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Budget 2025-26 & Economic Policy

  • Finance Minister Nirmala Sitharaman presented the budget for the 8th time on February 1.
  • Goals of "Viksit Bharat" (Developed India):
    • Freedom from poverty.
    • 100% schooling.
    • Excellent, affordable, and accessible healthcare facilities.
    • 100% skilled workforce.
    • 70% female participation in economic activity.
    • India as the "Food Basket of the World."
  • Four Engines for the Budget 2025-26 Journey: Agriculture, MSME, Investment, Export.
  • Fuel (Eedhan): Reforms.
  • Guidance (Margdarshak): Inclusivity.
  • Destination (Gantavya): Viksit Bharat.

Agricultural Initiatives

  • PM Dhan Dhanya Krishi Yojana: Launched in 100 districts to increase agricultural productivity, aiming to benefit 1.7 crore farmers.
  • Dalhan Aatmanirbharta Mission (Self-reliance in Pulses): A 6-year mission focusing on Tur (Arhar), Urad, and Masoor pulses.
  • Makhana Board: To be established in Bihar.
  • Cotton Production Mission: A 5-year mission to promote quality cotton production.
  • Kisan Credit Card (KCC) Limit: Increased from ₹3 lakh to ₹5 lakh.
  • Urea Plant: To be established in Namrup, Assam, with a production capacity of 12.7 lakh metric tons.

MSME (Micro, Small, Medium Enterprises) Reforms

  • Revised MSME Definition:
    • Investment: Micro (Up to ₹2.5 crore), Small (Up to ₹25 crore), Medium (Up to ₹125 crore).
    • Turnover: Micro (Up to ₹10 crore), Small (Up to ₹100 crore), Medium (Up to ₹500 crore).
  • Credit Card for Micro Enterprises: ₹5 lakh limit, available on the Udhyam Portal.
  • National Manufacturing Mission: To boost manufacturing in footwear, toy, and food processing industries.

Investment & Innovation

  • Atal Tinkering Labs: 500 new labs to be established in government schools over the next 5 years.
  • Indian Language Book Scheme: Digital books in Indian languages for school and higher education, accessible online.
  • National Skill Excellence Centers: Five centers to be established for "Make for India" and "Make for the World."
  • AI in Education: ₹500 crore allocated for an AI Excellence Center.

Healthcare

  • Cancer Care: Cancer medicines made cheaper; every district hospital will have a Day Care Cancer Center within three years.

Infrastructure & Environment

  • Jal Jeevan Mission: Extended till 2028.
  • Maritime Development Fund: Government to contribute 49%.
  • UDAN Scheme: 120 new destinations to be explored for connectivity over the next 10 years.
  • Bihar Projects: Greenfield Airport and West Kosi Canal Project in Mithilanchal region.

Culture & Heritage

  • Gyan Bharatam Mission: To conserve over 1 crore handwritten manuscripts.

Export Sector

  • Bharat Trade Net Platform: Launched to improve supply chain efficiency for exports.

Financial Reforms & Data (Budget 2025-26)

  • FDI Limit in Insurance Sector: Increased from 74% to 100%.
  • Fiscal Deficit (as % of GDP):
    • 2024-25 (Estimated): 4.8%
    • 2025-26 (Estimated): 4.4%
  • Tax Exemption: 36 life-saving drugs (for rare diseases, cancer, serious illnesses) exempted from tax.
  • New Income Tax Regime: A new Income Tax Bill to be introduced, replacing the 1961 bill.
  • New Income Tax Slabs (up to ₹12 lakh tax-free):
    • ₹0-4 lakh: 0%
    • ₹4-8 lakh: 5%
    • ₹8-12 lakh: 10%
    • ₹12-16 lakh: 15%
    • ₹16-20 lakh: 20%
    • ₹20-24 lakh: 25%
    • Above ₹24 lakh: 30%
  • Where the Rupee Comes From (Top 3):
    1. Borrowings: 24%
    2. Income Tax: 22%
    3. GST: 18%
  • Where the Rupee Goes (Top 2 Expenses):
    1. States' Share in Taxes & Duties: 22%
    2. Interest Payments: 20%
  • Top Spending Sectors (Ranked):
    1. Defence
    2. Rural Development
    3. Home Ministry
    4. Agriculture & Allied Sectors

