Daily Current Affairs- 23rd June 2025

Daily Current Affairs- 23th June 2025

DGCA’s Comprehensive Special Audit Framework for Aviation

In the News: On June 19, 2025, DGCA issued General Safety Circular 01 of 2025 launching a Comprehensive Special Audit Framework, following the AI 171 crash on June 12. The framework introduces 360‑degree, integrated audits across India’s aviation ecosystem.

Key Points:

• Framework Launch & Purpose: DGCA has transitioned from siloed inspections to 360‑degree special audits, evaluating airlines, airports, MROs, training academies, ANSPs, aerodromes, ground handlers, and even technology and emergency-response providers.
• Audit Leadership & Team Composition: Audits led by senior DGCA officials (Joint DG/Director), backed by multidisciplinary teams—including experts from Flight Standards, Air Safety, Airworthiness, Aerodrome Standards, Air Navigation Services, Licensing—and external specialists when needed.
• Scope of Evaluation: Safety Management Systems (SMS) Operational practices robustness (flight planning, crew coordination, disruption handling). Regulatory compliance (documentation, licensing, ICAO SARPs alignment).
• Audit Methodology: Methods include: on-site inspections, document reviews, staff interviews, ramp checks, simulations, and safety-data trend analysis.
• Frequency & Triggers: Routine audits: annual ecosystem-wide + thematic reviews. Triggered audits: in response to serious incidents (e.g., AI 171), regulatory breaches, or ICAO findings. In urgent cases—no notice; else 3–14 working days advance notice.
• Phases of Audit: Pre-audit (5–7 days): planning, risk profiling, stakeholder meetings. On-site (3–5 days): opening meeting, facility review, interviews, daily debriefs. Post-audit (10–15 days): findings review, risk assessment, final report, action plan submission.
• Findings categorized by risk: Critical (Level 1) : fix within 7 days.   Major/minor: fix within 30–90 days.  Auditees must submit a detailed Corrective Action Plan (CAP) within 15 days.
• Enforcement & Compliance: Non-compliance may result in: advisories, warnings, restrictions, fines, operations suspension, or license revocation.
• Confidentiality & Safety Culture: Audit findings handled confidentially per ICAO Annex 19 to promote transparent reporting and establish a positive safety culture.
• Alignment with Global Standards: Framework integrates best practices from ICAO USOAP, India’s National Aviation Safety Plan, FAA Category I restoration requirements, etc., aiming to enhance resilience and ensure international compliance.

Operation Midnight Hammer: Inside the U.S. Strike on Iran’s Nuclear Facilities

In the News: On June 21–22, 2025, the United States executed Operation Midnight Hammer, a highly classified aerial strike targeting Iran’s nuclear sites at Fordow, Natanz, and Isfahan, deploying B‑2 stealth bombers and submarine-launched Tomahawk missiles.

Key Points:

• Operation Overview: Code‑named Operation Midnight Hammer, the mission involved seven B‑2 Spirit stealth bombers flying nonstop from Whiteman AFB, Missouri, across the Atlantic and Mediterranean, supported by decoy bombers and aerial refuelling. A U.S. submarine (likely USS Georgia) launched around 30 Tomahawk cruise missiles at Natanz and Isfahan simultaneously
• First-ever MOP Use: B-2s carried 14 GBU-57A/B Massive Ordnance Penetrator (30,000‑lb bunker-buster) bombs—a first in combat
• Targets & Timing: Struck the Fordow Uranium Enrichment Plant (deep inside a mountain), Natanz Nuclear Facility, and Isfahan Nuclear Technology Center. The strike occurred around 2:10–2:35 a.m. IRST (June 22 local time).
• Scale & Tactics: Over 125 aircraft participated, including decoy bombers and support jets. Mission featured deception: decoy bomber groups diverted enemies.
• Initial U.S. Assessment: Pentagon described “extremely severe damage”—Fordow possibly destroyed, Natanz obliterated, and Isfahan heavily damaged. President Trump praised the strike as a “bullseye” and “spectacular military success” . Defence Secretary Hegseth called it “bold & brilliant”; Chairman Caine—while confirming damage—stressed it’s “too soon” to declare nuclear capabilities neutralized.
• Legal & Political Debate: Launched without prior congressional approval—critics including Dem lawmakers (e.g., AOC, Jeffries) condemned it as unconstitutional; supporters cited War Powers Act notice post-return.
• Iran’s Reaction & Retaliation: Iran condemned the attack as illegal under international law. Iranian leaders threatened sleeper-cell activation in the U.S. and launched retaliatory missile strikes (Operation “Glad Tidings of Victory”) targeting Al Udeid Air Base in Qatar on June 23—though missiles were intercepted.
• Regional & Global Impact: Israel supported the U.S. strikes; UN, EU, China, and Russia called for restraint and diplomacy. NATO prepared for escalation discussions; defence stocks rallied modestly, oil prices spiked temporarily, and cybersecurity firms saw increased interest.
• Nuclear Future Considerations: Analysts warn Iran may rebuild its facilities unless it abandons its nuclear drive. Some experts suggest the strike may reinforce deterrence; others warn it undermines non-proliferation regimes.

