Daily Current Affairs Quiz9 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: This aims to ensure portability of social security benefits across sectors and geographies, covering formal and informal workers. Core Vision and Principles Major Policy Proposals 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 Components 3. NITI Aayog Report: Roadmap on AI for Inclusive Societal Development Release Date: 2025Purpose: 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 Challenges Role of AI & Digital Infrastructure Need for Urgent Action Key Recommendations 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 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: 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 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 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 Additional Features 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 Lessons from UPI’s Impact on Credit Challenges for Clou Policy Recommendations 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 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 IoT Payments with UPI Banking Connect UPI Reserve Pay 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