Daily Current Affairs Quiz17 June, 2026 International Affairs 1. The Planetary Climate Vital Signs Report 2026 Source: Down to Earth Context: A new global climate assessment released during the Bonn Climate Change Conference (SB64), 2026 warns that all major planetary climate indicators have worsened since the last IPCC assessment cycle. The Planetary Climate Vital Signs Report 2026, published in Earth System Science Data by around 70 scientists from 17 countries, provides updated measurements of key climate indicators. All 11 major climate indicators assessed recorded deterioration, with marine heatwaves showing the sharpest increase. Earth’s Energy Imbalance rose 8 per cent, human-induced warming reached 1.37°C above pre-industrial levels in 2025, and the world could exceed the Paris Agreement’s 1.5°C warming limit within approximately 4 years. The Indian Ocean is approaching a permanent marine heatwave state, threatening monsoons, cyclones, water security, and heat stress across the Indian subcontinent. The Report Key Findings 1. All 11 Major Climate Indicators Worsened 2. Marine Heatwaves: Sharpest Increase 3. Earth’s Energy Imbalance at Record Levels 4. Global Temperatures Rising 5. Greenhouse Gas Concentrations Hit New Highs 6. 1.5°C Threshold Imminent 7. Land and Ocean Warming Intensifying 8. Indian Ocean Approaching Permanent Marine Heatwave State What is the IPCC? What is Earth’s Energy Imbalance? What is a Marine Heatwave? What is the Paris Agreement? Bonn Climate Change Conference About UNFCCC Recent COPs Practice MCQs Q1. With reference to the Planetary Climate Vital Signs Report 2026, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; all 11 climate indicators have WORSENED, NOT improved.) Q2. With reference to the key findings of the report, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q3. With reference to the Indian Ocean warming, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; Indian Ocean warming has significant impacts on India’s monsoons, agriculture, cyclones, coastal communities.) Q4. With reference to the Paris Agreement, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; the Paris Agreement is a legally binding international treaty with NDC commitments from each country.) Q5. With reference to India’s climate commitments, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; India has made multiple commitments under the Paris Agreement.) Answer Key National News 1. Slovakia’s Highest Honour Conferred on PM Modi Source: ET Context Prime Minister of India Narendra Modi was formally conferred with The Order of the White Double Cross, First Class, the highest state honour of the Slovak Republic. The honour was presented during his Slovakia visit in June 2026, the first by an Indian Prime Minister since Slovakia’s founding in 1993. The Order was instituted on 1 March 1994 to honour foreign citizens who have rendered exceptional services to the development of relations with Slovakia or have enhanced its international standing. The decoration is legally conferred exclusively by the President of the Slovak Republic. The Award What is the Order of the White Double Cross? History of the Order Other State Honours Conferred on PM Modi (2026) Nation Highest State Award Slovak Republic The Order of the White Double Cross, First Class Dominica Dominica Award of Honour Guyana The Order of Excellence Barbados Honorary Freedom of Barbados Total Foreign State Honours to PM Modi PM Modi has received numerous foreign state honours, making him one of the most decorated Indian leaders globally. Notable past honours include: About Slovakia Practice MCQs Q1. With reference to the Order of the White Double Cross, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; PM Modi was conferred with the FIRST CLASS, NOT the Second Class.) Q2. With reference to Slovakia, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q3. With reference to PM Modi’s state honours in 2026, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q4. With reference to the Velvet Divorce, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; the Velvet Divorce was a PEACEFUL dissolution, NOT violent.) Answer Key Exam Relevance Exam Relevance UPSC Prelims GS Paper II on International Relations (Slovakia, India’s foreign policy, state honours) UPSC Mains GS Paper II on International Relations, Foreign Policy BPSC and State PCS International Affairs, Current Affairs Banking and NABARD General Awareness on international affairs SSC, Insurance, Railway Static and Current GK on Slovakia, EU, NATO, state honours Defence (NDA, CDS, AFCAT) International affairs Foreign Service India’s foreign policy, Central Europe 2. The Great Indian Bustard (GIB) Source: Times of India Context The Union Minister for Environment, Forest and Climate Change announced that Project Great Indian Bustard (GIB) has successfully added three more chicks to its conservation breeding programme. The Great Indian Bustard (Ardeotis nigriceps) is a large, terrestrial bird native to the Indian subcontinent and is one of the heaviest flying birds in the world. Classified as Critically Endangered on the IUCN
