Capital Account Convertibility (CAC)

A currency is said to be convertible when it can be freely exchanged for other currency at market rates. Current account transactions are those dealing with payments relating to foreign trade, travel and other services. Capital account deals with transaction of financial assets. While India has made the Indian rupee fully convertible on current account, it is yet to accept capital account convertibility as a goal.

One reason prompting the policy makers to go slow on capital convertibility is the experience of Mexico. It was one of the largest recipients of foreign private capital ($28 billion in 1993). But with the devaluation of the peso, and the collapse of the exchange rate, much of the capital fled country. This catastrophic collapse was made possible by capital account convertibility, which encouraged even Mexican residents to convert their capital into dollars, precipitating the crisis. Similar situation arose in the late 1997 in South East Asian countries also where their local currencies were hammered by speculators leading to devaluation of Indonesian rupiah by almost 58 per cent in one month.

While India make rupee fully convertible under current account, it was felt that the economy was not yet ready for capital account convertibility. The countries which went in for hasty CAC in the 1980s had to face financial crisis. The thinking was that trade and domestic liberation process should be completed before CAC can be thought of. Many economists feel that CAC will only help the drain of Indian capital, which will get invested abroad. The present policy is to go slow on CAC.

There is a school of thought represented by Prof. James Tobin, which even advocated an international tax on financial transaction to prevent speculative flight on capital. After the 1994 Mexico crisis, the idea of a 'Tobin Tax' received fresh attention.

India and ADB signed Loan Agreement to Support Electricity Transmission Capacity in Assam

India and ADB (Asian Development Bank) on 27 February 2012 Signed the third and last tranche of loan agreement  to support electricity transmission and distribution capacity in Assam  under the Assam Power Sector Enhancement Investment Programme. It amounts to 120.6 million US dollars. Tranches 1 and 2 are already given.

The objective of the Assam Power Sector Enhancement Investment Programme is to meet increasing demand for electricity in the state, where the large rural population depends mainly on the agriculture and manufacturing sectors for income.

The programme will help ASEB add an additional 430 MVA substation capacity and reduce system losses by four percent. Part of the loan will be utilised to increase energy efficiency through renovation and modernization of existing 33/11 kV substations, the introduction of high voltage distribution systems, and conversion to aerial bunched cables for some high voltage and low voltage lines in the urban areas. The programme will help around 1 million households, hospitals, businesses, and schools in the state.

The loan has a 20-year term and it includes a five-year grace period with an annual interest rate decided in accordance with ADB`s LIBOR-based lending facility. The project will be completed by 30 June, 2014.

All India Consumer Price Index Numbers for Industrial Workers

All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100 for the month of January, 2012 increased by 1 point and stood at 198 (one hundred & ninety eight).

            During January, 2012, the index recorded maximum increase of 9 points each in Haldia and Bhilai centres, 7 points  in Jamshedpur centre, 6 points each in Tiruchirapally and Srinagar centres, 5 points  in 2 centres, 4 points in 7 centres, 3 points in 7 centres, 2 points in 11 centres and 1 point in 18 centres. The index decreased by 3 points each in Rangapara Tezpur and Godavarikhani centres, 2 points each in Madurai and Mercara centres, 1 point in 8 centres, while in the remaining 16 centres the index remained stationary.

            The maximum increase of 9 points in Haldia and Bhillai centres is mainly on account of Housing Index and increase in the prices of Wheat, Mustard Oil, etc. The increase of 7 points in Jamshedpur centre is mainly due to Housing Index and increase in the prices of Mustard Oil, Goat Meat, Vegetable & Fruit items, Tea (Readymade), Firewood, Soft Coke, Barber Charges, etc. The increase of 6 points in Tiruchirapally and Srinagar centres is mainly on account of Housing Index and increase in the prices of Rice, Wheat Atta, Mustard Oil, Milk, Vegetable & Fruit items, Tea (Readymade), etc. The decrease of 3 points in Rangapara Tezpur and Godavarikhani centres is due to decrease in the prices of Rice, Onion, Chillies Green, Vegetable items, etc. The decrease of 2 points in Madurai and Mercara centres is due to decrease in the prices of Rice, Wheat, Fish Fresh, Poultry (Chicken), Onion, Vegetable & Fruit items, etc.

            The indices in respect of the six major centres are as follows :

1. Ahmedabad	192
2. Bangalore	200
3. Chennai	187
4. Delhi	181
5. Kolkata	184
6. Mumbai	199

            The point to point rate of inflation based on CPI-IW (General) for the month of January, 2012 is 5.32% as compared to 6.49% in December, 2011. Inflation based on Food Index dipped to the level of 0.49% in January, 2012 as compared to 1.97% in December, 2011.

First Nationwide Annual India Consumer Price Index released by the Centre of Statistical Office

As per the first nationwide retail inflation data released by the Centre of Statistical Office on 21 February 2012, inflation based on the all India Consumer Price Index stood at 7.65 per cent in January 2012. The annual consumer price index (CPI) data released for the first time measures retail prices in major food groups, fuel, clothing, housing and education across rural and urban India.

While food and beverages reported a moderate rate of price rise of 4.11 per cent year-on-year in January, the inflation numbers for fuel and light, and clothing, bedding and footwear segments were in double-digits. Overall retail inflation in rural and urban areas stood at 7.38 per cent and 8.25 per cent in January, respectively.
Consumer price inflation for rural India (CPI-R) was recorded at 7.38%, for urban India (CPI-U), it stood at 8.25%.

Inflation as measured by the WPI eased to a 26-month low of 6.55% in January 2012.

Beginning 21 February 2012, the union government will release the nation-wide Consumer Price Index (CPI) on a monthly basis for better reflection of retail price movement as well as help the Reserve Bank take effective monetary policy steps to tackle inflation. The new CPI will eventually replace the Wholesale Price Index (WPI) for policy actions to deal with the price situation.

The monthly CPI will exist in addition to the three retail price indices- for agricultural labourers, rural labourers and industrial workers prepared by the Ministry of Labour. The new nationwide CPI is to be prepared by the Ministry of Statistics and Programme Implementation (MOSPI).

CPI uses defined basket of goods and services that represents purchasing pattern of a particular household. As the pattern is driven from the consumption side, it provides a relatively realistic view on how consumers are affected. The CPI data is reliable indication of demand side pressures and inflation is received from utilising CPI as a measure.

State of Education Report

According to the Annual Status of Education Report (ASER), 2011, the grim tale of India’s school education has got grimmer, with new evidence surfacing to show that families across rural India have been ignoring the guaranteed Right to Education to seek private paid education.

Though a whopping 96.8 per cent children aged 6 to 14 years (the age group the RTE Act covers) are now enrolled in school, children’s attendance is declining and so is their ability to read simple text and do simple mathematical calculations.

Almost half (48.1 per cent) of India’s rural primary school students are either attending private schools or seeking paid tuition. Across the nation, private school enrolment for children aged 6 to 14 years rose from 18.7 per cent in 2006 to 25.6 per cent in 2011.

The survey, which covered 6.5 lakh children in 16,000 villages of 558 districts, found that one in every four rural children was attending private schools. In Kerala and Manipur, over 60 per cent children go to private schools. The percentage of students going to private schools is 71.1 for Manipur; 39.6 for Punjab, 43.4 for Haryana, 37.7 for Jammu and Kashmir and 29.6 for Himachal.

In UP, 45 per cent students were found to be going to private schools in 2011, as against 22 per cent in 2005. In Tamil Nadu, 35 per cent are attending private schools as against 16 per cent in 2005. And the percentage of students seeking paid tuitions is rising. The figure was 22.5 in 2010 and is 23.3 per cent today.

The ASER report further found levels of reading abilities to have declined in several States. Except in Punjab, Gujarat and Tamil Nadu, reading abilities declined pan India, where the percentage of fifth graders able to read Class II text dropped across the nation from 53.7 per cent in 2010 to 48.2 per cent in 2011. Except in Himachal, Standard III children showed decline in ability to read Class I text across India.

In arithmetic, the situation is worse. As for the nation, the percentage of Class III graders who can do two-digit subtractions with borrowing dropped from 36.3 per cent in 2010 to 29.9 per cent in 2011. The decline was seen everywhere except in Andhra, Karnataka and Tamil Nadu, where the situation improved. The percentage of Class V children who can solve subtraction problems declined from 70.9 in 2010 to 61 this year.

BGREI turns Eastern region into food surplus region

The Bringing Green Revolution in Eastern India programme launched in 2010-11 as a Prime Minster's initiative based on the Inter Ministerial Task Force has resulted in impressive increase in production of food grains with the eastern region now turning a food surplus region. The BGREI is a subscheme of the Rashtriya Krishi Vikas Yojna (RKVYJ ) with an outlay of Rs. 400 crores in the eastern region including Assam, Bihar, Chhattisgarh, Jharkhand, Odisha, Eastern Uttar Pradesh & West Bengal.

