Current Affairs 9 & 10 February, 2025

Daily Current Affairs Quiz
9 & 10 February, 2025

National Affairs

1. National Mission for Manuscripts (NMM)

Context:

The Indian government is working towards making the National Mission for Manuscripts (NMM) an autonomous body, with a significant funding boost of nearly ₹500 crore over the next six years. The initiative aims to enhance the preservation and digitization of India’s manuscript heritage.

Autonomy & Funding

• NMM, which was set up in 2003, is an institution being upgraded to be fully autonomous.
• A Special Finance Committee has sanctioned ₹491.66 crore for the Centre till 2031.
• The NMM, which was a constituent unit of the Indira Gandhi National Centre for the Arts (IGNCA), is now a part of a Central sector scheme and hence gets full central government funding.

Background on the National Mission for Manuscripts (NMM)

• The Ministry of Culture established the National Mission for Manuscripts (NMM) in 2003 during the 10^th Five Year Plan.
• Presently subsuming into Indira Gandhi National Centre for the Arts (IGNCA).
• National Manuscripts Authority is to be constituted as a new body under the Ministry of Tourism and Culture.
• The NMM will document, conserve, and disseminate into knowledge treasure saved in Indian manuscripts.
• The mission will mine and save under its umbrella an estimated 10 million treasures of manuscript books in India.
• The manuscripts can be broadly described as different texts, weaves, art forms, scripts, languages, calligraphies, and illustrations.
  

The Aims of NMS

• Manuscript Search
  • National level survey and grounded post-survey
• Manuscript Documentation
  • Developing the world’s largest manuscript database-the National Electronic Database.
• Manuscript Conservation
  • By modern and indigenous conservation techniques and training of new generation manuscript conservators.
• Manuscript Studies Promotion
  • Scholars are trained in languages and scripts, critical editing, and cataloguing.
• Digitization and Access
  • Digitization of rare and endangered manuscripts for far wider public access.
• Public Engagement
  • Lecture series, seminars, publications and outreach programs.
• Establishing Manuscript Resource Centres
  • More than 100 Manuscript Resource Centres and Manuscript Conservation Centres towards the length and breadth of India.

Uncertainty Over ‘Gyan Bharatam Mission’

• ‘Gyan Bharatam Mission’ was initiated in Union Budget 2024-25 to encapsulate more than one crore of manuscripts.
• This endeavor is for surveying, documenting, and preserving the manuscripts at several institutions, museums, libraries, and private collections.
• Yet it is not clear whether this would turn out to be a component of NMM or an independent outfit.

2. Antibiotic Resistance and Bacterial Cell Division

Context:

Antibiotic resistant bacteria, in themselves, already pose a deadly threat to the world. There are estimated 1.2 million deaths in 2021 due to antimicrobial resistance, making it a serious health challenge across the globe. In India, hospital surveys suggest that one sees a 13% mortality rate because of infections from drug resistant bacteria. It is imperative for immediate future research to identify new antibiotics.

Antibiotic Resistance

Antibiotic resistance is when bacteria change and become able to survive antibiotics that were previously used to treat them. This makes it harder to treat bacterial infections, and can lead to more severe illnesses.

• How it happens?
  • Bacteria can adapt over time to antibiotics, changing in ways that make them resistant.
  • Bacteria can transfer resistance genes to other bacteria through horizontal gene transfer.
• What it means for patients?
  • The patients in the hospitals might require longer times here, expensive treatments, and more frequent follow-up visits.
  • Antibiotic-resistant infections may sometimes prove fatal.
• How it spreads?
  • Antibiotic resistance can spread in hospitals, farms, communities, and the environment.
  • Modern travel and trade facilitate the spreading of antibiotic-resistant bacteria across borders.
• How to prevent it?
  • Ensure only antibiotics are used only when it’s necessary.
  • Practice hygienic and sanitary activity.

Key Highlights of the Experiment

Antibiotics and Bacterial Cell Walls

• Inhibit bacterial growth or kill bacteria while not harming human cells.
• Bacteria possess a distinctive cell wall of peptidoglycan, which is not found in human cells.
• Peptidoglycan molecules composed of:
  • Glycans, or NAG NAM chain for the backbone.
  • Peptides that crosslink the NAM sugars to make a lattice structure.

