Himachal Pradesh became India’s first state to have a hi-tech Legislative Assembly with e-Vidhan.

Himachal Pradesh became India’s first state to have a hi-tech Legislative Assembly with e-Vidhan.

SBL, a Kochi-based IT company is the mastermind behind the project. The company had earlier digitised the entire proceedings of Kerala Legislative Assembly since 1888.

A secure end-to-end solution that will make the proceedings and processes a lot more efficient while reducing cost and making the house paperless.

The e-Vidhan system  fully automates the day-to-day functioning of the entire legislative assembly and will radically change how the legislation process works in India in the near future.

The Assembly Session proceedings will be completely paperless and introducing bills and laying various reports and answers to questions inside the House will be handled through touch-screen based computer systems deployed for each legislative member inside the House.

The new system increases the people participation in the legislation process by automating the process of Assembly Bills and allowing to seek people’s suggestions on bills online through a secure web interface. 

The system also ensures that the proceedings inside the House will be instantly available for the public at the end of every session by digitising and publishing verbatim record of house/committee Proceedings.

Project was developed as a joint venture between the HP State Legislative Assembly, National Informatics Centre Services Incorporated (NICSI) and the Government of HP.

NICSI selected SBL as associatepPartner for the project development and implementation of the entire system.

Eminent cartoonist Pran died.

Eminent cartoonist Pran( Pran Kumar Sharma)died at 75.
Pran's comic characters Chacha Chaudhury, Sabu, Shrimatiji, Pinki, Billoo, Raman and Channi Chachi will remain children & family favpurite

The Finance Commission

The Finance Commission of India came into existence in 1951. It was established under Article 280 of the Indian Constitution by the President of India. It was formed to define the financial relations between the centre and the state. The Finance Commission Act of 1951 states the terms of qualification, appointment and disqualification, the term, eligibility and powers of the Finance Commission.

The commission is appointed every five years and consists of a chairman and four other members. Since the institution of the first finance commission, stark changes have occurred in the Indian economy causing changes in the macroeconomic scenario. This has led to major changes in the Finance Commission’s recommendations over the years. Till date, Thirteen Finance Commissions have submitted their reports.

The First Finance Commission was appointed by the president on 20 November 1951, which was chaired by Mr. K.C. Neogy for the period 1952-1957. 13th Finance Commission is established in the year 2007 headed by Vijay kelkar for the period 2010-15. The Operational duration for the finance commission is five years.

The Thirteenth Finance Commission recommendations relating to urban local bodies inter alia aim at strengthening municipal finances and urban governance in India. The 13th FC, making a departure from the previous Finance Commissions, divided the grants to be distributed to the states for local bodies into two parts – general basic grant and general performance grant. The performance grant can be accessed only if the state complies with nine conditions, which in other words can be called reforms.

Functions of the Finance Commission:

• Distribution of net proceeds of taxes between Centre and the States, to be divided as per their respective contributions to the taxes.
• Determine factors governing Grants-in Aid to the states and the magnitude of the same.
• To make recommendations to president as to the measures needed to augment the Consolidated Fund of a State to supplement the resources of the panchayats and municipalities in the state on the basis of the recommendations made by the Finance Commission of the state.

The President will constitute a Finance Commission within two years from the commencement of the Constitution and thereafter at the end of every fifth year or earlier, as the deemed necessary by him/her, which shall include a chairman and four other members.

The Commission is constituted to make recommendations to the president about the distribution of the net proceeds of taxes between the Union and States and also the allocation of the same amongst the States themselves. It is also under the ambit of the Finance Commission to define the financial relations between the Union and the States. They also deal with devolution of non-plan revenue resources.

The 14 Finance Commission would suggest measures for maintaining a stable and sustainable fiscal environment consistent with equitable growth.

source : ias.org.in

Global Warming

Global warming is the unequivocal and continuing rise in the average temperature of Earth’s climate system. Since 1971, 90% of the warming has occurred in the oceans. “Global warming” is also used to refer to increases in average temperature of the air and sea at Earth’s surface.

The IPCC stated that the largest driver of global warming is carbon dioxide (CO2) emissions from fossil fuel combustion, cement production, and land use changes such as deforestation.

