Daily Current Affairs- 16th May 2025

Daily Current Affairs- 16th May 2025

UN Lowers India’s 2025 GDP Growth Forecast to 6.3%, Cites Global Headwinds

In the News: On May 16, 2025, the United Nations released its mid-year update of the World Economic Situation and Prospects (WESP) report, revising India's projected GDP growth for 2025 downward to 6.3% from the earlier estimate of 6.6%. Despite this adjustment, India is expected to remain one of the fastest-growing major economies globally.

Key Points:

• Revised Growth Forecast:
  • India's GDP growth for 2025 is now projected at 3%, a decrease from the 6.6% forecasted in January 2025. This follows a growth rate of 7.1% in 2024.
• Inflation and Monetary Policy:
  • Inflation Trends: Inflation is projected to decline from 9% in 2024 to 4.3% in 2025, staying within the Reserve Bank of India's target range.
  • Monetary Easing: In response to easing inflation, the RBI began its monetary easing cycle in February 2025, after maintaining a policy rate of 6.5% since February 2023.
• Employment Outlook:
  • Unemployment Stability: The unemployment rate remains largely stable amid steady economic conditions.
  • Gender Disparities: Persistent gender disparities in employment highlight the need for more inclusive workforce participation strategies.
• Global Economic Context:
  • Global Growth Projections: The UN forecasts global GDP growth at 4% in 2025, down from 2.9% in 2024, reflecting a broad-based slowdown affecting both developed and developing economies. 

Russia, Ukraine conclude first peace talks since 2022

In the News: On May 16, 2025, Russia and Ukraine engaged in their first direct peace talks since 2022, convening in Istanbul. The meeting, lasting under two hours, culminated in an agreement to exchange 1,000 prisoners of war from each side—a significant yet limited advancement.

Key Outcomes:

• Prisoner Exchange Agreement: Both nations consented to a substantial prisoner swap, exchanging 1,000 detainees each. This move is perceived as a confidence-building measure, marking the largest such exchange since the onset of the conflict.
• Ceasefire Discussions: Despite Ukraine's proposal for a 30-day unconditional ceasefire, no agreement was reached. Ukraine accused Russia of presenting "unacceptable" demands, including the withdrawal of Ukrainian forces from annexed territories, which Kyiv deemed non-negotiable.
• Delegation Composition: The talks were led by Ukrainian Defence Minister Rustem Umerov and Russian presidential aide Vladimir Medinsky. Notably, neither President Volodymyr Zelenskyy nor President Vladimir Putin attended, a factor that drew criticism from Ukraine and Western allies, who viewed Russia's delegation as lacking the authority to negotiate substantive terms. 

Iran, European powers hold nuclear talks in Turkiye

In the News: On May 16, 2025, senior diplomats from Iran and the European parties to the 2015 nuclear agreement—namely, Britain, France, and Germany (collectively known as the E3)—convened in Istanbul, Türkiye, to discuss the future of Iran's nuclear program. This meeting marked the first formal dialogue between these parties in over two months and occurred amidst renewed momentum for indirect negotiations between Washington and Tehran.

Key Developments from the Istanbul Talks

1. Reaffirmation of Diplomatic Engagement: Both Iran and the E3 nations expressed a shared commitment to sustaining diplomatic efforts. Iran's Deputy Foreign Minister Kazem Gharibabadi stated that the parties exchanged views on the latest status of indirect nuclear negotiations and the lifting of sanctions. He emphasized that, if necessary, further discussions involving the E3, along with China, Russia, and the United States, would be pursued to continue dialogue aimed at avoiding sanctions.
2. Concerns Over Potential Sanctions: A significant point of contention was the potential reimposition of United Nations sanctions on Iran. The E3 have been considering triggering the "snapback" mechanism of the 2015 deal, which would reinstate UN sanctions in response to Iranian non-compliance. This option remains available until October 2025. Iranian Foreign Minister Abbas Araghchi warned that such a move could have "irreversible" consequences and risk provoking a global nuclear proliferation crisis that would primarily affect European nations.
3. U.S. Involvement and Statements: While the United States was not directly involved in the Istanbul talks, U.S. Secretary of State Marco Rubio met with the national security advisers of the E3 countries in Istanbul to discuss Iran and Ukraine. Additionally, President Donald Trump, speaking in Abu Dhabi, indicated that the U.S. had presented Iran with a proposal for a new nuclear agreement after four rounds of negotiations. He urged Iran to "move quickly" towards a deal, warning of unspecified consequences if they failed to do so.

Context and Implications: The Istanbul meeting occurred against a backdrop of heightened tensions and complex geopolitical dynamics. Since the U.S. withdrawal from the Joint Comprehensive Plan of Action (JCPOA) in 2018 and the subsequent reimposition of sanctions, Iran has progressively reduced its compliance with the agreement's terms, notably increasing its uranium enrichment levels beyond the limits set by the deal. The E3 nations have been striving to salvage the agreement and prevent further escalation. 

