CURRENT AFFAIRS
30 May, 2025
1. URBAN FLOODING IN INDIA –
• Bengaluru experienced intense pre-monsoon rains leading to severe waterlogging, lake overflows, and significant damage to life and property. With the early onset of the monsoon this year, the risk of urban flooding in the city is expected to escalate further.
What is Urban Flooding ?
• Urban flooding refers to the inundation of land or property in densely populated areas due to heavy rainfall, overflowing rivers, poor drainage systems, or other water-related incidents.
• It leads to waterlogging, disrupting transportation, damaging infrastructure, and posing health hazards to urban populations.
• Examples: Bengaluru floods (2024), Delhi Floods (2023), Mumbai floods (2020), Chennai floods (2015).
What are the Key Reasons for Urban Flooding in India ?
Natural Causes:
• Heavy Monsoon Rainfall: The Indian subcontinent experiences intense monsoon precipitation from Southwest Monsoon, especially in the Western Ghats and northeastern regions. Cities like Mumbai often receive heavy downpours in short durations, overwhelming drainage systems.
• Eg: The 2015 Chennai floods were triggered by record-breaking monsoon rains linked to cyclonic circulation over the Bay of Bengal.
• Topography: Many Indian cities are located in floodplains or low-lying coastal zones (e.g., Mumbai on the Konkan coast, Kolkata in the Ganga-Brahmaputra delta). These areas naturally accumulate runoff due to flat terrain and slow drainage, exacerbated by high tidal influence in coastal cities.
• Also, cities like Bengaluru, at an elevation of about 900 metres, lack major rivers to naturally channel excess water.
• Climate Change & Extreme Weather Events: Climate change has led to more frequent and intense rainfall, triggering flash floods.
2. RBI REMITTANCES SURVEY 2023–24: INDIA RECEIVES RECORD $118.7 BILLION –
• Recently, The Reserve Bank of India’s Sixth Round of India’s Remittances Survey was released.
What are Remittances ?
• Remittances are money transfers sent by migrant workers to their families or relatives in their home countries.
• They play an important role in India’s external sector balance.
• They act as a stabilizing force in times of global financial uncertainty.
• It is recorded under the current account of the Balance of Payments (BoP) as unilateral transfers. They represent foreign income inflows that do not create liabilities.
India received a record $118.7 billion in 2023-24.
• Remittances exceeded FDI inflows and covered over half of India’s trade deficit.
• Key findings of the RBI’s Sixth Round of India’s Remittances Survey
• Structural Changes in Remittances
• Changing Sources of Remittances
• Earlier, most remittances came from Gulf Cooperation Council (GCC) countries. Now, more remittances come from advanced economies (AEs) like the U.S., U.K., Canada, Australia, and Singapore.
• The U.S. alone contributes 27.7%, increasing from 23.4% in 2020-21.
• AEs contribute 51.2% of total remittances, overtaking GCC nations, which contribute 37.9%.
• Reason for This Shift
• Earlier migration was dominated by low-skilled workers in the West Asian region.
• Now, there is a shift toward high-skilled professionals and students in developed nations.
• This reflects both macroeconomic changes and India’s growing skilled human capital export.
3. RBI BALANCE SHEET GROWTH AND ECONOMIC OUTLOOK 2025 –
• The Reserve Bank of India (RBI) reported growth in its balance sheet for the financial year 2024-25. The total balance sheet expanded to ₹76.25 lakh crore, marking an 8.2% increase from the previous year. This growth was boosted by substantial gains in foreign exchange transactions and a rise in gold and domestic investments.
• The RBI’s annual report marks the resilience of the Indian economy amid global challenges, positioning India as the fastest-growing major economy in 2025-26.
Key Financial Highlights
• The RBI’s income rose by 22.77% while expenditures increased by 7.76%. The overall surplus for the year reached ₹2.69 trillion, a 27.37% increase compared to the previous year.