Warming is expected to be strongest in the Arctic, with the continuing retreat of glaciers, permafrost and sea ice. Other likely effects of the warming include more frequent extreme weather events including heat waves, droughts and heavy rainfall; ocean acidification; and species extinctions due to shifting temperature regimes. Effects significant to humans include the threat to food security from decreasing crop yields and the loss of habitat from inundation.

Human influence has been detected in warming of the atmosphere and the ocean, in changes in the global water cycle, in reductions in snow and ice, in global mean sea level rise, and in changes in some climate extremes.

The United Nations Framework Convention on Climate Change (UNFCCC), whose ultimate objective is to prevent dangerous anthropogenic (human-induced) climate change. Parties to the UNFCCC have adopted a range of policies designed to reduce greenhouse gas emissions and to assist in adaptation to global warming. Parties to the UNFCCC have agreed that deep cuts in emissions are required, and that future global warming should be limited to below 2.0 °C (3.6 °F) relative to the pre-industrial level. Reports published in 2011 by the United Nations Environment Programme and the International Energy Agency suggest that efforts as of the early 21st century to reduce emissions may be inadequate to meet the UNFCCC’s 2 °C target.

Depletion of the ozone layer by chemical refrigerants has also resulted in a strong cooling effect in the stratosphere. If the sun were responsible for observed warming, warming of both the troposphere and stratosphere would be expected. The main negative feedback is the energy which the Earth’s surface radiates into space as infrared radiation.

Climate change could result in global, large-scale changes in natural and social systems. Two examples are ocean acidification caused by increased atmospheric concentrations of carbon dioxide, and the long-term melting of ice sheets, which contributes to sea level rise.

Global Warming Impacts

Rising Seas, Changes in rainfall patterns, Increased likelihood of extreme events, Melting of the ice caps, Widespread vanishing of animal populations, Spread of disease, Bleaching of Coral Reefs due to warming seas and acidification due to carbonic acid formation, Loss of Plankton due to warming seas.

Soource: ias.org.in

THE NARASIMHAM COMMITTEE

The Finance Ministry of Government of India (GOI) set up various committees with the task of analyzing India’s banking sector and recommending legislation and regulations to make it more effective, competitive and efficient. Two such expert Committees were set up under the chairmanship of M. Narasimham. They submitted their recommendations in the 1990s in reports widely known as the Narasimham Committee-I (1991) report and the Narasimham Committee-II (1998) Report. These recommendations not only helped unleash the potential of banking in India, they are also recognized as a factor towards minimizing the impact of global financial crisis starting in 2007.

The purpose of the Narasimham-I Committee was to study all aspects relating to the structure, organization, functions and procedures of the financial systems and to recommend improvements in their efficiency and productivity. The Narasimham-II Committee was tasked with the progress review of the implementation of the banking reforms since 1992 with the aim of further strengthening the financial institutions of India. It focused on issues like size of banks and capital Adequacy ratio.

Narasimham Committee –I was formed in 1991 and Narasimham Committee –II was formed in 1998 and both were related to Banking Sector Reforms.

The purpose of the Narasimham-I Committee was to study all aspects relating to the structure, organisation, functions and procedures of the financial systems and to recommend improvements in their efficiency and productivity. The Committee submitted its report to the Finance Minister in November 1991 which was tabled in Parliament on 17 December 1991.

The Narasimham-II Committee was tasked with the progress review of the implementation of the banking reforms since 1992 with the aim of further strengthening the financial institutions of India. It focused on issues like size of banks and capital adequacy ratio among other things. M. Narasimham, Chairman, submitted the report of the Committee on Banking Sector Reforms (Committee-II) to the Finance Minister Yashwant Sinha in April 1998.

Problems Identified by the Narasimham Committee are Directed Investment Programme, Directed Credit Programme, Interest Rate Structure.

The Narasimham Committee was set up in order to study the problems of the Indian financial system and to suggest some recommendations for improvement in the efficiency and productivity of the financial institution. They are:
Reduction in the SLR and CRR, Phasing out Directed Credit Programme, Interest Rate Determination, Structural Reorganizations of the Banking sector, Establishment of the ARF Tribunal, Removal of Dual control, Banking Autonomy,

In 1998 the government appointed yet another committee under the chairmanship of Mr. Narasimham. It is better known as the Banking Sector Committee. It was told to review the banking reform progress and design a programme for further strengthening the financial system of India. The committee focused on various areas such as capital adequacy Ratio, bank mergers, bank legislation, Strengthening Banks in India, Narrow Banking etc

Source: ias.org.in

PM's Nepal Visit - Some Highlights

-Focus on 4Cs: Cooperation. Connectivity. Culture. Constitution

-India will give Nepal a one billion dollar line of credit. This will be in addition to any existing lines of credit. 

