Current affairs – 30 August 2024

Current Affairs

The Hindu

  1. Background: Bharat Biotech, in collaboration with Hilleman Labs, has launched Hillchol (BBV131), an oral vaccine for cholera.
  2. Global Demand: The vaccine aims to address the global shortage of Oral Cholera Vaccines (OCVs), with a demand exceeding 100 million doses per year.
  3. Dosage: Hillchol is administered in two oral doses.
  4. Clinical Trials:
    • Phase I and II trials were conducted in Bangladesh.
    • Phase III trials took place in India.
  5. Cholera Overview:
    • Cholera is a severe diarrheal disease caused by the bacterium Vibrio cholerae.
    • Symptoms include intense diarrhea and dehydration, which can lead to life-threatening fluid loss if not treated promptly.

2. Codon Deoptimization Technology

The Hindu

  • Development: Indian Immunologicals Ltd (IIL) and Griffith University, Australia, have developed a needle-free intranasal COVID-19 booster vaccine.
  • Technology Used: Codon deoptimization technology is used to attenuate the virus by modifying genetic codons.
  • Safety and Production: The vaccine is designed to be safe and allows for rapid production.
  • Codon-Pair Deoptimization:
    • Involves increasing the frequency of less common codon pairs without changing the amino acid sequence.
    • This method is effective for attenuating viruses by using suboptimal codon pairs.

3.Unified Lending Interface (ULI)

  1. Announcement: The RBI Governor announced the pilot stage of the Unified Lending Interface (ULI).
  2. Purpose: ULI is designed to provide seamless and quick credit access, especially for MSMEs and farmers.
  3. Integration: The platform integrates multiple data sources to reduce loan processing time and streamline the lending process.
  4. Potential Impact: ULI is expected to transform the lending sector similarly to how UPI revolutionized payments.
  5. Technology: ULI utilizes advanced technologies such as APIs, data integration tools, and secure digital platforms.

4.Perpetual Bonds (AT1 Bonds)

The Hindu

  • Context: Canara Bank issued India’s first perpetual bond after recent regulatory changes, with strong investor interest and a lower-than-expected interest rate of 8.27%.
  • Key Features:
    • AT1 bonds, or perpetual bonds, do not have a fixed maturity date but include a call option for the issuer.
    • These bonds offer slightly higher interest rates than traditional bonds.
    • Banks use these bonds to strengthen their core capital base, in compliance with Basel-III standards.
    • They are tradable on stock exchanges, allowing holders to sell them in the secondary market.
    • AT1 bonds do not offer a put option, meaning holders cannot return them to the issuing bank for cash.
  • Regulatory Aspects:
    • AT1 bonds are regulated by the RBI, which can instruct a bank to write off these bonds without investor consultation in a rescue situation.
    • Basel III Norms require banks to maintain a certain capital level and not lend out all deposited funds.
    • The capital is divided into Tier 1 and Tier 2, with Tier 1 further subdivided into Common Equity Tier-1 (CET-1) and Additional Tier-1 (AT-1) capital.
  • Perpetual Bonds Overview:
    • These are debt securities with no fixed maturity date, paying interest indefinitely.
    • Bond prices are inversely related to interest rates; they fall when rates rise and vice versa.