Daily Current Affairs- 30th July 2025

Daily Current Affairs- 30th July 2025

Indian Coast Guard’s Fast Patrol Vessel ‘Atal’ Launched in Goa

In the News:  Goa Shipyard Limited (GSL), a Defence Public Sector Undertaking under the Ministry of Defence, launched ‘Atal’, the sixth Fast Patrol Vessel (FPV) in a series of eight indigenously designed and constructed ships for the Indian Coast Guard at Vasco‑da‑Gama, Goa.

Key Points:

• Launch Ceremony: ‘Atal’ (Yard No. 1275) was launched on July 29 at GSL's shipyard in Vasco‑da‑Gama, Goa. The event was graced by Smt Shilpa Agarwal, with Rozy Agarwal, IDAS, PIFA from Coast Guard Headquarters, serving as the chief guest.
• Class & Sequence: This vessel is the sixth in the Adamya‑class series of eight Fast Patrol Vessels under construction for the Coast Guard by GSL, part of India’s maritime security expansion program.
• Specifications: The FPV has a length of 52 m, a beam of 8 m, and a displacement of approximately 320 tonnes. Designed in‑house by GSL, it includes over 60% indigenous content.
• Operational Roles: ‘Atal’ is intended for coastal patrol, island security, Exclusive Economic Zone (EEZ) monitoring, offshore asset protection, as well as missions such as anti‑smuggling, anti‑piracy, fisheries protection, and search and rescue.
• Propulsion & Design Innovation: The vessel features a controllable pitch propeller (CPP) system for enhanced maneuverability—a first for its class in India.
• Economic Impact: The project has generated local employment opportunities, particularly through MSMEs and partner industries engaged in shipbuilding and ancillary services.
• Fleet Expansion Plans: The Coast Guard currently operates 151 ships and 76 aircraft, with plans to scale up to 200 vessels and 100 aircraft by 2030, making India a leading maritime enforcement presence.   

India’s Economic Outlook and Monetary Policy in 2025

In the News:  The Reserve Bank of India’s Monetary Policy Committee (MPC), chaired by Governor Sanjay Malhotra, delivered a major policy update. The repo rate was slashed by 50 basis points to 5.50%, the Cash Reserve Ratio (CRR) cut by 100 bps, and the policy stance was revised from “accommodative” to “neutral”. This shift came amid a backdrop of falling inflation and a desire to bolster growth while maintaining price stability.

Key Points:

• Monetary Tightening to Neutral Policy: The MPC reduced the repo rate from 6.00% to 5.50%, with the policy stance now neutral, signaling flexibility in future rate decisions based on inflation and growth data.
• CRR Cut & Liquidity Support: CRR was reduced by 100 bps, phased over four tranches starting September 2025, to inject approximately INR 2.5 lakh crore liquidity into the banking system by year-end.
• Inflation Forecast & Outlook: Retail inflation, which reached a near six-year low of ~3.16% in April 2025, has prompted RBI to lower its FY26 inflation forecast to 70%, down from 4.0% projected earlier. A State Bank of India report projects FY26 CPI at 3.0–3.2%, well below RBI's target.
• Growth Projections: RBI retains its growth forecast at 5% for FY26, supported by resilient consumption, investment, and government capex. The Finance Ministry anticipates GDP growth accelerating to 6.7% in 2025‑26, as domestic demand recovers and fiscal stimulus from tax relief supports urban consumption.
• MF & External Outlook: The IMF raised its forecast for India’s growth to 4% each in fiscal years 2025 and 2026, citing a more benign external environment. Meanwhile, the IMF’s global growth forecast was nudged up to 3.0% in 2025 and 3.1% in 2026.
• External & Export Risks: India’s finance ministry warns that a global slowdown and U.S. tariff uncertainties may weaken export demand. Exports fell nearly 9% in June 2025. However, India’s macro fundamentals remain strong, with inflation expected to stay below RBI’s 3.7% target.
• Policy Flexibility Ahead: The RBI governor has flagged that further rate cuts remain possible, with expectations of a 25 bps cut later in 2025, depending on incoming data. A Reuters poll suggests the August MPC may hold rates, but another cut is likely by year-end if inflation remains subdued.
• Structural & Innovation Highlights: On the digital front, rollout plans for the digital rupee continue, which may enhance efficiency in payments and remittances, though RBI remains vigilant over systemic risks from unsecured lending and forex volatility . 

