Daily Current Affairs (DCA) 9 October, 2025

Daily Current Affairs Quiz
9 October, 2025

National Affairs

1. Draft National Labour and Employment Policy, 2025

Source: TH

Context:

The Union Ministry of Labour and Employment released the draft National Labour and Employment Policy (NLEP) titled Shram Shakti Niti, 2025 for public consultation on October 8, 2025. The policy envisions a fair, inclusive, and future-ready world of work, aligned with India’s aspiration to become a developed nation by 2047.

Key Objective

To establish a universal and portable social security system by integrating major national and state-level welfare and employment databases.

Universal Social Security Framework

The policy proposes creating a universal account integrating:

• Employees Provident Fund Organisation (EPFO)
• Employees State Insurance Corporation (ESIC)
• Pradhan Mantri Jan Arogya Yojana (PM-JAY)
• e-SHRAM portal
• State Welfare Boards

This aims to ensure portability of social security benefits across sectors and geographies, covering formal and informal workers.

Core Vision and Principles

• Rooted in India’s ethos of śrama dharma — dignity and moral value of work.
• Based on the 3Ps Framework: Protection, Productivity, and Participation.
• Strives to balance workers’ welfare with enterprise growth and sustainable livelihoods.

Major Policy Proposals

• Implementation of the Occupational Safety and Health Code with:
  • Risk-based inspections
  • Gender-sensitive standards
  • AI-enabled safety systems
• Convergence of skill development schemes across ministries.
• Single-window digital compliance system with:
  • Self-certification and simplified returns for MSMEs.
• Promotion of green and decent jobs and just transition pathways for affected workers.
• Unified National Labour Data Architecture to enable inter-ministerial coordination and real-time monitoring.

2. PM-KUSUM (Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan)

Source: TH

Context:

The Union Ministry of New and Renewable Energy (MNRE) plans to promote India’s flagship solar energy initiative — the PM-KUSUM (Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan) scheme — to several African and island nations through the International Solar Alliance (ISA) platform.

PM-KUSUM (Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan)

Launch: 2019 (by Ministry of New & Renewable Energy, Government of India)
Aim: Promote solar energy adoption in the agriculture sector, ensure energy security for farmers, and provide additional income through renewable energy.

Objectives

• Solar Pumps for Irrigation:
  • Solar-powered pumps to reduce dependency on grid electricity and diesel.
• Grid-Connected Solar Plants:
  • Farmers can sell surplus solar power to the grid, generating extra income.
• Decentralized Renewable Power Generation:
  • Support small and medium farmers to set up renewable energy projects on barren/fallow land.

Components

• Component A – Solarization of Grid-Connected Agriculture Pumps:
  • 17.5 lakh pumps targeted by 2022-23.
  • Farmers get subsidy of up to 60–90% of pump cost (depending on landholding).
• Component B – Off-Grid Solar Pumps:
  • Small pumps (≤10 HP) for remote/off-grid areas.
• Component C – Solar Power Plants on Barren Land:
  • Farmers can install grid-connected solar plants (up to 2 MW).
  • Sell power to DISCOMs under feed-in tariff mechanism.

3. NITI Aayog Report: Roadmap on AI for Inclusive Societal Development

Release Date: 2025
Purpose: Outline a strategic plan to leverage Artificial Intelligence (AI) for empowering India’s informal sector workforce through digital inclusion, skilling, and social security integration.

Key Highlights:

Informal Sector

• Massive Workforce Base: ~490 million Indians (~90% of workforce) engaged in informal work, contributing ~50% of GDP (MoLE, 2024).
• Rural Dominance: 80%+ rural workers lack formal contracts or social security; concentrated in agriculture, construction, retail, handicrafts.
• Gendered Informality: Women constitute >55% of informal workforce, especially in home-based work and agriculture.
• Low Productivity & Wages: Average productivity is ~25% of formal sector; over 75% earn <₹10,000/month.
• Rising Urban Informality: ~7.5 million gig/platform workers without labour protection (NITI Aayog, 2022).

Challenges

• Financial Insecurity: Lack of access to affordable credit, insurance, and social protection.
• Limited Market Access: Only 12% of small producers and artisans access digital/organized markets directly.
• Digital & Skill Divide: 70%+ of informal workers lack basic digital literacy.
• Fragmented Policies & Trust Deficit: Overlapping welfare schemes reduce benefits reach and reliability.

