Daily Current Affairs Quiz12 December, 2025 National Affairs 1. Working Paper on Generative AI & Copyright Source: IE Context: The Government of India released a Working Paper on Generative AI & Copyright, introducing the country’s first structured framework for regulating AI training on copyrighted works. The model aims to balance creator rights with AI innovation, addressing disputes such as ANI vs OpenAI (Delhi HC, 2024–25) over unauthorized use of Indian content. Key Issues Identified Objectives of the Framework Key Recommendations 2. Deepavali Inscribed on UNESCO’s Intangible Cultural Heritage of Humanity Source: News on Air Context: Deepavali, India’s festival of lights, has been officially inscribed on UNESCO’s Representative List of the Intangible Cultural Heritage of Humanity during the 20th Session of the Intergovernmental Committee held in New Delhi. The recognition highlights the festival’s cultural significance, social practices, and global reach. About Intangible Cultural Heritage (ICH) Living traditions, expressions, rituals, performing arts, craftsmanship, and knowledge systems recognised by communities as part of their cultural identity. Background: Objectives: Features of the ICH Framework: 3. Shilp Didi Programme Source: PIB Context: The Union Textiles Secretary announced that the Shilp Didi Programme, a government initiative to empower women artisans, has significantly increased their incomes, with some participants earning over ₹5 lakh annually. The scheme combines skill development, digital training, and market access to strengthen financial independence for women in the handicrafts sector. About the Programme Objective: Key Features Science & Tech 1. Europe Launches World’s Largest Planetary-Defense Drill on 3I/ATLAS Source: ET Context: Europe has initiated the largest-ever planetary-defense simulation, focused on tracking the fast-approaching object 3I/ATLAS. The exercise is a global collaboration testing the detection, tracking, and response mechanisms for near-Earth threats. Purpose of the Drill Key Features Banking/Finance 1. Is the Falling Rupee a Cause for Alarm? Source: TH Context: The Indian rupee recently depreciated beyond ₹90 per US dollar, sparking political debate and public concern. Economists Madan Sabnavis and Ranen Banerjee assess whether this decline signals deeper economic issues or is a short-term market phenomenon. Why Is the Rupee Falling? The depreciation stems from a combination of fundamental and sentiment-driven factors: Insight: The rupee’s movement reflects forex market demand–supply pressures, not a collapse in confidence. Does a Falling Rupee Signal Economic Weakness? No. Key macro fundamentals remain strong: Conclusion: The depreciation is largely sentiment-driven and transient, not a sign of structural weakness. Potential Benefits and Drawbacks of a Weaker Rupee Benefits: Drawbacks: Net Impact: Mixed effects across sectors; overall neutral to mildly positive. Should India Be Alarmed? Consensus among economists: No immediate cause for alarm. 2. Rural Demand Revival as Incomes Rise: NABARD Survey Source: TOI Context: The eighth round of NABARD’s Rural Economic Conditions and Sentiments Survey (RECSS), presents the clearest evidence of a broad-based revival in rural demand, rising incomes and improved household well-being over the past year. RECSS is a high-frequency, bi-monthly assessment being conducted by NABARD since September 2024. Key Findings: Strong Consumption Growth Driven by Real Purchasing Power Income Growth at Record High Levels Rural Investment Activity Gains Momentum Formal Credit Access Reaches New High Welfare Transfers Support Demand Without Dependency Inflation Perceptions at One-Year Low Improved Loan Repayment Capacity Positive Feedback on Rural Infrastructure & Services High satisfaction reported in: About NABARD’s RECSS 3. RBI Eases Rules on Current, CC and OD Accounts Source: ET Context: The Reserve Bank of India (RBI) has relaxed its framework governing the opening and operation of current accounts (CA) and overdraft (OD) accounts, reducing restrictions that earlier tied businesses closely to their lending banks. The revised norms aim to improve operational flexibility for companies while maintaining safeguards against diversion of funds. Comparison: Current Account vs Cash Credit vs Overdraft Aspect Current Account (CA) Cash Credit (CC) Account Overdraft (OD) Account Nature Deposit account Working capital loan facility Short-term credit facility Primary Purpose Routine business transactions Financing day-to-day operational expenses Meeting short-term liquidity gaps Interest on Balance No interest paid Not applicable Not applicable Interest Charged Not applicable Charged only on utilised amount Charged only on overdrawn amount Withdrawals Unlimited Up to sanctioned credit limit Beyond balance up to approved limit Credit Limit Not applicable Sanctioned based on stock, receivables, or drawing power Sanctioned limit based on creditworthiness or security Revolving Nature Not applicable Yes, repaid amount can be reborrowed Yes Linkage Base account for business operations Usually linked to CA Linked to CA or Savings Account Security Not required Generally secured (inventory, receivables) Can be secured or unsecured Cost of Credit Not applicable Lower than OD Generally higher than CC Typical Users Businesses, firms, institutions Manufacturing, trading, MSMEs Businesses and individuals Common Uses Payments, receipts, settlements Inventory purchase, wages, operating costs Temporary cash flow mismatches Key Changes Announced: Higher Loan Threshold for Restrictions Cash Credit Accounts Unrestricted Wider Choice of Banks Rules for Large Borrowers (₹10 crore and above) Non-Lending Banks and Collection Accounts Background: Why the Change Matters Exempted Accounts Certain accounts remain outside these restrictions, including: 4. SEBI Notifies Leadership and Governance Framework for Market Infrastructure Institutions (MIIs) Source: Mint Context: The Securities and Exchange Board of India (SEBI) has formalised a comprehensive framework to restructure leadership, reporting lines and governance responsibilities across Market Infrastructure Institutions (MIIs), including stock exchanges, clearing corporations and depositories. The changes aim to strengthen regulatory oversight, risk management and operational resilience. Key Objectives Major Structural Changes 1. Mandatory Appointment of Two Executive Directors (EDs) MIIs must appoint: Both EDs: 2. Transparent Appointment Process 3. Oversight by Public Interest Directors (PIDs) Revised Reporting and Oversight Structure Executive Reporting Independent Committee Interactions Facts To Remember 1. Axis AMC to Launch Third Private Credit Fund 2. India’s Retail Inflation Rises to 0.71% in November India’s retail inflation rose to 0.71 per cent in November this year on an annual basis, up from a record low of 0.25 per cent recorded in October. 3. Sudha Murty Inaugurates ‘Craftkatha 2025’ to Celebrate India’s Handicraft Heritage Rajya Sabha MP, Sudha Murty, today inaugurated “Craftkatha – 2025”, an exhibition showcasing artisans from across India, as part of the National

Daily Current Affairs Quiz11 December, 2025 International Affairs 1. UNESCO Safeguards Pakistan’s Boreendo Source: HT Context: A clay flute tradition from Pakistan’s Sindh region – with echoes stretching back to the Indus Valley and faint parallels in Gujarat – became the early focal point of the 20th session of UNESCO’s Intergovernmental Committee for Safeguarding Intangible Cultural Heritage. Boreendo at a Glance National Affairs 1. World Inequality Report 2026 Source: IE Context: The World Inequality Report 2026, released by the World Inequality Lab and edited by Lucas Chancel, Ricardo Gómez-Carrera, Rowaida Moshrif and Thomas Piketty, highlights worsening income, wealth, gender and climate inequality across the world.The report draws on research by over 200 global scholars and follows earlier editions published in 2018 and 2022. Income Inequality in India Comparison with 2022 report Wealth Inequality in India Average levels (PPP terms) Gender Inequality in India Global Inequality Extreme Wealth Concentration Global Distribution of Wealth Shifting Global Income Positions (1980–2025) Gender Inequality (Global) Climate Inequality Policy Concerns Highlighted Failure of Tax Systems Recommended Policy Responses 2. India and Brunei Launch First Defence Joint Working Group Source: TH Context: India and Brunei Darussalam held the inaugural meeting of the Joint Working Group (JWG) on Defence Cooperation in New Delhi on 9 December 2025. This marks a milestone in bilateral defence relations, providing a structured platform to coordinate and deepen security and defence ties. Areas of Cooperation Strategic Importance 3. Annual Survey of Unincorporated Sector Enterprises (ASUSE) 2026 Source: PIB Context: The Ministry of Statistics and Programme Implementation (MoSPI) has released the draft questionnaire for the Annual Survey of Unincorporated Sector Enterprises (ASUSE) 2026. The survey aims to capture critical data on the health and dynamics of unincorporated, non-agricultural enterprises across India. Key Features of ASUSE Objectives of ASUSE 2026 4. India Launches First Indigenous Hydrogen