The programme gained momentum in 2011-12 with the focus on rice and wheat only and strategic interventions relating to crop production, water harvesting and recycling, asset building and site specific activities needed for improving the agronomy-adopting cluster approach aimed at enhancing the productivity per unit area and the income of the farmers.

Eastern region hitherto known as food deficit region, has with the help of the programme, turned food surplus region. The rice production from the region is estimated at 562.6 lakh tons an increase of 19.8% over last year against an all India increase of 7%. And the foodgrain production from the region is estimated at 1032 tons an increase of 11.9% against an all India increase of 2.2%.

The increased productivity/ production was optimized due to resource allocation and utilization. The significant increase in production of food grains in the region not only offset the decline in production in central and peninsular India but also contributed significantly to the highest ever production of food grains. The growth in food grains i.e. rice and wheat provides an opportunity to procure and create food grain reserves locally reducing the pressure on Punjab and Haryana, and cutting costs on transport and other logistics.

The focus will now be to consolidate the gains with continued emphasis during the 12th Plan. Further steps will be taken to improve the infrastructure for procurement and storage of the produce and to ensure a reasonable price for the farmers.

Review of the Economy 2011/12

Review of the Economy 2011/12

Prime Minister's Economic Advisory Panel projected 7.5 - 8 % Growth Rate for 2012-13 Fiscal

The Prime Minister's Economic Advisory Panel (PMEAC) on 22 February 2012 projected 7.5 - 8 per cent growth rate for the fiscal 2012-13. India is also expected to achieve a higher economic expansion if the global environment turns favourable. Indian economy was growing at over nine per cent before the financial meltdown of 2008 pulled down the growth rate to 6.7 per cent in 2008-09.

The economy recorded a growth rate of 8.4 per cent in 2010-11, which according to the CSO estimates is expected to moderate to 6.7 per cent in the current fiscal 2011-12.

As per the Review of Economy (2011-12) released, the growth rate in 2011-12 is likely to be 7.1%, marginally higher than 6.9 per cent projected by the Central Statistical Organisaton (CSO).

Inflation was projected to moderate to 6.5% by March 2012 and 5-6 per cent in 2012-13. While the retail inflation based on Consumer Price Index (CPI) was 7.65 per cent in January, the Wholesale Price Index (WPI) inflation was 6.55 per cent.

Moderation of subsidy is expected to have a positive impact on manufacturing. It is also likely to help in softening of monetary policy. A need to make adjustment on the sale of petrol, diesel, gas and kerosene to reduce the huge burden of subsidy was also felt.

The negative developments in the Eurozone outweighed the small improvements in evidence in the US economy. The PMEAC projected the US economy to grow by more than the 1.8 per cent projected by the International Monetary Fund in September 2011 and reiterated in January 2012.

Sector-wise projection

The council pegged farm sector growth at three percent as compared to 2.5 percent growth projected in the advance estimate. A record output of rice and wheat on the back of good monsoon and strong growth in horticulture and animal husbandry segments are likely to push upward the agricultural sector growth. The farm sector had grown by seven percent in 2010-11.

The manufacturing sector was projected to grow by 3.9 percent while construction segment is expected to expand by 6.2 percent.
As per the PMEAC’s projection, strong growth in the services sector will continue with overall growth estimated at 9.4 percent for the fiscal ending 31 March 2012.

Projected Gross Domestic Product (GDP) growth for 2012 is substantially down from the budgetary target of around nine percent, and 8.4 percent expansion registered in 2011. High interest rates, fragile global economic conditions and the government's inability to push through key reforms hindered growth.

Investment activity slowed down and as a result the gross fixed capital formation for 2011-12 slipped to 29.3 percent, a decline of almost four percentage points over the last four years.

Objective Question based on Union Budget, Railway Budget and Economic Survey 2011-12

1. According to economic survey 2011-12, tabled in the parliament on February 25, 2011, how many villages in India are still out of telecom loop?
(1) 61,586
(2) 62,443
(3) 63,342
(4) 62,634

2. Union Railway Minister Ms. Mamata Banerjee presented the Railway Budget for 2011-12on
February 25, 2011 and fixed the plan outlay for 2011-12 at Rs.57, 630 crore, which is___ percent higher than the outlay for the year 2011-11.
(1) 38
(2) 42
(3) 44
(4) 40

3. According to the provisions of Railway Budget 2011-12, presented on February 25, 2011, which of the following combinations of project and proposed investments is not correct?
(1) New Railway Lines-Rs 9,583 crore
(2) Doubling the Lines-Rs5, 406 crore
(3) Gauge Conversion-Rs 2,470 crore
(4) Acquisition of rolling Stock-Rs 12,380 crore

4. Ms. Mamata Banerjee while presenting the Railway Budget for 2011-12 on February 25, 2011 fixed the target to load 993 million tones goods during 2011-12 to earn.
(1) Rs.68, 620 crore
(2) Rs.62, 489 crore
(3) Rs.67, 826 crore
(4) Rs.63, 765 crore

5. In the Railway Budget 2011-12, tabled on February 25, 2011, Ms.Mamata Banerjee has set an ambitious goal of enhancing the sundry earnings to Rs. 4,060 crore during 2011-12, which was___in 2010-11.
(1) Rs. 3170 Crore
(2) Rs. 3,530.34 Crore
(3) Rs.2, 596.31 Crore
(4) Rs.2, 778.34 Crore

6. Which one of the following projects was not announced by the Union Railway Minister Ms.Mamata Banerjee in the Railway Budget 2011-12, presented on February 25, 2011?
(1)Laying of 40 new lines
(2)Gauge Conversion of 1,017 km
(3)Trebling of 1125 km of track
(4)Electrification of 1,000km of track

7. Union Railway Minister Ms.Mamata Banerjee while presenting the Railway Budget for 2011-12 on February 25, 2011 proposed to set up a 700-megawatt gas-based power plant at Thakurli,which is situated in the state of
(1) West Bengal
(2) Andhra Pradesh
(3) Manipur
(4) Maharastra

8. How many new express trains were proposed in the Railway Budget 2011-12 on February 25, 2011 besides three new Shatabdis and nine new Duronto trains?
(1) 56
(2) 58
(3) 62
(4) 54

9. Which of the following statements regarding the Economic Survey 2010-11, tabled in the Parliament on February 25, 2011 is not correct?
(1) Estimated GDP growth in 2010-12, 8.6 percent
(2) Survey favours phased opening of foreign direct investment in multi-brand retail
(3) Survey does not favour second green revolution
(4) Efficient taxation of goods and services through GST

10. Union Finance Minister Pranab Mukherjee presented the Budget 2011-12 on February 28, 2011.Which of the following is not a key features of this Budget?
(1) Gross Tax receipts are estimated at Rs. 932,440 crore
(2) Exemption limit for general category of individual taxpayers was not enhanced
(3) Total expenditure proposed at Rs. 12, 57,729 crore
(4) Rate of Minimum Alternative Tax increased to18.5 percent

11. Which of the following statements is not correct about the Budget 2011-12, tabled in the parliament of February 28, 2011?
(1) Increase of 18.3 percent in total plan allocation
(2) Standard rate of service tax retained at 10 percent
(3) Allocation of Rs. 900 crore for National Mission for protein supplement
(4) redit flow for farmers raised from Rs. 3,75,000 crore to Rs. 4,75,000 Crore in 2011-12.

12. According to Economic Survey 2010-11, during April 2006 to March 2010, India witnessed foreign direct Investment inflows worth ____ in the retail sector.
(1) $ 190 million
(2) $ 194.69 million
(3) $ 290 million
(4) $ 294.69 million

13. According to Economic survey 2010-11, presented in the Lok Sabha on February 25, 2011, while the overall gross domestic product (GDP) has grown by an average of 8.62 percent during 2004-05 to 2010-11, GDP of the agricultural sector has increased by only____during the same period.
(1) 3.46 percent
(2) 4.46 percent
(3) 2.46 percent
(4) 5.46 percent

14. According to the data presented in the Economic Survey 2010-11, from 2000-2001 to 2009-2010, the growth in wheat acreage was around 1.21 percent, What was the growth in yield?
(1) 1.89 percent
(2) 0.68 percent
(3) 1.59 percent
(4) 1.61 percent

15. In the Union Budget 2011-12 presented in the LokSabha on February 28, 2011, what amount has been proposed to be raised through disinvestment of Public Sector Undertakings?
(1) Rs. 35,000 crore
(2) Rs. 40,888 crore
(3) Rs. 40,000 crore
(4) Rs. 37,000 crore

16. According to the proposal of Union Budget 2011-12, the government is to finalise Direct Taxes Code for enactment during 2011-12.When will it be effective from?
(1) April 1, 2012
(2) May 1, 2012
(3) April 1, 2013
(4) May 1, 2013

17. According to proposals of Union Budget, 2011-12, to empower women and promote their self help groups (SHG) Women’s SHGs Devlopment Fund is to be created with a corpus of
(1) Rs. 600 crore
(2) Rs. 525 crore
(3) Rs. 625 crore
(4) Rs. 500 crore

18. Which of the following pairs based on Union Budget 2011-12 estimates is wrongly matched?
(1) Revenue Receipts-Rs. 789892 crore
(2) Capital Receipts-Rs. 467837crore
(3) Non Plan Expenditure-Rs. 816000 crore
(4) Revenue Deflect- Rs. 307270 crore

19. According to the Union Budget 2011-12 estimates for each rupee that comes in the government’s ex-chequer the share of different heads has been listed below. Which of the following is not correctly matched?
(1) Borrowings and other liabilities-27 paise
(2) Corporation tax-23 paise
(3) Service tax and other taxes-6 paise
(4) Union Excise duties-11 paise

20. According to the Union Budget 2011-12 estimates presented in the Lok Sabha on February 28,2011,for each rupee that goes from government’s ex-chequer.the share of different heads has been listed below. Which of the following is not correctly matched?
(1) Central Plan-22 paise
(2) Interest Payment-18 paise
(3) Defence-10 paise
(4) subsidies-9 paise

21. According to the Union Budget 2011-12, to further encourage States to allocate more funds for agriculture over and above their base line expenditure on farming, an additional sum of ____has been proposed for the Rashtriya Krishi Vikas Yojana.
(1) Rs. 1190 crore
(2) Rs. 1105 crore
(3) Rs. 1150 crore
(4) Rs. 5110 crore

22. In the Union Budget 2011-12 proposals presented in Lok Sabha on February 28, 2011, to provide Housing finance to targeted groups in rural areas at competitive rates, what provision has been made for the Rural Housing Fund?
(1) Rs. 2000 crore
(2) Rs. 3500 crore
(3) Rs. 3000 crore
(4) Rs. 2500 crore

23. Handloom weavers have been facing economic stress. In the Union Budget 2011-12, to benefit 15000 cooperative societies and about 300000 handloom weavers, it has been proposed to provide_____ to NABARD.
(1) Rs. 3000 crore
(2) Rs. 2000 crore
(3) Rs. 3500 crore
(4) Rs. 4661 crore

24. With an objective to bring green revolution in the eastern region of India i.e. Assam, West Bengal, Orissa, Bihar, Jharkhand, eastern Uttar Pradesh and Chhattisgarh, what amount has been allocated in Union Budget 2011-12 for the programme that will target the rice based cropping system?
(1) Rs. 325 crore
(2) Rs. 400 crore
(3) Rs. 315 crore
(4) Rs. 415 crore

25. To build judicial infrastructure and E-courts project, the plan provision for the Department of justice has been increased three-fold to in the Union Budget 2011-12.
(1) Rs. 1000 crore
(2) Rs. 951 crore
(3) Rs. 2000 crore
(4) Rs. 1051 crore

26. In the Union Budget 2011-12 estimates presented in the Lok Sabha on February 28, 2011 the government has pegged fiscal deflect for 2011-12, at____ of Gross Domestic Product (GDP).
(1) 4.8 percent
(2) 4.6 percent
(3) 4.9 percent
(4) 4.15 percent

27. Plan expenditure which broadly includes spending on assets and is perceived to provide a push to the economic growth is estimated to be____in 2011-12, as mentioned in the Union Budget 2011-12.
(1) Rs. 441500.09 crore
(2) Rs. 400000 crore
(3) Rs. 441546.75 crore
(4) Rs. 14546.7 crore

28. In the Union Budget 2011-12 presented on February 28, 2011, a big push to the infrastructure sector has been announced. What allotment has been proposed on the transport and the energy sectors out of Rs. 5.92 lakh crore earnmarked in the Central Plan?
(1) Rs. 2.72 lakh crore
(2) Rs. 1.72 lakh crore
(3) Rs. 1.75 lakh crore
(4) Rs. 1.89 lakh crore

29. Union Finance Minister Pranab Mukherjee has made a total allocation of____to give a greater to flagship programme Bharat Nirman,covering six sectors.
(1) Rs. 56000 crore
(2) Rs. 58000 crore
(3) Rs. 10000 crore
(4) Rs. 85000 crore

30. In the Union Budget 2011-12 proposals,what amount has been allocated under the Indira Awas Yojana for construction of house for BPL families in the left wing Extremist(LWE) districts?
(1) Rs. 8096 crore
(2) Rs. 18999 crore
(3) Rs. 8996 crore
(4) Rs. 7996 crore

31. In the union Budget 2011-12 presented in the parliament on February 28, 2011 by what percentage the defence budget has been raised from Rs. 147344 crore in 2010-11?
(1) 11.59 percent
(2) 12.59 percent
(3) 11.95 percent
(4) 12.5 percent

32. According to the Union Budget 2011-12, an international award with prize money of Rs. 1crore is to be instituted for promoting the values of universal brotherhood in the memory of
(1) Mahatma Gandhi
(2) Rabindranath Tagore
(3) Devendranath Tagore
(4) Subhash Chandra Bose

ANSWERS

1.(2) 2.(4) 3.(4) 4.(1) 5.(2) 6.(3) 7.(4) 8.(1) 9.(3) 10.(2) 11.(3) 12.(2) 13.(1) 14.(2) 15.(3) 16.(1) 17.(4) 18.(3) 19.(2) 20.(3) 21.(2) 22.(2) 23.(1) 24.(2) 25.(1) 26.(2) 27.(3) 28.(1) 29.(2) 30.(3) 31.(1) 32.(2)

18. (2) The correct answer is Rs. 816182 crore 19. (2) The correct answer is Rs. 24 paise. 20. (3) The correct answer is Rs. 11 paise.

Indian Council of Overseas Employment- A think Tank on ‘International Migration

The Indian Council of Overseas Employment (ICOE) is a ‘not for profit’ society established by the Ministry of Overseas Indian Affairs (MOIA) in 2008 to serve as a think tank on all matters relating to ‘International Migration’. The ICOE undertakes empirical, analytical and policy related research, implements pilot projects to document good practices and assists in capacity building of stakeholders at the sub-national level. The mandate of the Council is to devise and execute medium to long term strategies to enable Indian emigrant workers and professionals to move up the value chain and to position India as a preferred source of qualified, skilled and trained human resources across a wide gamut of sectors.

Vision: Lead 'evidence based' work on international migration to support informed policy making and enable strategic interventions for a coherent and harmonised response to the transnational movement of people.

Mission: Partner with individuals, institutions and governments to drive empirical, analytical and policy related research; enhance capacities and pilot good practices in international migration and its governance.

Governance Structure: The Council has a two- tier body comprising of a Governing Body and an Executive Directorate. The Governing Body provides the broad policy framework for the programmes and activities of the Council. The Governing Body is headed by Secretary, MOIA who is the Chairman while the other Members include the Secretaries or their representatives from the Department of Economic Affairs, the Ministry of Finance, the Ministry of Labour and Employment; Secretaries of three State Governments by rotation and four external nominees. The Chief Executive Officer, ICOE functions as Member Secretary of the Council and looks after the functions of the Council and its operations, assisted by a small team.

Key Partnerships: ICOE is building strong research partnerships with institutions of international repute as well as multilateral organisations. Some of the partner institutions include:

•   European University Institute (EUI), Florence, Italy
•   International Organization for Migration (IOM), India
•   Migration Policy Institute (MPI), Washington, USA
•   Hellenic Migration Policy Institute, Athens, Greece
•   V. V. Giri National Labour Institute, India
•   UN Women, India

ICOE also works closely with the following institutions which have partnered with MOIA for various research initiatives on international migration:

•   Center for Development Studies, Trivandrum, India
•   Jawaharlal Nehru University (JNU), New Delhi, India
•   Center for the Advanced Study of India (CASI), University of Pennsylvania, Philadelphia
•   International Migration Institute (IMI), University of Oxford, UK
•   University of the Witwatersrand, Johannesburg

Initiatives of ICOE

1. Skill Development Initiative for Potential Migrants from the North-Eastern States of India is a pilot project currently underway in eight North-Eastern states in partnership with International Organization for Migration (IOM). The objective of the project is to provide job readiness and augment employability of the potential overseas migrants, in the international labour market, especially high demand sectors of hospitality & healthcare. The project will develop standards andan internationally recognized framework for skills up-gradation, assessment, accreditation & certification. The project will be scaled up at national level.
2. Developing a Knowledgebase for Policymaking on India–EU Migration project is being implemented in partnership with EUI, Florence, with an objective to consolidate a constructive dialogue between the EU and India on migration covering all migration-related aspects. The project is co-financed by European Commission (EC).The objective of the project is to assemble high-level Indian-EU expertise in major disciplines that deal with migration (demography, economics, law, sociology and politics) with a view to building up migration studies in India and to provide the Government of India as well as the European Union, its Member States, the state governments, academia and civil society, with evidence-based policy-oriented research, capacity building, and outreach programmes at sub-national level.
3. Study on Health of Migrant Workers from India in the Gulf is being undertaken by ICOE in collaboration with WHO and IOM in three major Indian states of origin (Kerala, Andhra, Pradesh, Punjab), and in the UAE, Oman and Bahrain. The scope of the study is to understand the etiology of the high incidence of hypertension, gestational diabetes and depression amongst Indian workers, relative to their counterparts in India as well as in comparison with other ethnic groups.
4. Empowerment of Women Migrant Workers in the Gulf is a pilot project instituted by ICOE in collaboration with UN Women for empowering women migrant workers in the Gulf. The project will be implemented over a period of two years in select districts of two major states of origin for women migrants workers; Andhra Pradesh &Kerala. The project aims to institutionalize ‘good practices’ in the entire cycle of migration from pre-departure to return and resettlement through a series of awareness and capacity building programmes covering all stakeholders in the migration process.
5. Labour Market Assessment (LMA) of six European countrieswas conducted by ICOE in partnership with IOM to present a market overview and sectoral opportunities in the labor markets in respective countries. The LMA also provided broad-based as well as short-term recommendations for potential improvement on the supply side of labour mobility in India. The second phase of Labour Market Assessment will be carried out in select EU Member States, Australia and Canada.
6. Research Project on the Movement of Indian Capital, Goods and Labour in Africa in partnership with The Centre for Indian Studies in Africa (CISA) - Wits University to create the basis for a realistic assessment of Indian capital and labour in Africa; and inform policy and practice in India. The project will build statistical &data analysis systems and establish institutional links with think-tanks in Africa to support evidence based research. The research outputs will inform India’s engagement with matters of investments and management of overseas Indian labour with particular reference to skills needed. It will also provide recommendations for action to improve labour flows and to engage with the issue of entrepreneurial capital as opposed to direct investments.
7. Second Employer’s Conference will be organizedin 2012 with an objective to showcase India as a preferred country of origin for skilled and trained human resource. The conference will be hosted by Haryana Overseas Placement Assistance Society (HOPAS) and is expected to be attended by recruiters from EU member states, Gulf, South-East Asia and Australia.

SOCIO ECONOMIC DEVELOPMENT PRACTICE QUESTIONS

1. Oman Investment Fund (OIF), the Sultanate of Oman’s sovereign wealth fund, filed application with the government to buy a stake in which of the software solutions company, IT People promoted exchange?
a. Universal Commodity Exchange
b. Agri bourse NCDEX
c. Intercontinental Exchange
d. National Spot Exchange Limited
Answer: (a)

2. Which company on 27 Deember 2011 mentioned that it would acquire the remaining 51 per cent stake from BP Alternative Energy Holdings in the joint venture that it formed with BP?
a. Reliance Power
b. Tata Power
c. Adani Power Limited
d. ABB Ltd
Answer: (b)

3. Which paharmaceutical company announced in December 2011 the launch of Supamovecream used for treating pain and inflammation in India?
a. Cipla
b. Ranbaxy
c. Dr. Reddy’s
d. Sun Pharmaceuticals
Answer: (c)

4. Name the state-run Mumbai-headquartered bank which on 29 December 2011 surprised the market by cutting its base rate, the minimum lending rate, by 10 basis points, thereby becoming the first banker this year to do so when others are waiting for a signal from the central bank.
a. State Bank of India
b. Union Bank
c. United Bank of India
d. Allahabad Bank
Answer: (b)

5. The $35-billion Aditya Birla group plans to set up a viscose staple fibre (VSF) plant in the Adana Organised Industrial Zone in which of the following countries?
a. Tunisia
b. Tanzania
c. Turkey
d. Tibet
Answer: (c)

6. Reserve Bank of India deregulated non-resident external (NRE) deposits on 16 December 2011 allowing banks to offer higher interest rates to dollar-denominated accounts. Which of the following facts related to the above statement is/are not true?
2. Reserve Bank freed the rates on non-resident external accounts, offering interest as high as 9.6% per annum
3. Following RBI’s deregulation five Indian banks, including HDFC Bank and Yes Bank on 23 December 2011 raised their interest rates on such deposits in order to lure foreign money
4. Private lender Yes Bank increased the interest rates on fixed deposits held by non-resident Indians (NRIs) to 8.4 per cent from 3.82 per cent
5. The new rates are effective from 24 December for fresh deposits as well as those being renewed on maturity.
a. 1 & 2
b. Only4
c. Only 3
d. 1 & 4
Answer: (c)

7. According to the RBI data, India's foreign exchange reserves fell by what amount to $302.1 billion during the week ended 16 December 2011 on account of a fall in foreign currency assets?
a. $4.67 billion
b. $3.33 billion
c. $5 billion
d. $5.75 billion
Answer: (a)

8. According to the Tea Board data released in December 2011, tea imports declined by what per cent to 9.91 million kg in the April-October period of 2011?
a. 10%
b. 12.5%
c. 14%
d. 15.3%
Answer: (c)

9. Infrastructure sector recorded a growth of what per cent in Novemberr 2011 after touching five-year low of 0.3% in October 2011 due to an impressive growth in cement, electricity and refinery products?
a. 2.3%
b. 3.9%
c. 4.6%
d. 6.8%
Answer: (d)

10. Telecom Commission, the decision-making body of the Department of Telecommunications recommended a uniform licence fee of what per cent of adjusted gross revenues (AGR) as against the prevalent rate of 6-8 per cent?
a. 10%
b. 8%
c. 5.2%
d. 9.3%
Answer: (b)

11. Theatre director, screenplay writer and actor Satyadev Dubey, credited with introducing existential and absurd theatre, passed away on 25 December 2011. Which facts about the concerned person is/are not true?
2. he got attracted to the post-1947 theatre and joined Theatre Unit, the theatre group-cum-school founded by Ebrahim Alkazi
3. Dubey came into prominence with Dharamvir Bharati’s radio-play Andha Yug that brought to the fore the pervasive criminal and homicidal tendencies during the times of war.
4. He penned screenplays/dialogue of some acclaimed films in the 1970s, including Shyam Benegal's Nishant, Ankur, Kalyug and Bhumika
5. He won the Filmfare Award for Best Dialogue in 1980 for the film Ankur
a. Only 1
b. Only4
c. 2 & 3
d. Only 2
Answer: (b)

12. Identify the veteran politician and former Chief Minister of Karnataka with the help of the following clues.
1. He was the Chief Minister of Karnataka from 1990-92 and died on 26 December 2011
2. The three time Lok Sabha member represented Bellary constituency
3. He was on the national political stage as a Lok Sabha member for three terms in 1996, 1999 and 2003.
4. He was instrumental in holding the first Indian international film festival in Bengaluru in 1993
a. H. D. Kumaraswamy
b. J. H. Patel
c. S. M. Krishna
d. S.Bangarappa
Answer: (d)

13. India’s infant mortality rate (IMR) showed a 3 point decline, dropping to what number per 1,000 live births, as per government data released on 28 December 2011?
a. 43
b. 55
c. 47
d. 50
Answer: (c)

14. Maharashtra government planned to provide free medicare for poor families. Consider the following statements:
i) The plan will benefit 50 lakh families.
ii) The plan will cover eight districts in state.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a) Both i and ii are correct

15. Lok Sabha on 27 December 2011 passed the Lokpal and Lokayukta bill, 2011. Consider the following statements:
i) The setting up of Lokayuktas by the states would not be mandatory.
ii) The constitutional amendment bill fell through.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a) Both i and ii are correct

16. Name the Mumbai skipper who on 22 December 2011 overtook former teammate as the highest run-getter in Ranji Trophy by scoring a total of 8242 runs.
a. Wasim Jaffer
b. Amol Muzumdar
c. Amarjeet Kaypee
d. Pankaj Dharmani
Answer: (a)

17. Who won his first Men’s Singles title of 2011 at the 2011 $120,000 Syed Modi India Open Grand Prix Gold badminton championship?
a. Sourabh Verma
b. Taufik Hidayat
c. Anup Sridhar
d. Hendra Setiawan
Answer: (b)

18. Which team won both the men's & women’s title in the 10th All-India Invitational volleyball tournament for the Vajpayee Cup?
a. Andhra Pradesh
b. Punjab
c. Kerala
d. Southern Railway
Answer: (c)

19. Identify the Indian footballer with the help of the following clues.
1. This Indian football team defender announced his retirement from international football on 26 December 2011
2. He captained the Indian team in one match (against Malaysia) in November 2011
3. He had scored one goal against Bhutan in SAFF Cup in 2005
4. He was part of the Indian teams which won SAFF Cup (2005), Nehru Cup (2007 and 2009), AFC Challenge Cup (2008) apart from the recent SAFF championship
a. Arnab Mondal
b. Gurwinder Singh
c. Anas Edathodika
d. Mahesh Gawli
Answer: (d)

20. The Indian team finished at the fourth position in the World Women's Team Chess Championship at Mardin,Turkey on 27 December 2011. Which team won gold and emerged at the top in the competition?
a. Ukraine
b. Russia
c. China
d. Greece
Answer: (c)

