CURRENT AFFAIRS 01 October, 2025

CURRENT AFFAIRS 01 October, 2025

1. INDIA-EFTA FREE TRADE AGREEMENT –

• India’s Free Trade Agreement (FTA) with the EFTA bloc – comprising Switzerland, Norway, Iceland, and Liechtenstein, has come into effect, marking a significant step in strengthening trade and investment ties. The agreement reflects India’s growing role in global value chains and its strategy to expand market access while attracting foreign investment.

What is India-EFTA FTA?

• About: The India-EFTA FTA (Trade and Economic Partnership Agreement (TEPA) was finalized in March 2024, and came into effect on 1st October 2025.
• It strengthens India’s global trade ties, complementing recent FTAs with UAE, Australia, and the UK.

Objectives:

• Enhanced Market Access: EFTA has given 100% market access for India’s industrial and non-agricultural products. Tariff concessions provided on processed agricultural products.
• Investment & Jobs: EFTA nations will bring in a binding investment commitment of USD 100 billion over 15 years. This investment is expected to generate 1 million direct jobs in India.
• Dedicated Institutional Mechanism for Trade Facilitation: A dedicated EFTA Desk, operational since February 2025, acts as a single-window investment facilitation mechanism. Supports EFTA businesses in investing, expanding, and operating in India.

What are Free Trade Agreements?

• About: FTAs, or Free Trade Agreements, are pacts between two or more countries to reduce or eliminate barriers to trade, such as tariffs (taxes on imports/exports) and quotas, on goods and services.
• India has Free Trade Agreements (FTAs) with countries and groups like Japan, Australia, the UAE, Mauritius, the European Free Trade Association (EFTA), Singapore and Sri Lanka.
• Also, India–EU FTA is currently in advanced negotiations.

2. PREVENTIVE DETENTION AND NATIONAL SECURITY ACT, 1980 –

• Climate Activist Sonam Wangchuk was detained under the National Security Act (NSA), 1980, which allows the government to act pre-emptively against individuals considered a threat to public order or national security.
• He has been leading demonstrations demanding statehood for Ladakh and Sixth Schedule protections.

What is Preventive Detention?

• About: Preventive detention means holding a person not for a crime already committed, but to prevent possible future actions that may threaten public order, security, or essential supplies.
• Preventive detention is anticipatory, imposed based on the likelihood of harmful actions in the future, while punitive detention is imposed as punishment after conviction through due legal process.
• Constitutional Provisions: Article 22 explicitly permits preventive detention in India. A person can be detained for up to 3 months without approval from an Advisory Board (comprising High Court–qualified judges).
• For detention beyond 3 months, approval of an Advisory Board is required.
• Parliament may prescribe conditions for detention beyond 3 months, set maximum periods, and lay down Advisory Board procedures.
• The detained person must be informed of the grounds of detention, though certain facts may be withheld in the public interest.
• The detainee should be given the earliest opportunity to challenge the order through a representation.

3. PM E-DRIVE SCHEME BOOSTS EV CHARGING INFRASTRUCTURE –

• The Government of India has launched operational guidelines for installing over 72,300 public electric vehicle (EV) charging stations across the country. This initiative under the PM E-DRIVE scheme aims to accelerate EV adoption by expanding accessible charging infrastructure. The Heavy Industries Ministry has outlined a tiered subsidy model to support installations at key public and commercial locations.

Subsidy Structure and Eligibility

• The scheme offers a tiered subsidy to promote electric vehicle charging infrastructure. Government offices, hospitals, educational institutions, and residential colonies receive a 100% subsidy on upstream infrastructure and charging equipment if they provide free public access.
• High-traffic public locations such as airports, railway stations, metro stations, bus terminals, municipal parking lots, and toll plazas are eligible for 80% subsidy on upstream infrastructure and 70% on charging equipment. Commercial spaces like shopping malls, markets, and highway roadside facilities qualify for 80% subsidy on upstream infrastructure. Battery swapping stations also receive 80% support on upstream costs.

4. CABINET APPROVES 3% DA HIKE FOR CENTRAL GOVERNMENT EMPLOYEES AND PENSIONERS –

• The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved a 3% hike in Dearness Allowance (DA) for Central Government employees and Dearness Relief (DR) for pensioners. The hike, effective from October 1, 2025, will be added to the existing rate of 55% of the Basic Pay/Pension.

Who Benefits from the DA Hike?

• 49.19 lakh Central Government employees
• 68.72 lakh pensioners
• This decision aims to provide relief against rising inflation and ensure that government employees and pensioners maintain their purchasing power.

