Geopolitical Flashpoint: Red Sea Security
- Conflict Actors: Houthi rebels, allegedly supported by Iran, executing attacks against commercial maritime traffic.
- Target Zone: Primarily the Bab el-Mandeb Strait, a critical narrow gateway connecting the Red Sea to the Gulf of Aden.
- Economic Impact:
- Significant diversion of container shipping traffic away from the Suez Canal route.
- Increase in transit time by approximately 10–14 days due to vessels opting for the longer Cape of Good Hope route.
- Maritime insurance premiums for war risk coverage have sharply escalated.
- Response: The multinational coalition "Operation Prosperity Guardian" (OPG), led by the US, was deployed to safeguard international shipping lanes in the region.
Central Bank Monetary Policy Review
- Repo Rate: Maintained unchanged at 6.5% during the recent review, marking the sixth consecutive pause.
- Inflation Outlook: Projections suggest consumer price index (CPI) inflation will average 5.0% for the current fiscal year.
- Growth Forecast: Gross Domestic Product (GDP) growth forecast upgraded to 7.0% for the next fiscal year, citing strong domestic demand and investment uptick.
- Liquidity Management: Focus shifted towards calibrated withdrawal of accommodation to manage excess liquidity in the banking system without tightening credit conditions abruptly.
Key International Appointments and Indices
| Category | Person/Entity | Position/Metric | Details/Rank |
|---|---|---|---|
| Appointment | Claudia Sheinbaum | President-Elect | First female president of Mexico (2024 Election). |
| Appointment | Ajay Banga | President | World Bank Group. |
| Index | Ease of Doing Business Index | Major Change | Discontinued by the World Bank in 2021 due to internal irregularities and data manipulation concerns. |
| Report | Global Hunger Index (GHI) | Calculation Basis | Based on four key components: Undernourishment, Child Wasting, Child Stunting, and Child Mortality. |
National Scientific Development: Gaganyaan Mission
- Objective: India’s first human spaceflight mission.
- Timeline: Target launch window tentatively set for 2025.
- Key Components:
- Development of the indigenous heavy-lift launch vehicle, Launch Vehicle Mark-3 (LVM3).
- Successful execution of Flight Test Vehicle Abort Mission-1 (TV-D1) to demonstrate crew escape capabilities.
- Training: Astronaut trainees are undergoing specialized module training in designated centers focused on survival, recovery, and medical protocols.