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India & World Current Affairs

4 August 2026

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World Trade

US Imposes 25% Tariff on Brazil Citing Unfair Trade Practices

The United States has announced a 25% tariff on imports of Brazilian agricultural and industrial goods. The decision, effective immediately, cites unfair trade subsidies and protectionist barriers against U.S. exports.

PM Modi to Launch India’s First Hydrogen Train and ₹25,000 Crore Infrastructure Projects

Prime Minister Narendra Modi is scheduled to launch India's first hydrogen-powered passenger train and inaugurate development projects worth ₹25,000 crore. The initiatives aim to promote green energy in railways.

RBI Financial Inclusion Index Hits 70.0 in FY26, Usage Drives Gains

The Reserve Bank of India's Financial Inclusion Index (FI-Index) rose to 70.0 for the financial year ended March 2026. The improvement was driven primarily by gains in the financial usage parameter.

Indians Account for Nearly Half of Seafarer Deaths in Hormuz Crisis

International maritime security reports indicate that Indian nationals account for nearly half of seafarer deaths in the ongoing Strait of Hormuz shipping crisis. The development raises concerns for Indian merchant navy personnel safety.

RBI Issues Draft Guidance on Data Governance for Regulated Entities

The Reserve Bank of India has released draft guidelines on data governance for banks and financial institutions. The framework aims to ensure data privacy, security, and integrity across regulated entities.

China GDP Growth Slows to 4.3% in Second Quarter 2026

China's economic growth slowed to 4.3% in the second quarter of 2026. The slowdown is attributed to a property market depression, high local government debt, and weak consumer demand.

India Uttar Pradesh

Supreme Court Clears Uttar Pradesh’s Kukrail Night Safari and Zoo Project

The Supreme Court has cleared the Uttar Pradesh government's project to set up the Kukrail Night Safari and Zoo in Lucknow, dismissing environmental petitions against it. The court mandated strict compliance with conservation guidelines.

India Tamil Nadu

Ransomware Group Posts Data Linked to Kudankulam Nuclear Power Plant on Dark Web

A cybercriminal ransomware gang has leaked internal data allegedly linked to the Kudankulam Nuclear Power Plant on the dark web. Officials have initiated investigations to assess potential security breaches.

India Adds 9,911 MBBS Seats for 2026-27 Session, Total Hits 1,36,939

The Ministry of Health and the National Medical Commission have approved the addition of 9,911 MBBS seats for the 2026-27 academic session. This expansion brings the total number of medical seats in India to 1,36,939.

World Geopolitics

PoK Leaders Label Region 'Occupied' in Shift Against Islamabad

Political and civil leaders in Pakistan-occupied Kashmir (PoK) have passed resolutions declaring the region as 'occupied' by Pakistan. The movement protests the exploitation of local water resources and unfair taxation.

RBI Reports $2 Billion Current Account Deficit for May 2026 as Trade Gap Widens

The Reserve Bank of India has reported a Current Account Deficit (CAD) of $2 billion for May 2026. The deficit is attributed to a widening merchandise trade gap driven by increased oil and gold imports.

Ministry of Home Affairs Sets 2027 for Nationwide Census of India

The Ministry of Home Affairs has scheduled the next decennial Census of India for 2027. Originally due in 2021, the census was delayed by the pandemic, and will mark India's first digital census with self-enumeration.

FBI Adds Indian National Nitish Kaushal to Most Wanted List

The U.S. Federal Bureau of Investigation (FBI) has placed Indian citizen Nitish Kaushal on its cyber most wanted list. Kaushal is accused of operating international technical support scam networks out of call centers in India.

U.S. and Iraq Finalize Timeline for Combat Troop Withdrawal by September 2026

The United States and Iraq have finalized a joint agreement to end the coalition's military mission in Iraq. The withdrawal of all combat forces is scheduled to be completed by September 2026, transitioning to a bilateral security partnership.

MEA Defines Indian Passport as a Tool to Regulate Citizen Departure

The Ministry of External Affairs has submitted an affidavit in court explaining the statutory scope of the Passports Act, 1967. The ministry clarified that a passport is a sovereign document to regulate departures, not an absolute right.

