BANKING | ECONOMY CURRENT AFFAIRS
RBI Releases Payments Vision 2028
- Reserve Bank of India released Payments Vision 2028 under theme “Shaping India’s Payment Frontier”, outlining a roadmap to strengthen digital payments ecosystem of India by December 2028. The plan includes 15 initiatives focusing on fraud prevention, user empowerment, cross-border payment efficiency and ease of doing business (EDB), while supporting MSMEs.
- Key Measure Include: Expanding “switch on/off” facility earlier limited to cards to UPI, wallets and other digital modes to prevent unauthorized transactions. Payments Switching Service (PaSS) will enable seamless transfer of payment mandates when customers change banks.
- Shared Responsibility Framework: It will make both issuing and beneficiary banks accountable for digital fraud.
- Reforms enhances Trade Receivables Discounting System (TReDS) interoperability to improve MSME financing and introduce electronic cheques (e-cheques) for faster digital transactions.
RBI Imposes $100 Million Cap on Net Open Position (NOP) to Stabilise Rupee
- Reserve Bank of India (RBI) imposed $100 million cap on banks’ Net Open Position (NOP) in foreign currency per day to restrict sharp depreciation of Indian rupee amid rising oil prices and geopolitical tensions in West Asia. Banks must comply by 10 April 2026, shifting from earlier limits allowing exposure up to 25% of bank capital.
- Objective: To stabilise the rupee, which fell to record lows of ₹94.8 per dollar, declining about 4% due to Iran–West Asia conflict 2026 and heavy foreign investor outflows.
- RBI has moved from direct dollar intervention to regulatory tightening to preserve forex reserves, which dropped by over $30 billion to $698.34 billion.
- Fear of Banks: Mark-to-market losses as they may need to unwind $11–15 billion in positions, reducing currency arbitrage income.
- What is Net Open Position (NOP)? It measures the difference between a bank’s foreign currency assets and liabilities, reflecting its exposure to exchange-rate fluctuations.
INTERNATIONAL CURRENT AFFAIRS
WTO 14th Ministerial Conference (MC14): Key Developments and Deadlock
- The 14th Ministerial Conference (MC14) of World Trade Organization was held in Yaoundé, Cameroon from 26–29 March.
- Participants: Ministers from WTO’s 166 member countries discussed challenges and future priorities of the multilateral trading system.
- Key outcomes: Adoption of decisions to improve integration of small economies into global trade and strengthen implementation of special and differential treatment provisions in Sanitary and Phytosanitary (SPS) and Technical Barriers to Trade (TBT) agreements. Ministers also agreed to continue negotiations on fisheries subsidies, with aim to finalize comprehensive disciplines by MC15 under Agreement on Fisheries Subsidies.
- About WTO: Established in 1995, the WTO evolved from General Agreement on Tariffs and Trade (GATT), regulating trade in goods, services and intellectual property. It provides a forum for negotiations, dispute settlement and monitoring global trade rules.
- The Ministerial Conference: It is WTO’s highest decision-making body, mandated under Marrakesh Agreement Establishing the WTO to meet every two years.
DEFENCE CURRENT AFFAIRS
Indian Air Force to Equip MiG-29 Jets with Advanced ASRAAM Missiles
- Indian Air Force plans to integrate Advanced Short Range Air-to-Air Missile (ASRAAM) on its MiG-29UPG fighter jets, replacing ageing R-73 missile to strengthen close-combat air capabilities against regional threats.
- ASRAAM: Developed by MBDA is a fourth-generation, heat-seeking “fire-and-forget” missile with a range exceeding 25 km, speed above Mach 3, 2.9 m length, 88 kg weight, and a high-explosive warhead.
- A 2021 agreement between MBDA and Bharat Dynamics Limited enables local assembly and testing in Hyderabad. The missile is already integrated on HAL Tejas and SEPECAT Jaguar fighters.
- India operates 55 MiG-29s (including 8 trainers), inducted in 1987 after procurement from Soviet Union. The UPG upgrade (2009, $900 million) added Zhuk-ME radar and advanced avionics. The fleet is expected to retire around 2033–2037, with HAL Tejas Mk2 planned as its replacement.
ENVIRONMENT CURRENT AFFAIRS
Great Indian Bustard Chick Born in Gujarat After a Decade
- A Great Indian Bustard (GIB) chick (locally called “Ghorad”), was born in the Abdasa region of Kutch, Gujarat, marking the first birth in the region after a decade under a “jumpstart” conservation initiative.
- Initiative By: The effort involved Union Ministry of Environment, Forest and Climate Change, Gujarat and Rajasthan Forest Departments, and Wildlife Institute of India.
- As only three female GIBs remained in Kutch, a 15–16 day incubated egg was transported 770 km from Rajasthan in a shock-proof incubator. GIB eggs typically hatch in about 22 days.
- Government Initiative: Under Project Great Indian Bustard (launched 2016), captive breeding centres at Sam and Ramdevra (Rajasthan) now hold 73 birds.
