Daily Current Affairs (DCA) May 17&18, 2026

Daily Current Affairs Quiz
17&18 May, 2026

National Affairs

1. WHO declares Ebola outbreak in Congo and Uganda

Source: IE

Context:

The World Health Organization (WHO) has declared the ongoing Ebola virus disease (EVD) outbreak in the Democratic Republic of the Congo (DRC) and neighbouring Uganda a Public Health Emergency of International Concern (PHEIC) — its highest level of alarm — after more than 300 suspected cases and 88 deaths. The outbreak, first confirmed on Friday in DRC’s eastern province of Ituri, is caused by the Bundibugyo virus, a rare variant of Ebola for which there are no approved therapeutics or vaccines.

Key Highlights

• Declaring authority: World Health Organization (WHO).
• Declaration: Public Health Emergency of International Concern (PHEIC).
• Outbreak location:
  • Democratic Republic of the Congo (DRC) — primarily Ituri province (epicentre).
  • Uganda — neighbouring affected country.
• Confirmed case in Kinshasa: ~1,000 km from the epicentre — pointing to possible wider spread.
• Cumulative toll (as reported): >300 suspected cases, 88 deaths.
• Causative agent: Bundibugyo virus — a rare Ebola variant with no approved therapeutics or vaccines.
• Case distribution: Congo accounts for all but two cases; two cases reported in Uganda.
• WHO position:
  • The outbreak does not meet pandemic-emergency criteria like COVID-19.
  • Closure of international borders is not advised.

About the News

What has the WHO declared?

The WHO has declared the ongoing Ebola outbreak in Congo and Uganda a Public Health Emergency of International Concern (PHEIC) — its highest alert level under the International Health Regulations (IHR), 2005.

Why is this declaration significant?

Because a PHEIC means the WHO believes the event: (a) Is serious. (b) Has the potential to spread internationally. (c) Requires a coordinated international response. This triggers international cooperation, surveillance, and resource mobilisation.

How many cases and deaths have been reported?

Over 300 suspected cases and 88 deaths, primarily in Congo (DRC), with 2 cases in Uganda.

Where is the outbreak centred?

The epicentre is in Ituri Province in eastern DRC, but a laboratory-confirmed case in Kinshasa (DRC’s capital, ~1,000 km away) suggests possible geographic spread.

Which Ebola variant is causing this outbreak?

The Bundibugyo virus — a rare variant of Ebola first identified in Uganda’s Bundibugyo District in 2007. Unlike the more common Zaire ebolavirus, the Bundibugyo strain has no approved therapeutics or vaccines as of now.

Why is this lack of vaccines significant?

Because available Ebola vaccines like Ervebo (rVSV-ZEBOV) are designed for the Zaire ebolavirus strain and may not provide protection against Bundibugyo. This raises the risk profile of the outbreak.

How does Ebola spread?

Ebola is not airborne. It spreads through: (a) Direct contact with the blood, body fluids, or tissues of an infected person. (b) Contact with contaminated surfaces or materials. (c) Sexual transmission. (d) Handling of infected wild animals (bats, monkeys, apes — the natural reservoir is believed to be fruit bats).

Why has the WHO advised against closing borders?

Because under the International Health Regulations (IHR), 2005, public-health responses must be proportionate, evidence-based, and minimise interference with international travel and trade. The WHO recommends instead: (a) Enhanced surveillance. (b) Contact tracing. (c) Quarantine and isolation of cases. (d) Public communication and health worker protection. (e) Vaccination where available.

Is this different from COVID-19?

Yes — while both have been declared PHEICs, Ebola does not meet the criteria of a pandemic emergency like COVID-19. Ebola spreads through bodily fluids (not airborne), making containment more feasible with classical public-health measures.

How does this matter for India?

(a) India’s strong overseas community presence in Africa means risk of imported cases. (b) India’s experience with COVID-19 surveillance, contact tracing, vaccine production capacity, and Aarogya Setu/eSanjeevani tools could be useful for monitoring at airports and scaling response if needed. (c) Reinforces the importance of One Health preparedness — integrating human, animal, and environmental health.

Background Concepts (Q&A)

What is Ebola Virus Disease (EVD)?

A severe, often fatal viral haemorrhagic fever caused by Ebolaviruses — a genus in the family Filoviridae. It causes fever, vomiting, diarrhoea, weakness, internal and external bleeding, often with high case fatality rates (25–90% historically depending on strain and care quality).

What are the species of Ebolavirus?

There are six known species of Ebolavirus: Zaire ebolavirus — most deadly; subject of Ervebo vaccine. Sudan ebolavirus. Bundibugyo ebolavirus — current outbreak strain. Taï Forest ebolavirus. Reston ebolavirus — not known to cause disease in humans. Bombali ebolavirus — most recently identified.

What is a Public Health Emergency of International Concern (PHEIC)?

A formal declaration by the WHO Director-General, on the advice of an IHR Emergency Committee, that an “extraordinary event” is determined: (a) To constitute a public health risk to other states through international spread. (b) To potentially require a coordinated international response.

How many PHEICs have been declared?

Major past PHEICs include:

• H1N1 influenza pandemic (2009).
• Polio (2014, still in force in modified form).
• Ebola (West Africa, 2014; DRC, 2019).
• Zika virus (2016).
• COVID-19 (2020-2023).
• Mpox / Monkeypox (2022-23, and again 2024).

What are the International Health Regulations (IHR), 2005?

A legally binding international framework administered by the WHO that requires countries to: (a) Develop core public health capacities for surveillance and response. (b) Report certain disease outbreaks to the WHO. (c) Cooperate during PHEICs while keeping responses proportionate. The IHR 2005 framework was updated after the 2003 SARS outbreak.

What is the World Health Organization (WHO)?

A specialised agency of the United Nations focused on international public health, established in 1948 and headquartered in Geneva, Switzerland. It has 194 member states and is led by a Director-General (currently Dr. Tedros Adhanom Ghebreyesus).

Where is the Democratic Republic of the Congo (DRC)?

A large country in Central Africa, bordering 9 countries including Uganda, Rwanda, Burundi, Tanzania, Zambia, Angola, Republic of Congo, Central African Republic, and South Sudan. Kinshasa is the capital. The DRC has a history of recurrent Ebola outbreaks since the virus’s first identification in 1976 (then Zaire).

Where did Ebola originate?

Ebola was first identified in 1976 in two simultaneous outbreaks — one in Nzara (now South Sudan) and another near the Ebola River in DRC (then Zaire), from which the virus gets its name.

What was the 2014-16 West African Ebola epidemic?

The largest Ebola outbreak in history, affecting mainly Guinea, Liberia, and Sierra Leone, with over 28,000 cases and 11,000 deaths. It triggered a major global response including PPE deployment, treatment trials, and vaccine development.

What is the Ervebo vaccine?

rVSV-ZEBOV (Ervebo) — a single-dose vaccine developed by Merck, approved by the WHO and US FDA in 2019, effective against the Zaire strain of Ebola. It does not provide protection against the Bundibugyo or other variants.

What is the One Health approach?

A framework recognising that human, animal, and environmental health are interconnected — central to addressing zoonotic diseases like Ebola (which jumps from bats and primates to humans). Championed by WHO, FAO, WOAH, and UNEP globally.

Why are Ebola outbreaks particularly dangerous in conflict-affected regions?

Because: (a) Health infrastructure is weak. (b) Contact tracing is harder in displaced populations. (c) Mistrust of authorities may hamper response efforts. (d) Healthcare workers become targets. (e) Cross-border movement of refugees increases regional spread risk. Eastern DRC, where the current outbreak is centred, has experienced decades of conflict and instability.

What lessons have been learned from past Ebola outbreaks?

(a) Early detection and rapid response are critical. (b) Community engagement is essential — top-down measures often fail. (c) Treatment centres, PPE supply, and safe burials matter. (d) Vaccination during outbreaks helps, where available strains match. (e) International coordination through the IHR framework is vital.

Practice MCQs

Q1. With reference to the recent Ebola outbreak declaration by WHO, consider the following statements:

1. The outbreak has been declared a Public Health Emergency of International Concern (PHEIC).
2. The outbreak is centred in the Democratic Republic of the Congo (DRC) with cases also in Uganda.
3. The outbreak is caused by the Bundibugyo virus, a rare variant of Ebola.
4. The WHO has recommended closure of international borders as part of the response.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. With reference to Ebola Virus Disease (EVD), consider the following statements:

1. It is caused by Ebolaviruses of the Filoviridae family.
2. It spreads primarily through airborne transmission.
3. Fruit bats are believed to be the natural reservoir of the Ebola virus.
4. There are multiple known species of Ebolaviruses, including Zaire, Sudan, and Bundibugyo.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to the Public Health Emergency of International Concern (PHEIC), consider the following statements:

1. It is declared by the WHO Director-General based on advice from an Emergency Committee.
2. It is operationalised under the International Health Regulations (IHR), 2005.
3. COVID-19, Zika, and Mpox have all been declared PHEICs in the past.
4. A PHEIC declaration automatically requires all countries to close their borders.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. With reference to the World Health Organization (WHO), consider the following statements:

1. It is a specialised agency of the United Nations.
2. It was established in 1948 and is headquartered in Geneva, Switzerland.
3. It has 194 member states.
4. Its Director-General is appointed by the United Nations Secretary-General.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

1. (c) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the WHO has explicitly advised against the closure of international borders, in line with IHR 2005 principles of proportionate response.
2. (b) — Statements 1, 3, 4 are correct. Statement 2 is wrong; Ebola is not airborne — it spreads through direct contact with bodily fluids of infected persons or contaminated materials.
3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; a PHEIC declaration does not automatically require border closures — in fact, the IHR explicitly aims to keep responses proportionate and minimise interference with international trade and travel.
4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the WHO Director-General is elected by the World Health Assembly (the WHO’s governing body), not appointed by the UN Secretary-General.

Exam Relevance

Exam	Relevance
UPSC Prelims	GS Paper II — International Organisations (WHO, IHR); GS Paper III — S&T, Health, Disaster Management
UPSC Mains	GS Paper II — Health, International institutions, India’s external engagement
BPSC / State PCS	Health, International Affairs, Current Affairs
Banking (RBI Gr B, NABARD)	ESI / Economic and Social Issues — moderate importance
SSC / Insurance / Railway	Static + Current GK on WHO, PHEICs, diseases

2. Chola-era Anaimangalam Plates, in possession of Leiden University since 1862, returned to India

Context:

In a historic moment for Indian cultural diplomacy, the Anaimangalam copper plates charter — better known internationally as the Leiden copper plates — was handed back to India by the Netherlands at a ceremony in The Hague in the presence of Prime Minister Narendra Modi and Dutch PM Rob Jetten. The plates, in the possession of Leiden University for nearly two centuries, are the first set of Chola-period copper plates ever to be repatriated to India.

