Decoding India’s growth slowdown
GDP Growth Slump: Relevance: GS 3(Economic Development) Data Discrepancies: Private Investment Issues: Sectoral Slowdown: Fiscal Strain: Recommendation for Revenue Mobilization: Conclusion:
The Centre’s share in States’ revenue has surged in the last decade
Findings: Relevance : GS 3(Economic Development) . Decline in States’ Own Revenue: Dependency on Centre: Inefficiency in Tax Collection: Implications: Conclusion:The increasing reliance on Central transfers and declining own revenue sources point to a structural issue in state finance management. States need to enhance their tax collection capabilities to reduce dependency on the Centre and improve fiscal autonomy. Effective tax reform, especially […]
GDP growth projected to fall to four-year low at 6.4%
Context : GDP Growth Projections: India’s GDP is expected to grow at 6.4% in FY 2024-25, the lowest in four years, down from 8.2% in FY 2023-24 (National Statistics Office’s advance estimates). Relevance : GS 3(Economic Development ) Economic Recovery: The economy grew by 6% in the first half of the current financial year, with a projected 6.8% […]
Financial System Stable on Healthy Balance Sheets
Context; The RBI reported a stable financial system in 2024, characterized by improved asset quality, strong capital buffers, and shifting deposit preferences driven by rising interest rates. Relevance : GS 3( Banking ) Asset Quality Profitability Trends Banking Resilience Deposit Profile Shift Implications Outlook
Leave Banking to RBI Says Supreme Court
Case Background Context: Relevance : GS 2(Judiciary ), GS 3(Banking ) Supreme Court’s Judgment: Observations by the Supreme Court Rationale Behind the Verdict Role of RBI: Judicial Overreach: Legal Framework Referenced Banking Regulation Act, 1949: Judicial Oversight: Implications of the Verdict Clarification of Roles: Impact on Consumers: Banking Autonomy:
Govt. will boost spending quality, cut fiscal deficit
Context: Finance Minister Nirmala Sitharaman is set to present the 2025-26 Budget on February 1, and the government is committed to reducing the fiscal deficit to 4.5% of GDP by FY2026. Relevance: GS 3 ( Budget,Economy)
Net Direct Tax Collections Rise 16.5%
Context: India’s net direct tax collections for the fiscal year 2024-25 have shown robust growth, with a significant rise in non-corporate tax receipts. Relevance: GS 3 (Economy)
Finance Minister Asserts Q2 Growth ‘Blip’ is Temporary
Context:India’s GDP growth slowed to 5.4% in Q2 2024-25, attributed to temporary factors. Relevance: GS 3 (Economy)
UN talks On Drought Deal in Saudi Fail To Produce Pact
Context: The 12-day meeting of parties to the United Nations Convention to Combat Desertification (UNCCD), known as COP16, concluded as parties tried to finalise a deal. Relevance : GS 3(Climate Change ) Negotiation Outcome: Progress Made: Drought Impact: Disagreements on Framework: Financial Support: Future Goals:
Wholesale Food Inflation Eased in NOV
Context: Overall inflation in wholesale prices cooled to a three-month low of 1.9% Relevance: GS 3 (Inflation) Overall Inflation: Food Price Trends: Primary Articles and Fuel: Manufactured Products: Economic Impact: