Economy Current Affairs

India’s GDP grew 7.8% in Q1 FY27, slower than the revised 8.6% in Q4 FY26, but faster than the revised 6.9% in Q1 FY26. The Q1 growth beat the 7.3% Economic Times poll estimate and the RBI’s 7% projection.

By assigning a monetary value to marine fish stocks (found in both coastal and inland within exclusive economic zones or EEZs), India is moving towards measuring the wealth contained in oceans.

India is clarifying foreign direct investment rules for bordering nations. These clarifications will guide investors from countries sharing land borders. New Delhi updated procedures for processing investment applications from these geographies. Investors must provide extensive details on shareholding and ownership structures.

India's industrial output saw a 6.7% growth in July. Manufacturing output increased by 7.3% year-on-year during the same period. Electricity generation also rose by 8.7% in July. Consumer durables surged to an eight-month high, driving overall growth. Capital goods output also showed a significant increase.

Over Rs 53 lakh crore has been transferred through Direct Benefit Transfer to beneficiaries. Nearly 33 crore women now hold Jan Dhan accounts, enhancing financial inclusion. The Pradhan Mantri Jan Dhan Yojana has completed twelve years of successful operation. This initiative provides basic banking access and financial security to millions. Banking outlets now reach nearly every village, improving accessibility for all.

WhatsApp had challenged the Competition Commission of India's November 2024 ban on data sharing between WhatsApp and other Meta entities, warning it may have to roll back some features

As climate-finance needs surge and the old global financial order comes under strain, the country could help build an inclusive, multipolar system for green development

India’s youth crisis is about the absence of jobs, not just examination reform

India’s total fertility rate has fallen to 1.9, below replacement level, even as the working-age population remains dominant. The country may confront ageing at a lower income level than China did. Economists say the next two decades are critical for creating jobs, improving skills, expanding care infrastructure and raising productivity.

Without naming any country, Mr. Modi said resources ranging from fuel and medicines to technology were increasingly being used as instruments of geopolitical pressure, while strategic geographical routes were also being weaponised.

Moving the resolution, Finance Minister N. Marie Wilson called upon the Centre to adopt a transparent, objective, and equitable methodology for the devolution of Union taxes

The RBI kept the repo rate unchanged at 5.25% for the fourth straight policy review, retained its neutral stance, raised its FY27 growth forecast to 6.7%, and lowered the inflation projection to 5%. It also announced revised loan pricing norms, plans to resume urban cooperative bank licences, and expressed confidence in India's economic resilience despite global uncertainties.

The Sixteenth Finance Commission risks moving away from its core mandate of acting as an equalising force within the federation

Critical mineral security will define India’s industrial and strategic trajectory

The Taxation and Other Laws Amendment Bill, 2026 proposes extending electronics tax incentives until 2041, easing rules for foreign investors and fund managers, while raising surcharge on certain SPVs under the new tax regime.

The Samudra Manthan scheme aims at boosting India’s deepwater hydrocarbon exploration and energy security with an ₹84,084 crore investment

Making Artificial Intelligence affordable and ubiquitous should become India’s next transformative public infrastructure revolution

India and Bhutan reviewed development projects during high-level talks. A concessional line of credit worth Rs 4,000 crore was signed. Cooperation in health education and research was also expanded between institutions. Forty-five electric vehicles were handed over to support green mobility initiatives. Both nations reaffirmed their strong development partnership and cooperation.

The India-EU free trade agreement negotiations focused on the Carbon Border Adjustment Mechanism. A comprehensive work plan will address concerns for small and medium enterprises regarding this mechanism. Legal scrubbing of the free trade agreement has now been completed by both sides. This pact could be signed this year and implemented starting in 2027. India and the EU will engage on taking into account carbon prices paid within India.

There was no fair and transparent procedure, says Bench