Role of AI & Digital Infrastructure

• AI for Financial Inclusion: Enables micro-loans for unbanked or under-documented workers (e.g., SBI YONO, Setu.ai).
• Digital Public Infrastructure (DPI): Platforms like Aadhaar, UPI, and e-Shram provide verifiable worker IDs for targeted benefits.
• Smart Contracts & Blockchain: Transparent wage payments and supply-chain traceability (pilots like Tata Steel Foundation).
• AI-enabled Skilling: Vernacular, voice-based adaptive learning for reskilling via Skill India Digital.
• Predictive Analytics for Welfare: Optimizes delivery of programs like PM Kisan Samman Nidhi.

Need for Urgent Action

• Rising inequality and vulnerability to automation.
• Leveraging the demographic dividend (65% of population <35 years).
• Participation in the global AI economy (potential $957 billion GDP boost by 2035, PwC).
• Address climate and urban risks affecting informal workers.
• Ensure ethical, inclusive AI deployment to avoid reinforcing social biases.

Key Recommendations

• Digital ShramSetu Mission: AI-enabled platform integrating social security, skilling, and livelihoods.
• Sectoral AI Models: Focus on agriculture, construction, retail, and logistics for productivity gains.
• Voice-First & Vernacular AI Interfaces: Bridge literacy and language barriers.
• Public–Private Partnerships (PPP): Scale innovations in informal ecosystems.
• Ethical AI & Data Governance: Responsible AI Charter ensuring transparency, privacy, inclusivity.
• AI Skilling & Micro-Credentials: Continuous upskilling under Skill India 2.0.
• Impact Evaluation Framework: Data-driven assessment of inclusion, income growth, and service delivery.

Award and Recognitions

1. Nobel Chemistry Prize 2025

Source: TOI

Context:

The 2025 Nobel Prize in Chemistry was awarded to Susumu Kitagawa (Japan), Richard Robson (Australia/UK), and Omar Yaghi (Jordan/US) for developing metal-organic frameworks (MOFs) — a new class of molecular materials with extraordinary porosity and versatile applications.

About MOFs

• Crystalline materials composed of metal ions and organic molecules forming an ultra-porous network.
• Key Feature: A sugarcube-sized piece can have as much surface area as a football field, enabling massive storage and filtration in a small volume.
• Nicknamed: “Hermione’s handbag” material for its ability to hold huge amounts in tiny spaces.

Laureates

Name	Affiliation	Nationality
Susumu Kitagawa	Kyoto University, Japan	Japanese
Richard Robson	University of Melbourne, Australia	British-born, Australian
Omar Yaghi	University of California, Berkeley, USA	Jordanian-American

Banking/Finance

1. RBI Unveils Unified Markets Interface (UMI) to Tokenise Financial Assets

Source: TOI

Context:

At the Global Fintech Fest 2025, the Reserve Bank of India (RBI) announced the conceptualisation of a Unified Markets Interface (UMI) a new digital infrastructure aimed at tokenising financial assets and enabling settlements via wholesale Central Bank Digital Currency (CBDC). The initiative marks another milestone in India’s ongoing digital finance transformation.

Key Highlights:

• Unified Markets Interface (UMI):
  • Designed to tokenise financial assets, improving the efficiency, transparency, and security of market transactions.
  • Will facilitate CBDC-based settlement for wholesale market participants.
  • Expected to enhance liquidity management and reduce transaction costs in financial markets.
• Complementary Digital Initiatives Launched:
  • UPI Reserve: Introduced as an innovation for liquidity management and high-value UPI transactions.
  • Internet of Things (IoT) Compatibility for UPI: Expands the ecosystem by allowing smart devices to initiate and process real-time digital payments.

Tokenisation

Tokenisation is the process of representing ownership or rights to an asset in the form of a digital token. Each token acts as a digital certificate of ownership that can be traded or transferred securely.

Examples

• Financial assets: Bonds, shares, mutual fund units, or government securities can be tokenised — each token represents a portion (fraction) of the asset.
• Physical assets: Real estate, gold, or artwork can also be tokenised so that multiple investors can hold small digital shares of a high-value asset.

2. PFRDA Plans to Expand Pension Coverage to Agriculture, SHGs, and Gig Workers

Source: BS

Context:

The Pension Fund Regulatory and Development Authority (PFRDA) is targeting significant expansion of pension coverage in India, with a focus on underserved sectors such as agriculture, self-help groups (SHGs), and gig/platform workers. The announcement was made by PFRDA Chairman S. Ramann at the Global Fintech Fest 2025.