Key Highlights

• Handover of the Anaimangalam (Leiden) copper plates by the Netherlands to India at The Hague.
• Dignitaries: PM Narendra Modi and Dutch PM Rob Jetten.
• Custodian till date: Leiden University, Netherlands — for nearly two centuries.
• Historical significance: First time Chola-period copper plates are being returned to India.
• Originator: Raja Raja Chola I (985–1014 CE) — issued the original gift order.
• Executor: Rajendra Chola I (1014–1044 CE) — implemented the order.
• Later additions: Kulottunga Chola I (1070–1120 CE) — expanded grants based on appeals by Javanese emissaries.
• Subject of the plates:
  • Gift of land at Anaimangalam village (near Nagapattinam, TN).
  • Built a Buddhist vihara — the Chulamanivarma Vihara — in honour of Sri Chudamani Varman, father of Sri Mara Vijayotunga Varman, the Sri Vijaya/Javanese king.
  • During Rajendra Chola I’s reign, the vihara was also called Raja Raja Cholan Perumpalli (“big vihara”).
• Composition of the plates:
  • 21 large plates + 3 small plates.
  • Large plates: 5 in Sanskrit, 16 in Tamil.
  • Small plates: Tamil, recording later Kulottunga Chola I grants.
• Royal insignia on the ring binding the plates:
  • Tiger — Chola emblem.
  • Two fish — Pandya emblem.
  • Bow — Chera emblem.
  • Two chamaras, royal parasol, lamps, and a swastika.
  • Inclusion of Pandya fish and Chera bow signified Chola victories over them.
• Plate inscriptions:
  • “Anaimangalam” in Tamil on the royal emblem.
  • A Sanskrit sloka praising Rajendra Chola I.
  • Small plates bear a sloka praising Kulottunga Chola I.
• Sad sub-plot: The tower of the Chulamanivarma Vihara was demolished by Jesuit priests in 1867, with permission from the colonial government of Madras.

About the News

What did India recently receive from the Netherlands?

The Anaimangalam copper plates — also known as the Leiden copper plates — a set of 24 Chola-era copper plates (21 large, 3 small) that had been with Leiden University for nearly two centuries. They were handed over to India at a ceremony at The Hague during PM Modi’s visit.

Why are these plates historically important?

Because they record a remarkable cross-civilisational gift: the Hindu Saivite Chola king Raja Raja Chola I authorising the construction of a Buddhist vihara at Nagapattinam at the request of the Sri Vijaya/Javanese ruler, in honour of the latter’s father. They are also one of the most important bilingual (Tamil and Sanskrit) royal charters of the Chola era.

Who built the Chulamanivarma Vihara?

The original Buddhist vihara was built by Sri Mara Vijayotunga Varman, king of the Sri Vijaya/Javanese kingdom, in the name of his father Sri Chudamani Varman — and the land grant for its endowment was made by Raja Raja Chola I, executed by his son Rajendra Chola I, and extended by Kulottunga Chola I.

What happened to the vihara itself?

Tragically, the tower of the Chulamanivarma Vihara was demolished by Jesuit priests in 1867, with the permission of the colonial government of Madras — illustrating the cultural losses suffered during the colonial era.

What is the structure of the Leiden plates?

They consist of 21 large plates and 3 small plates, strung together by a ring bearing the Chola royal insignia — including the tiger (Chola), two fish (Pandya, signifying Chola conquest), bow (Chera, signifying Chola conquest), two chamaras, royal parasol, lamps, and a swastika.

What languages do the plates use?

The large plates are in a mix of Sanskrit and Tamil — 5 Sanskrit plates and 16 Tamil plates in the larger set, with small plates in Tamil — reflecting the bilingual cosmopolitan culture of the Chola court.

Why is the return significant for India’s cultural diplomacy?

It marks the first repatriation of Chola-era copper plates to India and signals the success of India’s growing cultural-diplomacy push to recover artefacts removed during the colonial period. India has, over the past decade, brought back hundreds of antiquities from the US, UK, Australia, Singapore, the Netherlands, and other countries.

What are historians calling for next?

Archaeologist V. Vedachalam has called for the return of the Velvikkudi copper plates — issued by the Pandya ruler Parantaka Nedunchadaiyan (765–815 CE) — currently held at the British Museum, London.

Why is this story important for Indo-Southeast Asia ties?

Because it materially documents the profound civilisational exchanges between Tamil Nadu and the Sri Vijaya empire in present-day Indonesia and Malaysia — through trade, religion (Hinduism, Buddhism), language (Sanskrit, Tamil), and royal patronage. The plates are a living record of this maritime and cultural bridge.

Background Concepts

Who were the Cholas?

The Cholas were one of the longest-ruling dynasties of South India, with their early phase from around the 3rd century BCE but rising to historical prominence in the 9th century CE with Vijayalaya Chola. They reached their zenith under Raja Raja Chola I (985–1014 CE) and Rajendra Chola I (1014–1044 CE) — building one of medieval Asia’s most powerful maritime, military, and cultural empires, stretching from South India to Sri Lanka, Maldives, and Southeast Asia.

Who was Raja Raja Chola I?

A celebrated Chola emperor who built the iconic Brihadeeswarar (Rajarajeswaram) temple at Thanjavur (a UNESCO World Heritage site), a magnificent example of Dravidian architecture. He is remembered for his military campaigns across South India and Sri Lanka, and for administrative, religious, and artistic patronage.

Who was Rajendra Chola I?

Son of Raja Raja Chola I, and arguably the greatest Chola emperor. He led a famous naval expedition to Sri Vijaya (in present-day Sumatra/Java) in 1025 CE, capturing key ports. He built the Gangaikonda Cholapuram as the new Chola capital. His reign represents the zenith of Chola power.

Who was Kulottunga Chola I?

Reigned 1070–1120 CE. Known for administrative reforms, abolition of toll taxes (“Sungam Thavirtta Chozhan”), and patronage of literature, religion, and trade. He maintained the maritime and diplomatic links with Sri Vijaya.

What was the Sri Vijaya Empire?

A maritime and trading empire centred in Sumatra (Palembang), Indonesia that flourished from the 7th to 13th centuries CE. It was a major centre of Mahayana Buddhism, controlled vital Straits of Malacca trade routes, and had strong religious, commercial, and diplomatic ties with India, especially the Cholas. The Sailendra dynasty (which built Borobudur) was associated with this region.

What were copper plate charters?

Royal grants inscribed on thin sheets of copper, often strung together with a metal ring sealed with the royal emblem. They served as legal records of land grants, temple endowments, tax exemptions, and other royal decisions. They are among the most important historical sources for medieval Indian dynasties.

What is the Antiquities and Art Treasures Act, 1972 (India)?

An Indian law that regulates the export of antiquities and art treasures out of India, and provides for the preservation of antiquities within the country. It is administered by the Archaeological Survey of India (ASI) under the Ministry of Culture.

What is the UNESCO 1970 Convention?

The UNESCO Convention on the Means of Prohibiting and Preventing the Illicit Import, Export and Transfer of Ownership of Cultural Property, 1970 — an international treaty signed by 140+ countries that obligates signatories to prevent illegal trafficking of cultural property and to return objects illegally exported. India is a party to the Convention.

Why is repatriation of antiquities a major policy goal for India?

(a) Cultural restoration — these artefacts are tied to India’s religious and civilisational identity. (b) Decolonisation of cultural memory — many were removed during the colonial period. (c) Public access — repatriated objects can be displayed in Indian museums and sites. (d) Soft-power diplomacy — visible cultural diplomacy strengthens India’s global image.

What is the role of the Archaeological Survey of India (ASI)?

The ASI is the premier organisation responsible for archaeological research, conservation, and protection of cultural monuments and antiquities in India. Established in 1861 under Alexander Cunningham, it functions under the Ministry of Culture and is the agency that coordinates antiquities repatriation with foreign museums and governments.

What is the importance of Nagapattinam in Tamil/Indian history?

Nagapattinam was a major port town on Tamil Nadu’s east coast, central to maritime trade and Buddhist-Hindu cultural exchange with Sri Lanka, Sri Vijaya, and the Far East. It hosted Buddhist viharas, was a key Chola port, and remained important under successive empires. The demolition of the Chulamanivarma Vihara in 1867 ended one of the last surviving Buddhist structures of its era.

What does this case tell us about religious culture in medieval India?

It reflects the religious pluralism of the Chola court: a Hindu Saivite king patronising the construction of a Buddhist vihara for a Javanese Buddhist king’s father — at a time when multiple religions coexisted, courts were cosmopolitan, and royal patronage was extended across religious lines for diplomatic and cultural reasons.

Practice MCQs

Q1. With reference to the Anaimangalam (Leiden) copper plates recently returned to India, consider the following statements:

1. They were returned by the Netherlands during PM Modi’s recent visit.
2. They had been with Leiden University for nearly two centuries.
3. They record a Chola king’s grant for the construction of a Buddhist vihara at Nagapattinam.
4. They are the first Chola-period copper plates to be repatriated to India.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about the Chola dynasty:

1. Raja Raja Chola I built the iconic Brihadeeswarar Temple at Thanjavur.
2. Rajendra Chola I led a famous naval expedition to the Sri Vijaya Empire.
3. Kulottunga Chola I is remembered for abolishing toll taxes.
4. The Chola dynasty was confined to mainland South India and never engaged in maritime expansion.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. Consider the following statements about the Sri Vijaya Empire:

1. It was a maritime and trading empire centred in Sumatra.
2. It was a major centre of Mahayana Buddhism.
3. It had strong religious and diplomatic ties with the Cholas.
4. It existed primarily during the 16th to 18th centuries CE.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. With reference to India’s framework for antiquities and cultural property, consider the following statements:

1. The Antiquities and Art Treasures Act, 1972 regulates the export of antiquities from India.
2. The Archaeological Survey of India was established in 1861 under Alexander Cunningham.
3. India is a party to the UNESCO 1970 Convention on Cultural Property.
4. The Archaeological Survey of India functions under the Ministry of External Affairs.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

1. (d) — All four statements are correct.
2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the Cholas were a major maritime power who undertook naval expeditions to Sri Lanka, Maldives, and Sri Vijaya (in present-day Indonesia/Malaysia).
3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; Sri Vijaya flourished from the 7th to 13th centuries CE, not 16th–18th centuries.
4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the Archaeological Survey of India functions under the Ministry of Culture, not the Ministry of External Affairs.

Exam Relevance

Exam	Relevance
UPSC Prelims	GS Paper I — Art and Culture (Chola dynasty, copper plates, architecture, religion); GS Paper II — India’s bilateral relations
UPSC Mains	GS Paper I — Ancient and Medieval Indian History, Art and Culture
BPSC / State PCS	Indian History, Art and Culture, Current Affairs
Banking (RBI Gr B)	General Awareness / Indian heritage — moderate importance

3. Rajasthan gets its first Semiconductor Plant

Source: PIB

Context:

Rajasthan has formally entered India’s strategic semiconductor sector with the inauguration of its first Semiconductor ATMP/OSAT (Assembly, Testing, Marking and Packaging / Outsourced Semiconductor Assembly and Test) facility at Bhiwadi — and uniquely, it is also India’s first SME-led ATMP/OSAT facility, established by Sahasra Semiconductors Pvt. Ltd. Located within the Electronics Manufacturing Cluster (EMC) at Salarpur, Khushkhera, near the Delhi-NCR, the plant has been built with an investment of over ₹150 crore under the SPECS scheme and operates Class 10K and 100K cleanrooms — sufficient for packaging-stage operations.

