Daily Current Affairs Quiz
29 August, 2025
National Affairs
1. Comprehensive Modular Survey (CMS) 2025
Context:
The Comprehensive Modular Survey (CMS) 2025 on education revealed that 33% of school students in India take private coaching, indicating growing reliance on “shadow schooling”.
About Shadow Schooling:
- Definition: Supplementing regular school education with private coaching or tutoring outside the formal system.
- Why “Shadow”? It mirrors school subjects but is offered privately, usually for a fee.
- Features:
- Operates parallel to formal schooling.
- Focus on practice, exam strategies, and personalized attention.
- Driven by competitive exams, parental aspirations, and concerns over school quality.
Key Findings of CMS 2025 Report:
- National Average: 27% of students take private coaching.
- Urban vs Rural:
- Urban: 30.7% students.
- Rural: 25.5% students.
- Spending Gap:
- Urban families: â‚ą3,988 annually per child.
- Rural families: â‚ą1,793 annually per child.
- Higher Secondary Education:
- Urban households spend â‚ą9,950 per student, almost double rural (â‚ą4,548).
- Growth with Age:
- Pre-primary: â‚ą525 per student.
- Higher secondary: â‚ą6,384 per student.
- Funding Source:
- 95% of students depend on household resources.
- Only 1.2% benefit from government scholarships.
About CMS (Comprehensive Modular Survey):
- Conducted by the Government of India-National Statistics Office (NSO) to assess education, health, and social indicators.
- Provides granular data on household spending and access to services.
2. Comprehensive Modular Survey: Education (CMS:E) 2025 by NSO
Source: BS
Context:
A government report from the Comprehensive Modular Survey: Education (CMS:E) 2025, released by the National Statistical Office (NSO), has revealed a sharp decline in students attending government schools, especially at higher levels of schooling.
Key Findings:
- Rural Areas
- Higher secondary: Only 58.9% of students enrolled in government schools (down from 68% in 2017-18).
- Primary: 66.5% (down from 73.7%).
- Middle: 69.3% (down from 76.1%).
- Secondary: 65% (down from 68%).
- Urban Areas
- Higher secondary: 36.4% of students enrolled in government schools (down from 38.9% in 2017-18).
- Primary: 27.2% (down from 30.9%).
- Middle: 29.8% (down from 38%).
- Secondary: 35.8% (down from 38.9%).
- Pre-Primary (Anganwadi-linked rise)
- Rural: 65.6% (up from 44.2%).
- Urban: 24.1% (up from 13.9%).
Expenditure on Education:
- Rural Areas
- Government schools: â‚ą2,639 per student annually.
- Private schools: â‚ą19,554 per student annually.
- Urban Areas
- Government schools: â‚ą4,128 per student annually.
- Private schools: â‚ą31,782 per student annually.
Shadow Schooling / Private Coaching:
- Overall: 27% of students take private coaching.
- Rural: 25.5% students, spending â‚ą1,793 annually (â‚ą4,548 at higher secondary).
- Urban: 30.7% students, spending â‚ą3,988 annually (â‚ą9,950 at higher secondary).
About CMS: Education (2025)
- Conducted by: National Statistical Office (NSO).
- Period: April–June 2025 (80th NSS round).
- Coverage: 2,384 villages, 1,982 urban blocks, 52,085 households, and 221,617 students.
- Focus: Only school education (unlike earlier NSS surveys that covered all levels).
- Commissioned by: Department of School Education and Literacy (DoSEL).
Banking/Finance
1. SEBI Approves Groww’s $1 Billion IPO
Source: BS
Context:
Investment platform Groww has received approval from the Securities and Exchange Board of India (SEBI) to launch its Initial Public Offering (IPO). This will be the largest fund-raise by an Indian capital market firm through the primary market.
What is an IPO?
- IPO (Initial Public Offering):
- The process through which a private company offers its shares to the public for the first time and becomes a listed company on a stock exchange.
- It allows companies to raise funds for expansion, debt repayment, acquisitions, or growth.
- Investors, in turn, get an opportunity to own a stake in the company.
Eligibility Criteria for a Company to Launch IPO in India (SEBI Guidelines)
A company must meet SEBI’s ICDR Regulations (Issue of Capital and Disclosure Requirements):
- Net Tangible Assets: At least â‚ą3 crore in each of the past 3 years.
