May 2025 — exam-ready facts

Shenzhou-19 Crew Returns After Record Mission

• Chen Dong (46) – veteran commander and first Chinese astronaut with over 200 cumulative days in orbit.
• Chen Zhongrui (40) – former air force pilot, first spaceflight.
• Wang Jie (35) – former space tech engineer, first spaceflight.
• Three Chinese astronauts Cai Xuzhe, Song Lingdong, and Wang Haoze returned to Earth on April 30, 2025, after a six-month mission aboard the Tiangong space station. The landing occurred in Inner Mongolia, and state media confirmed all crew members were in “good health”. The return was delayed by a day due to bad weather at the Dongfeng landing site.

India’s Diplomatic Efforts Amidst the Pahalgam Terror Attack

• The 2010 Strategic Partnership agreement which shifted Saudi Arabia’s stance on terrorism.
• India’s relationship with the UAE has witnessed significant transformation, especially since the Strategic Partnership signed in 2017.
• The joint statement from Saudi Arabia and India condemned the attack strongly, marking the strongest language used in such condemnations. This is seen as a culmination of the strategic partnership between India and Saudi Arabia that began with: The 2006 India-KSA Delhi Declaration. The 2010 Strategic Partnership agreement which shifted Saudi Arabia’s stance on terrorism.
• The 2006 India-KSA Delhi Declaration.

India-UK FTA Talks Resume

• Union Commerce Minister Piyush Goyal met UK Trade Secretary Jonathan Reynolds in an unscheduled resumption of Free Trade Agreement (FTA) talks in London. Goyal’s return follows an earlier two-day visit this week that ended without a final deal. Negotiations began in January 2022, post-Brexit, but faced delays due to frequent changes in British leadership. The new Labour government has accelerated the process.
• A successful FTA would boost bilateral trade, provide duty benefits, and offer legal protection for investors.

EU Willing to Reengage with India on WTO ICT Tariff Dispute

• Nature of Dispute: India imposed customs duties on ICT goods including mobile phones, components, and handsets — gradually implemented since 2014.
• WTO Ruling (April 2023): WTO’s Dispute Settlement Body ruled in favor of the EU, asking India to remove these duties.
• Trade Impact: Tariffs affect EU exporters of ICT goods, including electronics and telecom equipment manufacturers.
• India claims the products in question do not fall under the ITA-1 agreement.

India-UK Sign Historic Free Trade Agreement (FTA)

• Zero-duty access for 99% of Indian exports to the UK.
• Tariffs on whisky and gin will fall from 150% → 75%, then to 40% in 10 years.
• Auto tariffs reduced from 100%+ to 10% under a quota system.
• Could lead to 20% savings on employee salaries, a longstanding Indian demand.

IMO’s Draft Net-Zero Framework

• Coverage: Targets ships over 5,000 GT (gross tonnage), which are responsible for 85% of maritime CO₂ emissions.
• Targets ships over 5,000 GT (gross tonnage), which are responsible for 85% of maritime CO₂ emissions.
• Climate Alignment: Supports the Paris Agreement goals and the 2023 IMO Strategy.
• Supports the Paris Agreement goals and the 2023 IMO Strategy.

The Lancet Report on Sexual Violence Against Children

• Punishments: The Act prescribes punishments based on the gravity of the offence. It was amended in 2019 to include stricter penalties, including the death penalty for committing sexual crimes on children, aiming to deter perpetrators.
• The Act prescribes punishments based on the gravity of the offence. It was amended in 2019 to include stricter penalties, including the death penalty for committing sexual crimes on children, aiming to deter perpetrators.
• Global Average (2023): 18.9% of females and 14.8% of males worldwide have experienced childhood sexual abuse.
• Definition of a Child: The Act defines a child as any person below the age of 18 years.

U.S.-China Agree to 90-Day Tariff Truce

• China's Commerce Ministry stated that 91% of tariffs will be cancelled, with another 24% suspended for 90 days.
• U.S. to reduce its tariff on Chinese goods from 145% to 30% (a 115 percentage point cut).
• China to reduce its tariff on U.S. goods from 125% to 10% (matching 115 percentage point cut).
• US Tariff on Chinese Imports: 30% Includes a 10% base tariff + 20% extra due to fentanyl-related concerns

IMF Disburses $1 Billion to Pakistan Under Extended Fund Facility (EFF)

• Tenure: Extended (usually 3+ years) with longer repayment timelines
• The IMF Executive Board approved a $1 billion immediate disbursement
• Objective: Supports medium-term structural reforms, such as: Tax system overhaul Inflation control Fiscal deficit reduction
• Disbursement: In phases (tranches) based on IMF policy review of reform progress

India–U.S.–Pakistan Relations

• Ministry of External Affairs (MEA) has repeatedly rebutted the U.S. claim: Ceasefire was a bilateral decision between Directors General of Military Operations (DGMO) through the hotline. Pakistan requested a halt to hostilities 3 days after Operation Sindoor began. India agreed after strikes on Pakistani bases shifted ground reality.
• U.S. President claimed credit for mediating the May 10 ceasefire between India and Pakistan, claiming to have averted a potential "nuclear conflict".
• Ceasefire was a bilateral decision between Directors General of Military Operations (DGMO) through the hotline.
• Pakistan requested a halt to hostilities 3 days after Operation Sindoor began.

IMF to Release $1.3 Billion to Bangladesh After Fourth Loan Review

• Established: 22 July 1944
• The International Monetary Fund (IMF) will disburse $1.3 billion to Bangladesh in June 2025 after the completion of the fourth review of its $4.7 billion loan program.
• Headquarters: Washington, D.C., USA
• Membership: 191 countries (190 UN member states + Kosovo)

WHO Member States Adopt Historic Pandemic Agreement at 78th World Health Assembly

• Aims to: Make the world safer against future pandemics. Ensure no repetition of the socio-economic losses endured during COVID-19. Promote equity and solidarity in global health emergency responses.
• Ensure no repetition of the socio-economic losses endured during COVID-19.

China-Pakistan Economic Corridor (CPEC)

• Launched: 2013
• Trilateral Foreign Ministers’ Meeting: The announcement followed a meeting in Beijing among: Chinese Foreign Minister Wang Yi, Pakistan’s Foreign Minister Ishaq Dar, Afghanistan’s Acting Foreign Minister Amir Khan Muttaqi.
• CPEC strengthens China’s “String of Pearls” strategy — building naval and commercial bases across the IOR: Gwadar (Pakistan) Hambantota (Sri Lanka) Chittagong (Bangladesh) Others: Maldives, Seychelles, Port Sudan
• Others: Maldives, Seychelles, Port Sudan

India to Push for Pakistan’s Re-inclusion in FATF Grey List

• FATF Grey List Push: India plans to submit a dossier to the Financial Action Task Force (FATF) ahead of its June 2025 plenary, urging the re-inclusion of Pakistan in the ‘grey list’ due to its non-compliance with anti-terror financing regulations.
• India plans to submit a dossier to the Financial Action Task Force (FATF) ahead of its June 2025 plenary, urging the re-inclusion of Pakistan in the ‘grey list’ due to its non-compliance with anti-terror financing regulations.
• The Financial Action Task Force (FATF) is a global watchdog that monitors countries on issues related to money laundering and terror financing. Pakistan was placed on the FATF grey list in 2018 and removed in October 2022, conditional upon implementing a robust legal and enforcement framework, including an anti-terror law.
• Current Blacklisted Countries (as of 2025):

Key Differences

EU’s Carbon Border Tariff

• The original proposal targeted around 200,000 importers who would have paid the levy starting next year.
• Under the revised plan, only companies importing more than 50 metric tons per year of goods like steel, cement, aluminium, and fertilizers will be subject to the levy.
• This replaces earlier rules that applied to all importers with goods valued over 150 euros (~$170).
• European Union (EU) countries have agreed to significantly scale back the EU’s carbon border levy. The tariff will now cover only about 10% of firms previously targeted under the scheme. These 10% of companies account for over 99% of the emissions covered by the policy.

Japan Loses Status as World’s Largest Creditor Nation to Germany in 2024

• Japan lost its position as the world’s largest creditor nation for the first time in 34 years. Germany surpassed Japan with net external assets of 569.7 trillion yen compared to Japan’s 533.05 trillion yen at the end of 2024.
• Japan’s net external assets grew by about 13% from the previous year, marking an all-time high despite losing the top spot.
• Japan held the top position since 1991 after overtaking Germany.
• Germany’s rise is due to a substantial current account surplus of 248.7 billion euros in 2024, supported by strong trade performance.

Interpol Issues First-Ever Silver Notice (2025)

• A new Interpol colour-coded alert introduced in January 2025.
• First Silver Notice issued globally was at the request of India.
• Shared with 195 Interpol member nations to enable: Real-time asset tracing Freezing, seizure, or confiscation under national laws Cross-border cooperation on financial investigations
• Pilot Phase Protocols (Till Nov 2025)

Catastrophic Glacier Collapse: Climate Change

• In 2023, the country experienced a 4% reduction in glacier volume, marking the second-largest annual decline after a 6% loss in 2022.
• Rising Global Temperatures: The eastern Himalayas are warming at a rate faster than the global average, approximately 0.1°–0.8°C per decade, accelerating ice melt.
• Anthropogenic Activities: Human activities like deforestation, infrastructure development, and tourism contribute to local warming around glaciers.
• Glacial Lake Outburst Floods (GLOFs): Melting glaciers form lakes whose rising water levels can trigger catastrophic floods downstream.

Union Cabinet Approves Caste Census

• The last full caste-based Census was conducted in 1931 during British rule.
• The 2011 Socio-Economic Caste Census (SECC) was conducted separately and lacked legal mandate or comprehensive caste disclosure.
• The 2021 Census, initially delayed due to the COVID-19 pandemic, has not yet been officially rescheduled.
• The upcoming Census will be conducted digitally for the first time.

India Suspends Indus Waters Treaty

• In response to a terrorist attack in Jammu & Kashmir (Pahalgam), India’s Cabinet Committee on Security announced the suspension of the 1960 Indus Waters Treaty (IWT) with Pakistan. India demands Pakistan “credibly and irrevocably abjure cross-border terrorism” for the treaty to be reinstated. Legally, the IWT has no exit clause, it can only be terminated through mutual agreement, as per Article XII(4).
• India’s move may: Influence China to withhold hydro data or cooperation on Sutlej and Brahmaputra rivers. Impact the renewal of the Ganga Water Treaty with Bangladesh (expiring 2026). Strain water-sharing relations with Nepal and affect Sri Lanka’s willingness to sign future treaties with India. Harm India’s regional image as a responsible upper riparian nation.
• Impact the renewal of the Ganga Water Treaty with Bangladesh (expiring 2026).
• India may seek justification under Articles 60 and 62 of the Vienna Convention on the Law of Treaties (VCLT), though it is not a signatory, and Pakistan has not ratified it.

Vembanad Lake

• Surface area reduced by 27% between 1917 and 1990 (cited by multiple studies).
• Fish catch down by 66% over three decades due to eutrophication and habitat degradation.
• Backed by ₹188.25 crore five-year plan, submitted to CM Pinarayi Vijayan.
• Guided by 8 subcommittees covering agriculture, fisheries, sanitation, biodiversity, climate change, and more.

Supreme Court Declares Digital Access a Fundamental Right

• The judgment was delivered in response to petitions filed by acid attack survivors led by Pragya Prasun, and Amar Jain, a visually challenged petitioner.
• They highlighted the barriers faced in completing digital KYC processes, which rely heavily on visual input and are inaccessible to PwDs.
• It observed that the “unfriendly digital atmosphere” further isolates rather than empowers these citizens.
• True digital inclusion means removing practical barriers in access and ensuring equity in outcomes.

Centre Considers Revising EV Charging Infrastructure Costs Under PM E-Drive Scheme

• Public charging stations planned under the scheme: 48,400 for two- and three-wheelers 22,100 for electric cars 1,800 for electric buses and trucks
• Current benchmark costs: ₹1.5 lakh for two- and three-wheeler chargers ₹6 lakh for car chargers ₹24 lakh for bus and truck chargers
• ₹1.5 lakh for two- and three-wheeler chargers
• ₹6 lakh for car chargers

PM Modi to Inaugurate WAVES 2025 Summit

• Prime Minister Narendra Modi will inaugurate WAVES 2025 (World Audio Visual and Entertainment Summit) at the Jio World Centre, Mumbai, , May 1 2025. This four-day summit is the first of its kind organized by the Government of India, highlighting India’s ambition to be a global media and entertainment powerhouse
• WAVES 2025 is positioned as a strategic platform for global collaboration, creativity, and innovation in the entertainment sector
• Over 100 leading exhibitors will participate, including global giants: Netflix, Amazon, Google, Meta, Sony, Reliance, Adobe Indian players: Tata, Balaji Telefilms, Dharma Productions, Saregama, Yash Raj Films Innovators like JetSynthesys, Digital Radio Mondiale (DRM), Free Stream Technologies, Neural Garage, and Fractal Picture
• Indian players: Tata, Balaji Telefilms, Dharma Productions, Saregama, Yash Raj Films

PM Modi Dedicates Vizhinjam International Seaport

• 75% of India’s transshipment cargo is currently handled by foreign ports, leading to annual revenue losses of $200–220 million

Private Member’s Bills in India

• Tiruchi Siva’s ‘Rights of Transgender Persons Bill’ (2014): Became the first PMB in four decades to pass the Rajya Sabha and laid the foundation for the Transgender Persons (Protection of Rights) Act, 2019.
• Supriya Sule’s ‘Right to Disconnect’ Bill (2019): Proposed the legal right for employees to disengage from work after hours. Though it did not proceed, it sparked important conversations on work-life balance and mental health.
• PMBs offer a platform for MPs to address societal issues and reflect public needs: Supriya Sule’s ‘Right to Disconnect’ Bill (2019): Proposed the legal right for employees to disengage from work after hours. Though it did not proceed, it sparked important conversations on work-life balance and mental health. Tiruchi Siva’s ‘Rights of Transgender Persons Bill’ (2014): Became the first PMB in four decades to pass the Rajya Sabha and laid the foundation for the Transgender Persons (Protection of Rights) Act, 2019. Gopal Chinayya Shetty’s Bill (BJP): Suggested free medical and healthcare facilities for senior citizens in government and private hospitals, showcasing MPs’ ability to act on constituency concerns.
• The 17th Lok Sabha (2019-24) saw 729 PMBs introduced in the Lok Sabha and 705 in the Rajya Sabha, but very few were discussed.

India's Suspension of the Indus Waters Treaty (IWT)

• Pakistan’s Dependence on Water: Over 80% of Pakistan’s agriculture and about a third of its hydropower generation depend on the waters of the Indus Basin. Any disruption in water flow from the western rivers could have severe consequences.
• Over 80% of Pakistan’s agriculture and about a third of its hydropower generation depend on the waters of the Indus Basin. Any disruption in water flow from the western rivers could have severe consequences.
• The 1960 IWT allocates control over the waters of the six rivers of the Indus River System: India’s rights: Unrestricted access to the eastern rivers — Ravi, Beas, and Sutlej. Pakistan’s rights: Exclusive control over the western rivers — Indus, Jhelum, and Chenab, with limited access for India for non-consumptive uses.
• India’s rights: Unrestricted access to the eastern rivers — Ravi, Beas, and Sutlej.

Vizhinjam Port

• Natural Depth: Nearly 20-metre deep draft makes it ideal for handling large container ships.

PM Modi Launches ₹58,000-Crore Projects in Andhra Pradesh

• National Highways & Railways: Over ₹9,000 crore allocated to railway projects, with broad emphasis on inter-state connectivity.
• Amaravati Revived: Modi restarted the stalled capital city works at Amaravati, originally launched by him in 2015 under the TDP regime.
• PM Narendra Modi laid the foundation stone and inaugurated infrastructure works worth ₹58,000 crore in Andhra Pradesh. Ceremony held near the Secretariat in Guntur district, with virtual participation for select projects.
• River Linking Support: Backing extended for Polavaram project, aimed at harnessing Godavari and Krishna rivers for irrigation and water supply.

Global Media Dialogue 2025

• Event: Global Media Dialogue 2025
• Hosted by: India; attended by delegates from 60+ countries
• Promote cultural diversity, local storytelling, and cross-border media collaboration
• Reimagine global discourse beyond colonial-era structures and great power dominance

India Imposes Comprehensive Ban on Imports, Postal Links, and Port Access for Pakistan

• The ban is effective immediately and will remain in place until further orders.
• India has implemented a severe visa crackdown on Pakistani nationals in phases since April 23, culminating in near-total suspension of non-official travel.
• The restrictions come in the aftermath of the April 22 terror attack in Pahalgam, Jammu & Kashmir, which claimed 26 lives.
• These measures represent India’s most stringent non-military response to Pakistan in recent years.

India-France Rafale-M Deal

• Procurement includes: 22 single-seater Rafale-Ms 4 twin-seater trainer versions
• 4 twin-seater trainer versions
• Package includes training, simulators, weapons, associated equipment, and 5-year performance-based logistics (PBL).
• Deal value: ~₹64,000 crore (includes support equipment for existing IAF Rafales).

Global Vaccine Coverage Decline Raises Alarms as Preventable Diseases Re-emerge

• As per NFHS-5 (2019–21), India’s full immunisation coverage is 76.1% — meaning 1 in 4 children still miss essential vaccines
• Gavi’s June 25, 2025 pledging summit seeks to raise $9 billion to: Protect 500 million children Save at least 8 million lives between 2026–2030
• WHO’s survey of 108 countries (mainly low/lower-middle income) found: Nearly 50% face moderate to severe disruptions in immunisation campaigns Over half have weakened disease surveillance systems
• Nearly 50% face moderate to severe disruptions in immunisation campaigns

Discovery of Prehistoric Workshop in Haryana’s Mangar Bani

• The discovery was made in Mangar Bani, situated between Manesar and Faridabad, Haryana Hidden within the Aravalli hills, the site contains evidence of early human civilization dating back 500,000 years
• The Lower Palaeolithic artefacts discovered at the site offer insights into the tools and lifestyle of our ancient ancestors
• The Acheulean culture is known for distinctive hand axes and cleavers, marking a crucial period in human evolution
• This discovery could influence future archaeological surveys and deepen our understanding of ancient human activity in the Indian subcontinent

Escalating Geopolitical Tensions Pose Risks for Pakistan’s Economy, Moody’s Analysis

• India suspended the Indus Waters Treaty of 1960 following a terror attack in Pahalgam in April 2025.
• Moody’s projects India’s GDP growth in the range of 5.5% to 6.5% for 2025.
• Pakistan’s foreign exchange reserves have fallen to $15.25 billion, insufficient to meet external debt payments in the coming years.
• Pakistan’s IMF bailout of $7 billion secured in September 2024 is under strain due to ongoing economic challenges.

Indigenous Rights and Conservation

• India enacted the Biological Diversity Act (BDA) 2002 in line with CBD, but its approach remains top-down and bureaucratic.
• In contrast, The Forest Rights Act (FRA) 2006 offers a decentralised, democratic model by empowering gram sabhas to manage community forest resources.
• In 2022, the Kunming-Montreal Global Biodiversity Framework (KMGBF) was adopted with 23 global targets, including the ‘30 by 30’ goal.
• A permanent IPLC subsidiary body was created during CBD COP-16 (2025), making the CBD the first UN convention with such a platform.

Finance Minister to Attend ADB Annual Meeting in Milan

• Founded: 1966
• Headquarters: Mandaluyong, Metro Manila, Philippines
• Union Finance Minister Nirmala Sitharaman is leading the Indian delegation to the 58th Annual Meeting of the ADB Board of Governors in Milan, Italy.
• Ministers of State: Shri Pankaj Chaudhary, Dr. Bhagwat Kishanrao Karad

India’s HDI Ranking 2025

• India’s HDI value has grown by over 53% since 1990, outpacing global and South Asian averages.
• Inequality remains a major setback, reducing India’s HDI by 30.7%, one of the highest losses in South Asia.
• Global HDI Leaders (2023)
• India ranks 130th out of 193 countries and territories in the 2025 Human Development Index (HDI) released by the United Nations Development Programme (UNDP)

Satluj Yamuna Link (SYL) Canal Dispute

• 1960: Indus Water Treaty with Pakistan enabled India's full use of eastern rivers
• 1986: Ravi-Beas Waters Tribunal (Eradi Tribunal) formed
• Length: 214 kilometers (133 miles)
• Division of 19.55 billion m³ of eastern Indus rivers (Ravi, Beas, Sutlej) Punjab: 7.3 billion m³ PEPSU: 1.6 billion m³ Rajasthan: 9.9 billion m³ Jammu & Kashmir: 0.80 billion m³

India Tightens Satellite Internet Rules

• These amendments mirror existing telecom surveillance mandates but extend them specifically to satellite service providers, including: User traffic monitoring and interception Location-based restrictions (geofencing)
• Local Manufacturing Mandate: Satellite terminal devices must be manufactured in India within five years, aligning with the Make in India initiative.
• Satellite terminal devices must be manufactured in India within five years, aligning with the Make in India initiative.
• Aimed at preventing signal spillover in border regions.

India to Launch ‘Sustainable Transport Mission’ Under National Action Plan for Climate Change (NAPCC)

• The road transport sector will be central to this mission, as it: Accounts for 12% of India’s energy-related CO₂ emissions. Is the largest contributor to urban air pollution. Will likely be the slowest transport mode to achieve carbon neutrality.
• Accounts for 12% of India’s energy-related CO₂ emissions.
• The mission will encompass multiple transport sub-sectors: Road Transport Railways Ports Shipping Civil Aviation
• MoRTH has been working on the mission for two years.

ISRO Targets Early 2027 for Crewed Gaganyaan Launch

• ISRO Chairman V. Narayanan announced that the first Indian crewed space mission under Gaganyaan is now scheduled for Q1 2027.
• The first uncrewed mission, with humanoid robot Vyommitra, is expected later in 2025.
• India paid ₹550 crore to Axiom Space for this mission.
• The crewed mission will be preceded by: Three test flights: Two uncrewed missions and one robotic flight with Vyommitra. A total of eight Gaganyaan missions (crewed and uncrewed) will take place until 2028.

Sacred Buddhist Relics from Piprahwa

• The relics were excavated in 1898 from Piprahwa Stupa, believed to be part of ancient Kapilavastu, the birthplace of Lord Buddha.
• The majority of relics were handed over to the Indian Museum in Kolkata in 1899 and are designated as Category ‘AA’ antiquities under Indian law, prohibiting sale or export.

Russian-Made SA-24 Igla-S Air Defense Systems

• Russia supplies over 50% of India’s military imports, including tanks, fighter jets, and air defense systems
• The SA-24 Igla-S is a third-generation, Russian-made MANPADS (Man-Portable Air Defense System).
• Key features: Infrared-guided shoulder-fired missile Maximum range: 6 km; altitude coverage: up to 3.5 km Equipped with advanced seeker and proximity fuze Resistant to jamming, highly mobile, and suitable for rugged terrain
• Maximum range: 6 km; altitude coverage: up to 3.5 km

India’s First AI-Based Data Centre Park to Rise in Nava Raipur, Chhattisgarh

• Estimated total investment: ₹2,000 crore
• Location: 14-acre site in Nava Raipur, Chhattisgarh’s new capital
• Developer: RackBank Datacenters Private Limited
• Significance: India’s first AI-integrated data centre park, poised to be a cornerstone of the country’s digital infrastructure

Human Development Index (HDI) Report 2025

• Health: Life expectancy rose from 58.6 years (1990) to 72 years (2023) Driven by programs like Ayushman Bharat, NHM, Janani Suraksha Yojana, and Poshan Abhiyaan
• Education: Expected years of schooling: Increased to 13 years (from 8.2 in 1990) Supported by RTE Act, NEP 2020, Samagra Shiksha Abhiyan
• HDI Stagnation: Global human development progress has slowed to the weakest pace since 1990 (excluding the pandemic years).
• Gender and Inequality Adjustments: Inequality-Adjusted HDI (IHDI): Drops to 0.475, showing a 30.66% decline Gender Development Index (GDI): 0.874 (Male: 0.722, Female: 0.631) Gender Inequality Index (GII): India ranks 102nd, score: 0.403

UPSC Civil Services Examination Previous Year Question (PYQ) 

• Q. The Multi-dimensional Poverty Index developed by Oxford Poverty and Human Development Initiative with UNDP support covers which of the following? (2012)
• Q. Despite consistent experience of high growth, India still goes with the lowest indicators of human development. Examine the issues that make balanced and inclusive development elusive. (2016)

Cabinet Approves ₹60,000 Cr. Scheme for Industrial Training Institute (ITI) Upgradation Scheme

• Announced in the Union Budget 2024–25, the scheme will run for five years.
• Co-financing: 50% of the central share will be jointly funded by the Asian Development Bank (ADB) and the World Bank.
• Funding structure: ₹30,000 crore from the Central Government ₹20,000 crore from State Governments ₹10,000 crore from Industry
• ₹30,000 crore from the Central Government

State Performance Ranking Report by Care Edge Ratings

• Utilizes 50 indicators, weighted and normalized based on expert judgment.
• Each pillar has a designated weight: Economic (25%), Fiscal (20%), Financial & Infrastructure (15% each), Social & Governance (10% each), Environment (5%)
• Economic (25%), Fiscal (20%), Financial & Infrastructure (15% each), Social & Governance (10% each), Environment (5%)
• The 2025 State Performance Ranking Report by Care Edge Ratings (a Care Ratings subsidiary) has received wide media attention. Although prepared by a private entity, it gained semi-official stature through a foreword by the CEO of NITI Aayog.

