Context: Supreme Court permitted appointment of retired judges on ad hoc basis to the high courts. On the other hand, the ad hoc judges will hear only criminal appeals as part of a Bench lead by a sitting judge. This relaxes a 2021 rule that limited such appointments to High Courts with over 20% judicial vacancies. How Are Ad-Hoc Judges Appointed? When Are Ad-Hoc Judges Appointed? The 2021 Lok Prahari case indicated some “trigger points” for ad hoc judges: What Does the Current Order Say? Instances of Ad Hoc Judicial Appointment in the Past Appointment Of Judges UPSC Civil Services Examination, Previous Year Question (PYQ) Prelims Q. With reference to the Indian judiciary, consider the following statements: Which of the statements given above is/are correct? (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither I nor 2 Ans: (c) Mains Q. Critically examine the Supreme Court’s judgement on ‘National Judicial Appointments Commission Act, 2014’ with reference to the appointment of judges of higher judiciary in India. (2017)
Trump’s Freeze on Foreign Aid and its Global Impact
Context: The Administration of Donald Trump has halted foreign aid. The former president’s act is seen to be another strategy of disengagement in international agreements and obligations by his administration, following resignation from the WHO and the Paris Climate Accord“. Justifications and Rationalizations US-AID Functions and Budget Effects of the Aid Freeze
RBI’s Monetary Policy Committee Meeting
Context: The Reserve Bank of India (RBI) has cut the repo rate by 25 basis points to 6.25%. This is for the first time in five years that the repo rate has been cut. The move has been considered to be in the kind of indications this reduction in the personal income tax that the government recently brought out and its implications on consumerism. Key Highlights: Repo Rate Cut & Its Implications GDP Growth Forecasts Inflation Outlook & Monetary Policy Reaction Global Economic Uncertainty & RBI’s Forex Intervention Cyber Fraud Measures & Digital Banking Reforms Greater digitalization has exposed organizations to a great number of risks related to cyber threats. Regulatory Approach & Economic Stability Conclusion The repo rate cut is a timely measure to stimulate economic growth, complementing the recent tax relief measures. While inflation is expected to moderate, global uncertainties remain a concern. The RBI’s forex interventions, cyber sec
Basis Point (BPS)
A basis point (BPS) is a unit of measurement that represents a change of 0.01%. It’s used to describe the change in the value or rate of a financial instrument. How is it used? Why is it used? Basis points are useful when describing small percentage changes, where even small changes can have a big impact. For example, a 100 basis point increase in an interest rate means the rate has increased by 1%. How is it written? Basis points are often written as “bp,” “bps,” or “bips”.
Current Affairs 6 February, 2025
Daily Current Affairs Quiz6 February, 2025 🚨 AIC Crash Course 2025 Launched Today! 🚨 Designed to fast-track your preparation and help you achieve success! 🎯👉 Limited Time Offer at 599/- – Don’t Miss Out!Enroll NOW and take the first step towards acing the exam! 🚀 International Affairs 1. Development of Gaza by U.S. Context: U.S. President Donald Trump announced an unexpected plan to take over the Gaza Strip, following the resettlement of Palestinians elsewhere. The proposal was made during a joint press conference with Israeli Prime Minister Benjamin Netanyahu. This move marks a radical departure from U.S. policy on the Israeli Palestinian conflict. Key Highlights: Implications & Controversy Israel-Palestine War 2. India-U.S. Trade Deal Context: India is open to reviving talks on a limited trade deal with the US during Prime Minister Narendra Modi’s visit to Washington. The government official said that India is open to a mini trade deal if the US is also willing. Prime Minister’s Visit to Washington Important Discussions on Key Trade Proposals Global Trade Context 3. U.S. Nuclear Deal with Iran Context: US President Donald Trump has agreed to immediately start working on a new nuclear deal with Iran to allow the country to “peacefully grow and prosper.” He termed reports that US and Israel plan to attack Iran as “greatly exaggerated”. Trump’s Directive and Economic Pressure Iran’s Readiness for Diplomacy Challenges for Iran’s Clerical Leadership 4. U.S. Exit from the UN Human Rights Council Context: US President Donald Trump issued an executive order to pull the US out of the UN Human Rights Council. The order further forbids funding for the UN refugee agency for Palestinian refugees, representing a sharp policy turn for the United States on foreign policy. UNESCO Membership United Nations Human Rights Council (UNHRC) Mission and Role Governance Sessions Regional Representation National Affairs 1. UGC Regulations, 2025 Context: Six Higher Education Ministers from Karnataka, Kerala, Tamil Nadu, Telangana, Jharkhand, and Himachal Pradesh passed a joint resolution against the draft UGC regulations and grading system under the New Education Policy 2020. Key Provisions of Draft Regulation and UGC Mandate Mission of the UGC Legal and Constitutional Challenges The Jurisdiction of the UGC Judicial Interpretations and Precedents Implications on Federalism and the Principle of Repugnancy Recommendations and the Way Forward 2. Sacred Groves Context: On 18 Dec 2024, the Supreme Court directed Rajasthan Forest Department to identify and classify all its Sacred Groves as forests and notifi them under the category of community reserves with the notification that they have fallen under WLPA 1972. Background Sacred groves are traditional, community conserved patches of forest with cultural and ecological significance. In Rajasthan, these groves cover approximately six lakh hectares across 25,000 sites. The Supreme Court’s order, however, challenges the Forest Rights Act (FRA) 2006, which had been intended to return forest management to gram sabhas (village councils), rather than the Forest Department. What are Sacred Groves? Traditional Community Conservation Methods Community Reserves under Wildlife Protection Act, 1972 Community reserves were brought in under the WLPA 2002 for protecting areas of cultural significance wherein local communities voluntarily conserve habitats. Forest Rights Act 2006 and Sacred Groves UPSC Civil Services Examination, Previous Year Questions (PYQs) Q. If a particular plant species is placed under Schedule VI of the Wildlife Protection Act, 1972, what is the implication? (2020) (a) A licence is required to cultivate that plant.