01.11.2008

• FDI limit in insurance
  
• At present the Foreign Direct Investment (FDI) limit in the insurance sector is 26%.
• Ever since this present government took office, it wanted to increase the limit to 49% but could not do so because of opposition from its own allies. But now, the Cabinet has cleared the proposal and has decided to introduce a bill to this effect in the Parliament.
  
• But it is quite unlikely that it may not be passed for want of time. It will perhaps be left for the succeeding government.
• LIC's capital base to be increased to Rs. 100 crore
• The Cabinet also approved the introduction of Life Insurance Corporation (Amendment) Bill in the Lok Sabha. The bill envisages an increase in the equity base of the insurance major from the current Rs 5 crore to Rs 100 crore. Currently, insurers have to maintain a minimum paid-up capital of Rs 100 crore as per the IRDA Act, but LIC was an exception since it is governed by a separate Act.
• Education as fundamental right
• The Right to Education Bill, a big-ticket move to make education a fundamental right for every child in the 6-14 age group, was cleared by the Union cabinet. It's slated to be introduced in Parliament in December, and if passed, one of the longest awaited political promises would be honoured.
• If the bill becomes law, it would empower the six-year old 86th Constitutional amendment that made education free and compulsory a fundamental right.
• Relief for aviation industry
  
• Government decided to withdraw the existing customs duty of 5% on aviation turbine fuel. At the same time there was a slight reduction in the fuel prices also. Estimates are that these two put together will bring about an 8% reduction in the operating costs for the ailing aviation majors in India.
• The oil companies decided to slash ATF prices by Rs 9,429.87 per kilo litre (KL) with effect from Friday midnight. The withdrawal of the Customs duty would translate to a reduction in jet fuel prices by Rs 1,800 per kl.
• Classical language status to Kannada and Telugu
• The Centre has decided to accede to confer the status of classical languages on Kannada and Telugu. This follows the recommendation of the Committee of Linguistic Experts set up by the government.
• The fight for the prestigious status for the two languages was launched by academicians and language experts in AP and Karnataka after the UPA government had accorded the classical language status to Tamil in 2004. To be classified as classical, a language must fulfil four criteria laid down by the government. Among them are that the language must have a recorded history of at least 1,500-2000 years and its literary tradition must be original and not borrowed from any speech community and must have a large and rich body of ancient literature. Till now, Sanskrit, Pali, Prakrit and Tamil have been accorded classical language status.
• What does getting the 'classical' tag mean?
• According classical language status would greatly boost research, preservation and spread of the language.

• Chandrayaan I sends photos
• It has sent black-and-white images of Australia’s northern and southern coasts from heights of 9,000 km and 70,000 km. This is considered basically a test of the camera's functioning.
• The probe ultimately will map the topography of the near and far sides of the moon and prepare a three-dimensional atlas of the lunar surface with a resolution of 5 metres.
• Crude slips to $64 a barrel
  
• International crude prices which reached a peak of $147 per barrel in July 2008, have now eased to $64 per barrel. The reason for the drop is weak demand and the continuing global economic crisis.
• Similarly gold prices also are seen diving to Rs. 11,795 per 10 gm. They reached a peak of Rs. 14,100 on October 10 this year.
• Japan slashes the key rate to 0.3%
• THE Bank of Japan cut its benchmark interest rate to 0.3% to help stave off a prolonged recession. Governor of the Bank of Japan (their Central Bank) is Masaaki Shirakawa.
• Look at their growth and inflation figures! We will be surprised; surely.
  
• The central bank slashed its growth forecast for the year ending March to 0.1% from 1.2% predicted in July. The economy will expand 0.6 percent next fiscal year and 1.7% in the period starting April 2010, it said in a twice- yearly outlook published after the rate decision.
• Inflation will evaporate next fiscal year, the bank said. Core consumer prices will rise 1.6% in the current fiscal year and fail to increase in the following 12 months, it said. Prices will gain 0.3% in the year starting April 2010.