Key Highlights

• Facility: Sahasra Semiconductors Pvt. Ltd. ATMP/OSAT plant in Bhiwadi, Rajasthan.
• Significance: India’s first SME-led semiconductor ATMP/OSAT facility; Rajasthan’s first.
• Location: Electronics Manufacturing Cluster (EMC), Salarpur, Khushkhera, near Delhi-NCR.
• Investment: ₹150+ crore under the SPECS scheme.
• Function — ATMP/OSAT:
  • Assembly,
  • Testing,
  • Marking, and
  • Packaging of semiconductor chips,
  • i.e., the back-end stage of the semiconductor value chain.
• Products packaged:
  • Micro SD cards.
  • Flash storage devices.
  • LED driver ICs.
  • eSIMs.
  • RFID products.

About the News

What new facility has been inaugurated?

India’s first SME-led Semiconductor ATMP/OSAT facility, set up by Sahasra Semiconductors Pvt. Ltd. in Bhiwadi, Rajasthan — within the Electronics Manufacturing Cluster (EMC) at Salarpur, Khushkhera.

What does ATMP/OSAT stand for?

ATMP = Assembly, Testing, Marking and Packaging. OSAT = Outsourced Semiconductor Assembly and Test. Both refer to the back-end stage of the semiconductor value chain, where fabricated silicon wafers are turned into packaged, testable, market-ready chips.

Why is this facility significant?

(a) It is Rajasthan’s first semiconductor facility. (b) It is India’s first SME-led ATMP/OSAT plant, signalling that the semiconductor ecosystem is expanding beyond large corporates to include smaller specialised firms. (c) It strengthens India’s back-end packaging capacity — a labour-intensive, employment-generating segment. (d) It demonstrates the operational use of central schemes like the SPECS scheme and the Electronics Manufacturing Cluster (EMC) framework.

What products will be packaged at the plant?

Micro SD cards, flash storage devices, LED driver ICs, eSIMs, and RFID products — i.e., mass-market consumer and IoT components rather than bleeding-edge advanced logic chips. These products serve massive volume markets in mobile devices, IoT, automotive, and identification.

What is its production capacity?

60 million units per year initially, with plans to scale up to 400–600 million units per year over the next 2-3 years — a 6–10× expansion depending on demand and execution.

What is the investment and cleanroom infrastructure?

(a) Over ₹150 crore investment. (b) Class 10K and 100K cleanrooms — meaning particle-controlled environments suitable for packaging operations. (Bleeding-edge wafer fabrication requires much cleaner Class 1 or 10 cleanrooms.)

How does this fit into India’s semiconductor strategy?

It is part of the broader push under the India Semiconductor Mission (ISM), which spans: (a) Fabrication plants (Fabs) — e.g., Tata-PSMC at Dholera. (b) Display fabs. (c) ATMP/OSAT units (where this Bhiwadi facility fits). (d) Design Linked Incentive (DLI) scheme for start-ups. (e) Components/sub-assembly via SPECS.

Why is ATMP/OSAT capacity important for India?

Because: (a) It is the most labour-intensive part of the semiconductor value chain — creating far more direct jobs than capital-heavy fabs. (b) It is the gateway segment for emerging semiconductor economies. (c) It localises packaging value addition, reducing import dependence. (d) It allows India to serve domestic electronics manufacturing (smartphones, IoT, automotive) more quickly than waiting for fabs to come online.

What is the SPECS scheme?

Scheme for Promotion of Manufacturing of Electronic Components and Semiconductors (SPECS) — a Government of India incentive scheme to promote domestic manufacturing of electronic components, semiconductors, and sub-assemblies, offering a financial incentive of ~25% on capital expenditure.

What is the Electronics Manufacturing Cluster (EMC)?

A scheme of the Ministry of Electronics and Information Technology (MeitY) that supports the development of industrial clusters with world-class infrastructure specifically for electronics and semiconductor manufacturing. The EMC at Salarpur, Khushkhera (Rajasthan) is one of several such clusters across India.

What is the broader takeaway?

That India’s semiconductor strategy is maturing from announcements to operational facilities, and from a few large players to a growing ecosystem of fabs, OSATs, design houses, and component manufacturers spread across multiple states.

Background Concepts

What is the semiconductor value chain?

It includes: (a) Design — chip architecture, layout, IP cores. (b) Front-end manufacturing (Fab) — wafer fabrication on silicon, the most capital-intensive stage. (c) Back-end manufacturing (ATMP/OSAT) — dicing wafers, packaging chips, testing. (d) Distribution / Integration — to OEMs (mobile, auto, defence).

What is the India Semiconductor Mission (ISM)?

A central initiative launched in 2022 under the Ministry of Electronics and Information Technology (MeitY) to build a complete semiconductor and display ecosystem in India. It administers the Modified Programme that provides fiscal incentives for fabs, display fabs, ATMP/OSAT, compound semiconductors, sensors, and design.

What is the Modified Programme for Semiconductors and Display Manufacturing Ecosystem?

A scheme announced in December 2021 with an outlay of ₹76,000 crore, providing financial incentives for: (a) Silicon CMOS-based semiconductor fabs. (b) Display fabs. (c) Compound semiconductor / silicon photonics / sensor / discrete semiconductor / ATMP / OSAT units. (d) Semiconductor design companies (under DLI).

What is the Design Linked Incentive (DLI) Scheme?

A scheme under the ISM that provides financial incentives to Indian semiconductor design companies, start-ups, and MSMEs to develop their own chip products — including product design, prototyping, and IP creation.

What are some major semiconductor projects approved in India?

(a) Tata Electronics – PSMC (Taiwan) Fab at Dholera, Gujarat. (b) Micron ATMP at Sanand, Gujarat. (c) CG Power – Renesas – Stars Microelectronics OSAT at Sanand. (d) Kaynes Semicon OSAT at Sanand. (e) Tata Electronics OSAT at Morigaon, Assam. (f) Sahasra Semiconductors in Bhiwadi, Rajasthan (the current news).

What is a “cleanroom” and why does it matter?

A cleanroom is a controlled environment with regulated particle concentration, temperature, humidity, and air pressure — essential for semiconductor manufacturing to prevent microscopic contamination that can ruin chips. Cleanroom classes are defined by maximum particles per cubic foot:

• Class 10 / 100 → ultra-clean (used in advanced fabs).
• Class 1,000 / 10,000 / 100,000 → progressively less stringent (suitable for less sensitive operations like ATMP).

What is Bhiwadi known for?

Bhiwadi, in Alwar district of Rajasthan, is a major industrial hub in the Delhi-NCR region, with strengths in electronics, automotive components, textiles, and consumer goods. Its proximity to Delhi-NCR airports, ports (via Gurugram-Delhi connectivity), and the Dedicated Freight Corridor makes it strategically located.

Who is Sahasra Semiconductors?

A part of the Sahasra Group, an Indian electronics manufacturing services company that has expanded into semiconductor packaging. The Bhiwadi plant is part of its strategic move into the semiconductor space — leveraging existing EMS strengths.

Why is India pushing semiconductor self-reliance?

Because: (a) Imports account for nearly all of India’s semiconductor consumption. (b) The global semiconductor crunch of 2021–22 demonstrated strategic vulnerability. (c) India is the fifth-largest electronics manufacturer globally — and the largest single segment of imports is electronics. (d) National security applications (defence, telecom, space, AI) require trusted domestic supply. (e) Geopolitical risks (US-China decoupling, Taiwan Strait risk) create urgency for diversified supply chains.

What is the global context for ATMP/OSAT?

The global ATMP/OSAT industry is concentrated in Taiwan, China, Malaysia, Vietnam, and the Philippines. India’s entry could diversify global packaging capacity and capture labour-intensive segments that suit its workforce profile.

Practice MCQs

Q1. With reference to the recently inaugurated semiconductor facility in Rajasthan, consider the following statements:

1. It is India’s first SME-led Semiconductor ATMP/OSAT facility.
2. It is located in Bhiwadi, within the Electronics Manufacturing Cluster at Salarpur, Khushkhera.
3. It has been set up by Sahasra Semiconductors Pvt. Ltd.
4. It plans to scale up its capacity to 400–600 million units annually over the next 2–3 years.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about ATMP/OSAT in the semiconductor value chain:

1. ATMP stands for Assembly, Testing, Marking and Packaging.
2. OSAT stands for Outsourced Semiconductor Assembly and Test.
3. ATMP/OSAT is the back-end stage of the semiconductor value chain.
4. ATMP/OSAT typically requires the most advanced (lowest particle count) cleanrooms in the value chain.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 2 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to the India Semiconductor Mission (ISM), consider the following statements:

1. It was launched under the Ministry of Electronics and Information Technology.
2. The Modified Programme for Semiconductors and Display Manufacturing Ecosystem has an outlay of ₹76,000 crore.
3. The Design Linked Incentive (DLI) Scheme supports Indian semiconductor design companies and start-ups.
4. ISM provides financial incentives for fabs, display fabs, ATMP/OSAT, and design.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about Indian semiconductor initiatives and locations:

1. The Tata Electronics – PSMC fab is being set up at Dholera, Gujarat.
2. Micron has set up an ATMP facility at Sanand, Gujarat.
3. The SPECS scheme provides incentives for the manufacturing of electronic components and semiconductors.
4. The Electronics Manufacturing Cluster (EMC) scheme is administered by the Ministry of External Affairs.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

1. (d) — All four statements are correct.
2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; ATMP/OSAT typically requires less stringent cleanrooms (e.g., Class 10K / 100K) compared to advanced wafer fabs, which need the most advanced (Class 1 or 10) cleanrooms.
3. (e) — All four statements are correct.
4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the EMC scheme is administered by the Ministry of Electronics and Information Technology (MeitY), not the Ministry of External Affairs.

Exam Relevance

Exam	Relevance
UPSC Prelims	GS Paper III — S&T, Indian Economy (Semiconductors, ISM, SPECS); GS Paper I — Geography (Rajasthan)
UPSC Mains	GS Paper III — S&T, Indigenisation, Industrial Growth, Make in India
State PCS	Indian Economy, Science & Technology, Current Affairs
Banking (RBI Gr B, NABARD)	Indian Economy, Industrial Growth — moderate importance
SSC / Insurance / Railway	Static + Current GK on ISM, SPECS, EMC, semiconductor projects

4. India’s first satellite-tagged Ganges soft-shell turtle released in Kaziranga

Context:

India’s first satellite-tagged Ganges soft-shell turtle has been released into its natural habitat along the northern bank of the Brahmaputra River, inside Assam’s Kaziranga National Park and Tiger Reserve — marking a significant step in freshwater-turtle conservation in India. The Ganges soft-shell turtle (Nilssonia gangetica) is a large, highly aquatic freshwater reptile of the family Trionychidae, functioning as a river apex predator and scavenger that helps clean the riverine ecosystem by feeding on dead organic matter. Distributed across India, Bangladesh, Pakistan, and Afghanistan, the species is found in major Indian river basins — the Indus, Ganges/Yamuna, Mahanadi, Narmada, and Brahmaputra.

