Current Affairs for IAS Exams

Current Affairs for IAS Exams – 16 November 2016

The Supreme Court refused to stay government notification demonetising Rs. 500 and Rs. 1,000 currency notes.
However SC asked the Centre to take immediate measures to alleviate the sufferings of the traumatised common man who is “forced” to stand in queues to withdraw a little bit of his own hard-earned money.
Court did not want to interfere with the government’s economic policy, Chief Justice Thakur said the objective of demonetisation might be a “surgical strike” on black money, but it should not cause hardship to the common man.
“Carpenters, masons, daily wage earners, maids, vegetable sellers are dependent on cash; we are only wondering if you are capable of doing anything to reduce the trauma of ordinary man,” Chief Justice Thakur asked
The Bench asked the Centre to file an affidavit by November 25, detailing the various measures it could take to lessen the hardship and inconvenience caused to people without hindering the larger objective of the government notification to get rid of black money and cross-border terror financing.
“After demonetisation, the black money hoarders do not even have the money they once used to have in their pyjamas,” Attorney-General Mukul Rohatgi Rohatgi submitted in the Supreme Court
He said 3.25 lakh crore in Rs. 500/1000 notes was deposited out of 15 or 16 lakh crore in circulation. At least, Rs. 10 to 11 lakh crore is expected to come in.

The government asked banks to start using indelible ink to mark and identify persons who exchange old Rs. 500 and Rs. 1,000 notes upto Rs 4,500 to ensure that the facility isn’t used multiple times.
A small mark of indelible ink, used during elections to prevent multiple voting, will be put on the right hand finger of persons exchanging the recalled currency notes.
Freshly minted notes of Rs. 100 denomination will start reaching banks soon to ease the lack of change for the new Rs 2,000 and Rs 500 notes that is impeding day-to-day transactions.
Finance Minister Arun Jaitley, meanwhile, asserted that the Centre was fully prepared for the impact of the exercise and was working for ‘effective currency management’ even as officials sought to manage the fallout.
“There are enough currency notes with banks and in the system. The situation will be continuously monitored… both the supply of cash and of essential commodities.”
The government has also asked religious institutions, which receive donations in smaller denomination notes, to deposit these notes in bank accounts to increase their supply in circulation, Mr. Das added.
Both the RBI and govt emphasised that the facility to exchange Rs. 4,500 worth of notes was a one-time opportunity and not a daily limit to clear any confusion that may have arisen in the matter owing to the language of the notification.

The head of China-led Asian Infrastructure Investment Bank (AIIB), Jin Liqun, has signalled that the United States under President-elect Donald Trump could reverse its decision not to join the lender.
A move that could pave the way for Washington’s broader acceptance of Beijing’s One Belt One Road (OBOR) connectivity initiative across the Eurasian region.
The AIIB is widely viewed as part of a new global financial architecture, and is expected to back infrastructure projects in Asia that are part of OBOR.
U.S. embrace of OBOR under the newly elected President could be on the cards, in case Beijing agreed not to the alter the status quo in the Asia-Pacific.
According to the People’s Daily , “Woolsey recognised China’s leadership role, but also said that the balance of power in Asia depends on America’s strength”.
The daily also carried an article by Nicholas Rosellini, the China head of the United Nations Development Programme (UNDP), extolling the OBOR’s potential to positively change the international landscape.

India and Israel agreed to intensify counter-terror efforts to deal with “constant” security threats posed by terrorism.
Welcoming visiting Israeli President, PM Modi said that both sides would work to counter terrorism, radicalism and extremism even as they agreed to work together in areas such as agriculture and water resource management.
“Our people are constantly threatened by forces of terrorism and extremism. We recognise that terrorism is a global challenge, knows no boundaries,” Mr. Modi said.
Mr Rivlin recollected the 26/11 attacks which claimed the lives of Israeli citizens.
“We recognise that terrorism is a global challenge, knows no boundaries and has extensive links with other forms of organised crime. We stand together defending our people.”
The declarations came even as both leaders referred to the twenty-fifth anniversary of formal diplomatic ties between two countries that have turned out to be “broad-based.”
Mr. Modi also thanked Israel for supporting India in multilateral diplomacy and said: “India is also grateful to Israel for its clear support to India’s permanent candidature in a reformed UN Security Council.”
Both sides agreed to take “practical and specific” measures such as cyber-security cooperation and agreed to expand defence ties.
The Israeli President is accompanied by a delegation of representatives of the country’s defence sector, leading academics and technology solution providers.