- Great Indian Bustard species (Ardeotis nigriceps) is Rajasthan’s state bird. It is critically endangered, with fewer than 150 individuals remaining in the wild across Rajasthan, Gujarat, Maharashtra, Karnataka and Andhra Pradesh.
Cabinet Approves India’s NDC for 2031–2035: Higher Climate Ambition
- Union Cabinet chaired by PM approved India’s updated Nationally Determined Contribution (NDC) 2031–2035 under Paris Agreement of United Nations Framework Convention on Climate Change (UNFCCC).
- India’s Pledge: To reduce emissions intensity of GDP by 47% from 2005 levels by 2035, achieve 60% installed electric power capacity from non-fossil fuel sources, and create a carbon sink of 3.5 to 4 billion tonnes of CO₂ through forest and tree cover.
- What are NDCs? They are national climate plans submitted under Paris Agreement to limit global warming well below 2°C and ideally 1.5°C. Countries must update and strengthen NDCs every five years.
- India’s earlier 2015 NDC targets for 2030– 33–35% emissions intensity reduction and 40% non-fossil capacity were achieved ahead of schedule. By Feb 2026, non-fossil capacity reached 52.57%, while emissions intensity fell 36% (2005–2020). Climate actions are implemented through National Action Plan on Climate Change and State Action Plans.
World Air Quality Report 2025: Loni (UP) Ranked Most Polluted City Globally
- World Air Quality Report 2025 by Swiss firm IQAir ranked Loni (Uttar Pradesh) as the world’s most polluted city, with an annual average PM2.5 level of 112.5 µg/m³, over 22 times World Health Organization guideline of 5 µg/m³. Delhi ranked 4th, and India became 6th most polluted country.
- Key Findings: Among top 10 most polluted cities, five are in India– Loni, Byrnihat, Delhi, Ghaziabad and Ula. The 25 most polluted cities globally are all in India, Pakistan and China. Pakistan ranked as the most polluted country, followed by Bangladesh, Tajikistan, Chad and Congo.
- The report analysed 9,446 cities in 143 countries. Only 14% of global cities met WHO air quality guidelines. Major pollution sources include vehicle emissions, industrial pollution, crop residue burning and construction dust, while wildfires intensified by climate change significantly worsened global air quality.
India Emerges as Global Leader in Issuing IRCCs under Nagoya Protocol
- India has emerged as global leader in issuing Internationally Recognized Certificates of Compliance (IRCCs) under Nagoya Protocol on Access and Benefit-sharing (ABS), as per Ministry of Environment, Forest and Climate Change.
- Achievement: India has issued 3,561 IRCCs out of 6,311 globally (over 56%), recorded on ABS Clearing-House platform. Only 34 of 142 registered countries have issued such certificates; major contributors after India include France (964), Spain (320), Argentina (257), Panama (156) and Kenya (144).
- IRCCs certify that Prior Informed Consent (PIC) and Mutually Agreed Terms (MAT) are established for use of genetic resources, ensuring fair benefit-sharing with provider countries and local communities.
- About Nagoya Protocol: It was adopted in 2010 in Nagoya, Japan and effective 2014. It supplements the Convention on Biological Diversity. India signed it 2011, ratified 2012, and implements it through Biological Diversity Act, 2002, with National Biodiversity Authority (Chennai) as the nodal body.
STATES CURRENT AFFAIRS
Nagaland’s Morung Learning System: Blending Tradition with Modern Education
- During 132nd edition of Mann Ki Baat, PM Narendra Modi praised the Naga community for preserving cultural heritage while integrating modern education through Morung learning system in Nagaland.
- About Morung: It is a traditional community-based indigenous education system of Naga tribes that historically functioned as a youth dormitory and learning space, where elders transmitted knowledge of history, customs, warfare skills, ethics, folklore and community values through storytelling and shared experiences.
Key features:
- Elder-led learning through oral traditions, storytelling, folk songs and traditional games.
- Integrated curriculum blending traditional knowledge with modern education.
- Experiential cultural pedagogy promoting holistic development and preservation of tribal heritage.
AWARDS & EVENTS CURRENT AFFAIRS
RBI Foundation Day: 1 April
- Every April 1 marks the Foundation Day of Reserve Bank of India (RBI), established in 1935 under Reserve Bank of India Act, 1934 based on recommendations of the Hilton Young Commission (1926).
- History: Initially headquartered in Kolkata, it shifted to Mumbai in 1937 and was nationalised in 1949. The first Governor was Sir Osborne Smith, while C. D. Deshmukh became the first Indian Governor.
- Function: RBI is India’s central bank, responsible for monetary policy, inflation control, currency issuance, banking regulation and foreign exchange management under the Foreign Exchange Management Act, 1999. It is governed by a Central Board of Directors with Governor, up to four Deputy Governors and government-nominated directors.
- RBI’s Recent initiatives: include stronger digital payment security, introduction of e-cheques, and MuleHunter.AI to detect mule accounts and prevent digital fraud and money laundering.