Telecom Ministry announced to launch the Central Equipment Identity Register (CEIR) that will be a repository of information on all mobile phones connected to all networks across India.
The CEIR will have information on the device’s International Mobile Equipment Identity (IMEI) number, model, version, etc. It will also know if the phone is blacklisted, and the reason why it has been blacklisted. With a CEIR, all network operators will be aware that the phone is blacklisted.
Benefits of a CEIR can be-
Checking Phone Theft: Such centralised databases are meant to identify and block stolen or illegal mobile phones across networks. Even if the SIM is changed to a new network, with a CEIR, all network operators will be aware that the phone is blacklisted.
Curbing Spurious Mobiles: There are cases of phones being in use with duplicate IMEI numbers. CEIR can also access the GSMA’s database of IMEI numbers to check whether the phone is authentic.
Legal Authorities Can Now Block Phones: The legal authorities can use the CEIR data and would be able to block services to subscribers. This ability had rested with individual networks till now.
Curbs Terrorism and Mobile Based Economic Frauds: The power to authenticate a number and ability to block numbers can reduce the use of phones for terrorist activities and other online economic frauds which are facilitated through the use of ghost networks.
Microcredit in India: A Report
On 21 August, 2019 a report on the micro-credit culture in India highlighted certain flaws in microcredit transactions which have led to reduced outcomes in the lives of its beneficiaries in a meaningful way. The factors hampering the effectiveness of microcredit in India (according to the report) include-
Stringent Repayment Schedule: Lack of credit history of borrowers hampers risk assessment by lenders who therefore resort to repayment schedules that demand an immediate initial repayment. This forces borrowers to use the loans on short term investments that only boost production to an extent, and the overall growth of their income remains meagre.
High Interest Rates: Most microcredit loans are expensive and rely on high interest rates to meet operation costs. They are much more expensive than commercial bank loans aimed at middle and upper class populations.
Inflexible Financial Products: Lenders ignore the demand for flexible financial products, claiming they might weaken the repayment discipline of borrowers and could increase default and fraud. However, lack of flexibility does not gel with irregular incomes of informal businesses. Also the coercive tactics used for repayment alienate many willing borrowers.
