Daily Current Affairs Quiz7 August, 2025 National Affairs 1. Carriage of Goods by Sea Bill, 2025 Context: India has enacted the Carriage of Goods by Sea Bill, 2025, replacing the Carriage of Goods by Sea Act, 1925, a colonial-era legislation. This reform aims to align Indian maritime trade laws with international conventions and boost the ease of doing business in the shipping sector. Key Features Objectives of the Bill About Hague–Visby Rules IE 2. Strategic Interventions for Green Hydrogen Transition (SIGHT) Scheme Context: India has achieved a record-low Green Ammonia price of ₹55.75/kg in the first SECI auction under Mode-2A of the SIGHT Scheme, marking a milestone in India’s clean energy transition. About SIGHT Scheme What is it? A key financial mechanism under the National Green Hydrogen Mission (NGHM) designed to: Nodal Ministries Modes of Implementation Mode Description Mode 1 Incentive awarded to lowest incentive seeker (reverse auction model). Mode 2A Fixed incentive for Green Ammonia procurement via demand aggregation. Mode 2B Fixed incentive for Green Hydrogen procurement via demand aggregation. Budgetary Outlay What is Green Ammonia? TET 3. Merchant Shipping Bill, 2024 Context: The Lok Sabha passed the Merchant Shipping Bill, 2024 on August 6, 2025, amidst ongoing opposition protests. The Bill is a major step toward modernizing India’s maritime legislation and aligns with the government’s broader agenda to strengthen the blue economy and maritime governance. Why the Bill Matters? Key Provisions: 1. Expanded Ownership Criteria 2. Detaining Stateless Vessels 3. Marine Casualty Inquiry Mechanism 4. Seafarer Welfare & Training 5. Safety, Salvage & Environmental Protection ET 4. Biochar Context: As India advances its commitment toward net-zero emissions by 2070, scalable and cost-effective carbon removal technologies are essential. Among these, biochar—a charcoal-like substance produced from biomass—is emerging as a high-potential tool for carbon sequestration, soil health enhancement, and waste management. What is Biochar? Biochar is produced through pyrolysis, a process that heats organic material (like crop residues, forest waste, or manure) in the absence of oxygen. Unlike combustion, pyrolysis preserves the carbon content in a stable form that can remain in soil for centuries. Benefits of Biochar in the Indian Context 1. Carbon Sequestration 2. Waste Management Solution 3. Soil Health and Productivity 4. Livelihood Opportunities Current Gaps: Emerging Opportunities: International Examples for India to Learn From TH Banking/Finance 1. RBI Holds Repo Rate at 5.5% Context: Despite speculation of a 25 bps rate cut, the Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI) opted for a status quo, unanimously holding the policy repo rate at 5.5%. The decision was guided by inflation risks, global uncertainty, and the need for forward-looking monetary policy. Why RBI Held the Repo Rate? Impact on the Indian Economy What is Repo Rate and Reverse Repo Rate? Repo Rate Current Repo Rate (as of August 2025): 5.5% Reverse Repo Rate Current Reverse Repo Rate: 3.35% What Happens When RBI Changes Repo/Reverse Repo Rates? When RBI Cuts Repo Rate: When RBI Raises Repo Rate: BS & ET 2. RBI Panel Recommends Retaining WACR as Operating Target for Monetary Policy Context: Amid global uncertainties and market volatility, the Reserve Bank of India’s internal working group has reaffirmed the Weighted Average Call Rate (WACR) as the most suitable operational target for monetary policy, citing its alignment with policy stance and regulatory control. Key Recommendations of the RBI Working Group: 1. Retain WACR as the Operating Target 2. Discontinue 14-Day VRR/VRRR as Main Liquidity Operation 3. Use 7-Day or Shorter-Tenor Operations for Fine-Tuning 4. No New Tools Required 5. Current Instruments Are Adequate: BS 3. RBI Introduces SIP Facility for Treasury Bills via Retail Direct Platform Context: The Reserve Bank of India (RBI) has launched a Systematic Investment Plan (SIP) facility for Treasury Bills (T-bills) under its Retail Direct scheme, marking a major expansion in direct access to government securities for retail investors. Key Highlights: What Is a SIP in T-bills? A Systematic Investment Plan (SIP) allows retail investors to invest fixed amounts at regular intervals (e.g., weekly, monthly) into Treasury Bills, just like SIPs in mutual funds. What Are Treasury Bills (T-bills)? Key Features of SIP in T-bills: Impact on Financial Markets: Mint 4. RBI Revises Co-Lending Framework to Enhance Transparency and Risk Sharing Context: The Reserve Bank of India (RBI) issued revised guidelines to strengthen the co-lending framework between banks and non-bank financial companies (NBFCs). The new rules mandate that all regulated entities (REs) involved in co-lending arrangements (CLAs) must retain at least 10% of each individual loan on their own books. Objectives Key Features of the Revised Co-Lending Norms: 1. Minimum Loan Retention Requirement: 2. Default Loss Guarantee (DLG) Provision: 3. Uniform Asset Classification: 4. Credit Policy Alignment: 5. Mandatory Disclosures in Loan Agreement: 6. Blended Interest Rate Mechanism: 7. Annual Percentage Rate (APR) Transparency: 8. Escrow-Based Transaction Handling: 9. Timely Loan Recognition: 10. Expanded Applicability: ET 5. RBI Unveils Three Consumer-Focused Schemes to Boost Financial Inclusion Context: In a major push towards inclusive financial growth, Reserve Bank of India Governor Sanjay Malhotra announced three key consumer-centric initiatives following the August 2025 MPC meeting. These schemes target ease of access, simplified procedures, and broader retail participation, especially benefiting those at the bottom of the financial pyramid. 1. Doorstep Re-KYC for Jan Dhan Account Holders Objective: To simplify KYC compliance for financially underserved sections. 2. Simplified Claims Process for Deceased Customers Objective: To relieve families of procedural burdens after the death of a bank account holder. 3. Systematic Investment Plans (SIPs) in Government Securities via Retail Direct Objective: To promote retail investor participation in sovereign debt markets. Why It Matters? These reforms underline the RBI’s commitment to: BS & Mint 6. Axis Bank Launches ‘Lock FD’ Feature Context: Axis Bank has launched a ‘Lock FD’ feature for safeguarding customers’ Fixed Deposits (FDs) from rising digital frauds by allowing them to restrict FD closures through digital means. Objective To enhance the security of fixed deposits (FDs) by restricting premature closure through digital platforms, thereby protecting customers from online fraud. What are Fixed Deposits