Key Highlights

• Release of India’s first satellite-tagged Ganges soft-shell turtle.
• Location: Northern bank of the Brahmaputra River, inside Kaziranga National Park and Tiger Reserve, Assam.
• Species: Ganges soft-shell turtle (Nilssonia gangetica), also known as Indian softshell turtle.
• Family: Trionychidae (soft-shell turtles).
• Ecological role:
  • River apex predator and scavenger.
  • Cleans riverine ecosystem by feeding on dead organic and animal matter.
• Habitat preferences:
  • Deep, turbid rivers, large streams, canals, lakes, and reservoirs.
  • Wetlands with muddy or sandy bottoms for burrowing.
• Distribution:
  • South Asia: India, Bangladesh, Pakistan, Afghanistan.
  • In India: Indus, Ganges/Yamuna, Mahanadi, Narmada, Brahmaputra basins.
• Conservation status:
  • IUCN Red List: Endangered.
  • Wildlife (Protection) Act, 1972: Schedule I (Part II) — highest tier of protection.
  • CITES: Listed (typically Appendix I) for international trade restrictions.
• Identification features:
  • Black arrowhead-shaped markings and inverted-V streaks on olive-coloured head.
  • Flattened, compressed, smooth leathery carapace with yellow border.
  • Long, tube-like snout acting as a snorkel — allowing breathing while submerged.
  • Eight pairs of costal plates (last pair touching).
  • Large plastral callosities on the belly.

About the News

What new conservation step has been taken?

India has released its first satellite-tagged Ganges soft-shell turtle into the wild — along the northern bank of the Brahmaputra River inside Kaziranga National Park, Assam.

Why is satellite tagging important?

Because it allows researchers to: (a) Track movement patterns in real time across rivers and tributaries. (b) Identify critical habitats, breeding sites, and nesting beaches. (c) Detect threats — sand mining, illegal fishing, pollution, dam-related disruption. (d) Inform conservation planning at landscape and basin levels. (e) Build baseline data for a poorly studied species.

What is the Ganges soft-shell turtle?

A large freshwater turtle of the Trionychidae family, scientifically named Nilssonia gangetica. It is highly aquatic, omnivorous, and plays a vital ecological role as both a predator and scavenger of the riverine ecosystem.

Where is it found?

Across major South Asian river basins — India, Bangladesh, Pakistan, and Afghanistan. In India, it inhabits the Indus, Ganges/Yamuna, Mahanadi, Narmada, and Brahmaputra basins.

What is its conservation status?

(a) IUCN Red List: Endangered. (b) Wildlife (Protection) Act, 1972: Schedule I (Part II) — the highest level of domestic protection. (c) Listed under CITES Appendix I — banning international commercial trade.

What are its identifying features?

(a) Olive-coloured head with black arrowhead markings and inverted-V streaks. (b) Flat, smooth, leathery carapace with yellow border — unlike hard-shell turtles. (c) Long, tube-like snout that functions as a snorkel for submerged breathing. (d) Up to 94 cm carapace length — a giant among freshwater turtles.

Why is it called a “soft-shell” turtle?

Because, unlike most turtles, it has a flat, flexible, leathery carapace rather than a hard, bony shell. The reduced bony shell is covered with thick skin, giving it a “soft” feel. This adaptation makes the turtle a faster swimmer and better at burying itself in mud or sand.

Why is its ecological role important?

(a) As a scavenger, it feeds on carrion, helping to clean rivers of decomposing organic matter. (b) As a predator, it controls populations of fish, mollusks, frogs. (c) It is an indicator species — its decline signals broader river ecosystem stress.

What threats does it face?

(a) Illegal poaching for meat, skin, and turtle shell. (b) Egg collection from nesting beaches. (c) Habitat loss from sand mining, dam construction, embankments. (d) River pollution — pesticides, sewage, industrial effluents. (e) Bycatch in fishing nets. (f) Climate change, including changes in river flow and temperature.

How does Kaziranga fit into this story?

Kaziranga National Park is one of India’s premier conservation landscapes — best known for the one-horned rhinoceros, tigers, elephants, and swamp deer. But it is also a critical Brahmaputra floodplain ecosystem that hosts dozens of aquatic and semi-aquatic species — including Gangetic dolphins, smooth-coated otters, and several turtle species. The satellite-tagged turtle’s release here makes the project a landscape-scale freshwater conservation milestone.

Background Concepts (Q&A)

What is the Wildlife (Protection) Act, 1972?

A central law for the protection of wild animals, birds, and plants in India. It provides for the regulation of hunting, possession, transport, and trade in wildlife and sets up the framework for National Parks, Wildlife Sanctuaries, Conservation Reserves, and Community Reserves. Species are listed under Schedules I to V with varying degrees of protection.

What does Schedule I of the Wildlife (Protection) Act, 1972 mean?

Species in Schedule I (Part I and II) receive the highest level of protection. Hunting, possession, or trade of these species is a serious offence with strict penalties. Schedule I (Part II) specifically lists reptiles, amphibians, fish, and other non-mammalian fauna.

What is the IUCN Red List?

A comprehensive inventory of the global conservation status of species, maintained by the International Union for Conservation of Nature (IUCN). Species are classified into categories: Extinct (EX) → Extinct in the Wild (EW) → Critically Endangered (CR) → Endangered (EN) → Vulnerable (VU) → Near Threatened (NT) → Least Concern (LC) → Data Deficient (DD).

What is CITES?

The Convention on International Trade in Endangered Species of Wild Fauna and Flora, signed in 1973 in Washington D.C. It regulates international trade in over 35,000 species through three appendices: Appendix I: Species threatened with extinction — trade is strictly prohibited. Appendix II: Species not currently threatened but require trade regulation. Appendix III: Species protected in at least one country requesting cooperation. India is a CITES party.

What is the Trionychidae family?

A family of soft-shell turtles comprising about 30 species worldwide, found in Asia, Africa, and North America. They are characterised by: (a) Reduced bony shells covered with leathery skin. (b) Long, flexible necks. (c) Webbed feet for fast swimming. (d) Tube-like snorkel snouts for submerged breathing.

What other soft-shell turtles are found in India?

(a) Indian softshell turtle (Nilssonia gangetica) — current species. (b) Indian peacock soft-shell turtle (Nilssonia hurum) — listed Vulnerable. (c) Black soft-shell turtle (Nilssonia nigricans) — Critically Endangered, found in Assam. (d) Indian flapshell turtle (Lissemys punctata) — most widespread; Vulnerable.

What is Kaziranga National Park?

A UNESCO World Heritage Site in Assam, established in 1905 as a reserve forest and as a national park in 1974. It is located on the southern bank of the Brahmaputra and is famous for: (a) Two-thirds of the world’s one-horned rhinos. (b) Tigers, elephants, swamp deer, wild water buffalo. (c) Numerous bird species. (d) Designated a Tiger Reserve in 2006.

What is the Brahmaputra River system?

One of Asia’s major trans-Himalayan rivers, originating in Tibet (as Yarlung Tsangpo), flowing through Arunachal Pradesh (as Siang/Dihang), joining the Brahmaputra in Assam, and finally entering Bangladesh (as Jamuna), where it meets the Ganges (Padma) before draining into the Bay of Bengal. Its basin supports rich freshwater biodiversity, including this turtle, Gangetic dolphins, and various fish.

What is satellite telemetry in wildlife conservation?

A technology where lightweight satellite-linked tags or transmitters are attached to wildlife to track their movements, behaviour, and habitat use in real time. It has revolutionised wildlife research and conservation — being used for tigers, elephants, dolphins, vultures, sea turtles, and now freshwater turtles.

What is the Turtle Survival Alliance (TSA)?

A global non-profit conservation organisation focused on freshwater turtles and tortoises. TSA India runs major turtle conservation, head-starting, and reintroduction programmes in collaboration with state forest departments, including in Uttar Pradesh, Madhya Pradesh, Bihar, and Odisha.

Why are freshwater turtles especially vulnerable?

(a) They have long lifespans and slow maturity — populations recover slowly. (b) They are dependent on specific habitats and nesting beaches. (c) They are easily trapped and poached in rivers. (d) Their eggs and meat are illegally consumed and traded. (e) Habitat fragmentation, river damming, sand mining, and pollution all reduce viable habitat.

What is the One Health relevance of riverine turtle conservation?

Healthy turtle populations indicate clean, well-functioning river ecosystems — which in turn support human health (drinking water, fisheries), agriculture, and climate resilience. Conversely, declining turtles can signal broader river-system stress.

Practice MCQs

Q1. With reference to the Ganges Soft-Shell Turtle, consider the following statements:

1. Its scientific name is Nilssonia gangetica.
2. It is classified as Endangered on the IUCN Red List.
3. It is listed under Schedule I (Part II) of the Wildlife (Protection) Act, 1972.
4. India’s first satellite-tagged individual of this species was released in the Brahmaputra River inside Kaziranga National Park.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about the Ganges Soft-Shell Turtle:

1. It belongs to the family Trionychidae.
2. It has a long, tube-like snout that acts like a snorkel for submerged breathing.
3. It has a hard, bony carapace like most other turtles.
4. It can grow to a carapace length of around 94 cm.

Which of the above are correct? (a) 1, 2 and 4 only (b) 1, 2 and 3 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to the Wildlife (Protection) Act, 1972 and the IUCN Red List, consider the following statements:

1. Species listed in Schedule I receive the highest level of legal protection in India.
2. The Wildlife (Protection) Act, 1972 provides for the creation of National Parks and Wildlife Sanctuaries.
3. The IUCN Red List classifies species into categories ranging from Least Concern to Extinct.
4. CITES Appendix I species can be commercially traded internationally without restriction.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about Kaziranga National Park and the Brahmaputra basin:

1. Kaziranga is a UNESCO World Heritage Site located in Assam.
2. Kaziranga was designated a Tiger Reserve in 2006.
3. The Brahmaputra River is known as the Yarlung Tsangpo in Tibet.
4. The Brahmaputra River flows entirely within India and does not enter Bangladesh.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

1. (d) — All four statements are correct.
2. (a) — Statements 1, 2, 4 are correct. Statement 3 is wrong; soft-shell turtles like the Ganges soft-shell turtle have a flat, flexible, leathery carapace — not a hard, bony shell like most other turtles.
3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; CITES Appendix I species cannot be commercially traded internationally — Appendix I imposes the strictest restrictions on trade of species threatened with extinction.
4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the Brahmaputra enters Bangladesh (where it is known as the Jamuna) and joins the Ganges (Padma) before draining into the Bay of Bengal.

5. Lok Sabha Speaker Om Birla constitutes Committee on Empowerment of Women

Source: News on Air

Context:

Lok Sabha Speaker Om Birla has officially reconstituted the Parliamentary Committee on Empowerment of Women for 2026-27, with senior Lok Sabha MP Daggubati Purandeswari appointed as its Chairperson. The Committee — first constituted in April 1997 during the 11th Lok Sabha — is a Joint Parliamentary Committee (JPC) comprising 28 members (18 from Lok Sabha and 10 from Rajya Sabha), with an annual tenure. It serves as a bicameral institutional mechanism to review national policies, assess welfare initiatives, and ensure gender equality across central laws and Union Territory administrations.

Key Highlights

• Reconstituted by: Lok Sabha Speaker Om Birla.
• Tenure: 2026-27.
• Chairperson: Daggubati Purandeswari, senior Lok Sabha MP.
• Committee type: Joint Parliamentary Committee (JPC) of the Indian Parliament.
• First constituted: 29 April 1997, during the 11th Lok Sabha.
• Composition:
  • 18 Lok Sabha members — nominated by the Speaker.
  • 10 Rajya Sabha members — nominated by the Chairman of Rajya Sabha.
  • Total: 28 members.
• Tenure of committee: Not exceeding 1 year; reconstituted annually.
• Working principle: Members rise above party lines, functioning as a cross-party cohesive unit.
• Key functions:
  • Reviewing NCW reports and recommending action.
  • Evaluating gender equality in public and private life.
  • Monitoring women’s representation in legislatures, public services, education.
  • Appraising welfare programmes for women.
  • Action-taken monitoring on previous recommendations.
  • Special remits referred by the Lok Sabha Speaker or Rajya Sabha Chairman.
• Broader context: Comes amid implementation pathway of the Nari Shakti Vandan Adhiniyam, 2023 (128th Constitutional Amendment) — providing 33% reservation for women in Lok Sabha and State Legislative Assemblies post-delimitation.