Kerala High Court Questions If Navy Can Assess MSC Elsa 3 Wreckage Impact

The Kerala High Court has questioned whether the Indian Navy has the technical competence to assess the environmental impact of the MSC Elsa 3 wreckage off the Cochin coast. The court suggested involving specialized marine research institutes.

Ladakh Restructured: Government Announces Five New Districts to Boost Local Governance

The Ministry of Home Affairs has finalized the boundary definitions and administrative setups for the five new districts in Ladakh: Sham, Nubra, Changthang, Zanskar, and Drass. The restructuring aims to improve administrative access and public service delivery.

US Eases 500% Russian Oil Tariff Threat for India and China

The United States administration has eased its proposed threat of 500% secondary tariffs on Russian oil imports for India and China. The decision aims to avoid severe disruption in global energy markets and prevent a price shock.

RBI Overhauls Bank Governance Norms to Prioritize Strategic Board Oversight

The Reserve Bank of India has issued revised corporate governance norms for commercial banks. The guidelines separate executive management from board oversight and cap the tenure of independent directors at 15 years.

Supreme Court Rules Government Can Revise Mineral Royalty Rates Irrespective of Lease Deeds

A 9-judge Constitution Bench of the Supreme Court has ruled that the government has the sovereign power to revise mineral royalty rates, overriding terms in historical mining lease deeds. The court reaffirmed that mineral royalty is not a tax.

US Reinstates Iran Maritime Blockade Following Jordan Missile Strikes

The U.S. Navy's Fifth Fleet has reinstated a comprehensive maritime blockade on Iranian shipping in the Persian Gulf. The escalation follows a missile strike launched on a joint U.S.-Jordanian military outpost on July 14, 2026.

India-UK Trade Deal: Zero Duty Access for Textiles and Gems Begins

Zero duty access for Indian textile and gemstone exports to the United Kingdom has formally commenced on July 15, 2026. The trade concessions mark the initial phase of the bilateral Free Trade Agreement.

RBI Governor Urges Banks to Adopt AI and Enhance Cybersecurity Standards

RBI Governor Shaktikanta Das has urged commercial banks to deploy artificial intelligence and machine learning in fraud detection. Speaking at a conference, he warned of rising digital frauds and emphasized proactive threat modeling.

Delhi Court Convicts Former AAP Leader Tahir Hussain in 2020 Delhi Riots Cases

A Delhi court has convicted former AAP leader Tahir Hussain and several others in cases relating to the February 2020 North-East Delhi riots, including charges of conspiracy, rioting, and attempted murder.

NTA Releases CSIR UGC NET June 2026 Admit Cards: Download Link & Exam Dates Out

The National Testing Agency (NTA) has released the admit cards for the Joint CSIR-UGC NET June 2026 examination. The written exam will take place on July 25, 26, and 27, 2026 in Computer Based Test mode.

Bihar Launches Mega Ecotourism Investors Meet to Develop 276 Ecological Sites

The Bihar government has launched an Ecotourism Investors Meet to attract private investments for developing 276 identified ecological sites. The project will run on a public-private partnership model.

Delhi Government Finalizes Eligibility Criteria for ₹2,500 Monthly Lakshmi Yojana

The Delhi government has finalized the eligibility guidelines for the Delhi Lakshmi Yojana, a welfare scheme providing ₹2,500 monthly to women aged 21-60. The funds will be distributed via Direct Benefit Transfer.

India and Japan Review Defense Ties Ahead of 2+2 Ministerial Dialogue

India and Japan held high-level defense reviews on July 14, 2026, to assess bilateral military cooperation and defense industrial ties. The meeting prepares the ground for the upcoming 2+2 Ministerial Dialogue.

SEBI Notifies Foreign Venture Capital Investors (Amendment) Regulations, 2026

The Securities and Exchange Board of India (SEBI) has notified the Foreign Venture Capital Investors (Amendment) Regulations, 2026. The new rules streamline compliance and mandate registration through designated depository participants.

Punjab and Haryana High Court: Dissent and Sloganeering Are Not Sedition

The Punjab and Haryana High Court has ruled that expressing dissent or sloganeering against the government does not qualify as sedition. The court clarified that the legal threshold for sedition requires clear incitement to violence.

RBI Sets Premature Redemption Price for Sovereign Gold Bond 2020-21 Series IV

The Reserve Bank of India has fixed the premature redemption price for Sovereign Gold Bond 2020-21 Series-IV at ₹14,307 per unit. Investors who subscribed to this tranche in July 2020 can exit on July 14, 2026.

