🇮🇳 National News
On February 7, 2026, India and the United States agreed on a framework for an Interim Trade Agreement (ITA), marking a significant step towards a full bilateral trade agreement.
- Tariff Reduction – India will reduce or remove tariffs on all industrial goods and many agricultural products from the USA, including DDGs, red sorghum, tree nuts, fruits, soybean oil, wine and spirits.
- USA’s Reciprocal Tariffs – USA will impose 18% reciprocal tariff on Indian exports such as textiles, leather, plastics, chemicals, and handicrafts (down from 25%).
- India’s Trade Purchases – India plans to buy USD 500 billion worth of products over 5 years from the USA, including energy products, aircraft, technology products, precious metals, and coking coal.
- Digital Trade – Expanded trade in advanced technology products including GPUs and data-centre equipment.
The ITA reduces USA’s reciprocal tariff on Indian exports from 25% to 18%, while India commits to purchasing USD 500 billion in American products over 5 years.
On February 6, 2026, Abhay Karandikar, Secretary, Department of Science and Technology (DST), launched the India-Netherlands Hydrogen Fellowship Programme in New Delhi.
- MoU Signed – Between the University of Groningen (Netherlands) and 19 Indian Institutes of Technology (IITs) for green energy and hydrogen research.
- Open to – Indian PhD scholars, postdoctoral researchers, and faculty members.
- Focus Areas – Hydrogen system integration, safety standards, techno-economic analysis, life-cycle assessment, and indigenization pathways.
- Alignment – National Green Hydrogen Mission (NGHM), Energy Independence by 2047, Net-Zero by 2070.
In February 2026, the Government of India signed MoUs/agreements with 23 countries to share and promote its Digital Public Infrastructure (DPI) and India Stack framework.
- Focus Areas – Digital identity, digital payments, data exchange, and service delivery platforms.
- UPI Now Live in 8 Countries – UAE, Singapore, Bhutan, Nepal, Sri Lanka, France, Mauritius, and Qatar.
- DigiLocker MoUs – Signed with Cuba, Kenya, UAE, and Lao PDR.
- India Stack Global – Portal facilitates access to 18 key digital platforms including Aadhaar, UPI, CoWIN, and DigiLocker.
UPI is now operational in 8 countries, while DigiLocker cooperation has been extended to Cuba, Kenya, UAE, and Lao PDR.
In February 2026, V.O. Chidambaranar (VOC) Port in Thoothukudi, Tamil Nadu, became the first port in India to initiate installation of an advanced Anti-Drone System.
- Agreement – Signed between A. Ganesan (VOCPA) and Anurag Agarwal (Central Electronics Limited).
- Coverage – 360-degree omnidirectional RF and radar-based drone detection system with up to 5 km range.
- Timeline – Expected completion within 3 months.
VOC Port, Thoothukudi is the first port in India to deploy an anti-drone system with 360-degree detection and 5 km range.
The Department of Social Justice and Empowerment (DoSJE) signed an MoU with Physics Wallah (PW) Foundation to provide free online coaching to 5,000 aspirants annually from SCs, OBCs, and PM CARES for Children beneficiaries.
- Exams Covered – Civil Services, SSC, and Banking examinations.
- Support – Live and recorded classes, test series, study material, mentorship, doubt-solving, and counselling.
On 3 February 2026, the Ministry of Mines notified the Offshore Areas Mineral (Prevention of Illegal Mining and Transportation) Rules, 2026.
- Coverage – Regulates offshore minerals excluding hydrocarbons; exempts non-commercial scientific activities.
- Monitoring – Mandatory real-time Electronic Monitoring Systems; digital transit permits.
- Penalties – Imprisonment up to 5 years; fines Rs 50 lakh to Rs 1 crore; daily penalty up to Rs 5 lakh.
💼 Business & Economy
The Reserve Bank of India (RBI) conducted the 6th Bi-monthly Monetary Policy Committee meeting (February 4–6, 2026) under Governor Sanjay Malhotra.
| Policy Rate | New Rate | Change |
|---|---|---|
| Repo Rate | 5.25% | ↓ 25 bps |
| SDF Rate | 5.00% | ↓ 25 bps |
| MSF Rate & Bank Rate | 5.50% | ↓ 25 bps |
- Decision – Repo rate reduced by 25 bps to 5.25% (unanimous decision).
- Stance – Neutral stance maintained.
RBI Governor: Sanjay Malhotra. Repo Rate: 5.25%. SDF: 5.00%. MSF & Bank Rate: 5.50%. Stance: Neutral.
On February 6, 2026, the RBI issued a risk-based premium framework for deposit insurance, to be implemented by DICGC from 1 April 2026.
| Risk Category | Premium (per Rs 100) | Risk Level |
|---|---|---|
| Category A | 8 paise | Safest |
| Category B | 10 paise | Low Risk |
| Category C | 11 paise | Moderate Risk |
| Category D | 12 paise | High Risk |
- Current System – Flat rate of 12 paise per Rs 100 of assessable deposits since 1962.
- Objective – Reward better-managed banks and encourage stronger risk management.
Kotak Mahindra Bank became the first custodian in India to issue a fully digital Foreign Portfolio Investor (FPI) licence using electronic signatures.
- Enabled by – SEBI’s unified digital workflow operationalised in January 2026 using Digital Signature Certificates (DSCs).
Kotak Mahindra Bank – First custodian to issue a fully digital FPI licence in India.
On February 6, 2026, IIT Madras Research Park partnered with Unicorn India Ventures (UIV) to launch a Rs 600 crore venture capital fund.
- Greenshoe Option – Rs 400 crore (total potential Rs 1,000 crore), tenure 10 years.
- Focus Sectors – Robotics, space technology, defence tech, semiconductors, and medtech.
- Investments – Over 25 startups; 60% for initial investments, 40% for follow-on.
🔬 Science & Technology
The National Statistics Office (NSO) under MoSPI launched the beta version of its Model Context Protocol (MCP) Server for the eSankhyiki portal.
- Datasets – 7 datasets: PLFS, CPI, ASI, IIP, NAS, WPI, and Environment Statistics.
- Significance – Enables users to connect AI tools to official datasets for real-time insights.
📅 Important Days
February 8 marks Propose Day, the second day of Valentine’s Week (February 7–14).
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