Daily Current Affairs Quiz12 August, 2025 National Affairs 1. Revised Income Tax Bill, 2025 Context: Finance Minister Nirmala Sitharaman tabled the Revised Income Tax Bill, 2025 in the Lok Sabha, incorporating most of the 566 recommendations from the Parliamentary Select Committee. The Bill aims to replace the six-decade-old Income Tax Act, 1961. Key Features of the Revised Bill About MAT & AMT What is Section 80M? Section 80M allows a domestic company receiving dividends from another domestic company to claim deduction for the amount it distributes as dividends in the same financial year. This provision prevents taxation of the same income at multiple corporate levels. Mint & TH 2. Jal Jeevan Mission Context: The Jal Jeevan Mission (JJM) has achieved a significant milestone with rural tap water coverage reaching 81% in 2025, up from 17% in 2019, benefiting over 15.68 crore households. About Jal Jeevan Mission (JJM) Banking/Finance 1. Minimum Alternate Tax & Alternate Minimum Tax Context: The Income Tax (No. 2) Bill, 2025, passed by the Lok Sabha, introduces a key structural change in India’s alternative tax regime. It now formally separates Minimum Alternate Tax (MAT) applicable to companies from Alternate Minimum Tax (AMT) applicable to certain non-corporate taxpayers. Key Highlights of the Amendment: 1. Minimum Alternate Tax (MAT) 2. Alternate Minimum Tax (AMT) 3. New Exemption for LLPs What is MAT (Minimum Alternate Tax)? It ensures that companies paying minimal or no income tax due to exemptions still contribute a base level of tax, typically calculated on their book profits. What is AMT (Alternate Minimum Tax)? Applies to non-corporate taxpayers who claim significant deductions. It ensures they pay a minimum tax preventing complete erosion of their tax liability despite deductions and exemptions. ET 2. SEBI Proposes FPI Reforms to Boost Investment and Ease Compliance Context: The Securities and Exchange Board of India (SEBI) has issued two major proposals to enhance investment flows and simplify compliance in the Indian securities market. These aim to widen resident Indians’ participation in international investment schemes and streamline market entry for trusted foreign investors. Key Highlights: Expanding Resident Indian Participation in FPIs Single-Window Framework for Low-Risk Foreign Investors (SWAGAT-FI) Mint 3. Large Value Funds (LVFs) Context: The Securities and Exchange Board of India (SEBI) has released a consultation paper proposing major reforms to Large Value Funds (LVFs) under the Alternative Investment Fund (AIF) framework to widen participation and ease compliance. Public comments are open until 29 August 2025. What Are Large Value Funds (LVFs)? Large Value Funds are a special category of Alternative Investment Funds (AIFs) in India where the minimum investment per investor is ₹70 crore. They are designed for sophisticated and ultra-high-net-worth investors who can commit substantial capital. Key Features Key SEBI Proposals: Private Placement Memorandum (PPM): A detailed disclosure document outlining a fund’s strategy, risks, fees, and governance, usually in SEBI’s standard format. NISM Certification: A professional credential validating the investment team’s market knowledge and compliance expertise. ET Agriculture 1. NABARD Marks National Handloom Day Context: The National Bank for Agriculture and Rural Development (NABARD) celebrated National Handloom Day on 7 August 2025 in Guwahati under the theme “Handloom for Reinvigorating the Rural Economy of Assam”. The event aimed to highlight the role of the handloom sector in driving rural development and women’s empowerment. Key Highlights: Weavers Producer Organisations (WPOs) Weavers Producer Organisations are collective entities formed by handloom weavers to pool resources, improve bargaining power, access finance, and market their products collectively. They function similarly to Farmer Producer Organisations (FPOs) but are dedicated to the handloom and weaving sector. Objectives NABARD Facts To Remember 1. PM inaugurates new housing complex for parliamentarians Prime Minister Narendra Modi on Monday inaugurated a complex of multi-storey flats for parliamentarians in New Delhi. 2. Australia ‘will recognise’ Palestinian state at UNGA Australia will recognise a Palestinian state at the UN General Assembly in September, Prime Minister Anthony Albanese 3. India’s bid to host 2036 Olympics in ‘continuous dialogue’ phase India’s bid to host the 2036 Olympics is in the “continuous dialogue” phase with the International Olympic Committee’s Future Host Commission, Sports Minister Mansukh Mandaviya told the Lok Sabha. 4. Banks free to set minimum balance RBI Governor Sanjay Malhotra said banks are free to decide the minimum balance for savings accounts and that it does not fall under the regulatory domain of the RBI. 5. Operation Falcon saves Assam rhinos, says CM Himanta Biswa Sarma The Assam government has achieved a significant success in protecting the one-horned rhinos – the pride of the state – from poachers since it launched ‘Operation Falcon. 6. IIST–KAU Post-Flight Seed Study after ISS Mission The Indian Institute of Space Science and Technology (IIST) and Kerala Agricultural University (KAU) have initiated research on crop seeds sent to the International Space Station (ISS) during the Axiom-4 mission. The study aims to assess the effects of space exposure on seed germination, growth, and productivity.

