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DAILY PRELIMS BOOSTER 16th APRIL 2022

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    DAILY PRELIMS BOOSTER 16th APRIL 2022

    Ujama: Ujamaa ideology focused heavily upon the practices of communal living and brotherhood. Even though it was necessary that Tanzania became an independent economy, the local practices of Ujamaa promoted reliance upon communities. The most important part of society according to Ujamaa ideology was the community. Former Tanzanian president Julius Nyerere propagated the Ujama ideology. Nyerere was a Tanzanian anti-colonial activist. PM Modi recently paid tributes to former Tanzanian president Julius Nyerere on his 100th birth anniversary.

    Rashtriya Gram Swaraj Abhiyan (RGSA): The Cabinet Committee on Economic Affairs (CCEA) approved a proposal to continue the Rashtriya Gram Swaraj Abhiyan (RGSA), a scheme for improving the governance capabilities of Panchayati Raj institutions, till 2025-26. It was started in 2018 – 19. The scheme would work towards “poverty-free and enhanced livelihood in villages; healthy villages, child-friendly villages; water-sufficient villages; clean and green villages; self-sufficient infrastructure in villages; socially-secure villages; villages with good governance and engendered development in villages.”

    Domestic Waste Water Management (DWWM): Cabinet approved signing of Memorandum of Cooperation between India and Japan in DWWM. • The DWWM systems treat wastewater of individual houses, apartment blocks or small communities close to their origin. It is used for recycling both “grey” and “black” domestic wastewater. This systems include: Primary treatment, which includes pre-treatment and sedimentation in settlement tank or septic tank; Secondary anaerobic treatment in baffled reactors; Tertiary aerobic/anaerobic treatment in reed bed system; and polishing in Ponds.

    Tight Monetary Policy: A contractionary monetary policy is focused on contracting (decreasing) the money supply in an economy. This is also known as Tight Monetary Policy. A contractionary monetary policy is implemented by increasing key interest rates thus reducing market liquidity (money supply). Low market liquidity usually negatively affect production and consumption. This may also have a negative effect on economic growth. When RBI adopt a contractionary monetary policy, the central bank:

    • increase Policy Rates (Interest Rates) like Repo, Reverse Repo, MSF, Bank Rate etc.
    • increase Reserve Ratios like Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR)
    • sells government securities from the market as part of Open Market Operations (OMO) – taking out liquidity from the market

    Green Energy Corridor: Cabinet Committee on Economic Affairs approved the scheme on Green Energy Corridor (GEC) Phase-II for Intra-State Transmission System (InSTS). Phase 1 of the Green Energy Corridor is already under implementation in Gujarat, Andhra Pradesh, Karnataka, Himachal Pradesh, Maharashtra, Madhya Pradesh, Tamil Nadu, and Rajasthan. It is working for the grid integration and power evacuation of about 24GW of Renewable Energy. Phase 2 will facilitate grid integration and power evacuation of approximately 20 GW of Renewable Energy (RE) power projects in seven States namely, Gujarat, Himachal Pradesh, Karnataka, Kerala, Rajasthan, Tamil Nadu and Uttar Pradesh. The transmission systems will be created over a period of five year from Financial Year 2021-22 to 2025-26. It is targeted to be set up with a total estimated cost of Rs. 12, 031 crores, and the Central Finance Assistance (CFA) will be 33% of the project cost. The CFA will help in offsetting the Intra-State transmission charges and thus keep the power costs down.

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