Current Affairs for IAS Exams – 20 October 2016

:: National ::

The GST Council’s third round of deliberations ended without a decision on the rates structure after most States objected to a proposal to levy an additional cess on demerit goods.
The proposal from the Centre that triggered objections was for the imposition of a cess over and above the Goods and Services Tax on ultra luxury and demerit goods such as big cars, aerated beverages and tobacco products.
Finance Minister told that the GST Council — comprising Ministers from all the States and headed by him — will meet next on November 3-4 to decide on the GST rates structure.
The Centre had proposed the cess as a means to finance the compensation it will have to pay States.

India extended support to Myanmar for a “better connected” future while welcoming State Counsellor Aung San Suu Kyi.
Both countries agreed to cooperate in security and strategic issues and signed three agreements.
Both sides signed three agreements following a meeting between Prime Minister Narendra Modi and Ms. Suu Kyi, to assist insurance, power and banking sectors.
Reflecting on the agreements, Mr. Modi said the power agreement would help create a framework for advancing linkages between India and Myanmar.
The meeting between the two delegations was held three days after Ms. Suu Kyi attended the BRICS-BIMSTEC meet in Goa where she spoke about the “common concern” of terrorism.
Myanmar’s western province of Rakhine has been facing unrest since October 9 when a major terror strike killed several security personnel. Subsequently a major military campaign has begun to deal with the militants.
Mr. Modi’s comment on security cooperation between two countries came more than a year after India carried out military operation against militants along the Myanmar border.

The draft bill on the resolution of bankruptcy of financial firms would put public sector financial companies on par with their private counterparts, according to Moody's Investors Service.
Under existing laws, resolution of public sector banks can only happen by order of the government and in the manner it directs,” according to a note prepared by Moody’s.
While the proposed law is a credit positive for banks, Moody's said it would be a deterrent for senior unsecured creditors due to their altered rankings.
This bill addresses the lacunae of a having a legally codified framework for resolution, and hence is a credit positive in terms of enhancing overall systemic stability.”
The note also highlighted the fact that once enacted, the Bill would create a significant delineation of regulatory powers between the Reserve Bank of India and the Resolution Corporation (RC), the organisation to be formed under the Bill.
A key role of the Corporation will be to assign risk ratings to financial sector companies based on their viability, according to the draft Financial Resolution and Deposit Insurance Bill, 2016.