Contents: Threads of Progress Threads of Progress Introduction The Make in India initiative (launched in 2014) has significantly boosted textile manufacturing and exports. The textile sector is a key contributor to India’s GDP, employment, and foreign exchange earnings. Government policies, infrastructure development, and a skilled workforce have strengthened India’s position as a global textile hub. Relevance : GS 3(Economy , Export) Overview of India’s Textile Industry Contribution to Economy: 2.3% of GDP 13% of industrial production 12% of total exports Export Performance (2023-24): Total exports: US$ 34.4 billion Apparel: 42% | Raw materials/semi-finished materials: 34% | Finished non-apparel goods: 30% Employment Generation: 45 million+ direct jobs (one of the largest employment sectors after agriculture) 80% MSME dominance (decentralized production clusters) Significant employment for women and rural youth Growth Trends: Indian textile market size: US$ 174 billion → US$ 350 billion by 2030 7% increase in textile and apparel exports (April–December 2024 YoY growth) Ranked 5th globally, with a target growth rate of 15-20% in the next five years Impact of ‘Make in India’ on the Textile Industry Boosted domestic manufacturing & exports through key policy interventions Union Budget 2024-25: Added two more types of shuttle-less looms under fully exempted textile machinery Encouraged investment in advanced textile manufacturing Major Government Schemes: Production Linked Incentive (PLI) Scheme for Textiles Budget: ₹10,683 crore Focus: Man-made fibre (MMF) & technical textiles Provides financial incentives for large-scale textile manufacturers PM MITRA Parks (Mega Integrated Textile Region and Apparel) Budget: ₹4,445 crore (2021-2028) Objective: Develop integrated textile industrial hubs 7 PM MITRA Parks established in Gujarat, Maharashtra, MP, Tamil Nadu, Karnataka, UP, Telangana Benefits: Reduced logistics costs, increased FDI, enhanced global competitiveness Amended Technology Upgradation Fund Scheme (ATUFS) Budget: ₹17,822 crore Aim: Capital subsidies for technology upgradation Samarth (Skill Training for Textile Industry) Budget (FY 2023-24): ₹115 crore Beneficiaries trained: 3.82 lakh (77.74% placed) Textile Cluster Development Scheme (TCDS) Budget: ₹853 crore Generated 1.22 lakh jobs (as of March 2025) National Technical Textiles Mission (NTTM) Budget: ₹1,480 crore (2020-2026) 168 projects worth ₹509 crore approved Focus: Research, innovation, skill development, and export promotion Budget Allocations for Ministry of Textiles (2025-26) Total outlay: ₹5,272 crore (19% increase over 2024-25) Key initiatives: Cotton Mission: Improve cotton productivity, particularly extra-long staple varieties Tax Exemptions on Looms: Shuttle-less looms exempted from customs duty Higher Customs Duty on Knitted Fabrics: To curb cheap imports MSME Focus: Policies like National Manufacturing Mission, Export Promotion Mission, Bharat Trade Net, Fund of Funds Export Growth & Market Expansion India is the 6th largest textile exporter globally Textile & apparel exports share: 8.21% of India’s total exports Major Markets: USA & EU (47% of total textile exports) FTA Agreements with UAE, Australia, and EFTA (Switzerland, Norway, Iceland, Liechtenstein) Key Export Incentives: Rebate of State and Central Taxes and Levies (RoSCTL) PLI Scheme: ₹1,355 crore turnover (₹166 crore exports) Quality Control Orders (QCOs): To curb sub-standard imports Export Promotion Councils (EPCs): 11 councils promoting textiles   Foreign Direct Investment (FDI) in Textiles Total FDI (2000–2024): US$ 4.47 billion (₹28,304 crore) FDI Growth Factors: Make in India policies PM MITRA Parks Trade Agreements Bharat Tex 2024 & 2025 – India’s Global Textile Expo Bharat Tex 2024 (Feb 26–29, 2024) 3,500 exhibitors | 3,000 buyers | 1 lakh+ trade visitors Topics: Sustainability, supply chain resilience, Manufacturing 4.0 Bharat Tex 2025 (Feb 14–17, 2025) 5,000+ exhibitors | 1.2 lakh+ trade visitors | 120+ countries Expanded global textile trade footprint Vision: “Farm to Fibre, Fabric, Fashion & Foreign Markets”   Cotton Industry in India Importance: Contributes ~24% to global cotton production, supports millions of farmers and workers. Global Standing: Largest cotton acreage, 36th in productivity, 2nd largest producer and consumer. Cotton Species: India grows all four species – G. Arboreum, G. Herbaceum, G. Barbadense, and G. Hirsutum. Major Growing Zones: Northern, Central, and Southern India. Government Initiatives MSP Operations: Ensuring remunerative prices for farmers. Cott-Ally Mobile App: Assistance for cotton farmers. Aadhar-based Farmer Registration: For MSP benefits. E-Auction: Transparent cotton stock sales. Blockchain-Based QR Codes: Traceability. Kasturi Cotton Bharat Programme: Branding of Indian cotton. Silk Industry in India Significance: Called the “Queen of Textiles,” India is the 2nd largest producer and largest consumer globally. Silk Varieties: India produces all four commercial silk types – Mulberry, Tasar, Muga, and Eri. Government Support Central Silk Board (CSB): Under the Ministry of Textiles, established in 1948. Scheduled Caste Sub Plan (SCSP) & Tribal Sub Plan (TSP): Implemented under the Silk Samagra Scheme. ₹25 crore allocated (2023-24): For SCSP implementation. R&D Focus: Soil testing, organic farming, silkworm by-products, reeling tech upgrades, and automatic reeling machines. Make in India Initiative: Promotes domestic silk production. Design & Diversification: Encourages new product development. Jute Industry in India Economic Importance: Key to Eastern India, especially West Bengal, providing significant employment. Employment: 4 lakh workers in organized mills; supports 40 lakh farm families. Jute Mills: 116 composite mills; 86 in West Bengal. Government Support: MSP operations by Jute Corporation of India; direct jute sacking purchases. Production & Export: Average Land under Jute Cultivation: 799 thousand hectares. Average Raw Jute & Mesta Production: 10,990 thousand bales. Average Jute Goods Export: 133 thousand MT (~₹21,150 million annually). Government Initiatives Jute-ICARE Scheme: Enhances fibre quality, productivity, and farmer income. National Jute Board: Implements sectoral schemes. Promotion of Jute Products: To boost domestic and export demand. Innovation in Textiles Startup India & DPIIT collaboration: Conducted Innovation Challenges 9 winners awarded & incubated Technical Textile Innovations: Focus on smart fabrics, eco-friendly textiles, and technical textiles Investment in R&D: Government funding innovation in sustainable textile production Challenges & Way Forward Key Challenges: High raw material costs (cotton & MMF) Competition from low-cost producers (Bangladesh, Vietnam, China) Infrastructure gaps (port efficiency, logistics) Low share in global MMF textile trade

Content: India’s educational transformation — the true picture China-India ties across the past and into the future Pension woes India’s educational transformation — the true picture India’s education system is undergoing a transformative shift with NEP 2020, focusing on inclusivity, innovation, and reclaiming its cultural and intellectual heritage. Relevance : GS 2(Education ,Governance ) Practice Question:Critically analyze the impact of the National Education Policy (NEP) 2020 on India’s education system. Discuss its key achievements and challenges in implementation. (250 words) Historical Challenges in India’s Education System Policy Stagnation: Last major policy update in 1986, with only minor amendments in 1992. Colonial Legacy: Educational framework remained rigid and failed to adapt to global technological advancements. Governance Deficit: Public universities suffered from chronic underfunding. Private institutions proliferated as “degree mills” with poor regulation. Deemed University Scandal (2009) exposed financial irregularities in granting university status. Political Interference: University leadership appointments often based on political loyalty. The UGC and AICTE acted as control mechanisms rather than enablers of academic excellence. Distorted Curriculum: Contributions of revolutionaries like Bhagat Singh and Azad downplayed. Historical narratives curated to serve ideological biases. India’s civilisational and cultural heritage marginalised. National Education Policy (NEP) 2020 – A Paradigm Shift Policy Framework: Based on five pillars – access, equity, quality, affordability, and accountability. Democratic Approach: Result of one of the most extensive public consultations in India’s policy history. Key Achievements Under NEP 2020 Inclusive Education & Social Empowerment Enrolment Growth (2014-15 to 2022-23): SC: +50% ST: +75% OBC: +54% Muslim Minority (Female): +57.5% Women’s Empowerment: Overall female enrolment: +38.8%, crossing 2.18 crore. Women in PhD programmes: +135%. Women in STEMM: 43%, challenging traditional male dominance. Female teaching workforce: Increased from 38.6% to 44.23%. Infrastructure & Learning Outcomes Government expenditure per child: +130% (₹10,780 in 2013-14 to ₹25,043 in 2021-22). Improved Schooling Environment: Modernised infrastructure. Early childhood education focus. Holistic pedagogy & reduced dropout rates. Enhanced pupil-teacher ratio and learning outcomes. Futuristic and Skill-Based Learning Integration of Technology & Innovation: Coding introduced from middle school. Multidisciplinary education and problem-solving focus. 10,000+ Atal Tinkering Labs (ATLs) for grassroots innovation, with plans for 50,000 more. Higher Education & Research Excellence University Rankings & Research: 11 Indian universities in the QS World Rankings top 500. 