MAY 25, 2019
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EQUIP – Education Quality Upgradation and Inclusion
Programme
FPI - Foreign Portfolio Investment
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In news – Higher education to get a boost with ₹1.5 lakh crore action plan
In what could be one of the first new initiatives of the second act of the NDA government, the Ministry of Human Resource Development plans to launch an ambitious ₹1.5 lakh crore action plan to improve the quality and accessibility of higher education over the next five years.
The ten committees have drafted strategy to improve access to higher education, especially for underserved communities; improve the gross enrolment ration; improve teaching and learning processes; build educational infrastructure; improve the quality of research and innovation; use technology and online learning tools; and work on accreditation systems, governance structures and financing.
The ten committees have drafted strategy under the EQUIP project
• to improve access to higher education, especially for underserved communities;
• improve the gross enrolment ration; improve teaching and learning processes;
• build educational infrastructure; improve the quality of research and innovation;
• use technology and online learning tools; and
• work on accreditation systems, governance structures, and financing.
The action plan to improve the quality and accessibility of higher education over the next five years would bring about the following.
National Education Policy: Government is also likely to be released National Education Policy in a week’s time, after five years of repeated delays and extensions. The last NEP was released in 1986, with a revision in 1992.
National Research Fund: The ministry, along with Science and Technology Ministry, plans to set up an umbrella body, which will subsume the Science and Engineering Research Body, to fund all research activities in the country.
Filling of vacant posts: The ministry will set up an online portal to monitor filling up of vacant teaching positions across the state and central universities and private institutions.
HRD Ministry plan will unveil a five-year vision document covering themes such as access, quality, excellence, governance systems, research and innovation, employability, accreditation processes, use of technology for education, internationalization and financing the higher education.
Five pillars of the new National Education Policy • Accessibility • Affordability • Equity • Quality • Accountability
About EQUIP
• It is aimed at improving quality and boost access to education in India. EQUIP will be a similar program for the higher education system as that of the Sarva Shiksha Abhiyan for school education.
• For EQUIP, the MHRD has joined hands with various experts including NITI Aayog CEO Amitabh Kant and others from the think-tank to look at several aspects such as – the quality of education, accessibility, accreditation, employment, research, governance, and finance.
• With EQUIP, the MHRD is also striving to bring about more clarity and transparency on issues such as – appointment of vice-chancellors and fund grants for institutions.
In news – SEBI panel moots changes to FPI rules
As part of its attempts to streamline the regulations to encourage foreign inflows in the Indian market, the Securities and Exchange Board of India (SEBI) has proposed fast track on-boarding procedure for such investors, apart from a simplified registration process.
The committee has further proposed a liberalised investment cap under a review of prohibited sectors for foreign investment for FPIs, restriction on Sovereign Wealth Funds (SWFs) for investment in corporate debt securities, and permitting FPIs for off-market transactions.
The committee has also proposed alignment of regulations for FPIs and Alternate Investment Funds (AIFs) and the harmonisation between investment restrictions in FPI regulations and Foreign Exchange Management Act (FEMA)
• FPI consists of securities and other financial assets passively held by foreign investors.
• FPI does not provide the investor with direct ownership of financial assets.
• In India, FPIs are allowed to invest in various debt market instruments such as government bonds, treasury bills, state development loans (SDLs) and corporate bonds, but with certain restrictions and limits.
• FPI is part of countries capital account and is listed on its balance of payments (BOP).
• FPI allows the investor to purchase stocks, bonds or other financial assets in a foreign country and the investor does not actively manage investments or companies that issue investment. Also, the investor does not have control over securities or business.
• Whereas in FDI, the investor has a direct business interest in the entity into which the investment is made. The investor controls his monetary investments and actively manages the company into which the investments are made. FPI is more liquid and less risky than FDI.
• It is Anything alternate to traditional form of investments
• AIFs are defined in Regulation 2(1)(b) of Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012
• It refers to any privately pooled investment fund, (whether from Indian or foreign sources), in the form of a trust or a company which are not presently covered by any Regulation of SEBI nor coming under the direct regulation of any other sectoral regulators in India-IRDA,PFRDA, RBI.
AIFs are categorized into the following three categories:
• Category I - AIF are those AIFs with positive spillover effects on the economy. Example: Venture Capital Funds, SME Funds etc.
• Category II – AIF are those AIFs for which no specific incentives or concessions are given. E.g. Private Equity or debt fund.
• Category III - AIF are funds that are considered to have some potential negative externalities in certain situations and which undertake leverage to a great extent; with a view to make short term returns. No specific incentives or concessions from the government or any other Regulator. E.g. Hedge.
• The Foreign Exchange Management Act (FEMA) was passed by Parliament in 1999.
• It had replaced FERA (Foreign Exchange Regulations Act), 1973 which had become incompatible after economic reforms and pro-liberalization policies of government.
• It aims at facilitating external trade and payments and for promoting the orderly development and maintenance of foreign exchange market in India.
• It makes offenses related to foreign exchange civil offenses.
• It enables new foreign exchange management regime consistent with emerging framework of World Trade Organisation (WTO).
Qn - Singhbhum and Kendujhar are famous for: [A] Limestone [B] Iron ore [C] Copper [D] Mica Correct Answer: B
Notes:
• Kendujhar is a city and a municipality in Kendujhar District also known as Keonjhar District in the Indian state of Odisha. Kendujhar District is highly rich in mineral resources and has vast deposits of iron, manganese and chromium ores. Kendujhar is one of the premier mineral producing districts in Orissa. Singbhum district of Jharkhand is known for producing Iron ore of highest quality.
• Chandrani Murmu, Youngest MP of 17th Lok Sabha (2019 election) is from Keonjhar
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