1. PARLIAMENT’S BUDGET SESSION SUMMONED; SHOWDOWN EXPECTED OVER TARIFFS AND ELECTORAL REFORMS
SUBJECT: POLITY
- President Droupadi Murmu has officially approved the summoning of both Houses of Parliament for the Budget Session 2026, which is scheduled to commence on January 28 and conclude on April 2.
- In a departure from the customary February 1 start, the session will begin with the President’s address to a joint sitting on January 28, while the Union Budget is set to be presented on February 1 (Sunday).
- The opposition has signaled a stormy session, intending to corner the government on the impact of 50% U.S. trade tariffs and alleged irregularities in the Special Intensive Revision (SIR) of electoral rolls.
- Two high-profile legislative items likely to cause friction are the ‘One Nation, One Election’ Bill and a proposal to disqualify Ministers facing serious criminal charges who remain in jail for over 30 days.
- The Viksit Bharat Shiksha Adhishthan Bill, 2025, which aims to overhaul higher education regulation, is expected to be tabled following its review by a Joint Parliamentary Committee.
- Concepts: Article 85 – Empowers the President to summon Parliament; Article 112 – Mandates the presentation of the Annual Financial Statement (Budget).
2. CENTRE LAUNCHES ₹235-CRORE PORT AND DIGITAL PROJECTS IN TAMIL NADU
SUBJECT: NATIONAL / TAMIL NADU
- Union Minister Sarbananda Sonowal launched port infrastructure and digital governance projects worth ₹235 crore at the Chennai and Kamarajar Ports under the “Viksit Bharat, Viksit Ports” initiative.
- A key highlight is the launch of the e-Port Clearance Portal under the “One Nation-One Port” process, aimed at automating vessel clearances and reducing human interface in maritime trade.
- At Chennai Port, foundation stones were laid for climate-resilient coastal revetment (850 meters) and the modernization of the Chennai Port Hospital.
- The Kamarajar Port saw the rehabilitation of its Northern Breakwater, damaged by past cyclones, using over 3,000 tetrapods to ensure year-round navigational safety.
- The Ministry also inaugurated the National IED Data Management System (NIDMS) developed by the NSG, with a regional hub established in Chennai to enhance AI-driven anti-terror investigations.
- Concepts: Sagarmala Programme – Focuses on port-led development; Disaster Resilience – Integration of climate-resilient designs in maritime infrastructure.
3. U.S. AMBASSADOR SERGIO GOR ARRIVES AMID TRADE FRICTION AND STRATEGIC COOPERATION
SUBJECT: INTERNATIONAL
- The newly appointed U.S. Ambassador to India, Sergio Gor, arrived in New Delhi today, assuming charge as one of the youngest envoys to India during a period of both “promise and strain.”
- Gor’s arrival coincides with the implementation of 50% U.S. tariffs on Indian goods, a move by the Trump administration linked to India’s continued purchase of Russian crude oil.
- Despite trade tensions, both nations recently inked a 10-year Defense Framework Pact, solidifying India’s status as a “Major Defense Partner” for technology co-development and intelligence sharing.
- The U.S. has also approved a $92.8 million arms sale to India, focusing on enhancing interoperability in the Indo-Pacific region to counter regional hegemony.
- Parallelly, the India-Russia Annual Summit outcomes are being operationalized, with both nations targeting $100 billion in trade by 2030 through “third-country-proof” payment mechanisms.
- Concepts: Strategic Autonomy – India’s ability to maintain ties with both Russia and the U.S. simultaneously; Reciprocal Tariffs – Economic measures used in trade negotiations.
4. UN UPGRADES INDIA’S 2026 GROWTH FORECAST TO 6.6% AMID GLOBAL SLOWDOWN
SUBJECT: ECONOMY
- The United Nations’ World Economic Situation and Prospects (WESP) 2026 report has upgraded India’s growth projection to 6.6%, citing resilient private consumption and strong public investment.
- The report notes that while global growth is expected to dip to 2.7%, India will remain the fastest-growing major economy, largely offsetting the heat from U.S. tariff hikes.
- For the current financial year (FY26), the National Statistics Office (NSO) and the UN both peg India’s GDP growth at 7.4%, supported by a surge in gross fixed capital formation.
- Inflation in India is forecast to stabilize at 4.1% in 2026, down from previous highs, though the rising cost of living remains a concern for urban household budgets.
- The UN highlighted India’s success in the electronics supply chain and digital infrastructure as key drivers that have made its economy more “resilient than expected.”
- Concepts: Gross Fixed Capital Formation (GFCF) – A measure of net investment in fixed assets; Current Account Deficit (CAD) – Potential strain due to export tariffs and import costs.
5. INDIAN ARMY ACHIEVES 90% INDIGENIZATION IN AMMUNITION PRODUCTION
SUBJECT: DEFENCE
- The Ministry of Defence announced that the Indian Army has successfully achieved 90% indigenization across its nearly 200 variants of ammunition and precision munitions.
- This milestone is part of the Atmanirbhar Bharat initiative, with the government placing domestic orders worth ₹26,000 crore in the last three years to reduce import dependency.
- The Ministry has officially scrapped several import deals for all-terrain vehicles and short-range missiles, opting for indigenous platforms developed by Indian MSMEs and DPSUs.
- India’s Defence Exports have seen a structural shift, with Indian-made artillery and electronic warfare systems gaining traction in global markets, particularly in South Asia and Africa.
- The government has set an ambitious target of reaching ₹3 lakh crore in total defence production and ₹50,000 crore in exports by 2029.
- Concepts: Positive Indigenisation List – Items banned for import to promote local manufacturing; Defence Acquisition Procedure (DAP) 2020 – Prioritizes ‘Buy Global (Manufacture in India)’.