Fuel Cell Vessel in Varanasi Source: TH Context: On 11 December 2025, Union Minister Sarbananda Sonowal inaugurated India’s first fully indigenous hydrogen fuel-cell vessel at Namo Ghat, Varanasi. The vessel is a pilot project by Cochin Shipyard Limited (CSL) aimed at promoting clean energy in inland water transport and advancing India’s net-zero emission goals. Key Features: 5. CITES Marks 50 Years at CoP20 in Samarkand About CITES CoP20(Samarkand, Uzbekistan, 2025) Major Outcomes 6. ISRO to Launch US Commercial Satellite BlueBird-6 Source: TOI Context: In a major boost to Indo-US space collaboration, the Indian Space Research Organisation (ISRO) is set to launch its heaviest American commercial satellite, BlueBird-6, on December 15, 2025, from the Sriharikota spaceport. The launch vehicle LVM3 (Bahubali) will place the 6.5-tonne satellite into low-Earth orbit (LEO). Key Highlights About BlueBird-6 Banking/Finance 1. ADB Raises India’s FY26 Growth Forecast to 7.2% Source: TOI Context: The Asian Development Bank (ADB) raised India’s GDP growth forecast for FY26 to 7.2%, up 70 basis points from its earlier estimate of 6.5%, citing strong domestic consumption supported by recent tax cuts. The growth projection for FY27 remains unchanged at 6.5%. Key Highlights: FY26 Growth Forecast Comparisons Institution Earlier Forecast (%) Revised Forecast (%) ADB 6.5 7.2 Fitch 6.9 7.4 Crisil 6.5 7.0 SBI Research 6.3 7.6 CareEdge 6.9 7.5 IDFC Bank 6.8 7.6 Kotak Mahindra 6.5 7.8 2. RBI Talks to Banks on Uniform Fee Disclosure and Removal of Overlaps Source: ET Context: The Reserve Bank of India (RBI) has initiated discussions with authorised banks to ensure uniform disclosure of fees and to address overlaps in retail foreign exchange (forex) services. This move aims to enhance transparency for retail users in transactions involving forex cash, tom (next-day settlement) and spot contracts. Key Highlights: Previous Norms Proposed Measures 3. PFRDA Expands Investment Universe for Pension Funds Source: BS Context: The Pension Fund Regulatory and Development Authority (PFRDA) has revised investment norms for private pension funds, allowing broader diversification to optimize returns. The changes came into effect immediately with the circular issued on December 10, 2025. Previous Norms Key Changes Implications 4. RBI Likely to Maintain Repo Rate at 5.25% Through FY27: Fitch Source: ET Context: The Reserve Bank of India is expected to keep its policy repo rate unchanged at 5.25% through the next fiscal year after a 25-basis-point cut earlier this month, according to BMI, part of Fitch Solutions. Key Highlights: Economic Rationale Risks and Considerations 5. SEBI Plans Consolidated Financial Asset Statement Source: Mint Context: The Securities and Exchange Board of India (SEBI) is exploring the creation of a consolidated statement of all financial assets of an individual, in collaboration with other financial sector regulators. The move is aimed at simplifying access to investment information and empowering households with a holistic view of their financial holdings. Key Highlights: 6. SEBI Eases Re-KYC Process for NRIs Source: Mint Context: The Securities and Exchange Board of India (SEBI) has relaxed the re-KYC process for Non-Resident Indians (NRIs), making it easier for them to update their KYC details without being physically present in India. Key Highlights: 7. RBI Urges MFIs to Diversify Asset Classes for Stability Source: ET Context: The Reserve Bank of India (RBI) has called on microfinance institutions (MFIs) to expand their lending beyond the traditional joint liability group (JLG) model, in order to strengthen financial stability and enhance contribution to the economy. This was highlighted at a seminar in Kolkata organized by the Association of Microfinance Institutions (AMFI)-West Bengal, where senior RBI officials and industry experts discussed the future of MFI lending. Key Recommendations 8. RBI Proposes Full Disclosure of Forex Transaction Costs for Retail Users Context: The Reserve Bank of India (RBI) has issued a draft circular requiring banks and authorised dealers to provide complete disclosure of all fees and charges for retail foreign exchange (forex) transactions. The objective is to improve transparency and enable informed decision-making by individual customers. Scope Current Scenario Proposed Change 9. Banks Increase Borrowing via Certificates of Deposit Source: BS Context: Indian banks have stepped up borrowing through certificates of deposit (CDs) as deposit growth lags behind rising credit demand. In the fortnight ended November 28, 2025, banks raised nearly ₹ 78,000 crore