Penicillin and Antibiotic Resistance

• Penicillin that interfere with crosslinks and are thus weaker points in the wall of the bacterial cell. Hence, the latter becomes lysed, bursting open.

Developed resistance by bacterial cells

• Enzymes (penicillins) as penicillins degrade.
• Alteration of its target, prevents effective binding for penicillins.

Research Insights in the Bacterial Cell Division

• Bacteria extend their walls by selectively breaking and reforming bonds to divide.
• Endopeptidases break the peptide cross links.
• Lytic Transglycosylases (LTs) break the sugar chains
• New Research on Bacterial Adaptation
• Dr. Manjula Reddy’s team of CCMB Hyderabad found that bacteria are capable of compensating through endopeptidase enzyme loss by overproducing the LT scissors so that they can continue remodeling their cell walls.
• And this adaptability helps bacteria survive against antibiotic attacks, thus making resistance complex.

3. Impact of Budget on Scientific R&D

Context:

The 2025-26 Budget outlines a significant boost for scientific research, particularly in nuclear energy, innovation, and private sector R&D. Key announcements include a ₹20,000 crore allocation for small modular reactors (SMRs) and the establishment of a Research, Development, and Innovation fund under the Department of Science and Technology (DST).

Key Highlights:

• Major R&D Funding Announcements ₹20,000 cr dedicated towards developing five small modular reactors (SMRs) by 2033.
• Great boost to the DST since it has increased its allocation to ₹28,000 cr three times that of last year’s budget.
• Huge focus on private sector participation in R&D, historically since the government has spent its entire core by itself.

Challenges in India’s R&D Landscape

• Poor private sector R&D spending
  • Currently represents only 36%.
  • R&D expenditure has been declining at 0.64% of GDP in 2020. This is also the lowest since 1995.
  • IPs from the strong areas in fuel, IT, pharma, metallurgy, and biotech are limited.
• Structural weaknesses
  • Lack of chipsets, semiconductor fabs, skilled manpower, and good innovation infrastructure.

Key Concerns and Recommendations

• Absorption capacity
  • It is not clear if the research ecosystem in India is capable of efficiently using these humongous amounts of money.
• Private sector engagement
  • The government needs to outline how businesses can access R&D support.
• Foundational infrastructure needed
  • Without education, technology, and funding bottlenecks addressed, increased investments may not result in the desired outcome.

4. India’s Role in the AI Action Summit 2025

Context:

India has recently accepted France’s invitation to co-chair the AI Action Summit (Feb 10 11, 2025) in Paris. This is the third major global AI summit, after U.K. (2023) and South Korea (2024). The Paris summit will expand discussions beyond AI safety which includes innovation, public interest AI, future of work, and governance.

India’s AI Strategy: Key Priorities for Paris

• India has an opportunity to:
  • Amplify the Global South’s concerns in AI governance.
  • Position itself as a leader for AI policymaking.
  • Host the next AI Action Summit.
• Democratising AI Access
  • Advocate for equitable AI infrastructure beyond computing power:
  • Data sets, cloud computing, foundation models, and development platforms.
  • Promote open source AI to counter restrictive export control measures.
  • Support distributed computing solutions and AI safety tools (e.g., watermarking).
• Developing AI Use Cases for the Global South
  • AI applications should address mainly local needs, rather than be generic global solutions.

Key sectors includes

• Healthcare: AI driven early disease detection tailored to regional systems.
• Education: Personalised learning for diverse linguistic and educational contexts.
• Agriculture: AI enabled products tailored to regional farming environments.
• Proposal for development of an AI use case resource for the Global South.

Contextualizing Risks of AI for the Global South

• AI risks take a very different form than is the case of the Global North. Important risks for the Global South.
• Cultural erosion due to AI models trained on predominantly Western datasets.
• Lack of localized AI safety measures tailored to developing economies.
• Proposal to establish an AI harm repository to document real world AI risks in the Global South.

