Daily Current Affairs Quiz22 October, 2025 National Affairs 1. UNFPA Report 2025 Context: The United Nations Population Fund (UNFPA) in its State of World Population 2025 Report revealed that India’s Total Fertility Rate (TFR) has declined to 1.9, slipping below the replacement level of 2.1. This milestone signals India’s transition into a phase of sub-replacement fertility, raising new concerns over ageing, workforce shrinkage, and demographic sustainability. Understanding Total Fertility Rate (TFR): Limitations of the Current TFR Methodology: Shifting Fertility Patterns in India: Implications for India: 2. UNESCO Global Education Report 2025 Source: The Print Context: The UNESCO Global Education Report 2025 highlights that 133 million girls worldwide remain out of school, three decades after the Beijing Declaration (1995), despite significant improvements in enrolment. Global Snapshot Regional Parity Achievements and Challenges Persistent Quality Gaps Leadership Inequality Economic and Social Significance 3. NITI Aayog’s Roadmap for Climate Action and Energy Transition Source: Mint Context: India is approaching its 2030 target of 500 GW non-fossil electricity capacity and aims to achieve net-zero carbon emissions by 2070 under its Nationally Determined Contributions (NDCs). India also targets a 45% reduction in emission intensity of GDP by 2030 (from 2005 levels). NITI Aayog’s draft roadmap outlines institutional and financial measures to achieve these goals. Proposed Institutional Mechanisms a) Low Carbon Development Commission (LCDC): b) National Green Financing Institute (NGFI): Key Climate Measures Highlighted 4. UDAN Scheme Source: IE Context: Civil Aviation Secretary Samir Kumar Sinha announced that the Regional Connectivity Scheme known popularly as UDAN (Ude Desh Ka Aam Nagrik) will be continued beyond 2027 and its nework will extend to 120 new destinations. Full Form: Ude Desh ka Aam Nagrik Objective: Make air travel affordable, accessible, and inclusive by connecting remote and regional areas to major cities, promoting regional economic development. Launch and Milestones Key Features 5. India Ranks 9th Globally in Total Forest Area: FAO Report Source: TOI Context: India has achieved a major global environmental milestone by moving up to the 9th position worldwide in total forest area, according to the Global Forest Resources Assessment (GFRA) 2025 released by the Food and Agriculture Organisation (FAO) in Bali, Indonesia. Key Highlights: About Global Forest Resources Assessment (GFRA) Banking/Finance 1. RBI’s Expected Credit Loss (ECL) Model Context: The Reserve Bank of India (RBI) has proposed a shift from the current incurred loss model of provisioning to a forward-looking Expected Credit Loss (ECL) framework for scheduled commercial banks. This move aims to enhance the early recognition of credit stress and strengthen the resilience of the banking system. Current Model – Incurred Loss Proposed Model – Expected Credit Loss (ECL) Benefits of ECL Framework Implications for Banks 2. India Records Net FDI Outflow in August 2025 Source: TH Context: The Reserve Bank of India (RBI) reported a 159% decline in net Foreign Direct Investment (FDI) in August 2025, indicating that more money left India than entered it. This marks the second time in FY26 that outflows have exceeded inflows, signaling volatility in foreign investment trends. What is FDI? Foreign Direct Investment (FDI) refers to long-term capital investment by a foreign entity (company or individual) in another country’s business or assets, typically to gain a controlling interest.It is different from Foreign Portfolio Investment (FPI), which involves short-term financial assets like stocks or bonds. Types of FDI: FDI Components: Possible Causes of FDI Outflow: Consequences of FDI Outflow: Short-Term Impact: Long-Term Implications: 3. New Tax Rules on Share Buybacks Source: Mint Context: From 1 October 2024, India’s share buyback tax regime underwent a major transformation as per amendments in the Finance Act, 2024. The change aligns the tax treatment of buybacks with dividends, thereby impacting investor returns and corporate payout decisions. What is a Buyback of Shares? A buyback (or share repurchase) is a corporate action where a company buys back its own shares from existing shareholders, usually at a price higher than the market value. After the buyback, the number of outstanding shares decreases, which can increase the earnings per share (EPS) and ownership percentage of remaining shareholders. Legal Basis in India: Earlier Framework (Before 1 October 2024) New Regime (From 1 October 2024 Onwards) Implications 4. PFRDA Releases Draft Framework on Pension Wealth Accumulations Source: PIB Context: The Pension Fund Regulatory and Development Authority (PFRDA) has issued a consultation paper proposing a revised framework for valuation and disclosure of pension wealth accumulations. The move aims to enhance transparency for subscribers and ensure the long-term financial stability of India’s pension ecosystem. Objective of the Consultation Paper The initiative aims to: Key Proposal: Dual Valuation Framework The paper proposes a dual valuation approach — combining accrual-based and fair market-based valuation for long-term Government Securities held by pension funds. Purpose of Dual Valuation Framework About PFRDA 5. RBI Study Flags Overvaluation Risks in SME IPO Segment Source: BS Context: A recent RBI Bulletin study authored by Bhagyashree Chattopadhyay and Shromona Ganguly has highlighted significant volatility in India’s Small and Medium Enterprises (SME) IPO market, marked by sharp listing gains followed by swift price reversals. The findings point to signs of overvaluation in several SME stocks listed during FY24 and FY25, raising regulatory concerns for the segment. Key Findings of the RBI Study Background: SME IPO Boom in India About SME IPOs 6. Indian Banks’ Profitability and NIM Improvement Amid RBI Rate-Cut Cycle Source: ET Context: Indian banks are showing stronger profitability and expanding Net Interest Margins (NIMs) as the Reserve Bank of India (RBI) begins its rate-cut cycle, signaling a shift in the monetary policy stance to support growth. Key Highlights: What is NIM (Net Interest Margin)? Net Interest Margin (NIM) measures a bank’s profitability from lending operations.It is the difference between the interest earned on loans and investments and the interest paid on deposits and borrowings, expressed as a percentage of earning assets. Formula: Higher NIM = More efficient and profitable bank. 7. SEBI Tightens Insider Trading Oversight as Unlawful Gains Surge Source: Mint Context: The Securities and Exchange Board of India (SEBI) has intensified its crackdown on insider