Business, Economy & Banking Current Affairs MCQs

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RBI’s ‘State of the Economy’ report projects 6.7% growth in 2025-26, driven by strong domestic demand despite global trade tensions. Agriculture, rising consumption, steady investments, infrastructure development, and government spending are key growth factors. Sound fiscal policies, a balanced monetary framework, and digital transformation strengthen long-term growth. Headline Consumer Price Index inflation dropped to 3.6% in February 2025 due to lower food prices. Resilient services exports support India’s external sector despite global challenges. Food inflation risks persist due to commodity price fluctuations and weather anomalies. RBI regulates India’s banking system and currency management.

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The government proposed abolishing the 6% Equalisation Levy (EL) on online ads from April 1, 2025. The move benefits advertisers on platforms like Google, X, and Meta. Equalisation Levy (EL) was introduced in 2016 for online ads and extended in 2020 to e-commerce services. It imposed a 6% tax on non-residents for online ads and a 2% tax on e-commerce, which was removed in 2024. The decision aims to ease US trade tensions, as the US threatened reciprocal tariffs from April 2.

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The Asian Development Bank (ADB) funds the Strengthening Multimodal and Integrated Logistics Ecosystem (SMILE) Program. It aims to improve India’s logistics infrastructure, reduce costs, and increase efficiency. It supports the National Logistics Policy and PM Gati Shakti National Master Plan. Focus areas include multimodal logistics, warehousing standardization, and digitalization in trade logistics. It enhances supply chain resilience, especially for India’s manufacturing sector. The program promotes gender inclusion through gender audits at land ports. SMILE aligns with Atmanirbhar Bharat by improving domestic manufacturing and global trade integration.

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The Ministry of Finance is launching the One State-One Regional Rural Bank (RRB) policy to improve efficiency and cut costs by reducing RRBs from 43 to 28. This is part of the fourth phase of RRB consolidation, with 15 RRBs set to be merged across several states. Andhra Pradesh, with four RRBs, will see major restructuring, while Uttar Pradesh and West Bengal, each with three RRBs, will also undergo consolidation. States like Bihar, Gujarat, Jammu and Kashmir, Karnataka, Madhya Pradesh, Maharashtra, Odisha, and Rajasthan, each having two RRBs, will see mergers. RRBs were created under the Regional Rural Bank Act, 1976 to support rural credit for farmers, artisans, and workers.

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India became the third-largest producer of electricity from wind and solar energy in 2024, overtaking Germany, as per Ember’s Global Electricity Review. Wind and solar generated 10% of India’s electricity in 2024, and 15% globally. Clean energy sources like renewables and nuclear power made up 40.9% of global electricity – the highest since the 1940s. India added 24 gigawatts (GW) of solar in 2024, becoming the third-largest market after China and the US. Solar power contributed 7% of India’s electricity, doubling since 2021. India aims for 50% of installed power capacity from non-fossil sources by 2030 under its Nationally Determined Contributions (NDCs) to the United Nations Framework Convention on Climate Change (UNFCCC). India also targets 500 GW of non-fossil fuel capacity by 2030, but needs 20% more annual funding to meet it, according to Ember.

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The Ministry of Skill Development and Entrepreneurship (MSDE) has joined hands with the World Economic Forum (WEF) to launch the India Skills Accelerator initiative. India Skills Accelerator is a national public-private platform to boost innovation and solutions across different sectors in skill development. It aims to bring change by increasing awareness on future skill needs, promoting collaboration and knowledge sharing, and reforming institutions and policies for a more flexible skilling system. The focus is on inclusive upskilling, investing in lifelong learning, and matching training with high-growth sectors like Artificial Intelligence (AI), robotics, and clean energy.

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The Investor Education and Protection Fund Authority (IEPFA) under the Ministry of Corporate Affairs and India Post Payments Bank (IPPB) under the Department of Posts signed a Memorandum of Agreement (MoA) to launch Phase 2 of the “Niveshak Didi” initiative. “Niveshak Didi” trains women postal workers and community leaders as financial educators to improve financial literacy in rural and underserved areas. In Phase 1, over 55,000 people benefited from IPPB Financial Literacy Camps, with around 60% being women, mostly young and economically active from deep rural areas. Phase 2 will include 4,000 new camps led by 40,000 trained women promoting responsible investing, savings, digital banking, and fraud awareness.

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The Government of India launched the National Critical Mineral Mission (NCMM) in 2025 to reduce import dependence and promote self-reliance in critical minerals. The mission supports India’s clean energy goals by ensuring a steady supply of key raw materials. Critical minerals are important for making modern technologies like batteries, electronics, and renewable energy systems. These minerals are also vital for national security and economic development. They are called “critical” because their supply is limited or controlled by few countries, creating risks. Their importance can change over time based on new technologies and global supply-demand shifts.

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Juspay, a Bengaluru-based payments infrastructure company, became India’s first unicorn of 2025 after raising $60 million in a Series D funding round. The round was led by Kedaara Capital, with participation from SoftBank and Accel, pushing Juspay’s valuation over $1 billion. The company plans to improve its technology using Artificial Intelligence (AI) and expand into international markets like Asia-Pacific (APAC), Latin America, Europe, United Kingdom (UK), and North America. Despite losing major clients like Razorpay and PhonePe, Juspay remains focused on AI-driven productivity and global growth to sustain its momentum.

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Bank of Maharashtra, a public sector bank, has become the first bank to install an Automated Teller Machine (ATM) on a train in India. The ATM was installed on the Mumbai-Manmad Panchavati Express. This is the first time an ATM has been introduced on an Indian Railway train. Union Railway Minister Ashwini Vaishnaw shared this update through his social media account. According to Indian Railways, this was a pilot project aimed at improving passenger convenience. The ATM was placed in a modified pantry car cubicle at the rear end of the coach. The cubicle has a shutter door for safety and easy access. If successful, this facility will be expanded to other trains. The initiative is part of the Indian Railway’s Innovative and Non-Revenue Ideas Scheme.