(b) Such a plant cannot be cultivated under any circumstances.(c) It is a Genetically Modified crop plant.(d) Such a plant is invasive and harmful to the ecosystem. Ans: (a) 3. PRASHAD Scheme Context: The Parliamentary Standing Committee on Transport, Tourism, and Culture expressed disappointment over the slow progress in key projects under the Pilgrimage Rejuvenation and Spiritual Augmentation Drive (PRASHAD) scheme, which aims to develop spiritual tourism circuits across India. PRASHAD Scheme The PRASHAD scheme is the Pilgrimage Rejuvenation and Spiritual Augmentation Drive scheme by the Ministry of Tourism, Government of India. It aims to improve the religious tourism experience in India by developing and promoting pilgrimage sites. What does the scheme do? Current Status Under PRASHAD Scheme 4. Legal System to Battle Cyber Frauds Context: Dilip Asbe, National Payments Corporation of India (NPCI) CEO, emphasized the need for a strong legal framework in order to combat growing financial cyber frauds and dissuade fraudulent activities.He emphasized penalties at appropriate levels for cyber frauds and promoted more customer awareness to prevent frauds. Key Highlights: Number of Cases Expansion of UPI Users 5. The Indian Cybercrime Coordination Centre (I4C) The Indian Cybercrime Coordination Centre (I4C) is a government program that assists the government in addressing issues related to cybercrime in the country. Set up by the Ministry of Home Affairs (MHA), it provides a platform for coordinated comprehensive action on issues related to cybercrime. Indian Cyber Crime Coordination Centre (I4C) About I4C As launched by the Ministry of Home Affairs in 2020, I4C acts as a national level initiative to combat cyber crimes in a structured and coordinated manner.It covers a wide range of cyber threats, including fraud, hacking, cyberbullying, and data breaches. Objectives of I4C Goals of 14C National Cyber Crime Reporting Portal I4C Cybercrime Predictions Financial Impact of Cyber Fraud Major Contributors to Cyber Fraud Cyber Fraud Modes Types of Cyber Threat Cyber Threat Description Phishing Malicious emails trick users into giving away sensitive information. Malware Malicious software used to steal data or take control of a device. Ransomware Hackers encrypt data and demand ransom (e.g., WannaCry, 2016). Cyberbullying Harassment or threats via digital platforms. Cyber Spying Unauthorized access to classified or personal information. Business Email Compromise (BEC) Hackers pretend to be business leaders to steal money. Dating Scams Online romantic relationships are a scam to take money or information. Cyber Fraud Effects India’s Cyber Crime Situation Cyber and Internet threats Some Significant Cyber Frauds Government Initiatives to Combat Cyber Fraud Solutions & Preventive Measures Role by Banks & Business For Customers Conclusion With cyber fraud on the rise alarmingly, India’s I4C initiative has become a key player in fighting cybercrimes. Yet, the three
Economic Policy Shift: Tax Cut and Consumption Approach
Context: After a few years, the government would bring in an income tax cut as the strategy for consumption and growth. Now, though still seeing high capex spends, they are flat lined; thus, this is exactly where a tax cut would have to spur consumption and help reflate private investments. Proposed Tax Cut Private Investment and Corporate Sector Regulatory and Investment Issues R&D Focus Agriculture and Tourism Public Debt and Fiscal Deficit
RBI’s Financing Limitations
Context: The Reserve Bank of India (RBI) enforces various restrictions on loans and credit exposure to maintain financial stability and prevent fund misuse. These include loan limits, credit exposure norms, and other restrictions. Loan Limits Credit Exposure Norms Other Restrictions
Insolvency and Bankruptcy Code (IBC)
Context: The Insolvency and Bankruptcy Board of India has published a discussion paper on various changes it proposes to implement in the Insolvency and Bankruptcy Code (IBC), 2016. Issuance of Simultaneous Resolution Plans Invitations Complex Corporate Structures Benefits from this Proposed Coordinated Approach Challenges through Recent Cases in Insolvency Mandatory Reporting of Compliance Concerns and Criticisms
Rupee Depreciates
Context: The Indian rupee declined to a fresh intraday low of 87.49 against the US dollar on the expectation that the Reserve Bank of India would cut interest rates by 25 basis points this week. Factors Driving the Depreciation Factors Behind The Falling Trend Of Rupee Implications of a Weaker Rupee The Downside The Upside
Co-lending
Context: The Department of Revenue has rejected a recommendation by a panel led by State Bank of India (SBI) to exempt the 18% Goods and Services Tax (GST) levied on activities of co-lending between commercial banks and non banking financial companies (NBFCs). Reason for Rejection Co-lending Co-lending refers to the pooling of funds from two or more lenders for provision of credit to a borrower. The lead lender is normally a bank, though the co-lender could be an NBFC, another bank, or a fintech company. Co-lending Model In this model, NBFCs keep at least 20% of individual loans in their book, while rest is kept by banks.The RBI has permitted colending of loans by banks and NBFCs, including housing finance companies, for expansion of credit access to the under and un served sectors of the economy. Growth Projections of Co-lending
