Customer Protection Current Affairs - 2020

Amazon to invest 1 billion USD in India; Create 1 million jobs

On January 17, 2020, one of the world’s largest retailer Amazon announced that it has planned to invest 1 billion USD in India and generate 1 million jobs. Globally Amazon has increased its employee base four times.

Highlights

The retailer has been constantly facing rage of the small and medium enterprises in India for its discounts. In order to involve small and medium businesses, a mega summit called the smBhav was organized by Amazon in the capital on January 14, 2020. Around 3000 small and medium entrepreneurs attended the summit.

Analysis

According to the National E-Commerce Policy, 2019, the Indian E-Commerce market is estimated to reach 200 billion USD by 2026. As India is one of the largest markets in the world, the foreign E-Commerce giants are competing with each other to capture Indian market. This 1 trillion USD and smBhav moves of Amazon are best examples.

While it is important to allow the growth of the market, it is also equally important keep the factors influencing the growth at check. It includes

  • Regulation of customer data
  • Stimulating domestic digital economy
  • Regulatory issues
  • Export Promotion through E-Commerce. This is the most important factor as India should neither be used as dumping yard for foreign products nor be used as a service provider for foreign E-Commerce giants. Rather, local Indian goods and products should grow in terms of production making India a net exporter.

Legislation

The principal legislation that is governing e-commerce in India is the IT act.

Financial Literacy Week starts with theme ‘Customer Protection’

Reserve Bank of India is conducting Financial Literacy Week from June 4 on the theme ‘Customer Protection’. The week-long event is to focus on creating awareness among customers of banks. According to RBI, the event will emphasise on awareness about different financial products, services, digital applications and good financial practices.

About Financial Literacy Week

  • RBI had introduced financial literacy week in 2016 to create a large scale awareness on key topics. Non-Governmental Organisations collaborate with banks and made this initiative successful in the past two years. Last year’s theme of the week was, ‘Know Your Customer’.
  • The focus of this year is consumer protection messages like, Know your liability. The customers will be educated upon the safe digital banking practices. RBI underlines that, in cases of unauthorised electronic banking transactions when informed in 3 days, the liability of account holder is zero.
  • RBI says that resolution of such transactions will be the responsibility of the concerned bank. The bank should resolve the issue as soon as possible within 90 days from the day of receipt of the complaint. Other focus point of financial Literacy week includes, creating awareness about Banking Ombudsman Scheme of RBI.

Bankers, Financial Literacy Counsellors and other stake holders will be the major participants in the event.