88% rise in research publications (since 2015). India’s rank in Global Innovation Index improved from 76 (2014) to 39. Anusandhan-National Research Foundation fostering research-industry collaboration. Linguistic & Cultural Renaissance Ending ‘English-First’ Bias: Indian Knowledge Systems (IKS) initiative integrated into 8,000+ higher education institutions. Bharatiya Bhasha Pustak Yojana: 15,000 textbooks in 22 Indian languages to promote education in mother tongues. Social Justice & Equal Representation CEI (Reservation in Teachers’ Cadre) Act, 2019: Institution as one unit for reservations (instead of department-wise). Ended practice of rejecting SC/ST/OBC candidates under “None Found Suitable” loophole. Conclusion: Towards a ‘Viksit Bharat’ Breaking Free from Colonial Legacy: Education system no longer ideologically captive. Fulfilling National Aspirations: Empowering millions through knowledge-driven growth. Aiming for Developed Nation Status: NEP 2020 is not just an education reform but an intellectual decolonisation. China-India ties across the past and into the future Historical Overview 75 years of diplomatic relations (established on April 1, 1950). India was the first non-socialist country to establish diplomatic ties with China. Relations have experienced ups and downs but continue evolving. Relevance : GS 2(International Relations) Practice Question: China-India relations have witnessed significant transformations over the past 75 years, shaped by historical, economic, and geopolitical factors. In this context, discuss the key drivers of bilateral ties and the challenges that hinder their full potential. Suggest measures to build a stable and cooperative relationship.(250 words) Key Factors Shaping Relations Leadership as an Anchor 1950: Mao Zedong and Nehru established diplomatic ties. 1988: Rajiv Gandhi’s visit marked a shift towards normalisation. 2013-Present: Xi Jinping and Narendra Modi engaged in “hometown diplomacy” and informal summits. October 2023: Leaders met in Kazan, opening a new chapter in relations. Friendly Exchanges & Economic Cooperation Cultural and historical ties: Rabindranath Tagore & Dr. Kotnis symbolize China-India friendship. Strategic and cooperative partnership formed in the 21st century. Trade growth: $3 billion (2000) → $138.5 billion (2024). Nearly 50 dialogue mechanisms established. Expansion in education, tourism, and cultural exchanges. Dialogue as the Key to Resolving Differences Border disputes are a major challenge but have communication channels. Special Representative Mechanism on Boundary Issues established. 2023: Tranquillity restored through dialogue. Global Cooperation for a Shared Future China and India as global economic powers historically contributed to half of world GDP. Advocated Five Principles of Peaceful Coexistence post-independence. Active in multilateral organizations: BRICS, SCO, G-20. Joint responsibility for safeguarding interests of the Global South. Current Developments Recent Diplomatic Engagements Foreign Ministers met several times on multilateral platforms. 23rd Special Representatives’ Meeting and Vice Minister-Foreign Secretary Dialogue held. Over 70,000 visas issued to Indians in Q1 2024, indicating high people-to-people engagement. Economic and Trade Cooperation Despite challenges, economic ties remain strong. Momentum in bilateral trade continues with mutual benefits. Future Roadmap for China-India Relations Building a Stable & Healthy Relationship Recognizing that China and India are partners, not rivals. Upholding mutual respect, understanding, and trust. Separating boundary issues from overall ties to maintain stable relations. Fostering Economic & Developmental Cooperation Aligning China’s high-quality development with India’s Viksit Bharat 2047 vision. Expanding trade, technology, and modernization cooperation. Strengthening Global Collaboration Jointly safeguarding developing countries’ interests in global forums. Promoting multipolarity and inclusive globalization. Enhancing cooperation within SCO, BRICS, and other multilateral platforms. Conclusion China and India must work together as partners rather than adversaries. Strategic guidance from leaders and sustained cooperation are key. The “Dragon-Elephant Tango” is the only viable path for mutual growth and global stability. Pension woes The Employees’ Pension Scheme (EPS), 1995, under the EPFO, provides pensions to retired workers, but the minimum pension of ₹1,000 has remained unchanged since 2014. The Standing Committee on Labour has urged the government to revise pensions, improve transparency in claims processing, and ensure fair treatment of pensioners. Relevance :GS 2 (Governance & Social Justice) Practice Question :The Employees’ Pension Scheme (EPS), 1995, has failed to provide adequate social security to pensioners. Critically analyze the need for pension reforms in India, with a focus on