Revised SHAKTI Policy for Coal Linkages

• Flexible tenure from 12 months to 25 years
• Continued coal supply for ~68,000 MW capacity at 75% of ACQ.
• ~19,000 MW delayed capacity allowed linkage if commissioned by 31.03.2022.
• The Cabinet Committee on Economic Affairs (CCEA) has accorded its approval for the Revised SHAKTI (Scheme for Harnessing and Allocating Koyala Transparently in India) Policy for Coal Allocation to Power Sector.

INS Kiltan Arrives in Singapore for IMDEX Asia 2025

• Construction and Commissioning Built by Garden Reach Shipbuilders & Engineers (GRSE) in Kolkata. Launched: 26 March 2013 Commissioned: 16 October 2017
• Launched: 26 March 2013
• Commissioned: 16 October 2017
• Overview INS Kiltan (P30) is an anti-submarine warfare (ASW) corvette of the Indian Navy, developed under Project 28. It is the third of four Kamorta-class corvettes, designed for stealth and specialized ASW operations.

SVAMITVA (Survey of Villages and Mapping with Improvised Technology in Village Areas) Scheme

• The mapping will be done all over the country on a phase by phase basis, over a time period of four years, i.e. between 2020-2024.
• The Scheme was launched on April 24th of the year 2020. It is meant to register a Record of Rights for rural property owners in the Abadi areas (inhabited regions) using innovative drone and GIS technology. It follows the Whole-of-Government approach with various departments and stakeholders for improving financial inclusion. SVAMITVA Through property ownership validation, it ensures better credit access and socio-economic stability.
• Features This scheme involves mapping parcels of lands, through a utilization of the power of drones technology along with the use of Continuously Operating Reference Station or CORS. The mapping will be done all over the country on a phase by phase basis, over a time period of four years, i.e. between 2020-2024.
• India has surveyed 68,000 square kilometers of rural land under SVAMITVA, unlocking assets worth $1.16 trillion.

Indo-Pacific Logistics Network (IPLN)

• Objective: To improve disaster response coordination and enhance the efficiency of humanitarian aid deployment in the Indo-Pacific region.
• Simulated via Tabletop Exercise (TTX): The initiative was first simulated through a Tabletop Exercise (TTX) hosted at the Asia-Pacific Centre for Security Studies in Honolulu, Hawaii.

India’s Maternal Mortality Ratio

• Incentive: ₹5,000 for the first live birth (PMMVY 1.0); additional incentive for second child if a girl (PMMVY 2.0 under Mission Shakti from April 2022).
• Progress Since 2000: Global MMR dropped by ~40%
• Launched: 2005
• Eligibility: Women pregnant with the first child on or after 01.01.2017.

India's Climate Finance Taxonomy

• Serve as a tool to classify economic activities consistent with India’s climate goals and its Net Zero 2070 target
• Developed nations committed to $300 billion annually by 2035 as the New Collective Quantified Goal at COP29 (Baku)
• Provides a clear framework for investors to identify legitimate green and transition projects
• Climate Transition Activities: Enable emissions intensity reduction where absolute emissions cuts are difficult Include sectors like steel, cement, and iron (hard-to-abate sectors)

Cost Framework to Regulate Predatory Pricing in 2025

• Definition of Predatory Pricing (as per Competition Act, 2002)
• Enable fair competition by protecting smaller players from being priced out by dominant firms
• Selling a product/service below its cost with the intent to: Eliminate competitors Reduce market competition
• Eliminate competitors

South Asia Press Freedom Report 2024–25

• Pass the Media Transparency Bill 2024 to: Prevent media monopolies and cross-ownership. Ensure fair and non-partisan distribution of government advertising. Mandate disclosure of media funding sources and ownership patterns.
• Global Risks Report 2024 identifies “manipulated information” as the top short-term global threat.
• The 23rd Annual South Asia Press Freedom Report, titled "Frontline Democracy: Media and Political Churn", offers a sobering view of the deteriorating state of press freedom across South Asia, with India facing systemic threats to journalistic independence.
• 250+ press freedom violations recorded across South Asia.

India vs UK Carbon Border Tax

• UK's Plan: CBAM rollout in 2027, affecting steel, aluminium, cement, and other energy-intensive sectors.
• India has strongly opposed the United Kingdom’s plan to introduce a Carbon Border Adjustment Mechanism (CBAM) from January 1, 2027, warning of reciprocal action if Indian exports are taxed under this system.
• Risk of Double Taxation: Indian exporters may face both domestic environmental taxes and UK’s carbon tax, hitting price competitiveness.
• Indian exporters may face both domestic environmental taxes and UK’s carbon tax, hitting price competitiveness.

Kadbanwadi Grassland Crisis

• Located in Indapur tehsil, Pune district, Maharashtra, spread over 2,000 hectares.
• Population decline: From 70 wolves in 2016 to just 6 in the latest count (Dec 2024–Jan 2025).
• Maharashtra Forest Rules, 2014 allow removal or euthanization of dogs in reserve forests.
• Forest officials, however, hesitate to act due to backlash from animal rights groups.

Kerala’s ‘Vruthi’ Campaign

• Launched on October 2, 2024, it marks Kerala’s shift from traditional sanitation approaches to a deeply participatory, culturally rooted waste management movement.
• Kerala’s urbanisation and reduced agricultural base (GDP share <10%) worsened the crisis.
• SBM 1.0 and 2.0 are top-down, infrastructure-heavy, and supply-driven.

E-Waste Management in India

• E-waste generation rose 151.03% from 2017-18 to 2023-24.
• Stockholm Convention on POPs (2001): Restricts persistent organic pollutants; India is a party.
• Annual increase of over 1.69 lakh metric tonnes signals an urgent need for systemic reform.
• Pricing of EPR Certificates:CPCB to fix EPR certificate prices—maximum at 100% and minimum at 30% of applicable environmental compensation for non-compliance.

WHO’s State of the World’s Nursing 2025

• Regional Burden: Africa and the Eastern Mediterranean are projected to account for 70% of the global nursing shortage by 2030.
• Nurse-to-Population Ratio: ~30 nurses per 10,000 population Below WHO’s recommended 44.5 health workers per 10,000 people
• ~30 nurses per 10,000 population
• Below WHO’s recommended 44.5 health workers per 10,000 people

Mission D3

• Economic Relief Families now save ₹1–5 lakh by avoiding dowry, liquor Reduces dependency on moneylenders and high-interest loans
• Families now save ₹1–5 lakh by avoiding dowry, liquor
• Mission D3 is a community-led social movement launched in November 2024 by Bhil and Bhilala tribal youths in Alirajpur and Jhabua districts of Madhya Pradesh. The campaign aims to eliminate three major financial and cultural burdens from tribal weddings:
• What is Mission D3?

MY Bharat (Mera Yuva Bharat)

• Mera Yuva Bharat (MY Bharat) is an autonomous institution under the Ministry of Youth Affairs and Sports, designed to empower young Indians through technology-driven engagement and youth-led development.It was officially launched on October 31, 2023, to commemorate the birth anniversary of Sardar Vallabhbhai Patel.
• Develop the youth as catalysts of change for Amrit Kaal and Viksit Bharat@2047.
• Government Scheme Awareness Mobilizes youth as ‘Vikas Ambassadors’ to spread awareness about flagship government schemes at the grassroots.
• Builds a pipeline of skilled, aware, and empowered citizens ready for 2047.

Geotubing

• Modular Design: Tubes can be customized in size and shape to match diverse terrains and project requirements.
• Tubes can be customized in size and shape to match diverse terrains and project requirements.
• Durability: Long lifespan even in harsh marine environments
• Coastal Protection Seawalls, submerged breakwaters, sand dune reinforcements Example: Poonthura, Kerala – three-layer geotube barrier installed perpendicular to coast

India’s Proposed Repairability Index

• Goal: Encourage consumers to make informed choices and incentivize manufacturers to produce repair-friendly devices.
• Encourage consumers to make informed choices and incentivize manufacturers to produce repair-friendly devices.

EPIC (Elector Photo Identity Card) Numbers

• A 10-digit alphanumeric code assigned to each registered voter in India
• Used to prevent impersonation and duplication
• Allegations arose that multiple voters shared the same EPIC number
• Action Taken: All such voters have been issued new and unique EPIC numbers Field-level verifications confirmed no impersonation or fraud

DigiYatra

• Managed by DigiYatra Foundation, a Section 8 not-for-profit entity owned by major airport operators: Airports Authority of India GMR, Adani, BIAL, etc.
• Launched at Varanasi and Bengaluru Airports in August 2022.
• Decentralized and Privacy-First: Biometric data is stored only on the user’s device. No central storage of personal data. Data is purged within 24 hours of travel.
• Data is purged within 24 hours of travel.

PM SHRI (Pradhan Mantri Schools for Rising India) Scheme

• PM SHRI (Pradhan Mantri Schools for Rising India) is a centrally sponsored scheme, launched in 2022.
• The scheme will run from 2022–23 to 2026–27.
• UTs without legislature: 100% Central Government funding.
• PM-SHRI Scheme: Transforming Schools into Models of NEP 2020 Implementation

India Identifies Priority Corridors for Zero-Emission Trucking (ZET)

• Policy Alignment: Complements central schemes like: PM E-DRIVE (₹500 crore initiative for EV ecosystem) Atmanirbhar Bharat (Self-reliant India Mission)
• Complements central schemes like: PM E-DRIVE (₹500 crore initiative for EV ecosystem) Atmanirbhar Bharat (Self-reliant India Mission)
• Environmental Impact: Trucks contribute to ~40% of fuel consumption and transport-related emissions ZET adoption will drastically reduce carbon and particulate pollution
• Trucks contribute to ~40% of fuel consumption and transport-related emissions

Sample Registration System (SRS) Statistical Report 2021

• Average annual decline (2016–2021): 1.12%
• MMR: India’s reduction (1990–2023): 86% vs Global: 48%
• U5MR: India: 78% decline vs Global: 61%
• NMR: India: 70% vs Global: 54%

Sustainable Transport Mission Added to India’s Climate Agenda

• Target: 30% EV penetration by 2030.
• Transport contributes ~10% of India’s GHG emissions.
• Road transport alone accounts for 87–90% of emissions within the transport sector.
• 73% of freight traffic moves by road.

National Action Plan on Climate Change (NAPCC)

• Launched: In 2008 by the Prime Minister’s Council on Climate Change
• National Mission for Sustaining the Himalayan Ecosystem Protects Himalayan glaciers and biodiversity
• Objective: To raise awareness and initiate coordinated actions among the public, government bodies, scientists, industries, and communities regarding the threat of climate change
• Aims at water conservation, equitable distribution, and sustainable management

Supreme Court Recognises Digital Access as a Fundamental Right for Persons with Disabilities (PwDs)

• Rights of Persons with Disabilities (RPwD) Act, 2016 Section 42: Mandates accessible electronic and digital media (audio descriptions, captions, sign language, universal design)
• Under PMLA 2002 and RBI’s Master Directions (2016), all financial institutions must conduct KYC for: Opening bank, trading, or demat accounts Accessing SIM cards, pension, insurance, scholarships Aadhaar-linked DBT (Direct Benefit Transfers)
• Digital exclusion violates rights under: Article 21 (Right to Life and Dignity) RPwD Act, 2016 UNCRPD obligations
• RPwD Act, 2016

ISRO's upcoming PSLV-C61 / EOS-09 Mission and Chandrayaan-5

• Mission: PSLV-C61 / EOS-09
• Launch Date & Time: May 19, 2025, at 5:59 AM
• Mission Count: ISRO's 101st launch
• Held on May 13–14, 2025 at ISRO HQ, Bengaluru

Periodic Labour Force Survey (PLFS) April 2025 – Monthly Bulletin

• Persons surveyed: 3,80,838 (Rural: 2,17,483 | Urban: 1,63,355)
• Overall India: 55.6%
• Rural: 58.0% | Urban: 50.7%
• Male: 77.7% | Female: 34.2%

India’s Manned Deep-Sea Mission: MATSYA 6000

• The mission aims to send three personnel to a depth of 6000 meters using the manned submersible vehicle ‘MATSYA 6000’ for exploration of deep-sea resources like minerals.
• It is India’s first unique manned ocean mission and part of the Rs 6000-crore Deep Ocean Mission.
• Mission cost: Rs 4,077 crores over five years, implemented in phases.
• Established in 2020 to foster joint sustainable development initiatives between India and Norway.

United Nations World Economic Situation and Prospects (WESP) Report 2025

• India’s GDP Growth Projection: FY 2024–25: 6.3% FY 2025–26: 6.4%
• FY 2024–25: 6.3%
• FY 2025–26: 6.4%
• Inflation Outlook: Forecast to ease from 4.9% in 2024 to 4.3% in 2025 Remains within RBI’s target range of 2–6%

Supreme Court’s Advisory Jurisdiction – Article 143

• Heard by Constitution Bench: As per Article 145(3), a minimum 5-judge bench hears such references.
• Invoked 14 times since 1950 for diverse constitutional and legal clarifications:
• It empowers the President of India to seek the Supreme Court’s opinion on important legal or factual questions of public significance.
• Article 143(1): President may refer questions of law or fact of public importance to the Supreme Court.

India Imposes Port Restrictions on Imports from Bangladesh

• Bangladesh restricted Indian yarn exports via land ports from April 13, 2025.
• Also stopped Indian rice exports via Hili and Benapole ICPs from April 15, 2025.
• Trade Reciprocity Reasoning: Bangladesh restricted Indian yarn exports via land ports from April 13, 2025. Also stopped Indian rice exports via Hili and Benapole ICPs from April 15, 2025. India has cited aggressive inspection of Indian trucks and trade imbalance as reasons.

National Manuscripts Mission

• Objective: Survey, document, and conserve over 1 crore Indian manuscripts across: Academic institutions Libraries Museums Private collections
• Revised Allocation (2025–26): ₹60 crore
• Survey, document, and conserve over 1 crore Indian manuscripts across: Academic institutions Libraries Museums Private collections
• Previous Allocation: ₹3.5 crore

India Semiconductor Mission (Semicon 2.0)

• India aims to achieve 5% of global semiconductor chip production capacity by 2030. This initiative is part of the next phase of the India Semiconductor Mission (Semicon 2.0).
• The Government has committed $10 billion (₹82,000 crore approx.) as incentives under the mission.
• So far, six major projects have been approved with total investments exceeding ₹1.55 trillion, including: ₹91,000 crore for Tata's fab plant Remaining funds are for OSAT and ATMP facilities
• ₹91,000 crore for Tata's fab plant

EOS-09 (Risat-1B) Satellite

• Major Contributor: Accounts for 60%+ of ISRO’s total launches over three decades
• Full Name: Earth Observation Satellite-09 (EOS-09)
• Formerly Known As: RISAT-1B
• Technology Used: C-band Synthetic Aperture Radar (SAR) Enables imaging regardless of weather or lighting conditions Complements data from Resourcesat, Cartosat, and RISAT-2B series

SWAYAM Platform

• Banaras Hindu University (BHU) has been appointed as the national coordinator for the Institutions of National Importance (INI) domain on the SWAYAM platform, replacing IIT Madras/NPTEL. The move marks a strategic shift to diversify online learning beyond STEM disciplines, aligning with the goals of the National Education Policy (NEP) 2020.
• SWAYAM is India’s central online learning platform with 10 national coordinators, including: UGC, AICTE – Higher education NCERT, NIOS – School education NPTEL – Science & Technology IIM Bangalore – Management Now BHU – INI domain (excluding pure technology courses)
• Now BHU – INI domain (excluding pure technology courses)

Panchayat Advancement Index (PAI): Evidence-Based Decision-Making in Indian Governance

• Released in April 2025 by the Ministry of Panchayati Raj.
• Covers 2.16 lakh+ gram panchayats, using: 435 local indicators (331 mandatory, 104 optional) 566 data points across 9 LSDG-aligned themes Based on the National Indicator Framework (NIF)
• 435 local indicators (331 mandatory, 104 optional)
• Uttar Pradesh: Only 23,207 out of 57,702 GPs (40%) submitted data—raises concerns about data transparency and development tracking.

e-Zero FIR Initiative

• Launched under the direction of Union Home Minister Amit Shah after a review of I4C’s functioning.
• It applies to complaints registered via the 1930 helpline or the cybercrime.gov.in portal.
• The Indian Cybercrime Coordination Centre (I4C) has launched a new system to automatically convert cybercrime complaints involving ₹10 lakh or more into First Information Reports (FIRs).
• Aims to speed up investigation and help victims recover lost funds more efficiently.

LibTech India Report on MNREGA

• Launched: 2005
• Registrations: Rose from 13.80 crore (FY24) to 14.98 crore (FY25) → ↑8.6%
• Employment Delivery: ↓7.1%; only 7% of households received the full 100 days of employment
• Average Person-days: Dropped from 52.42 to 50.18 days/household → ↓4.3%

‘Sagar Mein Samman’ (SMS)

• Increased Women Participation: Target of 12% female representation in technical maritime roles by 2030.
• Registered women seafarers increased from 1,699 (2015) to 14,255 (2024) — a 739% surge.
• Women seafarers on ships rose from 341 (2014) to 2,557 (2024) — a 649% increase.
• Financial assistance recipients: From 45 (2014–15) to 732 (2024–25).

Operation Olivia 2025

• Record turtle nesting: Over 6.98 lakh Olive Ridley turtles nested at Rushikulya in February 2025
• Olive Ridley turtles are listed under: Schedule I of India’s Wildlife Protection Act, 1972 IUCN Red List – Vulnerable category
• Schedule I of India’s Wildlife Protection Act, 1972
• Annual turtle arrival in Odisha: 8+ lakh turtles

Historic Epigraphic Record of Drought Deaths Found in Karnataka (1539 CE)

• Sculpture Depicted: A person carrying a basket containing 2–3 bodies on his head (believed to be Marulaih Odeya)
• More than 100 inscriptions documented in 2025 so far
• Date Mentioned: Saka 1461, Vikari, Bhadrapada su.5 (equivalent to August 18, 1539 CE)
• Event Recorded: Death of 6,307 people due to drought (bara)

Lokniti-CSDS Survey on Media in India

• Nearly 50% of active Internet and social media users reported encountering misinformation online
• Around 40% of: Active Internet users (Table 3) Social media users (Table 4)
• Active Internet users (Table 3)
• Social media users (Table 4)

Yoga Sangam 2025

• Diverse Participation: Registrations from schools, colleges, corporates, NGOs, RWAs, government departments, and community groups. Participation spans all 28 States and 7 Union Territories.
• Massive Scale: Over 1 lakh locations expected to host Yoga Sangam events. From the Himalayas to Kanyakumari, urban rooftops to rural school grounds — yoga will unify the country.
• Over 1 lakh locations expected to host Yoga Sangam events.
• Yoga Sangam 2025 is not just a yoga event — it’s a national wellness movement.

Union Government Launches Depot Darpan, Anna Mitra & Anna Sahayata

• Potential benefits: ₹275 crore in cost savings (FCI depots). ₹140 crore income augmentation (CWC warehouses).
• ₹275 crore in cost savings (FCI depots).
• ₹140 crore income augmentation (CWC warehouses).
• Capex Allocation: ₹1,000 crore for FCI depot upgrades. ₹280 crore for CWC warehouse improvements.

Launch of Revamped OCI Portal

• Eligibility: Persons who were citizens of India on or after January 26, 1950, or were eligible to become citizens on that date
• Introduced via amendment to Citizenship Act, 1955 in 2005
• Estimated to benefit over 5 million OCI cardholders globally
• Union Home Minister Amit Shah on May 19, 2025

“Poverty Decline in India after 2011–12: Bigger Picture Evidence”

• Poverty levels declined from 37% in 2004–05 to 22% in 2011–12, but fell only marginally to 18% by 2022–23.
• Alternative NSSO Survey Extrapolations (UMPCE-based estimates: 26–30% poverty in 2019–20)
• Poverty fell sharply between 2004–05 and 2011–12 (37% → 22%)
• Marginal decline thereafter (22% → 18% by 2022–23)

Mission LiFE May Join India's National Climate Plan

• Launched in October 2022.
• 8 active missions targeting sectors like energy, water, and agriculture.
• Goal: Mobilize 1 billion people globally (2022–2028) for sustainable living.
• Introduced by Prime Minister Modi at COP26.

DoT Launches Financial Fraud Risk Indicator to Combat Cyber Fraud

• A multidimensional risk-based metric that classifies mobile numbers into three categories based on their likelihood of involvement in financial fraud:
• Helps banks, NBFCs, and Unified Payments Interface (UPI) service providers prioritize fraud detection and enhance customer protection measures.
• Facilitates intelligence sharing between telecom, banking, and digital payment sectors.
• Supports proactive fraud prevention by allowing institutions to decline transactions linked to high-risk mobile numbers.

Labour Code Reforms in India

• Article 14 – Equality before the law for all persons.
• Article 21 – Right to life and personal liberty.
• Article 24 – Prohibits employment of children below 14 years in hazardous jobs.
• Article 43A – Workers’ participation in industrial management.

Pradhan Mantri Awas Yojana–Urban (PMAY-U)

• Launched in June 2015 by the Ministry of Housing and Urban Affairs (MoHUA), PMAY-U aims to provide affordable housing to urban families, especially those in:
• Affordable Housing in Partnership (AHP) – Collaborative housing with public/private developers
• Affordable Rental Housing (ARH) – Rental units for migrant workers and urban poor
• The Government of India has extended the completion deadline for Pradhan Mantri Awas Yojana–Urban (PMAY-U) to December 31, 2025, for housing projects sanctioned up to March 31, 2022. This move gives thousands of urban beneficiaries additional time to complete their affordable housing units under the flagship "Housing for All" scheme.

Santhara in Jainism

• Rajasthan High Court (2015): Ruled Santhara as suicide under IPC Section 306.
• Supreme Court Stay (August 2015): Upheld Santhara as a constitutionally protected religious practice under Article 25 (freedom of religion).
• Eligibility: Undertaken by both monks and laypersons during extreme life conditions—terminal illness, old age, or famine.
• Asteya (Non-stealing): Absolute respect for others’ property and rights.

Keezhadi Excavation: Ancient Tamil Urban Civilization

• Discovered: Systematic excavations began in 2015, after Vaigai valley surveys (2013–14) across 293 sites.
• Scale: Only 1 out of the estimated 100-acre site has been excavated so far.
• Over 4,000 artefacts discovered.
• AMS carbon dating of charcoal indicates urban habitation by 200 BCE.

Overfishing in India

• Global Outlook: According to FAO, over 33% of global fish stocks are overexploited.
• India's Context: Despite harvesting 3–4 million tonnes/year, 90% of Indian fishers (small-scale) contribute only 10% of the catch; 75% live below the poverty line.
• Overcapacity of Mechanised Vessels: Trawlers and mechanised boats remove up to 10 kg of bycatch for every 1 kg of shrimp.
• Enforce Minimum Legal Size (MLS): Example: Kerala’s MLS for threadfin bream increased catch by 41% in one season.

India on Track to Exceed 2030 Emissions Intensity Target: Report

• India is projected to reduce its emissions intensity by 48–57% by 2030, significantly surpassing its official NDC target of 45% reduction from 2005 levels.
• Up to 10% reduction in total emissions by 2050
• Non-fossil fuel sources could constitute 60–68% of India’s installed power capacity by 2035.
• Key enablers for India’s 2070 net-zero target:

U.S. DIA Report 2025: India’s Strategic Posture and Security Outlook

• Pahalgam terror attack (April 22, 2025) led to: Indian military response under Operation Sindoor Follow-up military confrontations lasting three days
• October 2024 disengagement from Depsang and Demchok Reduced tensions but border demarcation dispute remains unresolved Context: Lingering fallout from 2020 Galwan clash
• Lingering fallout from 2020 Galwan clash
• The US Defense Intelligence Agency (DIA), in its 2025 worldwide threat assessment, has stated that India views China as its primary adversary, while treating Pakistan more as an ancillary security problem to be managed, despite the recent escalation of cross-border hostilities.

Bharat Forecasting System (BFS)

• BFS delivers predictions in 4–6 hours, thanks to advanced high-performance computing under ‘Mission Mausam’.
• Uses data from a network of 40 Doppler Weather Radars, expanding to 100 radars for all-India coverage.
• Previous models took 12–14 hours to generate forecasts.
• Offers 30% improvement in forecasting extreme rainfall events.

Centre-State Relations in Focus at 10th NITI Aayog Governing Council Meeting

• States’ Revenue Improvement: Own tax revenue-to-GSDP ratio improved from 6.6% in 2017–18 to 7.2% in 2024–25 Uneven performance across States, but progress noted
• Own tax revenue-to-GSDP ratio improved from 6.6% in 2017–18 to 7.2% in 2024–25
• Tamil Nadu CM M.K. Stalin: Proposed increasing States’ share in central taxes from 41% to 50% Highlighted inadequacy of current devolution formula in post-GST era
• Proposed increasing States’ share in central taxes from 41% to 50%

Government Restores RodTEP Benefits for SEZs and EOUs

• The Commerce Ministry had earlier withdrawn RodTEP benefits for SEZs and EOUs starting February 6, 2025.
• Each Zone is headed by a Development Commissioner and is administered as per the SEZ Act, 2005 and SEZ Rules, 2006. Units may be set up in the SEZ for manufacturing, trading or for service activity.
• The Export Oriented Unit (EOU) Scheme started in 1981 to promote exports and thus increase net foreign exchange earnings.
• The restoration will be effective from June 1, 2025.