Key Highlights

• Target Groups:
  • Agriculture Sector: Collaborating with 50,000+ Farmer Producer Organisations (FPOs), each with 300–500 members, to provide pension coverage.
  • Self-Help Groups (SHGs): Encouraging institutional savings and long-term financial planning.
  • Gig/Platform Workers: Exploring schemes tailored for workers on digital platforms like Uber and Urban Company.
• Investment Innovation:
  • PFRDA is considering allowing pension funds to invest in commodities such as gold and silver, following recommendations from internal committees and other regulators.
  • Previous investment guidelines were conservative, focusing primarily on equities, bonds, and government securities.
• Digital Integration & Distribution:
  • Utilize fintech platforms for easier onboarding, especially for informal and platform workers.
  • Ensure interoperability and portability within the National Pension Scheme (NPS) system.
  • Focus on awareness campaigns to increase access and enrollment in underserved communities.

3. RBI Launches Four New UPI Initiatives

Source: ET

Context:

The Reserve Bank of India (RBI) launched four new digital payment initiatives at the Global Fintech Festival 2025, aimed at enhancing convenience, interoperability, and digital adoption in the UPI ecosystem.

Key Initiatives

• IoT-Based UPI Payments
  • Enables payments through connected devices such as cars, smart TVs, smart glasses, and EV chargers.
  • Expands UPI beyond smartphones, making transactions more seamless in the Internet-of-Things ecosystem.
• Banking Connect (Interoperable Net Banking Solution)
  • Facilitates interoperability between banks and payment aggregators.
  • Payment Aggregators (PAs) gain access to all participating banks via single integration, reducing technical complexity.
• UPI Reserve Pay
  • Allows users to block part of their credit card limit or pre-sanctioned credit for repeat purchases.
  • Simplifies payments on e-commerce, food delivery, cab aggregators, and other recurring services.
• AI-Based UPI Help
  • AI-powered support system, leveraging NPCI’s Small Language Model (SLM).
  • Offers transaction status checks, complaint resolution, mandate management, and contextual guidance for users.

Additional Features

• Biometric Authentication: Approve UPI payments without entering a PIN.
• Face Authentication via UIDAI: Simplifies onboarding and PIN setup for UPI using Aadhaar-based biometrics.

4. NPCI’s Credit Line on UPI (Clou)

Source: BS

Context:

The National Payments Corporation of India (NPCI) launched Credit Line on UPI (Clou) in 2023 to make credit as frictionless as digital payments, enabling users to access a pre-approved credit line directly through their UPI app.

Nearly two years since its launch, adoption remains limited due to regulatory uncertainty, uneven technological readiness, and low borrower awareness.

Key Features of Clou

• Provides pre-approved credit through the UPI interface.
• Targets underserved and new-to-credit segments.
• Designed to leverage digital payment footprints for credit assessment.

Lessons from UPI’s Impact on Credit

• Research by the National Bureau of Economic Research (Shashwat Alok et al.) shows:
  • Between 2015–2019, fintech loans in subprime/new-to-credit segments increased tenfold.
  • A 1% increase in UPI transactions was associated with a 0.73% increase in credit.
  • UPI-enabled digital footprints did not increase defaults, helping lenders identify creditworthy but underserved borrowers.
• Key enablers included low-cost internet and Jan Dhan Yojana accounts, which strengthened digital credit growth.

Challenges for Clou

• Regulatory ambiguity:
  • Unclear classification of Clou loans (personal vs credit card loans).
• Technological gaps:
  • Small lenders lack real-time integration with UPI systems.
• Limited borrower awareness:
  • Many potential users are unaware of Clou or how to access it.

Policy Recommendations

• Unified operational guidelines by RBI and NPCI for loan classification and reporting.
• Standardised data-sharing and consent framework to build trust between lenders and borrowers.
• Support for smaller banks through shared cloud infrastructure or fintech partnerships.
• Open, interoperable, and affordable digital platforms to expand credit access at scale.

5. RBI Urges Inclusive & Innovative Fintechs to Leverage Digital Public Infrastructure

Source: Mint

Context:

At the Global Fintech Fest 2025, RBI Governor Sanjay Malhotra called on Indian fintechs to design inclusive, accessible, and innovative financial products, particularly for underserved populations such as senior citizens, individuals with limited digital literacy, and the specially-abled.