IMF Raises India’s Growth Forecast to 6.4% for 2025 and 2026

In the News:  The International Monetary Fund (IMF) announced that India’s GDP growth forecast has been upgraded to 6.4% for both 2025 and 2026, citing an improved global economic environment and strong domestic momentum.

Key Points:

• Growth Revision: The IMF raised India’s growth projection from 2% to 6.4% for 2025, and from 6.3% to 6.4% for 2026, up from its April 2025 World Economic Outlook estimates.
• Fiscal vs Calendar Basis: On a fiscal‑year basis (FY26 and FY27), the IMF projects 4% growth each year. On a calendar‑year basis, growth is estimated at 6.7% in 2025 and 6.4% in 2026.
• Drivers of Growth: The upgrade reflects a benign external environment, easing global trade tensions, lower inflation, and favorable financial conditions. Reforms driving robust domestic consumption and public investment are key support factors.
• Policy Priorities Ahead: IMF emphasized the need to sustain growth via job creation, reskilling agricultural labour, enhancing labour market flexibility, continued infrastructure investment, reduction in trade restrictions, land reforms, education investment, and streamlining regulations for businesses.
• Global Comparison: India is reaffirmed as the fastest‑growing major economy The IMF raised its global growth forecast to 3.0% for 2025 and 3.1% for 2026, while emerging market growth is expected at 4.1% in 2025 and 4.0% in 2026. China’s growth was revised upward to 4.8% in 2025 and 4.2% in 2026.
• Past Growth & Forecast Shift: India’s GDP grew at 5% in FY2024–25. The IMF’s April 2025 baseline had projected 6.2% for FY26; the current forecast now aligns more closely with RBI’s own 6.5% estimate, though slightly lower.

India Hosts 2nd BIMSTEC Ports Conclave

In the News:  India hosted the 2nd BIMSTEC Ports Conclave in Visakhapatnam, under the theme “Navigating the Future: Blue Economy, Innovation & Sustainable Partnerships.” The two-day event was inaugurated by Union Minister of Ports, Shipping & Waterways, Sarbananda Sonowal, and brought together delegates from all seven BIMSTEC member states.

Key Points:

• Conclave Theme & Host: The event, held at Visakhapatnam Port Authority facilities, focused on advancing the Blue Economy, innovation in port infrastructure, and sustainable partnerships across the Bay of Bengal region.
• Multi‑Stakeholder Participation: Participating delegations included government officials, maritime experts, port authorities, private-sector leaders, and regional development partners from Bangladesh, Bhutan, Myanmar, Nepal, Sri Lanka, Thailand, and India.
• Strategic Discussions: Sessions addressed harmonisation of customs procedures, port‑linked industrial zones, cruise tourism development, digital integration, logistics corridors, industry‑academia collaboration, maritime workforce upskilling, and promotion of green shipping.
• Operationalising AMTC: A key emphasis was placed on ratifying and operationalising the BIMSTEC Agreement on Maritime Transport Cooperation (AMTC), signed at the sixth BIMSTEC Summit, to boost intra‑regional trade, tourism, and skill development.
• Establishment of Maritime Centre: India announced the creation of a BIMSTEC Sustainable Maritime Transport Centre under the Indian Ocean Centre of Excellence for Sustainable Maritime Transport (IOCE‑SMarT) at Powai, Mumbai—to support implementation of AMTC and foster digital and green maritime initiatives.
• Kaladan Corridor Highlight: The Kaladan Multi‑Modal Transit Transport Project, linking India’s Northeast with Myanmar and the Bay of Bengal, was showcased as a flagship corridor for enhancing regional connectivity under the Act East and Neighbourhood First policies.
• India’s Strategic Vision: Union Minister Sonowal underscored BIMSTEC’s potential in unleashing the Blue Economy and India’s commitment to transform the Bay of Bengal into a sustainable trade, tourism, and logistics hub using PPPs, port-led industrial clusters, and workforce development.
• Regional Integration Goals: The conclave aligned with India’s Sagarmala Programme, Act East, and Neighbourhood First strategies—supporting port-led growth, seamless logistics, and enhanced regional integration across South and Southeast Asia. 