NITI Aayog Proposes Support Measures to Transform Medium Enterprises into Global Businesses

• Working Capital Support: Up to ₹25 crore at concessional interest rates via a dedicated financing scheme under the Ministry of MSME.
• Credit Card Facility: Preapproved credit cards with limits up to ₹5 crore for medium enterprises.
• Revised FY26 Budget classification defines medium enterprises as those with: Investment up to ₹125 crore. Turnover up to ₹500 crore.
• Investment up to ₹125 crore.

What Happened?

• Merchant Shipping Act, 1958: Governs maritime safety and pollution control
• Cargo Details: 640 containers onboard 13 classified as hazardous cargo 84.44 MT diesel 367.1 MT furnace oil Chemicals include calcium carbide, which is highly reactive with water
• 640 containers onboard
• MARPOL (1973/78): International treaty by IMO to prevent marine pollution

NITI Aayog Report: Designing a Policy for Medium Enterprises

• Definition (as of April 2025): Investment: Up to ₹125 crore Turnover: Up to ₹500 crore
• Economic Significance: Only 0.3% of all MSMEs Contribute 40% of MSME exports Act as growth drivers, innovation hubs, and employment generators
• Low Scheme Awareness: Only 10% use government portals for support
• Investment: Up to ₹125 crore

Early Onset of Southwest Monsoon 2025 — Causes and Uncertainties

• Seasonal wind system that brings ~70% of India’s annual rainfall.
• Rainfall Criterion: ≥2.5 mm rainfall for 2 consecutive days at 60% of 14 designated stations in Kerala and Lakshadweep.
• ≥2.5 mm rainfall for 2 consecutive days at 60% of 14 designated stations in Kerala and Lakshadweep.
• The India Meteorological Department (IMD) declared the monsoon onset over Kerala on May 24, 2025, eight days ahead of its normal date schedule of June 1. Earliest monsoon onset in over a decade (last such early arrival in 2009)

Draft Registration Bill, 2025

• To replace the 117-year-old Registration Act, 1908 with a modern, digital-first legal framework that enhances transparency, accessibility, and ease of property registration in India.
• The Department of Land Resources under the Ministry of Rural Development has been administering the Registration Act since 2006.
• Digital-First Approach: Enables online registration of immovable property and related transactions. Provisions for: Electronic presentation and admission of documents E-registration certificates Digital maintenance of records
• Aims to modernize India’s land and property registration framework.

RoDTEP (Remission of Duties and Taxes on Exported Products)

• Objective: Reimburse exporters for embedded central/state/local duties, taxes, and levies not refunded under any other scheme.
• RoDTEP Scheme Launch: 2021
• Scheme Suspension: Benefits to AA, EOU, and SEZ units were discontinued on February 5, 2025.
• Beneficiaries: Advance Authorisation (AA) holders Export-Oriented Units (EOUs) Special Economic Zone (SEZ) units

World Dugong Day 2025: Conservation of India's Gentle Marine Grazer

• Major Milestone: In 2022, India announced its first Dugong Conservation Reserve in Palk Bay, Tamil Nadu (448.3 sq. km). Contains 122.5 sq. km of intact seagrass — crucial for dugong survival.
• In 2022, India announced its first Dugong Conservation Reserve in Palk Bay, Tamil Nadu (448.3 sq. km).
• Lifespan & Reproduction: Live up to 70 years. Mature at 9–10 years, calve every 3–5 years. Low population growth rate of ~5% per year.
• Live up to 70 years.

5th-Generation Fighter Jet – AMCA Programme

• Projected weight: ~25 tonnes

Panchayat Advancement Index (PAI) 2.0

• PAI (Panchayat Advancement Index) is a performance tracking tool for over 2.5 lakh Gram Panchayats across India.
• The two-day National Writeshop on Panchayat Advancement Index (PAI) Version 2.0 for FY 2023–24 commenced at Dr. Ambedkar International Centre, New Delhi.  During the inaugural, the PAI 2.0 Portal was launched  https://pai.gov.in/ . Local Indicator Framework (LIF) Booklet for FY 2023–24 along with the Standard Operating Procedure (SOP) was also released on this occasion.
• Includes LIF Booklet and Standard Operating Procedure (SOP) for FY 2023–24.
• Aims to institutionalize transparent, accountable, and evidence-based local governance.

India's Crypto Policy 2025

• No Legal Status Yet In Budget FY23, India introduced a 30% tax on crypto gains, while clarifying that this does not grant legal validity to crypto assets. Crypto exchanges in India are required to register with the Financial Intelligence Unit (FIU).
• In Budget FY23, India introduced a 30% tax on crypto gains, while clarifying that this does not grant legal validity to crypto assets.
• Consultative and Gradual The Centre aims for an in-depth consultative process with all stakeholders before finalizing its stance. A senior government official stated, “No knee-jerk decision would be taken in view of the wide ramifications of this industry.”
• The Centre aims for an in-depth consultative process with all stakeholders before finalizing its stance.

IMD to Launch 'Mausam GPT'

• Location-Based Forecasts:• Uses telecom towers to auto-detect user location• Offers day-wise forecast, e.g., “Day 1 – no rain, Day 2 – no rain, Day 3 – light rain”
• Farmers (India has 145 million, with 86 million title-holding): Accurate, hyperlocal weather to aid in crop-sowing decisions Ensures timely and actionable information, unlike generic city forecasts
• Ultra-Simplified Interface:• Access via 2–3 button presses on basic phones• No need for internet access
• Travellers: Smartphone users can input location and travel date to receive forecasts Also includes advisories on appropriate clothing and safety tips

Government Plans to Upgrade Four Miniratna PSUs to Navratna Status

• Launched: 1997 by the Government of India
• Garden Reach Shipbuilders & Engineers Ltd (GRSE) – Kolkata, West Bengal
• Objective: Identify and empower CPSEs with global potential.
• Benefits to Navratna CPSEs: Greater financial and administrative autonomy Authority for capital expenditure, strategic investments, and M&A Flexibility in human resource management and forming joint ventures

Poverty in India: NSO Surveys and World Bank Confirm

• Poverty Headcount Ratio: Declined from 29.5% in 2011–12 to 4.9% in 2023–24, a 24.6 percentage point drop.
• Declined from 29.5% in 2011–12 to 4.9% in 2023–24, a 24.6 percentage point drop.
• Extreme Poverty (World Bank standard): Share living below $2.15/day (PPP) fell from 16.2% to 2.3%. At $3.65/day, poverty declined from 61.8% to 28.1%.
• GDP & Inflation Support: GDP growth at 9.2% in 2023–24. CPI inflation eased to 5.4%, aiding real consumption.

WMO Decadal Climate Forecast 2025–2029

• 80% chance that at least one year between 2025–2029 will surpass 2024’s record heat.
• 70% likelihood the five-year average temperature (2025–2029) will be above 1.5°C, up from 47% in last year’s forecast.
• 86% probability one year will exceed the 1.5°C global warming threshold.
• Short-term overshoot of the Paris Agreement’s 1.5°C target is increasingly probable, though the target refers to long-term averages.

QCI (Quality Council of India)

• Founded in 1996 based on recommendations from an EU Expert Mission and inter-ministerial consultations.
• Headquarters located at the World Trade Centre (WTC), New Delhi.
• Governed by a 39-member Governing Council equally representing government, industry, and stakeholders.
• Registered under the Societies Registration Act, 1860.

Nurdle Spill in Thiruvananthapuram

• Definition: Tiny plastic pellets (1 mm to 5 mm in diameter), classified as primary microplastics
• Volunteer Mobilization: State government has deployed volunteers for beach cleanup
• State government has deployed volunteers for beach cleanup
• Emergency Measures: Mitigation of oil slicks and hazardous materials Protection of fisherfolk livelihoods and marine biodiversity

Discovery of a New Detection Code in Quantum Materials

• Examples: Winding numbers, Chern numbers
• Breakthrough: New method offers a universal detection tool for classifying and exploring such materials

E-Hansa: India’s Indigenous Two-Seater Electric Trainer Aircraft

• Cost: Approximately ₹2 crore, about 50% cheaper than imported trainer aircraft.
• Program: Developed under the HANSA-3 (Next Generation) trainer program by CSIR-NAL.
• Price Advantage: Substantially reduces cost compared to imported trainers, enhancing affordability.

Tata Elxsi and Partners Launch Battery Aadhaar Initiative at Battery Summit 2025

• Event: Battery Summit 2025
• Reinforces India’s leadership in green technology and supports the National Electric Mobility Mission Plan (NEMMP)
• Partners: Tata Elxsi, Tata Motors, Tata AutoComp Systems, IIT Kharagpur
• Developed via Tata Elxsi’s MOBIUS+ platform, in collaboration with Tata Motors, Tata AutoComp, and IIT Kharagpur

Government Eases Rules Under Advance Authorisation (AA) Scheme for Exporters

• The government has relaxed norms under the Advance Authorisation (AA) Scheme to benefit exporters. Exporters can now claim duty-free benefits even if goods were shipped before licence issuance, provided the Bill of Entry is filed after the licence date.
• Eligibility: Manufacturer exporters and merchant exporters linked with supporting manufacturers.
• New Norm: Exporters can claim duty-free benefits if the Bill of Entry is filed after licence issuance, regardless of shipment date.
• Streamlines Customs clearance processes for exporters.

Launch of Swachh Survekshan Grameen (SSG) 2025

• Scope: Survey covers 21,000 villages across 761 districts in 34 States/UTs.
• Inclusivity & Capacity Building: Mobilisation of Swachhagrahis (local sanitation volunteers), training units, and local governance bodies for sustained impact.
• Mobilisation of Swachhagrahis (local sanitation volunteers), training units, and local governance bodies for sustained impact.
• SSG 2025 evaluates rural sanitation through four main components:

PadhAI Conclave on AI in Education

• India’s AI Leadership: Emphasized the need for India’s human intelligence to lead the ongoing AI revolution.

Union Minister Launches Ayush Suraksha Portal

• Serve as a centralized digital platform to report and monitor misleading Ayush advertisements and ADRs
• The portal was launched in compliance with SC Order dated July 30, 2024, in Writ Petition (Civil) No. 645/2022
• The Court mandated the creation of a central dashboard for reporting and inter-agency coordination by June 2025
• Public Access: Citizens can directly report misleading ads and ADRs

India-Chile Comprehensive Economic Partnership Agreement (CEPA)

• Chilean team headed by Mr. Pablo Urria, Director for Asia & Oceanic, Chile's Ministry of Foreign Affairs.
• On 8 May 2025, India and Chile signed the Terms of Reference (ToR) for negotiating a Comprehensive Economic Partnership Agreement (CEPA). The first round of negotiations began on 26 May 2025 in New Delhi. Commitment reaffirmed during the State Visit of Chilean President Gabriel Boric Font to India in April 2025.
• To enhance bilateral trade diversification, investment promotion, and employment generation.
• Negotiations covered 17 thematic tracks, including: Trade in Goods & Services Movement of Natural Persons Rules of Origin (RoO) Sanitary & Phytosanitary Measures (SPS) Technical Barriers to Trade (TBT) Customs, Transparency, Dispute Settlement Economic Cooperation, MSMEs, Women’s Empowerment Sustainable Development, Strategic Minerals Trade Intellectual Property Rights (IPR), Investment Cooperation

India Launches DHRUVA Policy for Digital Addressing System

• Promote collaboration between public and private stakeholders
• DIGIPIN (Digital Postal Index Number): A standardized, public-domain National Addressing Grid.

Indian Navy’s Anti-Submarine Warfare Capabilities Strengthened

• Contract for 8 ships awarded to CSL on 30 April 2019 by the Ministry of Defence.
• Vessels have over 80% indigenous content, supporting Aatmanirbhar Bharat and Make in India initiatives.
• Equipped with indigenously developed state-of-the-art Underwater Sensors.

Swachh Survekshan Grameen (SSG) 2025 Launched by Jal Shakti Ministry

• Union Minister of Jal Shakti, Shri C R Patil, officially launched Swachh Survekshan Grameen (SSG) 2025, a nationwide rural sanitation survey under the Department of Drinking Water and Sanitation (DDWS), Ministry of Jal Shakti. The launch event took place in New Delhi in the presence of Minister of State Shri V. Somanna, senior officials from DDWS, and state-level sanitation mission directors.
• Provide a national ranking of States, UTs, and Districts on rural sanitation indicators
• Strategic Features of SSG 2025
• Independent Agency Survey: Structured evaluation through trained personnel and verified data

Natural Hydrogen

• By 2012, analysis showed the gas was 98% pure hydrogen — a turning point for understanding its geologic potential.
• USGS estimates suggest tens of trillions of tonnes may exist globally. If just 2% is recoverable, it could meet global hydrogen demand for 200 years.
• If just 2% is recoverable, it could meet global hydrogen demand for 200 years.
• In 1987, a flame erupted unexpectedly from a borehole in Bourakébougou, Mali, revealing a rich source of hydrogen.

Cosmologists Confront ‘S8 Tension’ as Clumpiness of Universe Challenges Standard Model

• The universe originated from the Big Bang ~13.8 billion years ago.
• The Cosmic Microwave Background (CMB) radiation shows an almost perfectly uniform early universe, with slight density fluctuations (1 in 100,000).
• S8 measures matter clustering over large cosmic scales (~26 million light-years).
• Researchers using Hyper Suprime-Cam (HSC) on the Subaru Telescope in Hawaii reported an S8 value of 0.747, aligning with earlier surveys.

Microgravity Increases Core Body Temperature: IIST Model

• Advanced 3D Computational Model: IIST researchers developed a 3D thermoregulation model simulating: Blood redistribution Reduced blood volume Bone and muscle atrophy Metabolic changes Environmental heat transfer (e.g., via clothing, vital organs)
• IIST researchers developed a 3D thermoregulation model simulating: Blood redistribution Reduced blood volume Bone and muscle atrophy Metabolic changes Environmental heat transfer (e.g., via clothing, vital organs)
• Core Body Temperature in Space: Microgravity consistently raises astronauts' core body temperature. Over 2.5 months in space, body temperature may increase from 36.3°C to 37.8°C, and up to 40°C with exercise due to reduced sweating and increased metabolism.
• Microgravity consistently raises astronauts' core body temperature. Over 2.5 months in space, body temperature may increase from 36.3°C to 37.8°C, and up to 40°C with exercise due to reduced sweating and increased metabolism.

Quantum Dots

• The discovery of efficient ways to produce quantum dots earned the Nobel Prize in Chemistry 2023.
• Unlike electrons in normal conductors (like copper wires), electrons in quantum dots can only have specific, discrete energy levels—similar to how electrons behave inside atoms. This makes the quantum dot behave like a “giant atom.”
• This quantum confinement effect gives quantum dots special electronic and optical properties, useful in LED lighting, medical diagnostics, solar panels, printing, and semiconductors.
• QD-White LEDs:QDs are used in white LEDs to convert blue light from an LED into other colors, resulting in brighter and more efficient displays. 

Only 0.001% of Earth’s Deep Seafloor Visually Explored

• Duration-speed method: Estimated 3,823 km² covered in 66 years
• Conclusion: Only 0.001% of deep seafloor has been visually imaged.
• 97% of dives from only five countries:
• If 1,000 imaging platforms operate at present speed (~3 km²/year/platform), it would still take 100,000 years to image the entire deep seafloor once.

Indian Scientists Discover Jarosite as a Natural Luminescent Clock for Mars and Earth

• Thermal Stability: Luminescence retained up to 450°C, making it suitable for Mars rover instrumentation
• Planetary Dating Tool: Jarosite acts as a natural radiation clock to date geological events on Mars within a 25,000-year timeframe.
• Hardness: 2.5–3.5 on Mohs scale
• On Mars: Detected by NASA’s Spirit, Opportunity, and Curiosity rovers, indicating oxidizing and acidic surface conditions.

Google’s AI Matryoshka

• At its 2025 I/O Developer Conference, Google unveiled a sweeping AI-first transformation across its entire product suite, anchored by powerful foundational models and new privacy-challenging functionalities. 
• Flash Version: 20–30% more efficient, supports multi-speaker Text-to-Speech (TTS) in 24 languages.
• 20–30% more efficient, supports multi-speaker Text-to-Speech (TTS) in 24 languages.
• Foundation Models: Launch of Gemini 2.5 Pro with "Deep Think" mode and Gemini 2.5 Flash as the new default model

New Cave-Dwelling Fish Species: Schistura densiclava

• Pale yellow-green body with 14–20 greyish black bars
• Researchers: Kangkan Sarma & team from Gauhati University
• Thick stripe near dorsal fin (Latin densiclava = "thick stripe")
• Found 60 metres inside the cave

India’s First Gene-Edited Sheep Developed Using CRISPR-Cas9 Technology

• Recently, Union Agriculture Minister Shivraj Singh Chouhan released India’s first gene-edited rice varieties developed using the same CRISPR-Cas9 technology by ICAR scientists.

NSO Survey on Private Sector Capex FY25

• Less than 5% of private companies in FY25 planned to allocate their capex to diversification and green technologies: Energy transition/conservation: 1.38% Diversification: 2.75%
• Energy transition/conservation: 1.38%
• Diversification: 2.75%
• 10 out of 17 sectors allocated zero capex to energy transition/conservation, reflecting a lack of focus on green and future technologies in India’s private sector.

IndusInd Bank’s Executive Changes and Regulatory Actions

• Sumant Kathpalia, the MD & CEO of IndusInd Bank, resigned on April 29, 2025, citing moral responsibility for the accounting lapses that led to a loss of ₹2,000 crore.
• PricewaterhouseCoopers (PwC) estimated a ₹1,979 crore negative impact from derivative issues, with a 2.27% post-tax impact on the bank’s net worth as of December 2024.
• Shares of IndusInd Bank saw a marginal increase of ₹838.45 on Wednesday, signaling some stability after the executive changes.
• Analysts suggest that appointing a private sector banker as the new MD & CEO is crucial for re-rating the bank, given its unique portfolio of vehicle finance, microfinance, and gems & jewelry loans, which comprise 37% of its loan book.

SEBI Defers Common Contract Note for FPIs to July 1

• FPIs hold nearly 17% of India’s listed equities (as of Dec 2024).
• SEBI had initially planned CCN rollout in August 2024, then advanced it to April 30, now deferred to July 1.
• The Securities and Exchange Board of India (SEBI) has postponed the implementation of the Common Contract Note (CCN) for Foreign Portfolio Investors (FPIs) to 1 July 2025, extending the deadline by two months due to operational challenges raised by market participants.
• Cost Efficiency: Streamlines processes, mirroring the unified contract note system already available to retail investors.

Sebi’s Advisory on Opinion Trading

• It also warned users that these apps use misleading terminology like “trading,” “profits,” or “stop-loss”, which may mimic securities market activities.
• Platforms claim to be governed under MeitY (Ministry of Electronics and IT) guidelines, not financial laws.

Curie Money’s UPI-Mutual Fund Integration

• Sebi allows instant redemptions of up to ₹50,000 or 90% of units, but hasn’t explicitly permitted or disallowed UPI-linked use.
• Savings account yield: 2.7–2.75%
• Liquid fund return: 5–6% (annualized)→ More efficient cash management without sacrificing liquidity
• Works best with Yes Bank, though compatible with others.

SEBI’s Proposal: Increased Mutual Fund Limits in REITs and InvITs

• Objective: Channel more long-term capital into real estate and infrastructure sectors
• Mutual fund exposure in REITs and InvITs is currently <0.3% of total AUM
• Daily trading volumes are low; for example, Embassy REIT trades around ₹41 crore per day
• Mandated to distribute 90% of income, limiting growth via reinvestment

Income Tax Department Uses Benami Law to Probe UPI Transactions via Payment Gateways

• Section 23 of the Benami Act empowers tax authorities to gather information even in the absence of an active investigation, with approval from an Additional or Joint Commissioner
• The Income Tax Department has issued notices to at least two payment gateway firms under Section 23 of the Benami Transactions (Prohibition) Act, 1988
• This differs from the I-T Act, where information collection is usually tied to an ongoing assessment
• Objective: To trace whether shell merchants are being used to route money for tax evasion or benami arrangements

Sebi Proposes Mandatory Dematerialisation of Key Shareholders' Holdings Before IPO

• What it is: Dematerialization is the conversion of physical securities, like share certificates, into electronic form. 
• How it works: Investors need a Demat account with a Depository Participant (DP) to hold their dematerialized shares. They submit their physical share certificates to the DP, who then electronically transfers the shares to the Demat account. 
• Sebi noted a significant volume of physical shareholding continues to exist even among critical shareholders in companies approaching IPO

GST Collections Reach Record ₹2.09 Trillion in April 2025

• Net GST revenue rose 9.1% YoY to ₹2.09 trillion in April 2025
• Gross GST collection surged 12.6% YoY to ₹2.37 trillion
• Domestic GST revenue increased 10.7%; import-related GST grew 20.8%
• Refunds surged 40% month-on-month, with export-related refunds up 86.1%

UPI Transactions: Temporary Dip

• Sequential Decline: The 2% drop in volume and 3% drop in value in April is seasonal, following a March high driven by fiscal year-end business settlements and consumer purchases. The drop is not structural.
• Sustained YoY Growth: A 34% YoY rise in volume and 22% in value shows UPI remains firmly entrenched as India’s primary digital payment method.
• Month-on-Month Decline: A 3% fall in transaction volume and 7% drop in value.
• Sharp MoM Drop: 16% fall in transactions, 13% drop in value.

Policy Direction and Strategic Vision

• Declaring the private sector a “trusted partner” in development marks a shift from regulatory oversight to a more collaborative governance model.
• Integration of the PM Internship Scheme’s facilitation centre signals intent to bridge regulatory frameworks with career development.

Jana Small Finance Bank Set to Seek Universal Banking Licence in May 2025

• Jana Small Finance Bank (SFB) plans to apply to the Reserve Bank of India (RBI) for a universal banking licence in May 2025, according to MD & CEO Ajay Kanwal.
• Other Requirements: Listed status, net worth over ₹1,000 crore, and scheduled bank status
• The Reserve Bank of India introduced the ‘On Tap’ Licensing Policy in August 2016 for private sector universal banks. This policy allows eligible applicants to seek a banking licence at any time, enhancing dynamism and competition in the Indian banking sector.
• Small Finance Banks (Conversion Eligibility): Net worth ≥ ₹1,000 crore Scheduled bank status 5-year satisfactory operational record Gross NPA ≤ 3% and Net NPA ≤ 1% for past two years Mandatory listing on stock exchanges

NABFID Plans to Raise ₹70,000 Crore in FY26

• Debt Securities: Outstanding debt securities rose to ₹37,190 crore in March 2025, up from ₹19,668 crore in March 2024.
• Asset Doubling: NABFID expects its total assets, comprising loans and investments in instruments like debentures, to nearly double from ₹59,000 crore in March 2025 to ₹1.15 trillion by March 2026.
• Lender Borrowings: Borrowings from lenders more than doubled to ₹11,934 crore in FY25, compared to ₹5,550 crore the previous year.
• NABFID aims to raise up to ₹70,000 crore in FY26, significantly higher than the ₹23,000 crore raised in FY25.

Large Cap, Mid Cap, And Small Cap Funds

• Midcap Funds' Position: Midcap funds continue to outperform largecap funds with a 12.6% annualized return over the two-year period.
• Market Cap Range: ₹20,000 crore and above
• Market Cap Range: ₹5,000 crore to ₹20,000 crore
• Market Cap Range: Below ₹5,000 crore

BSE Seeks Approval for Monthly Derivative Contracts on New Indices

• Market Share Growth: BSE’s market share in index options has increased from 16.4% in December 2024 to around 22.1% in February 2025, boosted by regulatory changes that have helped increase premium turnover.
• New Indices Launched: Since September 2024, BSE has introduced 20 new indices based on market capitalisation, sector classification, and other criteria. These include BSE 1000, BSE Focused Midcap, BSE 250 Microcap, BSE PSU Bank, and BSE Focused IT.
• Existing Monthly Contracts: Currently, the BSE offers monthly derivative contracts for three indices: Sensex, Bankex, and Sensex50.
• Sebi's Criteria for Approval: To qualify for monthly derivative contracts, an index must meet several conditions set by Sebi, such as ensuring that the stocks contributing to 80% of the index's weight are eligible for derivative trading. Additionally, any stock ineligible for F&O must not have a weighting of more than 5% in the index.

SEBI Proposes Enhanced Role for Credit Rating Agencies in Equity Market

• Closer Scrutiny of Fund Utilisation: SEBI has suggested that rating agencies should closely monitor how companies utilize the funds they raise in the equity markets. This would help in preventing misuse of capital raised from public investors.

Opportunities and Challenges in the Gold Loan Sector Amid RBI's Regulatory Overhaul

• A large portion of India’s gold loan market remains underserved, with an estimated 65% of the market being informally served. The introduction of clearer regulations is expected to help formalize and expand access to this under-served segment.
• The Reserve Bank of India (RBI) issued draft guidelines on April 9, 2025, to harmonize the regulatory framework for gold loans, aiming to strengthen governance in the sector and address observed regulatory concerns. The new rules are expected to bring more stability and clarity to the gold loan market, which could help attract further investments and partnerships, particularly for fintech firms.
• Startups like Moneyview, which achieved a $1 billion valuation in 2024, are now looking to enter the gold loan market, further indicating the sector’s growth potential.
• Several new players are entering the gold loan market, including L&T Finance and Poonawala Fincorp, signaling further growth potential.

