CURRENT AFFAIRS 24-25 August, 2025

CURRENT AFFAIRS 24-25 August, 2025

1. INFLATION TARGETING –

• The Reserve Bank of India (RBI) cautioned against raising the current 4% inflation target, saying it could weaken policy credibility and undo the gains of the past decade.
• The RBI released its discussion paper (August 2025) on reviewing the flexible inflation targeting (FIT) framework.

Highlights from the Paper

• Target Adjustment Concerns: Raising the inflation target amid global uncertainty may signal dilution of the framework, reducing investor confidence.
• Empirical Evidence: Headline inflation in India has ranged 1.5–8.6% since 2014, mostly driven by food. Core inflation has been relatively stable, but non-core shocks spill into core over time.
• Global Practice: Almost all inflation-targeting central banks focus on headline CPI, with Uganda being the only exception (targets core inflation).
• Investor Confidence: Keeping inflation within the 2–6% band has strengthened investor confidence, supported growth, and ensured currency stability.
• Global Recognition: S&P Global Ratings recently upgraded India’s rating to BBB, citing RBI’s consistent record in inflation management.

2. THE SUNDARBANS TIGER RESERVE IN WEST BENGAL HAS BECOME INDIA’S SECOND-LARGEST TIGER RESERVE, AFTER NAGARJUNASAGAR-SRISAILAM TR, ANDHRA PRADESH –

• This status has been achieved after the National Board for Wildlife approved an expansion of 1,044.68 sq km area to the existing reserve. It now is spread across an area of 3,629.57 square kilometres (sq km).
• Three tiger-inhabited ranges in the South 24 Parganas district — Matla, Raidighi and Ramganga — have been added to the existing expanse of the Sundarbans Tiger Reserve (STR).

About Sundarbans Tiger Reserve (STR)

• Location: Coastal districts of South & North 24-Parganas, West Bengal, at the southernmost extremity of the Lower Gangetic Delta, bordering the Bay of Bengal.
• Formation: Part of the largest delta in the world (Sundarbans), formed by the Ganga & Brahmaputra rivers before they drain into the Bay of Bengal.
• Status: Tiger Reserve, National Park, Biosphere Reserve (UNESCO World Heritage Site, Ramsar site).

3. LUNAR MODULE LAUNCH VEHICLE –

• The Indian Space Research Organisation (ISRO) is advancing its space capabilities with the development of its heaviest rocket, the Lunar Module Launch Vehicle (LMLV).
• Expected to be ready by 2035, this rocket will support lunar missions, including India’s first crewed Moon mission planned for 2040. The LMLV will carry up to 27 tonnes to the Moon and 80 tonnes to low Earth orbit (LEO). This marks leap in India’s space exploration ambitions.

4. INDIA’S PHARMA EXPORTS RISE 5.21% IN Q1 FY26 –

• India’s pharmaceutical exports registered a 5.21% growth in the first quarter of FY26, reaching USD 7.57 billion, according to data from the Pharmaceuticals Export Promotion Council (Pharmexcil).
• The growth was primarily driven by formulations and biologics, reinforcing India’s position as a key global healthcare supplier. However, challenges such as pricing pressures in the U.S. market continue to weigh on Indian drug manufacturers.

Export Performance

• Quarterly Growth
• Q1 FY26 Exports: USD 7.57 billion
• Q1 FY25 Exports: USD 7.19 billion (approx.)
• Growth: +5.21%
• The export momentum follows a strong performance in FY25, where India’s pharma exports rose 9.39% to USD 30.47 billion, compared to USD 27.85 billion in FY24.

5. ISRO ACHIEVES KEY AIR DROP TEST FOR GAGANYAAN –

• The Indian Space Research Organisation (ISRO) has achieved a major milestone in its ambitious Gaganyaan Mission by successfully conducting the first Integrated Air Drop Test (IADT-01). This test, executed on August 24, 2025, marks a significant step in validating the parachute-based deceleration system essential for ensuring crew safety during re-entry and landing of the crew module.
• The trial was a joint effort involving the Indian Air Force, Defence Research and Development Organisation (DRDO), Indian Navy, and Indian Coast Guard, showcasing India’s whole-of-nation approach to human spaceflight capability.

Significance of the Integrated Air Drop Test

• The IADT-01 demonstrated the ability of the parachute system to decelerate and safely land the crew module. This is critical for astronaut safety, as the crew module must withstand re-entry forces and ensure a secure splashdown or landing after orbital missions.

MCQ QUIZ

Q1.   Which tiger reserve has become India’s second-biggest tiger reserve ?

1. a) Bandhavgarh Tiger Reserve
2. b) Namdapha Tiger Reserve
3. c) Corbett Tiger Reserve
4. d) Sunderbans Tiger Reserve

Q2.   What was the growth rate of India’s Index of Eight Core Industries in July 2025 ?

1. a) 1%
2. b) 2%
3. c) 3.5%
4. d) 6.3%

Q3.   Recently, Union Home Minister & Minister of Cooperation Amit Shah introduced some bills in the Lok Sabha. Which of the following is NOT among them ?

1. a) Union Territories (Amendment) Bill, 2025
2. b) Jammu and Kashmir Reorganisation (Amendment) Bill, 2025
3. c) Constitution (One Hundred and Thirtieth Amendment) Bill, 2025
4. d) Banking Regulation (Amendment) Bill, 2025

Q4.   Consider the following statements regarding Fortified Rice:

1. Fortified rice is regular rice infused with micronutrients like iron, folic acid, and vitamin B12.
2. Fortified rice is distributed only through the Mid-Day Meal Scheme.
3. The Universal Fortified Rice Scheme was initially launched in 2019 for up to 2024.
4. It is now extended till the year 2030.

          How many statements given above is/are correct ?

1. a) Only 1
2. b) Only 2
3. c) Only 3
4. d) All of the above

Explanation-

• Statement 1 is correct: Fortified rice is enriched with iron, folic acid, and vitamin B12 to combat micronutrient deficiencies.
• Statement 2 is incorrect: Fortified rice is distributed through multiple schemes — PM POSHAN, PDS, and ICDS, not just the Mid-Day Meal Scheme.
• Statement 3 is correct: The rice fortification initiative began in 2019 for up to 2024.
• Statement 4 is incorrect: The scheme has been extended only till December 2028, not 2030.

Q5.   Assertion (A): India opposes the China-Pakistan Economic Corridor (CPEC) 2.0.

          Reason (R): CPEC 2.0 includes infrastructure development in Pakistan-occupied Jammu & Kashmir, which India claims as its sovereign territory.

1. a) Both A and R are true, and R is the correct explanation of A.
2. b) Both A and R are true, but R is not the correct explanation of A.
3. c) A is true, but R is false.
4. d) A is false, but R is true.

Explanation-

• India has consistently opposed CPEC since it passes through Pakistan-occupied Jammu & Kashmir (PoJK)—territory claimed by India.
• The violation of territorial sovereignty is India’s primary objection to CPEC and its upgraded version, making R a correct explanation of A.

Answer Key