Current Affairs - Update of 06.04.2020

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1. India's 8 core industries growth: 5.5%

  • India's eight infrastructure sectors grew at an 11-month high of 5.5% in February 2020 from a rise of 1.4% reported in January 2020
  • The output pace of core industries growth was also higher then 2.2% growth rate reported in February 2019
  • This was the fourth consecutive month when the index of eight core industries reported growth after three months of contraction.

2. India's economic growth decelerated to 4%

  • The Asian Development Bank (ADB) has projected India's growth to slow down to 4% in the current fiscal year.
  • This was started in the Asian Development Outlook (ADO) 2020 released on 3 April 2020
  • The ADO is its annual flagship economic publication
  • The bank expects the country's gross domestic product growth to strengthen to 6.2% in FY22, boosted by government reforms.

3. World Bank (WB) approved emergency funds for India

  • The World Bank's Board of Executive Director has approved a fast-track $1 billion India COVID-19 Emergency Response and Health Systems Preparedness Project
  • It will help India prevent, detect, and respond to the COVID-19 pandemic and strengthen its public health preparedness.

4. Global economy may shrink by almost 1% in 2020

  • The global economy could shrink by upto 1% in 2020 due to the coronavirus pandemic, a reversal from the previous forecast of 2.5% growth
  • The analysis by the UN Department of Economic and Social Affairs (DESA) said the COVID-19 pandemic is disrupting global supply chains and international trade
  • Before the outbreak, world output was expected to expand at a modest pace of 2.5% in 2020.

5. India's Fiscal Deficit likely to reach 6.2%

  • India's fiscal deficit in 2020-21 may shoot upto 6.2% of the GDP from 3.2% government estimate as a fallout of the COVID-19 economic stimulus package
  • This was announced by Fitch Solutions
  • It has revised the FY2020/21 real GDP growth forecast to 4.6%, from 5.4% previously

6. Poverty to increase by 11 mn in East Asia

  • About 11 million people could be driven into poverty in East Asia and the Pacific as a result of the coronavirus pandemic
  • This was warned by the World Bank
  • The World Bank, in a report, said that prior projections had estimated that nearly 35 million people would escape poverty in East Asia and the Pacific in 2020, including over 25 million in China alone.

7. India, China: 70 years of diplomatic relations

  • India and China marked 70th anniversary of the establishment of diplomatic ties between the two countries
  • on April 1, 1950 India has become the first non-Communist country in Asia to establish diplomatic ties with China
  • Both countries agreed in 2019 to hold 70 events - 35 each in India and China - to mark the occasion but the plan had to be put on hold due to pandemic.

8. India to burrow Rs. 4.88 lakh crore

  • The central government plans to burrow Rs. 4.88 lakh crore in the first half of the Financial Year 2020-21 (FY21) to mitigate the impact of coronavirus pandemic on the economy
  • This amounts to 62.56% of the total proportion burrowing of Rs. 7.8 lakh crore for FY21
  • This WMA (Ways and Means Advance) limit at Rs. 1.2 crore would be reviewed on the need basis.

9. Chittaranjan Locomotive Works created a record

  • Indian Railway's Chittaranjan Locomotive Works (CLW) has set a new record amidst nation-wide Coronavirus lockdown
  • Chittaranjan Locomotive Works has created a record in making the highest number of locomotive
  • In the FY 2019-20, the CLW produced a total of 431 locomotives
  • It surpassed its own record of manufacturing 402 locomotives in the FY 2018-19.

10. Hindustan Unilever merged with GSKCH India

  • Hindustan Unilever Limited (HUL) has completed the merger of GlaxoSmithKline Consumer Healthcare Limited (GSKCH) with itself
  • The company has additionally paid Rs. 3.045 crore to acquire the Horlicks brand for India from GSK after seeking approval from the board of directors of HUL
  • GSKCH's brands such as Horlicks will now be part of the company's food and refreshment business.