India Post & SBI Mutual Fund Join Hands to Offer Doorstep KYC Services

• Objective: Enable secure, accessible, doorstep KYC collection, especially in rural and underserved areas.
• Reach: Leverages India Post’s 1.64 lakh+ post offices across the country.
• Execution: Trained postal staff will visit investors’ homes to collect KYC documents.
• Beneficiaries: Senior citizens, rural investors, and those with mobility issues.

Bajaj Allianz Launches ‘ClimateSafe’

• Target Customers: Retail workers, gig economy workers, drivers, shop owners, residents, and event attendees.
• Claims Process: Automatic settlement within 7 days, no customer intimation needed.
• Flexibility: Risk location and duration (1–30 days) selectable by customer Dynamic premiums based on real-time weather data Multiple purchases allowed in a year
• Risk location and duration (1–30 days) selectable by customer

SBI Partners with LPAI to Boost Banking Services at India’s Border Land Ports

• Established: March 1, 2012, under LPAI Act, 2010
• State Bank of India (SBI) has signed an MoU with the Land Ports Authority of India (LPAI) to enhance banking and trade-related financial services across 26 land ports on India's borders, aligning with the Viksit Bharat 2047 vision.
• SBI’s Role: Provide forex services, bulk cargo insurance, and digital banking Offer corporate salary packages with benefits for LPAI employees Support trade expansion goals from ₹80,000 crore to ₹2 lakh crore by 2030
• Support trade expansion goals from ₹80,000 crore to ₹2 lakh crore by 2030

SBI Partners with LPAI to Boost Banking Services at India’s Border Land Ports

• Established: March 1, 2012 (under the LPAI Act, 2010)
• SBI’s Contribution: Provide end-to-end forex services, digital banking, and trade facilitation Offer bulk cargo insurance and corporate salary packages for LPAI staff Support government’s goal to boost trade volume to ₹2 lakh crore by 2030
• Support government’s goal to boost trade volume to ₹2 lakh crore by 2030
• Founded: July 1, 1955

RBI Adds 57.5 Tonnes to Gold Reserves in FY25 Amid Global Volatility

• Gold in Forex Reserves: Rose from 6.86% (2021) to 11.35% (2024)
• Gold Price Surge: Global prices rose 30%, enhancing gold's appeal as a safe-haven asset
• In FY25, the Reserve Bank of India (RBI) purchased 57.5 tonnes of gold, its second-highest annual acquisition since 2017, driven by global uncertainties and a surge in gold prices.
• Total Gold Holdings: Reached 879.6 tonnes as of March 2025, up from 822.1 tonnes in FY24

Razorpay Launches India’s First AI-Integrated Model Context Protocol (MCP) Server

• MCP Capabilities: AI assistants can now: Create payment links Initiate refunds Manage transactions via simple text commands Example: “Send ₹500 to Neha on WhatsApp”
• Example: “Send ₹500 to Neha on WhatsApp”
• Performance: 10,000 transactions/sec capacity <100 ms latency 24-hour issue resolution (7x faster than industry average) 4–5% improvement in transaction success rate
• 4–5% improvement in transaction success rate

RBI Working Group Recommends Longer Call Money Market Hours to Enhance Liquidity Flexibility

• Overnight Money Market Annual Turnover: Grew from ₹281.37 trillion (2014–15) to ₹1,324.05 trillion (2024–25).
• Grew from ₹281.37 trillion (2014–15) to ₹1,324.05 trillion (2024–25).
• Extended Trading Hours for Call Money Market: Proposed trading window to be extended till 7:00 PM (from the current 5:00 PM). Aims to offer greater flexibility for banks in overnight fund management and balance sheet optimization.
• Changes to Market Repo & Tri-Party Repo (TREP): Synchronize and extend trading hours for both market repo and TREP to 4:00 PM. Unify TREP trading hours for participants settling via Designated Settlement Banks and RBI.

RBI Seeks Government Nod to Remove Cap on Vostro Account Investment in Short-Term Sovereign Debt

• The RBI has written to the Finance Ministry, seeking removal of the 30% cap on short-term investments by SRVA holders.
• As per existing norms, only 30% of SRVA balances can be invested in short-term sovereign debt instruments (residual maturity less than one year), including treasury bills.
• In 2022, the Reserve Bank of India (RBI) introduced Special Rupee Vostro Accounts (SRVAs) to facilitate rupee-based trade settlements, aiming to promote the internationalisation of the rupee. These SRVAs allow foreign banks to hold rupee balances in India through domestic banks for trade settlement without registering as Foreign Portfolio Investors (FPIs).
• Provide greater flexibility to overseas banks using SRVAs for managing trade-linked liquidity.

Poonam Gupta Appointed Deputy Governor of RBI

• Economist Poonam Gupta took charge as a Deputy Governor of the Reserve Bank of India (RBI) on Friday, becoming the fourth woman to hold this position. She succeeds Michael Patra, whose term ended in January 2025.
• The next MPC meeting is scheduled for June 2025.
• The MPC has cut the policy repo rate by 25 basis points each in its last two meetings (April and February).
• Gupta will be part of the six-member Monetary Policy Committee (MPC), responsible for setting interest rates.

SEBI Alleges Insider Trading Violation by Pranav Adani

• The Adani Green–SB Energy deal was a major transaction valued at $3.5 billion, marking one of the largest M&A deals in India’s renewable energy sector in 2021.
• Pranav Adani, a key director in Adani Group companies and nephew of founder Gautam Adani, is facing insider trading allegations from the Securities and Exchange Board of India (SEBI). According to a SEBI notice reviewed by Reuters, Pranav Adani allegedly shared unpublished price-sensitive information (UPSI) regarding Adani Green Energy’s 2021 acquisition of SB Energy Holdings, backed by SoftBank.
• Trading by corporate insiders (officers, directors, employees) who have access to confidential information
• Trading by tippees (friends, family, or associates) who receive insider information from company insiders

NSE Launches Nifty Waves Index for Media, Entertainment, and Gaming Sectors

• Weight cap: Each stock’s weight in the index is capped at 5%, ensuring diversified exposure.
• The Nifty Waves Index includes 43 listed companies, such as: Nazara Technologies PVR Inox Zee Entertainment Saregama India Network18 Media & Investments
• Network18 Media & Investments
• It also aligns with the broader market shift toward thematic investing in niche and high-growth sectors like gaming, OTT, music, and media.

SEBI Proposes Simplified Disclosure Norms for QIP Placement Documents

• QIP’s Importance: In FY24, QIPs accounted for 35% of total equity-based fund mobilization, making them a crucial fundraising tool for listed companies.
• Amend the QIP placement document format to focus exclusively on: Material information specific to the issuer Recent developments impacting the company Risk factors and key financials already disclosed via regulatory filings
• Risk factors and key financials already disclosed via regulatory filings

RBI Panel Proposes Extension of Call Money Market Hours till 7 PM

• Call money’s share in the overnight money market has declined from 13% (2014-15) to ~2%, but it remains critical as the call rate serves as the RBI’s operational target under its current monetary policy framework.
• A Reserve Bank of India (RBI) working group has recommended extending the call money market trading hours by two hours, from 5:00 PM to 7:00 PM, to align with the 24x7 availability of payment systems and support better liquidity management among banks.
• Call Money Market: Extend trading hours till 7:00 PM to enhance reliance on this regulated interbank platform.
• Market Repo & TREPS: Unify and extend trading hours for both segments to 4:00 PM from the current 3:00 PM.

RBI Imposes Penalties on ICICI Bank, Axis Bank, and 3 Others for Regulatory Non-Compliance

• ICICI Bank Penalty: ₹97.8 lakh Violations: Delayed reporting of a cybersecurity incident Weak alert systems for account monitoring Failure to send credit card statements, while levying late payment fees
• Axis Bank Penalty: ₹29.6 lakh Violation: Unauthorized use of internal/office accounts
• Bank of Maharashtra Penalty: ₹31.8 lakh Violation: Non-compliance with Know Your Customer (KYC) regulations
• Bank of Baroda Penalty: ₹61.4 lakh Violations: Lapses in financial services compliance Deficiencies in customer service and deposit interest rate disclosures

SEBI Rules Out Aptitude Test for Retail F&O Traders, Emphasizes Investor Autonomy

• A SEBI internal study revealed that 90% of retail investors incur losses in F&O trading.
• In November 2023, SEBI introduced curbs on excessive speculation in derivatives to reduce financial risk.
• Stock exchanges act as frontline regulators, ensuring transparency through disclosures and audits.
• 2. Regulatory Perspective on Derivative Trading

Bank of India Signs MoU with Sa-Dhan to Boost Financing for Women-Led and Micro Enterprises

• Expand credit access to Self-Help Groups (SHGs) and non-SHG entrepreneurs
• Promote affordable, flexible financing for underserved communities
• Prioritize women entrepreneurship, rural enterprises, and semi-urban development
• Facilitate loan disbursement and monitoring via digital platforms

Crypto Scam Epidemic in India

• These firms promised 10–40% monthly returns, leveraging seminars, social media, and influencer endorsements to attract unsuspecting investors.
• Assets worth: ₹4.56 crore have been attached in the BTC Fund case. Over ₹180 crore seized in the Gain Bitcoin investigation, including properties in Dubai.
• ₹4.56 crore have been attached in the BTC Fund case.
• Over ₹180 crore seized in the Gain Bitcoin investigation, including properties in Dubai.

ICAI to Prepare Research Paper to Assist SEBI in Tackling Financial Frauds

• Objective: To support SEBI in enhancing regulatory oversight and preventing financial irregularities through structured academic input.
• Working Group Formation: ICAI will establish a dedicated working group comprising experts to identify fraud indicators and best practices in forensic auditing.

Public Sector Bank Pullback Slows Bancassurance Growth for Life Insurers in FY25

• Growth slowed from 7% in FY24 to 6% in FY25
• Growth dropped to 2% in March FY25
• Recorded 15% growth in FY25
• March growth moderated to 7%, compared to 8% in FY24

Bank Lending to NBFCs and MFIs Remains Subdued

• Bank credit to NBFCs grew only 5.7% YoY to ₹16.36 trillion as of March 21, 2025 (vs 15.3% growth in the same period last year).
• Microfinance loan portfolio declined 4% YoY to ₹3.91 trillion (as of December 2024).
• MFIN restrictions: The Microfinance Industry Network has imposed new norms (from early 2025), limiting borrower exposure to no more than three lenders.
• Credit to the services sector, which includes NBFCs, slowed to 13.4%, down from 28% last year.

PMMY: Fueling India’s Micro Enterprise Growth and Financial Inclusion

• Launched on April 8, 2015, the Pradhan Mantri Mudra Yojana (PMMY) has emerged as a key pillar of India’s inclusive financial ecosystem. Designed to offer collateral-free loans to micro and small enterprises (MSEs), PMMY has empowered millions of first-time entrepreneurs with access to formal institutional credit.
• MSMEs’ share in total bank credit rose from 15.8% to 20% in 10 years
• Shishu: Loans up to ₹50,000 (early-stage enterprises)
• Kishor: Loans between ₹50,001 to ₹5 lakh (growth-stage enterprises)

Governance Crisis in Indian Banking

• New India Cooperative Bank Fraud (₹122 crore siphoned off): In February, RBI uncovered cash misappropriation by a former GM. The individual admitted to stealing cash from the vaults over several years.
• Private bank boards must comprise at least 50% independent directors with specialized domain expertise.
• On April 28, 2025, the Deputy CEO of IndusInd Bank resigned.
• RBI’s powers under Section 36ACA allow board supersession for up to 1 year in public interest.

Supreme Court Ruling on JSW-Bhushan Power Deal

• Inadequate information flow between creditors and debtors
• Current framework gives creditors dominant control, incentivizing debtors to obstruct or delay
• Letting debtors retain operational control post-resolution can reduce resistance and fast-track settlements
• Emphasize equal accountability for lenders and borrowers in managing credit risks

Foreign Investors Face Regulatory Roadblocks in Buying Small Stakes in Indian Listed Companies

• As per NDI (Non-Debt Instruments) Rules, ≥10% holding = FDI (governed by RBI) <10% = Foreign Portfolio Investment (FPI, governed by Sebi)
• ≥10% holding = FDI (governed by RBI)
• <10% = Foreign Portfolio Investment (FPI, governed by Sebi)
• This has led to divergent interpretations: Conservative banks reject sub-10% investment unless investor is an FPI Liberal banks allow non-FPI foreign investors to buy <10% without FDI documentation like FC-GPR

IIFL Finance Sues ACRE Over ₹1,000 Crore Loan Recovery Dispute

• Agreement covered: ₹1,085 crore in bad loans from 7 stressed developers and over 22,000 retail borrowers
• ₹1,085 crore in bad loans from 7 stressed developers and over 22,000 retail borrowers
• ACRE was entitled to: 4% annual management fee (~₹40 crore) Additional performance incentives based on recovery outcomes
• 4% annual management fee (~₹40 crore)

India Post Payments Bank (IPPB) Celebrates Labour Day with Key Welfare Initiatives

• Launched by the Hon'ble Chief Minister of Gujarat on 8th July 2023 at Kheda, Gujarat, this scheme provides workers with a safety net and financial support in times of need.
• Commitment to Labour Welfare: On Labour Day (May 1), India Post Payments Bank (IPPB) reaffirmed its commitment to the welfare of Shramiks (labourers) by focusing on providing essential services and benefits for the unorganised sector workforce.
• On Labour Day (May 1), India Post Payments Bank (IPPB) reaffirmed its commitment to the welfare of Shramiks (labourers) by focusing on providing essential services and benefits for the unorganised sector workforce.
• Scheme Impact: 6,97,531 policies have been issued to Shramiks under the scheme since its launch. 355 claims have been successfully settled, amounting to a total claim payout of ₹5,41,17,754.

India Post Collaborates with SBI Mutual Fund to Simplify KYC Verification Process

• About SBI Mutual Fund: Founded: 29 June 1987 Headquarters: Mumbai, Maharashtra MD & CEO: Mr. Nand Kishore Ownership: SBI Mutual Fund is a joint venture between State Bank of India (SBI) and Amundi, a leading European asset management company.
• Founded: 29 June 1987
• India Post has handled over 5 lakh KYC verifications efficiently, demonstrating its ability to manage high-volume operations with precision, security, and efficiency.
• Headquarters: Mumbai, Maharashtra

What is Digital Rupee (e₹)?

• Availability: Usable 24x7, even outside banking hours.
• Can be used for person-to-person (P2P) and person-to-merchant (P2M) transactions via CBDC or UPI QR codes.
• The Digital Rupee (e₹) is India’s Central Bank Digital Currency (CBDC), issued by the Reserve Bank of India (RBI).
• Download the respective bank’s e₹ app.

SC Orders Liquidation of Bhushan Power & Steel

• BPSL was admitted to insolvency in 2017 after defaulting on ₹47,200 crore of debt.
• Section 29A: Disqualifies resolution applicants connected to the corporate debtor’s former promoters or other ineligible parties.
• Non-disclosure of critical facts by JSW and the RP misled both the Committee of Creditors (CoC) and the National Company Law Tribunal (NCLT).
• JSW Steel's plan had been approved in 2021, but the current order invalidates that resolution path.

RBI Winds Down Short Dollar Positions While Managing Liquidity Through OMOs

• Despite surplus liquidity, the RBI has conducted OMO purchases worth ₹2.5 trillion in 2025 so far.
• Rupee appreciated by 4.38% since its all-time low of ₹87.95/$ on Feb 10, 2025.
• 1.61% in calendar year 2025
• 1.44% in financial year 2025–26

SBI Research Forecasts Up to 125 bps Rate Cuts by RBI

• Current repo rate: 6.25% (after a cumulative 50 bps cut in February and April 2025)
• RBI is expected to conduct ₹1.25 trillion in OMOs in May 2025
• March CPI inflation: 3.34%, marking a multi-year low
• Domestic inflation is expected to converge toward the RBI’s 4% target, supporting the likelihood of further rate cuts

Stricter SEBI Rules Slow SME to Mainboard Migration in 2024–25

• Average migration time now ~5 years in 2024 versus under 2 years in 2019
• Minimum revenue of ₹100 crore in the previous financial year
• Positive operating profit in at least 2 of the past 3 years
• Promoters must retain at least 50% of their initial stake post-listing

RBI Slows Gold Repatriation Amid Rising Share in Forex Reserves

• RBI brought back only 1.53 tonnes of gold from overseas vaults between September 2024 and March 2025
• Total gold reserves as of March-end 2025: 879.6 metric tonnes 512 tonnes held domestically 348.6 tonnes held with Bank of England and BIS 18.9 tonnes in the form of gold deposits
• In contrast, 102.1 tonnes were repatriated in the first half of FY25
• Share of gold in total forex reserves rose to 11.70% from 9.32% over the second half of FY25

SEBI Probes Mahadev Betting App Firms for FPI Violations and Stock Manipulation

• ED has frozen assets and cash worth over ₹573 crore, and seized ₹3.29 crore in cash.
• Assets worth ₹3,002.47 crore attached
• The ED is probing money laundering by Mahadev Online Book promoters who allegedly: Operated benami bank accounts offshore Laundered betting proceeds and reinvested them into Indian markets
• Funds were reportedly routed from overseas, specifically via FPIs based in Dubai and Mauritius.

₹600 Crore Discrepancy in IndusInd Bank’s Microfinance Accounting Triggers Audit Probe

• Microfinance constitutes 9% of IndusInd Bank’s loan book.
• Portfolio size: ₹32,564 crore as of 31 December 2024
• The bank acquired Bharat Financial Inclusion Ltd (formerly SKS Microfinance) in 2019, now a wholly owned subsidiary.
• Statutory auditors flagged a ₹600 crore discrepancy after reviewing IndusInd Bank’s microfinance income.

MSEI’s Revival Faces Hurdle as SEBI Plans to Cap Derivative Expiries to Two Days

• On 27 March 2025, SEBI released a consultation paper proposing: All index derivative expiries must be limited to Tuesdays or Thursdays. Aim: To ensure optimal spacing and reduce concentration risk.
• The exchange raised ₹238 crore in December 2024 from key fintech investors like Groww’s parent (Billionbrains), Zerodha’s Rainmatter, Share India Securities, and Securocorp Securities.
• MSEI’s strategy hinged on having a Friday expiry for its SX40 derivatives to differentiate from NSE (Thursday) and BSE (Tuesday).
• As of 5 May: MSEI’s daily trading volume was just 30,950, compared to NSE’s ₹293.72 crore and BSE’s ₹58.59 crore in cash market volumes. SX40 futures contracts registered zero trading volume, while Nifty 50 futures on NSE recorded 76,211 contracts.

Aditya Birla Capital Digital Launches Digital Gold SIP

• ₹50 for weekly SIPs
• ₹100 for monthly SIPs
• Automated & Regular Investments: Helps users invest consistently and leverage rupee-cost averaging and compounding.
• 24-Karat Gold-Backed: Gold is stored in insured, secure vaults managed by MMTC-PAMP (JV between Swiss brand PAMP & MMTC, GoI undertaking).

RBI Grants Online Payment Aggregator License to Zaakpay (MobiKwik)

• MobiKwik shares fell 0.99% to ₹249.95 on May 2, 2025 (previous close: ₹252.60)
• Meta (WhatsApp-based payments) in healthcare and transport (2024)
• Comes amid RBI’s crackdown on unlicensed payment aggregators who were barred from onboarding new merchants.
• Enables Zaakpay to scale legally and securely, targeting more partnerships and expanding digital services.

RBI May Extend Call Money Market Hours to 7 PM

• Currently contributes just 2% of overnight market volumes, down from 13% in 2014–15.
• Definition: Call money refers to short-term loans—usually overnight or up to 14 days—offered in the inter-bank market.
• The Reserve Bank of India (RBI) proposes to extend call money market trading hours from 5 PM to 7 PM. The goal is to enhance interbank liquidity to meet the demands of 24x7 real-time payment systems.
• Types: Call Money: Loans repayable within one day. Notice Money: Loans with a maturity period of 2 to 14 days.

India’s Digital Public Infrastructure

• Launched: August 2, 2021
• Launched: September 2021
• Conceptualized: 2015–16 by TRAI
• Cabinet approval: December 2020 after PMO intervention

RBI’s OMO Bond Purchase Draws Strong Demand

• The Reserve Bank of India (RBI) conducted open market operations (OMO) on Tuesday, inviting bond purchases worth ₹50,000 crore.
• The 7.10% GS 2034 bond saw maximum demand, as investors are offloading it to accommodate the new 10-year benchmark bond issued on May 2.
• Total bids received: ₹1.32 lakh crore, more than 2.6x oversubscription, indicating robust market demand.
• Bonds maturing between 3 to 14 years were included; ultra-long tenured bonds were excluded.

Fino Payments Bank Prepares to Transition into a Small Finance Bank (SFB)

• First 10 SFB licenses were granted in November 2015, including AU Small Finance Bank, Equitas, and Ujjivan.
• 75% of Adjusted Net Bank Credit (ANBC) must be lent to priority sectors (agriculture, MSMEs, etc.).
• Regulated under the Banking Regulation Act, 1949 and RBI Act, 1934.
• Payments banks, unlike SFBs, cannot lend and must park 75% of deposits in government securities, severely limiting income avenues.

Small Finance Banks vs Payments Banks

• Small Finance Banks (SFBs): Aim to provide full-fledged banking services to unserved and underserved populations, especially in rural and semi-urban areas.
• Payments Banks (PBs): Designed to offer low-risk, technology-driven banking solutions like savings accounts and remittances to low-income households and migrant workers.
• AU Small Finance Bank
• Airtel Payments Bank

Goldsikka Unveils AI-Powered Gold-Melting ATM in Hyderabad

• Expansion Plan: 100 Gold-Melting ATMs to be installed in India Another 100 overseas, within a year
• Another 100 overseas, within a year
• Innovation: India’s first AI-powered Gold-Melting ATM
• Entire process (deposit to fund transfer) takes approx. 30 minutes

India Lists First Mortgage-Backed Pass-Through Certificates (PTCs) on NSE

• Total Issue Size: ₹1,000 crore
• Face Value per PTC: ₹1,00,000
• Coupon Rate: 7.26% per annum
• Maturity: Approximately 20 years

Exim Bank Withdraws ₹2,500 Crore 10-Year Bond Issue

• Exim Bank withdrew its planned ₹2,500 crore 10-year bond issuance after investors demanded higher-than-expected yields, according to multiple market sources.
• Collateralized Bonds: These bonds are backed by a company’s assets (e.g., real estate or equipment). If the company defaults, the bondholders can claim these assets.
• Convertible Bonds: These bonds can be converted into a specified number of shares, allowing bondholders to benefit from rising stock prices.
• Interest Rates: A bond's interest rate is influenced by factors like the company's credit quality and the duration of the bond. Healthier companies or those issuing shorter-term bonds typically offer lower interest rates.

Bank Bonds

• Institutional Buyers: Pension funds, insurance firms, and other banks frequently invest.
• Security: Often backed by loans, mortgages, or other bank assets.
• Higher Yields: Compared to central bank-issued government bonds.
• Utility: Used for saving, debt repayment, or emergency funds. No need for a pre-existing bank account to purchase.

Electricity Derivatives

• Purpose and Use Used for hedging price risk due to high volatility. Commonly used by: Utilities (both generators and retailers) Large consumers (e.g., manufacturers)
• Commonly used by: Utilities (both generators and retailers) Large consumers (e.g., manufacturers)
• Utilities (both generators and retailers)
• Large consumers (e.g., manufacturers)

RBI Introduces New Framework for Regulation Formulation and Public Consultation

• Applies to all regulatory instruments issued by the RBI: Directions Guidelines Notifications Orders Policies Specifications and Standards
• A Statement of Particulars must accompany the draft, including: Objectives of the regulation Impact analysis, to the extent feasible Reference to international standards and global best practices
• Objectives of the regulation

Weighted Average Lending Rate (WALR)

• Changes in WALR directly impact: Borrowing costs for consumers and businesses Bank profitability
• The overall spread between the weighted average lending rate (WALR) and weighted average domestic term deposit rate fell to 2.71% in March 2025, a 10-year low, down 5 bps month-on-month (M-o-M). Spread on fresh loans fell sharply by 22 bps to 2.7% during the same period.
• The Weighted Average Lending Rate (WALR) is a key financial metric that reflects the average interest rate at which a bank lends to its borrowers, adjusted for the size of each loan.
• Used by regulators to assess: Effectiveness of policy rate changes. Credit market dynamics. Cost of borrowing across the economy.

RBI Surplus Transfer

• Committees that guided surplus transfers: V Subrahmanyam (1997) Usha Thorat (2004) Y.H. Malegam (2013) Bimal Jalan Committee (2018) → Finalized the Revised Economic Capital Framework (ECF)
• Section 47, RBI Act, 1934: RBI must transfer surplus to the Central Government after risk provisions.
• Bimal Jalan Committee (2018) → Finalized the Revised Economic Capital Framework (ECF)
• The Reserve Bank of India (RBI) is likely to transfer a record ₹3 lakh crore surplus to the central government for FY25. This is 50% higher than FY24’s ₹2.1 lakh crore transfer and well above the budget estimate of ₹2.3 lakh crore.

