Correct Answer : Option (A) - Indian Overseas Bank

In a first-of-its-kind move in the banking sector, Indian Overseas Bank has launched a Unique feature named 'My Account My Name' for IOB SB HNI and IOB SB MAX account holders.

This feature allows customers to choose any name as their account number.

The account name can only be a numeric, alphabetic, or alphanumeric combination of seven characters.

For example, a customer's account number can be 'Jackson' or '1234567' or 'Jack123..

Source : Times Now News

Correct Answer : Option (D) - Axis Bank

Axis Bank, in partnership with NGO Dhruvansh, organised a lake cleaning drive, ‘Cleanathon’, in Hyderabad on Saturday (10th June 2023). This initiative was recorded in the Asia Book of Record as it was the largest cleaning drive conducted across the country.

* In Hyderabad, over 100 volunteers participated in cleaning Mushki Cheruvu and Neknampur Lake to restore these water bodies.

* The Cleanathon was conducted across 20 cities including Mumbai, Bangalore, Chennai, and Varanasi.

* In collaboration with local NGOs, the initiative aimed to combat plastic pollution and promote responsible waste management practices. The campaign aligned with the United Nations’ theme for World Environment Day 2023, ‘Beat Plastic Pollution’.

* Participants included Axis Bank employees, local communities, activists, influencers, and volunteers who collected and disposed of plastic waste from beaches and water bodies.

* They also raised awareness about the harmful effects of plastic pollution and advocated for reducing single-use plastics. This collective effort aimed to create a cleaner and healthier environment for all..

Source : New Indian Express

Correct Answer : Option (B) - RBI

The Reserve Bank of India (RBI) has taken a significant step to enhance the trade receivables discounting system (TReDS) by allowing insurance companies to participate as stakeholders. This move is aimed at improving the cash flows of Micro, Small, and Medium Enterprises (MSMEs) and promoting transparency and competitiveness in the financing of trade receivables.

Introduction of TReDS : The RBI issued guidelines on TReDS in December 2014 with the objective of facilitating the financing of trade receivables of MSMEs. Subsequently, three entities started operating TReDS platforms. These entities process about Rs 60,000 crore worth of transactions annually.

Expanding the Platform : Building on the experience gained, the RBI has decided to expand the scope of the TReDS platform. In addition to MSME sellers, buyers, and financiers, insurance companies are now permitted to participate as the “fourth participant” in TReDS, according to a circular issued by the RBI.

Enhancing Financiers’ Confidence : Financiers place their bids on the TReDS platforms keeping in view the credit rating of buyers. They are generally not inclined to bid for payables of low-rated buyers. However, they are often reluctant to bid for payables from low-rated buyers due to default risks. To address this concern, the RBI has allowed an insurance facility for TReDS transactions. This insurance facility will enable financiers to hedge default risks and boost their confidence in participating in TReDS.

Insurance Facility and Rules : The TReDS platform operators have the authority to determine the stage at which the insurance facility can be availed, as stated by the RBI. It is important to note that the premium for insurance will not be charged to the MSME sellers, ensuring that the burden does not fall on them.

Expanding the Pool of Financiers : TReDS transactions fall under the ambit of factoring business. Initially, banks, NBFC-Factors, and other financial institutions were permitted to participate as financiers in TReDS. However, the Factoring Regulation Act, 2011 (FRA) allows certain other entities and institutions to undertake factoring transactions. To align with the FRA, the RBI has expanded the pool of financiers by permitting all entities/institutions allowed to undertake factoring business under the FRA and its associated rules and regulations to participate in TReDS. This broader participation will increase the availability of financiers on TReDS platforms.

Promoting Transparency and Competition : TReDS platforms play a vital role in facilitating transparent and competitive bidding by financiers. With the inclusion of insurance companies as participants, the RBI’s expansion of the TReDS platform aims to create a more robust ecosystem for trade receivables financing. By providing insurance facilities and broadening the pool of financiers, the RBI intends to support MSMEs by improving their cash flows and reducing default risks.


Key Points about Trade Receivables Discounting System (TReDS) :

* Trade Receivables Discounting System (TReDS) is a platform introduced by the Reserve Bank of India (RBI) to facilitate the financing of trade receivables of Micro, Small, and Medium Enterprises (MSMEs).