Daily Current Affairs Quiz10 & 11 August, 2025 National Affairs 1. PM E-Drive Subsidy Scheme Context: The Central Government has extended the PM E-Drive subsidy scheme by two years, now running until the fiscal year 2027-28. This comes as nearly half of the allocated ₹10,900 crore budget remains unutilized. Subsidies for electric two- and three-wheelers under the scheme will end by March 31, 2026. About PM E-Drive Subsidy Scheme Objectives Coverage PIB 2. Khelo India ASMITA Football League 2025-26 Context: The Khelo India ASMITA Football League 2025-26 was launched in Jalgaon, Maharashtra, marking a significant step toward affirmative action in sports aimed at boosting women’s participation, especially from underrepresented communities. About Khelo India ASMITA Aim PIB 3. India to Launch 6,500 kg U.S. Communication Satellite After NISAR Mission Context: Following the successful launch of the NISAR satellite on July 30, 2025, the Indian Space Research Organisation (ISRO) is preparing to launch a 6,500 kg U.S.-built communication satellite, Block-2 BlueBird, in the coming months. This mission underscores India’s growing capabilities in handling large-scale international payloads. Key Details: TOI Banking/Finance 1. ICICI Bank Hikes Minimum Balance Requirement for New Savings Accounts Context: ICICI Bank, one of India’s leading private sector banks, has revised the minimum average balance (MAB) requirements for new savings accounts opened on or after August 1, 2025. This move marks a significant increase in the MAB norms for urban and semi-urban branches, reflecting a strategic shift in customer segmentation. Key Highlights: Minimum Average Balance (MAB) Minimum Average Balance (MAB) is the minimum amount of money that a bank requires a customer to maintain in their savings or current account over a specified period (usually a month or quarter). It is the average of the daily closing balances during that period. Purpose TOI 2. LIC Enters Bond Forward Rate Agreements (FRA) Market Context: State-owned Life Insurance Corporation of India (LIC) has officially entered the bond Forward Rate Agreements (FRAs) market through transactions with over 10 major banks, both domestic and foreign, marking a strategic move to manage interest rate risks associated with its portfolio. Why This Move Matters? Forward Rate Agreements (FRA) A Forward Rate Agreement (FRA) is a financial contract between two parties to lock in an interest rate for a specified future period on a notional principal amount. The contract settles in cash based on the difference between the agreed-upon forward rate and the actual market interest rate on the settlement date. Purpose Difference Between FRAs and Bond Forwards Aspect Forward Rate Agreements (FRAs) Bond Forwards Nature of Contract Agreement to lock in an interest rate on a notional amount for a future period. Agreement to buy/sell a specific bond at a predetermined price on a future date. Settlement Settled in cash based on the difference between agreed rate and market rate. Physical delivery of the bond at contract maturity (no cash settlement). Underlying Asset Interest rates (no actual bond or loan is exchanged). Specific government bond or security. Risk Mitigation Hedge interest rate fluctuations without bond ownership. Hedge interest rate risk with actual bond delivery, reducing procurement risk. Market Usage Commonly used by banks, insurers to hedge interest rate risk on liabilities or assets. Used by insurers and investors to lock in bond prices and ensure delivery. Settlement Risk Requires sourcing bonds at settlement for hedging if needed, adding market risk. Eliminates settlement risk as bond delivery is contractually guaranteed. Regulatory Status in India Allowed and widely used for interest rate risk management. Recently permitted by RBI and IRDAI, expanding hedging tools. BS 3. RBI Proposes Standardised Forms and 15-Day Settlement for Deceased Customers Claims Context: The Reserve Bank of India (RBI) has issued a draft circular titled Reserve Bank of India (Settlement of Claims in respect of Deceased Customers of Banks) Directions, 2025 to standardise and simplify the process for settling claims on bank accounts and safe deposit lockers of deceased customers. Key Proposals Documents and Procedures BS 4. NSE & BSE Introduced new Standard Operating Procedure (SOP) Context: The National Stock Exchange of India (NSE) and Bombay Stock Exchange (BSE) have introduced a new Standard Operating Procedure (SOP), effective from August 1, 2025, to expedite regulatory approvals for mergers and demergers involving listed companies. The Securities and Exchange Board of India (SEBI) has mandated this framework to bring predictability and speed to an otherwise lengthy process. Key Features of the SOP for Scheme Processing Challenges Mint 5. SEBI Proposes Separate Category of Alternative Investment Fund (AIF) Schemes Context: The Securities and Exchange Board of India (SEBI), the capital markets regulator, has proposed creating a new category of Alternative Investment Fund (AIF) schemes exclusively for accredited investors, offering a lighter regulatory framework compared to regular AIF schemes. Alternative Investment Fund (AIF) An Alternative Investment Fund (AIF) is a privately pooled investment vehicle that collects funds from investors for investing in accordance with a defined investment policy, other than traditional securities like stocks or bonds. Categories: SEBI classifies AIFs into three categories based on their investment strategy and risk profile: BS 6. RBI Imposes Rs 75 Lakh Penalty on ICICI Bank for Regulatory Violations Context: The Reserve Bank of India (RBI) levied a monetary penalty of Rs 75 lakh on ICICI Bank Limited for non-compliance with specific regulatory guidelines. Key Highlights: BS Agriculture 1. Soil Health: The Cornerstone of Sustainable Food Security in India Context: India’s food security debate has progressed beyond simply increasing food production to focusing on the quality and sustainability of food. Central to this evolving discourse is the critical but often overlooked factor of soil health. Global and Local Challenges Restoration Pathways: Impact on Food Security and Livelihoods: BL Facts To Remember 1. CPI inflation at record low in July: Poll India’s retail inflation likely fell to a record low in July due to a sustained decline in food inflation, according to a Mint poll. 2. India’s First State-of-the-Art Animal Stem Cell Biobank and Laboratory The Union Minister inaugurated India’s first advanced Animal Stem Cell Biobank and Laboratory at the National Institute of Animal