What is it? The targeted size of bilateral trade between India and Indonesia by 2025. It was $18.13 billion in 2017.
Why is it important? In Prime Minister Narendra Modi’s official visit to Indonesia, the two countries have signed 15 agreements in sectors including defence, science, health, railways and technology. They also pledged to step up defence and maritime cooperation and have planned to develop a strategic Indonesian naval port in the Indian Ocean. India is in a bind as Indonesia is seeking its support to become a non-permanent member of the UN Security Council though the former has consistently supported Maldives for this so far. The voting is scheduled for next week.
Tell me more: India also announced a 30-day free visa for Indonesian citizens to visit India.
Rs 550 crore
Why is it important? This is a part of NCLAT’s Wednesday order after the debt-laden firm reached a settlement with the Swedish telecom gearmaker. The order has halted RCom’s 270-day insolvency process and also, allowed RCom’s lenders to complete the sale of the telcom firm’s wireless assets including airwaves and mobile masts to Reliance Jio Infocomm in a deal that is reportedly worth $3.8 billion.
Tell me more:Ericsson, which had signed a seven-year agreement in 2014 to manage and operate RCom’s nationwide telecom network, had filed an insolvency petition against the latter to claim around Rs 1,600 crore in dues.
What is it? The percentage of total funding the central government is looking to provide to states for key school schemes in the form of incentives and on the basis of performance.
Why is it important? This step is aimed at helping states improve their school education system and will depend on the measures taken by them including teaching-learning outcome and rationalisation in teacher deployment. Surveys by NGO Pratham and that by a state government point to low reading/understanding skills and the inability to solve math problems at the basic level by many children in both government and private schools.
Tell me more: The overall student-teacher ratio is 1:27 compared to the required 1:30 under the Right to Education Act. The Indian government will spend Rs 34,000 crore under the Samagra Shiksha Abhiyan, which clubs key schemes.
What is it? The projected growth rate of the Indian economy in 2018, according to Moody’s FInancial Services, a ratings firm.
Why is it important? The current growth projection is lower than Moody’s earlier projection of 7.5% growth in 2018. Higher crude oil prices and tighter financial conditions are cited as reasons for downgrade in the growth rate. Between 1 April and 28 May this year, crude oil prices (Indian basket) have increased by $12.15 a barrel, or 19%.
Tell me more: For every $10/ barrel increase in crude oil price, India’s GDP growth is reduced by 0.15%, according to an earlier estimate by the Reserve Bank of India.
25 basis points
What is it? The increase in retail fixed deposit rates for tenure between 1 and 2 years by India’s largest commercial bank, the State Bank of India (SBI).
Why is it important?The increase shows fading of demonetisation benefits, which brought in record deposits into the banking system from November 2016. Now with credit growing at a faster rate than increase in deposits, the state-run SBI has felt the need to increase the retail deposit rates for select tenures.
Tell me more: Increase in retail deposit rate is likely to increase the benchmark Marginal Cost of Funds based Lending Rate (MCLR), which the SBI will release on Friday. SBI had increased MCLR in March by 10-20 basis points (one basis point is one-hundredth of a percentage point).