RBI’s Co-lending Framework

• Objective: Leverage NBFC reach with bank liquidity to serve underserved segments
• RBI sees lower inflation in FY26: Forecast cut to 4%
• Increased Complexity: Co-lending models have diversified, sometimes involving fintechs and multilayered structures
• Repo Rate Cut: 25 bps reduction; stance now 'accommodative'

SEBI Tightens Disclosure Norms for REITs and InvITs

• Audited Financial Statements: REITs and InvITs must disclose: Audited financials for the past 3 financial years Stub period financials, if the latest audited figures are older than 6 months
• Audited financials for the past 3 financial years
• Entity Age Clause: In follow-on offers, if the REIT/InvIT has not existed for 3 years: Financials must be provided for the actual period of existence + stub period
• Issued via two circulars, the revised norms are based on the recommendations of a Working Group under HySAC (Hybrid Securities and Advisory Committee).

SEBI Introduces Regulations for Securitised Debt Instruments (SDIs)

• Primary Issuance: ₹1 crore minimum investment size for all investors in SDIs.
• ₹1 crore minimum investment size for all investors in SDIs.
• Subsequent Transfers: ₹1 crore for originators not regulated by the RBI. For SDIs backed by listed securities: Minimum ticket size equals the highest face value among underlying securities.
• ₹1 crore for originators not regulated by the RBI.

Sa-Dhan and Bank of India Collaborate to Boost Financial Inclusion for Small, Micro, and Women-Led Businesses

• Sa-Dhan, a self-regulatory organization for microfinance institutions (MFIs), has entered into a Memorandum of Understanding (MoU) with the Bank of India (BoI) to enhance financial access for small, micro, and women-led enterprises in India.
• The collaboration aims to address key barriers to financial inclusion and foster sustainable economic growth.
• The partnership is aligned with India’s National Financial Inclusion goals and the Sustainable Development Goals (SDGs), particularly in areas such as: Poverty alleviation Gender equality Economic empowerment of underserved communities.
• Economic empowerment of underserved communities.

IndusInd Bank’s Crisis: RBI and Financial Stability

• ICICI Bank (April 2003):RBI reassured the public after rumors on ICICI’s liquidity surfaced.
• YES Bank Moratorium (March 2020):RBI protected depositors’ interests during the moratorium and resolution process.
• Market Reaction: IndusInd Bank shares plunged over 27% in a day.
• RBI Response: Issued a Saturday statement confirming the bank’s financial health. Urged depositors to ignore speculative reports and remain calm. Directed the bank's board to complete corrective actions by Q4FY25.

RBI Removes Investment Limits for FPIs in Corporate Debt Market

• 30% Cap Rule: FPIs were not allowed to invest more than 30% of their total corporate debt investments in securities with residual maturity of up to one year.
• FPIs were not allowed to invest more than 30% of their total corporate debt investments in securities with residual maturity of up to one year.
• Concentration Limits: Long-Term FPIs: Limited to 15% of the prevailing corporate debt investment limit. Other FPIs: Capped at 10% of the same limit.
• Long-Term FPIs: Limited to 15% of the prevailing corporate debt investment limit.

Startup Founders Seek Sebi Relaxation on Esops Amid Dilution Ahead of IPOs

• Sebi’s current regulations prohibit Esop grants to promoters post-listing.
• However, many founders are classified as promoters during IPO preparation, making them ineligible for Esops under existing rules.
• Ownership Incentive: Grants employees shares, fostering a sense of ownership and loyalty.
• Non-Discriminatory: ESOPs must be offered equitably, with a fiduciary trustee overseeing the plan.

RBI Surplus Transfer to Government

• Malegam Committee (2013) recommended higher reserve transfers.
• The Reserve Bank of India (RBI) is expected to transfer a surplus between ₹ 2.2 trillion and ₹ 3.1 trillion to the government for the financial year 2024-25 (FY25), against record ₹ 2.1 trillion in FY24,aBusiness Standard snap poll of six participants said.
• Based on recommendations by the Bimal Jalan Committee (2018).
• Only the remaining surplus, after provisioning, is transferred to the Government of India under Section 47 of the RBI Act, 1934.

Pass-Through Certificates (PTCs)

• The SPV issues PTCs to investors, passing through the monthly repayments (both interest and principal) made by borrowers.
• Investors earn regular income from the mortgage pool, making PTCs a key instrument in asset-backed securities (ABS).
• Investors receive scheduled repayments from the pool.
• Issued to diversify risk and enhance liquidity in the mortgage market.

Kotak Solitaire Credit Card

• 10 airmiles per ₹100 spent on flight and hotel bookings via Kotak Unbox platform.
• 3 airmiles per ₹100 on all other eligible spends.
• Cap of 1,00,000 airmiles per statement cycle via Unbox; post this, only 3 airmiles per ₹100 will be earned.
• Airmile validity: 3 years.

Credit Guarantee Scheme for Startups (CGSS): Expanded to Boost Startup Debt Funding

• Launched: October 2022 under the Startup India Action Plan
• Guarantee Limit Enhanced: From ₹10 crore to ₹20 crore per borrower
• Guarantee Coverage: 85% for default on loans up to ₹10 crore 75% for default on loans above ₹10 crore
• 85% for default on loans up to ₹10 crore

RBI Designates FIMMDA as First SRO Under New Financial Market Guidelines

• Established: 1998
• New RBI SRO Framework (August 2024)
• Outlines: Objectives & responsibilities Eligibility norms Governance and membership standards Application & recognition procedures
• Objectives & responsibilities

Jan Suraksha Schemes Complete 10 Years of Financial Protection for India's Poor

• Eligibility: Age 18–50 years with a bank/post office account
• Eligibility: Age 18–70 years with a bank/post office account
• Objective: Guaranteed pension scheme for unorganised sector workers
• Launched on 9th May 2015, the three Jan Suraksha Schemes—PMJJBY, PMSBY, and APY—were introduced as social security schemes for life insurance, accident insurance, and pension coverage targeting the economically weaker sections of society. As of 2025, they have completed a decade of providing low-cost financial risk coverage to crores of Indians.

SEBI's New Derivatives Risk Framework

• Gross position limit for index options raised to ₹10,000 crore.
• Net limit capped at ₹1,500 crore.
• Earlier proposed gross limit of ₹1,500 crore scrapped due to pushback from HFTs and market makers.
• MWPL now set as the lower of: 15% of free-float market cap, or 65x the average daily delivery value.

Revolutionizing India's Insurance Sector

• India is on track to become the 6th largest insurance market by 2032, growing at a 7.3% CAGR from 2024 to 2028, the highest among G20 nations.
• Since 2000, FDI in insurance has crossed ₹82,847 crore, signaling sustained confidence and growth.
• India’s vision of "Insurance for All by 2047" shifts the focus from premium collection to ensuring basic risk protection for every citizen, including farmers, gig workers, and street vendors.
• Regulatory Reforms: 78 regulations were consolidated into 26, and 370 circulars were merged into 12, creating an agile and efficient regulatory framework.

NRI Financial Compliance Guide 2025

• PPF: Can be continued till maturity, but not extendable beyond 15 years.
• Submit enhanced KYC documents to SEBI-registered KYC Registration Agency (KRA), including: Identity proof Visa/residency permit/OCI card Overseas address proof FATCA (for US NRIs) / CRS declarations (for UK, Canada, etc.)
• Overseas address proof
• FATCA (for US NRIs) / CRS declarations (for UK, Canada, etc.)

Morningstar DBRS Upgrades India’s Sovereign Credit Rating to 'BBB'

• Strong Economic Performance: Average real GDP growth of 8.2% between FY22 and FY25 Sustained macroeconomic stability: Controlled inflation Range-bound exchange rate Stable external accounts
• Average real GDP growth of 8.2% between FY22 and FY25
• Morningstar DBRS uses ‘high’, ‘middle’, and ‘low’ suffixes (e.g., ‘BBB (low)’, ‘R-2 (high)’), which are equivalent to the +/- symbols used by Fitch and S&P.
• India’s Short-Term Foreign and Local Currency – Issuer Ratings: From R-2 (middle) to R-2 (high) with a Stable outlook

RBI Relaxes FPI Investment Norms in Corporate Debt Securities

• Aligns with Reform Agenda: Complements broader efforts to deepen India's capital markets and attract global investors

SEBI Imposes Cooling-Off Period for Directors of Market Infrastructure Institutions (MIIs)

• Public interest directors: Can be appointed to a competing MII for a 3-year term only after SEBI’s prior approval
• Amended Regulations SECC Regulations, 2018 Depositories and Participants Regulations, 2018
• SECC Regulations, 2018
• Depositories and Participants Regulations, 2018

Index Options

• February 2024 proposals included: Gross exposure cap of ₹1,500 crore monitored intraday. Revamped open interest (OI) calculation methodology using delta-based OI to reflect true market risk.
• Lot size of index options was increased from 25 to 75 in October 2023.
• Gross exposure cap of ₹1,500 crore monitored intraday.
• Intraday exposure cap dropped; SEBI now proposes: Gross limit: ₹10,000 crore Net limit: ₹1,500 crore (end-of-day compliance)

Special-Purpose Vehicle (SPV)

• The initial government commitment is ₹7,000 crore.
• Though open to private investment, B-SMILE will be fully state-owned. 90% equity: Government of Karnataka 10% equity: Bruhat Bengaluru Mahanagara Palike (BBMP)
• 90% equity: Government of Karnataka
• 10% equity: Bruhat Bengaluru Mahanagara Palike (BBMP)

Bank Mitras

• Access to basic banking services (deposits, withdrawals, fund transfers) near customers’ homes
• Smooth disbursal of welfare schemes via Direct Benefit Transfer (DBT)
• The Bank Mitra program is an initiative under the Pradhan Mantri Jan Dhan Yojana (PMJDY) launched on August 28, 2014, that aims to extend banking services to unbanked and underbanked rural areas through appointed individuals called Bank Mitras, who act as business correspondents of banks.
• Boost in bank account penetration in rural and tribal belts

AI-Based Training in PSBs

• PSBs like Punjab National Bank (PNB) are using conversational AI to conduct 30-minute mock sessions.
• AI-Powered Employee Training: PSBs like Punjab National Bank (PNB) are using conversational AI to conduct 30-minute mock sessions. These sessions assess communication skills, etiquette, and body language. Employees receive a performance matrix and rankings to identify improvement areas.
• Immersive Learning via AR/VR: AR and VR modules are being introduced to simulate real-life banking scenarios. This provides employees with realistic, immersive training experiences.
• This provides employees with realistic, immersive training experiences.

RBI Surplus Transfer

• Section 47, RBI Act, 1934: RBI must transfer surplus to the CentralGovernment after risk provisions.
• Based on recommendations by the Bimal Jalan Committee (2018).
• Only the remaining surplus, after provisioning, is transferred to the Government of India under Section 47 of the RBI Act, 1934.
• RBI must maintain a Contingent Risk Buffer (CRB) of 5.5%–6.5% of its balance sheet.

RBI Imposes Penalties on SBI and Jana Small Finance Bank for Regulatory Non-Compliance

• In March 2025, the RBI had also penalized: HSBC Bank: ₹66.60 lakh IIFL Samasta Finance: ₹33.10 lakh
• HSBC Bank: ₹66.60 lakh
• Reason: Contravention of certain provisions under the Banking Regulation Act, 1949
• Amount: ₹1.73 crore (₹1,72,80,000)

Bhutan Launches World’s First National Cryptocurrency Tourism Payment System

• Promotes Financial Inclusion Adopted by 100+ Bhutanese businesses, including remote and rural vendors Enables participation in the $3 trillion global cryptocurrency market
• Adopted by 100+ Bhutanese businesses, including remote and rural vendors
• Automatic Currency Conversion Crypto payments are instantly converted to Bhutanese Ngultrum (BTN) Handled by DK Bank, ensuring stable payouts to merchants
• Bhutan has become the first country globally to launch a national-level cryptocurrency payment system for tourism, in partnership with Binance Pay, a subsidiary of Binance Holdings Ltd, and DK Bank, Bhutan’s first fully digital bank.

Fitch Upgrades Shriram Finance to ‘BB+’

• Funding Diversity

Challenges Faced by Indian MSMEs: SIDBI Report

• Despite multiple government schemes, MSMEs still face a 24% credit gap, equivalent to about ₹30 lakh crore.
• Micro enterprises are most dependent on informal borrowing (12%), compared to 3% for small enterprises and 2% for the overall MSME sector.
• The services sector faces a higher credit gap (27%).
• Women-led MSMEs experience the most acute shortfall, with a 35% credit gap.

Treasury Bills (T-Bills): A Key Short-Term Government Instrument

• In 2023, the Reserve Bank of India (RBI) provided a $400 million USD swap and ₹30 billion INR swap to ease a financial crunch in the Maldives.
• Profit arises from the difference between issue price and face value. Example: A 91-day T-Bill with a face value of ₹120 may be bought at ₹118.40. On maturity, the investor receives ₹120, making a profit of ₹1.60.
• Example: A 91-day T-Bill with a face value of ₹120 may be bought at ₹118.40. On maturity, the investor receives ₹120, making a profit of ₹1.60.
• 364-day T-Bill – Longest tenure under T-Bills; used by institutional investors for near one-year parking of funds.

Payment Aggregator

• Maintain a net worth of INR 15 crore by March 31, 2021
• Maintain a net worth of INR 25 crore by March 31, 2023
• Final RBI Nod: PayU is now officially authorised under the Payment and Settlement Systems Act, 2007.
• Industry Status: Joins over 50 RBI-approved payment aggregators, including Razorpay, BillDesk, Cashfree Payments, and CCAvenue.

Expression of Interest (EOI)

• A consortium of banks led by Union Bank of India has received 17–18 expressions of interest (EoIs) for the sale of ₹728.58 crore in stressed loans of Sahara Hospitality Ltd, which operates the Sahara Star Hotel in Mumbai.
• Conduct of Business Asks the seller to continue operations in the normal course and to notify any major changes that could affect valuation or terms.
• Asks the seller to continue operations in the normal course and to notify any major changes that could affect valuation or terms.
• Transaction Structure Clarifies whether the buyer seeks a full acquisition or a carve-out. Describes assets, liabilities, and earn-out arrangements. Explains funding method: internal reserves or bank financing.

Public Sector Banks Launch Special Deposit Products to Boost Resource Mobilisation

• Interest Rate: 6.75% per annum
• Eligibility: Minimum deposit of ₹10 lakh, maximum ₹3 crore
• Unique Feature: Includes a 375-day Super Top-up Health Insurance cover: Coverage: ₹5 lakh Facility: Cashless hospitalisation
• Coverage: ₹5 lakh

SEBI Proposes Relaxed Norms for FPIs Investing Only in Indian Government Bonds

• The move follows India's upcoming inclusion in major global bond indices, including: JP Morgan Global Emerging Markets Bond Index Bloomberg EM Local Currency Government Index FTSE Russell EM Government Bond Index (effective September 2025)
• FTSE Russell EM Government Bond Index (effective September 2025)
• Current FPI rules cap NRI/OCI/RI investment at: 25% individually 50% collectively of FPI corpus.
• 25% individually

Liquid Exchange-Traded Funds (ETFs)

• Long-Term Capital Gains (LTCG): If sold after 1 year, gains are taxed at 12.5% (with the initial ₹1.25 lakh of profits exempted per financial year).
• Convenient Transactions: No need for frequent fund transfers between trading and bank accounts.
• Brokers are increasingly guiding clients to liquid exchange-traded funds (ETFs) as a solution for managing idle cash. Liquid ETFs allow brokers to retain funds within their platforms, bypassing regulatory requirements that mandate transferring unutilized funds back to clients' bank accounts at month-end. As of the latest figures, assets under management (AUM) in liquid ETFs have increased by 31% over the past year, growing from ₹17,200 crore to ₹23,550 crore.
• Investors looking for a secure way to park unused funds temporarily.

Qatar National Bank Becomes First MEA-Based Bank to Open Branch in India’s GIFT City

• Qatar National Bank (QNB), the largest financial institution in the Middle East and Africa (MEA), has inaugurated a new branch in Gujarat International Finance Tec-City (GIFT City), making it the first MEA-based bank to do so.
• Significance for India: The move underscores India's growing prominence as a global economic and manufacturing hub. GIFT City is positioned as a gateway for international financial services, attracting global institutions.

RBI Makes Reporting of Digital Lending Apps Mandatory from May 13, 2025

• Public Directory of DLAs: Launch Date: July 1, 2025 RBI will host a live public directory on its website for consumers to verify DLAs linked to RBI-regulated lenders. The directory will be auto-updated as REs add or delist apps.
• Portal Activation Date: May 13, 2025
• Compliance Deadline for REs: June 15, 2025
• Launch Date: July 1, 2025

LIC Launches WhatsApp-Based Premium Payment Facility for Policyholders

• Founded: 1 September 1956
• Over 2.2 crore policyholders are registered on LIC’s digital platform, with 3+ lakh daily logins
• Headquarters: Mumbai, Maharashtra
• Available to all registered LIC customers

Section 7 of the Insolvency and Bankruptcy Code (IBC)

• Default Threshold As per current provisions and interpretations (e.g., Cleartax, NCLT orders), a minimum default of ₹1 crore is required for the application to be admitted under Section 7.
• As per current provisions and interpretations (e.g., Cleartax, NCLT orders), a minimum default of ₹1 crore is required for the application to be admitted under Section 7.
• Right to Initiate CIRP A financial creditor (individually or jointly with others) can file an application before the Adjudicating Authority (NCLT) upon occurrence of a financial debt default by a corporate debtor.
• A financial creditor (individually or jointly with others) can file an application before the Adjudicating Authority (NCLT) upon occurrence of a financial debt default by a corporate debtor.

Market Capitalization

• Market Capitalization refers to the total market value of a company’s outstanding shares.
• Comprise the top 100 companies listed by market capitalization
• Features: Strong market presence and track record Stable with lower risk Commonly included in major indices like Nifty 50
• Commonly included in major indices like Nifty 50

Small and Medium Real Estate Investment Trust (SM Reit)

• It lowers the entry threshold from ₹500 crore (for regular REITs) to ₹50 crore, thereby democratizing real estate investments.
• Minimum Asset Value Must have a minimum real estate asset value of ₹50 crore.
• Must have a minimum real estate asset value of ₹50 crore.
• Fund Pooling Mechanism Can raise a minimum of ₹50 crore through at least 200 investors by issuing investment units.

Fund Manager Survey (FMS): BofA Securities

• India is now the most preferred equity market in the Asia-Pacific (APAC) region, according to BofA Securities’ May 2025 Fund Manager Survey (FMS), outperforming Japan, China, and other regional peers.
• India leads with 42% net preference, up from prior months.
• Japan follows closely at 39%.
• China improves its standing to 6% (previously lowest).

SEBI Eases Internal Audit Team Norms for Credit Rating Agencies

• On May 15, 2025, the Securities and Exchange Board of India (SEBI) relaxed eligibility norms for the composition of internal audit teams of Credit Rating Agencies (CRAs) to expand the pool of qualified professionals.
• Encourages diversification in professional skill sets

Systematic Investment Plan (SIP)

• Lump sum: Invest entire ₹1 lakh at once
• SIP: Start a monthly SIP of ₹500. The amount will be deducted every month on a fixed date and invested in the mutual fund.
• Investing ₹1,000 per month for 20 years
• At an average 10% return, grows to ₹7,18,259

RBI Proposal to Add Nominee Email and Phone Numbers in Bank Nomination Forms

• The RBI sought suggestions from banks in April 2025 on updating nomination forms to include nominee email and mobile numbers.
• It amends sections 45ZA, 45ZC, and 45ZE of the Banking Regulation Act, enabling simultaneous and successive nominations, improving flexibility and ease for depositors and heirs.
• Legal Backdrop: The Banking Laws (Amendment) Bill, 2024 allows up to four nominees per bank account. It amends sections 45ZA, 45ZC, and 45ZE of the Banking Regulation Act, enabling simultaneous and successive nominations, improving flexibility and ease for depositors and heirs.
• The Banking Laws (Amendment) Bill, 2024 allows up to four nominees per bank account.

Co-Lending Rules for NBFCs and Banks

• Repealing the current ‘track 2’ rules would be highly disruptive and could significantly reduce credit availability to vital customer segments and sectors.
• FICCI Urges RBI to Retain Existing Co-Lending Rules for NBFCs and Banks: NBFCs originate loans and then sell up to 80% of the loan to partner banks via direct assignment. This model provides NBFCs operational flexibility and benefits from a waiver on minimum holding period for the loans sold to banks. As per ICRA (April 2025), co-lending assets under management (AUM) reached ₹80,000 crore by March 2024, showing strong growth.
• Shift from the current model to a joint lending model, where banks and NBFCs would simultaneously underwrite and disburse loans.
• This new approach requires both lenders to share the loan underwriting process and disbursal, changing the operational dynamics.

Economic Capital Framework (ECF)

• Contingency Risk Buffer (CRB): A financial cushion for unforeseen monetary, credit, fiscal, and operational risks. Recommended target: 5.5% to 6.5% of the RBI’s balance sheet. As of March 31, 2024: CRB = 6.5%.
• As of March 31, 2024: CRB = 6.5%.
• How much surplus the RBI can legally transfer to the Government of India under Section 47 of the RBI Act, 1934.
• Bimal Jalan Committee (2018) reviewed the framework and set the current guidelines, valid till June 2024.

AI and MCP Revolutionize Backend Systems in B2B Fintech

• It reduces the need for manual integrations and streamlines the fintech experience into conversational and automated workflows.
• AI agents understand the business’s menu or rate card and automatically trigger relevant APIs.
• The fintechs anticipate massive adoption of AI in the next 6–12 months.

Government Plans to List Five Regional Rural Banks (RRBs) by FY27

• RRBs were established under the RRB Act, 1976, with joint capital contributions from: Government of India (50%) Concerned state governments (15%) Sponsor public sector banks (35%)
• A PwC India report estimates that RRBs’ share of India’s GDP will rise from 3.7% in FY24 to 5.2% by FY30 after consolidation and reform measures.
• Net Worth: Minimum ₹300 crore for the past three financial years.
• Capital Adequacy Ratio: Above 9% consistently over the last three years.

Draft RBI Guidelines on Co-lending

• Draft guidelines do not clarify the status of CLM 2, widely used by banks and NBFCs. In CLM 2, NBFC retains minimum 20% of the loan on its books; bank takes 80%. In CLM 1, both entities co-originate and disburse loans simultaneously.
• In CLM 2, NBFC retains minimum 20% of the loan on its books; bank takes 80%.
• Issued by the Reserve Bank of India (RBI) in April 2025.
• Aim: Improve regulatory clarity, credit flow to underserved sectors, and ensure real-time data integration for better risk monitoring.

Co-Lending Model

• Co-lending refers to a strategic partnership where two financial institutions, typically a bank and a Non-Banking Financial Company (NBFC), jointly extend loans to customers.
• Capital Contribution Split: Generally follows an 80:20 ratio (Bank: NBFC).
• Loan Application: Borrowers apply via a shared digital platform for joint evaluation.
• Loan Disbursement: Approved loans are funded jointly and directly disbursed to the borrower.

‘Niveshak Shivir’ for Reclaiming Unclaimed Dividends & Shares

• On May 9, 2025, the Investor Education and Protection Fund Authority (IEPFA) under the Ministry of Corporate Affairs, in collaboration with SEBI, held a preparatory meeting in Mumbai.
• First camps to be held in Mumbai and Ahmedabad in May 2025, with expansion planned.
• Marks a key reform in India’s efforts to empower retail investors and recover over ₹30,000 crore in unclaimed shares/dividends currently with IEPFA.
• A statutory authority under the Ministry of Corporate Affairs.

Indian Bank Launches New Fixed Deposit Schemes IND SECURE and IND GREEN

• Interest Rates: General Public: 7.15% p.a. Senior Citizens: 7.65% p.a. Super Senior Citizens: 7.90% p.a.
• General Public: 7.15% p.a.
• Senior Citizens: 7.65% p.a.
• Super Senior Citizens: 7.90% p.a.

SEBI’s New Cancellation Norms

• Established: 12 April 1988 (Statutory powers since 30 Jan 1992 under SEBI Act, 1992)
• The number of cancelled Systematic Investment Plans (SIPs) surged to 162.3 lakh in April 2025, more than three times higher than the previous month. This increase was driven by the implementation of SEBI's new cancellation norms, not investor panic.
• Investors can begin with as little as ₹500/month.
• Headquarters: Mumbai, Maharashtra

HDFC Bank Launches ‘Biz+ Current Accounts’ for MSMEs Across India

• Founded: 1994
• Headquarters: Mumbai, Maharashtra
• Insurance Cover: New-to-bank customers receive business and payment protection insurance for the first year.
• New-to-bank customers receive business and payment protection insurance for the first year.

What is a Derivative?

• 2008: Warned they are "dangerous" and act like "time bombs"
• Madhabi Puri Buch (Former SEBI Chairperson): Expressed surprise and concern at rising retail F&O participation Over 90% of individuals trading in derivatives incur losses
• Over 90% of individuals trading in derivatives incur losses
• Examples: Gold Futures → Underlying: Gold Nifty Futures → Underlying: Nifty 50 index

RBI's Contingent Risk Buffer and Surplus Transfer

• The current CRB range is 5.5% to 6.5% of the RBI's balance sheet.
• It is a component of the Economic Capital Framework (ECF), based on recommendations by the Bimal Jalan Committee.
• The CRB acts as a financial safety net for the central bank.

The Alternative Investment Funds (AIFs) Industry

• RBI's December 2023 circular restricted bank/FI investments in AIFs with downstream exposure to debtor companies. Partial relaxation in March 2024, but some banks still face challenges in honouring capital calls.
• Partial relaxation in March 2024, but some banks still face challenges in honouring capital calls.
• Facilitate coordinated discussions between SEBI, RBI, IRDAI, PFRDA, and other stakeholders.
• Industry is urging regulatory clarity and harmonization across regulators to prevent compliance bottlenecks.