financial sustainability and transparency in implementation. (250 words) Need for Minimum Pension Revision The Standing Committee on Labour, Textiles, and Skill Development has recommended revising the minimum pension under the Employees’ Pension Scheme (EPS), 1995. The current minimum pension of ₹1,000, set in August 2014, remains unchanged for over a decade. The 2014 pension hike to ₹1,000 under the Employees’ Pension Scheme (EPS), 1995, was implemented as per a previously announced decision. However, despite concerns raised about its inadequacy at the time, there has been no revision in the minimum pension for over a decade. Financial Requirements for Pension Enhancement The government currently spends an average of ₹980 crore annually on minimum pension payments. To make the pension meaningful, this figure needs to be tripled. The Centre’s contribution to the EPS corpus (1.16% of wages, capped at ₹15,000 monthly wage) has been revised to ₹9,250 crore for 2024-25, expected to cross ₹10,000 crore in 2025-26. The government argues that increasing pensions further would be financially burdensome, but alternative funding solutions have already been suggested. EPFO’s Non-Transparent Handling of Pension Claims Applicants opting for higher pensions under EPS have received demand notices requiring large payments without proper communication on their entitlements. Many pensioners have to track updates through online accounts, as EPFO fails to issue official communication. The portal-based pension calculator is unreliable, carrying a disclaimer with no assurance of accuracy. Discriminatory Treatment of Pensioners from Exempted Establishments Pensioners from exempted establishments face summary rejection of their higher pension claims. In some cases, previously approved higher pensions have been stopped without proper explanation. Need for Government Action Comprehensive stakeholder consultations are necessary to address the pension crisis. The Centre must increase the monthly pension to a realistic level. The EPFO must improve transparency and communication to ensure fair treatment of all pensioners.

Content: Tackling the disinformation threat in India Richer States could lose political clout in population-based delimitation Why India needs to clean its air Defence exports hit new record of ₹23,622 crore in 2024-25’ Banks to pay same interest rates: RBI Tackling the disinformation threat in India Background : The World Economic Forum’s (WEF) Global Risks Report 2025 highlights misinformation and disinformation as the top short-term global risks. India, with 900 million Internet users, is particularly vulnerable due to its diverse political, social, and economic landscape. Algorithmic biases, deepfake technology, and social media manipulation have escalated the spread of false narratives. China’s disinformation campaigns (e.g., post-2017 Doklam standoff) and internal political disinformation (e.g., deepfake usage in elections) have worsened the crisis. EU’s Digital Services Act (DSA) is seen as a model for tackling Disinformation and Foreign Information Manipulation and Interference (FIMI). Relevance : GS 2 (Governance) , GS 3 (Internal Security & Technology) Disinformation Crisis in India Political Manipulation: 46% of disinformation in India is politically motivated (Indian School of Business & CyberPeace Foundation study). Mainstream political parties actively share unverified and misleading content. Elections increasingly influenced by deepfakes and algorithmic propaganda. Decline in Trust in Legacy Media: Traditional media credibility is eroding, pushing people toward social media as a news source. Unverified forwards on WhatsApp and Facebook amplify false narratives. Misinformation-fueled consumer boycotts and economic disruptions impact businesses. Foreign Disinformation Threats: Chinese influence through Weibo and other platforms shapes a distorted global perception of India. Meta’s potential discontinuation of fact-checking partnerships could further escalate misinformation. Over 300 Chinese apps (including TikTok) banned to curb foreign interference. Demographic Vulnerability: India’s youth population (largest in the world) is highly susceptible to digital misinformation. Survey reports show low digital literacy and critical thinking skills in verifying online content. Recommended Countermeasures Technological & Algorithmic Solutions: Upskilling developers working on AI and algorithmic transparency. Regular risk assessments for digital platforms to detect and mitigate disinformation threats. Supervisory boards & AI councils to oversee generative AI practices. Regulatory & Legal Frameworks: Adopt EU-style regulatory measures for Very Large Online Platforms (>45M users). Mandatory funding disclosures for online political ads to prevent targeted misinformation. Stronger laws to protect journalists from harassment due to misinformation exposure. Fact-Checking & Public Awareness Initiatives: Shakti – India Election Fact-Checking Collective and Deepfake Analysis Unit should be expanded. RBI’s Financial Literacy Campaign model can be adapted for digital literacy awareness. Collaboration between civil society, fact-checkers, and regulators for evidence-based policies. Global & Cross-Border Collaboration: India should lead a global coalition against disinformation in international digital policy discussions. Coordinated research efforts on FIMI with other democracies. Balancing Regulation & Free Speech: Address risks of over-surveillance and censorship, which are also flagged as global threats in WEF’s report. Ensure transparent content moderation policies to prevent misuse of regulations for political control. Conclusion Disinformation is not just a technological problem but a challenge to democracy, social unity, and national security. India, as the world’s largest democracy, must set an example by implementing a balanced and effective disinformation policy. The real challenge lies in safeguarding democracy, free speech, and social harmony while tackling false narratives. Richer States could lose political clout in population-based delimitation Background Context: India’s delimitation process was originally designed to adjust the Lok Sabha seats based on population changes after every Census. However, concerns over population stabilization disparities led to the freezing of delimitation in 1976, postponed again in 2001, and further extended until 2026 through constitutional amendments. With regional disparities in economic growth and demographic changes, a potential reapportionment of constituencies in 2026 could alter the political representation of States. Relevance : GS 2(Polity , Governance) Key Issues in Delimitation and Political Representation: Population Growth vs. Political Power Redistribution Southern and Western States have seen slower population growth, while northern and central States (e.g., Uttar Pradesh, Bihar, Madhya Pradesh) have grown demographically. If delimitation is based on the current population, it could shift political power to States with higher fertility rates, reducing representation for those with stable or declining populations. Economic Disparities and Governance Challenges In 1961, many States had comparable income levels (Kerala, Karnataka, Andhra Pradesh similar to U.P., Bihar, Rajasthan). By 2001, southern and western States had economically advanced, while U.P., Bihar, M.P. declined further. By 2024, the income gap widened, with the economically weaker States also gaining a larger population share. A key concern is that economically advanced States could lose political influence, impacting their say in resource allocation and policy decisions. Tax Devolution and Resource Distribution The Finance Commission uses population as a key criterion for resource allocation. If delimitation increases representation for lagging States, they may get greater control over tax distribution, despite their lower economic productivity. This raises concerns about whether progressive taxation and federal support will remain equitable and efficient. Key Takeaways: Framing the debate as a North-South divide is inaccurate; it is fundamentally about regional economic and demographic disparities. Delimitation, if done purely on a population basis, could weaken political influence of economically stronger States. Alternative solutions may need to be explored, such as weighting political representation with economic contributions to maintain equitable federalism. Addressing regional disparities must be a national priority, ensuring a balanced governance framework that promotes both economic and demographic justice. Why India needs to clean its air Background Context India faces a severe air pollution crisis, with metros ranking among the most polluted globally. Seasonal smog episodes (especially in winter) worsen health impacts, increasing respiratory diseases and hospitalizations. Government initiatives like the National Clean Air Programme (NCAP), Bharat VI norms, Pradhan Mantri Ujjwala Yojana (PMUY), and efforts to curb coal-burning industries have made some progress. Despite these efforts, pollution control remains fragmented, underfunded, and slow-moving, requiring better alignment and ground-level execution. Relevance : GS 3(Environment and Ecology , Pollution) Key Issues in India’s Air Pollution Crisis Understanding Pollution Beyond a Technical Issue Often seen as a technical challenge, but air pollution is deeply rooted in governance, socio-economic disparities, behavioral habits, and infrastructure gaps. Scientists diagnose pollution levels, but real change depends on local actors—municipal officers, planners, engineers, and community leaders. Limited budgets, outdated