* TReDS platforms aim to improve the cash flows of MSMEs by allowing them to access funds against their trade receivables in a transparent and competitive manner.

* The RBI issued guidelines for TReDS in December 2014, and since then, three entities have been operating TReDS platforms in India.

* TReDS platforms process a substantial volume of transactions, with an estimated annual worth of approximately Rs 60,000 crore.

* The RBI has expanded the scope of TReDS by allowing insurance companies to participate as stakeholders. They are now considered the “fourth participant” alongside MSME sellers, buyers, and financiers.

* Financiers participating in TReDS platforms evaluate bids based on the credit rating of buyers. To address concerns about default risks, the RBI has permitted an insurance facility for TReDS transactions. This facility enables financiers to hedge against default risks, increasing their confidence in participating in TReDS..

Source : Economic Times

Correct Answer : Option (C) - Federal Bank

Kerala-based  Federal Bank has launched (6th June 2023) a campaign to celebrate people and their culture by transforming an entire bank branch into a museum of local stories.

* The campaign aims to honour and celebrate the local community of Adyar.

* The Adyar branch of Federal Bank has been converted into a living museum for the campaign.

* Vibrant paintings depicting the vibrant spirit of Adyar now adorn the walls of the branch.

* The campaign features a special exhibition showcasing 40 compelling stories of the individuals who made Adyar special.

* The campaign aims to capture the essence of Adyar and promote its rich culture and heritage.

* It fosters a sense of pride and belonging among local residents.

* The 'I am Adyar, Adyar is me' campaign is an innovative initiative by Federal Bank to honour and recognize the Adyar community.

Federal Bank Limited :

* It is an Indian private sector bank headquartered in Aluva, Kochi, Kerala.

* The bank operates 1,370 branches in various states of India.

* Federal Bank has representative offices in Abu Dhabi, Qatar, Kuwait, Oman and Dubai.

* The bank provides a wide range of financial services to its customers including retail banking, corporate banking, treasury operations and wealth management.

* It emphasises a customer-centric approach and strives to provide efficient and convenient banking solutions.

Founder - K.P Hormis

Establishment - 23 April 1931, Nedumpuram

CEO - Shyam Srinivasan.

Correct Answer : Option (C) - SIDBI

State-owned Small Industries Development Bank of India (SIDBI) has entered into a Memorandum of Understanding (MoU) with HDFC Bank for providing financial solutions to MSMEs.

Under the MoU, SIDBI and HDFC Bank will work together to provide complete financial product and services to the customers under Micro, Small and Medium Enterprises (MSMEs).

The MoU will facilitate providing complete financial solutions to MSMEs in a seamless manner.

This arrangement will enable MSMEs to avail financial products and services of both the banks.

Both banks will endeavour to bring more MSMEs in financial ecosystems through the arrangement..

Source : Money Control

Correct Answer : Option (A) - HDFC Bank

HDFC Bank has introduced a new credit card — Millennia — offering cashback. The card comes with contactless technology allowing customers to ‘tap and pay’ via POS machine.

* The HDFC Millennia Credit card offers cashback and reward points on Amazon, Flipkart, and other e-commerce platforms.

* In addition, the card also offers 1 per cent cashback on offline purchases, smart EMI, and lounge access for free, among others.

* Millennia credit card can be used for Amazon, Flipkart, BookMyShow, Cult.fit, and Myntra, to earn 5 per cent cashback points. In every billing, a maximum reward of ₹1000 would be offered.


Eligibility to obtain HDFC Millennia Credit card :

* The Millennia card is applicable to both self-employed and salaried persons.

* The minimum age limit is 21 and maximum age is 40.

* People earning a maximum of ₹35,000 gross salary can apply for the card.

* Self-employed people with an annual income of ₹6 lakh or above are also eligible..

Source : H B

Correct Answer : Option (B) - Bank of Baroda

Bank of Baroda on Monday (5th June 2023) announced launch of Interoperable Cardless Cash Withdrawal (ICCW) facility wherein a customer can withdraw cash using UPI from the bank's ATMs.

* The first public sector bank to launch this service, Bank of Baroda customers as well as customers of other participating issuer banks that use BHIM UPI, bob World UPI or any other UPI application enabled for ICCW on their mobile phone can withdraw cash from a Bank of Baroda ATM without using their debit card.