IBC Amendment and RERA Participation

• Now allows RERA authorities to participate in Committee of Creditors (CoC) meetings during resolution of stressed real estate assets.
• Sector-specific authorities must: Institute claim-processing systems Attend CoC meetings as stakeholders Provide timely approvals for resolution plan implementation
• Attend CoC meetings as stakeholders

RBI Enforcement and Penalties in FY24

• Highest historical penalty: ₹58.9 crore on ICICI Bank (March 2018) for HTM securities violations.
• This move followed high-level meetings by RBI Governor Shaktikanta Das with public and private bank boards in May 2023.
• Clawback provisions from RBI’s 2019 circular (effective FY20) are being tested but face long litigation timelines (e.g., Yes Bank case).
• RBI is empowered under Sections 46 and 47A of the Banking Regulation Act, 1949, but has yet to act against individuals.

Customer Service and Accountability in Indian Banking

• RBI Ombudsman data (FY 2023-24): Complaints grew at 50% CAGR, touching 9.34 lakh. 57% of maintainable complaints required formal RBI intervention. 10 million+ complaints recorded across 95 scheduled commercial banks.
• Complaints grew at 50% CAGR, touching 9.34 lakh.
• 57% of maintainable complaints required formal RBI intervention.
• DFS’s rank is currently low (21st) due to many unresolved banking and insurance complaints.

Capital Adequacy Ratio (CAR)

• 12% for Indian Public Sector Banks
• 9% for Indian Scheduled Commercial Banks
• Tier 1 Capital (Core Capital): Absorbs losses while the bank continues to function. Includes: Equity share capital, retained earnings, disclosed reserves.
• Tier 2 Capital (Supplementary Capital): Absorbs losses in case of a bank’s winding up. Includes: Revaluation reserves, hybrid instruments, subordinated debt.

External Commercial Borrowings (ECBs)

• Governed under: Foreign Exchange Management Act (FEMA), 1999
• Up to 25% of ECB proceeds can be used to repay rupee debt
• 75% must be used for new projects
• Infrastructure & Greenfield projects: Up to 50% funding via ECBs allowed

SEBI Expands Scope of Electronic Book Mechanism for Debt Market Efficiency

• Earlier threshold: ₹50 crore
• Revised threshold: ₹20 crore
• SEBI has made Electronic Book Provider (EBP) platform usage mandatory for all private placement debt issues of ₹20 crore or more.
• Broader mandatory compliance with EBP norms across issuers

PayU Gets Final RBI Approval to Operate as Payment Aggregator

• RBI Authorization Granted: PayU Payments Pvt. Ltd. has received final authorization from the Reserve Bank of India (RBI) to operate as a Payment Aggregator (PA) under the Payment and Settlement Systems Act, 2007.
• PayU Payments Pvt. Ltd. has received final authorization from the Reserve Bank of India (RBI) to operate as a Payment Aggregator (PA) under the Payment and Settlement Systems Act, 2007.
• Background: The RBI has mandated since 2020 that all digital payment intermediaries must be authorized to ensure security, transparency, and consumer protection.Over 180 entities had applied; only a select few have been granted final licenses so far.
• The RBI has mandated since 2020 that all digital payment intermediaries must be authorized to ensure security, transparency, and consumer protection.Over 180 entities had applied; only a select few have been granted final licenses so far.

RBI Issues Revised Draft Guidelines on RE Investment in AIFs

• RBI proposes a cap on investments by Regulated Entities (REs) in Alternative Investment Funds (AIFs): Individual RE cap: 10% of the AIF scheme’s corpus. Collective RE cap: 15% of the total corpus of any AIF scheme.
• Individual RE cap: 10% of the AIF scheme’s corpus.
• Collective RE cap: 15% of the total corpus of any AIF scheme.
• In December 2023, RBI banned REs from investing in AIFs that have exposures to existing or recent borrowers, following SEBI’s observations about: Loan evergreening Regulatory circumvention via AIF structures

SEBI Warns Mauritius-Based FPIs Over Non-Disclosure of Adani Shareholding Details

• The Securities and Exchange Board of India (SEBI) is probing 13 offshore investors in the Adani Group following Hindenburg Research’s 2023 allegations.
• Reason: Failure to disclose granular shareholder details despite repeated requests since 2023.
• SEBI has threatened action against two Mauritius-based foreign portfolio investors (FPIs): Elara India Opportunities Fund Vespera Fund
• They did not provide details of their beneficial owners or justify the non-disclosure.

Sebi Raises Anchor Investor Limits for Lower-Rated Bond Issues to Boost Market Appeal

• Anchor investor allocation limit increased based on bond credit rating: Up to 50% allocation for bonds rated BBB and below. 40% allocation for bonds rated between A+ and A-.
• Up to 50% allocation for bonds rated BBB and below.
• 40% allocation for bonds rated between A+ and A-.
• Earlier, anchor allocation was capped at 30% regardless of rating.

Anchor Investors in IPOs

• Minimum Investment: ₹10 crore per anchor investor ensures that only large, credible institutions participate.
• Allocation Cap: Maximum 60% of QIB quota can be reserved for anchors—balancing early price discovery with broader participation.
• Market Signalers: Anchor Investors act as market validators, signaling confidence in the issuing company. Their early commitment influences retail and institutional sentiment, often shaping the trajectory of the IPO.
• Price Discovery Agents: They contribute to a fair valuation by establishing the anchor price, which serves as a reference point for other categories of investors.

NSDL Electronic Bidding Platform (NSDL-EBP)

• The updated framework made electronic bidding mandatory for issuances of ₹200 crore and above (including green shoe option). However, optional use is permitted for smaller issues.
• Applicability: Mandatory for all private placements ≥ ₹200 crore; optional for amounts below ₹200 crore.
• The Electronic Book Mechanism (EBM) was introduced by SEBI circular dated April 21, 2016 to enhance transparency in debt securities issuance through private placement.
• This framework was revised and streamlined via SEBI Circular No. SEBI/HO/DDHS/CIR/P/2018/05 dated January 5, 2018, replacing the 2016 guidelines.

Sebi Revises Audit Committee and Internal Audit Norms for Market Infrastructure Institutions

• Auditors and Key Management Personnel (KMP) have the right to be heard during audit committee meetings, particularly when auditor reports are discussed.
• However, auditors and KMPs do not have voting rights in audit committee meetings.
• Audit committee must exclude any executive director, including managing director.
• The internal auditor must report exclusively to the audit committee, ensuring independence from management.

Market Infrastructure Institutions (MIIs) in India

• Established in 1992, NSE pioneered automated electronic trading in India.
• As defined by the Bimal Jalan Committee (2010), MIIs include: Stock Exchanges Depositories Clearing Corporations
• Capital Allocation: MIIs enable smooth flow of capital from savers to businesses, facilitating investment, entrepreneurship, and economic development.
• Optimal Resource Utilization: They ensure financial resources are channeled efficiently across sectors.

TCS-Khan Bank Alliance

• Partnership Renewal: Tata Consultancy Services (TCS) has extended its 25-year collaboration with Khan Bank, one of Mongolia’s largest commercial banks.
• Customer Reach: Khan Bank serves 82% of Mongolia’s population, making this transformation vital for national-level financial inclusion and digital accessibility.
• Objective: Deployment of TCS BaNCS Global Banking Platform (GBP) to overhaul the bank’s legacy core banking system and accelerate digital transformation.

RBI Approves Emirates NBD’s Transition to Wholly Owned Subsidiary in India

• FirstRand Bank (South Africa): Had WOS plans but exited Indian banking in 2021.
• Requirements: Minimum capital: ₹500 crore Basel III compliance from inception Must follow stringent governance, localisation, and prudential norms
• Minimum capital: ₹500 crore
• Headquarters: Dubai, UAE

Neo Banks in India

• Since its launch in July 2024, Super.money has introduced: Fixed Deposits Personal Loans Secured Credit Cards(All offered in collaboration with partner banks/lenders)
• Neo banks are 100% digital financial institutions that deliver banking services exclusively through online platforms and mobile apps.
• Fully independent, 100% online
• Super.money, a fintech startup backed by Flipkart, is planning to expand its footprint across India’s growing neobanking and digital financial services market. The Bengaluru-based company completes its first year of operations in July 2025 and aims to become one of the top 3–5 neobanks in India.

RBI Grants In-Principle Nod to Emirates NBD for Wholly Owned Subsidiary in India

• Market Footprint: First Indian branch inaugurated in Mumbai (2017). Expansion with two more branches in Chennai and Gurugram approved by RBI in 2021.
• First Indian branch inaugurated in Mumbai (2017).
• Expansion with two more branches in Chennai and Gurugram approved by RBI in 2021.
• Peers: Emirates NBD joins DBS Bank India and SBM India as foreign banks operating under the WoS model.

RBI Cancels Licence of HCBL Co-operative Bank Due to Capital Inadequacy

• As of January 31, 2025, ₹21.24 crore has already been paid to insured depositors.
• Non-compliance with provisions of the Banking Regulation Act, 1949.
• Depositors are insured up to ₹5 lakh.
• 98.69% of depositors are eligible to receive their full insured deposits.

Banks May Soon Get Individual National Calling Numbers with Incoming Facility

• Banks currently use multiple outbound-only numbers in the 1600xx series.
• Clarity on: Inbound call facility on 1600xx numbers. Use of third-party agents, especially in debt recovery. Exemptions for debt servicing calls from strict 1600xx use.
• Inbound call facility on 1600xx numbers.
• The RBI, in January 2025, mandated: Use of 1600xx series for transactional communication Use of 140xx series for promotional purposes

Foreign Currency Convertible Bonds (FCCBs)

• State Bank of India (SBI) has received board approval to raise up to $3 billion in foreign currency bonds during FY2025-26.
• Offers bondholders the option to convert the bond into equity shares of the issuing company at a predetermined rate.
• Investor Type: Often subscribed by hedge funds, foreign nationals, and arbitrage investors.
• Equity Conversion Option: Reduces debt burden if bonds are converted into shares.

SEBI’s New Co-Investment Vehicle (CIV) Plan

• Administrative Burden: Every CIV requires: Separate PAN Bank account Demat account Adds complexity for General Partners — Brijesh Damodaran Nair, Auxano Capital
• Objective: Simplify co-investments in Alternative Investment Funds (AIFs) by replacing the current Portfolio Management Services (PMS) route with a new Co-Investment Vehicle (CIV) framework.
• Exemption from: Sponsor commitment Diversification norms (when co-investing in a single company with the AIF)
• Diversification norms (when co-investing in a single company with the AIF)

Co-Investment Through CIVs – A Structured Opportunity by SEBI

• Definition: Co-investment refers to the option for AIF investors to invest additional capital in unlisted securities of companies where the AIF has already made investments.
• Objective: Enable direct exposure to high-potential companies while maintaining alignment with the fund's strategy.
• Ease restrictions on AIF managers offering advisory services to offshore funds.
• Remove the requirement of prior approval, allowing AIF managers to: Advise global entities Manage cross-border fund structures

Ministry of Finance Clarifies Investment Rules for Stock Brokers (May 2025)

• Rule 8 of SCRR restricts brokers from engaging in any business other than securities or commodity derivatives business, except as broker/agent without personal financial liability.
• The Ministry of Finance provided crucial clarification on investment and fund-based activities by stock brokers under the Securities Contracts (Regulation) Rules (SCRR).
• The move offers greater flexibility for brokers to invest and manage funds.
• Allows brokers to use retained earnings more flexibly without breaching SCRR.

ZikZuk Receives RBI In-Principle Approval to Issue Prepaid Payment Instruments (PPIs)

• PPIs allow users to store money digitally and use it for various cashless transactions like purchasing goods/services, bill payments, and remittances.
• ZikZuk’s entry marks further diversification and innovation in India’s digital payments ecosystem.
• It joins existing major PPI players such as PhonePe, Paytm, MobiKwik, and others.

Rapid Growth and Adoption of Mutual Funds by Household Investors

• Passive Index Funds: Recorded a massive 278% year-on-year inflow growth to ₹59,306 crore in FY 2024-25.
• SIP inflows increased to ₹2.9 trillion, up from ₹2 trillion the previous year.
• Longer-term SIPs gaining traction: 33% of regular plan SIP assets and 19% of direct plan SIP assets are held by accounts over five years old.
• Over 60% of SIPs are held by accounts more than two years old, up significantly from five years ago.

SEBI’s Cybersecurity and Cyber Resilience Framework (CSCRF)

• These centers offer SOC-as-a-Service to smaller entities lacking capacity to manage their own monitoring infrastructure
• Provides a standardized cybersecurity blueprint for all SEBI-regulated entities
• Enhanced trust among investors, stakeholders, and consumers
• Implementing Cyber Capability Index (CCI) for continuous maturity assessment

IRDAI Imposes ₹1 Crore Penalty on Acko General Insurance for Statutory Violations

• Violation of Section 40(1) of the Insurance Act, 1938: Prohibits insurers from making payments to anyone for procuring insurance business, except licensed insurance agents or intermediaries.
• The Insurance Regulatory and Development Authority of India (IRDAI) has imposed a monetary penalty of ₹1 crore on Acko General Insurance for multiple regulatory violations during FY 2019-20 and 2020-21.
• Prohibits insurers from making payments to anyone for procuring insurance business, except licensed insurance agents or intermediaries.
• Serves as a reminder to insurers to ensure all payments, outsourcing, and reward mechanisms are in line with statutory and regulatory provisions.

Government Notifies Payments Regulatory Board (PRB) Regulations, 2025

• As per Section 3 of the PSS Act: RBI Governor – Chairperson RBI Deputy Governor in charge of payment systems – Member One RBI officer nominated by the central board – Member Three members nominated by the Central Government
• The new entity, PRB, will operate under the framework of the Payment and Settlement Systems Act, 2007, and be supported by the Department of Payment and Settlement Systems (DPSS) of the RBI.
• Equal representation from RBI and the Government (3 members each).
• BPSS was a committee under the RBI's central board, overseeing regulation and supervision of payment and settlement systems.

EnKash Launches India’s First Unified Payment Gateway for SMBs and Startups

• India saw ₹14 lakh crore in UPI transactions in March 2025 alone, proving that digital payments are now mainstream. Yet, SMBs continue to face challenges such as:
• High transaction failure rates (20-30%) during peak hours
• Founded in 2018, EnKash holds multiple RBI-regulated licenses (PAPG, BBPOU, PPI) and has raised $23M from leading investors such as Ascent Capital, Mayfield, Axilor, and Baring Private Equity Partners India. Its platform empowers CXOs with automation, compliance tools, and real-time financial insights.
• B2B commerce

Star Health Launches Star Flexi

• First-time buyers in Tier 2 and Tier 3 towns
• 1. Essential VariantTarget Group: First-time health insurance buyers in Tier 2 and Tier 3 towns
• 3. Secure VariantTarget Group: Experienced buyers seeking maximum protection
• Long-term policyholders seeking top-tier protection

HDFC Bank Launches Biz+ Current Account Suite for Small Businesses

• Market Focus: MSMEs contribute over 30% to India’s GDP and are vital to employment and exports.
• Dedicated Banking Services: Customized offerings to meet the evolving needs of small business owners.
• Competitive Positioning: With rising competition for MSME accounts, HDFC Bank’s Biz+ suite positions it as a leader in tailored SME banking.

Volatility in Financial Markets

• Monthly prices: ₹1 to ₹10
• Variance: ₹8.25
• Standard Deviation: ₹2.87
• Interpretation: ~68% of values lie within 1 SD from the mean in a normal distribution

NPCI Steps up UPI Vigil to Prevent Future Disruptions in Core Network

• Payment Service Providers (PSPs) and acquiring banks must: Monitor and moderate their API usage. Adhere to API rate limits to prevent overload. Implement guidelines by July 31, 2025.
• Defined peak hours: 10:00 AM – 1:00 PM 5:30 PM – 9:30 PM
• Implement guidelines by July 31, 2025.
• System audits must be conducted by a CERT-In empanelled auditor and submitted by August 31, 2025.

RBI Proposes Special Share Certificates for UCBs to Boost Capital Base

• Legal & Global Context: Dual-class share structures are globally common. Enabled by Banking Regulation (Amendment) Act, 2020.
• Enabled by Banking Regulation (Amendment) Act, 2020.
• Eligibility: Only Tier-4 UCBs (deposits > ₹10,000 crore) can issue SSCs initially.
• Only Tier-4 UCBs (deposits > ₹10,000 crore) can issue SSCs initially.

RBI Co-lending Guidelines Aim to Lower Digital Lending Rates

• Aimed at lowering borrowing costs for end-users.
• CLM 1: Joint origination and disbursement of loans by banks and NBFCs.
• CLM 2: NBFCs disburse loans initially, and banks reimburse up to 80% of the loan amount later.
• Reference to RBI's October 2024 action against four NBFCs for charging excessive interest.

RBI’s Payments Regulatory Board (PRB)

• In a 2018 dissent note, RBI asserted: PRB must be chaired by RBI Governor Government may nominate 3 members Governor should hold a casting vote
• A 2017 inter-ministerial committee had proposed an independent PRB outside RBI control.
• Government may nominate 3 members
• Other Members: One Deputy Governor Up to 3 directors from RBI Central Board (nominated by Governor) 2 Executive Directors (nominated by Governor) RBI’s Legal Adviser

NSE Proposes Tuesday for Weekly Index Derivatives Expiry amid SEBI's New Guidelines

• NSE’s Q4FY25 revenue from transaction charges fell 15% quarter-on-quarter, reflecting a dip in cash and derivatives volumes.
• Market Implications This move follows regulatory changes that limit one benchmark expiry per exchange per week, affecting NSE's derivatives volume. NSE’s Q4FY25 revenue from transaction charges fell 15% quarter-on-quarter, reflecting a dip in cash and derivatives volumes. Despite this, NSE management stated they don’t foresee further loss of market share to BSE in the derivatives segment.
• SEBI's New Expiry Framework SEBI’s Secondary Market Advisory Committee recently discussed limiting weekly expiries to only two days to curb volatility. SEBI Chairman Tuhin Kanta Pandey confirmed a final circular will be issued soon.
• SEBI’s Secondary Market Advisory Committee recently discussed limiting weekly expiries to only two days to curb volatility.

RBI Reviewing Bank Licensing Framework & Insurance Distribution Role: Sanjay Malhotra

• RBI has infused ₹9 lakh crore of durable liquidity into the banking system.
• In his first public remarks since taking over in December 2024, RBI Governor Sanjay Malhotra outlined key regulatory priorities, including a review of the bank licensing framework, stricter oversight on insurance product distribution, and measures to enhance consumer protection.
• The central bank is reviewing the role of banks as distributors of insurance products.
• RBI may introduce additional measures if the problem persists.

Offshore Derivative Instruments (ODIs)

• ODI subscribers must provide detailed disclosures if: Over 50% of their equity ODI holdings are in one Indian corporate group, or Total equity ODI exposure in India exceeds ₹25,000 crore.
• Over 50% of their equity ODI holdings are in one Indian corporate group, or
• Total equity ODI exposure in India exceeds ₹25,000 crore.
• Objective: Align ODI regulations with Foreign Portfolio Investors (FPI) norms and reduce regulatory arbitrage.

RBI Approves Record ₹2.69 Trillion Surplus Transfer to Centre for FY25

• The RBI transfers its surplus to the Central Government under Section 47 of the Reserve Bank of India Act, 1934. This section mandates that after providing for various reserves and deductions, the remaining profit is paid to the Central Government. 
• The Union Budget 2025–26 had projected ₹2.56 trillion as total dividend from RBI and PSUs.
• The CRB range, earlier fixed at 5.5%–6.5%, has now been revised to 6% ± 1.5%, i.e., 4.5%–7.5%.
• With the actual surplus exceeding projections, the fiscal deficit could ease by ~20 bps to 4.2% of GDP.

Centralized Public Grievance Redress and Monitoring System (CPGRAMS)

• Over 1 lakh Grievance Officers mapped across departments
• Governance Reforms in 2024
• 10-step reforms implemented to improve grievance redressal efficiency

RBI Draft Circular: Banks Must Facilitate KYC Updates to Activate Inoperative Accounts

• Customers can also request KYC updates through the Video Customer Identification Process (VCIP), subject to the availability of this facility at the bank.
• The Reserve Bank of India (RBI) has proposed that all banks must offer KYC update facilities to customers seeking to activate inoperative accounts or unclaimed deposits.
• Banks are allowed to use authorised business correspondents to assist customers in activating inoperative accounts.
• This facility must be made available at all branches, including non-home branches of the bank.

Getepay Receives RBI Approval to Operate as Online Payment Aggregator

• Currently serves 1.5 million+ merchants across: Kirana stores E-commerce sellers Educational institutions Service providers Small-scale manufacturers
• Vision to help formalize 10 million MSMEs in the coming years
• Focuses on empowering small merchants, micro-retailers, and rural businesses
• First company from Rajasthan to receive this RBI approval

IPPB–Aditya Birla Capital Strategic Partnership: Expanding Access to Credit

• Established: 2018 under Department of Posts, Ministry of Communications
• Ownership: 100% Government of India
• Network: ~1.65 lakh post offices 3 lakh postal employees Services in 13 languages
• ~1.65 lakh post offices

SBM Bank India and ICICI Prudential Life Insurance: Bancassurance Alliance

• Assets Under Management (AUM): ₹3.09 lakh crore (as of March 31, 2025)
• Insurance Penetration Context: India’s insurance penetration was 3.7% in FY24, below the global average of 7%, indicating a large untapped market.
• India’s insurance penetration was 3.7% in FY24, below the global average of 7%, indicating a large untapped market.
• Purpose of Alliance: To enable SBM Bank customers to access term plans, savings products, retirement solutions, and wealth creation options from ICICI Prudential Life.

IndusInd Bank Signs MoU with DPIIT to Boost Start-up Ecosystem in India

• Established: Over 30 years ago
• Enhanced Support via CGSS (Credit Guarantee Scheme for Startups): Collateral-free loans with guarantee cover up to ₹20 crore Concessional guarantee fees for 27 Champion Sectors Eases debt funding and promotes capital mobilisation
• Customer Base: ~42 million customers as of Dec 31, 2024
• Collateral-free loans with guarantee cover up to ₹20 crore

Loans Against Property (LAP)

• MSME LAP market size grew over 50% in two years to ₹11.3 trillion.
• Micro-LAP lending surged 60% to ₹1.6 trillion in the same period.
• Mortgage Loan Growth: Mortgage loans (which include LAP) recorded a year-on-year growth of 19%, highlighting strong portfolio potential.
• High Delinquencies: Unsecured personal loans have a delinquency rate of 3.5%–3.6%, indicating rising defaults.

Complaint Filed Against IndusInd Bank Over Accounting Lapses

• The National Financial Reporting Authority (NFRA) has received a complaint via the CPGRAMS portal regarding alleged accounting lapses at IndusInd Bank. The issue centers on accounting discrepancies in IndusInd Bank’s derivatives portfolio, which the bank disclosed on March 10, 2025.
• Multi-agency Oversight: With NFRA, RBI, and SEBI all showing interest, this case could become a high-profile financial probe.
• Auditor Accountability: If NFRA proceeds, it could scrutinize the role and diligence of the statutory auditors.
• Avoiding Duplication: NFRA is currently consulting with the RBI to verify if the central bank has already conducted a forensic audit or investigation to avoid redundant inquiries.

Finance Ministry’s Directives for RRB Integration and Expansion

• All 28 Regional Rural Banks (RRBs) must complete IT system integration by September 30, 2025.
• Effective May 1, 2025, amalgamated RRBs now total: 28 RRBs across 26 states and 2 Union Territories With over 22,000 branches across 700 districts
• 28 RRBs across 26 states and 2 Union Territories
• With over 22,000 branches across 700 districts

Revised Economic Capital Framework (ECF) of RBI

• The revised CRB range is now 4.5% to 7.5% (earlier 5.5%–6.5%).
• RBI transferred ₹2.69 trillion to the government in FY2024–25, highest ever.
• This was done despite maintaining CRB at 7.5%.
• To provide the Reserve Bank of India (RBI) with greater flexibility in determining surplus transfers to the government. Aimed at smoothing transfers across years without distorting the government’s fiscal math.

Liberalised Remittance Scheme (LRS)

• The Liberalised Remittance Scheme (LRS) is an initiative by the Reserve Bank of India (RBI) that allows Indian residents to remit (send) money abroad for various purposes such as education, travel, medical expenses, investments, and more. Since its introduction in 2004, LRS has played a crucial role in facilitating seamless international transactions for individuals.
• The Liberalised Remittance Scheme (LRS) was introduced by the RBI in 2004 to simplify foreign remittances for Indian residents. Under this scheme, individuals can send up to USD 250,000 per financial year (April–March) outside India for permissible transactions without requiring prior approval from the RBI.
• Boosting Global Business Interactions – Support business travel, foreign partnerships, and knowledge-sharing opportunities.
• Support business travel, foreign partnerships, and knowledge-sharing opportunities.

RBI Forms Six-Member Payments Regulatory Board (PRB)

• Total Members: 6
• RBI's stance: Opposed the proposal in 2018 with a ‘Dissent Note’ Argued payment regulation must remain with the RBI for continuity, expertise, and secure systems.
• Opposed the proposal in 2018 with a ‘Dissent Note’
• Decision-making: By majority vote; Chairperson/Deputy Governor holds casting vote in case of a tie

PRB vs BPSS

• Strengthened Oversight: Dedicated board improves monitoring, compliance, and strategic oversight of payment systems.
• RBI Control Retained: RBI’s leadership ensures coherence with monetary policy and regulatory experience.
• Consumer Protection: Enforces RBI-led norms on KYC, grievance redressal, and cybersecurity.