Fossil Fuel Finance Report 2025  

In the News: On June 17, 2025, the Banking on Climate Chaos coalition—including Rainforest Action Network, Sierra Club, Oil Change International, and others—published the Fossil Fuel Finance Report 2025, revealing that the world’s top 65 banks dramatically increased financing for fossil fuels in 2024, reversing recent declines. 

Key Points:

• Funding Surge: Banks provided $869 bn to coal, oil, and gas in 2024—a 23% jump (~$162–162.5 bn more than 2023), marking a reversal from prior reductions.
• Scope of Financing: Cumulative support since the 2015 Paris Agreement reaches $7.9 tn, including loans, bonds, and acquisition financing.
• Breakdown by Instrument: Loans: ~$467 bn (up from $422 bn), Bonds: ~$401 bn (up from $284 bn), Acquisitions: ~$82.9 bn (up from $63.7 bn).
• Leading Banks – U.S. Dominant: JPMorgan Chase led with $53.5 bn in financing—also top for expansion funding. Other top U.S. banks: Bank of America, Citigroup, Wells Fargo, collectively representing 21% of global fossil-fuel funding.
• European & Japanese Banks: Barclays led Europe with $35.4 bn (a 55% increase).
  Japanese megabanks (Mizuho, MUFG, SMBC) contributed ~12% of total financing.
• Geographic Insights & India:S. banks financed $289 bn in fossil fuels—about one-third of global total. India’s SBI featured, totalling ~$2.62 bn in financing and ranking 47th—despite net-zero aims and only two Indian banks having coal exclusion policies.
• Policy Backtracking: Nearly all major U.S. banks left the UN Net-Zero Banking Alliance; Wells Fargo revoked its net-zero by 2050 plan. Political shifts—especially U.S. rollback of Paris-related policies—are linked to the surge. 

GENIUS Act Bill

In the News: On June 17, 2025, the U.S. Senate passed the GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins Act) by a bipartisan vote of 68–30, marking a historic step toward creating a federal regulatory framework for stablecoins—cryptocurrencies pegged to the U.S. dollar. The bill now moves to the House of Representatives before heading to the President.

Key Points:

• Regulatory Classification & Oversight: Defines “payment stablecoins” as digital assets designed for payments, mandating fixed redemption obligations and maintaining stable value. Classifies issuers as financial institutions for AML purposes and places them under oversight from federal banking regulators—OCC, Federal Reserve, FDIC—with accommodations for state-level regulation for smaller issuers.
• Reserve & Transparency Requirements: Requires 1:1 backing with liquid assets (e.g., US dollars, Treasury bills). Mandates monthly disclosures of reserve composition to ensure transparency.
• Consumer & National‑Security Protections: Introduces guardrails like AML/KYC compliance, no yield-bearing stablecoins, and restrictions on big tech entering stablecoin issuance. Implements foreign issuer restrictions, permitting only those with “comparable” overseas standards, and requires Treasury approval.
• Conflict‑of‑Interest Rule Adjustments: Bans Congress members and Executive Branch officials from issuing stablecoins—but notably excludes the President and Vice President, allowing President Trump’s family interests via World Liberty Financial to continue.
• Political & Industry Context: Enjoyed broad bipartisan support (68 senators: 50 Republicans, 18 Democrats), driven partly by strong crypto industry lobbying. Criticized by Senator Elizabeth Warren and others for insufficient AML safeguards, potential corruption loopholes, and consumer and financial system risk.
• Next Steps in Congress: Now sent to the House, which may advance its own STABLE Act or reconcile with GENIUS Act provisions. The White House has urged a no‑amendment passage before the August recess.
• Financial Innovation Prospects: The bill grants legitimacy to stablecoins as “payment systems,” potentially expanding the U.S. stablecoin market to $2 trillion over the next decade. 