About the News

What has happened?

The Lok Sabha Speaker Om Birla has reconstituted the Parliamentary Committee on Empowerment of Women for 2026-27, with Daggubati Purandeswari as its Chairperson.

What is the Committee on Empowerment of Women?

A Joint Parliamentary Committee (JPC) of the Indian Parliament that reviews policies, assesses welfare initiatives, and works toward ensuring gender equality across central laws and Union Territory administrations.

When was it first constituted?

On 29 April 1997, during the 11th Lok Sabha — making it one of the older bicameral committees dedicated to a thematic concern.

What is its composition?

The Committee has 28 members in total: 18 from Lok Sabha — nominated by the Speaker. 10 from Rajya Sabha — nominated by the Chairman of the Rajya Sabha.

What is its tenure?

The Committee’s term does not exceed one year — it is reconstituted annually, ensuring continuous review while allowing fresh perspectives.

What are its main functions?

(a) Reviewing the reports of the National Commission for Women (NCW). (b) Examining gender equality measures in public and private spheres. (c) Monitoring women’s representation in legislatures, public services, education. (d) Appraising centrally sponsored welfare schemes for women. (e) Action-taken monitoring on previous committee recommendations. (f) Special examination of issues referred by the Speaker or Chairman.

Why is the cross-party principle important?

Because women’s empowerment is treated as a national, non-partisan priority. The Committee’s strength lies in its ability to build consensus across political lines — recommending reforms that have broader legitimacy and implementation backing.

How does it interact with the National Commission for Women (NCW)?

The NCW — set up under the NCW Act, 1990 — submits annual and special reports to Parliament. The Committee on Empowerment of Women examines these reports, deliberates on their findings, and recommends legislative or executive actions to the Union Government.

Why is this reconstitution timely?

(a) The Nari Shakti Vandan Adhiniyam (128th Amendment, 2023) awaits post-delimitation implementation of 33% women’s reservation. (b) PLFS 2025 data has shown persistent low urban female labour force participation (22.2%) and high youth unemployment among urban women (18.9%). (c) Continuing concerns over women’s safety, healthcare, education, and legal access. (d) Crime in India 2024 data shows rising trends in crimes against women in certain categories.

What is the broader policy ecosystem the committee operates within?

The Committee complements: (a) Ministry of Women and Child Development (WCD). (b) National Commission for Women. (c) National Policy for Women. (d) Schemes like Beti Bachao Beti Padhao, Mission Shakti, Pradhan Mantri Matru Vandana Yojana, One-Stop Centres, and SHE-Box. (e) State-level Women’s Commissions.

Background Concepts

What are Parliamentary Committees in India?

Parliamentary Committees are panels of MPs appointed to carry out detailed legislative, financial, or thematic work that the full House cannot undertake due to time constraints. They allow specialised, evidence-based deliberation away from the floor of Parliament.

What are the major types of Parliamentary Committees?

(a) Standing Committees — permanent (reconstituted periodically), including:

• Financial Committees — Public Accounts Committee (PAC), Estimates Committee, Committee on Public Undertakings.
• Department-related Standing Committees (DRSCs) — examine ministry-wise demands for grants, bills, and policies.
• Other Standing Committees — e.g., Business Advisory Committee, Privileges Committee, Committee on Empowerment of Women. (b) Ad Hoc Committees — formed for specific tasks, including Select / Joint Committees on Bills, Joint Parliamentary Committees (JPCs) on specific issues.

What is a Joint Parliamentary Committee (JPC)?

A committee composed of members from both Houses of Parliament (Lok Sabha and Rajya Sabha) — typically with a 2:1 ratio in favour of the Lok Sabha. The Committee on Empowerment of Women is one such permanent JPC. Other notable JPCs have been issue-specific (e.g., Securities Scam, Bofors, 2G Spectrum).

Who is the Lok Sabha Speaker?

The presiding officer of the Lok Sabha, elected by its members at the start of each new Lok Sabha. The Speaker: (a) Maintains order in the House. (b) Decides on the admissibility of questions, motions, and points of order. (c) Nominates members to committees. (d) Has the deciding vote in case of a tie.

Who is the Rajya Sabha Chairman?

The Vice-President of India, who is the ex officio Chairman of the Rajya Sabha under Article 64 of the Constitution.

Who is Daggubati Purandeswari?

A senior BJP parliamentarian from Andhra Pradesh — daughter of former CM N.T. Rama Rao. She has served as a Member of Parliament from multiple constituencies and previously held Union Minister of State portfolios.

What is the National Commission for Women (NCW)?

A statutory body established in 1992 under the National Commission for Women Act, 1990. It: (a) Reviews legal and constitutional safeguards for women. (b) Recommends remedial legislative measures. (c) Investigates matters relating to violation of women’s rights. (d) Submits annual and special reports to the Union Government and Parliament.

What is the Nari Shakti Vandan Adhiniyam, 2023?

The 128th Constitutional Amendment Act, which provides for reservation of one-third (33%) of seats in the Lok Sabha and State Legislative Assemblies for women. Its actual implementation is contingent on the next delimitation exercise, which itself depends on the next Census.

What are the major constitutional provisions for women?

(a) Article 14 — Equality before the law. (b) Article 15(1) — Prohibition of discrimination on grounds of sex. (c) Article 15(3) — Special provisions for women. (d) Article 16 — Equality of opportunity in public employment. (e) Article 39(a) and (d) — Equal right to means of livelihood and equal pay for equal work. (f) Article 42 — Just and humane work conditions and maternity relief. (g) Article 51A(e) — Fundamental duty to renounce practices derogatory to women’s dignity.

What is the Ministry of Women and Child Development (WCD)?

The central ministry responsible for holistic development of women and children through laws, policies, schemes, and welfare programmes. Established as a Ministry in 2006 (earlier a Department under the MHRD).

What are key women-focused schemes in India?

(a) Beti Bachao Beti Padhao. (b) Mission Shakti — umbrella scheme for women’s safety, security, empowerment. (c) Pradhan Mantri Matru Vandana Yojana — maternity benefit. (d) One Stop Centres / Sakhi Centres. (e) SHE-Box — online complaint redressal for workplace harassment. (f) Pradhan Mantri Ujjwala Yojana — clean cooking gas for poor women. (g) Pradhan Mantri Jan Dhan Yojana — significant female participation.

Why does Parliament have a dedicated Committee on Empowerment of Women?

Because women’s issues are cross-cutting — spanning safety, education, health, economic participation, political representation, legal rights, and dignity — and require continuous, institutional, cross-ministerial review that executive ministries alone cannot fully deliver.

Practice MCQs

Q1. With reference to the Committee on Empowerment of Women, consider the following statements:

1. It is a Joint Parliamentary Committee of the Indian Parliament.
2. It was first constituted in April 1997, during the 11th Lok Sabha.
3. It comprises 18 Lok Sabha members and 10 Rajya Sabha members.
4. Its tenure does not exceed one year and it is reconstituted annually.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about Parliamentary Committees in India:

1. Standing Committees are reconstituted periodically.
2. Department-related Standing Committees examine demands for grants, bills, and policies.
3. The Public Accounts Committee is one of India’s Financial Committees.
4. Joint Parliamentary Committees include members only from the Lok Sabha.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. Consider the following statements about the National Commission for Women (NCW):

1. It is a statutory body established under the National Commission for Women Act, 1990.
2. It was set up in 1992.
3. It reviews legal and constitutional safeguards for women and recommends remedial measures.
4. It functions under the Ministry of Home Affairs.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about constitutional provisions for women in India:

1. Article 15(3) permits the State to make special provisions for women and children.
2. Article 39(d) provides for equal pay for equal work.
3. Article 42 provides for just and humane work conditions and maternity relief.
4. The Nari Shakti Vandan Adhiniyam was passed as the 128th Constitutional Amendment.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

1. (d) — All four statements are correct.
2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; Joint Parliamentary Committees include members from BOTH Houses (Lok Sabha and Rajya Sabha) — that is what makes them “joint.”
3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the NCW functions under the Ministry of Women and Child Development (WCD), not the Ministry of Home Affairs.
4. (e) — All four statements are correct.

Exam Relevance

Exam	Relevance
UPSC Prelims	GS Paper II — Polity (Parliamentary Committees, NCW, Women’s empowerment); Constitutional provisions
UPSC Mains	GS Paper II — Polity, Governance, Welfare schemes; Issues related to women
BPSC / State PCS	Polity, Welfare, Current Affairs
Banking (RBI Gr B, NABARD)	ESI / Economic and Social Issues — moderate importance
SSC / Insurance / Railway	Static + Current GK on Parliament, Committees, NCW

Banking/Finance

1. Real-time risk scores on cards for digital payments to track fraud

Source: BS

Context of the News

In a major step toward strengthening digital-payment fraud control, the Indian Digital Payment Intelligence Corporation (IDPIC) — newly empowered as the nodal entity for digital payment intelligence — will soon roll out real-time risk scoring of digital bank deposits, much like the credit scores assigned to loan accounts. The development was announced by K. Satyanarayana Raju, MD & CEO of IDPIC, who described the move as Phase 2 of a project conceived by the RBI Innovation Hub (RBIH), the wholly-owned subsidiary of the RBI. Phase 1 had already produced the MuleHunter.AI tool — designed to detect mule accounts (existing bank accounts used by cybercriminals to park or route money from cyber frauds such as digital arrests, impersonation, and investment scams) and to build a suspects registry shared across banks.

Key Highlights

• Purpose: Tackle mule accounts that route money from cyber frauds.
• Project phases:
  • Phase 1: MuleHunter.AI — detection of mule accounts and creation of a suspects registry.
  • Phase 2 (now): Real-time risk scoring of digital deposits.
• Implementing entities:
  • RBI Innovation Hub (RBIH) — conceived the project.
  • IDPIC — will be the nodal organisation to maintain the registry and integrate with banks.
• Integration so far: 6 banks (4 public sector + 2 private sector).
• Operational design:
  • Banks identify mule accounts → info goes into the registry.
  • Registry shared across banks by IDPIC.
  • When new accounts are opened, banks can screen applicants against the registry.
  • If a match is found, banks conduct enhanced due diligence.

About the News

What new measure has been announced for digital payments?

The IDPIC has announced that digital bank deposits will soon be assigned real-time risk scores — similar to credit scores assigned to loan accounts — to help banks identify and stop the use of mule accounts in cyber fraud.

What are “mule accounts”?

Mule accounts are existing bank accounts used by cybercriminals to park and route money from cyber-frauds — including digital arrests, impersonation scams, investment and financial frauds. Often, the account holder is either complicit or has been deceived into renting out account access.

What is the IDPIC?

The Indian Digital Payment Intelligence Corporation is the nodal entity for detecting, preventing, and analysing fraud in India’s rapidly expanding digital payments ecosystem in real time. Its MD & CEO is K. Satyanarayana Raju.