Key Directives for Fintechs

• Inclusivity and Accessibility
  • Develop products that are easy-to-use and assistive for vulnerable groups.
  • Ensure no segment is left behind even while serving affluent customers.
• Leverage Digital Public Infrastructure (DPI)
  • Fintechs can scale rapidly using Aadhaar-based identity, UPI, digitized government data, and other public infrastructure.
  • DPI enables targeted solutions for both current and future financial challenges.
• Data-Driven Growth
  • Responsible use of data through:
    • Digital Rupee and CBDC frameworks.
    • Asset tokenization.
    • Account aggregator framework.
  • RBI is setting standards to improve customer onboarding, UI/UX, data security, consent management, and transparency.
• Unified Markets Interface (UMI) & Asset Tokenization
  • RBI has conceptualized UMI, capable of tokenizing financial assets and enabling settlements via wholesale CBDC.
  • Early pilot projects, such as short-term securities tokenization, have shown promising results.
  • Expected benefits include expanded access, enhanced transparency, and improved settlement efficiency.
• AI Integration
  • AI will be integrated into DPI layers to improve user experience, efficiency, and conversational payment systems.

6. RBI Proposes Revision of Loan Risk Weights

Source: ET

Context:

The Reserve Bank of India (RBI) has proposed lowering risk weights for various loan categories, linking them to borrower risk profiles.

Goal: Encourage disciplined credit behaviour, improve capital efficiency, and free up more capital for lending.

Key Proposals

Loan Category	Key Changes / Criteria	Revised Risk Weight	Previous Risk Weight	Expected Impact / Rationale
1. Credit Cards	• Transactors: Customers repaying dues in full for past 12 months classified under retail portfolio. • Other users: No change.	• Transactors: 75% • Others: 125%	125% (uniform)	Encourages banks to acquire high-quality, low-risk customers.
2. Home Loans	• Risk weight now linked to Loan-to-Value (LTV) and number of loans. • Up to 2 loans: 20% (LTV ≤50%) → 40% (LTV >80%). • Third loan: up to 60%, with 5% surcharge for loans above ₹3 crore.	20%–60% (plus surcharge, where applicable)	35%–50% (uniform earlier)	Introduces risk-based differentiation; supports competitive pricing while maintaining prudence.
3. Personal Loans	Excludes housing, education, and vehicle loans.	125%	125%	Retained due to high-risk nature of unsecured credit.
4. Corporate Loans	• BBB-rated: reduced to 75% • AA-rated: reduced to 20% • Unrated (>₹200 crore exposure): remains 150%	20%–150% (based on rating)	30%–150%	Improves capital efficiency for well-rated corporates, incentivising better-rated lending.
5. MSME Lending & Real Estate	Risk weights linked to borrower risk profiles.	Not specified (dynamic)	Varied	Aims to improve capital allocation efficiency and align risk with borrower quality.

7. RBI Digital Payments Initiatives

AI-based UPI HELP

• Purpose: Provides assistance for payments, mandates, and dispute resolution.
• Features:
  • AI-powered support system for checking transaction status, raising complaints, managing mandates.
  • Enhances customer trust by making digital payments secure and easy to access.

IoT Payments with UPI

• Purpose: Enables transactions directly from connected devices.
• Supported Devices: Cars, smart TVs, smart glasses, wearables.
• Functionality:
  • Payments can be initiated using contextual triggers, routines, voice, or text commands.
  • Works across devices or cloud environments within user-defined limits.
  • Ideal for instant payments for fuel, EV charging, and other services.
• Impact: Makes transactions faster, smarter, and frictionless.

Banking Connect

• Purpose: Interoperable net banking solution for smooth payments.
• Features:
  • Enables seamless transactions across banks and payment aggregators.
  • Standardizes merchant onboarding and simplifies digital payment integration.

UPI Reserve Pay

• Purpose: Provides secure control over credit limits for specific purposes.
• Features:
  • Users can block and manage portions of credit limits across merchants and UPI apps.
  • Facilitates repeat purchases and budgeted spending.

8. Aditya Birla Capital Launches AI-Powered Personal Finance Assistant “SimpliFi”

Source: BL

Context:

Aditya Birla Capital Ltd (ABCL), a leading diversified financial services group, has launched “SimpliFi”, an AI-powered personal finance assistant on its omnichannel D2C platform — ABCD, to enhance customer experience through personalized financial guidance.

About SimpliFi

• SimpliFi is an AI-driven personal finance assistant designed to help customers manage their finances more intelligently.
• It offers 7 AI-powered features under the “MyTrack” section of the ABCD platform.
• Provides personalized insights across credit, health, and spending, integrating multiple financial products on a single platform.

Key Features

• Personalized Financial Guidance:
  Offers insights on market movements, portfolio status, recommended actions, and goal-based financial planning across multi-asset categories.
• “Know Your Policy” Feature:
  • Decodes any health insurance policy, displaying coverage details and comparative alternatives instantly.
  • Helps customers make informed health insurance choices.
• 360° Protection Suite:
  Includes health-track tools, health-saver card, and benefits such as dental & eye check-ups, pharmacy discounts, and nutrition assistance.
  • Also offers comprehensive personal insurance and a digital will for legacy planning.