Bharti Space to Invest Rs.313 Cr in Eutelsat’s Satellite

In the News: On June 20, 2025, Bharti Space Ltd, the satellite venture of Bharti Enterprises, announced its plan to invest ₹313 crore (approximately €31.4 million or $36 million) in French satellite operator Eutelsat as part of its wider €1.35 billion capital-raising strategy aimed at reducing debt and financing satellite constellation expansion.

Key Points:

• Investment & Capital Structure: Bharti Space is contributing €31.4 M, while Eutelsat's total raise comprises- €716 M via reserved capital increase (at €4/share), and €634 M through a rights issue.
• Stake Changes & Shareholding: Currently holds 24% of Eutelsat; the fresh funding will reduce Bharti’s stake to approximately 7%. The French government will become the largest shareholder with 29.99% post-investment.
• Purpose of Funds: Proceeds will be used to deleverage Eutelsat’s balance sheet and support the rollout of GEO and LEO satellite constellations—including the IRIS² project.
• Strategic Rationale: Strengthens Bharti’s position in global satellite communications alongside its stake in OneWeb (merged with Eutelsat in 2023). Supports India-focused broadband plans, complementing its partnership with SpaceX’s Starlink.
• Geopolitical & Défense Angle: The French state and its Ministry of Armed Forces (DGA) are backing Eutelsat to reinforce Europe’s strategic autonomy. Includes a €1 billion, 10-year contract with France’s defence ministry via the “Nexus” programme for OneWeb LEO capacity.
• Timeline & Approvals: Proposed capital raise is expected to close by end of 2025, pending shareholder and regulatory approvals—an extraordinary meeting is likely in Q3 2025. 

Gold Becomes World’s Second-Largest Reserve Asset After U.S. Dollar

In the News: The European Central Bank (ECB) revealed that gold has overtaken the euro to become the world’s second-largest global reserve asset—accounting for approximately 20% of official foreign exchange reserves, compared to the euro's ~16%. The US dollar remains dominant at 46% .

Key Points:

• Reserve Asset Rankings (2024): US dollar: ~46–47%, Gold: ~19–20% (up from ~16.5% in 2023), Euro: ~16%.
• Gold Accumulation: Central banks purchased over 1,000 metric tonnes in 2024—for the third consecutive year, more than double the 2010s average. Total holdings reached ~36,000 tonnes, nearing the 1965 record of 38,000 tonnes.
• Driving Forces: Geopolitical instability: Ukraine war, sanctions, global uncertainty. Economic concerns: Inflation fears, weaker US dollar, tariff volatility.
• Why Gold: Safe-haven asset: hedge against currency weakness and inflation. Liquidity and long-term store of value, increasingly favoured by central banks.
• Future Outlook: Central bank sentiment: 76% expect gold’s share to rise over next 5 years (up from 69% last year). Potential Plateau: Some jitter around price volatility and dollar dynamics, but long-term demand remains strong.
• Major Holders: Top national reserves: USA (~8,133 t), Germany (~3,351 t), Italy (~2,452 t), France (~2,437 t), Russia (~2,333 t), China (~2,279 t) .

India Launches Logo and Mascot ‘Viraaj’ for 2025 World Para Athletics Championships
In the News: On June 20, 2025, Union Sports Minister Mansukh Mandaviya unveiled the official logo and mascot for the 2025 World Para Athletics Championships, which will be held in New Delhi. This is the first time India is hosting this prestigious global para-sporting event.

Key Points:

• Mascot Launch: The mascot, named ‘Viraaj’, was introduced as a symbol of strength, courage, and inclusivity. Designed as a tiger with a prosthetic leg, it highlights the spirit and determination of para-athletes.
• Logo Reveal: The official logo integrates India’s tricolor and the Ashoka Chakra, reflecting national pride and the spirit of international sportsmanship.
• Historic Hosting: The 2025 edition, scheduled from December 5 to 14 in New Delhi, marks India’s debut as host. Over 1,300 athletes from more than 100 countries are expected to participate.
• Accessible Infrastructure: The government emphasized that all sports venues and accommodations will be fully barrier-free, showcasing India’s commitment to inclusive sports infrastructure.
• Cultural Representation: Developed by the National Institute of Design (NID), the mascot and branding represent India’s rich cultural identity while promoting diversity and empowerment through sports.
• Nationwide Outreach: Schools, colleges, and sports bodies will be engaged through a national awareness campaign to promote para-sports and increase public participation around ‘Viraaj’.
• Minister’s Statement: Union Minister Mandaviya stated, “Viraaj is not just a mascot, but a message of hope, courage, and inclusion that India is proud to share with the world.”