infrastructure, and competing priorities hinder effective action. Weak Implementation of Air Quality Targets India aims to reduce PM2.5 levels by 40% (2017 baseline) by 2026—an ambitious but challenging goal. Lack of detailed sector-wise breakdown (e.g., vehicle type, fuel use, congestion levels) makes it hard to craft localized, practical action plans. Air pollution governance lacks coordination between national and local authorities, leading to delayed and ineffective measures. Budget and Funding Constraints India’s NCAP budget is under 1% of what China spent to control urban air pollution (~₹22 lakh crore over five years). Key allied programs and budgets: PMUY: ₹18,128 crore (reducing indoor air pollution) FAME II: ₹10,795 crore (electric vehicle adoption) Swachh Bharat Mission (Urban): ₹1.4 lakh crore (waste management) NCAP: ₹11,542 crore (direct air pollution control) Issue: Despite funding, 60% of allocated funds remain unused (2019-2023) due to institutional misalignment and inefficient spending mechanisms. Measuring the Wrong Indicators NCAP progress depends on ambient air quality data, but weather and geography distort short-term improvements. Example: PMUY and waste-burning controls reduced emissions in certain regions, but pollution readings still appear stagnant due to external factors. Solution: Activity-based tracking (e.g., stoves replaced, diesel buses phased out) can show real impact and ensure accountability. The “Western Trap” – Overreliance on Digital Solutions AI dashboards, smog towers, and high-tech monitoring look impressive but do not directly address primary pollution sources. Countries like London and Los Angeles introduced structural reforms first, then used advanced monitoring tools. Risk: India may focus on urban, high-tech solutions while neglecting rural pollution sources like biomass burning and outdated industrial processes. Global Best Practices and Lessons for India China: Shut down coal plants with massive state investment. Brazil: Used community-led waste management to reduce emissions. California: Reinvested pollution revenue into marginalized communities. London: Banned coal first, then adopted real-time sensors. Key Lesson: India must develop a federalism–friendly, subsidy-driven, and informal economy-oriented approach rather than copying Western models. The Way Forward: A Phased, Data-Driven Approach Phase 1: Identify Local Emissions Sources Develop detailed, open-source emissions data to track major pollution sources. Pinpoint high-pollution activities (waste burning, outdated fuel usage, congested roads). Phase 2: Link Funding to Targeted Actions Redirect unused funds toward specific, measurable interventions (e.g., phasing out diesel vehicles, subsidizing cleaner fuels). Strengthen local government capacity with structured incentives for pollution control. Defence exports hit new record of ₹23,622 crore in 2024-25 Background Context India’s defence exports have been consistently rising over the past few years, driven by policy reforms, indigenization efforts, and global demand for Indian defence equipment. The Defence Production and Export Promotion Policy (DPEPP) 2020 aims to achieve a defence export target of ₹35,000 crore by 2025 and ₹50,000 crore by 2029. Key initiatives include Make in India in Defence, liberalized FDI norms, Defence Industrial Corridors, and reforms in defence procurement. Major Indian defence exporters include Bharat Electronics Ltd (BEL), Hindustan Aeronautics Ltd (HAL), Bharat Dynamics Ltd (BDL), L&T, and Tata Advanced Systems. Indian defence exports include artillery systems, radars, coastal surveillance systems, UAVs, and personal protective gear to countries in South-East Asia, Africa, and Latin America. Relevance : GS 2 (Governance, International Relations ) Key Highlights of the 2024-25 Defence Export Growth Record-Breaking Export Growth Defence exports touched ₹23,622 crore in FY 2024-25. 12.04% growth from ₹21,083 crore in FY 2023–24. Marks India’s continued push toward self-reliance and global defence market penetration. Public vs. Private Sector Contribution Defence PSUs (DPSUs): ₹8,389 crore in FY 2024-25 (↑ 42.85% from ₹5,874 crore in FY 2023-24). Private Sector: ₹15,233 crore (marginal increase from ₹15,209 crore in FY 2023-24). Significance: DPSUs are increasingly contributing to exports, reducing reliance on imports and boosting India’s strategic autonomy. Rise in Export Authorizations 1,762 export authorizations issued in FY 2024-25. 