21. Name the Cyclone, which hit the coast of Chennai and south-eastern coastal areas.
a) Thane
b) Nargis
c) Rita
d) Katrina
Answer: (a) Thane

22. Name the gene, which controls memory in human brain.
a) Npas4
b) Npas3
c) Mpas4
d) Npas2
Answer: (a) Npas4

23. WGEEP designated entire Western Ghats as an ecologically sensitive area. What is the full form of WGEEP?
a) Western Ghats expert panel
b) Western Ghats environmental panel
c) Western Ghats environmental expert panel
d) Western Ghats ecology expert panel
Answer: (d) Western Ghats ecology expert panel

24. China launched a High-Speed Bullet Train in Quingdao, Shandong. Consider the following statements:
i) Its speed can reach up to 500 kilometres per hour.
ii) The train was launched by China’s largest rail vehicle maker, CSR Corp. Ltd.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a) Both i and ii are correct

25. Scientists discovered a Way to Transform Ordinary Tissue into Heart Muscle Cells. Consider the following statements:
i) It could pave the way for new therapeutic approaches for making a damaged heart to repair itself.
ii) Scientists used a zebrafish system to develop a small and robust molecule, which can transform stem cells into beating heart muscle cells.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a) Both i and ii are correct

26. People’s national party recently won Parliamentary elections in Jamaica. What is the capital of Jamaica?
a) New Delhi
b) Kingston
c) Paris
d) London
Answer: (b) Kingston

27. India and Pakistan concluded their sixth round of talks in__ on 27 December 2011.
a) Islamabad
b) New Delhi
c) London
d) Paris
Answer: (a) Islamabad

28. USA and Saudi Arabia inked an agreement worth__ US dollars.
a) 29.4 billion
b) 20 billion
c) 25 billion
d) 23 billion
Answer: (a) 29.4 billion US dollars

29. India approved the acquisition of French advanced missile systems to arm the Mirage-2000 fighter jets. Consider the following statements:
i) The cabinet committee on Security cleared the contract for the fire and forget MICA with French company MBDA.
ii) MICA are interception and aerial combat missiles.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a) Both i and ii are correct

30. The Union government approved Katra-Quazigund Railway line project. The project is located in__.
a) Jammu and Kashmir
b) Bihar
c) Punjab
d) Haryana
Answer: (a) Jammu and Kashmir

31. India became free from bird flu,__.
a) H5N1
b) H4N1
c) H5N2
d) H3N3
Answer: (a) H5N1

32. Which PSU announced on 2 January 2012 that its board approved in a meeting held on 30 December 2011 the switching over to internationally-accepted Gross Caloric Value-based pricing mechanism?
a. BHEL
b. ISPAT
c. CIL
d. IOC
Answer: (c)

33. Mukesh Ambani’s Reliance Industries Ltd (RIL) entered the media and entertainment sector by making a major investment in one of India’s largest broadcast companies. Name the broadcast company.
a. Network18 Group
b. Adlabs Films
c. Balaji Telefilms
d. Bag Films
Answer: (a)

34. Credit Suisse upgraded which company to neutral from underperform, citing valuation comfort at current?
a. Essar Energy
b. Reliance Power
c. Bajaj Auto
d. Tata Steel
Answer: (d)

35. Which PSU lender called off its plans to set up a joint venture with Visa Inc and Elavon Inc to enter the merchant acquiring business over differences on sharing technology?
a. Union Bank
b. State Bank of India
c. Syndicate Bank
d. Corp Bank
Answer: (b)

36. This company acquired Star more than 500 films like blockbusters like Salman Khan's Dabangg, Ready, Golmaal 3, Tees Maar Khan, Thank You, No One Killed Jessica, Guzaarish, Kites and Raavan from a general entertainment channel owned by the Viacom 18 Group?
a. Sony
b. UTV movies
c. Colors
d. Sab TV
Answer: (c)

37. Union government raised the ad valorem duty (export duty) on iron ore exports to what per cent from 20 per cent?
a. 30%
b. 33%
c. 41%
d. 43%
Answer: (a)

38. As per the to Commerce Ministry data released on 2 January 2012, India’s exports recorded their slowest pace of growth in two years in November 2011. What was the per centage of growth recorded?
a. 4.2%
b. 3.8%
c. 2.2%
d. 0.94%
Answer: (b)

39. Union government on 3 January 2012 approved Reliance Industries' (RIL) investment plan for developing four satellite fields in the flagging KG-D6 block. What was the proposed sum to be invested for developing the satellites?
a. $1.500 billion
b. $1.692 billion
c. $1.529 billion
d. $1.375 billion
Answer: (c)

40. The capital market regulator SEBI on 3 January 2012 allowed auctioning of securities through stock exchanges and introduced a new method for institutional placement of stocks. Which of the following facts related to the above statement is/are not true?
1. Under the institutional placement programme (IPP), shares can be sold only to qualified institutional buyers.
2. There shall be at least 25 allottees in every IPP issuance. No single investor shall receive allotment for more than 25% of the offer size
3. The IPP method can be used to increase public holding by 10% and could be offered to only qualified institutional buyers with 25% being reserved for mutual funds and insurance companies
4. Under the IPP, companies will have to announce the ratio of buy-back, as is done in the case of rights issues and fix a record date for determination of entitlements as per shareholding on record date
a. Only 1
b. Only 3
c. Only 2
d. Only 4
Answer: (c)

41. What is the Finace Ministry’s decision on the rates applicable on small savings instruments schemes that would be announced on April 1 each year?
a. rate would remain valid till the maturity of the scheme
b. rate would change in the first qurter of that respective year
c. rates would change depending on different maturity period
d. rates would remainvalid for six months post the maturity
Answer: (a)

42. Scientists for the first time produced mixed embryo monkeys. Consider the following statements:
i) Scientists produced monkeys composed of cells taken from separate embryos.
ii) The cells stay together and work together to form tissues and organs.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a) Both i and ii are correct

43. Scientists discovered unknown species off the coast of Antarctica. Consider the following statements: i) The temperature in this region rises to 380 degree Celsius. Ii) There is plenty of light in this region.
Which of the above statements is/ are correct?
a) Only i
b) Only ii
c) Both i and ii
d) Neither i nor ii
Answer: (a) Only i; There is complete absence of light in this region

44. The world’s first hybrid sharks was discovered by the researchers in Australian waters. The hybrid shark is the result of cross-breeding between which one of the following set of shark species?
a) Common black tip Shark and Australian black-tip shark
b) Indian black-tip Shark and Australian black-tip Shark
c) Blue Whale and Common black-tip Shark
d) Blue Whale and Australian black-tip Shark
Answer: (a) Common black-tip Shark and Australian black-tip Shark

45. Scientists produced artificial human semen to help infertile men. Consider the following statements: i) The scientists grew the sperm by enveloping the germ cells in a special compound called agar jelly. ii) The artificial human semen could help infertile men father their own children.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a) Both i and ii are correct

46. Health Authorities in Australia recently detected Deadly Disease, Murray Valley Encephalitis. The disease is caused by the__.
a) Flies
b) Mosquitoes
c) Birds
d) Dogs
Answer: (a) Mosquitoes


47. Kiro Gligorov, the former president of Macedonia died in Skopje on 1 January 2012. Which facts about Gligorov given below are not true?
2. Gligorov was the first democratically elected president of Macedonia.
3. He joined the partisan movement fighting against the Nazi occupation and was one of the organizers of the Anti-Fascist Assembly for the People’s Liberation of Macedonia, or ASNOM in 1945
4. Gligorov served four consecutive presidential terms, leading the nation from January 1991 to November 2009
5. The early days his presidency were overshadowed by a bitter dispute with Greece over the newly independent nation’s name , the dispute that continues till date
a. Only 1
b. 1 & 2
c. Only 3
d. 2 & 4
Answer: (c)

48. Who was presented the Mahatma Gandhi International Award for Peace and Reconciliation on 4 January 2011, the fourth day of the ten-day Kalachakra initiations?
a. Tibetan spiritual leader, the Dalai Lama
b. South African leader Nelson Mandela
c. Tanzania’s Julius Nyerere
d. Burmese pro-democracy leader Aung San Suu Kyi
Answer: (c)

49. European Union agreed in principle to ban import of Iranian Crude oil. Consider the following statements:
i) The European Union( EU) is one of Iran’s biggest markets for oil.
ii) The EU is a political and economical union of 27 member states.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a) Both i and ii are correct

50. The Israel-Palestine talks, in the first week of January 2012 was held in Amman. Amman is the capital of__
a) Jordan
b) Syria
c) Iraq
d) Iran
Answer: (a) Jordan

51. Maldives on 4 January 2012 lifted ban on Spas in the upmarket tourist destination. Consider the following statements:
i) The tourism industry is an important foreign exchange earner in the Maldives.
ii) Maldives in 2011 received more than 850000 tourists.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a) Both i and ii are correct