Who developed MuleHunter.AI?

The RBI Innovation Hub (RBIH) — a wholly-owned subsidiary of the RBI — developed MuleHunter.AI, which forms the first phase of the broader mule-account initiative.

How does MuleHunter.AI work?

(a) Banks identify mule accounts based on suspicious transaction patterns. (b) Information about these accounts is fed into a shared suspects registry. (c) The registry is accessible to other banks, allowing them to flag matches when new accounts are being opened. (d) Matching applicants undergo enhanced due diligence.

How many banks are currently integrated?

Six banks — four public sector and two private sector — have been integrated with the registry infrastructure so far. IDPIC will scale this up as the nodal organisation.

What is Phase 2 of the project?

Real-time risk scoring of digital deposits — meaning every digital deposit can be scored on-the-fly to flag suspicious transactions, allowing banks to intervene before fraud proceeds spread further.

What is the urgency of this initiative?

Cyber-fraud losses have mushroomed. Per Lok Sabha data, between FY22 and September 2025, banks reported 5.83 lakh payment frauds involving ₹3,588 crore, with only ₹239 crore recovered — implying a recovery rate of only ~6.7%. Internet banking, credit cards, and debit cards dominate the fraud landscape.

Why are mule accounts the key target?

Because every cyber fraud — phishing, impersonation, fake investments, “digital arrests”, romance scams — ultimately routes money through some bank account. If those routing accounts can be identified, blocked, or flagged before they are used, the entire fraud economy is disrupted at the money-flow choke point.

What is the bigger structural significance?

This represents India’s move toward AI-based, real-time, system-wide fraud intelligence — fitting into the broader Digital Public Infrastructure (DPI) philosophy: just as Aadhaar provides identity, UPI provides payments, AA provides data, IDPIC is meant to provide fraud intelligence as shared digital infrastructure for the financial sector.

Background Concepts

What is the RBI Innovation Hub (RBIH)?

The Reserve Bank Innovation Hub is a wholly-owned subsidiary of the RBI, set up in 2022 in Bengaluru, to foster innovation in the financial services sector. It works on projects spanning digital lending, identity, fraud prevention, financial inclusion, and cross-border payments.

What are some examples of cyber frauds in India?

(a) Digital arrests — scammers impersonate police/CBI/customs to extort victims under threat of fake arrest. (b) Impersonation scams — fake calls from “banks”, “RBI”, “telecom operators” tricking users into sharing OTPs. (c) Investment / financial frauds — fake trading platforms, Ponzi schemes. (d) UPI scams — fake QR codes, request-money traps. (e) Job and lottery scams. (f) Romance and matrimonial scams.

What is KYC and why is it relevant here?

Know Your Customer (KYC) is the regulatory process by which banks and financial institutions verify the identity of their customers — a key safeguard under the Prevention of Money Laundering Act (PMLA), 2002. Strong KYC plus mule-account intelligence prevents fraudulent and synthetic identities from accessing the banking system.

What is the Indian Cybercrime Coordination Centre (I4C)?

A central body under the Ministry of Home Affairs that coordinates India’s response to cybercrime. It runs the Citizen Financial Cyber Fraud Reporting and Management System (CFCFRMS) and the helpline 1930, which allows victims of online financial fraud to report incidents and stop fraudulent transactions in real time.

What is the National Cyber Crime Reporting Portal?

cybercrime.gov.in — an MHA-run portal that allows citizens to report cybercrime, including financial fraud. It is integrated with the 1930 helpline and the CFCFRMS platform.

What is the Financial Intelligence Unit – India (FIU-IND)?

The central national agency responsible for receiving, processing, analysing, and disseminating information relating to suspicious financial transactions to enforcement and intelligence agencies. It functions under the Ministry of Finance.

What is Aadhaar-enabled Payment System (AePS)?

A payment service that allows people to transact using Aadhaar authentication (typically biometric). While transformative for financial inclusion, it has also been targeted by frauds involving stolen biometrics or fingerprint cloning.

Why is real-time risk scoring a powerful tool?

Because traditional fraud detection often kicks in after the fact — by which time funds have been moved through layers of mule accounts. Real-time scoring allows banks to intervene mid-transaction, freezing or flagging suspicious deposits before they propagate.

What is a “suspects registry”?

A shared database of accounts/entities flagged as suspicious based on prior fraud activity, transaction anomalies, or other signals. It allows the financial system to act as a whole rather than each bank operating in isolation — a key principle of systemic fraud intelligence.

What is Digital Public Infrastructure (DPI) and how does fraud intelligence fit in?

DPI refers to open, interoperable digital platforms like Aadhaar (identity), UPI (payments), Account Aggregator (data), ULI (credit), Bhashini (language). A fraud-intelligence platform like IDPIC’s registry can be seen as DPI for risk — a shared safety net across the financial system.

How does this fit with the RBI’s broader fraud-control measures?

The RBI has progressively rolled out measures including: (a) 24-hour cooling period for first-time UPI payments above ₹2,000. (b) Two-factor authentication for card-not-present transactions. (c) Mandatory reporting of frauds by banks within set timeframes. (d) Cybersecurity guidelines for banks and NBFCs. (e) Setting up of CSITE Cell for cyber-security inspections.

Practice MCQs

Q1. With reference to the Indian Digital Payment Intelligence Corporation (IDPIC), consider the following statements:

1. It is the nodal entity for detecting, preventing, and analysing fraud in India’s digital payments ecosystem.
2. It will maintain the suspects registry for mule accounts.
3. The MuleHunter.AI tool was developed by the RBI Innovation Hub.
4. The IDPIC will assign real-time risk scores to digital deposits in Phase 2 of the project.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about mule accounts:

1. They are bank accounts opened in fictitious names only.
2. They are used by cybercriminals to park money from cyber frauds.
3. Cyber frauds like digital arrests, impersonation, and investment scams typically route money through mule accounts.
4. Controlling mule accounts is critical to controlling overall cyber fraud volumes.

Which of the above are correct? (a) 1, 2 and 3 only (b) 2, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to the data on bank-reported payment frauds in India between FY22 and September 2025, consider the following statements:

1. Internet banking and credit cards account for the largest share of fraud value.
2. The total recovery rate of fraud value is around 6.7%.
3. UPI fraud value is the largest among all payment channels.
4. Aadhaar-enabled Payment System (AePS) has the highest fraud volume of all channels.

Which of the above are correct? (a) 1 and 2 only (b) 1, 2 and 4 only (c) 2 and 3 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about India’s cybercrime response architecture:

1. The Indian Cybercrime Coordination Centre (I4C) functions under the Ministry of Home Affairs.
2. The Citizen Financial Cyber Fraud Reporting and Management System (CFCFRMS) and the 1930 helpline are run under I4C.
3. The Financial Intelligence Unit – India (FIU-IND) functions under the Ministry of Finance.
4. The RBI Innovation Hub is a wholly-owned subsidiary of the Reserve Bank of India.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

1. (d) — All four statements are correct.
2. (b) — Statements 2, 3, 4 are correct. Statement 1 is wrong; mule accounts are typically existing bank accounts, often opened in real names — they are used (sometimes by the account holders themselves) to route fraudulent money, not just opened in fictitious names.
3. (a) — Statements 1, 2 are correct. Statement 3 is wrong; UPI fraud value (₹2.13 cr) is among the smallest — internet banking and credit cards dominate. Statement 4 is wrong; AePS is far from the highest in fraud volume — credit cards and internet banking lead in volume.
4. (e) — All four statements are correct.

Exam Relevance

Exam	Relevance
Banking (RBI Gr B, SBI PO, IBPS, NABARD)	Banking & Economy — high importance
SEBI / IRDAI / NABARD Grade A	Financial regulation, fraud prevention

2. NPS launches Retirement Income Schemes

Source: ET

Context:

The Pension Fund Regulatory and Development Authority (PFRDA) has launched the Retirement Income Scheme (RIS) — a life-cycle asset allocation framework for investors who wish to retain the withdrawable portion (60%) of their National Pension System (NPS) corpus with the system rather than withdraw it in a lump sum at retirement. The scheme marks the first major extension of the NPS into the post-retirement “withdrawal phase” — until now, NPS was primarily an accumulation product.

Key Highlights

• Launched by: PFRDA under the Ministry of Finance.
• Scope: Applies to the withdrawable (60%) portion of NPS Tier I corpus; not the mandatory annuity portion (40%).
• Asset allocation — RIS Steady Life Cycle (in %):

Age	Equity (E)	Corporate Bonds (C)	Government Securities (G)
Up to 60	35	10	55
65	25	15	60
70	15	20	65
75	10	20	70
80+	10	15	75

• Two drawdown options:

Feature	SPR (Systematic Payout Rate)	SUR (Systematic Unit Redemption)
Mechanics	% of corpus drawn yearly	Fixed units redeemed periodically
Formula	100 ÷ (End Age − Current Age)	Total units ÷ years ÷ frequency
Example	Age 60, End 85 → 4% in year 1	8,00,000 units / 25y / 12 = ~2,667/month
% over time	Rises each year	Units constant; payout floats with NAV
Sequence risk	Lower	Higher
Inflation response	Partial (rising %)	Limited
Max drawdown end age	85 years	Subscriber-defined

• Annuity surrender — eased norms:
  • Now permitted on critical illness of annuitant or family member.
  • Subject to policy contract terms and ASP discretion.
  • Charges and taxes still apply.
  • Generally not possible in annuity-without-return-of-purchase-price plans.

RIS in the Retirement Income Landscape

How does RIS fit alongside other retirement-income options?

Instrument	Type	Income predictability	Inflation protection	Liquidity
Annuity (NPS / standalone)	Insurance product	Very high (guaranteed for life)	Low (unless increasing annuity)	Very low
RIS — SPR/SUR	Market-linked	Variable (depends on corpus value)	Partial (via equity allocation)	High
Senior Citizens Savings Scheme (SCSS)	Government scheme	High (fixed interest)	Limited	Moderate (5-year tenure)
PMVVY (closed for new entries since 2023)	LIC-backed	High (guaranteed pension)	Nil	Very low
Bank Fixed Deposits	Bank deposit	High in short term	Low	Moderate to high
Debt mutual funds + SWP	Market-linked	Variable	Limited	High
Equity mutual funds + SWP	Market-linked	Variable	Strong over long term	High

What is the typical case for using RIS?

A retiree: (a) Has a stable annuity covering essential expenses (food, healthcare, housing). (b) Wants inflation-linked growth potential for discretionary or contingency spending. (c) Is comfortable with some volatility in monthly/quarterly payouts. (d) Wants to stay within a regulated, low-cost framework (NPS expense ratios are among the lowest globally).

What’s the typical case for skipping RIS?

A retiree: (a) Has no other guaranteed income source — better off maximising annuitisation. (b) Has a very low risk tolerance and cannot manage even modest payout fluctuations. (c) Has significant assets elsewhere and prefers active investment management outside NPS.

Practical decision rules suggested by advisors:

(a) Diversify across instruments — don’t put the entire lump sum into RIS. (b) Combine annuity (income floor) + RIS (inflation hedge) + emergency reserves. (c) Annual review of corpus, payout, and life circumstances. (d) Treat annuity surrender as a last resort even with the eased norms. (e) Choose SPR over SUR if uncertain — better handling of sequence-of-returns risk.

