Business, Economy & Banking Current Affairs MCQs

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The Sovereign Gold Bond (SGB) scheme was introduced by the government as an alternative to physical gold investment. Issued by the Reserve Bank of India on behalf of the government, each bond unit represents one gram of gold. Investors earn fixed interest and can redeem bonds at market value upon maturity. The scheme has faced scrutiny due to high financing costs and reduced issuance as the government shifts focus to other investment strategies.

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India and ADB signed a $350 million policy-based loan under the Strengthening Multimodal and Integrated Logistics Ecosystem (SMILE) programme. SMILE aims to implement wide-ranging reforms in India’s logistics sector. The programme adopts a two-phase approach to boost manufacturing and strengthen supply chain resilience. It involves collaboration with the Department of Economic Affairs (DEA), the Department for Promotion of Industry and Internal Trade (DPIIT), and ADB. The initiative seeks to modernise logistics, promote multimodal infrastructure, and enhance India’s trade and industrial growth.

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In 2024, Bangladesh remained the top source of foreign tourist arrivals in India, despite a decline due to political instability, with arrivals dropping from 23.7% to 20.77%. India welcomed 6.19 million foreign tourists in the first eight months of 2024, while countries like Thailand and Malaysia outpaced India significantly in attracting tourists. The US and UK also contributed notably to India’s tourism growth, indicating the potential for further revenue generation in the sector as India seeks to improve its tourism infrastructure and marketing strategies.

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The Ministry of Statistics and Programme Implementation (MoSPI) conducted two consecutive Household Consumption Expenditure Surveys (HCES) after the Covid-19 pandemic. The first survey spanned August 2022 to July 2023, with summary results released in February 2024 and a detailed report in June 2024. The second survey covered August 2023 to July 2024, with its summary results published as a factsheet on the MoSPI website. The latest Household Consumption Expenditure Survey (HCES) indicates that the average Monthly Per Capita Consumption Expenditure (MPCE) gap between urban and rural areas decreased to 69.7% in 2023-24 from 71.2% in the previous year. This decline reflects improved consumption growth in rural regions, influenced by government support and post-COVID recovery. The survey covered 261,953 households and provides critical data for understanding poverty and inequality in India.

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India has the third-largest operational metro rail network globally, after China and the USA. India’s metro network serves over 1 crore passengers daily, surpassing Japan in metro projects by 2022. Metro development in India began in 1969 with the Metropolitan Transport Project. PM Modi launched metro projects worth over ₹12,200 crore in Delhi on January 5.

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The government shifted revenue secretary Arunish Chawla to the Department of Investment and Public Asset Management (DIPAM) ahead of the Union Budget. Tuhin Kanta Pandey, the DIPAM Secretary, is now appointed as the new revenue secretary and designated finance secretary. Chawla, a 1992-batch IAS officer from Bihar, was previously Secretary in the Department of Pharmaceuticals. Pandey, a 1987-batch IAS officer from Odisha, is known for his role in the disinvestment of Air India and Neelanchal Ispat Nigam Ltd to Tata Group. Chawla will also handle additional responsibilities as Secretary of the Department of Public Enterprises.

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Microsoft CEO Satya Nadella announced a partnership with India’s AI Mission to upskill 500,000 people and promote inclusive growth by 2026. An MoU was signed to drive AI innovation, productivity, and inclusivity across India. An AI Center of Excellence, ‘AI Catalysts,’ will support 100,000 developers and rural AI innovation through hackathons and solutions. ‘AI Productivity Labs’ at 20 institutes will provide foundational AI education to 20,000 educators. Citizen-centric AI solutions will address healthcare, education, accessibility, and agriculture. A five-year partnership with RailTel will boost digital and AI transformation in Indian Railways and public sectors.

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Google-backed Pixxel launched India’s first private satellite constellation, marking a milestone for the country’s private space sector. The satellites use hyperspectral imaging technology to capture detailed data across light bands for agriculture, mining, environmental monitoring, and defense. This technology can help improve crop yields, track resources, monitor oil spills, and provide better details than existing technology. Three more satellites are expected to be deployed by mid-2025. The global satellite imagery market is projected to reach $19 billion by 2029.

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Indichip Semiconductors and Japan’s Yitoa Micro Technology will establish India’s first private semiconductor manufacturing facility in Andhra Pradesh. The investment exceeds ₹14,000 crore and focuses on producing silicon carbide (SiC) chips. The facility will start with a capacity of 10,000 wafers/month, scaling up to 50,000 wafers/month in 2–3 years. The project aligns with the Aatmanirbhar Bharat vision, supporting electric vehicles and renewable energy solutions. Andhra Pradesh’s semiconductor policy aims to make the state a global manufacturing hub. The initiative will create thousands of jobs, spur innovation, and boost India’s semiconductor footprint.

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India’s economic growth is projected at 6.7% annually for fiscal years starting April 2025, as per the World Bank. The services sector is expected to continue expanding steadily. Manufacturing is set to strengthen due to government efforts to improve the business environment. Investment growth will remain stable, with private investment rising and public investment moderating. For 2024-25, growth is expected to ease to 6.5% due to slower investment and weak manufacturing performance.