Looking Ahead: India’s Potential Leadership in AI Governance

• As co-chair of the Paris summit, India can push the Global South’s AI agenda.
• A successful engagement at Paris could strengthen India’s bid to host the next AI Action Summit.
• India is uniquely positioned as a bridge between AI superpowers (Global North) and developing nations.

5. DeepSeek vs. ChatGPT

Context:

A new AI model called DeepSeek, designed by a company in China, is causing a stir as it supposedly performs better than ChatGPT. A storm of headlines about China might take over the AI space has surfaced, but what does this mean in reality and why are people all worked up about it?

Media Frenzy and Global Concerns

• Many reports assume that DeepSeek’s success is a threat to U.S. dominance in AI.
• They suggest that DeepSeek has secret funding from the Chinese government, because it is open source and free.
• Others proclaim that it is just another round in the endless U.S.-China tech rivalry, as if TikTok vs. WhatsApp or Baidu vs. Google.

Job Market DisruptionsL: Is AI About to Hit Harder?

• AI was already going to displace 85 million jobs by 2025 in industries such as customer service, banking, and teaching.
• DeepSeek being free and open source, might go viral even more quickly than ChatGPT and result in even greater job displacement.
• The bigger worry is China will use DeepSeek for political leverage, at least in nations like India.

The Shockwave in Financial Markets

• AI linked stocks plummeted the day after the announcement of DeepSeek.
• Nvidia suffered a loss of $593 billion in market value within one trading day-the biggest single-day loss by any firm ever.
• Other AI related companies lost over $1 trillion.
• DeepSeek’s low cost vs. OpenAI’s massive spending:
  • DeepSeek reportedly trained its model for only $6 million, while OpenAI has raised billions and is looking for even more funding.

History Repeating Itself? The Reality of Tech Revolutions

• People tend to believe that technology drives progress, but history shows otherwise. This is the story of the British textile revolution, which occurred during the 18th century.
• The introduction of machines, such as the spinning jenny, helped Britain dominate the industry. The real reason, however, had little to do with technology—it was:
• Heavy tariffs (40 70%) on Indian cotton to kill competition.
• Cheap American grown cotton using slave labor.
• Similar patterns were seen in other tech revolutions, from synthetic indigo (Champaran movement) to electricity and automobiles.

AI’s Future is About More Than Just Innovation

DeepSeek’s rise shows that AI is not just about better algorithms. it’s about who controls the ecosystem. Political, economic, and legal decisions will shape the AI revolution as much as the technology itself. Instead of being swayed by headlines, it’s important to look at the bigger picture, who benefits, who controls the rules, and how it affects people worldwide.

Banking/Finance

1. RBI Rate Cut and Fiscal Management

Context:

Just hours after the Reserve Bank of India (RBI) cut its interest rate, finance minister Nirmala Sitharaman underscored the need for coordination between fiscal and monetary policies. While not a complement to the fiscal stimulus as proposed in the Budget, the RBI rate cut will get the economy of India back on a healthy growth pace.

Key Highlights:

RBI Rate Cut & Fiscal Stimulus

• This is due to two reasons: firstly, RBI reduced the interest rates after the Budget has introduced demand stimulative measures, which are likely to increase the overall impact on economic growth.

Private Investment Trends to Revive

• Overall, the government expects revival in private investment trend.
• Industry feedback post Budget suggests optimism, supported by ₹1 lakh crore in tax breaks to spur urban demand.

Signs of Consumption Recovery

• Sitharaman highlighted early indications of increased consumer spending.
• Industry leaders have reported positive demand trends following Budget announcements.

Monetary & Fiscal Policy Coordination

• The Finance Minister likens the collaboration between the two policies to “two wheels of a car.” It can be equated to be the very factor to propel the economy forward on the right trajectory.

2. Asset Monetisation

What is Asset Monetisation?

Asset monetization refers to the method of converting public assets into sources of revenue-generating without a change in ownership. It seeks to extract economic value from underutilized or unused public infrastructure. Public assets consist of roads, railways, power lines, mobile towers, airports, ports, pipelines, and financial assets.

Difference Between Monetisation and Privatisation?

• Monetization ≠ Privatisation
  • Monetisation leverages assets to private players for a given period in a structured framework.
  • The government maintains equity ownership, while private players operate and generate income.
  • Privatisation refers to transfer of government owned assets to the private sector through sale.