56. India signed MoU( Memorandum of Understanding) on tourism with ASEAN on 12 January 2012. The agreement took place in__.
a) Manado
b) Jakarta
c) Malaysia
d) Manila
Answer: (a) Manado

57. Pravasi Bhartiya Divas-2012 was held in Jaipur. Jaipur is the capital of which one of the following states?
a) Rajasthan
b) Bihar
c) UP
d) Bihar
Answer: (a) Rajasthan

58. India and Japan on 12 January 2012 agreed to enhance their cooperation in the ___sector.
a) Infrastructure
b) Tourism
c) Road and Transport
d) Coal and Mining
Answer: (a) Infrastructure

59. Newly crowned Miss Belgium 2012, Laura Beyne mentioned that she mostly supports gay marriages. In which year did Belgium become the second country after the Netherlands to legalize gay marriage?
a. 2000
b. 2003
c. 2005
d. 2009
Answer: (b)

60. TIE Chennai (The Indus Entrepreneurs), dedicated to promote entrepreneurship in January 2012 launched a book Dream to destiny — the driving spirit of Chennai's entrepreneurs in January 2012. TiE Chennai is a _.
a. Non-profit organisation
b. Committee of Entrepreneurs
c. Multinational organisation
d. Entrepreneur arm of the Commerce Ministry
Answer: (a)

61. State-run Northern Coalfields (NCL) agreed to surrender land required to mine two blocks attached to the Sasan ultra mega power plant to which of the following companies giving the comapany the benefit of over Rs 6000 crore over the life of the venture?
a. Reliance Power
b. Adani Power
c. Birla Power Solutions
d. DLF Power
Answer: (a)

62. Which car took home the crown of Indian Car Of The Year 2012 in January 2012?
a. Toyota Etios Liva
b. Maruti Suzuki Swift
c. Hyundai Verna
d. Hyundai Eon
Answer: (b)

63. B. D. Park was appointed the President and CEO of this electronic major’s South West Asia Operations and Managing Director of its India operations. Which electronic major is in question here?
a. Phillips
b. Videocon
c. Samsung
d. LG
Answer: (c)

64. Maldives authorities allowed Male International Airport operator to collect airport development and insurance charges from passengers, nearly a month after a local court barred the Bangalore-based company from doing so. Name the operator.
a. GMR Infrastructure
b. International Air Transport Association (IATA)
c. Fraport AG
d. DIAL
Answer: (a)

65. Which French construction major entered the Indian market by buying out 100 per cent stake in NAPC, a Chennai-based construction company?
a. Sinopec Engineering
b. Uhde
c. Vinci
d. Snamprogetti
Answer: (c)

66. According to the draft sports policy of this state Government released on 11 January 2012, a special life-time achievement award, in memory of G.V. Raja, the founder-president of the State Sports Council is to be instituted. Which State is being referred to?
a. Karnataka
b. Kerala
c. Tamil Nadu
d. Andhra Pradesh
Answer: (b)

67. Which team defeated Uttarakhand 25-22, 25-22, 25-13 in the men’s category to win the National title for the fourth time, in the 60th senior National volleyball championship, at the Balbir Juneja Indoor Stadium, Raipur on 11 January 2012?
a. Kerala
b. Andhra Pradesh
c. West Bengal
d. Tamil nadu
Answer: (a)

68. Which team extended their hegemony by defeating Kerala 25-12, 25-14, 25-16 in a one-sided final in the women’s category at the 60th senior National volleyball championship?
a. Punjab
b. Services
c. Railways
d. Delhi
Answer: (c)

69. This footballer was awarded the 2011 FIFA Ballon d'Or on 9 january 2012 in Zurich. He won the award for the third consecutive year for the world's outstanding footballer. Identify the footballer.
a. Cristiano Ronaldo
b. Xavi
c. Sergio Ramos
d. Lionel Messi
Answer: (d)

70. Foreign direct investment (FDI) into India went up by what per cent to $2.53 billion in November 2011, indicating an improvement in investor sentiment?
a. 56%
b. 49%
c. 33%
d. 26%
Answer: (a)

71. As per the Forward Markets Commission data released on 9 January 2012 that the turnover of the 21 commodity exchanges in India increased by 66% to what amount till December 2011?
a. Rs 123 lakh crore
b. Rs 137.22 lakh crore
c. Rs 100.57 lakh crore
d. Rs 93 lakh crore
Answer: (b)

72. Indirect tax collections increased by what per cent to Rs 285787 crore during April-December 2011 driven by an increase in service tax mop-up?
a. 15%
b. 14.56%
c. 16.1%
d. 16.33%
Answer: (c)

73. The Directorate General of Foreign Trade (DGFT) notified that the Commerce Ministry on on 11 January 2012 lowered the minimum export price of onions by $100 a tonne to boost exports. What is the changed minimum export price of onion?
a. $200 a tonne
b. $250 a tonne
c. $300 a tonne
d. $150 a tonne
Answer: (d)

74. Prime Minister's Office on 11 January 2012 directed cash-rich public sector undertakings (PSUs) to invest around Rs.1.76 lakh crore to act as a stimulus in the next fiscal 2012-13. What is the amount to be invested domestically?
a. Rs.1.41 lakh crore
b. Rs 1.57 lakh crore
c. Rs 2.50 lakh crore
d. Rs 3.19 lakh crore
Answer: (a)

75. He was conferred with the first S K Singh Award for excellence in the Indian Foreign Service on 6 January 2012. Identify the diplomat.
a. Ranjan Mathai
b. Shivshankar Menon
c. D Bala Venkatesh Verma
d. K. Raghunath
Answer: (c)

76. Which Ministry prepared draft policy seeking to increase private participation and opens the doors for foreign direct investors for expanding its network?
a. Railways Ministry
b. Ministry of Rural Development
c. Ministry of Commerce and Industry
d. Defence Ministry
Answer: (a)

77. Six researchers from five science streams were honoured with this prize by the former President, A.P.J. Abdul Kalam in Bangalore on 9 January 2012. Name the prize in question.
a. Infosys Prize
b. India Science Prize
c. Rolls-Royce Science Prize
d. Young Scientist Award
Answer: (a)

78. Which one of the following state governments launched Panch Parmeshwar scheme?
a) Madhya Pradesh
b) Bihar
c) UP
d) Kerala
Answer: (a) Madhya Pradesh

79. The Cabinet Committee on Security approved the setting up of NCTC. What is the full form of NCTC?
a) National Counter Terrorism Centre
b) National Trade Cooperation
c) National Central Terrorism Centre
d) National Council for Trade Cooperation
Answer: (a) National Counter Terrorism Centre

80. Which of the following companies infused Rs 520 crore equity into BSES Delhi distribution companies as part of Rs 5,100 crore financial package being worked by IDBI
a. NTPC
b. RIL
c. Adani Power Ltd
d. Birla Group
Answer: (b)

81. Suzlon Energy signed a memorandum of understanding with this State Government as a part of the CII's Partnership Summit that concluded on 13 January 2012. As per the MoU, Suzlon Energy will develop wind power projects totalling 3,000 MW in Andhra Pradesh over the next four years, involving potential investment of up to Rs.18,000 crore. Name the state government with which the MoU was signed.
a. Andhra Pradesh government
b. Gujarat governemnt
c. Orissa government
d. Arunachal Pradesh government
Answer: (a)

82. Name the auto making company which launched three new variants of the Eon-D — Lite plus, Era plus and Magna plus in the Indian market in January 2012.
a. Tata Motors
b. Hyundai Motor India
c. Volkswagen
d. Maruti Suzuki
Answer: (b)

83. The Government of which of the following countries acquired 1.09 per cent stake, currently worth about Rs.2500 crore, in Mukesh Ambani-led Reliance Industries Ltd. (RIL), the company's latest shareholding data show?
a. Malaysia
b. Japan
c. Phillipines
d. Singapore
Answer: (d)

84. Which Photography Pioneer filed for Chapter 11 bankruptcy protection on 19 January 2012 making it likely for the 132-year-old trailblazer to become the most storied casualty of a digital age?
a. Eastman Kodak Company
b. Fuji
c. Nikon
d. Canon
Answer: (a)

85. Which company retained its top position in Interbrand's list of the top 100 global brands in 2011?
a. Apple
b. Coca cola
c. Microsoft
d. Google
Answer: (b)

86. As per the Index of Industrial Production (IIP) data, industrial production bounced back with a growth of what per cent in November 2011, marking a five-month high in a reversal from the negative trend witnessed in October 2011?
a. 5.9%
b. 6.5%
c. 7%
d. 8.2%
Answer: (a)

87. India on 13 January 2012 extended for how many years an anti-dumping duty on import of four Chinese products like nylon filament yarn, Saccharin, cellophane transparent film etc?
a. 3 years
b. 5 years
c. 10 years
d. 12 years
Answer: (b)