Financial Impact

• The annual burden on the exchequer due to this DA and DR increase is estimated at ₹10,083.96 crore.

Background

• The DA is revised periodically based on inflation and cost of living indices, following the 7th Central Pay Commission formula.
• Earlier, in March 2025, the Cabinet had approved a 2% DA hike, which took the rate to 55% effective from January 1, 2025.
• With this latest hike, the effective DA rate rises to 58% of the Basic Pay/Pension.

5. CENTENARY OF UNION PUBLIC SERVICE COMMISSION (UPSC) –

• The Union Public Service Commission (UPSC) marked its centenary on 1st October 2025, completing 100 years since its establishment in 1926. Renowned for upholding meritocracy, UPSC has played a key role in shaping India’s civil services.
• Historical Background: The idea of a permanent body to regulate civil services appeared in the 1919 Constitutional Reforms (Montagu-Chelmsford Reforms). The Government of India Act, 1919 allowed creation of a Public Service Commission.
• Following the Lee Commission (1924) recommendations, the Public Service Commission was established on 1st October 1926, with Sir Ross Barker as its first Chairman.
• The Government of India Act, 1935 transformed it into the Federal Public Service Commission. With the Constitution coming into force in 1950, the FPSC became the Union Public Service Commission (UPSC) under Article 378.
• UPSC: It is an independent constitutional body in India, established under Articles 315–323 Part XIV Chapter II of the Constitution, responsible for recruiting officers to the All-India Services and Central Civil Services.

MCQ QUIZ

Q1.   Which Indian biosphere reserve was added to UNESCO’s World Network of Biosphere Reserves (WNBR) on September 27, 2025 ?

1. a) Cold Desert Biosphere Reserve, Himachal Pradesh
2. b) Sundarbans Biosphere Reserve
3. c) Nilgiri Biosphere Reserve
4. d) Nanda Devi Biosphere Reserve

Q2.   What was the main reason for the sharp liquidity deficit in the Indian banking system in September 2025, prompting the RBI to conduct a Variable Rate Repo (VRR) auction ?

1. a) Slow credit growth and weak demand
2. b) Heavy government borrowing from markets
3. c) Advance tax payments and GST outflows
4. d) Rising Non-Performing Assets (NPAs) in banks

Q3.   What is the name of India’s first space astronomy observatory which recently completed 10 years of operation ?

1. a) AstroSat
2. b) Chandrayaan
3. c) INSAT-3C
4. d) Vikram

Q4.   Which of the following cases expanded the scope of Article 21 to include the right to live with dignity ?

1. a) Kesavananda Bharati vs. State of Kerala (1973)
2. b) Maneka Gandhi vs. Union of India (1978)
3. c) Navtej Singh Johar vs. Union of India (2018)
4. d) Justice K.S. Puttaswamy vs. Union of India (2017)

Explanation-

• The Maneka Gandhi vs. Union of India case expanded the interpretation of Article 21, which initially only protected against the deprivation of life and personal liberty, to include the right to live with dignity, ensuring that any law affecting this right must be fair, just, and reasonable.

Q5.   Consider the following aspects of the UNESCO Tentative List:

1. Only sites owned by the national government can be included in the list.
2. Countries can modify their Tentative List by adding or removing sites over time.
3. The final decision to include a site on the World Heritage List is taken by UNESCO’s World Heritage Committee.
4. Sites on the Tentative List automatically receive UNESCO funding for conservation.

          Which of the above statements are correct ?

1. a) 2 and 3 only
2. b) 1, 2, and 4 only
3. c) 1, 2, and 4 only
4. d) 1, 2, and 4 only

Explanation-

• The UNESCO Tentative List is an essential step in the process of getting a site inscribed as a World Heritage Site. Each country submits its list of potential sites, which may later be nominated for official recognition.
• Statement 1 is incorrect: A site does not have to be owned by the national government to be included in the Tentative List. It can be privately owned or managed by local or state governments, as long as it holds cultural or natural significance and meets the eligibility criteria.
• Statement 2 is correct: Countries can modify their Tentative List over time by adding or removing sites based on new findings, conservation priorities, or changes in site conditions. This flexibility allows them to refine their nominations.
• Statement 3 is correct: The World Heritage Committee of UNESCO is responsible for evaluating nominations and making the final decision on whether a site gets inscribed as a World Heritage Site.
• Statement 4 is incorrect: Being on the Tentative List does not guarantee UNESCO funding. While inclusion is a prerequisite for nomination, financial assistance for conservation depends on additional approvals, grant applications, and UNESCO’s World Heritage Fund allocations.

Answer Key