United Kingdom Set to Recognise Palestinian State

In the News:  UK Prime Minister Keir Starmer announced that the United Kingdom will formally recognise the State of Palestine at the United Nations General Assembly in September 2025, unless Israel takes key actions, including agreeing to a ceasefire in Gaza, easing the humanitarian crisis, and committing to a long-term two-state peace process. Starmer described Palestinian statehood as an “inalienable right” and signaled this recognition as a strategic diplomatic move to support peace efforts.

Key Points:

• Conditional Recognition: The UK pledged to recognise Palestine unless Israel:
• Agrees to a ceasefire in Gaza,
• Reopens humanitarian aid access (e.g. ≥500 aid trucks daily),
• Pledges no annexation of the West Bank,
• Commits to meaningful peace negotiations toward a two-state solution.
• Addressing Hamas Role: Starmer emphasized that Hamas must release all hostages, disarm, agree to no future governance in Gaza, while the recognition would reflect Britain's long-standing support for a viable, sovereign Palestinian state alongside Israel.
• International Context: The UK’s move follows France’s recent pledge to recognise Palestine at the same UN session. If implemented, the UK and France would be first among G7 permanent UN Security Council members to recognise statehood, increasing diplomatic pressure on Israel.
• Legal and Political Debate: A coalition of UK legal experts raised concerns that unilateral recognition may breach international law, arguing that Palestine currently does not meet all criteria of statehood under the Montevideo Convention (clear territory, functional government, diplomatic capacity).
• Domestic Reaction: Polls show UK public support is divided: about 28% support unconditional recognition, 24% favour recognition with conditions, and 16% oppose it, while the remainder remain unsure. Meanwhile, Israeli officials and families of hostages condemned the move as rewarding terrorism and undermining hostage negotiations..
• Strategic Objectives: According to the UK government, the timing in September is intended to maximize impact within global forums and support the viability of a two-state solution in light of stalled peace diplomacy and worsening conditions in Gaza. 

State of Food Security and Nutrition in the World 2025

In the News: The United Nations released its annual State of Food Security and Nutrition in the World (SOFI) 2025 report, presenting critical global updates for 2024 and highlighting the impact of food price inflation on access to healthy diets and nutrition.

Key Points :

• Global Hunger Trends: Approximately 673 million people (8.2% of the world population) experienced hunger in 2024, down from 8.5% in 2023 and 8.7% in 2022, reflecting the third consecutive annual decline.
• Regional Disparities:
  – Africa: Over 307 million people (20% of the region’s population) faced hunger in 2024, making it the area with the most severe food insecurity.
  – Western Asia: Hunger prevalence reached 7% (~39 million people), with ongoing conflict and displacement driving the trend.
  – Southern Asia, including India, saw hunger rates decline, supported by stronger food security programs and improved agricultural productivity.
• Food Insecurity Beyond Hunger: Roughly 3 billion people (28%) were moderately or severely food insecure in 2024, lacking consistent access to sufficient food.
• Affordability of Healthy Diets: High global food price inflation eroded purchasing power, especially for low-income groups, keeping around 6 billion people unable to afford a healthy diet. Though improved from 2.76 billion in 2019, the figure remains high.
• Policy Response & Best Practices: Governments that implemented targeted social protection (e.g., food subsidies, school feeding, cash transfers) and boosted resilient agricultural systems helped mitigate the adverse effects of inflation on nutrition access.
• Nutrition Statistics & Challenges:
  – While chronic hunger is declining globally, malnutrition persists: stunting, wasting, and micronutrient deficiencies remain high, especially in low‑income regions.
  – Low availability and affordability of diverse food groups like fruits, legumes, nuts, and vegetables continue—impacting quality of diets worldwide.
  – Global adult obesity prevalence rose to 16% in 2022, up from 12% in 2012, reflecting a dual burden of under‑ and overnutrition.
• Drivers of Food Insecurity:

Multiple systemic factors are impeding progress:

• Conflict and violence disrupt local food systems, displace populations, and limit aid delivery.
• Climate shocks—droughts, floods, heatwaves—reduce agricultural yields.
• Economic pressures: inflation, debt, and currency devaluation reduce food access in poorer countries.

• Notable Crises: Gaza Strip is undergoing a severe famine crisis, with acute malnutrition, food consumption collapse, and child mortality rising sharply. Humanitarian access remains severely restricted. Sudan, particularly North Darfur and IDP camps, saw confirmed famine conditions (IPC Phase 5), with over 522,000 child deaths from malnutrition amid civil conflict and aid blockades.
• Outlook for 2030: The SOFI 2025 report underlines that the world is not on track to achieve SDG Target 2.1 (end hunger) or SDG 2.2 (eliminate malnutrition) by 2030 without transformative action. 

Trump Imposes 25% tariff on India

In the News: U.S. President Donald Trump announced the imposition of a 25% tariff on all goods imported from India, effective August 1, accompanied by an unspecified additional "penalty" — citing India's purchases of Russian military equipment and oil, as well as its high tariff barriers against American goods.

Key Points:

• Tariff Announcement & Timing : Trump declared that India will face a 25% tariff, plus extra penalties due to its continued energy and defense ties with Russia. The deadline for India to agree to terms or avoid further escalation is set for August 1..
• Reasons Cited by the U.S. : Trump accused India of having some of the world’s highest tariffs and “obnoxious non-monetary trade barriers”, and criticized its role as a major buyer of Russian oil and armaments amid the war in Ukraine.
• Negotiations Still Underway : Despite the tariff announcement, Trump indicated that trade negotiations with India are ongoing and could still result in a deal by the end of the week .
• Impacted Sectors & Exports : Major export sectors at risk include textiles, chemicals, ceramics, gems & jewelry, pharmaceuticals, and electronics. These industries fear sharply reduced competitiveness in the U.S. market due to the new levy.
• Indian Response & Political Reaction :The Government of India stated it is examining the implications and reaffirmed its commitment to a "fair, balanced and mutually beneficial" trade agreement. Indian political parties, including Congress, denounced Trump’s action as unjustified and warned of economic fallout for exporters .
• Strategic Implications & Diversification : Industrialists like Harsh Goenka see the tariff crisis as an opportunity for India to diversify trade links—with a pivot toward Europe and ASEAN markets to reduce U.S. dependency [[turn0news17]]. Analysts also note the move may affect India’s role in the “China‑plus‑one” supply chain strategy, even as it retains attractiveness due to its size and lower dependence on China.
• Legal & Legislative Backdrop : The tariff announcement follows a broader pattern of Trump's unilateral use of emergency powers under IEEPA, which last year led to legal challenges. In May 2025, the U.S. Court of International Trade ruled such tariff measures exceeded presidential authority—but enforcement remained subject to appeals [[turn0search44]]turn0search42. In parallel, the U.S. Senate has introduced the Trade Review Act of 2025 to constrain executive trade powers, raising potential legal pushback against the new tariff decision . 

