Current Affair Category: Indian Economy

 Why in News? As rupee hits new lows, real effective exchange rate soars to an all-time high REER Hits Record High: The Real Effective Exchange Rate (REER) of the Indian rupee reached an all-time high of 108.14 in November 2024, representing a 4.5% increase from the start of the year. The REER measures the rupee’s […]

Dr. Manmohan Singh, a prominent Indian economist, academic, and politician, has made significant contributions to India’s political and economic landscape. His tenure as the Finance Minister (1991–1996) and later as the Prime Minister of India (2004–2014) marked transformative phases in the country’s economic and political history. Early Life and Education: Birth: Born on 26 September […]

GST Classification and Rate Structure The multiple tax rates applied to similar goods and services have created confusion and inefficiencies in the GST system. Examples: Popcorn is taxed differently based on its preparation and packaging, with rates of 5%, 12%, and 18%. Buns and cream buns are categorized under separate tax rates. Frozen parathas and […]

Why is the Indian Rupee Falling Against the US Dollar? The falling value of the Indian rupee against the US dollar is a result of various economic factors affecting currency demand and supply dynamics. Below is an explanation with key headings and points. 1. What is the Exchange Rate? Definition: The exchange rate is the […]

The RBI’s report, State Finances: A Study of Budgets of 2024-25, raises key concerns and recommendations about the fiscal management practices of Indian states. 1. Rise in Expenditure on Subsidies Concern: The report flags the increasing expenditure on subsidies such as: Farm loan waivers. Free or subsidized electricity, transport, and gas cylinders. Cash transfers to […]

Hush Money: Hush money refers to payments made to individuals in exchange for their silence about specific events, actions, or information, typically to avoid scandal, embarrassment, or legal repercussions. Such payments are often used to settle allegations discreetly, keeping potentially damaging information out of public view. Why It Was in the News: Hush money gained […]

The ‘Mission 100% Electrification’ project is like chasing an unrealistic dream of becoming a green railway, leading to many usable diesel locomotives becoming unnecessary. Export of Diesel Locomotives: India’s RITES Ltd. is sending six refurbished diesel locomotives to Africa after converting them to fit African tracks. This is the first project of its kind. Idle […]

Directorate of Revenue Intelligence (DRI): The Directorate of Revenue Intelligence (DRI) is a premier agency under the Department of Revenue, Ministry of Finance, Government of India, tasked with investigating and combating smuggling and customs-related offenses, particularly focusing on the enforcement of economic laws. Key Functions of DRI: Prevention of Smuggling: DRI works to prevent the […]

The government has appointed Revenue Secretary Sanjay Malhotra as the new Governor of the Reserve Bank of India (RBI). He will be the 26th Governor of RBI and will replace the current Governor Shaktikanta Das. The appointment of the Governor of the Reserve Bank of India (RBI) is governed by the provisions of the Reserve Bank of […]

Decoupling refers to breaking the traditional link between two related factors, particularly economic growth and environmental degradation. In this context, it means achieving economic growth without a proportional increase in negative environmental impacts, such as greenhouse gas (GHG) emissions. Types of Decoupling: Relative Decoupling: Economic growth occurs at a faster rate than the increase in […]