Background Concepts (Q&A) — Compact Recap

What is the NPS?

A defined-contribution, market-linked pension scheme regulated by PFRDA, launched in 2004 for new central government employees, extended to all Indian citizens in 2009. Asset classes: E (Equity), C (Corporate Bonds), G (Government Securities), A (Alternative Investments).

What is the PFRDA?

The Pension Fund Regulatory and Development Authority — statutory regulator of pensions under the PFRDA Act, 2013. Functions under the Ministry of Finance.

What is the standard NPS exit at 60?

Of the corpus: (a) At least 40% → mandatory annuity purchase. (b) Up to 60% → tax-free lump sum withdrawal. The RIS now provides a structured option for the 60% portion.

What is “sequence-of-returns risk”?

The risk that negative returns occur early in retirement, depleting the corpus when withdrawals are simultaneously being made — making recovery much harder. SPR’s annual-reset mechanism handles this better than SUR.

What is “longevity risk”?

The risk of outliving one’s savings. With Indian life expectancy steadily rising, longevity risk is increasingly relevant — and annuities (guaranteed lifelong income) directly address it.

What is the global “4% rule”?

A widely-cited US-origin rule of thumb: withdraw 4% of the retirement corpus in year one, adjusted for inflation thereafter. India’s SPR effectively delivers a similar starting rate (age 60, end 85 → 4% in year 1) but resets the percentage every year.

Practice MCQs

Q1. With reference to the Retirement Income Scheme (RIS) launched by PFRDA, consider the following statements:

1. It applies to the withdrawable portion of the NPS Tier I corpus.
2. The RIS Steady Life Cycle starts with 35% equity at age 60.
3. The Systematic Payout Rate formula is 100 divided by remaining drawdown years.
4. Subscribers can choose a drawdown end age beyond 90 years.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements comparing retirement income instruments in India:

1. Annuities provide guaranteed lifetime income but limited inflation protection.
2. The Systematic Payout Rate (SPR) under RIS handles sequence-of-returns risk better than the Systematic Unit Redemption (SUR).
3. The Senior Citizens Savings Scheme (SCSS) is a government-backed instrument with a fixed interest rate.
4. The Pradhan Mantri Vaya Vandana Yojana (PMVVY) is currently open for new investors with no time limit.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to the easing of annuity surrender norms under NPS, consider the following statements:

1. Surrender is allowed if the annuitant or a family member contracts a critical illness.
2. The surrender decision rests with the Annuity Service Provider, in line with policy terms.
3. Surrender is generally not possible in annuities without return of purchase price.
4. The new rules waive all taxes and charges on surrender.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 3 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about the National Pension System (NPS):

1. NPS is regulated by the PFRDA under the PFRDA Act, 2013.
2. At age 60, at least 40% of the Tier I corpus must be used to purchase an annuity.
3. NPS Tier II accounts have lock-in restrictions identical to Tier I.
4. Asset Class A (Alternative Investments) is one of the four asset classes available in NPS.

Which of the above are correct? (a) 1, 2 and 4 only (b) 1, 3 and 4 only (c) 2 and 3 only (d) 1 and 4 only (e) All four

Answer Key

1. (c) — Statements 1, 2, 3 are correct. Statement 4 is wrong; under SPR, the maximum drawdown end age is 85 years, not beyond 90.
2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; PMVVY was closed for new subscriptions in March 2023 — it is no longer open for new investors.
3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; charges and taxes still apply — they have not been waived.
4. (a) — Statements 1, 2, 4 are correct. Statement 3 is wrong; Tier II accounts are voluntary savings accounts with no lock-in (in general), unlike Tier I which has retirement-age-linked withdrawal restrictions. Tier II offers liquidity-like flexibility.

Exam Relevance

Exam	Relevance
UPSC Prelims	GS Paper I — Indian Economy (Pension, NPS, PFRDA)
Banking (RBI Gr B, SBI PO, IBPS, NABARD)	Banking & Economy — high importance
PFRDA / IRDAI / SEBI / EPFO exams	Core area — NPS, pension regulation
SSC / Insurance / Railway	Static + Current GK on PFRDA, NPS, annuities

3. RBI withdraws IFR requirement for banks maintaining market risk capital

Source: BS

Context:

The Reserve Bank of India (RBI) has issued final amendment directions withdrawing the Investment Fluctuation Reserve (IFR) requirement for banks maintaining a capital charge for market risk under the revised investment portfolio framework — while allowing existing IFR balances to be recognised as Common Equity Tier 1 (CET1) capital after transfer to a reserve or profit account. For regulated entities that will continue under the IFR framework — Urban Co-operative Banks (UCBs), Small Finance Banks (SFBs), Payments Banks, and Regional Rural Banks (RRBs) — the central bank has eased the burden by mandating that the minimum IFR requirement will now be assessed only on balance-sheet dates, rather than on a continuous basis. The amendment finalises proposals from the draft norms released on 8 April 2025 and harmonises IFR-related instructions across regulated entities.

Key Highlights

• Issued by: Reserve Bank of India (RBI).
• Action:
  • Withdrawn — IFR requirement for banks maintaining capital charge for market risk under the revised investment portfolio framework.
  • Eased — for UCBs, SFBs, Payments Banks, RRBs: IFR requirement assessed only on balance sheet dates, not continuously.
• CET1 recognition: Existing IFR balances can be recognised as Common Equity Tier 1 (CET1) capital after transfer to statutory reserve, general reserve, or P&L account.
• Foreign banks in branch mode: Can transfer IFR to:
  • Statutory reserve kept in Indian books, OR
  • Remittable surplus retained in Indian books (not repatriable while operating in India).
• UCB-specific clarification:
  • Excess IFR above threshold can be drawn down below the line at discretion.
  • Accounting treatment under Paragraph 154(3) of investment portfolio directions.
• Stakeholder requests rejected:
  • UCBs (Tier 1/2): No size-based exemption — “all entities are exposed to market risk on MTM investments”.
  • SFBs: Not maintaining market risk capital charge — so don’t meet exemption criteria.
  • RRBs with accumulated losses: Exempting them would make IFR contingent on profitability, defeating its purpose as a countercyclical buffer.
• IDR vs IFR clarified:
  • IDR (Investment Depreciation Reserve): A provision against investment depreciation.
  • IFR (Investment Fluctuation Reserve): A reserve built from investment cycle gains.
  • Both serve distinct purposes.
• SFBs/Payments Banks: Transfers to IFR must be made from net profit after mandatory appropriations.
• Allied news: Gunveer Singh elevated to Executive Director (ED) at RBI (effective 18 May 2026), heading the Department of Payment and Settlement Systems.

About the News (Q&A)

What has the RBI announced?

The RBI has issued final norms that withdraw the IFR requirement for banks that maintain capital charge for market risk and operate under the revised investment portfolio framework. Banks that remain under the IFR framework will now face lighter compliance — assessment only on balance sheet dates.

What is the IFR?

The Investment Fluctuation Reserve is a countercyclical reserve that banks build out of gains in their investment portfolio during favourable phases. The buffer protects banks against losses arising from interest-rate and price fluctuations in their investment book during stressed phases.

Why is the RBI withdrawing it for some banks?

Because banks that already maintain capital charge for market risk (i.e., reserve capital against potential market-risk losses under the Basel III framework) effectively have a more direct, capital-based protection, making the IFR duplicative. The new investment portfolio framework also offers more transparent classification and valuation rules.

Which banks continue under IFR?

(a) Urban Co-operative Banks (UCBs). (b) Small Finance Banks (SFBs). (c) Payments Banks. (d) Regional Rural Banks (RRBs). These categories are not required to maintain capital charge for market risk under existing prudential norms.

What happens to existing IFR balances of exempted banks?

They can be transferred to: (a) Statutory reserve, or (b) General reserve, or (c) Profit and Loss balance. The amount thereafter qualifies as Common Equity Tier 1 (CET1) capital — the highest quality regulatory capital under Basel III.

Why does CET1 status matter?

Because CET1 forms the core of a bank’s regulatory capital. Increasing CET1 capital directly improves a bank’s Capital Adequacy Ratio (CRAR) — making it more resilient and giving it more headroom for lending growth.

What did the RBI clarify for foreign banks?

Foreign banks operating in India in branch mode (not as subsidiaries) can transfer IFR balances to: (a) Statutory reserve kept in Indian books, OR (b) Remittable surplus retained in Indian books, which is not repatriable while the bank operates in India.

Why were UCB and SFB requests rejected?

(a) UCBs: They are not under the market-risk-capital regime and revised investment guidelines — therefore don’t qualify for exemption. The RBI emphasised that size alone is not a basis for exemption, as all banks face MTM (mark-to-market) market risk on investments. (b) SFBs: Higher capital adequacy alone is not the criterion — they don’t maintain specific capital charge for market risk under current norms. (c) RRBs with losses: Exempting them would make IFR contingent on profitability, defeating its purpose as a countercyclical buffer.

Why is the IDR-IFR distinction important?

Because the two serve different functions: IDR: A provision against specific depreciation in the value of investments. IFR: A reserve — a broad countercyclical buffer built during favourable times to absorb shocks during volatile phases. Treating them as interchangeable would dilute prudential standards.

What is the significance for the banking system?

(a) Less duplicative reserving for market-risk-capital banks → unlocks capital for growth. (b) Lighter compliance for smaller banks (UCBs, SFBs, payments, RRBs). (c) Strengthens CET1 capital of larger banks via IFR-to-reserve transfers. (d) Brings Indian norms closer to Basel III and global accounting principles.

About the Allied News — Gunveer Singh’s Appointment

• Appointment: Gunveer Singh has been promoted to Executive Director (ED) of the RBI, effective 18 May 2026.
• New role: He will head the Department of Payment and Settlement Systems.
• Previous role: Chief General Manager-in-Charge of the same department.
• Experience: Over three decades in RBI, with stints across payment systems, banking and non-banking supervision, risk monitoring, and government banking.
• External assignment: Served as payment systems expert at the Central Bank of Oman.
• Qualifications: Chartered Accountant + Cost and Works Accountant.

Background Concepts (Q&A)

What is the Investment Fluctuation Reserve (IFR)?

A reserve banks build out of gains from their investment portfolio during periods of favourable yields and prices, to absorb future losses from market fluctuations. It functions as a countercyclical financial-stability buffer.

What is the Investment Depreciation Reserve (IDR)?

A provision required to cover specific depreciation losses in a bank’s investment portfolio — i.e., mark-to-market write-downs in the value of securities classified as AFS (Available for Sale) or HFT (Held for Trading).

What is “capital charge for market risk”?

A Basel-mandated requirement that banks set aside regulatory capital to cover potential losses arising from adverse movements in market prices — interest rates, equity prices, exchange rates, commodity prices — on their trading book and certain other positions.

What is the revised investment portfolio framework?

The RBI released Master Direction – Classification, Valuation and Operation of Investment Portfolio of Commercial Banks in September 2023, effective April 2024, modernising bank investment-accounting norms in line with Ind-AS principles. Categories: (a) Held to Maturity (HTM) — long-term, valued at cost. (b) Available for Sale (AFS) — mark-to-market through OCI (other comprehensive income). (c) Fair Value Through Profit and Loss (FVTPL) — mark-to-market through P&L.

What is Common Equity Tier 1 (CET1) capital?