Two Consecutive Successful Flight Tests of Pralay Missile Conduct By DRDO

In the News: The Defence Research and Development Organisation (DRDO) successfully conducted two consecutive flight tests of the indigenously developed Pralay missile from Dr APJ Abdul Kalam Island off the coast of Odisha, marking a pivotal milestone in India’s defense capabilities and paving the way for its imminent induction into service.

Key Points :

• Flight Test Details: These tests were part of the User Evaluation Trials, executed on July 28 and 29. The missile validated both its minimum and maximum operational range, following precise trajectories and meeting all mission objectives.
• Missile Features & Performance:
• Pralay is a short-range, surface-to-surface quasi-ballistic missile with a 150–500 km strike range.
• The missile showcased high precision, maneuverability, and effective guidance systems capable of evading interceptor threats.
• Maximum terminal speed is estimated at Mach 1–1.6, with some sources suggesting up to Mach 6.1 in terminal phase, making it radar‑evading and thus harder to intercept.
• Development Collaboration: Designed by Research Centre Imarat (Hyderabad) in cooperation with multiple DRDO labs and industry partners including Bharat Dynamics Limited, Bharat Electronics Limited, and various MSMEs. Tracking data from sensors and ships confirmed all subsystems performed as expected.
• Strategic Impact: Defence Minister Rajnath Singh praised the tests as a substantial boost to India’s conventional strike options and battlefield readiness. DRDO Chairman Samir V Kamat noted that phase‑1 trials cleared the path for the missile’s induction into the armed forces in the near future.
• Operational Advantages: The missile uses a twin-launcher system mounted on a high-mobility vehicle, allowing rapid deployment. The maneuverable re-entry vehicle and inertial/multi-GNSS guidance provide precision targeting with sub‑10 m CEP accuracy.
• Role in India’s Defense Modernization: Pralay fills a critical capability gap in India's tactical strike arsenal, enhancing the country's deterrence posture and advancing the Aatmanirbhar Bharat agenda in defense technology. 

NISAR Mission Launch

In the News: India and NASA jointly launched the NASA‑ISRO Synthetic Aperture Radar (NISAR) satellite from the Satish Dhawan Space Centre, Sriharikota, aboard a GSLV‑F16 rocket—marking a major milestone in global Earth observation and bilateral space cooperation .

Key Points :

• Launch Details: Liftoff occurred at 5:40 p.m. IST (8:10 a.m. EDT) on July 30 via GSLV‑Mk II F‑16, placing the 2,392 kg satellite into a 747 km sun‑synchronous polar orbit with an inclination of ~98.4°. Dual‑Radar System: NISAR is the first satellite to carry dual-frequency Synthetic Aperture Radar—NASA’s L‑band and ISRO’s S‑band—allowing all‑weather, day/night imaging with centimetre-level precision.
• Revisit & Coverage: It will scan nearly all land and ice surfaces globally every 12 days, circling Earth approximately 14 times per day.
• Scientific & Application Goals: Measure surface deformation from phenomena like earthquakes, landslides, subsidence, and volcanic activity. Monitor glacier retreat, vegetation changes, wetland dynamics, forest biomass, and groundwater levels. Support disaster response, infrastructure monitoring, and climate‑change research
• Mission Lifespan & Operations: Nominal mission life is five years. The initial 90 days post-launch are dedicated to commissioning, calibration, and systems checks before transitioning into full science operations jointly managed by ISRO and NASA.
• Cost & Collaboration: Valued at over USD 1.3–1.5 billion, with NASA covering the majority of payload development, the mission exemplifies deep Indo‑U.S. collaboration in civil space science.
• Strategic Importance: Union Minister Jitendra Singh hailed NISAR as a globally significant mission, emphasizing its role as a beacon of scientific diplomacy between India and the U.S., and a testament to India’s evolving space ambitions.