9. Gnani.ai Launches Self-Cloned Digital Human at Global Fintech Fest 2025

Source: FE

Context:

At the Global Fintech Fest 2025, Gnani.ai, a leading Indian conversational AI company, unveiled a self-cloned Digital Human, marking a major leap in human–AI interaction. The innovation aims to humanize digital communication through realistic, multilingual avatars for financial and enterprise applications.

About the Digital Human

• The Digital Human is created using a user-approved source video and voice reference, built on Gnani HumanOS — the company’s proprietary AI platform.
• It combines sight and sound to make interactions more natural, expressive, and life-like.
• Demonstrated through a live demo, the avatar showcased side-by-side comparisons of real and digital interactions, underlining its practical use cases in customer service and onboarding.

Key Features

• Real-Time Expressive Avatars: Offers realistic lip-sync, micro-expressions, and gaze tracking for authentic engagement.
• Multilingual and Interactive: Supports Indic languages, multilingual code-switching, and emotion controls to deliver contextually relevant experiences.
• Unified AI Framework: Combines cloning, speech synthesis, and fine-grained emotion control for smooth, real-time or pre-recorded communication.
• Low-Latency Performance: Works seamlessly across web, mobile, and kiosk devices, optimized for live customer engagement.
• Privacy-Centric Design: Institutions and employees must sign consent forms before using the digital twin service, ensuring ethical deployment.

Agriculture

1. KisanKraft Launches Nationwide Campaign to Promote Dry Direct Seeded Rice (DDSR) Technology

Source: BL

Context:

Agricultural equipment manufacturer KisanKraft Ltd. has announced a nationwide awareness and education campaign to promote its Dry Direct Seeded Rice (DDSR) technology. The initiative will begin on October 10, 2025, from Sitapur, Uttar Pradesh, and continue until December 2025, covering 10 states across India.

About DDSR Technology

• Dry Direct Seeded Rice (DDSR) is an alternative to the traditional transplanting method of paddy cultivation.
• It is grown on non-puddled fields without standing water, making it more water-efficient, cost-effective, and sustainable.
• The technique involves directly sowing rice seeds into dry soil instead of transplanting seedlings from nurseries.

Key Benefits

• Water Efficiency: Reduces water use by 50–60% as there is no puddling or standing water.
• Lower Input Costs: Cuts down on the use of pesticides, fungicides, and fertilisers.
• Reduced Methane Emissions: DDSR produces negligible methane, unlike wetland rice which contributes 8–12% of global methane emissions.
• Improved Soil Health: Encourages crop rotation and intercropping with pulses, enhancing soil fertility.
• Comparable Yields: Achieves similar yields to transplanted rice without compromising productivity.
• Faster Maturity: DDSR varieties mature in 110–140 days, adapting well to diverse soil conditions.

2. Kerala Launches Initiative to Promote Low-Emission Rice-Based Farming Systems

Source: TH

Context:

A three-day inception workshop on “Catalysing Transitions to Low-Emission Rice-Based Systems in Kerala” has begun at the College of Agriculture, Vellanikkara, marking a significant step towards climate-resilient and sustainable rice cultivation in the State.

Organisers and Partners

The event is jointly organised by:

• International Rice Research Institute (IRRI)
• Kerala Agricultural University (KAU)
• Centre for Water Resources Development and Management (CWRDM)
• Department of Agriculture, Government of Kerala
• Irrigation Department

The initiative forms part of the Kerala Climate Resilient Agri-Value Chain Modernization Project (KERA), implemented by the Department of Agriculture and Farmers’ Welfare with World Bank support.

Objectives of the Programme

• Promote low-emission rice farming techniques, especially Alternate Wetting and Drying (AWD) — a water-saving technology developed by IRRI.
• Enhance climate resilience and reduce greenhouse gas emissions from paddy cultivation.
• Support sustainable agricultural practices through economic incentives for farmers.

Facts To Remember

1. PM launches Mumbai’s first underground Aqua line 3

Prime Minister Narendra Modi on Wednesday launched the final phase of Mumbai’s first fully underground Metro 3, making the 33.5-km Aqua Line operational, which will connect Aarey in the north to Colaba in the south, aiming to ease congestion on suburban trains and roads. 

2. IAF to Receive First Indigenous Tejas Mk1A Fighter Jet

Context:

The Indian Air Force (IAF) is set to induct the first Light Combat Aircraft (LCA) Tejas Mk1A, a significant milestone in India’s indigenous fighter aircraft development programme led by Hindustan Aeronautics Limited (HAL).