Partnership: Aditya Birla Sun Life Insurance & Equitas Small Finance Bank

• Aim: To provide ABSLI’s life insurance products through Equitas’ branch network.
• Goal: Enhance financial protection and inclusion by making insurance products more accessible to Equitas customers.
• ABSLI, a subsidiary of Aditya Birla Capital, has partnered with Equitas Small Finance Bank.

SIDBI Report: MSME Loan Demand Up 11%, Supply Drops 11% in Jan-Mar 2025

• As of May 12, 2025, 6.35 crore Udyam-registered MSMEs exist, but only 3.68 crore have accessed credit at least once.
• Commercial loan demand in MSME sector rose 11% year-on-year (y-o-y) during January-March 2025 (Q4 FY24-25). Despite demand growth, MSME credit supply declined by 11% y-o-y in the same quarter. For full FY24-25, credit supply grew only 3% y-o-y by value.
• Private banks experienced the sharpest supply decline at -14% y-o-y.
• Drop in demand mainly from borrowers with exposure between ₹10 crore to ₹50 crore.

RBI Imposes Fines on Union Bank of India and Lendbox for Regulatory Violations

• Union Bank of India: Fined ₹63.6 lakh
• Violated provisions of the Banking Regulation Act, 1949.
• Lendbox (Transactree Technologies Pvt Ltd): Non-compliance with Non-Banking Financial Company – Peer to Peer Lending Platform (Reserve Bank) Directions, 2017. Penalty Imposed Under Section of the RBI Act, 1934.
• Non-compliance with Non-Banking Financial Company – Peer to Peer Lending Platform (Reserve Bank) Directions, 2017.

New IBC Regulation Tightens Norms for Personal Guarantors

• The 2021 Supreme Court ruling validated inclusion of personal guarantors under IBC.
• Personal guarantor framework effective since December 2019.
• Regulation 17A (2024) introduced presumption of repayment plan submission, requiring RP to present it at creditors' meetings.
• If no repayment plan is submitted under Section 105 of the IBC: RP must file an application with creditors’ approval before the NCLT. RP must intimate the NCLT about the non-submission. RP should seek appropriate directions from the tribunal.

MoSPI to Monitor Impact of Mudra Loan Scheme

• National Statistical Office (NSO) and Indian School of Business (ISB) jointly organized a Data Users Conference.
• The conference aimed to enhance interaction between data producers and users for improved data relevance and survey design.
• This monitoring will help policymakers understand the real impact of Mudra loans on the informal sector.

FM Nirmala Sitharaman Signals Boost for Fintech Sector

• Referenced India’s G20 Digital Public Infrastructure Taskforce report, advocating plug-and-play, sovereign-compliant digital systems (e.g., API Setu, GSTN open APIs).
• FM emphasized that the Centre is incentivizing states to digitize records faster, especially through: 50-year interest-free capital expenditure loans Additional incentives for early adoption of digitization
• 50-year interest-free capital expenditure loans

CBDT Extends Income Tax Return Filing Deadline for AY 2025-26 to September 15

• ITR1 now includes an option to report long-term capital gains (LTCG) up to ₹1.25 lakh.
• ITRs 2, 3, 5, and 6 require detailed disclosures under the Capital Gains Schedule.
• Reporting is split for transactions before and after July 23, 2024, reflecting different tax implications after changes in tax laws last year.
• Tax deducted at source (TDS) credits, due by May 31, will only reflect from early June, limiting the practical window for return filing without the extension.

Reserve Bank of India (Digital Lending) Directions, 2025 Issued by RBI

• DLGs are contractual agreements where a third party guarantees compensation for loan defaults up to a certain percentage (usually 5%).
• This is expected to lead to higher lending rates for MSMEs. For example, a loan previously priced at 12% interest might increase to around 15% due to additional loss provisions.
• Ensure responsible lending practices among regulated entities and third-party service providers
• A remote and automated lending process using digital platforms for: Customer acquisition Credit assessment Loan approval Disbursement Servicing and repayment Recovery of loans

Deposit Insurance and Credit Guarantee Corporation (DICGC)

• Allows interim payments up to ₹5 lakh if a bank is under restriction or moratorium
• Timeline: 45 days: Bank must furnish list of depositors 30 days: DICGC verifies details and confirms depositor consent 15 days: DICGC disburses the payment
• 45 days: Bank must furnish list of depositors
• Applicable to past and future restrictions imposed under Banking Regulation Act, 1949

Source of Income for RBI

• Lending to Banks (Repo Operations): Lends short-term funds to banks at the Repo Rate In FY 2023–24, the repo rate was ~6.5%, boosting interest income
• In FY 2023–24, the repo rate was ~6.5%, boosting interest income
• Example: If printing a ₹500 note costs ₹3, the profit is ₹497
• Q1. Which of the following are the sources of income for the Reserve Bank of India ? (UPSC Prelims - 2025)

Insider Trading

• SEBI (Prohibition of Insider Trading) Regulations, 1992Updated in 2015 and later in 2019 to strengthen compliance.
• The Securities and Exchange Board of India (SEBI) has barred five former senior executives of IndusInd Bank, including ex-MD & CEO Sumant Kathpalia and former Deputy CEO Arun Khurana, for alleged insider trading violations. The market regulator also directed them to disgorge ₹19.78 crore, representing losses avoided by trading shares based on unpublished price-sensitive information (UPSI).
• Employees or directors of the company
• Immediate relatives of connected persons

Penalties for Insider Trading

• Imprisonment (up to 10 years)
• The action signals SEBI's strict enforcement of insider trading norms and zero tolerance for misuse of sensitive financial information by senior corporate officers.

FM Sitharaman Urges PSU Insurers to Innovate for Emerging Risks

• Aim is to broaden service access, expand market reach, and deepen insurance penetration across diverse demographics.
• Innovation and Risk Alignment Directed PSGICs to design products tailored to emerging risks, such as cyber fraud and new-age consumer needs. Emphasis on diversifying the insurance portfolio in response to evolving risk profiles.
• Emphasis on diversifying the insurance portfolio in response to evolving risk profiles.
• Partnerships and Outreach Encouraged strategic collaborations with intermediaries, fintechs, and insurtech firms. Aim is to broaden service access, expand market reach, and deepen insurance penetration across diverse demographics.

Kotak811 Launches New Campaign Targeting India’s Digital Banking Generation

• Reposition Kotak811 as a frictionless, user-first digital bank for young, mobile-first Indians.
• Kotak Mahindra Bank has launched a new campaign to promote Kotak811, its flagship digital banking platform. The campaign aiming to resonate with India’s digital-first generation through bold, engaging communication.
• India has over 1 billion mobile connections, with a growing base of tech-savvy users demanding fast, secure, and intuitive financial services.
• Kotak811 is positioned as a full-service mobile bank, aiming to capture India’s expanding digital banking market.

SEBI Approves JioBlackRock to Launch Mutual Fund Operations in India

• A 50:50 joint venture between: Jio Financial Services Ltd (JFSL) – part of the Reliance Group BlackRock Inc – the world’s largest asset manager
• Aimed at leveraging global asset management expertise with local financial scale and reach.
• Offer innovative, technology-driven investment products for: Retail mutual fund investors Institutional investors
• Retail mutual fund investors

Display of Only Verified Bank Account Holder Names on UPI Apps

• To reduce digital payment frauds by: Eliminating fake or misleading display names that scammers use to deceive users. Ensuring only bank-verified names appear on the recipient side of a transaction.
• Eliminating fake or misleading display names that scammers use to deceive users.
• Fraudsters previously used fake aliases or misleading names in payment apps to trick users.
• This update aims to: Enhance trust in UPI transactions. Prevent accidental or fraudulent payments to incorrect recipients. Improve transaction transparency and security for millions of digital users in India.

SEBI Tightens Oversight of Derivatives Market With New Risk-Based Rules

• Index Options: Net basis cap: ₹1,500 crore per entity. Gross basis cap: ₹10,000 crore per entity.
• Most provisions, including index F&O limits, take effect from July 1, 2025.
• Net basis cap: ₹1,500 crore per entity.
• Gross basis cap: ₹10,000 crore per entity.

Alternative Investment Funds

• Investor cap per scheme: Maximum 1,000 investors (except Angel Funds, which allow up to 49).
• AIF Commitments: ₹2.3 trillion (↑58% YoY)
• PMS AUM: ₹4.3 trillion (↑19% YoY)
• AIFs operate under the SEBI (Alternative Investment Funds) Regulations, 2012 and can be structured as a company, Limited Liability Partnership (LLP), trust, or other legal entities.

SEBI’s Investor Protection and Market Integrity Measures

• Action Taken: SEBI has removed 70,000 unregistered finfluencers Ongoing removal rate: 5,000 per month
• SEBI has removed 70,000 unregistered finfluencers
• Objective: Prevent cyber fraud, misrouting of funds, and scams via fake trading platforms
• Ongoing removal rate: 5,000 per month

SEBI’s New Risk Monitoring Framework & Position Limits Update

• Objective: Make trade manipulation impossible by more accurate risk measurement

RBI Guidelines on Gold Loan Portfolio Monitoring and Risk Management

• Maintain an LTV ceiling of 75% throughout the loan tenure, including principal and accrued interest
• Expected impact: Reduction in gold loan disbursement to 55–60% from current 65–68% for bullet repayment loans Higher LTV may be allowed for EMI-based loans, facilitating faster loan portfolio reduction
• Reduction in gold loan disbursement to 55–60% from current 65–68% for bullet repayment loans
• The 75% LTV cap prevents excessive leveraging on gold assets

Parliamentary Committee Flags Ambiguities in Insolvency and Bankruptcy Code (IBC)

• Enacted: 2016
• Supreme Court Judgment: SC rescinded JSW Steel’s resolution plan for BPSL. Put a status quo on BPSL’s liquidation after JSW Steel’s plea citing damage to the company, lenders, and employees.
• Put a status quo on BPSL’s liquidation after JSW Steel’s plea citing damage to the company, lenders, and employees.
• Government’s Stance: Actively addressing concerns related to the IBC. Potential for further amendments to improve the code. IBC recognized as a useful tool for distressed companies and creditors.

RBI Directive on Default Loss Guarantee (DLG)

• Typically covers losses up to 5% of the loan portfolio.
• A contractual arrangement where a fintech entity guarantees to compensate lenders (banks or NBFCs) for losses arising from loan defaults.
• Acts as a risk mitigation tool for lenders partnering with fintechs in loan origination.
• Lenders must exclude DLG cover while recognizing Non-Performing Assets (NPAs) and making provisions.

Niveshak Shivir by IEPFA and SEBI

• Direct assistance in claiming dividends held for 6–7 years
• The Investor Education and Protection Fund Authority (IEPFA), under the Ministry of Corporate Affairs, in collaboration with SEBI, has launched Niveshak Shivir, a pilot investor facilitation camp. The first camp will be held in Pune on June 1, 2025, aimed at providing a one-stop solution for resolving issues related to unclaimed dividends, shares, and other investor services.
• Ensure timely disbursement of unclaimed dividends and shares

Cassette-Swap Model for ATMs

• High cost of cassettes: ₹12,000–₹15,000 per unit
• Lack of consensus on interchange fee sharing (recently hiked from ₹17 to ₹19) between banks and CIT providers
• Legacy ATM infrastructure is still dominant, with only 25–30% ATMs being CRMs
• By June 2023: Delhi, Mumbai, Bangalore, Chennai, Kolkata

RBI Annual Report 2024 Highlights Shift to EBLR in Indian Bank Loans

• 61% of total loans in the banking system are linked to an External Benchmark Lending Rate (EBLR).
• Loans benchmarked to MCLR (Marginal Cost of Funds Based Lending Rate) have declined to 36%.
• Public Sector Banks (PSBs): 44.6% of floating rate loans are linked to EBLR. A high share of MCLR and other legacy rate-linked loans persists, indicating slower transition.
• 44.6% of floating rate loans are linked to EBLR.

India’s Record Remittances in FY24

• U.S. share: 27.7% (up from 23.4% in 2020–21)
• Macroeconomic Role: Financed >50% of merchandise trade deficit
• Combined share of U.S., U.K., Canada, Australia, Singapore: 51.2%
• GCC nations' share declined to 37.9%

RBI Strengthens Foreign Exchange Reserves

• Current Reserves Size: India’s forex reserves rose by 3.4% in FY25 to $668 billion, following an 11.7% increase the previous year.
• Objective: The diversification aims to ensure safety, liquidity, and adequate returns while protecting reserves from geopolitical and market vulnerabilities.
• RBI plans to launch the Indian Financial Services (IFS) Cloud in 2025–26, developed by its subsidiary IFTAS.
• The Reserve Bank of India (RBI) reported an 8.2% growth in its balance sheet, reaching Rs 76 lakh crore in FY25. A key focus of the central bank is to bolster resilience in its foreign exchange reserves, which now constitute over 74% of its total assets. This comes amid rising concerns over the “weaponisation of reserves,” where countries face financial sanctions freezing foreign-held assets during geopolitical conflicts.

Non-Food Credit Growth Slows to 11.2% in April 2025: RBI Sectoral Deployment Data

• Agriculture & Allied Activities Growth declined to 9.2% y-o-y (vs. 19.8% last year).
• Growth declined to 9.2% y-o-y (vs. 19.8% last year).
• Services Sector Credit growth slowed to 11.2% y-o-y (vs. 19.5%). Mainly due to reduced lending to NBFCs. However, credit to trade and computer software remained strong.
• Credit growth slowed to 11.2% y-o-y (vs. 19.5%).

Govt Procures 256 Lakh MT Wheat; Eyes 312 Lakh MT Target

• Department of Food and Public Distribution (DFPD) Secretary Sanjeev Chopra today said that the government has done a total procurement of 256 lakh metric tonnes of new season wheat this year.

WAVES is not just an acronym, it’s a wave of culture, creativity, universal connect: PM Modi

• Prime Minister Narendra Modi said, this is the perfect moment for India to lead global creativity. Mr. Modi inaugurated the first World Audio Visual Entertainment Summit (WAVES) 2025 at Jio World Convention Centre in Mumbai today.

WAVES Summit 2025 to create new economic opportunities: I&B Minister Ashwini Vaishnaw

• Information and Broadcasting Minister Ashwini Vaishnaw has said the WAVES summit will create new economic opportunities. Addressing the inaugural session of the first World Audio Visual Entertainment Summit (WAVES) 2025 at Jio World Convention Centre in Mumbai today, Mr Vaishnaw said, this Summit will provide a global platform to creators and provide them with exposure to new technology.

Caravaggio’s ‘Mary Magdalene in Ecstasy’ Unveiled at KNMA, Delhi

• Kiran Nadar Museum of Art (KNMA), Saket, is exhibiting Mary Magdalene in Ecstasy by Michelangelo Merisi da Caravaggio. The painting, long considered lost, was rediscovered in 2014 and authenticated by leading historians. First time the original Baroque masterpiece is being displayed in India

Arvind Shrivastava takes charge as Revenue Secy

• Arvind Shrivastava,a 1994 batch Indian Administrative Services (IAS) officer of the Karnataka cadre, took charge as secretary, department of revenue, Union Ministry of Finance.

India’s Forex Reserves Rise by $1.98 Billion to $688.13 Billion

• India’s foreign exchange reserves rose by 1.98 billion dollars, reaching 688.13 billion dollars in the week ending April 25. According to the Weekly Statistical Supplement released by the Reserve Bank of India, during the last week, foreign currency assets, a major component of the reserves, were up by 2.17 billion dollars to around 580.6 billion dollars.

I&B Ministry to Unveil Media and Entertainment Sector Handbook at WAVES 2025

• The Information and Broadcasting Ministry will release the Statistical Handbook on the Media and Entertainment Sector 2024-25 at WAVES 2025 in Mumbai tomorrow.

India & EU reaffirm commitment to conclude free trade agreement by 2025

• Minister of Commerce and Industry Piyush Goyal and European Commissioner for Trade and Economic Security Maroš Šefčovič have reaffirmed their shared resolve to conclude the India-European Union Free Trade Agreement (FTA) by the end of 2025. 

Indian Bank Q4 net soars 32%, to pay dividend

• State-owned Indian Bank reported a 32% jump in net profit to ₹2,956 crore for the March quarter of 2024-25, helped by a decline in bad loans and a rise in core income.

Kotak Bank Q4 net slips 14%, to pay ₹2.5 dividend

• Kotak Mahindra Bank reported a 14% year-on-year drop in Q4 standalone net profit to ₹3,552 crore against ₹ 4,133 crore in the year-earlier period.

City Union Bank Q4 profit after tax rises 13% to ₹288 cr.

• Private sector lender City Union Bank profit after tax (PAT) for the fourth quarter ended March 31 rose 13% year-on-year to ₹288 crore. Net interest income (NII) rose 10% to ₹601 crore. 

Rise of sporting culture will boost India’s soft power: PM

• Modi inaugurates 7th Khelo India Youth Games, says the government has always given top priority to sports in its policies; he underlines the efforts to bring the Olympics to the country in 2036

Maldives to build $8.8 billion Financial Freezone in Malé to become Indian Ocean business hub by 2030

• The Maldives has announced plans to build an $8.8 billion Maldives International Financial Centre (MIFC) in Malé, in partnership with Qatari-owned MBS Global Investments. 

Archery World Cup 2025: Jyothi Surekha Vennam eyes encore; Deepika Kumari in fray

• Top-ranked Indian women archers, Jyothi Surekha Vennam and Deepika Kumari, will lead the country’s challenge at the Archery World Cup 2025 Stage 2 in Shanghai, China, starting today.

China’s Zhao scripts history at the Crucible Theatre

• Zhao Xintong became the first Chinese player to win the World snooker championship as the qualifier completed his stunning march to the title with an 18-12 victory against Mark Williams in the final.

The Hindu Made of Chennai wins laurels at WAN-IFRA World Media Awards 2025

• The Hindu has been honoured with the “World Winner” award under the “Best in Digital Advertising Product or Initiative” category at the WAN-IFRA World Media Awards, 2025, recently held in Krakow, Poland.

Robert Prevost, first American Pope, will take the name Leo XIV

• Robert Prevost, a missionary who spent his career ministering in Peru and took over the Vatican’s powerful office of bishops, was elected the first pope from the United States in the 2,000-year history of the Catholic Church.

DARPG Hosts Rashtriya Karmayogi Jan Seva Training Programme to Empower Civil Servants

• The Department of Administrative Reforms & Public Grievances (DARPG) conducted a dynamic training session under the “Rashtriya Karmayogi Jan Seva Program” on May 10, 2025, in New Delhi. Organized in collaboration with the Capacity Building Commission, the programme aimed to enhance competencies of public officials from Assistant Section Officers to Under Secretaries.

Cargo handled by India’s major ports surges to record 855 million tonnes in FY25

• India’s major ports have registered remarkable growth in cargo handling in the last financial year. In a statement, the Ministry of Ports, Shipping and Waterways said that the country’s ports handled 819 million tonnes of cargo in the financial year 2023-24, which increased to 855 million tonnes in FY 2024-25, marking an annual growth of 4.3 per cent. 

Former Defence Secretary Ajay Kumar is UPSC Chairman

• Former Defence Secretary Ajay Kumar has been appointed Chairman of the UPSC, says a Union Personnel Ministry order. 

Wholesale inflation hits 13 month low in Apr

• Inflation based on the wholesale price index ( WPI) declined toa 13month low of 0.85 per cent in April from 2.05 per cent in March, on the back ofa dip in the prices of food and fuel and power. Price rise also decelerated in the manufactured products category, according to data released by the Ministry of Commerce and Industry.

IMF set to release $ 1.3 bn to B´desh

• The International Monetary Fund ( IMF) is set to release $1.3 billion to Bangladesh in June, after completinga fourth review of its $ 4.7billion loan programme anda key breakthrough in talks on exchange rate reforms, the finance ministry said.

Union Cabinet Approves Display Driver Chip Manufacturing Unit in Jewar, UP

• Investment and Partnership Details Sixth semiconductor unit supported under the ₹76,000 crore first phase of the India Semiconductor Mission (ISM).
• Sixth semiconductor unit supported under the ₹76,000 crore first phase of the India Semiconductor Mission (ISM).
• Total investment: ₹3,700 crore.

India’s Progress in 6G Technology

• Total sanctioned amount for these projects: ₹300 crore.
• Over 111 research projects on 6G have been funded in India.

Odisha clears 11% SEBC quota for admissions in higher edu

• Odisha cabinet, led by CM Mohan Charan Majhi, on Wednesday approved 11.25% reservation for socially and economically backward classes (SEBC) in higher educational institutions, extending the existing quota benefits beyond govt jobs. 

Technologies Used by India

Global Hunger Crisis Worsens in 2024, 295 Million Face Acute Food Insecurity: FAO

• The United Nations Food and Agriculture Organisation (FAO) has reported a worsening global hunger crisis in 2024, with 295 million people suffering from acute food insecurity across 53 countries, a rise of 13.7 million from 2023.

Power Minister Manohar Lal to Represent India at BRICS Energy Ministers’ Meet in Brazil on May 19

• Power Minister Manohar Lal is on an official visit to Brazil to participate in the BRICS Energy Ministers’ Meeting, scheduled for the 19th of this month. 

India continues to be fastest growing major economy in 2025, Says United Nations Report

• Indian economy will grow at 6.3 percent during the current financial year, ahead of China, US, and European Union, a UN report said.

UIDAI achieves major milestone with over 150 billion Aadhaar authentications

• The total number of Aadhaar authentication transactions has crossed 150 billion mark, making it a milestone moment in the journey of the Unique Identification Authority of India (UIDAI) and for the broader Aadhaar ecosystem.

Jagannath Temple in Digha: A Socio-Political and Cultural Milestone

• Cost: ₹250 crore (public funds)
• Inauguration Date: April 30, 2025 (Akshaya Tritiya)
• Temple Type: Replica of the 12th-century Jagannath Temple in Puri, Odisha

ISRO forms probe panel after PSLV-C61 glitch leaves EOS-09 off-target

• Indian Space Research Organisation (ISRO) has formed a committee to investigate the incident in which a PSLV rocket failed to place the Earth observation satellite, EOS-09, into its intended orbit.

GS1 to Introduce Next-Generation QR Codes from 2027 for Enhanced Transparency

• The initiative aims to improve product transparency, traceability, and consumer protection. GS1, a global standards organization, plans to launch next-generation QR codes starting in 2027.

Scottie Scheffler Clinches Third Major Title with PGA Championship Victory

• He won by a margin of five strokes over Americans Harris English, Davis Riley, and Bryson DeChambeau. Scottie Scheffler, World No. 1 golfer, won his third Major title by capturing the 2025 PGA Championship.
• Scheffler finished at 11-under 273, shooting a level-par 71 in the final round.

Rajasthan Launches Crackdown on Fake Fertilisers and Hoarding Ahead of Kharif Season

• Launched by: Rajasthan Agriculture Department on May 15, 2025
• Objective: To curb the sale of fake or substandard fertilisers, and hoarding of seeds and fertilisers before the Kharif sowing season.

World Bee Day 2025 Celebrated with Grandeur by KVIC

• Occasion: World Bee Day 20 May, 2025

CERT-In SAMVAAD 2025: India’s Premier Cybersecurity Audit Conference

• Facilitate knowledge sharing among over 300 participants from empanelled auditing organizations, regulators, and industry experts
• Event Name: CERT-In SAMVAAD 2025
• Dates: May 19–21, 2025
• Strengthen India's cybersecurity audit ecosystem

India assumes Chairmanship of Asian Productivity Organization for 2025-26

• India has formally assumed the Chairmanship of the Asian Productivity Organization, APO for the 2025-26 term during the ongoing 67th Session of the Governing Body Meeting of the organisation. 

PM Modi to inaugurate 103 Amrit Stations across the country tomorrow

• Prime Minister Narendra Modi will inaugurate 103 Amrit Stations across the country tomorrow. The Amrit Bharat Station Scheme launched in December 2022 by the Ministry of Railways aims to transform over 1,300 stations into modern hubs with multimodal integration and future-ready facilities.

Heart Lamp glows, story collection wins the Booker Prize for Banu and Deepa

• Heart Lamp, a collection of 12 short stories selected from her work written between 1990 and 2023 and translated by Deepa Bhasthi, won the International Booker Prize for 2025 from a shortlist featuring books in French, Italian, Danish, and Japanese.

Lion count grows by 32% in 5 years, expands beyond protected areas

• India’s lion population, exclusively concentrated in Gujarat, has risen by 32% between 2020 and 2025, with 891 lions reported, according to a report from the Gujarat Forest Department released on Wednesday. The number of adult females – a proxy for future growth – rose by 27% to 330 individuals.

Indian Navy Inducts INSV Kaundinya: A Tribute to Ancient Indian Shipbuilding

• On May 21, 2025, the Indian Navy formally inducted INSV Kaundinya, a stitched sail ship inspired by 5th-century Ajanta cave paintings, at a ceremonial event at Karwar Naval Base.

COVID isolation ward opened in Visakhapatnam hospital

• The first COVID-19 case in Visakhapatnam after a long gap has caused concern amid rising cases in some Indian States and countries like Singapore and Hong Kong. 

Airtel Payments Bank Eyes IPO by September 2027 Following Regulatory Mandate

• IPO Timeline: Airtel Payments Bank must go public within three years after crossing ₹500 crore net worth in September 2024, setting a deadline of September 2027 for listing.

Finland summons Russian envoy over suspected airspace violation

• Finland’s Foreign Ministry said it had summoned Russia’s Ambassador over a suspected violation of Finnish airspace that took place last week.

Rupee appreciates beyond 85 per dollar but trims gains

• The rupee appreciated beyond the 85 mark to 84.78 per dollar on the back of the fall in dollar index.

Containers from capsized ship spotted along Kerala coast, govt asks people to stay away

• Containers from the Liberian-flagged cargo ship, MSC ELSA 3, which capsized off the Kerala coast on Sunday, have begun washing up ashore. Four coastal areas along Kollam and Alappuzha on Monday reported spotting containers.

MoS for Ayush, Prataprao Jadhav inaugurates Yoga Mahotsav 2025 in Puducherry

• Marking the 25-day countdown to the 11th International Day of Yoga, the ‘Yoga Mahotsav 2025’ was organised today in Puducherry. Union Minister of State for Ayush, Prataprao Jadhav, inaugurated the event.

ISSF Junior World Cup: Indian shooter Tejaswani claims Gold in 25m pistol event

• Indian shooter Tejaswani claimed the gold medal in the women’s 25m pistol event to continue the country’s domination in the ISSF Junior World Cup 2025 in Suhl, Germany, here on Monday. Tejaswani aggregated 31 after firing five shots in the eight-women final.

Panchayati Raj Ministry launches Panchayat Advancement Index 2.0 portal & booklet for FY 2023-24

• Ministry of Panchayati Raj today organised a two-day national write-shop on rolling out of Panchayat Advancement Index (PAI) Version 2.0 for the financial year 2023-24 in New Delhi. 

Gulveer clinches India’s first gold

• India’s best track athlete this season so far, Gulveer Singh continued his impressive performance with the country’s first gold at the Asian Athletics Championships, winning the 10,000m on the opening day of the competition in Gumi, South Korea.

Rising Outward FDI and Declining Reinvested Earnings Raise Concerns for India’s Net FDI

• The share of repatriation and disinvestment in India’s gross FDI inflows has surged from about 25% in 2019-20 to 63% in 2024-25. Foreign inve

Holy Relics of Lord Buddha to Return to India After Historic Vietnam Tour

• The Holy Relics of Lord Buddha will return to India on 2nd June 2025, aboard an Indian Air Force aircraft.
• The relics will arrive at Delhi’s Palam Air Force Station around 10:00 PM.

MGNREGA Work Demand Declines in April 2025

• Demand Decrease: In April 2025, households demanding work under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) stood at 20.1 million, reflecting a 6.6% decrease compared to April 2024.
• Union Budget Allocation: The Union Budget for FY26 allocated ₹86,000 crore for MGNREGA, maintaining the same amount as the Revised and Budget Estimates for the previous year.
• Approved Labour Budget: The approved labour budget for FY26 is around 199 crore person-days, which is 18.44% lower than the actual labour budget for FY25.
• Historical Comparison: This figure is the lowest for April since 2020-21. However, it is still higher than pre-Covid levels, although the gap between current demand and pre-Covid demand is narrowing.

Rupee Hits 7-Month High of 83.76/USD Before RBI Steps In

• Psychological Level Breached: This marked the first time since October 17, 2024, that the rupee moved below the 84/USD mark, triggering stop-loss orders and foreign inflows.
• Estimated Size: The Reserve Bank of India intervened with an estimated \$3 billion purchase of US dollars.
• Closing Rate: The rupee ended the day at 84.55, slightly weaker than Thursday’s close of 84.49.
• New 10-Year G-Sec: The coupon for the freshly issued 10-year government bond was set at 6.33%, aligning with market expectations.

S&P Lowers India’s FY26 GDP Growth Forecast to 6.3%

• FY26 GDP forecast lowered to 6.3% from 6.5% by S&P Global Ratings.
• FY27 GDP forecast also cut by 30 basis points to 6.5%.
• Increased U.S. tariffs, anticipated retaliatory actions by trade partners, and market turbulence are cited as major downside risks.
• Foreign Portfolio Investors (FPIs) have offloaded record volumes of Indian government bonds, driven by: Narrowing yield spread between Indian and U.S. bonds. Increased global risk aversion amid uncertainty in trade and policy.

NITI Aayog Recommends Overhaul of CGTMSE Scheme to Boost MSME Competitiveness

• Enhanced coverage for women-led units: 100% credit guarantee coverage should be extended to women-led enterprises to encourage female entrepreneurship.
• Reform of CGTMSE: Greater transparency and oversight: The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) should be brought under a formal regulatory authority to improve governance and accountability. Reduced premium rates: Lowering guarantee premiums to make the scheme more attractive and accessible for micro and small enterprises. Enhanced coverage for women-led units: 100% credit guarantee coverage should be extended to women-led enterprises to encourage female entrepreneurship.
• Greater transparency and oversight: The Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) should be brought under a formal regulatory authority to improve governance and accountability.
• CGTMSE, launched in 2000, is a key government initiative to provide collateral-free credit to India’s micro and small enterprises.

India’s April GST Collection Hits Record ₹2.37 Lakh Crore

• India’s GST collections for April 2025 hit a historic high of ₹2.37 lakh crore, up 12.6% YoY.
• Since GST rollout in 2017, April collections have more than doubled from ₹1.03 lakh crore to ₹2.37 lakh crore in 2025.
• Net GST revenue after refunds: ₹2.09 lakh crore, marking a 9.1% annual increase.
• Rise attributed to: Year-end tax filings by businesses Increased compliance across MSMEs Mass adoption of fintech solutions (87% fintech adoption rate, above global average) Faster refunds supporting liquidity, especially for small businesses

India’s GDP Forecast for 2025 Cut to 6.3% by Moody’s

• India’s GDP growth forecast for 2025 has been lowered to 6.3% from 6.6% by Moody’s Ratings.
• World Bank lowered India’s growth estimate to 6.3% (earlier: 6.7%)
• Moody’s forecasts India’s 2026 growth at 6.5%
• IMF revised India’s FY26 forecast to 6.2% (earlier: 6.5%)

India’s National Manufacturing Mission

• Underperformance of Past Initiatives: Despite the National Manufacturing Policy (2011) and Make in India (2014), the sector has struggled due to structural inefficiencies.
• The Union Government has set up an inter-ministerial panel to draft a National Manufacturing Mission. The initiative aligns with the Make in India vision and aims to reinvigorate the manufacturing sector, which has historically contributed only 15–17% to GDP, far below the 25% target.
• MSME Marginalisation: Existing schemes like PLI favor capital-intensive industries, leaving labour-intensive MSMEs (e.g., apparel, furniture, toys) underserved.
• Cleantech Manufacturing Push: Photovoltaic cells, electric vehicles, wind and grid battery components are key sectors. Supports both climate goals and reduction in import dependency.

Sectors of Economy

• This sector forms the backbone of developed economies, supporting the functioning of the primary and secondary sectors.
• Encompasses knowledge-based activities that focus on intellectual pursuits and innovation.
• Economic sectors categorize activities in an economy, such as extraction, manufacturing, or services.

eCommerce Business Models

• Reverses the traditional B2C model
• The B2B e-commerce sector in India has expanded significantly due to: Increased adoption of digital tools by enterprises, including MSMEs Streamlined procurement processes Enhanced logistics and distribution solutions
• Involves selling products/services between companies (e.g., manufacturers to wholesalers, wholesalers to retailers)
• High-value orders, often with recurring purchases

Bond Yield Gap Between India and US Narrows to 22-Year Low

• Yield Gap: India 10-year bond yield (May 19, 2025): 6.28% US 10-year bond yield: 4.55% Yield differential: 173 basis points (bps) — lowest since July 14, 2003
• India 10-year bond yield (May 19, 2025): 6.28%
• US 10-year bond yield: 4.55%
• Face Value: The amount returned to the investor at maturity (e.g., ₹1,000 or $1,000).

India Becomes the 4th Largest Economy in the World

• Set to overtake Germany within 2.5–3 years
• India’s Nominal GDP (2025): $4.19 trillion
• Japan’s Nominal GDP (2025): $4.18 trillion
• Current Global Rank (2025): 4th

India’s Economic Outlook Faces Trade Tariff Uncertainty, Sluggish FDI: Finance Ministry Review

• The 90-day pause on the 26% US tariff on Indian exports ends on July 9, 2025, posing a renewed trade risk for India.
• Net FDI inflows into India in FY25 stood at a subdued $0.4 billion Driven by profit repatriations by foreign investors Reflects growing outward FDI by Indian firms
• Prolonged global trade uncertainties could: Keep foreign portfolio investment (FPI) flows volatile through FY26 Lead to capital flight or reduced inflows amid tighter global financial conditions Deter private investment, as firms may adopt a cautious approach
• Keep foreign portfolio investment (FPI) flows volatile through FY26

Maharashtra Leads FDI Equity Inflows in FY25

• Gujarat witnessed a 21.9% decline, falling to fourth position.
• Tamil Nadu saw the highest YoY growth in percentage terms (+54.1%), signaling growing investor interest in the southern state.
• Delhi experienced a moderate decline of 6.1%, though it moved up to the third position.
• Despite a 96% drop in net FDI inflows to just $0.35 billion, gross FDI inflows grew 14% to $81 billion, reflecting strong reinvested earnings and equity inflows.

Centre Hikes Sugarcane FRP to ₹355/Quintal for 2025-26 Season

• ₹355 per quintal for sugarcane with a basic recovery rate of 10.25%, up from ₹340 in 2024-25.
• 2023-24 Season: ₹1,11,703 crore (99.92%) of the ₹1,11,782 crore dues paid.
• 2024-25 Season (ongoing): ₹85,094 crore (87%) of the ₹97,270 crore dues cleared by April 28, 2025.
• Governed by the Sugarcane (Control) Order, 1966, under the Essential Commodities Act (ECA), 1955.

India Unveils First-Ever Genome-Edited Rice Varieties

• India exempted SDN1 and SDN2 genome-edited crops from GEAC oversight under EPA Rules, 1989
• ₹500 crore allocated in the 2023–24 Union Budget for genome editing in agriculture
• Promises 30% higher yield and 15–20 days earlier maturation compared to traditional varieties
• Deployment to farmers may take 4–5 years due to seed production cycles

Agrivoltaics in India

• High upfront cost is a major hurdle: APV systems cost 11% more than traditional ground-mounted solar systems (~₹2.7 crore per MW).
• Feed-in tariffs (FiTs) are crucial for viability: Current FiT (₹3.04/unit) yields a 15-year payback. A FiT aligned with thermal average power purchase cost (₹4.52/unit) would cut it to just 4 years.
• Current FiT (₹3.04/unit) yields a 15-year payback.
• A FiT aligned with thermal average power purchase cost (₹4.52/unit) would cut it to just 4 years.

Coalition for GM-Free India Opposes Genome-Edited Paddy Varieties

• Coalition warns that genome-edited seeds may harm human health and cause irreversible environmental damage
• The coalition calls the announcement illegal, citing deregulation of SDN-1 and SDN-2 gene editing techniques without safety tests
• Kamala (DRR Dhan 100) developed by Indian Institute of Rice Research, Hyderabad
• Pusa DST Rice 1 developed by Indian Agricultural Research Institute, Delhi

Viksit Krishi Sankalp Abhiyan

• 3,100 trained agriculture scientists to act as master trainers
• Proposed amendments to the Seeds Act, 1966 to: Prevent sale of spurious seeds. Ensure access to quality and certified seeds. Promote seed traceability across the supply chain for transparency and accountability.
• Target: Reach 10–15 million farmers across 700 districts in India
• Daily outreach target: 11.2 million farmers

India’s Genome-Edited Rice Varieties

• Up to 30% yield increase compared to conventional varieties.
• India approved GM mustard (DMH11) in 2022 — a key regulatory shift.
• India recently released two genome-edited rice varieties: DRR Dhan 100 (Kamala) Pusa DST Rice 1
• DRR Dhan 100 (Kamala)

Way Forward: Boosting Biotech Investment

• Current agri R&D allocation: ₹10,466 crore
• Needs significant increase over the next 2–3 years.

First-Ever Rice Pangenome

• Ensures ecological and environmental safety under the Environment (Protection) Act, 1986.
• Approval only after compliance with biosafety guidelines framed under the Environment (Protection) Act, 1986.
• Scientists have assembled the first rice pangenome by integrating genomic data from 144 wild and cultivated rice varieties across Asia.
• Traditional reference genomes cover only a single variety (O. sativa ssp. japonica). The pangenome adds 3.87 billion new base pairs and over 69,000 genes, including: 28,907 core genes 13,728 wild-rice-specific genes

Dvara Solutions – Kissandhan Agri Financial Services partnership

• Perdix supports over ₹15,000 crore in AUM across 20+ institutions
• ₹3,263.99 crore in disbursed loans
• 7+ lakh farmers reached
• 37,185 women beneficiaries in agri and allied sectors

India to Introduce Natural Farming Certification System (NFCS)

• This initiative will benefit the 1.8 million farmers practicing natural farming across 780,000 hectares of land.
• The certification aims to provide premium pricing for chemical and synthetic fertilizer-free products, improving farmers' incomes.
• Voluntary Participation: The system will be non-binding, meaning farmers can choose whether to participate.
• Certification Agencies: State and union territory boards responsible for organic farming may also oversee natural farming certification.

Kendu Leaves – “Green Gold of Odisha”

• Action: These communities have harvested over 4 lakh bundles of kendu leaves during the 2025 season.
• 2012 FRA Amendment: Empowers communities to process, store, transport, and sell MFP without paying royalties or needing government approval. Transit Permits: Must be issued by the Community Forest Rights Management Committee (CFRMC), which has the authority under the FRA.
• FRA (2006): Recognizes the rights of forest-dwelling communities to collect, use, and sell minor forest produce (MFP) like kendu leaves.
• Key Villages: Kalatha Jodi, Kupuli Guda, Badali Beda, among others.

India’s First Genome-Edited Rice Varieties

• India becomes the first country globally to develop rice varieties using genome editing technology. New seeds to be available to farmers within 6 months post-clearance, large-scale production expected in next 3 crop seasons.

New Rice Varieties Developed

• Research tested during 2023-24 under All India Coordinated Research Project on Rice.
• Peer-reviewed paper on Pusa DST Rice 1 published in 2020; Kamala’s paper under publication.
• Genome Editing Techniques: Site-Directed Nuclease 1 and 2 (SDN-1, SDN-2).
• Not Genetically Modified (GM): No foreign genes introduced (unlike SDN-3).

Government Allocates Additional Rice from FCI Buffer Stock for Ethanol Production

• Optimal Buffer Stock Utilization: FCI currently holds 61 million tonnes (MT) of rice against a buffer norm of 13.58 MT, with an economic cost of Rs 4173/quintal projected for 2025-26.
• Target: Achieve 20% ethanol blending by 2025-26.
• Progress: Ethanol blending increased from 1.53% in 2014 to 15% in 2024.
• Economic Benefits: Supports the Make in India initiative, helps double farmers’ incomes, and generates employment.

Genome-Edited Rice Varieties

• Expected yield improvement: Up to 30%.
• Seed production stages (breeder, foundation, certified seed) will take 2–4 years.
• A ₹500 crore government programme has been launched for genome editing across: Cereals, pulses, oilseeds Horticulture and livestock
• India has released the world’s first gene-edited rice varieties developed using CRISPR-Cas9 technology.

India Set to Launch Satellite-Based Handheld Soil Testing Tool for Farmers

• Agriculture contributes 18% to India’s GDP and employs 42% of the workforce.
• The FY26 Union Budget allocated ₹1.71 trillion to agriculture and allied sectors (up 20% from FY25 RE).
• Facilitates precision farming by enabling: Accurate application of fertilizers and irrigation Reduced input costs Improved crop yield
• Accurate application of fertilizers and irrigation

Govt releases 3 new crop varieties developed by BHU

• Improvement: An enhanced version of the earlier Malviya Dhan 105, developed by Prof. P.K. Singh and his team.
• Seed Characteristics: Bold, black seeds with an average oil content of 39.4%.
• Maturity: 115–120 days.
• Yield: 55–60 quintals per hectare.

Uttar Pradesh Attracts ₹6,772 Cr Investment in Ethanol Sector

• The Government of India targets 20% ethanol blending by 2025.
• Fresh private sector investment of ₹6,772 crore has been committed to build additional ethanol capacity of 1.06 billion litres.
• Annual cane payments to farmers exceed ₹34,000 crore from 122 sugar mills.
• UP’s sugarcane economy, including ethanol, sugar, jaggery, and chemicals, is valued at ₹50,000+ crore.

India’s Emerging ‘Rent-a-Bee’ Pollination Economy

• India has seen a 20% decline in bee population; some regions like Odisha face up to 80% loss.
• Cost: Rs 2,500 per box/month; ~10–20 boxes needed per 15,000 sq ft.
• Environmental Sustainability: No pesticides, mobile towers, or high-tension wires near Nitin's Barabanki apiary. Singh’s goal is environmental restoration, not just profits. Bee pollination can boost yields by 20–35% and ensure higher seed quality.
• Bee pollination can boost yields by 20–35% and ensure higher seed quality.

Viksit Krishi Sankalp Abhiyan (2025)

• Objective: Strengthen India’s agricultural foundation for achieving a “Viksit Bharat” (Developed India) by 2047
• Launched by: Shri Shivraj Singh Chouhan, Union Minister for Agriculture & Farmers Welfare and Rural Development
• Campaign Duration: May 29 to June 12, 2025
• Interactive Model: Farmers can share challenges, ask questions, report local issues (e.g., pest attacks)

AI in Agriculture

• Results: Water savings of 20–30%, improved crop health, and reduced costs.
• 4. Data Ownership & Ethics
• AI-powered tractors and sprayers create soil maps, apply fertilizers selectively.
• Example: Minnesota farmer saved $32/acre by targeted herbicide use.

Government Launches Three New Multi-State Cooperative Societies to Promote Sustainability in Dairy Sector

• The Government of India, under the leadership of Cooperation Minister Amit Shah, has announced the establishment of three new multi-state cooperative societies aimed at promoting sustainability and circular economy practices in the dairy sector.
• This marks a major step toward the envisioned White Revolution 2.0, focusing not only on expansion but also on eco-friendly transformation.
• Aims to improve livestock productivity and health.
• Dung Management Cooperative Develop scientific dung management models. Promote conversion of waste into biogas and organic fertilizers.

IFFCO Partners with FDRVC to Empower Farmer Producer Organisations (FPOs)

• The partnership aims to empower over 800 FPOs and benefit around 10 lakh farmers nationwide by improving access to advanced agricultural inputs.
• Indian Farmers Fertiliser Cooperative Limited (IFFCO) signed an MoU with the Foundation for Development of Rural Value Chains (FDRVC), a Ministry of Rural Development initiative.
• IFFCO will supply innovative inputs including: Nano fertilisers Bio-stimulants Specialty fertilisers Organic inputs (bio-fertilisers, bio-decomposers)
• Nano fertilisers

Empowering India's Small Farmers: Pathways to Resilience and Prosperity

• Market Exploitation: Only 7% access MSP; most depend on middlemen and face price manipulation.
• Credit Inequity: <30% access institutional credit; informal loans lead to debt traps.
• Corporate Partnerships: 4P (Public-Private-Producer Partnership) model fostering traceable supply chains and shared value. CSR funds directed toward rural infrastructure, organic farming, and local employment.
• 4P (Public-Private-Producer Partnership) model fostering traceable supply chains and shared value.

Spices Board Launches SPICED Scheme 2025–26

• Support export promotion, especially for first-time exporters and MSMEs.
• Installation of modern post-harvest equipment, such as: Spice polishers Turmeric boilers Mint distillation units Threshing and grading machines Dryers, slicers, and dehullers
• Spice polishers
• Turmeric boilers

Genomic and Genetic Insights into Mendel’s Pea Genes

• Published results in 1866; work initially ignored, rediscovered in 1900.
• Despite progress by 1917, genetic causes of three traits (pod color, pod shape, flower position) remained unknown.
• Recent research published in Nature (Feng et al., 2025) used next-generation sequencing of 697 pea variants, analyzing ~60 terabases of DNA data.
• Gregor Johann Mendel (1856–1865), an Austrian monk, experimented with pea plants to study trait inheritance.

Viksit Krishi Sankalp Abhiyan

• Engagement across 700+ districts and involving: All 731 Krishi Vigyan Kendras (KVKs) All 113 ICAR institutes Officials from agriculture, horticulture, animal husbandry, fisheries departments Progressive farmers and other stakeholders
• Expected to directly reach 1.5 crore farmers across participating states.
• Organized by Indian Council of Agricultural Research (ICAR) and the Ministry of Agriculture & Farmers’ Welfare in collaboration with state governments.
• A key step toward achieving developed agriculture and the broader vision of Viksit Bharat-2047.

Fertiliser Industry Demands Reform in Outdated Regulatory Framework

• Overregulation and Harassment: Up to 32 FCO inspectors can monitor a single domestic unit, leading to excessive scrutiny. No comparable level of inspection exists even in sectors like pharmaceuticals.
• Up to 32 FCO inspectors can monitor a single domestic unit, leading to excessive scrutiny.
• Atmanirbhar Bharat Goal: Reforming FCO can reduce import dependence, especially for fertilisers used in fruit and vegetable production (currently 5 lakh tonnes imported).
• Regulatory Imbalance: Under the Fertiliser Control Order (FCO), 1955, domestic firms must obtain multiple state-level licences and maintain offices and warehouses across states. Foreign suppliers, however, face minimal compliance, needing only import permissions to operate pan-India.

BASF Launches Valexio and Mibelya to Boost Indian Rice Production

• India’s Global Role: Second-largest rice producer globally. Contributes to 40% of global rice trade with an annual output of over 100 million metric tons.
• Contributes to 40% of global rice trade with an annual output of over 100 million metric tons.
• Product Launch: Valexio: Insecticide designed to manage rice hoppers, a major pest affecting rice crops. Mibelya: Fungicide aimed at controlling sheath blight, a common rice disease.
• Valexio: Insecticide designed to manage rice hoppers, a major pest affecting rice crops.

CCEA Approves Revised MSP for 14 Kharif Crops

• Government mandates a minimum 50% margin over the production cost to ensure farmer profitability.
• Recommended by the Commission for Agricultural Costs and Prices (CACP) and approved by the Cabinet Committee on Economic Affairs (CCEA).
• Introduced in 1966–67 during the Green Revolution, initially for wheat and paddy.
• Since Budget 2018–19, MSP is fixed at 5 times the cost of production (A2+FL) to guarantee fair returns.

Dr. Panjabrao Deshmukh Krishi Vidyapeeth (PDKV), Akola: Key Highlights (May 2025)

• PDKV Purva (Soybean) Now approved for: Assam, Meghalaya, and Northeast India Traits: High yield (22–25 q/ha), suitable for diverse agro-climatic conditions
• Traits: High yield (22–25 q/ha), suitable for diverse agro-climatic conditions
• Participation & Impact:• 1,400+ farmers attended• ₹1.7 crore worth of seeds and inputs sold• Technical guidance provided on pest management, weather patterns, and cropping systems
• AKAW 5100 (Wheat)• Traits: Rust-resistant, drought-tolerant, high-yielding• Uses: Suitable for bread and chapati• Released for: Maharashtra, Karnataka, Telangana, Andhra Pradesh, Tamil Nadu

Union Cabinet Approves Continuation of Modified Interest Subvention Scheme (MISS) for FY 2025–26

• Launched in 2006–07, it is implemented jointly by the Reserve Bank of India (RBI) and NABARD via Public Sector Banks, Regional Rural Banks (RRBs), Cooperative Banks, and Private Banks.
• Loan Limit Enhancement: Budget 2025–26 proposes increasing the loan limit to ₹5 lakh to cover broader agricultural needs.
• Digital Innovation: Introduction of the Kisan Rin Portal (KRP) in 2023 enables faster, transparent claim processing under the scheme.
• Farmers receive loans up to ₹3 lakh at an interest rate of 7%.

Kisan Credit card Scheme Update

• Operative KCCs: Declined by 2.7% compared to the previous financial year.
• Declined by 2.7% compared to the previous financial year.
• Outstanding Credit Amount: Increased by 4.5%, crossing ₹6 trillion.
• Increased by 4.5%, crossing ₹6 trillion.

India’s Move to Restrict Import of GM Alfalfa (Lucerne) Seeds

• Use of powers under the Environment (Protection) Act, 1986 to regulate GM imports.
• Environment (Protection) Act, 1986 regulates GM organism imports.
• Domestic alfalfa seed is available at ₹500–800/kg, while imported GM seeds are costlier due to duties.
• Benefits: Long lifespan (4–8 years), drought-resistance Enhances agricultural efficiency through nitrogen fixation

Belagavi-Based SBOF Agrosmart Launches India’s First AI-Powered All-in-One Agriculture App

• Artificial Intelligence & IoT Powered: Offers precise, region-specific advisory and farming recommendations.
• Multilingual Chatbot Support: 24/7 assistance available in multiple regional languages for wider accessibility.
• All-in-One Platform: Provides solutions for crop management, pest control, weather updates, soil health, and government scheme information.

Padma Awards 2024

• Padma Vibhushan Awardees (2nd Highest Civilian Award):
• Late Kumudini Lakhia – Renowned Kathak dancer (posthumous) Awards received by their respective family members
• Awards received by their respective family members
• Padma Bhushan Awardees (3rd Highest Civilian Award):