Source: ET Context: India’s insurance regulator has flagged misselling and unfair business practices as a growing concern, calling for corrective action by insurers to protect policyholders and strengthen trust in the sector. Key Findings What Is Insurance Misselling? Government’s Stand
RBI Eases Related-Party Lending Norms
Source: FE Context: The Reserve Bank of India (RBI) has issued final guidelines on lending to related parties, easing several provisions from the draft norms and providing significant regulatory relief to banks and other regulated entities (REs). What is the decision? RBI has allowed existing related-party transactions that do not comply with the new norms to continue till their contractual maturity, subject to strict conditions. This move reduces disruption and avoids forced unwinding of legacy exposures. Key Relief Measures 1. Run-off of Existing Exposures 2. Scope Rationalisation 3. NBFC Exemptions Definition Changes for Clarity Other Important Changes Cooperative Banks All India Financial Institutions (AIFIs) Board Approval Exemptions
RBI Relaxes Risk-Weight Norms for NBFC Infrastructure Financing
Source: FE Context: The Reserve Bank of India (RBI) has eased risk-weight norms for infrastructure lending by Non-Banking Financial Companies (NBFCs), compared with its draft framework, while issuing the final guidelines on Thursday. The move provides capital relief to lenders while retaining repayment-based safeguards to ensure prudence. What is the change? RBI has lowered the repayment thresholds required for NBFC exposures to qualify for reduced risk weights for high-quality infrastructure projects, though it has retained repayment-linked criteria, underscoring that repayments remain a key indicator of reduced project risk. Major Capital Relief: Key Changes Risk Weight Draft Norm Final Norm 75% After 5% repayment of original project debt After 2% repayment 50% After 10% repayment After 5% repayment Expanded Scope: High-Quality Infrastructure Projects RBI has partially widened the definition of high-quality infrastructure projects to include those where revenues depend on rights granted under concession or contract by: However, termination protection clauses have been retained, as RBI considers them essential to safeguard lenders’ interests.
A Lesson from Beed in Raising Farmers’ Incomes
Source: IE Context: At a time when India’s goal of substantially raising farmers’ incomes remains elusive, an experiment from Beed district in Maharashtra offers a practical, scalable pathway to transform rural livelihoods—especially in drought-prone regions. The Beed Breakthrough What Changed on the Ground? 1. Crop Diversification 2. Scientific Farming Practices 3. Affordable Quality Inputs 4. Water Security as the Foundation 5. Credit & Risk Mitigation Lessons for National Policy
ICAR Releases 184 New Crop Varieties
Source: TOI Context: The Union Minister of Agriculture and Farmers’ Welfare, Shivraj Singh Chouhan, today released 184 new varieties of 25 crops developed by the Indian Council of Agricultural Research (ICAR) at New Delhi. These varieties have been bred with improved yield, climate resilience, and nutritional traits. Key Highlights of the Release Crop-wise Break-up Policy & Governance Announcements
Daily Current Affairs (DCA) 04&05 January, 2026
Daily Current Affairs Quiz04 & 05 January, 2026 National Affairs 1. Pradhan Mantri Matru Vandana Yojana (PMMVY) Completes 9 Years Context: Pradhan Mantri Matru Vandana Yojana, a flagship scheme of the government for pregnant women and lactating mothers, has completed nine years. Pradhan Mantri Matru Vandana Yojana (PMMVY) The Pradhan Mantri Matru Vandana Yojana (PMMVY) is a maternity benefit scheme implemented by the Government of India to provide conditional cash assistance to pregnant and lactating women for their first living child. The scheme aims to improve maternal health, nutrition, and compensate for wage loss during pregnancy and after childbirth. Key Objectives Cash Assistance Structure Total benefit: ₹5,000 (Direct Benefit Transfer – DBT) Installment Amount Condition 1st ₹1,000 Early registration of pregnancy 2nd ₹2,000 At least one antenatal check-up 3rd ₹2,000 Childbirth registered + first cycle of immunisation Additionally, eligible women also receive ₹1,000 under Janani Suraksha Yojana (JSY), making the total maternity benefit ₹6,000, as mandated under the National Food Security Act, 2013. 