88. Reserve Bank of India (RBI) on 13 January 2012 issued guidelines on compensation of wholetime directors, chief executive officers and other risk takers in private and foreign banks. Which of the following facts regarding the above statement is/are not true.
1. The central bank’s directions are aimed at preventing greed from destabilising the institution.
2. The guiderlines include provisions to clawback pay if transactions fail years after origination
3. The norms provided also include capping the variable component of the compensation at 48% of the fixed pay in a year
4. As per the guidelines issued, banks are permitted to exclude the Employees Stock Option Plan from variable pay
a. Only 2
b. Only 4
c. Only 3
d. 2 & 4
Answer: (c)

89. Which of the following bodies unveiled rules for direct investment in stocks by foreign investors, including individuals to put curbs on opaque structures to prevent routing of funds by resident Indians?
a. IRDA
b. FICCI
c. CCI
d. SEBI
Answer: (d)

90. As per the Wholesale Price Index, published by the government on 16 January 2012, Reduced food prices caused the inflation to dip to a year low at what per cent in December 2011?
a. 7.47%
b. 7.65%
c. 6.33%
d. 5.41%
Answer: (a)

91. Scientists identified a new gene in maize plants called__.
a) Meg1
b) Meg2
c) Meg3
d) Meg4
Answer: (a) Meg1

92. Researchers discovered new earthworm species in Port Blair. What is the name of the new species?
a) Moniligaster ivaniosi
b) Annelida
c) Nematoda
d) Onychophora
Answer: (a): Moniligaster ivaniosi

93. Scientists recently developed a new wireless device to detect the presence of termites. Consider the following statements: i) when the new device detects the presence of termites, it sends an SMS or email to a pest control firm. ii) The device is made of a tiny sensor, even smaller than a fingernail.
Choose the right option:
a) Both i and ii are correct.
b) Only i is correct.
c) Only ii is correct.
d) Neither i nor ii is correct.
Answer: (a): Both i and ii are correct

94. The scientists claimed that the Meteorite, which fell in Morocco in July 2011, was from Mars. The event happened for the first time in__ years.
a) 50
b) 100
c) 200
d) 150
Answer: (a) 50

95. Scientists found the Extinct Monkey, the Miller’s Grizzled Langur in the forests of___.
a) Indonesia
b) Malaysia
c) India
d) Africa
Answer: (a) Indonesia

96. 10th PBD( Pravasi Bhartiya Divas) was held at which one of the following Indian cities?
a) Jaipur
b) Patna
c) New Delhi
d) Chennai
Answer: (a) Jaipur
 
97. Planning Commission of India on 18 January 2012 approved Rudrasagar development scheme. The scheme is related__.
a) Tripura
b) Assam
c) Manipur
d) Sikkim
Answer: (a) Tripura

98. Writer/diplomat Pavan K. Varma's new book set in contemporary India and in the Himalayan kingdom of Bhutan, was launched in the New Delhi by Ashi Dorji Wangmo Wangchuck, the Queen Mother of Bhutan in January 2012. The protagonist Anand is wrongly diagnosed with cancer. He quits his high-power job and loses himself in a Bhutanese retreat.
Name the book.
a. When Loss is Gain
b. Ghalib: The Man
c. The Great Indian Middle Class
d. The Times
Answer: (a)

99. Identify the photographer with the help of the following clues.
1. She was India’s first woman photo-journalist and was the only professional woman photojournalist between 1939 and 1970
2. She was commonly known by her pseudonym Dalda 13
3. She also captured the first flag-hoisting ceremony at the Red Fort on August 16 1947, the departure of Lord Mountbatten from India and the funerals of Mahatma Gandhi, Jawaharlal Nehru and Lal Bahadur Shastri.
4. The Padma Bhushan Awardee breathed her last on 15 January 2012.
a. Ronika Kandhari
b. Asha Kochar
c. Prabuddha Dasgupta
d. Homai Vyarawala
Answer: (d)

100. Union Finance Minister Pranab Mukherjee on 11 January 2012 launched the signature tune of the Indian Customs Pragati ki Dhadkan in New Delhi. The signature tune was composed by which of the noted music directors?
a. A. R. Rahman
b. Aadesh Shrivastava
c. Adnan Sami
d. Shankar-Ehsaan-Loy
Answer: (b)

101. Prime Minister of Trinidad & Tobago visited India from 5 January 2012 to 14 January 2012. Who among the following is the Prime Minister of Trinidad & Tobago?
a) Kamla Persad Bissessar
b) Hosni Mubarak
c) Manmohan Singh
d) Naresh Goyal
Answer: (a) Kamla Persad Bissessar

102. The fifth edition of the World Future Energy summit began in__.
a) Abu Dhabi
b) New Delhi
c) Tehran
d) Dhaka
Answer: (a) Abu Dhabi

103. Memogate scandal is related to which one of the following countries?
a) Pakistan
b) Sri Lanka
c) China
d) India
Answer: (a) Pakistan

104. Rashtriya Sanskrit Sansthan and International Asociation of Sanskrit Studies jointly organised the 15th World Sanskrit conference from 5 to 10 January 2012 at Vigyan Bhavan in New Delhi. Where was the 14th World Sanskrit conference held?
a. Kyoto, Japan
b. Beijing, China
c. Colombo, Sri Lanka
d. Kuala Lumpur, Malaysia
Answer: (a)

105. Identify this politicial with the help of the following clues.
1. Leader of the Sandinista movement which overthrew the US-backed Somoza dictatorship in 1979
2. After the Nicaraguan Revolution resulted in the overthrow and exile of the Somoza's government in 1979, he became a member of the ruling multipartisan Junta of National Reconstruction.
3. He was elected as the 83rd Nicaraguan president in 2006. He had previously served as the 79th President, between 1985 and 1990.
4. He made alliances with fellow Latin American socialists and signed Nicaragua up to the Bolivarian Alliance for the Americas.
a. Enrique Bolaños
b. Arnoldo Alemán
c. Daniel Ortega
d. Hugo Chávez
Answer: (c)

106. The Bangalore-based pharmaceutical major, Strides Arcolab, sold its 94 per cent stake in Ascent Pharmahealth, a subsidiary with operations in Australia and Southeast Asia, to which of the following U.S.-based pharma companies?
a. Watson Pharmaceuticals
b. Abbott Laboratories
c. Pfizer
d. Derma Sciences
Answer: (a)

107. The Board of Approval (BoA) under the Commerce Ministry on 24 January 2012 approved the proposal of this company to set up a special economic zone (SEZ) at Indore in Madhya Pradesh. Identify the company.
a. Reliance Industries
b. Tata Consultancy Services (TCS)
c. Hero Motors
d. Infosys
Answer: (b)

108. Which private life insurance company from India on 25 January 2012 launched its first international operations with the opening of its representative office in Dubai?
a. Kotak Insurance
b. New India Insurance
c. HDFC Life
d. Religare Insurnce
Answer: (c)

109. Name the world’s largest biotechnology company, agreed to buy Micromet in a $1.16 billion deal to gain an experimental leukemia drug.
a. Celgene Drug
b. B B Biotech
c. Dechert
d. Amgen
Answer: (d)

110. Which channel developed a 52-week special India: Wild Encounters to focuss on India's enchanting wildlife s well as take viewers on an exploration spree ?
a. Discovery India
b. Animal Planet
c. Sony
d. National Gepgraphy
Answer: (b)

111. Centre for Monitoring Indian Economy (CMIE) estimated Corporate India’s sales to grow by what per cent in 2011-12?
a. 21.6%
b. 20.8%
c. 22
d. 23.7%
Answer: (a)

112. According to the report by Gems and Jewellery Export Promotion Council (GJEPC) released in January 2012, gems and jewellery exports fell into the negative zone to $3 billion in December 2011. What per cent fall did it register in the month in question?
a. 10.33%
b. 12.17%
c. 13.33%
d. 15%
Answer: (d)

113. Reserve Bank of India (RBI) on 24 January 2012 cut the cash reserve ratio (CRR) by 50 basis point. The current CRR stands at what percent?
a. 5%
b. 5.5%
c. 6%
d. 6.5%
Answer: (b)

114. The Reserve Bank of India on 24 January 2012 also kept the repo rate unchanged for the second consecutive time after raising it 13 times between March 2010 and October 2011. What is the present repo rate?
a. 8%
b. 7.5%
c. 8.5%
d. 9%
Answer: (c)

115. The poor performance of National Pension System, or NPS led the Pension Fund Regulatory and Development Authority (PFRDA) to change the incentive structure for the distributors. Which of the following statements in this regard is/are not true?
1. The pension regulator on the basis of the recommendation of the G.N. Bajpai committee constituted by PFRDA to review NPS, fixed the incentive at 0.25% of the subscription amount
2. As per PFRDA’s measures announceds, a distributor will get a flat Rs 50 on initial subscription and 0.05% of the initial subscription amount
3. Every year on subsequent investments, the point of presence will be entitled to 0.25% of that amount.
4. The minimum that a point of presence can charge is Rs 20 and the maximum Rs 25000.
a. Only 1
b. Only 2
c. Only 3
d. Only 4
Answer: (b)

