source: PIB
CLIMATE CHANGE AND HEAT-INDUCED MORTALITY IN INDIA
Why in news?
The study, ‘Climate Change and Heat-Induced Mortality in India’, was conducted by the Climate Impact Lab in collaboration with the Tata Centre for Development at the University of Chicago.
Highlights:
It has projected that 5 million more Indians may die per year from extreme heat due to climate change by 2100.
India’s energy use will more than double in the next 20 years, driven largely by fossil fuels. If emissions continue to be as high as they are at present, India will see a death rate of about 60 per 100,000 by 2100.
This projected death rate is double the current death rate from oral cancer in India, which is the most common cancer in the country.
The National Capital Region is projected to see 22 times more extremely hot days and more than 23,000 climate-related deaths annually by 2100 in a high-emission scenario.
Odisha is projected to see the highest increase in the number of extremely hot days, at about 30 times more than what it is today.
Punjab is projected to experience 85 extremely hot days a year, the highest among all states.
Overall, the six states of Uttar Pradesh (4,02,280), Bihar (1,36,372), Rajasthan (1,21,809), Andhra Pradesh (1,16,920), Madhya Pradesh (1,08,370) and Maharashtra (1,06,749) are projected to account for over 64 per cent of the heat-related deaths.
Source: Indian Express
THE INDIA JUSTICE REPORT 2019
Why in news?
The India Justice Report 2019 was released by the Tata Trusts in collaboration withCentre for Social Justice, Common Cause, and Commonwealth Human Rights Initiative, among others.
Highlights:
This is the first-ever ranking of Indian States on justice delivery.
The report is based on publicly available data from different government entities on the four pillars of justice delivery — police, judiciary, prisons and legal aid.
Key findings of report:
Maharashtra has topped the list of 18 large-medium States in the overall justice delivery, followed by Kerala, Tamil Nadu, Punjab and Haryana. In this category, Jharkhand, Bihar and Uttar Pradesh are at the bottom.
Among seven smaller States, Goa leads the group.
Even the best performing States scored less than 60% in their performance on capacity across the police, judiciary, prisons and legal aid.
The country has about 18,200 judges with about 23% sanctioned posts vacant.
Women are poorly represented in these pillars, constituting just 7% of the police.
Prisons are over-occupied at 114%, where 68% are undertrials awaiting investigation, inquiry or trial.
Most States are not able to fully utilise the budgets allocated to them by the Centre, while the increase in spending on the police, prisons and judiciary does not keep pace with the overall increase in State expenditure.
Some pillars also remain affected by low budgets. For instance, India’s per capita expenditure on free legal aid is 75 paise per annum.
Source: The Hindu
Join Telegram for Channel to receive daily pdf or Download pdf