2. Electronics Component Manufacturing Scheme (ECMS) Source: ET Context: India is accelerating its push to strengthen domestic electronics manufacturing and reduce import dependence through targeted fiscal incentives. Key Development About the ECMS Beneficiaries Key Feature 3. Export Promotion Mission (EPM) Context: To boost exports and ease credit constraints faced by exporters—especially MSMEs—the Government has expanded the Export Promotion Mission (EPM) with additional financial support measures. Key Developments Scheme 1: Interest Subvention for Pre- and Post-Shipment Export Credit Scheme 2: Collateral Support for Export Credit 4. Rah-Veer (Good Samaritan) Scheme Source: PIB Context: The Ministry of Road Transport and Highways (MoRTH) has reiterated the protections and incentives available under the Rah-Veer (Good Samaritan) Scheme to encourage bystanders to assist road accident victims without fear of legal or procedural harassment. About Rah-Veer Rah-Veer is a Good Samaritan initiative notified under Section 134A of the Motor Vehicles (Amendment) Act, 2019, aimed at protecting citizens who help road accident victims during the Golden Hour—the critical first hour after an accident when timely medical care can save lives. Key Features 1. Legal Protection 2. Right to Anonymity 3. Limited Police Interaction 4. Hospital Safeguards 5. Recognition & Incentives 5. Olive Ridley Sea Turtles Context: With the nesting season underway, wildlife authorities have established sea turtle hatcheries along the Chennai coast to safeguard eggs and enhance hatchling survival, especially from threats like predation, artificial lighting, and human disturbance. What is it? The Olive Ridley sea turtle is among the smallest and most abundant sea turtle species, named after its olive-green, heart-shaped carapace (shell). It is globally renowned for its spectacular mass nesting phenomenon known as arribada, during which thousands of females nest simultaneously on selected beaches. Habitat and Distribution Global Range Indian Context Marine Habitat Conservation Status 6. Suryastra Rocket System – Indian Army Induction Context: The Indian Army has signed a ₹293-crore emergency procurement contract with NIBE Ltd., in collaboration with Elbit Systems, for the induction of the Suryastra rocket system—a long-range universal rocket launcher with strike capabilities of up to 300 km. About Suryastra Rocket System Suryastra is India’s first indigenous universal multi-calibre long-range rocket launcher system, designed for precision surface-to-surface strikes at 150 km and 300 km. It can integrate multiple rocket and missile types on a single launch platform, offering both saturation and precision firepower. Origin & Technology Aim of Induction 7. Indian Army to Deploy Ramjet-Powered Shells for 155 mm Artillery Context: The Indian Army is set to become the first armed force in the world to operationally deploy ramjet-powered artillery shells for its 155 mm artillery guns, marking a major leap in long-range conventional firepower. What is it? Ramjet-powered artillery shells are advanced 155 mm projectiles equipped with an air-breathing ramjet propulsion module. After being fired from a conventional artillery gun, the ramjet sustains thrust in flight, significantly extending the shell’s range without altering the gun system itself. About Ramjet Technology A ramjet is a type of air-breathing jet engine with no moving parts, designed to operate efficiently at supersonic speeds. Key advantage: Much higher efficiency and range compared to rocket-based propulsion for artillery shells. Banking/Finance 1. ‘Insurance Misselling a Significant Concern’, Says Irdai Source: ET Context: India’s insurance regulator has flagged misselling and unfair business practices as a growing concern, calling for corrective action by insurers to protect policyholders and strengthen trust in the sector. Key Findings What Is Insurance Misselling? Government’s Stand 2. RBI Eases Related-Party Lending Norms Source: FE Context: The Reserve Bank of India (RBI) has issued final guidelines on lending to related parties, easing several provisions from the draft norms and providing significant regulatory relief to banks and other regulated entities (REs). What is the decision? RBI has allowed existing related-party transactions that do not comply with the new norms to continue till their contractual maturity, subject to strict conditions. This move reduces disruption and avoids forced unwinding of legacy exposures. Key Relief Measures 1. Run-off of Existing Exposures 2. Scope Rationalisation 3. NBFC Exemptions Definition Changes for Clarity Other Important Changes Cooperative Banks All India Financial Institutions (AIFIs) Board Approval Exemptions 3. RBI Relaxes Risk-Weight Norms for NBFC Infrastructure Financing Source: FE Context: The Reserve Bank of India (RBI) has eased risk-weight norms for infrastructure lending by Non-Banking Financial Companies (NBFCs), compared with its draft framework, while issuing the final guidelines on Thursday. The move provides capital relief to lenders while retaining repayment-based safeguards to ensure prudence. What is the change? RBI has lowered the repayment thresholds required for NBFC exposures to qualify for reduced risk weights for high-quality infrastructure projects, though it has retained repayment-linked criteria, underscoring that repayments remain a key indicator of reduced project risk. Major Capital Relief: Key Changes Risk Weight Draft Norm Final Norm 75% After 5% repayment of original project debt After 2% repayment 50% After 10% repayment After 5% repayment Expanded Scope: High-Quality Infrastructure Projects RBI has partially widened the definition of high-quality infrastructure projects to include those where revenues depend on rights granted under concession or contract by: However, termination protection clauses
Daily Current Affairs (DCA) 03 January, 2026