Under Basel III, CET1 is the highest quality of regulatory capital — consisting of paid-up equity capital, statutory reserves, retained earnings, and certain other reserves. It is the core loss-absorbing layer of a bank’s capital structure.

What is the Basel III framework?

A global, voluntary regulatory framework developed by the Basel Committee on Banking Supervision (BCBS) after the 2008 financial crisis. It sets standards on bank capital, leverage, liquidity, and risk management — adopted in India by the RBI.

What are the categories of banks under different RBI regulations?

Commercial banks: Public Sector Banks, Private Sector Banks, Foreign Banks, Regional Rural Banks. Co-operative banks: Urban Co-operative Banks (UCBs), State/District Central/Primary Agricultural Credit Societies. Differentiated banks: Small Finance Banks (SFBs), Payments Banks.

What is the difference between Urban Co-operative Banks Tier 1 and Tier 2?

Tier 1 UCBs: Smaller UCBs with deposits up to a specified threshold (currently ₹100 crore) and operations confined to a single district — face less stringent regulatory norms. Tier 2 and above: Larger UCBs facing stricter capital and operational requirements.

What is the Regional Rural Bank (RRB) structure?

RRBs are specialised rural-focused banks owned jointly by the Central Government (50%), the sponsor commercial bank (35%), and the State Government (15%), established under the Regional Rural Banks Act, 1976. They are regulated by the RBI and supervised by NABARD.

What are Small Finance Banks (SFBs) and Payments Banks?

Small Finance Banks: Provide basic banking services to underserved segments (small businesses, marginal farmers, MSEs). Examples: AU SFB, Equitas SFB, Ujjivan SFB. Payments Banks: Provide payment, remittance, and deposit (up to ₹2 lakh) services — but cannot lend. Examples: Paytm Payments Bank, India Post Payments Bank, Airtel Payments Bank.

What is the RBI’s Executive Director (ED)?

A senior management position at RBI, second only to Deputy Governors and the Governor. EDs head specific departments and play a key role in policy formulation, regulation, supervision, and operations.

Practice MCQs

Q1. With reference to the recent RBI directions on the Investment Fluctuation Reserve (IFR), consider the following statements:

1. The IFR requirement has been withdrawn for banks maintaining capital charge for market risk under the revised investment portfolio framework.
2. Existing IFR balances can be transferred to statutory reserve, general reserve, or profit and loss account, qualifying as CET1 capital.
3. For UCBs, SFBs, Payments Banks, and RRBs, the IFR requirement will now be assessed only on balance sheet dates.
4. The RBI has exempted all SFBs and UCBs entirely from the IFR requirement.

How many of the above statements are correct? (a) Only one (b) Only two (c) Only three (d) All four (e) None

Q2. Consider the following statements about the Investment Fluctuation Reserve (IFR) and Investment Depreciation Reserve (IDR):

1. The IFR is a reserve built out of investment portfolio gains as a countercyclical buffer.
2. The IDR is a provision against depreciation in the value of investments.
3. The RBI has clarified that IFR and IDR serve distinct purposes.
4. The IFR is mandatory for all categories of regulated entities under the new directions.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q3. With reference to bank capital and Basel III in India, consider the following statements:

1. Common Equity Tier 1 (CET1) capital is the highest quality of regulatory capital under Basel III.
2. Basel III norms were developed by the Basel Committee on Banking Supervision (BCBS).
3. Capital charge for market risk requires banks to set aside capital for losses arising from market price movements.
4. Regional Rural Banks (RRBs) and Small Finance Banks (SFBs) maintain capital charge for market risk under existing norms.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Q4. Consider the following statements about categories of banks in India:

1. Regional Rural Banks are jointly owned by the Central Government, the sponsor commercial bank, and the State Government.
2. Small Finance Banks are regulated by the RBI and provide basic banking services to underserved segments.
3. Payments Banks can accept deposits up to ₹2 lakh per customer but cannot lend.
4. Urban Co-operative Banks are regulated solely by the Registrar of Co-operative Societies.

Which of the above are correct? (a) 1, 2 and 3 only (b) 1, 3 and 4 only (c) 2 and 4 only (d) 1 and 4 only (e) All four

Answer Key

1. (c) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the RBI has not exempted SFBs and UCBs entirely from IFR — it has only eased the assessment frequency for these categories.
2. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; the IFR has been withdrawn for banks maintaining capital charge for market risk under the revised framework — so it is not mandatory for all categories.
3. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; RRBs and SFBs do not maintain capital charge for market risk under existing norms — which is precisely why they remain under the IFR framework.
4. (a) — Statements 1, 2, 3 are correct. Statement 4 is wrong; UCBs are under dual regulation — by the RBI (for banking functions) and the Registrar of Co-operative Societies (for co-operative functions), not solely by the RCS.

Facts To Remember

1. Cabinet Approves Ahmedabad–Dholera Rail Project and Nagpur Airport Modernisation

The Cabinet Committee on Economic Affairs chaired by Narendra Modi approved the Rs. 20,667 crore Ahmedabad–Dholera semi high-speed rail project in Gujarat. The 134 km double-line corridor will use indigenous technology with speeds up to 220 kmph and is targeted for completion by 2030–31. The Union Cabinet also approved modernisation of Dr. Babasaheb Ambedkar International Airport under the PPP model.

2. India Assumes Chairmanship of Global IT Security Standards Body CCDB

India assumed the chairmanship of the Common Criteria Development Board (CCDB) for the 2026–2028 term during the CCRA meeting held in Tokyo, Japan. The leadership role highlights India’s growing influence in global IT security standards and certification systems. India has been a member of the Common Criteria Recognition Arrangement since 2013 through MeitY and the STQC Directorate.

3. Tripura Becomes First State to Complete Deregulation Phase I and II

Tripura became the first Indian state to complete all 51 priority reforms under Deregulation Phase I and II. The reforms focused on simplifying governance, reducing regulatory burden, and improving ease of doing business across sectors like labour, tourism, industries, environment, and digital governance. The initiative strengthened technology-driven governance and administrative efficiency in the state.

4. Indian Army and Indian Navy Sign MoA for Inter-Service Cooperation

The Indian Army and Indian Navy signed a Memorandum of Association in New Delhi to enhance operational cohesion and jointness among the armed forces. The agreement focuses on professional exchanges, coordinated operations, and cross-domain cooperation. It also supports future-ready multi-domain operations and protection of territorial and maritime interests.

India Hosts Kimberley Process Intersessional Meeting 2026 in Mumbai

India hosted the Kimberley Process Intersessional Meeting 2026 in Mumbai under its chairship for the year 2026. The meeting focused on conflict diamond prevention, transparency, responsible diamond trade, and strengthening the Kimberley Process Certification Scheme. Participants discussed the “3Cs” framework — Credibility, Compliance, and Consumer Confidence — to promote responsibly sourced diamonds globally.

Ministry of AYUSH Signs MoU with BHASHINI Division

The Ministry of AYUSH signed an MoU with Digital India BHASHINI Division to strengthen multilingual access to Ayush healthcare services. The collaboration will integrate AI-powered language technologies across Ayush digital platforms in all 22 scheduled Indian languages. The initiative aims to improve healthcare outreach, language accessibility, and AI-enabled wellness communication.

5. India’s First AI-Powered Combat Aircraft ‘Kaal Bhairava’ to be Manufactured in Portugal

Flying Wedge Defence & Aerospace announced that its AI-powered unmanned combat aircraft “Kaal Bhairava” will be manufactured at its new international facility in Portugal. The project is being developed with European company SKETCHPIXEL under “Operation 777”. The indigenous combat aircraft is designed as a MALE autonomous platform with 3,000 km range and over 30 hours endurance.

6. EU Becomes India’s Third Largest Seafood Export Market in FY26

The Ministry of Commerce and Industry announced that the European Union became India’s third-largest seafood export market in FY26 after the USA and China. India’s seafood exports to the EU reached USD 1.593 billion, accounting for 18.94% of total export value. India also strengthened compliance systems to meet EU regulations on antimicrobial use and food safety standards.

7. UN Global Forest Goals Report 2026 Highlights Fuelwood Demand as Key Driver of Forest Loss

The United Nations released the Global Forest Goals Report 2026 during the UN Forum on Forests session in New York. The report identified rising fuelwood demand and agricultural expansion as major causes of global forest loss, especially in Africa and South America. Global forest cover declined from 4.18 billion hectares in 2015 to 4.14 billion hectares in 2025.

8. IDFC FIRST Bank Launches Business Multiplier Metal Credit Card

IDFC FIRST Bank launched the FD-backed Business Multiplier Metal Credit Card for entrepreneurs, startups, and MSMEs. The premium business card offers assured credit limits linked to fixed deposits, zero forex markup, and business expense management features. It also supports UPI payments, SaaS subscriptions, and employee spending controls.

9. ICICI Bank and Visa Launch India’s First USD-Denominated Debit Card for NRIs

ICICI Bank and Visa launched India’s first USD-denominated debit card for NRIs through GIFT City. The card enables direct spending in US dollars without forex markup charges and reduces exposure to rupee volatility. Built on the Visa Infinite platform, it also offers premium travel and lifestyle benefits.

10. Morgan Stanley Raises India’s GDP Growth Forecast for FY27

Morgan Stanley revised India’s FY27 GDP growth forecast upward to 6.7% from its earlier estimate of 6.2%. The report projected FY28 GDP growth at 7% while estimating inflation at 4.7% due to higher production costs and rupee weakness. Global economic growth for 2026 was projected to moderate to 3.2%.

11. L&T Partners with France’s Exail for Mine Countermeasure Systems

Larsen & Toubro partnered with Exail Technologies to develop advanced unmanned mine countermeasure systems for the Indian Navy. The partnership will provide autonomous and remotely operated systems for naval mine detection and neutralisation. L&T will act as the prime contractor while Exail will provide technology support.

12. Russia Successfully Tests RS-28 Sarmat Missile

Russia successfully tested the RS-28 Sarmat intercontinental ballistic missile from the Plesetsk cosmodrome. Russian President Vladimir Putin described it as the world’s most powerful missile system. The missile is capable of carrying multiple nuclear warheads and Avangard hypersonic glide vehicles over extremely long ranges.

13. Veteran CPI(M) Leader Sudhanshu Sil Passes Away

Veteran CPI(M) leader and former MP Sudhanshu Sil passed away at the age of 81 in Kolkata, West Bengal. He served as a Kolkata Municipal Corporation councillor for five terms and later represented Calcutta North West constituency in the 14th Lok Sabha. He also served as MLA from Jorabagan constituency in West Bengal.

14. International Day of Living Together in Peace 2026 – May 16

International Day of Living Together in Peace 2026 was observed globally on May 16 to promote peace, inclusion, tolerance, and solidarity. The 2026 theme was “Building Trust through Dialogue, Inclusion and Reconciliation”. The observance was established by the UN General Assembly through Resolution 72/130 in 2017.

15. Karnataka Launches India’s First Integrated Portal for Monitoring NSQ and NDPS Drugs

The government of Karnataka launched India’s first integrated monitoring portal to track NSQ medicines and regulate NDPS drug sales. Developed by the Karnataka FDA Department, the portal enables real-time tracking, automatic freezing, and recall of substandard medicines. It also monitors prescription details to detect misuse and suspicious sales of narcotic medicines.