16.92% growth from 1,507 authorizations in FY 2023-24. Reflects faster clearance processes and improved ease of doing business in defence exports. Strategic Implications  Enhancing India’s Global Defence Footprint Increased defence exports help India establish itself as a major arms supplier, particularly in the Global South. Strengthens defence diplomacy with friendly nations, reducing dependency on Western suppliers. Boosting Self-Reliance and Atmanirbhar Bharat Aligns with India’s goal of reducing imports and increasing domestic production under Aatmanirbhar Bharat. Encourages Indian firms to develop indigenous high-tech defence equipment. Economic and Employment Benefits Rising exports contribute to India’s GDP growth and forex reserves. Generates employment across MSMEs and large industries in defence manufacturing. Technology Advancement and Innovation Growing exports drive R&D and the adoption of cutting-edge technologies. Encourages private players and start-ups to invest in AI-driven, cyber warfare, and advanced missile systems. Challenges & Way Forward Global Competition & Geopolitics Competing with established arms exporters like the US, Russia, and China. Need for strategic trade alliances and defence pacts to boost export deals. Regulatory and Policy Bottlenecks Complex export licensing and end-user verification processes slow down deals. Need for further streamlining and automation of defence export clearances. Need for Higher Private Sector Participation DPSU growth outpaces private sector in 2024-25, highlighting a need for better incentives for private firms. Expanding government-backed financing options for private defence exports. Future Projections India aims for ₹50,000 crore in defence exports by 2029. Focus on emerging markets, niche defence products (drones, cyber warfare tech, naval systems). Strengthening ties with ASEAN, Middle East, and Africa for sustained export growth. Conclusion India’s record defence exports in 2024-25 highlight its growing global defence presence, increasing self-reliance, and policy-driven success. Sustained reforms, tech innovation, and private sector participation will be key to achieving long-term defence export goals Banks to pay same interest rates: RBI Background Context The Reserve Bank of India (RBI) has issued a Master Direction (MD) regarding interest rates on deposits, effective immediately. This move aims to standardize interest rate policies across all commercial banks and ensure transparency, consistency, and fairness in the banking system. The new guidelines come amid concerns over differential treatment in deposit rates offered by banks based on negotiations, branch locations, or customer profiles. Relevance : GS 3(Indian Economy ) Key Provisions of the Master Direction Uniform Interest Rates Across Branches & Customers Banks must pay uniform interest rates on deposits of similar amounts and tenure accepted on the same day. Eliminates preferential rates for specific customers or regions. No Negotiation on Interest Rates Banks cannot negotiate interest rates with individual depositors. Prevents discriminatory practices that favor high-net-worth individuals or institutional clients. Transparent & Consistent Rate Policy The interest rate policy must be approved by the bank’s board of directors. Ensures fairness and accountability in rate-setting mechanisms. Supervisory Review & Scrutiny RBI will have the authority to review interest rate policies and conduct inspections. Encourages regulatory compliance and prevents unfair practices. Interest Calculation Methodology Interest on domestic rupee savings deposits to be calculated on a daily product basis. Aligns with global best practices and ensures higher returns for depositors. Implications of the New RBI Guidelines For Banks Standardization of Interest Rates: Banks must restructure their interest rate policies to comply with uniformity mandates. Operational Adjustments: Internal systems must be updated to ensure automatic uniform rate application. Reduced Pricing Flexibility: Banks can no longer offer special deals to select customers, which may impact high-value deposits. For Depositors Fair Treatment: Ensures that all depositors receive equal interest rates, removing biases based on negotiation or branch location. Transparency & Simplicity: Customers can now easily compare deposit rates across banks without worrying about hidden terms. Better Returns: The daily product-based interest calculation ensures optimal interest accumulation. For the Economy Boost in Savings: Greater transparency and fairness may encourage higher deposit mobilization. Improved Banking Sector Stability: Reduces market distortions arising from arbitrary rate negotiations. Strengthened RBI Oversight: Enhances the regulator’s ability to monitor and ensure compliance in the banking system. Conclusion RBI’s new Master Direction on deposit interest rates marks a significant step towards uniformity, fairness, and transparency in India’s banking system. While banks may need to adjust their deposit strategies, depositors stand to benefit from a more predictable and equitable interest rate environment. The move reinforces financial discipline and regulatory oversight, aligning Indian banking practices with