Daily Current Affairs Quiz03 January, 2026 International Affairs 1. U.S. forces capture Maduro after strikes on Venezuela Source: TOI Context: US President Donald Trump confirmed US carried out large scale military strikes against Venzeula and captured Venezuelan President Nicolas Maduro and his wife. Venezuela Basics Neighbouring Countries of Venezuela Leadership & Politics Economy 2. Asteroid Bennu and the Origins of Life Context: New scientific studies of samples brought back from asteroid Bennu suggest that many of the fundamental chemical ingredients required for life on Earth may have originated in space, lending strong support to theories of extraterrestrial contributions to life’s emergence. Key Discovery About the Mission National Affairs 1. Indian Army Procures Suryastra Long-Range Rocket Launcher Source: TH Context: Under emergency procurement (EP) powers, the Indian Army has signed a ₹293 crore contract with NIBE Limited, in collaboration with Israel, for the supply of an advanced long-range rocket launcher system, significantly boosting India’s deep-strike artillery capabilities. About the Weapon System – Suryastra 2. ASUSE (Annual Survey of Unincorporated Sector Enterprises) Context: In a significant step towards statistical transparency and data literacy, the Ministry of Statistics and Programme Implementation has released its first-ever reader-friendly guide to help users better understand official surveys conducted in India. About Know Your Survey: A User Guide to ASUSE Objectives 3. PM Pays Tribute to Savitribai Phule Source: News on Air Context: On the birth anniversary of Savitribai Phule, the Prime Minister paid homage to her enduring legacy, recalling her lifelong commitment to education, equality, and social transformation—values that continue to shape India’s social justice discourse. About Savitribai Phule (1831–1897) Who She Was Early Life Key Contributions 4. Pro-Active Governance and Timely Implementation (PRAGATI) Context: Following the 50th review meeting of PRAGATI, the Cabinet Secretary highlighted that land acquisition has emerged as the single largest cause of infrastructure project delays, accounting for around 35% of stalled or delayed projects. This underscores persistent Centre–State and inter-departmental coordination challenges in India’s infrastructure push. About Pro-Active Governance and Timely Implementation (PRAGATI) What it is Launched Objectives 5. Cetacean Morbillivirus Detected in Arctic Waters Source: IE Context: Scientists have, for the first time, detected cetacean morbillivirus (CeMV) in Arctic waters, using drones to collect whale breath (blow) samples. This marks a major advance in non-invasive wildlife disease surveillance and signals changing disease dynamics in polar ecosystems. About Cetacean Morbillivirus (CeMV) What it is Where it is found Origin 6. Electronics Components Manufacturing Scheme (ECMS) Context: The Ministry of Electronics and Information Technology has approved 22 additional projects under the Electronics Components Manufacturing Scheme (ECMS), involving a fresh investment of ₹41,863 crore. This marks a major push to deepen India’s electronics manufacturing ecosystem beyond final assembly. About the Electronics Components Manufacturing Scheme (ECMS) What it is Nodal Ministry Launch & Outlay Tenure 7. Skilling for AI Readiness (SOAR) Context: On January 1, 2026, the Droupadi Murmu launched a series of initiatives under Skilling for AI Readiness (SOAR)—a key pillar of the Skill India Mission—at an event organised by the Ministry of Skill Development and Entrepreneurship at the Rashtrapati Bhavan Cultural Centre. Key Launches & Announcements 1. #SkillTheNation Challenge 2. IGNOU Centre at Rairangpur, Odisha 3. Conferment of AI Certificates About Skilling for AI Readiness (SOAR) Learning Model & Partnerships Aims & Significance 8. MoSPI Launches New Logo & Mascot ‘Sankhyiki’ Source: PIB Context: On 1 January 2026, the Ministry of Statistics and Programme Implementation (MoSPI) unveiled its new logo and official mascot ‘Sankhyiki’ in New Delhi, signalling a renewed effort to modernise its institutional identity and strengthen public engagement with official statistics. Key Highlights Objectives of the Initiative 9. India’s Silk Value Chain to Cross ₹1.1 Lakh Crore by 2030 Context: India is aiming to significantly scale up its sericulture sector, positioning silk as a high-value agricultural and export commodity through productivity enhancement, technological adoption, and wider geographical spread. Key Announcement Central Silk Board (CSB) What it is Established Headquarters Government Initiatives Banking/Finance 1. Government Rolls Out ₹7,300 crore Schemes to Ease MSME Financing Source: BS Context: To improve access to affordable credit for export-oriented MSMEs, the government has rolled out new credit-linked support schemes, aimed at strengthening liquidity, boosting exports, and enhancing bank lending. Key Announcement Scheme 1: Collateral Support for Export Credit Scheme 2: Credit Support under Export Promotion Framework 2. Government Panel Reviews Foreign Banks’ Plans to Open Branches in India Source: BS Context: India is reviewing