In “Currencies in News” we cover the latest news related to currencies and money that have been in the headlines recently. It is a section of current affairs related to the Indian economy, finance, industry, and banking sector.
These updates are suitable for every competitive exam in India. You can also download this article as a PDF. There are more economics current affairs for you at the end of this topic.
Last Update up to August 2023
Currencies in News 2023
Currencies in News August 2023
▪ India made its first crude oil payment in Rupees to the United Arab Emirates (UAE) in August 2023. This was a significant development, as it marked the first time that India had made a crude oil payment in a currency other than the US dollar.
Currencies in News July 2023
▪ HDFC Bank becomes the first bank to launch a UPI QR code interoperable with India’s
central bank digital currency (CBDC).
▪ India has signed an MoU with the UAE to establish a Local Currency Settlement System for trade settlement in their respective national currencies.
▪ OpenAI chief executive Sam Altman, recently launched a cryptocurrency project named “Worldcoin”.
Currencies in News 2023 [January – June]
▪ Recently, The Central Bank of Bangladesh has decided to allow its currency, the taka, to float freely for the first time, to get access to funds from International Monetary Fund.
▪ Sberbank, Russia’s largest bank, has recently launched Indian rupee accounts for individuals. It allows Indian customers to open and manage Sberbank accounts in rupees. The accounts are available to both individuals and businesses, and the minimum balance requirement is INR 1000. The interest rate on the accounts is 4% per annum. The accounts can be opened online or at any Sberbank branch in India.
▪ JP Morgan Bank has recently launched a pilot project in Gujarat International Finance Tec-City (GIFT City), implementing a real-time interbank settlement system for US dollars. This initiative is facilitated by their blockchain platform, Onyx.
▪ Recently, Patna Municipal Corporation has become the first municipal corporation to use Central Bank Digital Currency (CBDC).
▪ Reliance General Insurance has achieved a significant milestone by becoming the inaugural general insurance company to accept the Reserve Bank of India’s Central Bank Digital Currency (CBDC) e-Rupee (e₹) as a mode of payment for premium transactions.
▪ The Reserve Bank of India (RBI) released a “Report on Currency and Finance 2022-23” with the Theme: Towards a Greener Cleaner India.
▪ Zimbabwe recently launched a gold-backed digital currency called “Mosi-oa-Tunya”. The currency is backed by 22-carat gold coins that are held by the Reserve Bank of Zimbabwe. The tokens can be used for peer-to-peer and peer-to-business transactions, and they can also be used to store value. The government hopes that the new currency will help to stabilize the country’s economy and make it easier for people to do business.
Here are some additional details about the new currency:
- The tokens are worth 1 gram of gold each.
- The tokens can be bought and sold using Zimbabwean dollars, US dollars, and other currencies.
- The tokens have a vesting period of 180 days. This means that you cannot withdraw the money you have invested in the tokens for 180 days.
- The tokens are acceptable as collateral for loans.
▪ Kochi Metro become the first Metro in the country to accept Central Bank Digital Currency (CBDC).
▪ The Reserve Bank of India (RBI) has recently declared the discontinuation of the Rs 2,000 currency note from circulation. This currency note was initially introduced as per the legislative acts outlined in the RBI Act, of 1934.
▪ Reliance Retail has made history by becoming the first Indian retailer to adopt the country’s newly launched digital currency, called the Digital Rupee – Retail [e₹-R].
▪ The International Monetary Fund (IMF) has recently released a 9-point Crypto Action plan aimed at providing guidance to policymakers and regulators on how to navigate the complex and rapidly evolving world of cryptocurrencies.
▪ Croatia becomes the 20th member of the Eurozone, making the euro its official currency and entering the EU border-free Schengen area.
▪ The Supreme Court of India has recently upheld the 2016 decision to demonetize INR 500 and INR 1,000 currency notes.
Currencies in News 2022
▪ Recently, the United States Department of Treasury has removed India from its Currency Monitoring List.
▪ Along with India, the US also removed Italy, Mexico, Thailand and Vietnam from its currency Monitoring list. ▪ China, Japan, Korea, Germany, Malaysia, Singapore and Taiwan are the seven economies that are a part of the current currency watch list.
Read More about US Currency Monitoring List is it good?
▪ The European Union came up with the first major regulatory framework for the cryptocurrency industry, known as Crypto-Assets or MiCA.
▪ Recently, Croatia becomes the 20th country to get final approval to adopt the euro single currency.
▪ Digital payments and financial services provider PhonePe acquiring ZestMoney; deal pegged at $200mn-$300mn.
▪ India will host the “No Money for Terrorism” ministerial conference on 18th and 19th November 2022 in New
Delhi.
▪ The “No Money for Terrorism” conference will be hosted by the National Investigation Agency (NIA). ▪ The first such meeting was held in Paris, France in 2018 and the second in Melbourne, Australia in 2019. ▪ Financial Intelligence Units (FIUs) from more than 150 different countries, collectively known as the Egmont Group, organize the conference.
▪ The legendary Hollywood star Anna May Wong became the first Asian American to feature on US currency.
▪ Recently, the USA has printed currency notes of $1 and $5 value with the signature of the Secretary of Treasury (American Finance Minister) Janet Yellen and Lynn Malerba.
▪ Recently, the central bank of Norway has published the open-source code for the central bank digital currency (CBDC) sandbox based on Ethereum technology.
▪ Japan’s MUFG Bank will open a branch in Ahmedabad’s Gujarat International Financial Tech City (GIFT City) to conduct foreign currency lending.
▪ Central African Republic becomes the second country in the world to adopt Bitcoin as the official currency.
▪ The Reserve Bank of India has released a Report on Currency and Finance (RCF) for FY2021-22. The theme of the Report is “Revive and Reconstruct” in terms of sustained post-Covid recovery and growth trends over the medium term.
▪ The International Monetary Fund (IMF) lifted the yuan’s weighting in the Special Drawing Rights currency basket (12.28% from 10.92%).
▪ Recently Terra Luna Cryptocurrency was found in the news, where LUNA is the native token of Terra, a blockchain developed by the Korean firm Terraform Labs.
▪ The Reserve Bank of India (RBI) has issued a concept note on Central Bank Digital Currency (CBDC).
▪ India launched its first phase of the retail e-rupee pilot project.
▪ The e-rupee initially covers four cities – Mumbai, New Delhi, Bengaluru, and Bhubaneswar. ▪ Four banks are controlling the launch of the retail e-rupee – SBI, ICICI Bank, Yes Bank and IDFC First Bank. ▪ It will be issued in the same denominators as paper currency and coins and distributed via banks. ▪ It does not earn any interest like cash. It can be converted into other forms of money like bank deposits
▪ Recently, the Reserve Bank of India (RBI) has signed an agreement with the monetary authority of Maldives to extend up to a USD 200 million currency swap facility under the SAARC Currency Swap Framework.
▪ CryptoWire has launched India’s First Cryptocurrency Index IC15, which will measure the performances of the 15 most widely traded cryptocurrencies.
▪ The Fino Payment Bank has received approval from the Reserve Bank of India for International Remittance Business under The Money Transfer Service Scheme (MTSS).
▪ Paytm Money launches “India’s first” intelligent messenger called ‘Pops’. Through this app, users can receive specific information related to their stocks, analysis of their portfolio, market news, and important market movements in an easy-to-consume format, all in one place.
▪ Mahila Money, Visa, and Transcorp launched Prepaid Card for Women Entrepreneurs. It helps women entrepreneurs easily collect payments, and loans and get incentives for transactions.