- Profitability: At least â‚ą15 crore aggregate pre-tax profit in the last 3 years.
- Net Worth: Minimum â‚ą1 crore in each of the past 3 years.
- Post-Issue Capital: The company must issue at least 25% of shares to the public (for companies with market cap < â‚ą4,000 crore).
- Other routes: Companies not meeting profitability criteria may come via QIB (Qualified Institutional Buyers) route with additional conditions.
About Groww
- Founded: 2016 (by ex-Flipkart employees Lalit Keshre, Harsh Jain, Neeraj Singh, and Ishan Bansal).
- Headquarters: Bengaluru, India.
- Services Offered:
- Mutual fund investments
- Stock broking (equity & derivatives)
- IPO applications
- Digital gold, US stocks, fixed deposits, ETFs
- Customer Base: Over 35 million registered users.
- Significance: One of India’s fastest-growing fintech platforms democratizing investment for millennials and first-time investors.
2. UMANG (Unified Mobile Application for New-age Governance)
Context:
The Employees’ Provident Fund Organisation (EPFO) has integrated its services with the government-backed UMANG (Unified Mobile Application for New-age Governance) app. This eliminates the need for subscribers to visit EPFO offices or use multiple portals for managing their provident fund accounts.
Objectives
- To integrate government services from various departments and states into one mobile platform.
- To promote ease of living by reducing the need for citizens to visit government offices physically.
- To encourage Digital India by making governance services available through smartphones.
Key Features
- Single Platform – Provides access to 1,000+ services from 200+ departments across the Centre, States, and Union Territories.
- Multi-Channel Access – Available on Android, iOS, web, and IVR (Interactive Voice Response).
- Multilingual Support – Supports 13 Indian languages apart from English.
- Integration with Aadhaar, DigiLocker, and PayGov India for secure transactions and authentication.
- Unified Login – Citizens can access multiple services with one-time registration.
- 24×7 Availability – Services are available anytime, anywhere.
Services Available on UMANG
- Central & State Government Services: EPFO, PAN, Passport, Income Tax, GST.
- Utility Payments: Gas booking, electricity bill, water bill.
- Education & Employment: CBSE results, National Scholarships, e-Pathshala, e-Books.
- Health & Welfare: Ayushman Bharat, e-Hospital.
- Transport: DigiLocker for vehicle RC & driving license, FASTag recharge.
3. RBI State of the Economy Report (August 2025)
Source: IE
Context:
The Reserve Bank of India (RBI), in its State of the Economy article published in the August 2025 bulletin, warned that persisting India-US trade policy uncertainties, including the US’s recent 50% tariff on Indian exports (effective August 27, 2025), could pose downside risks to India’s economy.
Key Highlights:
- Trade Concerns
- US imposed steep 50% tariffs on Indian goods exports from August 27, 2025.
- RBI flagged uncertainties in trade relations as a downside risk for growth.
- Positive Growth Environment
- Supportive factors include:
- Benign financial conditions
- Transmission of rate cuts
- Supportive fiscal measures
- Rising household optimism
- These create a favourable demand environment.
- Supportive factors include:
- Global Credit Rating Developments
- S&P Global Ratings upgraded India’s sovereign credit rating from BBB- to BBB with stable outlook (August 14, 2025).
- Benefits: Lower borrowing costs, stronger investor confidence, higher capital inflows.
- Fitch Ratings reaffirmed India’s BBB- rating with stable outlook.
- S&P Global Ratings upgraded India’s sovereign credit rating from BBB- to BBB with stable outlook (August 14, 2025).
- Inflation Outlook
- CPI inflation fell to 1.6% in July 2025 (8-year low) vs. 2.1% in June 2025.
- Headline inflation expected to remain below RBI’s 4% target in Q2 FY26, before edging up later in the year.
- Average inflation for FY26 expected to stay well below target.
- Monetary Policy and Rate Cuts
- RBI’s Monetary Policy Committee (MPC) cut repo rate by 100 basis points (Feb–June 2025).
- Transmission to banks:
- PSBs lowered lending rates by 77 bps (fresh loans) and 41 bps (outstanding loans).
- Private banks lowered rates by 46 bps (fresh loans) and 32 bps (outstanding loans).
- RBI emphasized continued data-driven vigilance on growth-inflation dynamics.
4. RBI Mulls Restrictions on Shadow Lenders’ Subsidiaries
Source: BL
Context:
The Reserve Bank of India (RBI) is considering directing non-banking financial companies (NBFCs), or shadow lenders, to scale down subsidiary operations that overlap with the parent’s business, aligning rules with those already proposed for banks.
What are Shadow Lenders?
- The term shadow lenders usually refers to Non-Banking Financial Companies (NBFCs) and other non-bank credit institutions that provide loans outside the traditional banking system.
- They operate under lighter regulations compared to banks, which sometimes leads to higher risk-taking.
- Examples: Housing Finance Companies (HFCs), microfinance NBFCs, fintech lending firms.
- Shadow Lenders’ Subsidiaries: These are entities owned or promoted by shadow lenders (NBFCs/HFCs/Fintechs) that engage in related financial services, often beyond core lending.
What Happened?
RBI plans to restrict shadow lenders’ subsidiaries from engaging in lending activities that overlap with their parent NBFCs, to curb risks, harmonize norms with banks, and ensure sustainable growth.
Key Concerns of RBI
- Complex lending structures: Overlaps between parent NBFCs and subsidiaries may create risks similar to those that caused past NBFC sector blowups (e.g., IL&FS, DHFL).
- Reckless growth: Some NBFCs are aggressively expanding customer acquisition through duplicate lending models.
- Systemic risk: Overlaps blur accountability and may increase defaults or misreporting.
Broader Regulatory Approach
- RBI’s stance: not anti-growth, but focused on risk management and sustainability.
- Deputy Governor Swaminathan Janakiraman (March 2025) clarified that regulation aims to:
- Prevent blowups,
- Ensure financial stability,
- Avoid stifling innovation in NBFCs.
5. Punjab National Bank Launches India’s First Startup-Centric Branch
Source: BL
Context:
Punjab National Bank (PNB) inaugurated its first dedicated branch for startups at Bhikaji Cama Place, New Delhi, aligned with the Startup India initiative.
Key Highlights:
- MoU with STPI:
- PNB signed an agreement with the Software Technology Parks of India (STPI).
- STPI will share a curated list of incubated, onboarded, or graduated startups to facilitate direct access to PNB’s startup-specific financial products.
- Tailored Banking Services:
- The branch offers customised credit schemes, advisory support, and financial literacy programs designed for early-stage startups.
- Strategic Objective:
- Aims to bridge the financing gap faced by startups by offering a one-stop banking solution, enhancing accessibility and support.
India’s First Startup-Centric Branch
A startup-centric branch is a dedicated banking branch that focuses exclusively on meeting the financial and advisory needs of startups and innovation-driven companies. Unlike a normal bank branch, which caters to all types of customers, this branch is designed to provide customized services for entrepreneurs.
Key Features
- Tailored Banking Products – Working capital loans, venture debt, startup-friendly credit lines.
- Digital Solutions – Online payment systems, cash management, and fintech partnerships.
- Advisory Support – Guidance on fundraising, compliance, and business scaling.
- Networking – Connects startups with venture capitalists, angel investors, and incubators.
- Simplified Processing – Easier and faster approval for loans and banking facilities, keeping in mind the unique challenges of startups.
6. RBI Grants In-Principle Approval for Aditya Birla Capital to Operate as Payment Aggregator
Source: ET
Context:
Aditya Birla Capital’s subsidiary, Aditya Birla Capital Digital Ltd (ABCDL), has received in-principle authorization from the Reserve Bank of India (RBI) to operate as an online payment aggregator under the Payment and Settlement Systems Act, 2007.
What is a Payment Aggregator?
A Payment Aggregator (PA) is a third-party service provider that enables merchants (online or offline) to accept various types of digital payments without having to directly integrate with banks or individual payment networks.
Examples in India
- Razorpay
- PayU
- CCAvenue
- BillDesk
Payment and Settlement Systems Act, 2007
The Payment and Settlement Systems Act, 2007 is the key legislation in India that provides a legal framework for regulation and supervision of payment systems in the country. It empowers the Reserve Bank of India (RBI) to regulate and oversee payment and settlement systems to ensure safety, efficiency, and stability.
Objectives
- To regulate and supervise payment and settlement systems in India.
- To designate RBI as the authority for authorization and oversight of payment systems.
- To ensure secure, efficient, and transparent transactions in financial markets.
- To promote consumer confidence in digital and non-cash payment mechanisms.