• The balance sheet growth was largely attributed to a 52.09% rise in gold holdings, a 14.32% increase in domestic investments, and a 1.70% rise in foreign investments.
4. US COURT STRIKES DOWN TRUMP’S TARIFFS ON IMPORTS –
• On May 28, 2025, the US Court of International Trade ruled against tariffs imposed by President Donald Trump on Canada, Mexico, and China. The court found that the President exceeded his authority under the International Emergency Economic Powers Act of 1977.
• This ruling stems from a case brought by twelve states and several businesses challenging the legality of the tariffs. The court’s decision has implications for the scope of presidential powers regarding economic measures.
Background of the Case
• The tariffs in question were introduced by President Trump on April 2, 2025. He justified these tariffs as necessary to combat high tariffs on American goods and to address issues related to international drug cartels.
• Twelve states, including New York and Arizona, argued that the tariffs unfairly burdened them and did not specifically target the stated threats. The combined cases raised critical questions about the limits of presidential emergency powers.
5. INTER-SERVICES ORGANISATIONS COMMAND CONTROL ACT 2023 –
• The Inter-Services Organisations (Command, Control and Discipline) Act 2023 aimss to enhance the operational efficiency of the Indian Armed Forces. The Act was passed during the Monsoon Session of Parliament in 2023, receiving Presidential assent on August 15, 2023.
• It officially came into force on May 10, 2024. Recent developments include the notification of subordinate rules, which will take effect from May 27, 2025.
Purpose
• The Act aims to strengthen the command and control structure within Inter-Services Organisations (ISOs). It promotes jointness among the Armed Forces, ensuring a cohesive operational framework. This is crucial for effective military coordination and discipline.
MCQ QUIZ
Q1. Which city has become the fourth capital city in the northeastern region to be connected to the railway network ?
a) Imphal
b) Gangtok
c) Kohima
d) Aizawl
Q2. Which sector received the highest Foreign Direct Investment (FDI) equity inflow in Fiscal Year 2024–25 ?
a) Services
b) Agriculture
c) Computer Software and Hardware
d) Trading
Q3. What is the name of the next-generation two-seater electric trainer aircraft being developed in India ?
a) E-Surya
b) E-Hansa
c) E-Vikrant
d) E-Akash
Q4. Consider the following statements with reference to the recently launched “Bharat Forecasting System (BFS)” by India:
1. The system operates at 9–14 km resolution, which is in line with the global standard.
2. The system covers the tropical region and covers the mainland of India.
3. The BFS provides weather early warnings only at the state level.
Which of the statements given above is/are correct?
a) 2 only
b) 1 and 3 only
c) 2 and 3 only
d) 1, 2 and 3
Explanation-
• Statement 1 is incorrect: BFS operates at a high resolution of 6 km x 6 km, while global models (US, UK, EU) operate at 9–14 km.
• Statement 2 is correct: The system covers the tropical region between 30°N to 30°S latitude which includes the entire Indian mainland.
• Statement 3 is incorrect: BFS can provide weather warnings up to Panchayat level.
Q5. Recently India has achieved the status of the fourth largest global economy. Which of the following facts is correct in this context ?
a) India’s nominal GDP is estimated to reach $6 trillion by the year 2025-26.
b) India is now behind only the US, China and Japan.
c) According to the World Bank, a country is considered high-income if its per capita income is more than $14,005.
d) India’s per capita income is likely to fall to $1,438 by the year 2025.
Explanation-
• (a) is incorrect: According to the IMF, India’s nominal GDP is estimated to be $4.187 trillion in 2025-26, not $6 trillion.
• (b) is incorrect: India has now overtaken Japan and is only behind the US, China and Germany.
• (c) is correct: According to the World Bank definition, countries with a per capita income of more than $14,005 in 2024-25 are considered high-income.
• (d) is incorrect: India’s per capita income is expected to increase to $2,880 by 2025, not fall to $1,438.
Answer Key
1 | 2 | 3 | 4 | 5 |
D | A | B | A | C |