UPSC Quiz – 2021 : IASbaba’s Daily Current Affairs Quiz 6th September 2021

Solution (c)

The International Fund for Agricultural Development is an international financial institution and a specialised agency of the United Nations that works to address poverty and hunger in rural areas of developing countries. 

It is the only multilateral development organization that focuses solely on rural economies and food security.

It is headquartered in Rome, Italy.

IFAD was established as an international financial institution in 1977 through United Nations General Assembly Resolution as one of the major outcomes of the 1974 World Food Conference.

It funds and sponsors initiatives that improve land and water management, develop rural infrastructure, train and educate farmers in more efficient technologies, build up resilience against climate change, enhancing market accessibility, and more.

India is the founding member of IFAD.

Article Link: Ahead of IUCN event, IFAD calls for more investment to protect biodiversity

Solution (d)

PMI or a Purchasing Managers’ Index (PMI) is an indicator of business activity — both in the manufacturing and services sectors. 

It is a survey-based measures that asks the respondents about changes in their perception of some key business variables from the month before. It is calculated separately for the manufacturing and services sectors and then a composite index is constructed.

The PMI is derived from a series of qualitative questions. Executives from a reasonably big sample, running into hundreds of firms, are asked whether key indicators such as output, new orders, business expectations and employment were stronger than the month before and are asked to rate them.

A figure above 50 denotes expansion in business activity. Anything below 50 denotes contraction. Higher the difference from this mid-point greater the expansion or contraction. 

The rate of expansion can also be judged by comparing the PMI with that of the previous month data. If the figure is higher than the previous month’s then the economy is expanding at a faster rate. If it is lower than the previous month then it is growing at a lower rate.

The PMI is usually released at the start of the month, much before most of the official data on industrial output, manufacturing and GDP growth becomes available. It is, therefore, considered a good leading indicator of economic activity. 

Economists consider the manufacturing growth measured by the PMI as a good indicator of industrial output, for which official statistics are released later. Central banks of many countries also use the index to help make decisions on interest rates.

Article Link: Indian services activity rebounds at fastest pace in 18 months in August amid rising business orders

Solution (a)

Financial Stability and Development Council (FSDC) is an apex-level body constituted by the government of India.

Composition of the council: 

Chairperson: The Union Finance Minister of India

Members:

• Governor Reserve Bank of India (RBl),
• Finance Secretary and/ or Secretary, Department of Economic Affairs (DEA),
• Secretary, Department of Financial Services (DFS),
• Secretary, Ministry of Corporate Affairs,
• Secretary, Ministry of Electronics and Information Technology,
• Chief Economic Advisor, Ministry of Finance,
• Chairman, Securities and Exchange Board of India (SEBI),
• Chairman, Insurance Regulatory and Development Authority (IRDA),
• Chairman, Pension Fund Regulatory and Development Authority (PFRDA),
• Chairman, Insolvency and Bankruptcy Board of India (IBBI)

Functions of FSDC:

• Coordination among regulatory bodies in financial sector. But it cannot override the decision taken by an independent regulator (SEBI, RBI) etc.
• Coordinating India’s international interface with financial sector bodies like the Financial Action Task Force (FATF), Financial Stability Board (FSB) and any such body as may be decided by the Finance Minister from time to time.
• Promotes financial literacy and financial inclusion.
• Macro prudential supervision of the economy including the functioning of large financial conglomerates.

Article Link: FSDC asks regulators to keep steady vigil on financial sector

Solution (b)

The SHAKTI (Scheme for Harnessing and Allocating Koyala Transparently in India) policy was approved in May 2017 with the intent of better allocation of coal to present and future power plants. 

It aims to phase out the present Letter of Assurance and Fuel Supply Agreement (FSA)-based regime, and instead introduce a more transparent and competitive coal allocation policy.

Article Link: Power ministry agrees to 3 coal auction windows under Shakti scheme

Solution (a)

Bhitarkanika National Park is located in Kendrapara district in Odisha.

It was designated as National Park in 1998 and obtained the status of a Ramsar site in 2002.

Bhitarkanika is one such location of rich, lush green vibrant ecosystem lying in the estuarine region of Brahmani – Baitaran Rivers.

It is the 2nd largest Mangrove ecosystems of India after sundarbans.

The park is home to the saltwater crocodile, Indian python, black ibis, wild boar, rhesus monkey, chital, darter, cobra, monitor lizard. Olive ridley turtles nest on Gahirmatha and other nearby beaches. Bhitarkanika has one of the largest populations of endangered saltwater crocodile in India.

Article Link: Experts express concern over diversion of fresh water from Odisha’s Brahmani river