Daily Current Affairs Quiz
13 December, 2025
National Affairs
1. India’s Resolution on ‘Strengthening the Global Management of Wildfires’ Adopted at UNEA-7
Source: PIB
Context:
India’s resolution on “Strengthening the Global Management of Wildfires” was adopted at the 7th Session of the United Nations Environment Assembly (UNEA-7) held in Nairobi, Kenya. The adoption reflects broad international consensus on the growing global threat posed by wildfires and the need for coordinated international action.
Why Wildfires Are a Global Concern
- Wildfires are no longer seasonal or localized events; they are becoming frequent, prolonged, and more intense
- Key drivers include:
- Climate change
- Rising global temperatures
- Extended droughts
- Human activities
- Annual impacts include:
- Destruction of forests and biodiversity
- Damage to soil health, water resources, and air quality
- Loss of livelihoods, especially for forest-dependent communities
- Release of large volumes of greenhouse gases, weakening global carbon sinks
India cited UNEP’s report “Spreading Like Wildfire”, which projects:
- 14% increase in wildfires by 2030
- 30% increase by 2050
- 50% increase by 2100
These projections underscore wildfires as a long-term, climate-driven global risk.
Key Provisions of the Resolution
1. Strengthened International Cooperation
- Development of early-warning systems
- Advanced risk-assessment tools
- Satellite- and ground-based ecosystem monitoring
- Community-based alert mechanisms
2. Enhanced Regional and Global Collaboration
- Coordinated frameworks for:
- Wildfire prevention
- Post-fire recovery
- Ecosystem restoration
3. Knowledge Sharing and Capacity Building
- Platforms for sharing best practices
- Training programmes for stakeholders and frontline workers
4. Support for National and Regional Action Plans
- Assistance to Member States in:
- Designing integrated fire management strategies
- Building wildfire resilience frameworks
5. Improved Access to International Finance
- Support in preparing project proposals
- Facilitation of funding through:
- Multilateral climate and environment mechanisms
- Results-based financing schemes
United Nations Environment Assembly (UNEA)
Established:
- 2012, following the UN General Assembly decision to strengthen and upgrade the United Nations Environment Programme (UNEP)
- UNEA replaced the earlier Governing Council of UNEP, giving universal membership to all UN Member States
Headquarters:
- Nairobi, Kenya
- UNEA functions from the UNEP Headquarters, making it the only UN headquarters located in Africa
2. Nuclear & Insurance Overhaul
Source: ET
Context:
The Union Cabinet has approved a set of landmark reform bills aimed at modernising India’s nuclear energy framework and insurance sector regulations. These reforms seek to unlock private investment, reduce legacy bottlenecks, and align India’s strategic sectors with global best practices.
Nuclear Sector Reforms
What has been approved
- Comprehensive overhaul of India’s atomic energy and nuclear liability framework
- Introduction of a new consolidated law to replace fragmented, outdated provisions
Key Objectives
- End the long-standing state monopoly in civil nuclear power
- Enable private sector participation in building and operating nuclear plants
- Rationalise nuclear liability and insurance norms, which earlier deterred investors
Major Changes
- Clearer and more predictable liability regime, supported by insurance and risk-pooling mechanisms
- Improved access to nuclear insurance, reducing financial uncertainty for operators and suppliers
- Alignment with India’s clean energy goals and long-term energy security needs
Insurance Sector Liberalisation
What has been approved
- Insurance Laws (Amendment) Bill, 2025
- Proposal to raise FDI limit in insurance to 100%
Key Changes
- Allows full foreign ownership in insurance companies
- Modernises core legislations:
- Insurance Act, 1938
- LIC Act, 1956
- IRDAI Act, 1999
3. Diving Support Craft (DSC) A20
Source: PIB
Context:
The Indian Navy will commission DSC A20, its first indigenously designed and built Diving Support Craft (DSC), at Kochi, marking a significant milestone in India’s naval self-reliance and underwater operational capability.
About Diving Support Craft (DSC) A20
DSC A20 is a purpose-built naval auxiliary vessel designed to support underwater diving operations, including inspection, repair and salvage activities in coastal and near-shore waters.
Developed by
- Titagarh Rail Systems Limited (TRSL), Kolkata
- Designed and built in compliance with Naval Rules and Regulations of the Indian Register of Shipping (IRS)
Objectives
- Enhance the Indian Navy’s diving, underwater inspection and salvage capabilities
- Provide dedicated support for coastal and harbour operations
- Strengthen indigenous ship design and construction under the Aatmanirbhar Bharat initiative
Banking/Finance
1. Foreign Exchange Management Act (FEMA), 1999
Context:
Indian residents who ask friends, associates, or agents abroad to make initial payments (10–20%) for overseas purchases—such as artwork, luxury watches, or real estate—risk violating the Foreign Exchange Management Act (FEMA), even if the transactions are genuine. The Enforcement Directorate (ED) has recently issued notices highlighting this issue, invoking Section 3(a) of FEMA.
Foreign Exchange Management Act (FEMA), 1999
The Foreign Exchange Management Act (FEMA), 1999 is India’s primary law governing foreign exchange transactions, external trade, and cross-border capital flows. It replaced the more restrictive Foreign Exchange Regulation Act (FERA), 1973.
In Force Since
- 1 June 2000
Administered By
- Ministry of Finance
- Enforced by: Reserve Bank of India (RBI) and Directorate of Enforcement (ED)
Objectives of FEMA
- Facilitate external trade and payments
- Promote orderly development and maintenance of the foreign exchange market in India
- Shift from a control-based regime (FERA) to a management-based regime
- Encourage foreign investment and capital inflows while ensuring macroeconomic stability
Key Features of FEMA
1. Civil Law Framework
- Violations are treated as civil offences, not criminal (unlike FERA)
- Focus on penalties and compliance, not imprisonment (except in extreme non-payment cases)
2. Classification of Transactions
FEMA divides forex transactions into two categories:
a) Current Account Transactions
- Related to trade, services, income and remittances
- Generally permitted, unless specifically restricted
Examples: - Import/export payments
- Travel, education and medical expenses abroad
- Interest and dividend payments
b) Capital Account Transactions
- Involve capital flows and asset/liability creation
- Regulated and controlled by RBI and Government
Examples: - Foreign Direct Investment (FDI)
- External Commercial Borrowings (ECBs)
- Acquisition of immovable property abroad
- Issue or transfer of securities to non-residents
Regulatory Powers under FEMA
Reserve Bank of India (RBI)
- Regulates capital account transactions
- Frames rules, regulations, and directions
- Authorises dealers (banks, money changers)
Central Government
- Prescribes rules for current account transactions
- Coordinates with RBI on capital controls
Directorate of Enforcement (ED)
- Investigates FEMA contraventions
- Conducts adjudication and enforcement actions
Key Concepts under FEMA
- Authorised Person (AP): Banks or entities licensed by RBI to deal in foreign exchange
- Person Resident in India: Defined based on duration and purpose of stay
- Foreign Exchange & Foreign Security: Broadly defined to cover modern financial instruments
Difference Between FEMA and FERA
| Aspect | FERA (1973) | FEMA (1999) |
|---|---|---|
| Approach | Restrictive | Facilitative |
| Nature of law | Criminal | Civil |
| Focus | Conservation of forex | Management of forex |
| Presumption | Guilty unless proven innocent | Innocent unless proven guilty |
| Economic context | Closed economy | Liberalised economy |
3. SEBI Mandates Two Executive Directors to Strengthen Market Infrastructure Institutions (MIIs)
Source: ET
Context:
The Securities and Exchange Board of India (SEBI) has notified a comprehensive leadership and governance framework for Market Infrastructure Institutions (MIIs)—including stock exchanges, clearing corporations and depositories—to strengthen oversight, accountability and risk management.
What Are MIIs?
MIIs are systemically important entities that provide the core infrastructure for capital markets, such as:
- Stock exchanges
- Clearing corporations
- Depositories
They play a critical role in ensuring market integrity, investor protection and financial stability.
Key Features of the New SEBI Framework
Mandatory Appointment of Two Executive Directors (EDs)
SEBI has mandated that every MII must appoint:
- ED (Critical Operations): Responsible for core operational functions
- ED (Regulatory, Compliance & Risk): Responsible for regulatory compliance, risk management and investor grievance redressal
Both EDs will be full-time and will sit on the governing board of the MII.
Transparent Appointment Process
- Appointments must be made through open advertisements in national newspapers
- MIIs must submit at least two candidates per position to SEBI
- Proposed compensation packages must be disclosed upfront
- Any change in remuneration requires prior board approval
Strengthened Reporting and Oversight
- Both EDs will report to the Managing Director (MD)
- Public Interest Directors (PIDs) will oversee annual performance evaluations
- EDs may escalate issues directly to SEBI when required
- MIIs must initiate appointments well before the end of an ED’s tenure to ensure continuity
Revised Internal Reporting Structure
- Department heads, including the CTO, CISO, Compliance Officer and Chief Risk Officer, will report to their respective EDs instead of the MD
- Statutory committees will continue to engage independently with key managerial personnel at least once every quarter
Agriculture
1. Centre Increases Minimum Support Price (MSP) for Copra
Source: BS
Context:
The Cabinet Committee on Economic Affairs (CCEA) has approved an increase in the Minimum Support Price (MSP) for copra for the 2026 market season, providing price assurance to coconut farmers amid rising input costs.
Revised MSP for Copra (2026 Season)
- Milling copra (Fair Average Quality): ₹12,027 per quintal
- Increase of ₹445 per quintal over the previous season
- Ball copra: ₹12,500 per quintal
- Increase of ₹400 per quintal over the previous season
What is Copra?
Coconut is a major plantation crop in Kerala, Tamil Nadu, Karnataka, Andhra Pradesh, Odisha and parts of the North-East. Copra converts perishable coconuts into a value-added, shelf-stable product.
Copra is the dried kernel (white meat) of mature coconuts. It is obtained by drying fresh coconut kernels either:
- Naturally (sun-drying), or
- Artificially (kiln or hot-air drying)
Once dried, copra becomes a storable and tradable agricultural commodity.
What is Minimum Support Price (MSP)?
- Minimum Support Price (MSP) is the pre-declared price at which the government purchases agricultural produce from farmers.
- It acts as a price floor, ensuring that farmers are not forced to sell their crops below the cost of production.
- MSP is recommended by the Commission for Agricultural Costs and Prices (CACP) and approved by the CCEA.
- The policy aims to provide income stability, incentivise production, and support food and agricultural security.
Facts To Remember
1. Nepal to Allow Indian High-Denomination Currency Notes
Nepal is set to allow Indian currency notes above ₹100, nearly a decade after banning high-denomination notes. Nepal Rastra Bank is in the final stages of issuing the official notice in the Nepal Gazette.
2. MGNREGA to Get New Name and More Work Days
The government is set to rename the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGA) as Pujya Bapu Grameen Rozgar Yojana. The mandatory employment days per rural household will rise from 100 to 125 days annually.
3. Italy Becomes First Country to Receive UNESCO Recognition for Its National Cuisine
UNESCO has inscribed “Italian cooking” on its Intangible Cultural Heritage (ICH) List, making Italy the first country in the world to receive recognition for its entire national cuisine, rather than a single dish or culinary practice.