Global Report on Internal Displacement 2025

In the News: On May 13, 2025, the Internal Displacement Monitoring Centre (IDMC) released its annual Global Report on Internal Displacement (GRID), revealing that the number of internally displaced persons (IDPs) worldwide reached a record high of 83.4 million by the end of 2024. This marks an increase of 7.5 million from the previous year, highlighting the escalating challenges posed by conflicts and climate-related disasters. 

Key Highlights:

• Total Internally Displaced Persons (IDPs): As of December 31, 2024, there were 4 million IDPs globally, more than double the number recorded in 2018.
• New Displacements in 2024: A total of 8 million new internal displacements were recorded in 2024, the highest annual figure since records began in 2008.
• Primary Causes:
  • Conflict and Violence: Approximately 1 million displacements were due to conflict and violence, with significant numbers in countries like Sudan, the Democratic Republic of Congo, and Ukraine.
  • Disasters: Disasters accounted for 7 million displacements, with 99.5% linked to climate-related events such as floods, storms, and wildfires. 

Regional Insights:

• Sub-Saharan Africa: The region recorded 8 million IDPs, constituting approximately 46% of the global total. Countries like Sudan and the Democratic Republic of Congo were notably affected.
• South Asia: Disaster-related displacements nearly tripled to 2 million in 2024, primarily due to severe flooding and cyclones.
• The Americas: The region experienced a record 5 million displacements, with the United States alone accounting for 11 million disaster-related movements, mainly due to hurricanes and wildfires. 

Country-Specific Data:

• India: Reported 4 million displacements in 2024, the highest in 12 years. Two-thirds were due to floods, while violence, particularly in Manipur, accounted for 1,700 displacements.
• Sudan: Experienced the largest internal displacement crisis, with 6 million people displaced due to ongoing civil conflict.
• Mexico: Violence-induced displacements doubled to 26,000 in 2024, with significant movements in states like Chiapas and Sinaloa. 

Tsarap Chu Conservation Reserve: India’s Largest High-Altitude Protected Area

In the News: On May 7, 2025, the Government of Himachal Pradesh officially notified the Tsarap Chu Conservation Reserve under Section 36A(1) of the Wildlife (Protection) Act, 1972. Spanning an area of 1,585 square kilometers in the remote Spiti Valley, this reserve is now recognized as India's largest conservation reserve, aiming to protect high-altitude biodiversity and strengthen wildlife corridors.

Geographical Significance:

• The Tsarap Chu Conservation Reserve is strategically located in the Lahaul-Spiti district of Himachal Pradesh.
• It shares its northern boundary with the Union Territory of Ladakh, eastern boundary with the Kibber Wildlife Sanctuary extending up to Malang Nala and Lungar Lungpa, southern boundary with Kabjima Nala, and western boundary with the Chandratal Wildlife Sanctuary and Baralacha Pass.
• The reserve encompasses the confluence of the Unam River and Charap Nala, serving as a critical wildlife corridor connecting the Kibber and Chandratal sanctuaries.

Biodiversity Highlights:

• The reserve is a habitat for a diverse range of Himalayan and Trans-Himalayan fauna. Notably, it supports one of the highest densities of snow leopards in Himachal Pradesh.
• Other significant species include the Tibetan wolf, bharal (blue sheep), Himalayan ibex, kiang (wild ass), and the Tibetan argali.
• The area also hosts rare bird species such as the rose finch, Tibetan raven, and yellow-billed chough, enriching the region's ecological diversity. 

FIFA Lifts Suspension on Congo Republic’s Football Federation

In the News: FIFA officially lifted the suspension imposed on the Congolese Football Federation (FECOFOOT), reinstating the Republic of Congo's eligibility to participate in international football competitions.

Key Points:

• Background of the Suspension:
  • FIFA suspended FECOFOOT on February 6, 2025, due to third-party interference, specifically actions by the Republic of Congo's sports ministry that compromised the federation's autonomy.
  • The suspension led to the closure of FECOFOOT’s headquarters and disrupted football operations nationwide.
• Conditions for Reinstatement:
  • FIFA required the restoration of full control of FECOFOOT’s headquarters and other facilities to the federation's executive committee, led by Jean-Guy Blaise Mayolas.
  • The Congolese authorities complied with these conditions, leading to the lifting of the suspension.
• Impact on International Competitions:
  • During the suspension, Congo's national team was barred from participating in international matches, including the 2026 FIFA World Cup qualifiers.
  • With the suspension lifted, Congo is now eligible to resume its World Cup qualifying campaign.