GK One-Liners

What: The Reserve Bank of India (RBI) kept the repo rate unchanged at 5.50% in its 2025–26 monetary policy review, maintaining a watchful approach as macroeconomic indicators remain broadly stable. RBI projected GDP growth at 6.5% for FY26, supported by consumption, capital expenditure momentum, and a favourable monsoon outlook.

How: Inflation fell to a 77-month low of 2.1% in June, but RBI expects it to firm toward 4.4% by Q4 FY26, with full-year Consumer Price Index (CPI) inflation forecast at 3.1%. RBI maintained a neutral stance and will reassess conditions at its September 2025 meeting after evaluating the impact of earlier rate cuts. The central bank also concluded a $5-billion dollar-rupee swap without rollover, reflecting comfort with surplus rupee liquidity exceeding ₹3.60 lakh crore.

Why: RBI’s monetary policy decisions—repo rate, reverse repo rate, CRR, SLR, and policy stance—are fundamental topics for banking exams (IBPS, SBI PO, RBI Grade B) and UPSC GS-III. Understanding the inflation-growth trade-off, liquidity management tools, and the Monetary Policy Committee’s (MPC) mandate is essential. Current repo rate and inflation figures are frequently asked factual questions.

What: Unified Payments Interface (UPI) crossed 707 million transactions in a single day on 2 August 2025—its first time exceeding 700 million—roughly doubling transaction volumes in two years. Monthly UPI volume reached approximately 19.5 billion transactions worth over ₹25 lakh crore, with UPI accounting for about 85% of India’s digital transactions.

How: UPI’s success is driven by its interoperability across banks, zero-cost transactions for consumers, QR code-based merchant payments, and integration with multiple apps like Google Pay, PhonePe, and Paytm. India now accounts for nearly half of the world’s real-time digital payments, positioning the country as a global leader in payment technology innovation.

Why: UPI milestones, NPCI’s role, and digital payment infrastructure are high-frequency topics in banking exams and UPSC GS-III (Economy). Understanding UPI’s architecture, its international expansion (to Singapore, UAE, France), and comparison with other payment systems demonstrates comprehensive knowledge of India’s fintech ecosystem and financial inclusion achievements.

What: The Defence Acquisition Council (DAC) approved approximately ₹67,000 crore worth of military procurements across the three services. For the Army, this includes Driver Night Sights; for the Navy, autonomous surface craft and BARAK-1/BrahMos fire-control system upgrades; and for the Air Force, mountain radars and SPYDER/SAKSHAM air defence upgrades.

How: The DAC, chaired by the Defence Minister, is the highest decision-making body for capital acquisitions in the Ministry of Defence. It approves procurement proposals under categories like Buy (Indian), Buy & Make (Indian), Buy (Global), and Strategic Partnership Model. DAC approval initiates the formal procurement process including Request for Proposal (RFP), trials, and contract negotiations.

Why: Defence procurement procedures, DAC composition, and acquisition categories are frequently tested in UPSC, CDS, and NDA examinations. Understanding indigenous defence systems (BrahMos, SPYDER), tri-service modernisation priorities, and the role of bodies like DAC and Defence Procurement Procedure (DPP) demonstrates comprehensive knowledge of India’s defence ecosystem.

What: The Indian Space Research Organisation (ISRO) began a 10-day high-altitude human-mission simulation at the HOPE (Human-spaceflight Operations and Performance Enhancement) facility in Ladakh at 14,000 feet elevation. This simulation is part of preparations for the Gaganyaan mission, India’s first human spaceflight programme.

How: The simulation studies how cold temperatures, isolation, and high altitude affect the physical and mental health of astronaut candidates (vyomanauts). Ladakh’s extreme conditions partially replicate the physiological stress of spaceflight, including low oxygen levels and confined living spaces. Data collected helps optimise crew training, life support systems, and psychological support protocols.

Why: Gaganyaan aims to send Indian astronauts to Low Earth Orbit by 2025-26. Questions on Gaganyaan’s components (crew module, service module, launch escape system), vyomanaut training locations (Russia’s Gagarin Cosmonaut Training Centre, ISRO facilities), and related missions (TV-D1, G1, G2 uncrewed flights) are essential for UPSC Science & Technology preparation.

What: Between April 2020 and March 2025, Goods and Services Tax (GST) authorities detected evasion worth approximately ₹7 trillion (₹7 lakh crore) across roughly 91,000 cases. Only around ₹1.29 trillion was recovered voluntarily, while fake Input Tax Credit (ITC) claims accounted for about ₹1.78 trillion—of which just about 7% has been recovered.

How: Detection and deterrence have been strengthened through technological tools including e-invoicing mandates, facial recognition for registration, risk-based audits using data analytics, e-way bill tracking, and artificial intelligence to identify suspicious patterns. These measures help identify shell companies, circular trading, and fraudulent ITC claims that undermine the GST system’s integrity.

Why: GST structure, Input Tax Credit mechanism, and evasion challenges are important topics for UPSC GS-III (Economy) and banking exams. Understanding concepts like reverse charge mechanism, composition scheme, anti-profiteering provisions, and enforcement measures demonstrates comprehensive knowledge of India’s indirect tax framework implemented since July 2017.

What: National Handloom Day is observed on 7 August to celebrate India’s handloom community and commemorate the Swadeshi Movement launched on 7 August 1905 at Calcutta Town Hall. The day has been marked nationally since 2015, when it was inaugurated by the Prime Minister in Chennai to honour weavers and promote India’s handloom heritage.

How: The Swadeshi Movement emerged as a response to Lord Curzon’s partition of Bengal (1905), promoting the boycott of British goods and revival of indigenous industries, particularly textiles. The movement popularised khadi and handloom products as symbols of self-reliance and national identity, laying the foundation for later mass movements under Mahatma Gandhi.

Why: Important days with historical significance are frequently tested in competitive exams. Understanding the Swadeshi Movement’s connection to the Bengal partition, its leaders (Bal Gangadhar Tilak, Bipin Chandra Pal, Lala Lajpat Rai—the Lal-Bal-Pal trio), and its legacy in India’s freedom struggle is essential for UPSC GS-I (Modern History) and general awareness sections.