The Planetary Climate Vital Signs Report 2026
Source: Down to Earth Context: A new global climate assessment released during the Bonn Climate Change Conference (SB64), 2026 warns that all major planetary climate indicators have worsened since the last IPCC assessment cycle. The Planetary Climate Vital Signs Report 2026, published in Earth System Science Data by around 70 scientists from 17 countries, provides updated measurements of key climate indicators. All 11 major climate indicators assessed recorded deterioration, with marine heatwaves showing the sharpest increase. Earth’s Energy Imbalance rose 8 per cent, human-induced warming reached 1.37°C above pre-industrial levels in 2025, and the world could exceed the Paris Agreement’s 1.5°C warming limit within approximately 4 years. The Indian Ocean is approaching a permanent marine heatwave state, threatening monsoons, cyclones, water security, and heat stress across the Indian subcontinent. The Report Key Findings 1. All 11 Major Climate Indicators Worsened 2. Marine Heatwaves: Sharpest Increase 3. Earth’s Energy Imbalance at Record Levels 4. Global Temperatures Rising 5. Greenhouse Gas Concentrations Hit New Highs 6. 1.5°C Threshold Imminent 7. Land and Ocean Warming Intensifying 8. Indian Ocean Approaching Permanent Marine Heatwave State What is the IPCC? What is Earth’s Energy Imbalance? What is a Marine Heatwave? What is the Paris Agreement? Bonn Climate Change Conference About UNFCCC Recent COPs Practice MCQs Q1. With reference to the Planetary Climate Vital Signs Report 2026, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; all 11 climate indicators have WORSENED, NOT improved.) Q2. With reference to the key findings of the report, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q3. With reference to the Indian Ocean warming, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; Indian Ocean warming has significant impacts on India’s monsoons, agriculture, cyclones, coastal communities.) Q4. With reference to the Paris Agreement, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; the Paris Agreement is a legally binding international treaty with NDC commitments from each country.) Q5. With reference to India’s climate commitments, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; India has made multiple commitments under the Paris Agreement.) Answer Key
Slovakia’s Highest Honour Conferred on PM Modi
Source: ET Context Prime Minister of India Narendra Modi was formally conferred with The Order of the White Double Cross, First Class, the highest state honour of the Slovak Republic. The honour was presented during his Slovakia visit in June 2026, the first by an Indian Prime Minister since Slovakia’s founding in 1993. The Order was instituted on 1 March 1994 to honour foreign citizens who have rendered exceptional services to the development of relations with Slovakia or have enhanced its international standing. The decoration is legally conferred exclusively by the President of the Slovak Republic. The Award What is the Order of the White Double Cross? History of the Order Other State Honours Conferred on PM Modi (2026) Nation Highest State Award Slovak Republic The Order of the White Double Cross, First Class Dominica Dominica Award of Honour Guyana The Order of Excellence Barbados Honorary Freedom of Barbados Total Foreign State Honours to PM Modi PM Modi has received numerous foreign state honours, making him one of the most decorated Indian leaders globally. Notable past honours include: About Slovakia Practice MCQs Q1. With reference to the Order of the White Double Cross, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; PM Modi was conferred with the FIRST CLASS, NOT the Second Class.) Q2. With reference to Slovakia, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q3. With reference to PM Modi’s state honours in 2026, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q4. With reference to the Velvet Divorce, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; the Velvet Divorce was a PEACEFUL dissolution, NOT violent.) Answer Key Exam Relevance Exam Relevance UPSC Prelims GS Paper II on International Relations (Slovakia, India’s foreign policy, state honours) UPSC Mains GS Paper II on International Relations, Foreign Policy BPSC and State PCS International Affairs, Current Affairs Banking and NABARD General Awareness on international affairs SSC, Insurance, Railway Static and Current GK on Slovakia, EU, NATO, state honours Defence (NDA, CDS, AFCAT) International affairs Foreign Service India’s foreign policy, Central Europe