Trump Notifies Congress of Resumed Iran Conflict, Reinstates Gulf Naval Blockade

President Donald Trump formally notified Congress on July 13, 2026, that active conflict with Iran has resumed following the collapse of an interim agreement. The U.S. has reinstated a naval blockade on Iranian shipping and committed to securing the Strait of Hormuz.

EAM Jaishankar Launches India's Bid for 2028-29 UNSC Non-Permanent Seat

External Affairs Minister S. Jaishankar has officially launched India's campaign for a non-permanent United Nations Security Council seat for the 2028-29 term. The election in June 2027 will feature a direct contest with Tajikistan for the sole Asia-Pacific seat.

India Declares Day of National Mourning for Former Qatari Emir Sheikh Hamad bin Khalifa Al-Thani

The Government of India has declared a one-day national mourning on July 13, 2026, as a mark of respect for the former Emir of Qatar, Sheikh Hamad bin Khalifa Al-Thani, who passed away at the age of 74. The Tricolour will fly at half-mast nationwide.

Supreme Court Mandates Bar Council of India to Audit Lawyer Disciplinary Systems

The Supreme Court of India has directed the Bar Council of India (BCI) to audit its disciplinary proceedings against advocates. The court expressed concern over extensive delays in resolving professional misconduct complaints.

Ladakh Administration Announces 17 New Tehsils to Decentralize Governance

The Union Territory administration of Ladakh has created 17 new tehsils, increasing the total count from 15 to 32. The expansion is aimed at operationalizing the five newly established districts and improving administrative access for remote regions.

Geologists Warn of Severe Seismic Risks at China's Proposed $167.8 Billion Brahmaputra Dam

Geologists have raised critical warnings regarding high seismic risks at the site of China's planned mega-dam on the Brahmaputra River (Yarlung Tsangpo) in Tibet. Located near active fault lines, a failure could trigger catastrophic floods in downstream India and Bangladesh.

World South Asia

India and Taliban Officials Hold Agriculture Cooperation Talks in Kabul

Indian technical representatives and Taliban officials held talks in Kabul to discuss cooperation in the agricultural sector. The discussions focused on capacity building, irrigation infrastructure, and boosting bilateral agricultural trade.

Economy Agriculture Sector

Delayed Monsoon 2026 Hinders Kharif Sowing: Economic & Agricultural Impact

Kharif crop sowing in India is significantly behind schedule in early July 2026, primarily due to a delayed and erratic Southwest Monsoon. This delay in rainfall is impacting crucial agricultural regions and resulting in a shortfall in the cumulative sown area for key Kharif crops.

International Relations Bilateral Agreements

PM Modi's Indonesia Visit 2026: Boosting Defence & Maritime Ties for Indo-Pacific

Prime Minister Narendra Modi completed a significant three-day official bilateral visit to Jakarta, Indonesia, concluding on October 28, 2026. The visit's main objectives were to deepen strategic ties, primarily by enhancing defence cooperation and maritime security partnerships between India and Indonesia.

International Relations Bilateral Agreements

EAM Jaishankar's Six-Nation Tour: Navigating Post-Peace Gulf Dynamics & Global Shifts

External Affairs Minister S. Jaishankar is undertaking a crucial six-nation diplomatic tour covering the Middle East, Belgium, and the United States. This visit aims to consolidate India's strategic presence amidst rapidly shifting global geopolitical landscapes, particularly concerning post-peace Gulf dynamics and maritime security in the Red Sea.

Economy Banking System

Indian Banks Face Liquidity Pressure as CASA Deposit Growth Slows Amidst Rising Credit Demand

Indian banks are facing significant liquidity challenges due to a slowdown in the growth of low-cost CASA deposits. This is occurring even as credit demand in the economy is surging, leading to a widening gap between credit expansion and deposit mobilization.

Science & Technology Public Health & Biotechnology

India Bans 16 Fixed-Dose Combination Drugs to Protect Public Health

The Indian Ministry of Health and Family Welfare has banned the manufacture, sale, and distribution of 16 Fixed-Dose Combination (FDC) drugs. This decision, based on expert committee reviews, aims to protect public health by removing combinations deemed therapeutically unjustified and potentially risky.