Objectives of Asset Monetisation

• Unleash Public Investment Value
  • Improved usage of available infrastructures.
• Productivity of the Private Sector
  • Release private funds for greenfield infrastructure.
• Infrastructure Earnings
  • So raised money is again invested in greenfield infrastructure.

National Monetisation Pipeline (NMP)

• Launched on 23 August 2021 with an objective of raising ₹6 trillion (FY22-FY25).
• Concentration on brownfield assets existing but not sufficiently utilized infrastructure.
• The government holds the ownership while the private players operate and manage the assets.
• Key sectors of NMP:
  • Roads 27%
  • Railways 25%
  • Power 15%
  • Oil & Gas Pipelines 8%
  • Telecom 6%

3. Microfinance in India

Context:

India’s microfinance industry has repeatedly faced crises whether due to state crackdowns, borrower overleveraging, or bad loan. Yet it has always found a way to recover. Now, Karnataka’s new ordinance threatens to shake the industry again.

What are Microfinance Institutions?

Key Provisions of Karnataka’s Microfinance Ordinance (2025)

• Mandatory registration for
  • Jail (6 months – 10 years) and fines (up to ₹5 lakh).
  • State can cancel registrations if borrowers complain.
  • Exemptions for banks & RBI registered NBFCs, but MFIs remain affected.

A Pattern Repeated: Takeaways from AP & Assam

• AP (2010): Tight laws caused the MFIs to collapse, bad loans to surge, and bank funding to be curtailed.
• Assam (2020, 2023 amendment): Identical law enacted, then amended to exempt regulated lenders.

Where Microfinance Currently Stands?

• Loan book at ₹384,396 crore as of Dec 2024. Karnataka ranks 4th.
• Bad loans growing:
  • 30+ days overdue: 6.92% (up sharply).
  • 90+ days overdue: 3.9%.
• Biggest players: NBFC MFIs (39.1%), private banks (32.5%), small finance banks (16.15%).

The Real Issue: Unregulated Lenders, Not MFIs

• Borrowers can’t distinguish between legal MFIs and illegal moneylenders.
• Local “ring leaders” manipulate borrowers, sometimes pocketing repayments.
• Karnataka’s legislation does not target these shadow lenders, but instead harm the MFIs.

What Will Happen If Karnataka Proceeds?

• MFIs may struggle as it did in Andhra Pradesh.
• Bank funding might dry up, exacerbating the liquidity crisis.
• Defaulters will again seek black market loans, enhancing financial distress.

Economy

1. Budget Allocation for Urban Development (2025-26)

Context:

Urban development is imperative as cities account for 67% of India’s GDP. Still, while the “Viksit Bharat” vision is espoused, urban issues remain relegated to the backburner in the Budget.

Overall Allocation

• Total urban development outlay
  • ₹96,777 crore ↑ from ₹82,576.57 crore in the previous Budget.
  • Adjusted for inflation, real spending has decreased.
• Revised Estimate (RE)
  • ₹63,669.93 crore, showing 22.9% underutilization.
• PMAY (Urban) saw a drastic cut:
  • Allocated: ₹30,170.61 crore
  • Revised to: ₹13,670 crore

Urban Local Bodies (ULBs) and Revenue Shortfall

• ULBs face reduced direct transfers: ₹26,653 crore (last year) → ₹26,158 crore.
• GST implementation led to a 21% drop in ULB revenue.
• Lack of central support may lead cities to impose higher local taxes.

Centrally Sponsored Schemes (CSS) Cuts

• PMAY (CSS component) down 30% from last year.
• Swachh Bharat Mission (Urban) allocation unchanged at ₹5,000 crore, but only ₹2,159 crore expected to be spent.
• AMRUT & Smart Cities Mission experience flat allocations.

New Urban Challenge Fund & Private Sector Involvement

• ₹10,000 crore Urban Challenge Fund launched
  • ₹1 lakh crore to be spent on urban redevelopment; 50% to come from private investment
• Smart Cities Mission has witnessed minimal private sector participation. Hence, the target is over optimistic.