The Great Indian Bustard (GIB)
Source: Times of India Context The Union Minister for Environment, Forest and Climate Change announced that Project Great Indian Bustard (GIB) has successfully added three more chicks to its conservation breeding programme. The Great Indian Bustard (Ardeotis nigriceps) is a large, terrestrial bird native to the Indian subcontinent and is one of the heaviest flying birds in the world. Classified as Critically Endangered on the IUCN Red List and listed under Schedule I of the Wildlife Protection Act, 1972, the species’ wild population is largely restricted to Rajasthan, particularly the Desert National Park near Jaisalmer. The leading cause of mortality is collision with high-voltage overhead power lines due to poor frontal vision. What is the Great Indian Bustard? Habitat and Distribution Primary Stronghold Conservation Status Project Great Indian Bustard (GIB) Practice MCQs Q1. With reference to the Great Indian Bustard (GIB), consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; the GIB is a terrestrial bird native to arid grasslands, NOT a marine bird.) Q2. With reference to the conservation status and habitat of the GIB, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q3. With reference to the threats facing the GIB, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; the GIB has a LOW reproductive rate (1 egg per year), NOT high.) Q4. With reference to conservation institutions for GIB, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Answer Key
The 52nd G7 Summit
Source: News on Air Context Prime Minister of India Narendra Modi arrived in Evian, France to participate in the 52nd G7 Summit at the official invitation of French President Emmanuel Macron. The summit was held from 15-17 June 2026. This marks India’s 13th overall and 7th consecutive appearance as an invitee to the G7 Summit. The G7 (Group of Seven) is an annual international forum of the world’s most advanced industrialised economies. The 2026 agenda focused heavily on AI governance, geopolitical crisis resolution, and economic coordination. India, China, South Korea, Kenya, and Brazil were invited as guest countries. The Summit India’s Participation What is the G7? Members of the G7 Invited Guest Countries for 2026 Summit History of the G7 Summit Founding Era The G8 Transformation The 2014 Restructuring Key Functions of the G7 Economic Steering Geopolitical Crisis Resolution Setting Global Tech Standards Enforcing Policies G7 vs G20 India’s G20 Presidency (Recap) Other International Groupings Recent G7 Summits Practice MCQs Q1. With reference to the 52nd G7 Summit (2026), consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; India was also invited as a guest country.) Q2. With reference to the G7 (Group of Seven), consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; India is NOT a permanent member of the G7; it is frequently invited as a guest.) Q3. With reference to the history of the G7, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; Russia was part of G8 only from 1998-2014, and is currently NOT a member.) Q4. With reference to G7 vs G20, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; India held the G20 Presidency from 1 December 2022 to 30 November 2023.) Answer Key
WT-MARUT: India’s First Wind Turbine Supply Chain Management Portal Launched
Source: News on Air Context The Union Minister for New and Renewable Energy officially launched India’s first dedicated wind turbine supply chain management portal, WT-MARUT, at the Global Wind Day Conference in Goa. WT-MARUT is India’s first indigenous, centralised digital platform for managing, tracking, and optimising the domestic wind turbine manufacturing supply chain ecosystem. The portal is launched under the Ministry of New and Renewable Energy (MNRE) and aims to strengthen India’s domestic wind manufacturing capabilities. India has installed 56.1 GW of wind capacity but utilised only a small share of its 1,164 GW potential. The national target is 100 GW by 2030. Wind equipment exports crossed ₹12,000 crore in FY 2025-26. The Launch What is WT-MARUT? Key Features Supply Chain Visibility and Mapping Automated ALMM Compliance Supplier Discovery and Qualification Cross-Sector Collaboration Hub Export Readiness Analytics About ALMM (Approved List of Models and Manufacturers) Key Schemes for Renewable Energy About Global Wind Energy Council (GWEC) Practice MCQs Q1. With reference to WT-MARUT, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; WT-MARUT is indigenous to India.) Q2. With reference to India’s wind energy sector, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q3. With reference to ALMM (Approved List of Models and Manufacturers), consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; ALMM is administered by MNRE, NOT the RBI.) Q4. With reference to India’s renewable energy targets, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Answer Key
The ‘Dancing Girl’ of Mohenjo-daro
Source: Indian Express Context The National Council of Educational Research and Training (NCERT) has announced that it will replace a retouched image of the iconic Mohenjo-daro Dancing Girl in its new Class 9 Art textbook. The Dancing Girl is a bronze statuette from the Indus Valley Civilisation (Harappan Civilisation), unearthed in 1926 by British archaeologist John Marshall during excavations at Mohenjo-daro (in present-day Sindh, Pakistan). The figurine is approximately 4 inches (10.5 cm) tall and dates back to about 2500 BCE. It is permanently housed in the Pre-History and Archaeology collection at the National Museum, New Delhi. The artefact demonstrates Harappan expertise in the lost-wax casting technique and advanced bronze metallurgy. What is the Dancing Girl? Discovery and History Naming Origin Current Repository Physical Characteristics Contrapposto Stance Arm Placement Asymmetrical Ornamentation Facial Features and Hair About the Indus Valley Civilisation (Harappan Civilisation) Mohenjo-daro Famous Indus Valley Artefacts Practice MCQs Q1. With reference to the Dancing Girl of Mohenjo-daro, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; the original artefact is at the National Museum, New Delhi, NOT the British Museum.) Q2. With reference to the physical characteristics of the Dancing Girl, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; the Dancing Girl is made of BRONZE, NOT terracotta. Most Harappan figures are terracotta, but the Dancing Girl is a notable exception.) Q3. With reference to the Indus Valley Civilisation, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; the Indus script remains undeciphered.) Q4. With reference to NCERT, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; NCERT is an autonomous organisation under the Ministry of Education.) Answer Key
Central Banks to Raise Gold Reserves Over One Year: WGC 2026 Survey
Source: BL Context The World Gold Council’s (WGC) 2026 Central Bank Gold Reserves (CBGR) survey indicates that central banks around the world would continue accumulating gold in the future. Over the past 4 years, central banks have accumulated an average of 1,000 tonnes of gold annually, double the 500-tonne average of the preceding decade. Indian gold prices have risen by about 40 per cent in 12 months, driven by central banks’ buying and rupee’s depreciation against the US dollar. The Reserve Bank of India (RBI) has been aggressively expanding its gold reserves, with total holdings rising from 822.1 tonnes in FY24 to 879.58 tonnes in FY25, and marginally to 880.52 tonnes in FY26. The survey was conducted 5 February to 19 May 2026, with most responses coming after the West Asia conflict began. The Survey Key Findings India’s Gold Reserves Period RBI’s Gold Reserves FY24 822.1 tonnes FY25 879.58 tonnes FY26 880.52 tonnes FY24 to FY26 increase ~58.4 tonnes Why Are Central Banks Buying Gold? About the World Gold Council (WGC) Global Top 10 Gold-Holding Central Banks (Approximate, Mid-2026) Rank Country Approximate Reserves (Tonnes) 1 United States 8,133 2 Germany 3,352 3 IMF (international body) 2,814 4 Italy 2,452 5 France 2,437 6 Russia 2,332 7 China 2,279+ (rising) 8 Switzerland 1,040 9 India 880.52 (FY26) 10 Japan 846 Why is Gold a Reserve Asset? Sovereign Gold Bonds (SGB) Gold Monetisation Scheme (GMS, 2015) Why Did RBI Increase Gold Reserves? Practice MCQs Q1. With reference to the WGC’s 2026 Central Bank Gold Reserves Survey, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; central banks remain VERY POSITIVE on gold and plan to increase holdings.) Q2. With reference to the World Gold Council (WGC), consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q3. With reference to India’s gold reserves and forex reserves, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; India holds 880.52 tonnes of gold in its forex reserves.) Q4. With reference to Sovereign Gold Bonds (SGB), consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q5. With reference to India’s position in global gold consumption and reserves, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; gold has deep cultural and religious significance in India.) Answer Key Exam Relevance Banking (RBI Gr B, SBI PO, IBPS, NABARD) Very high importance, RBI reserves, gold, forex, SGB, GMS RBI Grade B Core area on monetary policy, forex management, gold NABARD Grade A General awareness on financial sector