Economy Digital Infrastructure

NPCI Partners with HSBC, JP Morgan for Real-Time UPI Cross-Border FX Settlement

The National Payments Corporation of India (NPCI) has partnered with HSBC and JP Morgan to create a real-time foreign exchange (FX) settlement system for UPI cross-border transactions. This collaboration will enable instant currency conversion and settlement for payments made using UPI internationally or by foreign users in India.

International Relations Bilateral Agreements

India-Israel Bilateral Investment Agreement 2026 Enters Into Force, Strengthening Economic Ties

The India-Israel Bilateral Investment Agreement (BIA) officially entered into force on January 1, 2026, signaling a significant enhancement of economic relations between the two nations. This new agreement replaces the older treaty signed in 1996, following intensive negotiations and ratification exchanges between both governments.

Indian Railways Achieves 4.02% Freight Volume Growth, Boosting Revenue in June

Indian Railways demonstrated robust performance in June 2026, recording a significant increase in freight traffic. The network moved 142.21 million tonnes of cargo, a notable rise from 136.71 million tonnes transported in June 2025. This 4.02% year-on-year growth in cargo throughput not only signifies enhanced logistical capabilities but also generated an additional revenue of approximately ₹430 crore, underscoring the vital role of rail freight in national economic activity and infrastructure utilization.

Centre Amends Drugs Rules 1945 to Regulate Cell and Gene Therapies for Enhanced Oversight

The Union Government has introduced crucial amendments to the Drugs Rules, 1945, establishing a comprehensive regulatory framework for cutting-edge cell and gene therapies in India. This move aims to standardize the oversight of advanced medical interventions, including stem cell-based regenerative treatments and CAR-T cell therapies crucial for conditions like leukemia and lymphoma. By ensuring uniform national protocols for manufacturing, quality control, and clinical application, the government seeks to bolster patient safety and foster responsible innovation within the rapidly evolving biotechnology sector.

Delhi Monsoon Arrives July 2, Five Days Late; First July Onset Since 2021

The Southwest Monsoon commenced its activity over Delhi on July 2, 2026, marking a delay of five days from its typical onset date of June 27. This occurrence represents the first instance since 2021 that the national capital has experienced its monsoon arrival in July. Following this, the India Meteorological Department (IMD) issued a yellow alert for the Delhi-NCR region, forecasting sustained rainfall and a subsequent reduction in temperatures, thereby signifying the official start of the wet season.

India and EU Advance Green Shipping Corridor Talks to Decarbonize Maritime Trade Routes

India and the European Union are actively progressing discussions to establish a strategic Green Shipping Corridor. This initiative aims to significantly decarbonize maritime trade routes by facilitating the adoption of zero-emission fuels, primarily green hydrogen and ammonia. Positioned as a sustainable complement to the broader India-Middle East-Europe Economic Corridor (IMEC), the corridor will enhance resilient and environmentally responsible logistics chains, ensuring compliance with International Maritime Organization (IMO) standards for a greener global shipping industry.

Kerala Reviews Adani's Proposed 49% Vizhinjam Port Stake Sale to MSC Group

The Government of Kerala is scrutinizing Adani Ports and Special Economic Zone Limited's proposal to divest a 49 percent equity stake in the Vizhinjam International Seaport project to the MSC Group. This review became necessary after Adani announced the deal without adhering to the mandatory prior communication requirement stipulated in the existing concession agreement. State government approval is critical for any significant ownership transfer within this Public-Private Partnership (PPP) venture, ensuring strict compliance with contractual terms and safeguarding Kerala's strategic interests in the deepwater port.

Punjab Launches Satkar Raashi Scheme: Direct Financial Aid for Women Heads

Punjab Chief Minister Bhagwant Singh Mann has launched the 'Satkar Raashi' scheme, fulfilling a key electoral promise. This initiative will provide direct financial assistance to female heads of households, becoming effective from July 1, 2026. A crucial provision allows for retroactive payments, ensuring that women registering late will still receive aid covering the period from the scheme's implementation date. The program aims to bolster financial independence and streamline welfare delivery through a robust Direct Benefit Transfer mechanism.

