Business, Economy & Banking Current Affairs MCQs

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On 22 February 2025, the Uttar Pradesh Chief Minister laid the foundation stone for India’s first biopolymer plant in Kumbhi, Lakhimpur Kheri. The plant will be built by Balrampur Sugar Mills Limited at a cost of ₹2,850 crore. It will produce biopolymers using biological methods, supporting eco-friendly industrial growth. The project aims to replace plastic with sustainable biopolymers, promoting environmental protection. This initiative aligns with India’s goal of self-reliance and sustainability.

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The Ministry of Mines reclassified Barytes, Feldspar, Mica, and Quartz as major minerals through a gazette notification. Major minerals are regulated by the Central Government under the MMDR Act, 1957 and have high economic and strategic significance. These minerals are now governed by the Indian Bureau of Mines (IBM) with a lease period of up to 50 years and revenue accruing to state governments.

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Former RBI Governor Shaktikanta Das has been appointed Principal Secretary-2 to Prime Minister Narendra Modi. His selection was approved by the Appointments Committee of the Cabinet. He is a 1980-batch IAS officer from the Tamil Nadu cadre. His tenure will last until the Prime Minister’s term ends or until further orders.

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India has secured a 9,000-sq-km exploration block in Zambia to explore copper and cobalt. Zambia is the 7th largest copper producer in the world. Global copper ore supply is shrinking, intensifying competition. China controls 50% of global copper smelting and refining capacity. Copper demand is rising due to EV batteries, renewable energy, and clean technologies. Chile, Peru, China, Congo, and the U.S. are the top copper producers. India, China, and the U.S. are securing copper supply chains, increasing geopolitical competition in the next decade.

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Microsoft has launched a new AI assistant called Dragon Copilot for healthcare. It is part of Microsoft Cloud for Healthcare and helps doctors with clinical documentation. It transcribes clinical notes, drafts paperwork, and searches medical sources. It integrates with Dragon Medical One (DMO) and DAX for speech recognition. It allows voice-to-text transcription, AI-generated notes, and medical searches. It automates tasks like referral letters, visit summaries, and clinical evidence documentation.

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Gum Arabic, used in products like Coca-Cola and M&M’s, is increasingly trafficked from rebel-held regions in Sudan, disrupting supply chains. It is a water-soluble exudate from Acacia senegal and A. seyal species. It is native to North Africa, also grows in Australia, India, and South America. Major producers include Cameroon, Chad, Mali, Nigeria, and Sudan. Sudan is the world’s largest producer of gum arabic, accounting for 70% of the market. Gum Arabic is non-toxic, odourless, and dissolves in water, forming a clear solution. It is used as a stabilizer and emulsifier in food products.

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HDFC Bank launched Project HAKK (Hawai Anubhavi Kalyan Kendra) to support Indian Air Force (IAF) pensioners, veterans, and families. The bank signed an MoU with IAF through the Assistant Chief of Air Staff – Accounts & Air Veterans and CSC (Common Service Centre) Academy. 25 centres will be set up across Air Force units in cities like New Delhi, Bengaluru, Pune, Guwahati, and Chandigarh. In collaboration with CSC Academy, the bank will offer skill development and financial training to help veterans and their families become financially independent.

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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 Pension Fund Regulatory and Development Authority (PFRDA) issued regulations for the Unified Pension Scheme (UPS) under the National Pension System (NPS), 2025. PFRDA is a statutory regulatory body established under the PFRDA Act, 2014. Its objective is to promote old-age income security by regulating pension funds and protecting subscriber interests. PFRDA operates under the Ministry of Finance. It is headquartered in New Delhi with regional offices across India.

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Indian banks must strengthen credit risk management by adopting International Financial Reporting Standards (IFRS 9) and improving loan supervision, collateral valuation, and borrower group assessments. The International Monetary Fund (IMF) highlighted this in its Financial System Stability Assessment (FSSA) report. The Reserve Bank of India (RBI) released the report’s findings on 24 March. The Financial Sector Assessment Program (FSAP) is a joint initiative of the IMF and World Bank for financial sector analysis. The last FSAP for India was in 2017, with the FSSA report published on December 21, 2017. India’s financial system has become more resilient and diverse since 2017, driven by rapid economic growth. India remains committed to adopting global financial standards while considering domestic needs and economic conditions.