Conclusion

• The Budget is more capital intensive in infrastructure rather than sustainable urban policies.
• Less focus on employment, green jobs, and social equity could widen urban disparities.
• Without increased local funding, cities may struggle to provide essential services.

2. New Income Tax Bill

Context:

Despite several reforms, tax disputes continue to rise in terms of monetary value. Various governments have attempted to simplify taxation, but legal battles persist. The government now plans to introduce a new Income Tax Bill to streamline tax laws and reduce litigation.

Previous Efforts to Reduce Tax Disputes

• Direct Taxes Code (DTC) Bill (2010)
  • It was proposed to replace the Income Tax Act, 1961. It focused on simplifying tax slabs and reducing exemptions. It lapsed with the dissolution of the 15th Lok Sabha.
• Arun Jaitley’s Approach (2015-16)
  • Allocated the introduction of a new DTC Bill to the dustbin.
  • Instead, rationalized corporate tax rates.
• Modi Government’s Reforms
  • Introduced a new tax regime with multiple slabs.
    • Corporate tax overhauled in 2019, reduced rates, but limited exemptions. Fewer exemptions = Fewer disputes.

Key Initiatives to Reduce Litigation

• Faceless Assessment – Reduced human interface.
• Taxpayers’ Charter – Rights and transparency.
• Early Tax Returns – Almost 99% of returns are self assessed.
• Vivad se Vishwas Scheme (VVS) 1.0 & 2.0 – Settlement schemes for tax disputes.
  • VVS 1.0 (2020): Settled ₹99,756 crore across 1,46,701 disputes.
  • VVS 2.0 (2024): Used by 33,000 taxpayers whose deadlines ended in January.

Tax Disputes Continue to Rise Despite Reforms

• Tax disputes pending before various tribunals have increased over the last years except in 2021-22.
• Corporate tax disputes were 52% higher in value terms as compared to personal tax disputes during 2023-24.
• Government increased monetary limits for appeals:
  • ITAT: 15 times increase.
  • High Courts & Supreme Court: 20 times increase.

Soon to be tabled in Parliament the Upcoming Income Tax Bill (2024-25).

Agriculture

1. Drone Technology in Indian Agriculture

Context:

India is an agriculture powerhouse: an estimated of 2024 $440.8 billion gross output 7.91% yoy from 2024 to 2028. 42% of the available cultivable area is drought prone and 54% of its net sown area is Rain fed, the entire farming becomes susceptible to change in climate conditions and erratic rainfall. Although foodgrain production remained at 329.6 million tonnes in 2022-23 and 309 million tonnes in 2023-24, an absolute decline, technology intervention is urgently needed.

Drones in Agriculture: A Game Changer

• Drones were initially developed as a military device. They are today routinely used for pesticide spray to plant sowing, soil analysis, and aerial imaging.
• Research from the University of Agricultural Sciences (UAS), India, indicates that drone based application of pesticide decreases the use by 15% and increases cost efficiency by 23%.

Data Collection and Analysis

• Drones collect the real time data based on multispectral imagery, thermal imaging, and crop health monitoring, which improves the decision making abilities among farmers.
• When used together with weather forecasts and soil sensor data, drones can improve nitrogen management and reduce fertilizer usage, thereby saving time and resources.

Precision Agriculture for Sustainability

• Drones and IoT sensors facilitate site specific crop management, resulting in:
  • Less water consumption
  • Less use of fertilizers
  • More crop yields
• The monitoring of soil moisture, temperature, pH, and nutrients in real time makes irrigation and fertilization smarter.
• Water scarcity crisis: India is heading towards one soon, according to the OECD Environmental Outlook 2050. Thus, drones will play a key role in optimising water usage.

The Future of Smart Farming in India

Drones are transforming Indian agriculture with increased efficiency, lowered cost, and higher productivity. To overcome the challenges of risks from climate change and water shortages, India must further adopt precision and data driven agriculture techniques. India can create an effective, sustainable, and resilient agricultural future meeting increased food demand with the help of drones, big data, and IoT.

