Context: On July 19, 2025, the Ministry of Labour and Employment notified key relaxations to the Employees’ Deposit Linked Insurance (EDLI) scheme, administered under the Employees’ Provident Fund Organisation (EPFO). The aim is to enhance social security benefits for employees and their families, especially in cases of death during service. Key Changes in EDLI Scheme About the EDLI Scheme TET
India’s Retail Asset Securitisation Market Grows
Context: India’s retail asset securitisation market recorded a moderate 6% year-on-year growth in the first quarter of FY26, reaching volumes of ₹52,000 crore. A major highlight was the country’s first Residential Mortgage-Backed Securitisation (RMBS) transaction, marking a new chapter in long-term funding innovation. What Is Securitisation? Steps in Securitization Process Read more>>
India Launches Electricity Futures
Context: In a significant step toward reforming India’s power markets, electricity futures trading has officially commenced on the National Stock Exchange (NSE) and Multi Commodity Exchange (MCX). At the launch event in Mumbai, SEBI Chairman Tuhin Kanta Pandey stressed that these contracts are designed as risk management tools, not instruments for speculative gains. Key Highlights: Purpose and Structure of Electricity Futures Regulatory Safeguards Against Speculation Key Participants and Benefits Role in Power Market Reform
Sebi Proposes Changes in Categorization and Rationalization of Mutual Fund Schemes
Context: The Securities and Exchange Board of India (SEBI) is set to revamp mutual fund regulations by introducing a separate framework for passive schemes and expanding the scope of active fund categories. These changes aim to ensure greater clarity, investor choice, and consistency in the mutual fund space amid rising scheme proliferation. Key Proposals and Changes TET
INS Nistar Commissioned
Context: In a significant boost to India’s maritime operational capabilities and self-reliance in defense manufacturing, the Indian Navy commissioned INS Nistar, the country’s first indigenously designed and constructed Diving Support Vessel (DSV), on July 19, 2025, in Visakhapatnam. Key Highlights: Technological and Operational Capabilities TH
Daily Current Affairs (DCA) 18 July, 2025
Daily Current Affairs Quiz18 July, 2025 National Affairs 1. Swachh Survekshan 2024–25 Context: President Droupadi Murmu conferred the Swachh Survekshan 2024–25 awards at a national felicitation event organized by the Ministry of Housing and Urban Affairs (MoHUA). About Swachh Survekshan Feature Details Conducted by Ministry of Housing and Urban Affairs (MoHUA) Objective To promote cleanliness, hygiene, and sanitation through healthy competition Participation 4,500+ cities; 14 crore citizens engaged via apps, feedback, campaigns Framework Based on “One City, One Award” principle Assessment Parameters Garbage Free City (GFC) star rating, source segregation, ODF status, public toilets, beautification, citizen feedback New Initiatives in 2024–25 Award Winners: Swachh Survekshan 2024–25 Cleanest Big Cities (Population 10 lakh+) Rank City 1st Ahmedabad 2nd Bhopal 3rd Lucknow 3–10 Lakh Population Category Rank City 1st Mira-Bhayandar 2nd Bilaspur 3rd Jamshedpur Best Ganga Town: Prayagraj Best Cantonment Board: Secunderabad Cantonment SaifaiMitra Surakshit Shehar (Sanitation Worker Safety) About Super Swachh League (SSL) Feature Details Purpose Recognizes cities with sustained performance in cleanliness over years Eligibility GFC 3-star+ rating, consistent performance in ODF++, segregation, and waste collection Segments Based on population: above 10 lakh, 3–10 lakh, below 3 lakh, below 1 lakh Top Inductees Indore, Surat, Navi Mumbai, Vijayawada, Chandigarh, Mysuru, etc. (23 cities in total) PIB 2. Akash Prime Missile System Context: India conducted a successful high-altitude trial of the Akash Prime surface-to-air missile in Ladakh, a key step towards strengthening its indigenous air defence capabilities in mountainous terrain. What is Akash Prime? Feature Description Type Medium-range Surface-to-Air Missile (SAM) Developer DRDO (Defence Research and Development Organisation) Partners Bharat Dynamics Ltd (BDL), Bharat Electronics Ltd (BEL) Purpose To neutralize aerial threats—drones, aircraft, and cruise missiles—in high-altitude areas PIB 3. Corporate Social Responsibility (CSR) Context: The Ministry of Corporate Affairs (MCA) has introduced stricter registration and disclosure requirements for non-profit entities executing Corporate Social Responsibility (CSR) activities on behalf of companies, aimed at curbing misuse and aligning CSR funding with tax compliance and financial scrutiny. Key Highlights: Corporate Social Responsibility (CSR) Corporate Social Responsibility (CSR) is a business approach where companies integrate social and environmental concerns into their operations and interactions with stakeholders. It’s a way for businesses to voluntarily contribute to a better society and a cleaner environment, going beyond just profit-making. Key Aspects of CSR Examples of CSR Activities Type of CSR Activity Examples Philanthropy Donations to NGOs, funding schools or hospitals Volunteering Employees participating in community clean-ups or literacy missions Environmental Initiatives Renewable energy use, recycling programs, carbon offsetting Ethical Supply Chains Ensuring fair wages and safe working conditions in supplier factories Community Development Infrastructure support, skill training, sanitation and healthcare drives 4. Long-Billed Bush Warbler Context: A team of seasoned birders has successfully rediscovered the long-billed bush warbler (Locustella major) in the Suru Valley of Ladakh — a species not confirmed in the region since 1979. Ecological and Scientific Significance TOI Banking/Finance 1. SEBI Flags Sustainability Concerns in F&O Trading Boom Context: SEBI has raised concerns