7. Utkarsh Small Finance Bank Partners with Hitachi Payment Services for Payment Processing and Debit Card Management
Context:
Utkarsh Small Finance Bank (SFB) has partnered with Hitachi Payment Services to enhance its payment processing system and debit card management platform.
Key Highlights:
- Scope of Partnership:
- Aims to streamline debit card lifecycle management for over 2.1 million cardholders.
- The system upgrade will make ATM, POS, and e-commerce transactions faster and more secure.
- Institutional Focus:
- Utkarsh SFB continues to provide financial services to underserved and unserved sections of society.
Government Initiatives to Enhance Financial Services for Underserved & Unserved Sections
| Initiative | Year / Institution | Key Features | Target Group / Benefit |
|---|---|---|---|
| Pradhan Mantri Jan Dhan Yojana (PMJDY) | 2014 | Zero-balance accounts, RuPay debit card, accidental & life insurance cover | Unbanked households |
| Business Correspondent (BC) Model | RBI directive | Agents deliver doorstep banking services | Rural & remote populations |
| Aadhaar Enabled Payment System (AePS) | UIDAI + NPCI | Biometric-based digital banking transactions | Rural & semi-urban poor |
| Unified Payments Interface (UPI) | NPCI (2016) | Instant, low-cost, interoperable digital payments | General public, merchants, small businesses |
| India Stack | Govt + Fintech | APIs for paperless, cashless, presence-less financial transactions | Digital economy & underserved |
| Pradhan Mantri Mudra Yojana (PMMY) | 2015 | Collateral-free loans up to â‚ą10 lakh (Shishu, Kishore, Tarun categories) | Small businesses, entrepreneurs |
8. SEBI Plans Incentives for First-Time Women Mutual Fund Investors
Source: Mint
Context:
To promote financial inclusion and encourage greater participation of women in mutual funds, SEBI Chairman Tuhin Kanta Pandey announced that the regulator is planning additional incentives for first-time female investors.
Key Highlights:
- Women Participation in MFs:
- SEBI aims to ensure equal representation of women in financial markets.
- A special distribution incentive will be introduced for first-time women investors.
- B30 City Incentives:
- SEBI has already proposed to incentivise distributors for investments from first-time individual investors in B30 cities (beyond top 30 cities).
- This will expand mutual fund penetration in tier-2 and tier-3 cities.
- Review of Mutual Fund Categorisation:
- SEBI is reviewing scheme categorisation to:
- Allow greater product innovation.
- Improve clarity and transparency.
- Avoid portfolio overlaps among schemes.
- SEBI is reviewing scheme categorisation to:
About SEBI:
- Full Form: Securities and Exchange Board of India
- Established: 1988 (statutory status in 1992)
- Headquarters: Mumbai, Maharashtra
- Chairman: Tuhin Kanta Pandey
Facts To Remember
1. CM launches regional version of Gujarat global summit
Chief Minister Bhupendra Patel launched a regional version of the Vibrant Gujarat Global Summit with a focus on highlighting the strengths of each region to promote local products at international, national levels and also seek investment in districts.
2. India hosts international meeting on military medicine
Union Minister of State for Defence Sanjay Seth on Thursday inaugurated “MILMEDICON-2025: international conference on physical and mental trauma in military settings” at Manekshaw Centre, New Delhi.
3. Nearly 60% of MGNREGS budget already spent in first 5 months of financial year
Nearly 60% of the budget allocated for the Union government’s flagship rural employment programme — Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) — has been exhausted with a month still left to go for the second quarter to end.
4. Gurpreet shoots gold
Olympian Gurpreet Singh clinched the 25-metre standard pistol gold, beating compatriot Amanpreet Singh on the count-back after both shot 572 in the 16th Asian shooting championship in Shymkent, Kazakhstan.
5. Gujarat to host 70th edition of Filmfare 2nd year in a row
Gujarat will host the 70th Filmfare Awards for the second consecutive year, with the state govt on Thursday inking an MoU with Worldwide Media.
6. Mobile-Aadhaar Link Shields PMJDY Accounts from Fund Diversion
On the 11th anniversary of the Pradhan Mantri Jan Dhan Yojana (PMJDY), the government highlighted that linking Jan Dhan accounts with mobile numbers and Aadhaar has created a diversion-proof system for subsidy and benefit transfers.
