Deepak Parekh Calls for PSU Bank Consolidation, Higher FDI Cap & Debt Market Reforms

PMJDY: 15.36 Crore Accounts Inoperative, 5.72 Crore Have Zero Balance as per RTI

RTI data reveals that despite 59 crore PMJDY accounts, every fourth is inoperative and 5.72 crore have zero balance, signaling gaps in financial inclusion beyond account opening. UP leads in both zero-balance and inoperative accounts, highlighting regional disparities.

RBI Flags Consumption Loan Risk: Gen Z Unsecured Debt Hits 58.4% of Household Borrowings

Gen Z’s buy-now-pay-later lifestyle is driving a surge in unsecured consumption loans. Non-housing retail loans now constitute 58.4% of household debt, with delinquencies rising and fintechs holding 56.8% of small-ticket personal loans. The RBI has flagged these risks for close monitoring.

Centre's ₹62,500 Cr Mobile Scheme, RBI's $72.85 Bn Swap, and E20 Nationwide

The UPSC Key covers multiple critical topics: a new ₹62,500 crore mobile manufacturing scheme with two tracks, India-Mauritius fuel supply agreement, RBI's special forex swap attracting $72.85 billion, India-Bangladesh tensions over extradition, E20 ethanol fuel rollout, and unemployment data. This is a goldmine for Prelims and Mains questions across Economy, IR, Polity, and Environment.

RBI Holds Repo Rate at 5.25%; SC Judges Bill Passed as Money Bill; FCRA Amendment Sparks Controversy

This compilation covers critical current affairs for UPSC: the FCRA Amendment Bill facing opposition over asset vesting provisions, the Supreme Court (Number of Judges) Amendment Bill passed as a Money Bill despite controversy, RBI maintaining repo rate at 5.25% with a neutral stance and planning polymer banknotes launch, a new Supreme Court gender sensitivity report replacing the 2023 handbook, and Kerala's worsening floods linked to sedimentation and urbanization. All topics have high Prelims and Mains potential.

RBI to Launch Polymer Currency Notes in FY28: Higher Durability, 3-4x Life of Paper Notes

RBI Governor Sanjay Malhotra announced that polymer currency notes will be in circulation from the beginning of the next financial year (FY28). The move aims to enhance durability (3-4 times longer life than paper) and expand the RBI's capacity to meet growing economic needs. A pilot phase is underway to test performance under Indian conditions.

India's CAD Widens to $4.2 Billion (0.5% of GDP) in Q1FY27: RBI Data Shows Higher Trade Gap

India's current account deficit (CAD) widened to $4.2 billion (0.5% of GDP) in Q1FY27 from $3.4 billion (0.4% of GDP) a year ago, driven by a sharp increase in the merchandise trade deficit. While services exports and remittances provided cushion, net FPI outflows of $9.6 billion and a decline in forex reserves by $8.1 billion signal external sector vulnerability — a key area for UPSC/Banking prelims and mains.

RBI Data: India's CAD Widens to $4.2 bn (0.5% of GDP) in Q1 2026-27 on Higher Trade Gap

India's current account deficit (CAD) widened to $4.2 billion (0.5% of GDP) in Q1 2026-27 from $3.4 billion (0.4% of GDP) a year ago, driven by a sharp rise in the merchandise trade deficit to $86.1 billion. However, strong services exports ($51.6 bn) and higher remittances ($42.9 bn) provided a cushion. The data, released by RBI, is crucial for understanding India's external sector health and the impact of global trade dynamics on the economy.

IRDAI Proposes Insurance Reforms: Commission Caps at 20% for Distributors, 25% for Agents

IRDAI has proposed sweeping reforms to cap commissions and reduce expenses in the insurance sector, aiming to curb mis-selling and improve consumer protection. The move has triggered a sharp selloff in insurance distributors like Policybazaar and TurtleMint, whose high upfront commission model is directly threatened. For exam aspirants, this is a critical regulatory reform with implications for financial markets, consumer welfare, and insurance penetration in India.