Marine Insurance
Source: Business Standard Context Marine war-risk insurance premiums, which had already started normalising following the launch of the Bharat Maritime Insurance Pool (BMIP), could soften further if the proposed US-Iran agreement leads to a sustained reopening of the Strait of Hormuz and a reduction in regional tensions. The war-risk premiums had shot up during the US-Iran conflict and the maritime blockade, but are now easing with the diplomatic resolution. The Bharat Maritime Insurance Pool (BMIP) is India’s indigenous mechanism to provide war-risk cover to Indian-flag shipping during geopolitical crises, reducing dependence on foreign reinsurance. The Recent Trend What is the Bharat Maritime Insurance Pool (BMIP)? What is War-Risk Insurance? Marine Insurance Categories India’s Marine Insurance Market About GIC Re (General Insurance Corporation of India) About IRDAI Practice MCQs Q1. With reference to marine war-risk insurance trends, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; war-risk insurance is a separate, specialised policy that covers risks not included in standard hull insurance.) Q2. With reference to the Bharat Maritime Insurance Pool (BMIP), consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; BMIP is an indigenous Indian mechanism, NOT a foreign one.) Q3. With reference to marine insurance categories, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; war-risk insurance is a SEPARATE specialised policy that covers risks NOT included in standard H&M marine insurance.) Q4. With reference to GIC Re, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; GIC Re is one of the top 10 reinsurers globally, NOT the largest. The world’s largest reinsurer is typically Munich Re or Swiss Re.) Q5. With reference to India’s shipping and maritime sector, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; India’s shipping sector is significantly integrated with global infrastructure (ports, insurance, reinsurance, fuel, etc.), NOT self-sufficient.) Answer Key Exam Relevance IRDAI Grade A Very high importance, BMIP, marine insurance, GIC Re, reinsurance
RBI Lowers Capital Requirement on ECLGS 5.0 Exposures
Source: Business Standard Context The Reserve Bank of India (RBI) has allowed lenders to assign a zero-risk weight to a significant portion of loans guaranteed under the Emergency Credit Line Guarantee Scheme (ECLGS) 5.0, reducing capital requirements and potentially supporting credit growth under the programme. Exposures under ECLGS 5.0 will attract zero per cent risk weight for up to 75 per cent of the guaranteed portion. Crisil Ratings has said ECLGS 5.0 could increase the debt levels of rated corporates by around 10 per cent, as firms tap the facility to meet higher working capital requirements arising from the ongoing West Asia conflict. The RBI’s Move What is ECLGS? ECLGS Evolution Version Launched Purpose Coverage ECLGS 1.0 May 2020 COVID-19 relief, MSMEs and businesses Loans up to ₹3 lakh crore guarantee ECLGS 2.0 November 2020 Expanded to 26 stressed sectors and healthcare Increased coverage ECLGS 3.0 March 2021 Covered hospitality, travel, tourism Tenure increased to 6 years ECLGS 4.0 April 2021 Healthcare sector for oxygen, vaccines Specific to medical infra ECLGS 5.0 2026 West Asia conflict relief for affected businesses New iteration for current crisis Why ECLGS 5.0 Now? About NCGTC (National Credit Guarantee Trustee Company) What is a Risk Weight? What is Basel III? About Crisil Ratings Practice MCQs Q1. With reference to the RBI’s recent decision on ECLGS 5.0 exposures, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None (Statement 4 is wrong; the RBI allows zero per cent risk weight for up to 75 per cent of guaranteed exposure, NOT 100 per cent risk weight.) Q2. With reference to ECLGS, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q3. With reference to Basel III norms in India, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; India has implemented Basel III norms.) Q4. With reference to NCGTC, consider the following statements: How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None Q5. With reference to credit rating agencies in India, consider the following statements: Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four (Statement 4 is wrong; Crisil is a private credit rating agency majority owned by S&P Global, NOT a government body.) Answer Key Exam Relevance RBI Grade B Core area on banking regulation, capital adequacy
