Daily Current Affairs MCQ: 6th September 2024 - Bank Exams MCQ

Vertical Fiscal Imbalance (VFI) indicates that States in India manage a significantly larger portion of revenue expenditure compared to what they can collect in revenue receipts. This leads to a reliance on transfers from the Union government, highlighting the asymmetrical financial relationship between different levels of government. Understanding VFI is crucial as it underscores the challenges States face in fiscal management and their dependence on federal support.

The Finance Commission employs several criteria for fund distribution among States, including population, demographic performance, income distance, and area. Historical tax collection rates are not included as a distribution criterion. This approach aims to address equity and ensure that States with greater needs receive appropriate funding, thus promoting balanced development across the country.

The primary function of the Law Commission of India is to recommend legal reforms based on thorough research and public consultations. It reviews existing laws to identify outdated or irrelevant ones and suggests amendments or repeals where necessary. Additionally, the Commission proposes new laws to address emerging legal challenges, making it a crucial advisory body in the legal landscape of India. An interesting fact is that the Commission has submitted a total of 277 reports addressing various legal issues since its inception.

The primary concern about the Loss and Damage Fund (LDF) is that it may be slow to access for local communities, particularly at the sub-national level. This issue is significant because timely financial assistance is crucial for communities affected by climate change and disasters. This highlights the need for a more efficient mechanism to ensure that funds reach those who need them most, especially in vulnerable regions.

The recent visit of Prime Minister Modi to Singapore led to the introduction of two new pillars of cooperation: Advanced Manufacturing and Connectivity. These areas aim to enhance bilateral ties and facilitate deeper economic collaboration. The focus on advanced manufacturing reflects the growing importance of technology and innovation in trade relations, marking a significant step forward in the strategic partnership between India and Singapore.

The main role of the Public Accounts Committee (PAC) is to scrutinize the financial accounts and expenditures of the Government of India. It reviews how public funds are being utilized and ensures that the money spent is in accordance with the laws and regulations. The PAC is integral in maintaining financial accountability within the government. An interesting fact is that the PAC has been a part of India's parliamentary system since 1921, making it one of the oldest committees in the Indian Parliament.

The correct answer is Option D, Black List. INTERPOL issues various types of notices, including Red, Green, Blue, Yellow, Black, Orange, and Purple Notices, to facilitate international police cooperation. The term "Black List" is not used in this context; instead, the appropriate notice is the Black Notice, which seeks information about unidentified deceased individuals. This illustrates the structured way in which INTERPOL communicates crucial information related to international crime and safety.

The Forum on China-Africa Cooperation (FOCAC) primarily aims to strengthen economic and diplomatic ties between China and African nations. Established in 2000, it serves as a platform for dialogue and collaboration on various issues including state governance, industrialization, and infrastructure financing. This partnership reflects China's strategic interest in enhancing its influence in Africa while providing opportunities for African nations to develop through investment and cooperation.

The FOCAC summit is held every three years, alternating between China and an African nation as the host. This triennial schedule allows for regular engagement and discussions on critical issues affecting China-Africa relations, fostering continuous dialogue and partnership development.

The 14th Finance Commission notably increased the share of tax devolution from the central government to States from 32% to 42%. This increase was aimed at providing States with more autonomy and resources, enabling them to address local needs more effectively. Such changes can significantly influence State finances and their ability to deliver public services, reflecting a shift towards greater fiscal federalism in India.