1. FIRST ADVANCE ESTIMATES PROJECT 7.4% GDP GROWTH FOR FY26
SUBJECT: ECONOMY
- Projected Growth: The Ministry of Statistics and Programme Implementation (MoSPI) released the First Advance Estimates for 2025-26, projecting India’s real GDP growth at 7.4%, up from 6.5% in the previous fiscal.
- Manufacturing Rebound: The manufacturing sector is expected to grow at 7%, a significant recovery from 4.5% last year, driven by robust domestic demand and supply-side resilience.
- Nominal Growth Slowdown: Nominal GDP growth is projected at an 8% low, the lowest in five years (excluding the pandemic year), due to a low GDP deflator and easing inflationary pressures.
- Sectoral Moderation: Agriculture growth is estimated to moderate to 3.1% from 4.6%, highlighting the need for continued structural reforms in the primary sector.
- Milestone Proximity: At an exchange rate of ₹89.89/$, India’s nominal GDP stands at approximately $3.97 trillion, placing the nation on the cusp of the $4-trillion economy milestone.
- Concepts: First Advance Estimates (FAE) – Crucial for the upcoming Union Budget 2026-27; GDP Deflator – Measures the difference between nominal and real GDP, reflecting price changes.
2. TRUMP ADMINISTRATION WITHDRAWS FROM INTERNATIONAL SOLAR ALLIANCE
SUBJECT: INTERNATIONAL
- ISA Exit: The U.S. government under President Donald Trump has officially moved to withdraw from the International Solar Alliance (ISA), an India-led global initiative headquartered in Gurugram.
- Multi-lateral Retreat: This move is part of a broader memorandum titled “Withdrawing the U.S. from International Organisations, Conventions, and Treaties,” signaling a retreat from global climate cooperation.
- Tariff Pressure: Concurrently, the U.S. Senate is advancing a Bill to impose 500% tariffs on countries, including India and China, that continue to purchase Russian oil, aiming to squeeze financing for the Ukraine conflict.
- Diplomatic Engagement: These developments occur just prior to the arrival of U.S. Ambassador-designate Sergio Gor in New Delhi, setting a high-stakes tone for bilateral trade and energy negotiations.
- India-EU Pivot: External Affairs Minister S. Jaishankar, during his visit to Luxembourg, predicted a significant upswing in India-EU relations by 2026 as India seeks to balance its global alliances.
- Concepts: International Solar Alliance (ISA) – Launched at COP21 by India and France; Strategic Autonomy – India’s pursuit of independent foreign policy amid global “double-pressure.”
3. CENTRE NOTIFIES FIRST PHASE OF CENSUS 2027; ECI TO HOST GLOBAL DEMOCRACY MEET
SUBJECT: POLITY
- Census 2027 Notification: The Ministry of Home Affairs (MHA) has issued the official notification for the first phase of the Census of India 2027, scheduled to take place between April and September 2027.
- Digital Integration: The upcoming Census is expected to be the first “digital” census, with the data integration of the National Population Register (NPR) serving as a critical backbone for future governance.
- Global Democracy Conference: The Election Commission of India (ECI) announced it will host the inaugural India International Conference on Democracy and Election Management (IICDEM) 2026 from January 21-23 at Bharat Mandapam.
- Aadhaar Mascot: The UIDAI launched “Udai,” the official mascot for Aadhaar, to enhance public engagement and simplify digital identity awareness among rural populations.
- Keezhadi Floods Research: New archaeological findings suggest the Keezhadi settlement in Tamil Nadu was buried by a massive flood nearly a millennium ago, providing fresh insights into the region’s urban history.
- Concepts: Article 82 – Relates to the delimitation of constituencies post-census; IICDEM – Positions India as a global hub for democratic dialogue.
4. TAMIL NADU BRACES FOR HEAVY RAIN AS BAY SYSTEM INTENSIFIES
SUBJECT: NATIONAL ISSUES / TAMIL NADU
- Deep Depression: A rare January weather system in the Bay of Bengal has intensified into a Deep Depression, ending a prolonged dry spell over Tamil Nadu.
- Rainfall Alert: The IMD has issued Orange and Yellow alerts for several coastal districts, including Chennai and Puducherry, with heavy rainfall predicted starting January 9.
- Thanthai Periyar Wildlife Sanctuary: The sanctuary in Tamil Nadu has gained national attention following the expansion of elephant monitoring initiatives and habitat protection under the Gaj Rakshak App.
- Bio-Bitumen Production: India has become the first country to commercially produce bio-bitumen from agricultural waste, a breakthrough for sustainable road construction under the Ministry of Science and Technology.
- Madhav Gadgil Passes Away: Renowned ecologist Madhav Gadgil, known for the Western Ghats Ecology Expert Panel report, passed away at 82, leaving a significant legacy in Indian environmental policy.
- Concepts: Disaster Management Act 2005 – Governance of IMD alerts and state responses; Sustainable Infrastructure – Bio-bitumen’s role in reducing carbon footprints in civil engineering.
5. INDIAN ARMY ORDERS PINAKA MLRS OVERHAUL; INDO-GERMAN SUB DEAL NEARS
SUBJECT: DEFENCE
- Pinaka Upgrade: The Indian Army has granted a major supply order to Tata Advanced Systems Limited (TASL) for the overhaul and up-gradation of first-generation Pinaka Multiple Launch Rocket Systems (MLRS).
- Project-75(I) Submarines: India and Germany are set to finalize a landmark deal for the joint production of six advanced conventional submarines during German Chancellor Friedrich Merz’s visit next week.
- Operation Sindoor Revelations: U.S. FARA (Foreign Agents Registration Act) filings have debunked Pakistani narratives regarding “Operation Sindoor,” revealing Islamabad’s private pleas for U.S. intervention during India’s counter-terror response.
- Small Arms Indigenization: Lokesh Machines Limited secured a ₹22 crore order from Advanced Weapons and Equipment India (AWEIL) for 9mm machine pistol parts, furthering the ‘Atmanirbhar Bharat’ initiative in defence.
- Peacekeeping Leadership: The MEA reaffirmed India’s status as a leading contributor to UN Peacekeeping operations, currently deploying thousands of personnel in high-risk zones across Africa and the Middle East.
- Concepts: P-75(I) – India’s strategic submarine acquisition program; FARA Filings – U.S. transparency laws that provide insights into international lobbying and strategic communication.