economy

Creative Economy in India, Current Situation and Concerns

Context: As India strives to become a $5 trillion economy, it must revamp its innovation strategy, fostering creativity across all levels. Current Situation of Creative Economy in India Economic Value: As of 2024, India’s creative economy is valued at $30...

Food Adulteration in India: Definition, Types and Prevention

Context: The prevalence of adulterated food should set alarm bells ringing in a country What is Meant by Food Adulteration? Food adulteration refers to the intentional or unintentional contamination of food by adding, mixing, or substituting harmful or inferior substances...

Sunrise Sectors in India, Key Characteristics and Examples

Context: The Union Finance Minister stated that India aims to double the share of manufacturing in GDP to 23%, helped by sunrise sectors. What are Sunrise Sectors? Sunrise sectors are industries in their early stages of development that are expected...

Gold Price Surge in India, Key Drivers and its Impact

Context: Recently, the price of 24-karat gold has touched ₹1,01,350 per 10 grams. This is the first time gold prices in India have breached the ₹1 lakh mark. Key Drivers Behind the Surge in Gold Price Weakening U.S. Dollar: The...

Fiscal Slippage, Causes and Implications

Context: In a recent interaction with the Indian Diaspora, the Union Finance Minister has stated that the government's debt is being managed well and the fiscal deficit will not slip out of control. What is Fiscal Slippage? Fiscal slippage refers...

India’s Oil Import Dependency Reaches Record High

India's Oil Import In FY25, India’s oil import dependency rose to 88.2%, up from 87.8% in FY24. Out of 88.2% only 8% of petroleum product consumption was met through domestically produced crude. Natural Gas Import Dependency: Natural gas import dependency...

Steel Production in India, Major Players and Challenges

Context: To protect the domestic steel industry from a surge in low-cost imports, the Indian government has imposed a 12 percent provisional safeguard duty on certain non-alloy and alloy steel flat products. Amidst a backdrop of global economic slowdown, India...

RBI issued New Guidelines regarding Liquidity Coverage Ratio (LCR)

Context: The Reserve Bank of India has issued new guidelines regarding Liquidity Coverage Ratio (LCR). What is Liquidity Coverage Ratio (LCR)? Liquidity Coverage Ratio (LCR) refers to the minimum amount of High-Quality Liquid Assets (HQLA) a bank must hold to...

Donald Trump’s Reciprocal Tariffs: Impact on India and India’s Response

Context: President Donald Trump's announcement of new reciprocal tariffs—currently set at 10% for most countries for a 90-day period—is intended to address U.S. trade imbalances and carries notable implications for India. US President Donald Trump celebrated America’s “Liberation Day” on...

Growth in Gold Loans and NPAs, Reasons and RBI’s Draft Guidelines

Context: The RBI is drafting a new framework for gold loans in response to a surge in both gold loan outstanding and Non-Performing Assets (NPAs) in this segment. Growth in Gold Loans and NPAs As per RBI data, Gold loan...