RBI to Conduct ₹34,000 Crore Underwriting Auction for 6.94% GS 2036 on July 3, 2026

The Reserve Bank of India (RBI) will conduct an underwriting auction for the re-issuance of the 6.94% Government Security (GS) 2036, totaling ₹34,000 crore, on July 3, 2026. This crucial multiple price-based auction, utilizing the e-Kuber system, mandates Primary Dealers to submit bids within a short window. Each dealer faces a significant Minimum Underwriting Commitment and Additional Competitive Underwriting requirement of ₹810 crore, ensuring successful subscription of government market borrowing and liquidity in the G-Sec market.

India-Japan 2026 Summit Bolsters Defense, High-Tech, Indo-Pacific Cooperation

The India-Japan Summit on July 2, 2026, reinforced their 'Special Strategic and Global Partnership', focusing on expanded collaboration across critical sectors. Discussions involving Union Minister Piyush Goyal, Ambassador Nagma Mallick, and industry leaders emphasized enhanced defense co-production, advanced electronics manufacturing, and strengthening supply chain resilience. The summit underscored a shared commitment to a free and open Indo-Pacific, addressing regional stability and promoting mutual strategic interests through high-tech cooperation and diversified economic frameworks.

Supreme Court Affirms Governor's Constitutional Remission Power Overrides CrPC Provisions

The Supreme Court recently clarified that sentence remission policies issued under the Governor's constitutional prerogative (Article 161) supersede statutory provisions of the Code of Criminal Procedure (Sections 432, 433). A bench of Justices Sanjay Karol and Nongmeikapam Kotiswar Singh declared the 2021 State of Haryana v. Raj Kumar judgment as per incuriam, thereby reinstating the 2010 Jagdish case precedent. This ruling establishes that the remission policy applicable at the time of a prisoner's conviction governs eligibility, preventing the retrospective application of stricter statutory norms.

RBI Updates Citizen's Charter to 213 Services, Achieving 99.9% Processing Efficiency

The Reserve Bank of India (RBI) recently enhanced its Citizen's Charter, expanding the scope to cover 213 distinct services. This significant update involved the inclusion of 14 new service categories and modifications to the timelines for four existing ones, reflecting a commitment to improved operational transparency. Performance data for June 2026 highlighted exceptional efficiency, with 18,563 out of 19,177 applications processed adhering strictly to prescribed deadlines, resulting in an impressive 99.9% on-time completion rate across its various departments. This demonstrates the central bank's robust internal processing capabilities.

MEA Overhauls Passport Fee Structure: Standard 36-Page Booklet Increased to ₹2,500 Effective July 1, 2026

The Ministry of External Affairs (MEA) has revised passport fees in India starting July 1, 2026, raising standard 36-page passport fees to ₹2,500 and Tatkaal to ₹5,000. This is the first major revision in 14 years.

VB-G RAM G Act Rollout: Replaces MGNREGA with 125-Day Guarantee and Minimum ₹300 Base Wage

The Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) [VB-G RAM G] Act, 2025 has officially come into force as of July 1, 2026, replacing MGNREGA. It guarantees 125 days of work and implements a ₹300 interim base wage.

National Regulations

IT Amendment Rules 2026 Enforced: Strict 3-Hour Deepfake Takedown Mandate and Safe Harbor Immunity Rules

The Ministry of Electronics and Information Technology (MeitY) has notified the IT Amendment Rules 2026, establishing a strict 3-hour deepfake takedown window.

National Governance

EPFO 3.0 Digital Upgrade: Auto-Settlement Limit Raised to ₹5 Lakh and Aadhaar-Linked UPI Withdrawals Launched

The Ministry of Labour has rolled out the EPFO 3.0 digital upgrade, introducing auto-settlement up to ₹5 lakh and Aadhaar-linked UPI withdrawals.

RBI's June 2026 FSR Confirms Resilient Indian Financial System Stability

The Reserve Bank of India's latest Financial Stability Report for June 2026 affirms the continued robustness of the nation's financial system, demonstrating strong resilience amidst an evolving global landscape. It highlights healthy capital and liquidity buffers across Scheduled Commercial Banks (SCBs) and Non-Banking Financial Companies (NBFCs), alongside improved asset quality. The report underscores the sector's capacity to withstand potential adverse shocks, reinforcing confidence in India's economic stability despite persistent external volatilities and geopolitical tensions.

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