Daily Current Affairs Quiz
11 April, 2026
National Affairs
1. ISRO Successfully Completes Second Integrated Air Drop Test (IADT-02)
Source: TH
Context:
The Indian Space Research Organisation (ISRO) has successfully conducted the second Integrated Air Drop Test (IADT-02) at the Satish Dhawan Space Centre (SDSC-SHAR). This test is a critical component of the Gaganyaan mission, specifically designed to validate the systems that will bring Indian astronauts safely back to Earth.
THE MISSION MECHANICS: SIMULATING RE-ENTRY
The primary goal of the IADT is to test the Parachute-Based Deceleration System under real-world conditions.
- The Payload: A simulated Crew Module weighing 5.7 tonnes—identical in mass to the module planned for the first uncrewed Gaganyaan mission (G1).
- The Launch: An Indian Air Force Chinook helicopter lifted the module to an altitude of 3 km before releasing it over a designated drop zone in the Bay of Bengal.
- The Descent: During the fall, a complex sequence involving 10 parachutes of four different types was deployed to gradually reduce the module’s velocity.
- The Recovery: Following a successful splashdown, the Indian Navy coordinated the recovery of the module from the sea.
The Gaganyaan Project is India’s first human spaceflight program, designed to demonstrate the country’s capability to send humans into Low Earth Orbit (LEO) and bring them back safely to Earth.
CONCEPTUAL MCQs FOR REVISION
Q1. What was the primary objective of the Integrated Air Drop Test (IADT-02)?
A) To test the rocket’s propulsion system.
B) To validate the parachute-based deceleration system for the Crew Module.
C) To test the astronauts’ endurance in high-G environments.
D) To launch a communication satellite into Low Earth Orbit.
Q2. Which aircraft was used to lift the simulated Crew Module to the required altitude?
A) C-17 Globemaster
B) HAL Tejas
C) IAF Chinook Helicopter
D) ISRO GSLV Rocket
Answers: 1-B, 2-C
2. The National Scheduled Tribes Finance and Development Corporation (NSTFDC)
Context:
The National Scheduled Tribes Finance and Development Corporation (NSTFDC) recently celebrated its 25th Foundation Day. Since its inception in 2001, it has functioned as the financial backbone for India’s tribal communities, bridging the gap between traditional livelihoods and modern entrepreneurship.
ORGANIZATIONAL STRUCTURE
The NSTFDC is not a direct lender but an apex body that works through a network of partners to reach the most remote corners of the country.
- Status: A Government of India Public Sector Undertaking (PSU).
- Ministry: Operates under the Ministry of Tribal Affairs.
- Delivery Model: It utilizes State Channelising Agencies (SCAs), regional rural banks, and nationalized banks to distribute funds to individual beneficiaries.
CORE MISSION: FROM LABOR TO OWNERSHIP
The corporation’s primary objective is to provide concessional financial assistance—loans with interest rates significantly lower than market rates—to enable Scheduled Tribes (STs) to start income-generating activities.
- Diverse Sectors: Support is extended to traditional sectors (handicrafts, agriculture) and modern services (healthcare, retail, transport).
- Focus on Vulnerable Groups: Specific emphasis is placed on tribal women and youth to encourage financial independence.
- Sustainable Livelihoods: Beyond just lending, it focuses on Capacity Building, ensuring that a business doesn’t just start but remains sustainable in the long term.
PROMOTING ENTREPRENEURSHIP
By providing “Seed Capital,” the NSTFDC allows tribal entrepreneurs to bypass the need for heavy collateral that traditional banks often demand.
| Feature | NSTFDC Loans | Commercial Bank Loans |
| Interest Rate | Highly Concessional (Low) | Market-linked (High) |
| Target Audience | Exclusively Scheduled Tribes | General Public/Businesses |
| Focus | Socio-economic upliftment | Profit-oriented |
| Middlemen | State Channelising Agencies | Direct Branch Interaction |
KEY SCHEMES AT A GLANCE
While the context focuses on the 25th anniversary, the NSTFDC manages several flagship programs:
- Adivasi Mahila Sashaktikaran Yojana (AMSY): Specifically for tribal women to start small businesses.
- Micro Credit Scheme: For self-help groups (SHGs) to provide small-ticket loans to their members.
- Adivasi Shiksha Rrinn Yojana: Educational loans for tribal students pursuing professional courses.
CONCEPTUAL MCQs FOR REVISION
Q1. The NSTFDC operates as a PSU under which Union Ministry?
A) Ministry of Finance
B) Ministry of Social Justice and Empowerment
C) Ministry of Tribal Affairs
D) Ministry of Micro, Small and Medium Enterprises
Q2. How does the NSTFDC primarily ensure that its financial aid reaches remote tribal areas?
A) Through its own 50,000 local branches.
B) Through State Channelising Agencies (SCAs) and Regional Banks.
C) Through a direct-to-consumer mobile app only.
D) Through the Post Office Savings Bank.
Q3. Which of the following is a primary feature of NSTFDC financial assistance?
A) High-interest personal loans.
B) Concessional loans for income-generating activities.
C) Equity investment in large-scale tribal mining corporations.
D) Free distribution of cash with no repayment requirement.
Q4. In which year was the NSTFDC established?
A) 1991
B) 2001
C) 2011
D) 2015
Answers: 1-C, 2-B, 3-B, 4-B
3. The Central Armed Police Forces (General Administration) Act, 2026
Context:
The Central Armed Police Forces (General Administration) Act, 2026, has officially become law following the President’s assent. This landmark legislation centralizes and harmonizes the administration of India’s primary internal security forces, moving away from the fragmented, force-specific regulations that existed for decades.
UNIFIED ADMINISTRATIVE FRAMEWORK
Previously, forces like the BSF and CRPF operated under distinct legislative acts, leading to inconsistencies in service conditions and legal disputes.
- Centralization: The Act provides a single, uniform system for Group A (General Duty) officers, IPS officers on deputation, and Army officers serving within these forces.
- Applicability: It covers the “Big Five” CAPFs:
- CRPF (Central Reserve Police Force)
- BSF (Border Security Force)
- CISF (Central Industrial Security Force)
- ITBP (Indo-Tibetan Border Police)
- SSB (Sashastra Seema Bal)
FIXING DEPUTATION QUOTAS
One of the most significant aspects of the Act is the formalization of the role of Indian Police Service (IPS) officers within the CAPF hierarchy. By fixing these percentages in law, the government aims to end long-standing administrative and judicial debates.
| Rank Level | Fixed IPS Deputation Quota |
| Director General (DG) & Special DG | 100% |
| Additional Director General (ADG) | Minimum 67% |
| Inspector General (IG) | 50% |
RULE-MAKING & OVERRIDING POWERS
The Act grants the Central Government extensive powers to streamline the “command and control” structure of these forces.
- Legal Superiority: The provisions of this Act—and the rules framed under it—prevail over any other law, prior administrative orders, or even past court judgments. This provides the government with a “clean slate” to manage promotions and recruitment.
- Continuity: To prevent administrative chaos, existing financial benefits and service rules remain valid until the government specifically issues new updated orders under this Act.
CONCEPTUAL MCQs FOR REVISION
Q1. The CAPF (General Administration) Act, 2026, applies to how many primary forces initially?
A) Three
B) Five
C) Seven
D) All State Police forces
Q2. Under the new Act, what percentage of Director General (DG) posts in CAPFs are reserved for IPS officers on deputation?
A) 50%
B) 67%
C) 75%
D) 100%
Q3. Which of the following ranks has a mandated minimum of 67% deputation quota for IPS officers?
A) Inspector General (IG)
B) Deputy Inspector General (DIG)
C) Additional Director General (ADG)
D) Commandant
Q4. What happens if a previous court judgment contradicts a rule framed under this new Act?