International Current Affairs

  • NASA & IBM AI Model "Surya":
    • Developed by NASA and IBM to predict solar storms 2 hours in advance.
    • The model utilizes 4 years of past data for prediction.
    • India's Aditya L1 Mission was launched by PSLV C57 to the L1 Lagrange point.
  • World Competitiveness Ranking 2025 (IMD):
    • India's Rank: 41st (out of 69 countries).
    • Previous Rank (2024): 39th.
    • Top Country: Switzerland; 2nd: Singapore.
  • Kerala's Digital Literacy:
    • Kerala declared India's first 100% digitally literate state on August 21.
    • Definition: At least one person in a family knows how to operate a computer and use the internet.
    • Program: "Digi Keralam".
    • Kerala recognized internet as a basic necessity.
    • Mizoram is India's first fully functionally literate state (achieved through the "ULLAS" program).
  • NATO's Logistics Headquarters:
    • Established in Enköping city, Sweden.
    • Purpose: Strengthen security and deterrence capabilities as a backup plan.
    • Sweden became NATO's 32nd member in 2024.
    • NATO (North Atlantic Treaty Organization) formed in 1949, with headquarters in Brussels, Belgium.
    • Article 5: An attack on one member is an attack on all.
    • Current Head: Mark Rutte.
  • India-China Trade via Lipulekh Pass:
    • India and China agreed to resume trade via Lipulekh Pass (Uttarakhand).
    • India rejected Nepal's claim over Lipulekh Pass.
    • The dispute with Nepal is over the Mahakali (Sharda) river, which changes its course.
  • Iran's "Sustainable Power 10404" Missile Exercise:
    • A missile exercise launched by Iran to demonstrate its naval capabilities.
    • Conducted in the Oman Sea and Northern Indian Ocean amidst ongoing regional tensions.
    • India conducted "Operation Sindh" to evacuate stranded Indians from Iran.

National Current Affairs

  • Lalit Kala Akademi Award:
    • Awarded to Premchand Pukhrambam, a sculptor from Manipur, for his sculpture "Made Me Change."
    • Lalit Kala Akademi was established in 1954, with its headquarters in New Delhi, and founded by Maulana Abul Kalam Azad.
    • Manipur is currently under President's Rule; Governor: Ajay Kumar Bhalla.
  • Olive Ridley Turtles Conservation (Tamil Nadu):
    • Tamil Nadu announced the second Marine Elite Force in Chennai to protect Olive Ridley turtles. The first force was in Ramanathapuram.
    • Olive Ridley turtles come to Odisha (Gahirmatha, Rushikulya Beach) for mass nesting, known as Arribada.
    • The force aims to prevent illegal fishing nets that harm turtles.
  • Pampa River Conservation (Kerala):
    • The Central government will include the Pampa River (Kerala) under the National River Conservation Plan (NRCP), which started in 1995 to prevent river pollution.
    • Pampa River is considered the "Ganga of Kerala" or "Southern Bhagirathi" and is sacred for pilgrims visiting Sabarimala Temple.
    • Other important Kerala rivers include Bharathapuzha and Periyar (on which the Idukki Dam is built).
  • Indian Boxing Federation President:
    • Ajay Singh re-elected for the third consecutive time.
    • General Secretary: Pramod Kumar.
  • Notable Mentions:
    • Minerals classified as major minerals: Mica, Barytes, Feldspar, Quartz.
    • First International Conference on Carbon Market (Prakriti) in Delhi.
    • First Indian film to win John Cassavetes Award (USA): "Girls Will Be Girls."
    • Robotic Moon Lander Athena by Intuitive Machines.
    • DRDO/Indian Navy's first anti-ship missile: NASM-SR.
    • NASA's Punch Mission is for the Sun.
    • SAP Global Sustainability Ranking: Yes Bank (only Indian bank included).
    • USA designated English as its official language.
    • Desert Hunt 25 (Tri-service exercise) in Rajasthan.
    • "Diya Salai" autobiography by Kailash Satyarthi.
    • First quantum chip Ocelot by Amazon.
    • First urban body focusing on climate budget: Ahmedabad.
    • Vanatara (Animal welfare) by Anant Ambani in Gujarat.
    • Khelo India Para Games 2025 in Delhi (mascot Ujjwala).
    • Sharath Kamal (table tennis) retired from international career.
    • Shaurya Vedna Utsav in Bihar.
    • 24th World Sustainable Development Summit 25 in Delhi.
    • Chapchar Kut festival in Mizoram.
    • India's first commercial space surveillance satellite: Digantara.
    • RISE app for child immunization launched by Uttar Pradesh.
    • Assam is to launch its own satellite.
    • Grand Commander of the Indian Ocean, the highest honor of Mauritius, was awarded to the Prime Minister.
    • Corpat Bongosagar exercise was held between India and Bangladesh.
    • Champa Raspeda of Odisha's Didai tribe became the first to pass NEET 2025.