proposals from foreign banks to expand their presence amid a calibrated liberalisation of the financial sector and evolving FDI and trade commitments. About the IDC Mechanism Eligibility to Become a Foreign Bank in India Foreign banks are permitted to operate in India under a regulated and calibrated framework to balance financial openness with systemic stability. The entire process is governed by the Reserve Bank of India (RBI) in consultation with the Government of India. Who qualifies as a foreign bank? A foreign bank is a banking institution that: Capital Requirements Modes of Entry into India Foreign banks can operate in India through three routes: 3. SEBI Working on Technology Road Map for Stock Exchanges & MIIs Source: BS Context: With capital markets becoming more complex and technology-driven, the market regulator is stepping up efforts to future-proof India’s market infrastructure institutions (MIIs). Key Development About the Technology Road Map Focus Areas Highlighted by SEBI AI-Driven Regulatory Initiatives SEBI has already deployed or is developing several artificial intelligence (AI) tools: Sensex at 40: Broader Perspective Agriculture 1. India Surpasses China to Become the World’s Largest Rice Producer Source: TOI Context: India has overtaken China to rank No. 1 globally in rice production, reflecting sustained gains from improved irrigation, high-yielding varieties, and supportive procurement policies. Global Status State-wise Rice Production (2023–24) (As per Economic Survey, Statistical Appendix) Rank State Production Share 1 Telangana 16.63 MT ~12.17% 2 Uttar Pradesh 15.72 MT ~11.50% 3 West Bengal 15.12 MT ~11.06% Other major rice-producing states:Andhra Pradesh, Punjab, Odisha, Bihar, Chhattisgarh, Tamil Nadu, Assam. Geographical Features of Rice Production in India 1. Climate Belt 2. Water Geography
KYC Rules Eased for Company Directors
Context: The Ministry of Corporate Affairs (MCA) has announced a major compliance relief for company directors, allowing them to file their Know Your Customer (KYC) details once every three years instead of annually.The relaxed norms will come into effect from March 31. What Has Changed? This move significantly reduces the regulatory and compliance burden for hundreds of thousands of directors. What is KYC? Know Your Customer (KYC) is a regulatory process through which financial institutions verify the identity, address, and financial profile of customers before or while providing services. It aims to prevent money laundering, terrorist financing, fraud, and identity theft. Who mandates KYC in India? What is CKYC? Central Know Your Customer (CKYC) is a centralised KYC system in India that allows a customer to complete KYC once and use it across multiple financial institutions. Who manages CKYC?
Climate-Resilient Agriculture (CRA)
Source: TH Context: India’s food system stands at a crossroads. Climate change is no longer a distant risk—it is already reshaping farming through erratic rainfall, frequent heatwaves, declining soil health, water stress, and rising pest pressures. For a country that must feed a rapidly growing population, sustaining agricultural productivity under these conditions requires a fundamental shift. This is where Climate-Resilient Agriculture (CRA) becomes essential. What Is Climate-Resilient Agriculture? Climate-resilient agriculture refers to farming systems that anticipate, absorb, and adapt to climate shocks, while maintaining or improving productivity and environmental sustainability. CRA integrates: The goal is not just climate adaptation, but productive, low-input, and knowledge-intensive agriculture. Why India Specifically Needs CRA CRA offers India a pathway to protect yields, reduce ecological damage, and stabilise farm incomes in a warming world. Where Does India Stand Today? Institutional Efforts Policy & Market Developments Key Gaps and Risks Despite progress, scaling CRA faces serious constraints: Without addressing these, climate impacts may outpace adaptation efforts. The Way Forward: Why a National CRA Roadmap Is Needed India now needs a coherent, integrated national roadmap for climate-resilient agriculture, rather than isolated schemes. Key priorities include:
Government’s New Seed Push to Revive Cotton and Boost Farm Productivity
Source: Mint Context: On January 1, 2026, the Government of India unveiled a major agricultural productivity drive by releasing around 185 new high-yielding seed varieties and hybrids across a wide range of crops. The move aims to improve seed quality, raise farm productivity, and strengthen food security, with a special focus on reviving cotton yields. What Has Been Announced? Key Feature India remains the world’s second-largest cotton producer, after China, but has faced stagnant yields, pest pressures, and rising cultivation costs in recent years. What are Bt-II hybrids? Bt-II hybrids are genetically modified (GM) cotton hybrids that contain two insect-resistant genes (Cry1Ac and Cry2Ab) derived from the bacterium Bacillus thuringiensis (Bt). These genes enable the cotton plant to produce toxins that kill bollworm pests, especially the American bollworm. Why Bt-II? (Bt-I vs Bt-II)