A) The court judgment remains supreme.
B) The Act’s provisions prevail.
C) The matter must be referred back to the Supreme Court.
D) The rule is automatically void.
Answers: 1-B, 2-D, 3-C, 4-B
Banking/Finance
1. RBI New Norms for Government NBFCs and the Upper Layer
Source: ET
Context:
The Reserve Bank of India (RBI) has issued draft norms to refine the classification of Non-Banking Financial Companies (NBFCs). The most significant change is the introduction of a clear asset threshold for the Upper Layer (NBFC-UL), which will fundamentally change how large government-owned financiers are regulated.
THE ₹1 TRILLION THRESHOLD
Previously, the classification into the Upper Layer involved a mix of quantitative and qualitative factors, leading to some ambiguity.
- The New Rule: Any NBFC with an asset size of ₹1 trillion and above will automatically be placed in the Upper Layer.
- Government NBFCs: For the first time, large public-sector NBFCs (like PFC, REC, or IREDA) that meet this threshold will be moved from the Base or Middle layers to the Upper Layer.
- Bank-Like Regulation: Once in the Upper Layer, these entities must follow much stricter, “bank-like” regulatory frameworks, including higher capital adequacy requirements and more intense supervision.
THE “STICKY” REGULATION RULE
To prevent companies from jumping in and out of strict regulations due to minor fluctuations in their balance sheets, the RBI has introduced a persistence rule:
- The 5-Year Lock-in: Once an entity is designated as an NBFC-UL, it must follow those strict norms for at least five consecutive years, even if its assets fall below the ₹1 trillion mark during that period.
- Exit Criteria: An entity can only exit the Upper Layer if it fails to meet the classification criteria for five years in a row.
THE TATA SONS CONUNDRUM
Despite the new clarity on asset size, the status of Tata Sons remains a gray area.
- The Issue: Tata Sons is a Core Investment Company (CIC) and is currently in the Upper Layer. However, it has applied for de-registration as an NBFC after becoming net debt-free, seeking an exemption from the mandatory listing requirement that comes with Upper Layer status.
- RBI’s Stance: The RBI’s latest list still includes Tata Sons, but with a disclaimer that its inclusion is “without prejudice” to the outcome of its application for de-registration. The new draft norms do not explicitly resolve this unique “Core Investment Company” conflict.
INDUSTRY IMPACT: REGULATORY CERTAINTY
Industry leaders generally view these changes as positive for long-term planning.
- Predictability: By removing “qualitative factors” and sticking to a hard asset limit, NBFCs can now predict exactly when they will hit the regulatory ceiling.
- Preparation: Large NBFCs can now adjust their business plans and compliance infrastructure well in advance of hitting the ₹1 trillion mark.
CONCEPTUAL MCQs FOR REVISION
Q1. What is the newly proposed asset threshold for an NBFC to be classified in the “Upper Layer”?
A) ₹50,000 Crore
B) ₹75,000 Crore
C) ₹1 Trillion
D) ₹5 Trillion
Q2. If an NBFC-UL’s assets fall below the threshold, for how many consecutive years must it stay below that limit before it can exit the Upper Layer?
A) 1 Year
B) 2 Years
C) 3 Years
D) 5 Years
Q3. Which group of financial entities will be subjected to “bank-like” norms for the first time under this proposal?
A) Small Finance Banks
B) Large Government-owned NBFCs
C) Microfinance Institutions (MFIs)
D) Peer-to-Peer (P2P) Lenders
Q4. Tata Sons is primarily seeking an exemption from the Upper Layer classification because it wants to avoid:
A) Paying higher taxes.
B) Mandatory listing on the stock exchange.
C) Reducing its asset size.
D) Lending to the retail sector.
Answers: 1-C, 2-D, 3-B, 4-B
2. RBI Deputy Governor Rebukes Banks Over Rupee Arbitrage Trades
Context:
In a recent address at a foreign exchange dealers’ conference in Paris, RBI Deputy Governor T. Rabi Sankar issued a stern critique of banks involved in currency arbitrage. The central bank’s messaging underscores its commitment to defending the Rupee ($INR$) against volatility, especially during periods of geopolitical tension in West Asia.
THE ARBITRAGE MECHANISM: PROFITING FROM PRESSURE
Arbitrage occurs when banks exploit the price difference of the Rupee between the Onshore (Local) market and the Offshore (NDF – Non-Deliverable Forward) market.
- The Trade: Banks were buying dollars in the local Indian market and simultaneously selling them in offshore markets where the dollar was more expensive.
- The Consequence: This massive buying of dollars locally put additional downward pressure on the Rupee, draining dollar liquidity just as foreign investors were already pulling capital out of India due to global tensions.
- The Scale: It is estimated that banks had to reverse nearly $30 billion in such trades following recent RBI restrictions.
THE “SPECULATION CLAMPDOWN”
To stabilize the currency, the RBI recently implemented aggressive “friction” in the market:
- Position Caps: Currency bets by individual banks have been capped at $100 million.
- Offshore Bar: Banks are strictly prohibited from entering derivative contracts in the offshore market to prevent them from betting against the Rupee.
- Closing the Loophole: The RBI expressed specific displeasure at banks attempting to “mask” these trades by shifting them to their corporate clients’ books, even though those corporations are legally barred from such speculative transactions.
WHY THE RBI IS PROTECTIVE
The RBI maintains a “managed float” exchange rate system. While it allows the market to determine the Rupee’s value, it intervenes to prevent “excessive volatility” for several reasons:
- Imported Inflation: A weak Rupee makes oil imports more expensive, which raises petrol and diesel prices for Indian consumers.
- External Debt: Many Indian companies have borrowed in dollars; if the Rupee falls, their debt burden in $INR$ terms increases significantly.
- Investor Confidence: Wild swings in the currency can scare away long-term foreign direct investment (FDI).
CONCEPTUAL MCQs FOR REVISION
Q1. In the context of the recent RBI critique, what is “Arbitrage”?
A) The process of fixing a currency’s value to gold.
B) Profit-making by exploiting price differences for the same asset in different markets.
C) A government grant given to exporters.
D) The act of printing more currency to pay off national debt.
Q2. What was the immediate impact of banks buying dollars locally to sell them offshore?
A) The Rupee strengthened significantly.
B) Domestic dollar liquidity increased.
C) It aggravated the weakness of the Rupee.
D) It had no impact on the exchange rate.
Q3. To curb speculation, the RBI has capped individual bank currency bets at what amount?
A) $10 Million
B) $100 Million
C) $1 Billion
D) $30 Billion
Q4. Why does the RBI discourage banks from shifting arbitrage trades to their corporate clients?
A) Corporations are not allowed to undertake such speculative transactions.
B) Corporations pay lower taxes on these trades.
C) It makes the central bank’s website run slower.
D) It increases the profits of the banks too much.
Answers: 1-B, 2-C, 3-B, 4-A
Facts To Remember
1. Pradhan Mantri MUDRA Yojana Completes 11 Years
The Pradhan Mantri MUDRA Yojana marked 11 years on April 8, 2026, promoting financial inclusion and entrepreneurship. Launched in 2015 by Narendra Modi, it provides collateral-free loans up to ₹10 lakh for micro and small businesses. Over ₹40.07 lakh crore has been disbursed through 57.79 crore loans, with strong participation from women and first-time entrepreneurs.
2. MoCA Approves Warangal & Adilabad Airports
The Ministry of Civil Aviation approved new airports in Warangal and Adilabad, Telangana. Warangal airport will be developed at Mamnoor, while Adilabad will serve both civilian and defence purposes. The project aims to enhance regional connectivity and boost economic development in the region.