over the excessive trading in ultra-short-term index derivatives, especially expiry-day options, which dominate market activity and pose risks to retail investors and market stability. Key Highlights: Significance TET 2. India’s Mutual Fund Industry Embraces Active Factor-Based Strategies Context: The Indian mutual fund industry is witnessing a shift in factor-based investing — from predominantly passive strategies to increasingly active factor fund offerings. With multiple new fund launches and growing investor interest, the active quant investing trend is gaining ground in 2025. What Are Factor-Based Funds? Factor funds build portfolios based on specific investment factors such as: Traditionally, such strategies were implemented through passive index funds or ETFs. However, a new wave of active fund launches is reshaping the space. Recent Active Factor Fund Launches (2023–2025) Fund House Fund Type Launch Status ICICI Prudential MF Active Momentum Fund NFO open Bandhan MF Multi-Factor Fund NFO open Sundaram MF Multi-Factor Fund NFO closed (July 2025) Kotak MF Active Momentum Fund To be launched (July 2025) Mirae Asset MF Multi-Factor Fund (FoF route) Upcoming Samco MF Active Momentum Fund Launched in 2023 Union MF, Nippon India, Motilal Oswal Active Momentum Funds Launched previously WhiteOak, ICICI Pru Active Quality Funds Launched SBI MF Quant Fund (Multi-Factor) Ongoing Why the Shift from Passive to Active Factor Funds? Market Dynamics Are Evolving Advantages of Active Factor Strategies Example: The ICICI Pru Active Momentum Fund combines price and earnings momentum, unlike passive funds that only consider price. 3. Equity-Linked Savings Scheme (ELSS) Context: The once-popular Equity-Linked Savings Scheme (ELSS) is witnessing a decline in investor interest as taxpayers increasingly shift to the new tax regime, which does not offer tax deductions under Section 80C. What are ELSS Funds? Equity Linked Savings Schemes (ELSS) are tax-saving mutual funds that primarily invest in equities and offer tax deductions under Section 80C of the Income Tax Act, 1961. Key Features of ELSS Mutual Funds How ELSS Funds Work Modes of Investment in ELSS Funds 4. RBI Set to Finalise Climate Risk Disclosure Norms for Banks Context: The Reserve Bank of India (RBI) is in the final stages of framing guidelines that will mandate banks and financial institutions to disclose climate-related risks in their lending portfolios. This move aligns with global climate finance norms, even as several major global banks roll back similar commitments. Key Highlights: Scope of RBI’s Climate Risk Framework Draft Framework and Progress Preparation by Banks Significance of the Move BL 5. NPCI Expands UPI–PayNow India-Singapore Payment Linkage Context: NPCI International Payments Ltd. (NIPL), the global subsidiary of NPCI, has announced the inclusion of 13 more Indian banks into the UPI–PayNow linkage between India and Singapore, effective July 17, 2025. What is the UPI–PayNow Linkage? Total Indian Banks Now Part of UPI–PayNow: 19 Newly Added Banks (13): Existing Banks (6): UPI–PayNow Linkage Benefits Feature Description Type Real-time, cloud-based remittance system Cost Low-cost, ideal for small-value transactions Security High-level security infrastructure Interoperability Between Indian UPI and Singapore’s PayNow platforms Utility Person-to-person remittances, retail purchases (QR in SG) BS Agriculture 1. Cooperative Sugar Mills Shift to Grain-Based Ethanol Context: Amid limitations
Cooperative Sugar Mills Shift to Grain-Based Ethanol
Context: Amid limitations in seasonal sugarcane processing, several cooperative sugar mills are planning to convert molasses-based ethanol distilleries to grain-based or multi-feedstock systems. The move is aimed at enhancing efficiency, operational days, and ethanol output. Grain-based ethanol Grain-based ethanol is a biofuel produced by fermenting the starch in grains like corn, rice, or wheat. It’s a renewable energy source used to blend with gasoline, reducing reliance on fossil fuels and potentially lowering carbon emissions. Need for Conversion Broader Sectoral Implications Mint
NPCI Expands UPI–PayNow India-Singapore Payment Linkage
Context: NPCI International Payments Ltd. (NIPL), the global subsidiary of NPCI, has announced the inclusion of 13 more Indian banks into the UPI–PayNow linkage between India and Singapore, effective July 17, 2025. What is the UPI–PayNow Linkage? Total Indian Banks Now Part of UPI–PayNow: 19 Newly Added Banks (13): Existing Banks (6): UPI–PayNow Linkage Benefits Feature Description Type Real-time, cloud-based remittance system Cost Low-cost, ideal for small-value transactions Security High-level security infrastructure Interoperability Between Indian UPI and Singapore’s PayNow platforms Utility Person-to-person remittances, retail purchases (QR in SG) BS
RBI Set to Finalise Climate Risk Disclosure Norms for Banks
Context: The Reserve Bank of India (RBI) is in the final stages of framing guidelines that will mandate banks and financial institutions to disclose climate-related risks in their lending portfolios. This move aligns with global climate finance norms, even as several major global banks roll back similar commitments. Key Highlights: Scope of RBI’s Climate Risk Framework Draft Framework and Progress Preparation by Banks Significance of the Move BL
Equity-Linked Savings Scheme (ELSS)
Context: The once-popular Equity-Linked Savings Scheme (ELSS) is witnessing a decline in investor interest as taxpayers increasingly shift to the new tax regime, which does not offer tax deductions under Section 80C. What are ELSS Funds? Equity Linked Savings Schemes (ELSS) are tax-saving mutual funds that primarily invest in equities and offer tax deductions under Section 80C of the Income Tax Act, 1961. Key Features of ELSS Mutual Funds How ELSS Funds Work Modes of Investment in ELSS Funds