Namo Drone Didi Scheme

2. Nano Fertilizers Under PLI Scheme

Context:

The government has no plans to bring nano fertilizer production under the Production Linked Incentive (PLI) scheme, as confirmed by MoS Chemicals and Fertilizers, Anupriya Patel.
PLI schemes, which were introduced in 2020 under ‘Atmanirbhar Bharat‘ and ‘Make in India’, aim to strengthen domestic manufacturing, attract investments, boost exports, and reduce import dependence.

What are Nano-Coated Fertilisers?

• Nano-coated fertilizers are fertilizers that have been coated with a layer of nanoparticles or nanomaterials. These nanomaterials can be organic or inorganic compounds, such as polymers, metals, or ceramics, that are designed to control the release of nutrients into the soil. The nano-coating serves to slow down the degradation or leaching of nutrients, ensuring that plants receive a steady supply of nutrients over an extended period.
• In traditional fertilizers, nutrients like nitrogen, phosphorus, and potassium are quickly released into the soil, leading to nutrient loss through leaching, volatilization, and runoff. Nano-coated fertilizers, however, use nanotechnology to enhance the efficiency of nutrient uptake by crops while minimizing wastage.

How Do Nano-Coated Fertilisers Work?

Nano-coating works through several mechanisms, mainly focusing on controlling the release rate of nutrients to the plants. Here’s how it works in more detail:

• Slow and Controlled Release:
  • The nano-coating acts as a barrier, controlling how quickly the nutrients are released. Instead of releasing nutrients all at once, the coating slows down the process, allowing the nutrients to be available for a longer period.
• Protection from Environmental Losses:
  • Traditional fertilizers often face nutrient loss due to evaporation, runoff, or leaching. Nano-coatings protect the nutrients from environmental conditions, allowing them to stay intact in the soil until they are absorbed by the plant.
• Increased Nutrient Uptake Efficiency:
  • By offering nutrients in a more controlled and gradual manner, nano-coated fertilizers reduce nutrient wastage, ensuring that plants can absorb a larger percentage of the nutrients.
• Enhanced Solubility and Bioavailability:
  • The nanoparticles used in the coating can also increase the solubility of certain nutrients, making them more readily available to the plants.

Nano Urea

Facts To Remember

1. Aero India, biggest air show in Asia, to begin today in Bengaluru

Starting Monday, the sound and sight of roaring military jets will rock the Bengaluru skies as the Aero India air show will kick off at the Yelahanka Air Force Station here.

2. Fiery Teichmann rules the day

In a showdown of contrasting styles, Switzerland’s Jil Teichmann’s aggressive game trumped Thailand’s Mananchaya Sanwangkaew’s deft touches at the Cricket Club of India on Sunday. The 27-year-old former World No. 21 overwhelmed Sawangkaew 6-3, 6-4 in the final to clinch the L&T Mumbai Open WTA 125 title.

3. India-EFTA Desk Launched to Boost Trade, $100 Billion Investment Expected

Union Minister of Commerce and Industry Piyush Goyal, along with European Free Trade Association (EFTA) officials, launched a dedicated India-EFTA desk in New Delhi today to deepen economic ties.

4. President Murmu to Inaugurate International Conference on Unani Day on Feb 11 in N

President Droupadi Murmu will inaugurate the two-day International Conference on Unani Day tomorrow in New Delhi. Minister of Science and Technology Dr. Jitendra Singh will also be present on the occasion.

5. Over 54 Cr Jan Dhan Accounts Opened; Women Hold 55% Share: FM Sitharaman

Over 54 crore bank accounts have been opened in the country till January this year under PM Jan Dhan Yojana. In a written reply in the Lok Sabha, Finance Minister Nirmala Sitharaman said over 30 crore accounts belong to women, constituting over 55 percent.

6. RBI is ensuring that it buys enough gold to maintain an adequate reservoir: Union Minister Nirmala Sitharaman

The Government today said the Reserve bank of India is ensuring that it buys enough gold to maintain an adequate reservoir and not just a ‘basket’ of currencies.

7. Udaan scheme has democratised whole air travel system: Minister of Civil Aviation Rammohan Naidu

Minister of Civil Aviation Kinjarapu Rammohan Naidu today said that the government is committed to build as many airports as possible across the country.