International Economic Groupings: G20 New Delhi Declaration
- Global Biofuel Alliance (GBA): Launched during the summit.
- Objective: Accelerate global adoption of biofuels by facilitating technical cooperation and standard setting.
- Founding Members include the United States, Brazil, and India.
- India-Middle East-Europe Economic Corridor (IMEC): Proposed multinational rail and shipping network.
- Aims to enhance connectivity and boost economic integration between Asia, the Arabian Gulf, and Europe.
- Expected to significantly reduce transit times and costs compared to existing routes.
- Climate Finance Commitment: Reaffirmed commitment to the $100 billion annual climate finance goal (developed countries to developing countries).
- Digital Public Infrastructure (DPI): Emphasis placed on leveraging DPI for financial inclusion, particularly focusing on digital identity, real-time payment systems, and data exchange layers.
- Reform of Multilateral Development Banks (MDBs): Agreed upon the need for MDBs to broaden their scope to address 21st-century challenges like climate change and pandemics, alongside poverty eradication.
Key Financial Policy Updates (Q3/Q4 Review)
| Indicator/Policy | Previous Rate/Stance | Current Rate/Stance | Impact/Rationale |
|---|---|---|---|
| Repo Rate | 6.50% | 6.50% (Unchanged) | Focus remains on withdrawing accommodation to align inflation with the target range of 4%. |
| Standing Deposit Facility (SDF) | 6.25% | 6.25% (Unchanged) | Liquidity management tool; reflects stable systemic liquidity levels. |
| Retail Inflation (CPI) | 7.44% (Peak) | 5.02% (Latest) | Recent softening is attributed primarily to easing food price volatility. |
| GDP Projection (FY 2023-24) | 6.5% | 6.5% (Maintained) | Supported by resilient domestic demand and robust capital expenditure. |
- Unsecured Personal Loans: Regulatory increase in risk weighting for banks and NBFCs on unsecured consumer credit exposure (by 25 basis points). This measure aims to curb potential overheating in this segment.
- OIS (Open Market Operations): No immediate decision on open market sales of government securities, maintaining flexibility based on evolving liquidity conditions.
Science and Technology: ISRO Mission Updates
- Aditya-L1 Mission: India’s first dedicated solar observatory mission.
- Orbit: Successfully inserted into a halo orbit around the Sun-Earth Lagrange Point 1 (L1).
- Distance: Approximately 1.5 million kilometers from Earth.
- Payloads: Carries seven distinct scientific payloads, four for remote sensing of the sun, and three for in-situ measurements at the L1 point.
- Primary Objective: To study the solar corona, solar flares, coronal mass ejections (CMEs), and space weather.
- Gaganyaan Program Status:
- Testing: Successfully completed the Flight Test Vehicle Abort Mission (TV-D1).
- Goal: Demonstrate the safe emergency abort sequence for the crew escape system during the ascent phase.
- Milestone: Key step towards ensuring astronaut safety for the manned mission phase planned subsequently.