* On selecting the option 'UPI Cash Withdrawal' at a Bank of Baroda ATM, the customer needs to enter the withdrawal amount, post which a QR code is displayed on the ATM screen.

* Explaining the process, the lender said the customer will scan the QR code using a UPI app enabled for ICCW and then authorise the transaction with her/his UPI PIN on the mobile phone to withdraw the cash from the ATM.

* If multiple bank accounts are linked to a single UPI ID, ICCW functionality gives customers the option to select the account to be debited.

* Akhil Handa, Chief Digital Officer at Bank of Baroda, said the new ICCW facility being offered by the bank gives customers the freedom to withdraw money without the use of a physical card - a simple, convenient and secure way to withdraw cash."

* Customers can avail two transactions a day per account with a withdrawal limit of Rs 5,000 per transaction.

* Bank of Baroda has over 11,000 ATMs across the country..

Source : India Times

Correct Answer : Option (D) - Rs 2.2 Crore

The Reserve Bank of India (RBI) has slapped Indian Overseas Bank with a penalty of Rs 2.2 crore for various violations, including failure to recognize bad loans and not transferring the minimum prescribed portion of profits to reserves.

* The violations were detected during RBI’s inspection of the bank’s book as of March 2021.

* The RBI imposed this monetary penalty on May 29, 2023, after finding contraventions of banking regulations and non-compliance with specific RBI directions related to income recognition, asset classification, provisioning, interest rates on deposits, and ATM security.

* The RBI said it fined the bank under the powers vested by the Banking Regulation Act 1949. The penalty is based on the bank's failure to comply with provisions outlined in the Act and the directions issued by the RBI.

* However, the penalty does not indicate the invalidity of any transactions or agreements made by the bank with its customers.

* The RBI conducted a supervisory inspection of the Indian Overseas Bank, focusing on its financial position as of March 31, 2021. The inspection report revealed several deficiencies and non-compliance instances by the bank..

Source : Times of India

Correct Answer : Option (A) - ICICI Bank

* In a mega CSR initiative in recent times, the ICICI Bank has committed Rs 1,200 crore towards Tata Memorial Centre (TMC), a premier institution that runs cancer treatment and research centres across the country.

* The ICICI Bank will donate the money from its CSR funds to set up three new buildings spanning over a combined area of 7.5 lakh square feet and equip them with state-of-the-art machines at TMC’s centres at Navi Mumbai in Maharashtra, Mullanpur in Punjab and Visakhapatnam in Andhra Pradesh.

* With the largest contribution from any institution to TMC, ICICI Foundation for Inclusive Growth (ICICI Foundation), the CSR arm of ICICI Bank, will implement the initiative, which is likely to be completed by 2027.

* Sanjay Datta, President, ICICI Foundation and Dr. R. A. Badwe, Director, TMC signed the agreement in the presence of Girish Chandra Chaturvedi, Chairman, ICICI Bank and Sandeep Batra, Executive Director, ICICI Bank..

Source : Deccan Herald

Correct Answer : Option (C) - Asian Development Bank

The Asian Development Bank (ADB) on Tuesday (30 May 2023) said it would contribute to India’s urban-focused flagship programmes and schemes on developing industrial corridors, multimodal logistics systems, urban infrastructure, skill ecosystem, and small businesses as part of a new country partnership strategy for India.

* “During 2023–2027, ADB operations in India will focus on accelerating structural transformation and job creation, promoting climate-resilient growth, and deepening social and economic inclusiveness,” the multilateral institution said in a statement, though it provided no details on how exactly the contributions to central and state schemes will pan out, and what the monetary outlay will be.

* The new strategy will focus on ADB deepening its engagement with the country and supporting India’s drive for robust, climate-resilient, and inclusive growth.

* “This will enable urban areas to unlock their potential as engines of growth, promote industrial competitiveness, and create more jobs in formal manufacturing and services sectors,” it said.

* ADB noted that India has quickly rebounded from the impact of Covid-19 pandemic, with economic growth projected at 6.4 per cent in FY24 and now ranks among the fastest-growing major global economies. This is similar to the Centre’s own projection for the current fiscal year of 6.5 percent GDP growth.

* ADB said India needs to accelerate and sustain inclusive growth by tackling critical challenges in infrastructure and human development, income and regional disparities, and vulnerability to climate change and natural hazards..

Source : Business Standard