3. PFRDA Approves PPFAS AMC for NPS Pension Fund
The Pension Fund Regulatory and Development Authority approved PPFAS AMC as a pension fund sponsor under NPS. A new pension entity will manage investments across equities, government securities, and corporate bonds. This move strengthens long-term retirement planning and investor protection under the National Pension System.
4. NHAI Launches ‘Arogya Van’ Initiative
The National Highways Authority of India introduced ‘Arogya Van’ to plant medicinal trees along highways. Phase 1 includes plantation across 62.8 hectares in multiple states with over 67,000 trees. The initiative promotes biodiversity, Ayurveda, and awareness of medicinal plants.
5. FIU-IND & I4C Sign MoU to Combat Cyber Fraud
Financial Intelligence Unit – India signed an MoU with Indian Cyber Crime Coordination Centre. The collaboration enhances data sharing, fraud detection, and cybercrime prevention. It will also develop guidelines and red-flag indicators for financial institutions.
6. India-Egypt Joint Exercise ‘Cyclone-IV’ Begins
India and Egypt launched the 4th edition of Exercise Cyclone-IV in Egypt. The exercise focuses on special operations training in desert and semi-desert terrain. It aims to boost interoperability and defence cooperation between the two nations.
7. India Ranks 4th Globally in Tech Funding (FY26)
According to Tracxn, India raised USD 11.7 billion in tech funding in FY26. India ranked 4th globally after the USA, UK, and China despite an 18% decline from FY25. Bengaluru and Mumbai led funding, with growth in IPOs and unicorn creation.
8. NBBL Onboards Axis Bank on Banking Connect
NPCI Bharat BillPay Limited onboarded Axis Bank to its Banking Connect platform. The platform now covers 8 banks and 11 payment aggregators. It enables seamless merchant payments with advanced features like TPV and direct settlements.
9. CSB Bank Launches ‘Smart Save Account’
CSB Bank introduced its first retail product ‘Smart Save Account’. It offers auto-sweep FD facility with up to 7% interest and no lock-in period. The account targets salaried individuals, professionals, and NRIs with digital benefits.
10. Sanjay Khanna Appointed CMD of BPCL
The ACC appointed Sanjay Khanna as CMD of Bharat Petroleum Corporation Limited. He brings over 30 years of experience in refinery operations and technical services. His tenure will continue until May 31, 2029.
11. ISRO Conducts Gaganyaan Air Drop Test-02
Indian Space Research Organisation successfully conducted IADT-02 for Gaganyaan. The test validated parachute-based crew module recovery systems. It marks a key step toward India’s human spaceflight mission.
12. Meta Launches ‘Muse Spark’ AI Model
Meta Platforms Inc. unveiled its new AI model ‘Muse Spark’. It supports multimodal capabilities including text, image, and reasoning tasks. The model will be integrated across Meta platforms like WhatsApp and Instagram.
13. Abu Hasem Khan Chowdhury Passes Away
Veteran Congress leader Abu Hasem Khan Chowdhury passed away at 88. He served as MP from Malda South and MoS for Health and Family Welfare. He was widely respected for his grassroots political contributions.
14. C.D. Gopinath Passes Away
India’s oldest Test cricketer C. D. Gopinath passed away at 96. He played 8 Test matches and had a distinguished first-class career. He was among the oldest surviving Test cricketers globally.
15. World Homeopathy Day 2026 – April 10
World Homeopathy Day is observed on April 10 to mark the birth anniversary of Samuel Hahnemann. The 2026 theme is “Homoeopathy for Sustainable Health”. India hosted events promoting awareness under the Ministry of AYUSH.
16. Telangana’s AI Hub Aikam Partners with Deakin University
Telangana’s AI hub Aikam signed an MoU with Deakin University. The collaboration will establish an AI research and skilling center near Hyderabad. It aims to boost innovation, workforce readiness, and startup ecosystem in AI.