116. FIPB headed by Economic Affairs Secretary R Gopalan had in a meeting held on 5 August 2011 cleared how many FDI proposals of a total worth of Rs 3844.7 crore?
a. 31
b. 12
c. 18
d. 23
Answer: (a)

117. According to the public debt management report released by the finance ministry on 17 August 2011, by what percentage did the Centre's debt rise in the first quarter (April to June) of the current fiscal 2011-12?
a. 5.5%
b. 6%
c. 6.7%
d. 8.1%
Answer: (b)

118. According to a report from CRISIL Research, how many additional jobs does India need to create by 2015 to maintain the current ratio of employed people to total population at 39 per cent?
a. 40 million
b. 47 million
c. 55 million
d. 57 million
Answer: (c)

119. Headline inflation eased to its eight-month low to what percentage in July from 9.44 per cent in the previous month?
a. 8.20%
b. 9.22%
c. 7.36%
d. 8 %
Answer: (b)

120. Which regulatory body on 16 August 2011 suggested that the Centre and the State governments should come out with a regulatory framework for the realty sector to protect consumers from unfair trade practices?
a. IRDA
b. SEBI
c. FICCI
d. CCI
Answer: (d)

KVG Bank women form "Vanitha Spoorti"

The Karnataka Vikas Grameena Bank (KVG Bank), in an effort to expand the reach of financial inclusion by involving lady staff of the bank, has started a scheme entitled “Vanitha Spoorti.”

The scheme was launched by the bank on Thursday at Dharwad. Addressing the bank employees, Mr C Sambasiva Reddy, chairman of the bank, said “Women are joining the banking industry in large numbers today, their contribution in the progress cannot be denied. In this changing scenario, the role of women employees in any organisation is also vital especially in the business development as well as involvement in day to day operations.”

For forming “Vanitha Spoorti,” women employees of KVG Bank who are working in the branches of twin cities (Hubli-Dharwad) and head office have come forward on their own to form groups to conduct door to door campaigns, forming SHGs, canvassing for business and for recovery.

Aadhaar advantage: Correct ID of beneficiaries can save Govt Rs 15,000 cr

The Government of India could save over Rs 15,000 crore even if 10 per cent of the money (Rs 1,50,000 crore) spent on food, fertilisers and fuels each year can be saved by identifying and eliminating duplication in recipient data, according to Mr Ajay Bhushan Pandey, Deputy Director-General, Unique Identification Authority of India.

He was speaking at the Institute of Management Consultants of India’s (IMCI) national convention in Mumbai organised in collaboration with the Narsee Monjee Institute of Management Studies on Saturday.

Mr Pandey underlined the cost benefit of the UID programme, which is estimated to cost the Government Rs 18,000 crore, and explained the figure of 10 per cent savings.

“The Government of Maharashtra gives grants to school students from certain segments of about Rs 1,500 crore. A drive was undertaken one year ago, to give those students money directly by getting them to open bank accounts. By the end of the year, they had spent only Rs 1,000 crore and there were no claimants for the remaining Rs 500 crore, because those students don't exist,’’ Mr Pandey pointed out.

With linking of biometric data collected through the UID project to the bank accounts, there would be further tightening of data by avoiding duplication, he said.

“Verification processes have shown that 10 to 15 per cent of the existing data is bogus,’’ he said, citing the case of a drive on enrolment data in schools in Maharashtra, on the basis of which grants for mid-day meals, books and other benefits are awarded.

Underlining the need for capturing biometric data that ensures uniqueness for each individual, he said: “I used to live in Delhi and had a ration card there. When I moved to Mumbai, I got one here. Even in the same place, it is possible to get multiple PAN cards by using a small change in the spelling of the name or change in address. The existing data is not robust enough because they cannot ‘talk' to each other. With the UID data being online, verification to avoid duplication is possible.’’

Focus on weaker segments

The UID programme has so far enrolled 13.3 crore Indians, he said, and is growing at the rate of 10 lakh a day. The focus has been on weaker segments of society to start with.

“The starting point has been remote and rural areas, and in cities it has been the slums. While in Maharashtra, for instance, 30 per cent of the population has been enrolled, the bulk of it is from rural Maharashtra,’’ added Mr Pandey.

In Amravati, 95 per cent of the population has been covered; in Ahmednagar the figure stands at 80 per cent, while it is 70 per cent in Jalgaon, he said.

For de-duplication for each of the 10 lakh people enrolling each day, their biometric data (10 finger prints and eye iris capture) are cross-checked against each person’s data already captured (13.3 crore). This poses huge technological and process challenges, said the UID official.

Central Statistical Organisation Points

The advance estimate of national income in 2011-12, released recently by the Central Statistical Organisation points to a decline in India’s GDP growth rate from 8.4 per cent last year to 6.9 per this year. The government, obsessed with growth rates, is deeply disappointed. Hence there is already talk of the need to respond and demands that the Reserve Bank of India should reduce interest rates are being heard. There are others, however, who would not waste time with numbers such as these. Not because, as a pure growth number, 6.9 per cent cannot be dismissed as too low, especially when the world is still in the midst of a recession. Rather it is because they do not see growth rates of even 8 and 9 per cent as being indicative of economic health when there is much else that points to poor performance.

Remaining within the growth discourse high GDP growth rates have been viewed with scepticism because for more than a decade now much of India’s growth has been based on incomes generated in the services sector, with the goods producing sectors either languishing or performing poorly. Seen from that perspective there are other elements in the recently released growth projections that should give cause for concern. Principally, the ‘agriculture, forestry and fishing’ sector is expected to record growth of just 2.5 per cent in its GDP during 2011-12, as against the previous year’s growth rate of 7.0 per cent. Within agriculture, the value of food grains production is expected to slow to 2.3 per cent as compared to 12.2 per cent in the previous agriculture year.

The problem here is not that agricultural output has registered a dip just with respect to the previous year. In a country where in many regions agricultural production is still dependent on the vagaries of the monsoon this should not be surprising. Rather, the problem is that decline in annual growth occurs in a context where for two decades now production in the agricultural sector has been languishing. Taking a long view, agricultural production has been stuck in the two per cent-plus range since Independence. And as the accompanying Chart illustrates, even after the 1980s, when the Indian economy reportedly migrated out of the “Hindu rate of growth” to a higher growth trajectory, agriculture has remained stubbornly on the 2 per cent plus growth trajectory.

The government has tended to play down this aspect of the growth scenario. In fact, early into the XIth Plan, it had argued that India had not merely seen a substantial acceleration in its aggregate GDP growth rate to 8-9 per cent per annum, but that the evidence was pointing to this dynamic affecting agriculture as well, generating hopes of a four per cent or more rate of growth in that sector. It is now clear that such assessments based on a few years’ data had come too early and were wrong. Agriculture as a sector still languishes.

In fact things seem to be getting worse. Though the aggregate rate of growth of agriculture seems to have remained constant, even if low, a more disaggregated view points to significant differentials across crops. Thus, the observed low rate of growth has been sustained in the 1990s and the 2000s because of specific categories of crops like fruits and vegetables and oilseeds. On the other hand, food grain production seems to have decelerated during the last two decades when compared to the 1980s and coarse grains and pulses have recorded particularly low rates of growth. That is, agricultural growth has been maintained even at its low level because of higher growth in a few non-staple crops.

As some economists not beguiled by the statistics have noted, this evidence points in two directions. The first is that in the period of reforms, when the Indian economy had ostensibly turned dynamic as suggested by the GDP growth figures, agriculture continued to be neglected, resulting in a silent agricultural crisis. That neglect had many components. Public investment in agriculture has been in long-term decline. The extension system aimed at reaching new agricultural technologies and information on better farming practices to India’s agriculturists has either been dismantled or allowed to degenerate. Agricultural research, which served India well during the Green Revolution years, has been given inadequate attention and resources. And a “reform”-induced combination of trade liberalisation and domestic deregulation, has raised costs while inadequately compensating farmers with remunerative prices, damaging the viability of crop production and increasing farmer exposure to income volatility.

The second is that the country is experiencing a food crisis that is concealed by claims of self-sufficiency. The per capita availability of food in a country where much of the population is below the level of nutritional adequacy has been low and declining. This has for much of the period not proved to be much of a problem because low incomes and purchasing power among a significant section of the population kept demand in check as well. But with low levels of per capita availability persisting even as the indirect demand for grain on the part of the well-to-do has increased, food prices are finally turning buoyant in India, squeezing the poor even further. Farmers may not be benefiting from remunerative prices, but consumers have to pay more.

Put together this and other evidence indicates that Indian agriculture is in the midst of a crisis that adversely affects farmers and the non-farm poor. But given the government’s obsession with growth this receives far less attention and provides much less cause for concern than the projected 1.5 percentage point decline in the official GDP growth rate.