1. INDIA TEST-FIRES AGNI-PRIME MISSILE
SUBJECT: DEFENCE
• The Defence Research and Development Organisation (DRDO) successfully conducted a flight test of the Agni-Prime ballistic missile from Dr APJ Abdul Kalam Island off Odisha’s coast.
• This next-generation missile, with a range of up to 2,000 km, features advanced propulsion and guidance systems for enhanced accuracy and survivability.
• The test validates the missile’s rail-mobile launch capability, aligning with India’s nuclear doctrine for flexible and rapid response options.
• Concepts: Nuclear Triad – Complements air, sea, and land-based delivery systems; Article 51A(h) – Promotes scientific temper and defence self-reliance.
• The launch reinforces India’s strategic deterrence amid regional tensions, with integration planned for all three armed forces by 2026.
• International implications include bolstering credibility in arms control talks, as the missile’s canisterised design reduces launch predictability.
2. RBI BULLETIN HIGHLIGHTS RESILIENT GROWTH AMID GLOBAL TENSIONS
SUBJECT: ECONOMY
• The Reserve Bank of India’s September 2025 Bulletin reports a five-quarter high GDP growth of 7.8% in Q1 FY25-26, driven by robust domestic consumption and government spending.
• Despite US tariffs on Indian exports, non-food bank credit moderated but was offset by NBFC lending and equity issuances, improving credit-to-GDP ratios.
• Digital payments via UPI surged 45% year-on-year, underscoring fintech’s role in financial inclusion and economic momentum.
• Concepts: Fiscal Deficit – Maintained at 0.8% of target, lowest since 1997; Monetary Policy – Inflation at 2.1%, enabling potential rate cuts.
• The report flags risks from global trade uncertainties but projects India as the fourth-largest economy by end-2025, surpassing Japan.
• Reforms like GST rate reductions on 300+ goods aim to boost consumption, targeting 8% annual growth through 2030.
3. CDS GENERAL ANIL CHAUHAN’S TENURE EXTENDED TO MAY 2026
SUBJECT: NATIONAL/DEFENCE
• The Appointments Committee of the Cabinet approved a nine-month extension for Chief of Defence Staff General Anil Chauhan, enhancing tri-service integration efforts.
• The extension, until May 30, 2026, or further orders, allows continuity in theatre commands and jointness reforms post-Operation Sindoor.
• Chauhan’s leadership has prioritised indigenous procurement, with ₹30,000 crore RFP for MALE drones set for release soon.
• Concepts: Integrated Theatre Commands – Article 33 for military discipline; Atmanirbhar Bharat in Defence – 75% domestic capex target.
• This move addresses squadron shortages in the IAF, aiming to raise combat fleet to 56 squadrons amid border threats.
• It signals stability in defence leadership, with focus on R&D spending increase to 15% of budget for next-gen tech like AI and drones.
4. LADAKH PROTESTS ESCALATE OVER STATEHOOD DEMANDS
SUBJECT: POLITY
• Protests in Leh intensified with demands for Sixth Schedule protections and statehood restoration, highlighting Centre-UT tensions post-2019 bifurcation.
• Led by the Leh Apex Body, demonstrators cite erosion of cultural autonomy and economic neglect in the border region.
• The agitation revives federalism debates, with calls for dialogue under Article 239AA’s special provisions for Union Territories.
• Concepts: Article 370 Abrogation – Impacts on J&K and Ladakh; Panchayati Raj – Extension via 73rd Amendment for tribal areas.
• Security concerns rise as protests near LAC, potentially exploitable by adversaries, affecting eco-tourism reliant on Pashmina trade.
• Government response includes promises of infrastructure boosts, but unresolved grievances risk broader UT autonomy movements.
5. SPECIAL AND DIFFERENTIAL TREATMENT IN WTO TALKS
SUBJECT: INTERNATIONAL/ECONOMY
• India reiterated demands for Special and Differential Treatment (S&DT) at WTO negotiations, rooted in the Enabling Clause for developing nations’ trade flexibilities.
• Amid US tariff hikes, S&DT seeks longer implementation periods for subsidies and market access, addressing structural imbalances.
• The Doha Agenda reinforces S&DT, aiming to level global trade playing fields for economies like India’s facing agriculture and IP hurdles.
• Concepts: GATT 1994 – Core WTO framework; Article XXI – Security exceptions for trade restrictions.
• India’s stance aligns with Global South coalitions, pushing for reforms in fisheries subsidies and e-commerce duties.
• Outcome could influence $42.9 billion Indo-Saudi trade, with potential for diversified FTAs amid BRICS expansion.