Sovereign Gold Bond Scheme
Context: The subscription window for Series III of the Sovereign Gold Bond Scheme 2023-24 is set to occur from December 18 to December 22, 2023.
- The Sovereign Gold Bond Scheme serves as an alternative avenue for individuals seeking gold ownership.
- Its primary goal is to curtail the demand for physical gold, consequently regulating gold imports and optimizing resource utilization.
- Issued by the Reserve Bank of India (RBI), this initiative ensures transparency and trust in gold ownership, providing a secure investment option without concerns about storage or safety.
Objectives:
– Addressing the need to reduce demand for physical gold aligns with broader government economic goals.
– Efficient resource utilization is a key objective, managing the country’s resources effectively.
– The scheme aims to instill transparency and trust in the gold market through a regulated framework for ownership.
Operation of Sovereign Gold Bond Scheme:
Issuance by Reserve Bank of India:
– The RBI plays a pivotal role by centrally issuing gold bonds on behalf of the Government of India, ensuring a standardized and regulated distribution.
Distribution Channels:
– Sovereign Gold Bonds are accessible through post offices and banks, facilitating widespread participation.
Denomination:
– Bonds are issued in gram denominations, offering flexibility to investors with varying financial capacities.
Connection to Gold Price:
– Bond values are dynamically linked to the market price of gold, providing real-time valuation aligned with market fluctuations.
Eligibility Criteria: Sales are restricted to resident individuals, Hindu Undivided Families (HUFs), trusts, universities, and charitable institutions.
Key Features:
Issue Price: Linked to the prevailing gold price with 999 purity, published by the India Bullion and Jewellers Association (IBJA) in Mumbai.
Investment Limits:
– Acquired in multiples of one unit, subject to specific thresholds for different investor categories.
– Retail investors and HUFs have an upper limit of 4 kilograms each per financial year.
– Trusts and similar entities have a higher upper limit of 20 kilograms per financial year.
– Minimum Investment Requirement: Set at 1 gram of gold.
Term:
Maturity period of eight years, with an option for investors to exit after the first five years.
Interest Rate:Fixed rate of 2.5% per annum, payable semi-annually; interest earned is taxable under the Income Tax Act, 1961.
Benefits:
– Collateral for Loans: Bondholders can use Sovereign Gold Bonds as collateral for obtaining loans.
– Capital Gains Tax Exemption:
– Capital gains tax on bond redemption is exempted for individual investors.
Capital Gain Definition:
– Capital gain is the profit earned from selling assets like stocks, bonds, or real estate, occurring when the selling price exceeds the initial purchase price.
NASA to launch PACE Mission
Context:
NASA is preparing for the upcoming launch of the PACE (Plankton, Aerosol, Cloud, ocean Ecosystem) mission scheduled for 2024, with a primary focus on advancing our comprehension of Earth’s atmosphere.
PACE Mission Overview
Key Objectives
The mission aims to investigate the interaction between light, aerosols, and clouds, examining their influence on air quality and climate.
Oceanic Study
The analysis will include a thorough examination of ocean color to gain insights into various oceanic processes.
Primary Instrumentation
The Ocean Colour Instrument (OCI) will serve as the primary tool for measuring ocean color across a spectrum ranging from ultraviolet to shortwave infrared.
Additional Payloads
- Spectro-polarimeter for Planetary Exploration (SPEXone)
- Hyper Angular Research Polarimeter (HARP2)
Instrument Features
The instruments boast complementary spectral and angular sampling, ensuring polarimetric accuracy and providing enhanced spatial coverage.
Mission Objectives
The primary goals of the PACE mission include:
– Improved atmospheric correction
– Comprehensive collection of aerosol and cloud science data
– Advancement in ocean research
Significance
Anticipated to achieve groundbreaking results in aerosol-cloud-ocean research, the mission’s synergistic payload is expected to contribute significantly to scientific knowledge in this field.
Channapatna Toys in Afghan school academics
Context:
In Afghanistan, Channapatna toys, a traditional craft hailing from Karnataka, India, have been integrated into children’s educational pursuits.
Channapatna Toys Overview:
- Location: Channapatna, also known as Gombegala Ooru (Toy-town), situated approximately 60 km from Bengaluru, in the Ramanagara district of Karnataka, India.
- Industry: The craft is sustained by over 250 cottage units and about 50 factories exclusively dedicated to toy production.
- Historical Roots: Tracing back to the 18th century during Tipu Sultan’s rule, Channapatna toys were inspired by Persian artisans.
Distinctive Features:
- Crafted by hand using traditional methods
- Mainly fashioned from Ivory Wood, supplemented by sandalwood and mango wood
- Adorned with organic, natural dyes
- Designed with child safety in mind, featuring rounded shapes and blunt edges.
- Recognition: Channapatna toys earned the Geographical Indication (GI) tag in 2005.
Centre allows use of sugarcane juice, B-molasses to make ethanol
Context:
The recent government decision to prohibit the use of sugarcane juice and sugar syrup for ethanol production has been overturned a week after the industry sought a reconsideration of the ruling.
Key Points:
Policy Reversal: The government has retracted its decision to ban the utilization of sugarcane juice in ethanol production, permitting its use alongside B-heavy molasses. However, the diversion of sugar for ethanol is now capped at 17 lakh tonnes.
Temporary Capping: The limitation on sugar diversion will be in effect for the 2023-24 supply year, concluding in October of the following year. This decision follows a week of industry protests against the initial ban on cane juice and sugar syrup for ethanol.
Flexibility for Sugar Mills: Sugar mills are now granted flexibility to use both sugarcane juice and B-heavy molasses within the 17 lakh tonnes cap for ethanol production in the current supply year.
Consideration of Modalities: Officials are actively determining the proportion of cane juice and molasses for ethanol production. Some ethanol has already been produced using cane juice in the ongoing supply year.
Industry Advocacy: The reversal is a response to representations from the sugar industry requesting a review of the initial ban, citing its adverse impact on ethanol production and the financial strain on mills.
Concerns and Challenges: The government’s decision is driven by concerns regarding low cane production, exacerbated by recent drought conditions in Maharashtra and Karnataka.
Ethanol Blending Target: Despite challenges, officials express confidence in achieving the 15% ethanol blending target with petrol in the 2023-24 supply year.
Review of Sugarcane Juice Ban: Officials acknowledge industry concerns and assure a review of the sugarcane juice ban, emphasizing its temporary nature and the imperative of national interest.
Financial Strain on Industry: The Indian Sugar Mills Association urges the government to reconsider ethanol prices from B-heavy and C-heavy molasses to provide financial support to millers.
Price Revision Requests: Industry demands include increasing ethanol prices from B-heavy molasses to ₹64 per litre and from C-heavy molasses to ₹58-59 per litre.
Vijay Diwas
Context:
Recently, the President of India participated in the ‘At Home’ reception at Army House on the occasion of Vijay Diwas in New Delhi.
About:
- Vijay Diwas, observed on December 16, commemorates Bangladesh’s Victory Day, symbolizing the historic triumph in the 1971 Bangladesh Liberation War against Pakistan, spanning from March 26 to December 16, 1971.
- This significant day signifies Bangladesh’s emergence as an independent nation following a strenuous nine-month struggle.
- In addition to Bangladesh, India also observes Vijay Diwas on December 16 to pay homage to the sacrifices made during the war and acknowledge India’s crucial role in supporting Bangladesh’s victory.
- India played a pivotal role by assisting the Mukti Bahini (Bangladesh forces), offering vital aid, sheltering refugees, and actively intervening, ultimately leading to Pakistan’s surrender and the birth of Bangladesh.
- The formalization of Bangladesh’s victory took place on December 16, 1971, with the signing of the Instrument of Surrender by General Niazi, marking a historic moment in the region’s history.
