economy

Why Confidence in US Dollar is Falling?

Context: Recently the US dollar has started losing value due to reciprocal tariffs. What is the Bond Market? Bond = A Loan to Government or Company When a government or company needs money, they borrow from investors by issuing "bonds"....

Repo Rate and Reverse Repo Rate, Impact on Economy

Context: Recently the Monetary Policy Committee (MPC) of RBI has decided to cut the repo rate by 25 basis points to 6%. Repo Rate and Reverse Repo Rate Repo Rate: The interest rate that the RBI charges when commercial banks...

World Economic Forum’s Future of Jobs Report 2025 Highlights

Context: The World Economic Forum’s Future of Jobs Report 2025 and QS’s World Future Skills Index contain critical insights into the state of India’s workforce and its preparedness for the future. Key Insights of the Future of Jobs Report 2025...

Rising Household Debt, Trends, Causes and Impacts

Context: Household debt has surged dramatically in the years after the pandemic. Trends in Household Debt Rapid Growth Post-Pandemic Household debt rose from 6% of GDP in June 2021 to 42.9% in June 2024. Historically, it hovered around 33% between...

RBI’s Remittance Survey (2023-24) Highlights

Context: According to the recently released RBI remittance survey Advanced Economies now account for more than 50% of total remittances to India. What are Remittances? Remittances are money transfers made by individuals working abroad to their families or relatives in...

Urban Cooperative Banks in India, Functions and Challenges

Context: The Reserve Bank of India (RBI) has decided to replace the SAF with the PCA framework to strengthen supervisory intervention for financially weak Urban Cooperative Banks (UCBs). Urban Cooperative Banks (UCBs) Urban Cooperative Banks (UCBs) are financial institutions that...

PAC Report on GST Reforms and Recommendations

Context: The 19th report of Parliament’s Public Accounts Committee (PAC) presents a critical evaluation of the Goods and Services Tax (GST) regime. More in News The report highlights significant structural and operational deficiencies in the GST framework, particularly concerning revenue...

Regional Rural Banks in India, Objectives, Functions, Achievements

Context: Regional Rural Banks (RRBs) have posted their highest-ever consolidated net profit of ₹7,571 crore in FY 2023-24. About Regional Rural Banks (RRBs) Regional Rural Banks (RRBs) are aimed at providing banking services in rural areas, particularly to small farmers,...

Micro, Small and Medium Enterprises (MSME)

Context: The Economic Survey highlighted areas for MSME growth. The Union government has notified significant revisions to turnover and investment criteria for classifying MSMEs that will take effect from April 1. Micro, Small and Medium Enterprises (MSME) Regulatory Framework: MSMEs...

Universal Basic Income (UBI), Need, Advantages and Disadvantages

Context: Bill Gates' overall vision is that AI could generate enough wealth and efficiency to make UBI feasible, but realizing this vision will require effective policy, taxation, and wealth redistribution strategies. What is Meant by Universal Basic Income (UBI)? Universal...