-Pancheswor Development Authority will be set up and DPR finalized in one year

-India and Nepal have agreed to conclude Power Trading Agreement in 45 days. 

-India will provide assistance for construction of a motorable bridge over the Mahakali River. 

-India will expedite construction of postal roads and feeder roads to the Terai. 

-Prime Minister announced a gift of 2500 kg of sandalwood to the Pashupatinath Temple. Work on a Dharamshala to be set up by Pashupatinath Development Authority will commence soon with Indian assistance. 

-Renovation and restoration of the Complex will be done using expertise of Archaeological Survey of India. India will provide Rs. 25 crore for the same. 

-India will offer assistance for development of Janakpur-Lumbini, including Lumbini as part of Buddhist circuit. 

-Scholarships for Nepali students increased from 180 to 250. 

-Joint Working Group on Agriculture will meet quickly. India will offer assistance in soil testing. 

-Nepal gave an assurance that Nepali soil will not be used for anything inimicable to Indian interests. 

-During his meeting with Nepali leaders from across the political spectrum, Prime Minister Shri Narendra Modi urged them - dal ke hit me mat socho, desh ke hit mein socho - Think in terms of the nation`s benefit, not the party`s benefit. 

THE INTERNATIONAL ATOMIC ENERGY AGENCY (IAEA)

The International Atomic Energy Agency (IAEA) is an international organization that seeks to promote the peaceful use of nuclear energy, and to inhibit its use for any military purpose, including nuclear weapons. The IAEA was established as an autonomous organization on 29 July 1957. Though established independently of the United Nations through its own international treaty, the IAEA Statute, the IAEA reports to both the United Nations General Assembly and Security Council.

The IAEA has its headquarters in Vienna, Austria. The IAEA has two “Regional Safeguards Offices” which are located in Toronto, Canada, and in Tokyo, Japan. The IAEA also has two liaison offices which are located in New York City, United States, and in Geneva, Switzerland. In addition, the IAEA has three laboratories located in Vienna and Seibersdorf, Austria, and in Monaco.

The IAEA serves as an intergovernmental forum for scientific and technical cooperation in the peaceful use of nuclear technology and nuclear power worldwide. The programs of the IAEA encourage the development of the peaceful applications of nuclear technology, provide international safeguards against misuse of nuclear technology and nuclear materials, and promote nuclear safety (including radiation protection) and nuclear security standards and their implementation.

The IAEA and its former Director General, Mohamed ElBaradei, were jointly awarded the Nobel Peace Prize on 7 October 2005. The IAEA’s current Director General is Yukiya Amano.

In 1953, the President of the United States, Dwight D. Eisenhower, proposed the creation of an international body to both regulate and promote the peaceful use of atomic power (nuclear power), in his Atoms for Peace address to the UN General Assembly.

Three main pillars or areas of work underpin the IAEA’s mission: Safety and Security; Science and Technology; and Safeguards and Verification.

The IAEA is generally described as having three missions:

• Peaceful uses: Promoting the peaceful uses of nuclear energy by its member states,
• Safeguards: Implementing safeguards to verify that nuclear energy is not used for military purposes,
• Nuclear safety: Promoting high standards for nuclear safety.

The IAEA has 162 member states. IAEA programmes and budgets are set through decisions of its policymaking bodies – the 35-member Board of Governors and the General Conference of all Member States. Reports on IAEA activities are submitted periodically or as cases warrant to the UN Security Council and UN General Assembly.

The IAEA reports annually to the UN General Assembly and, when appropriate, to the Security Council regarding non-compliance by States with their safeguards obligations as well as on matters relating to international peace and security.

THE FINANCE COMMISSION

The Finance Commission of India came into existence in 1951. It was established under Article 280 of the Indian Constitution by the President of India. It was formed to define the financial relations between the centre and the state. The Finance Commission Act of 1951 states the terms of qualification, appointment and disqualification, the term, eligibility and powers of the Finance Commission.

