Current Affair Category: Indian Economy

The 16th Finance Commission (16th FC), chaired by Dr. Arvind Panagariya, submitted its report to President Droupadi Murmu on November 17, 2025. Tabled alongside the Union Budget 2026-27 on February 1, 2026, the recommendations define the fiscal architecture for the five-year period from April 1, 2026, to March 31, 2031. 1. Vertical Devolution: Distribution between […]

OVERALL BUDGET PHILOSOPHY (MAINS READY INTRO) Theme: Fiscal discipline + High public investment + Structural reforms Continuity with reform momentum + focus on Viksit Bharat @2047 Key Macro Signals: Growth rate ~ 7% (India fastest-growing major economy). Fiscal deficit on glide path. Emphasis on “crowding-in” private investment. Shift from welfare-only to productive capital expenditure. TAX […]

Why in news? Chief Economic Advisor V. Anantha Nageswaran has raised India’s “potential” economic growth rate from 6.5% to 7%. Definition: Unlike the annual growth rate (how fast an economy grows in a specific year), the potential growth rate is the speed at which an economy can grow without triggering high inflation. Significance: * Growing […]

Virtuous Cycle of Investment: A virtuous cycle of investment is a self-reinforcing economic process where increased investment drives productivity, higher income, and demand, which in turn encourages further investment The Survey emphasizes that India is currently on the threshold of a self-sustaining “Virtuous Cycle,” where one economic success triggers the next. Unlike a “vicious cycle” of […]

Economic Survey 2025-26: Key  Highlights :  Key  Highlights : Macroeconomic Performance & Fiscal Outlook GDP Growth: The first advance estimate projects real GDP growth at 7.4% and GVA growth at 7.3% for FY26. Future Projections: India’s potential growth is estimated at around 7%, with the real GDP growth for FY27 projected between 6.8% and 7.2%. […]

Five Indian States Struggle to Meet FRBM Targets Despite Post-COVID Recovery Recent data from the Reserve Bank of India (RBI) Study of State Budgets 2025 highlights a persistent fiscal challenge: while several major Indian states have successfully trimmed their debt-to-GSDP ratios since the pandemic, they remain significantly above the targets mandated by the Fiscal Responsibility […]

In January 2026, the Delhi Food Security Rules, 2025 gained significant media attention after being approved by the Delhi Cabinet and sent to the Lieutenant Governor for final notification. The rules aim to overhaul the city’s Public Distribution System (PDS) to prioritize the “poorest of the poor” and clear a decade-long backlog of over 11 […]

Key Points: The Economic Landscape Growth Momentum: High-frequency indicators for December suggest continued buoyancy in growth. Rural Demand: There is a significant uptick in rural momentum, evidenced by broad-based growth in retail automobile sales. GDP Projections: Real GDP growth for 2025-26 is estimated at 4%, a notable increase from 6.5% the previous year. Inflation Trends: […]

Why in News ? Recently, the Central Silk Board has announced an ambitious plan to double India’s silk value chain, currently valued at Rs 55,000 crore, to 1.1 lakh crore by 2030. About CSB: It is a statutory body under the Union Ministry of Textiles, established by the Central Silk Board Act, 1948 (later amended as Central Silk Board (Amendment) […]

The Ganga Expressway is a 6-lane (expandable to 8) greenfield project that will be India’s longest expressway upon full completion. It is designed to provide high-speed connectivity between the western and eastern borders of Uttar Pradesh, reducing travel time between Meerut and Prayagraj from 12 hours to just 6–7 hours. Total Length: 594 km Total […]