The commission is appointed every five years and consists of a chairman and four other members. Since the institution of the first finance commission, stark changes have occurred in the Indian economy causing changes in the macroeconomic scenario. This has led to major changes in the Finance Commission’s recommendations over the years. Till date, Thirteen Finance Commissions have submitted their reports.

The First Finance Commission was appointed by the president on 20 November 1951, which was chaired by Mr. K.C. Neogy for the period 1952-1957. 13th Finance Commission is established in the year 2007 headed by Vijay kelkar for the period 2010-15. The Operational duration for the finance commission is five years.

The Thirteenth Finance Commission recommendations relating to urban local bodies inter alia aim at strengthening municipal finances and urban governance in India. The 13th FC, making a departure from the previous Finance Commissions, divided the grants to be distributed to the states for local bodies into two parts – general basic grant and general performance grant. The performance grant can be accessed only if the state complies with nine conditions, which in other words can be called reforms.

Functions of the Finance Commission:

• Distribution of net proceeds of taxes between Centre and the States, to be divided as per their respective contributions to the taxes.
• Determine factors governing Grants-in Aid to the states and the magnitude of the same.
• To make recommendations to president as to the measures needed to augment the Consolidated Fund of a State to supplement the resources of the panchayats and municipalities in the state on the basis of the recommendations made by the Finance Commission of the state.

The President will constitute a Finance Commission within two years from the commencement of the Constitution and thereafter at the end of every fifth year or earlier, as the deemed necessary by him/her, which shall include a chairman and four other members.

The Commission is constituted to make recommendations to the president about the distribution of the net proceeds of taxes between the Union and States and also the allocation of the same amongst the States themselves. It is also under the ambit of the Finance Commission to define the financial relations between the Union and the States. They also deal with devolution of non-plan revenue resources.

The 14 Finance Commission would suggest measures for maintaining a stable and sustainable fiscal environment consistent with equitable growth.

Source: ias.org.in

Discount and Finance House of India (DFHI)

DFHI is the apex body in the Indian money market.

It was set up in 1988 by RBI jointly with public sector banks and all India institutions to develop money market and to provide liquidity to money market. 

Its establishment is a major step towards developing a secondary market for money instruments.

The objective is to ensure that short-term surplus and deficits of these institutions are equilibrated at market-re­lated rates through inter-bank transactions and various money market instruments.

DFHI deals in the following instruments/products:

1. Treasury Bills
2. Dated Government Securities
3. Certificates of Deposit
4. Commercial Papers
5. Call (overnight) Money
6. Notice Money
7. Term Money
8. Derivative Usance Promissory Notes of Commercial Banks
9. Interest Rate Swaps/Forward Rate Agreements. 

Branches : DFHI opened its branches at Ahmedabad, Bangalore, Calcutta, Chennai, New Delhi and very recently at Hyderabad with a view to catering to the requirements of the small and medium sized institutions operating at these centres and at the same time integrating the markets at these regional centres with main money market at Mumbai.

TREASURY BILLS

Treasury bills are the instruments of the short term borrowing by the State/Central Government.

They are promissory notes issued at discount and for a fixed period. These were first issued in India in 1917. 

Objectives 
These are issued to raise funds for meeting expenditure needs and also provide outlet for parking temporary surplus funds by investors. 

Investors 
Treasury bills can be purchased by any one (including individuals) except State govt. These are issued by RBI and sold through fortnightly or monthly auctions at varying discount rate depending upon the bids. 

Denomination 
Minimum amount of face value Rs.1 lac and in multiples there of. There is no specific amount/limit on the extent to which these can be issued or purchased. 


Maturity : 91 days and 364 days. 

Rate of interest 
Market determined, based on demand for and supply of funds in the money market. 

Other features 
• These are highly liquid and safe investment giving attractive yield. 
• Approved assets for SLR purposes and DFHI is the market maker in these instruments and provide (daily) two way quotes to assure liquidity. 
• RBI sells treasury bills on auction basis (to bidders quoting above the cut-off price fixed by RBI) every fortnight by calling bids from banks, State Govt. and other specified bodies.