Prelims Current Affairs includes Small-Scale Industries (SSIs), USA has imposed an additional 25% tariff on Indian imports, New Development Bank (NDB), set up by BRICS nations (Brazil, Russia, India, China, South Africa), Sustainable Development Goal 6 (SDG-6), Gangotri Glacier has lost nearly 10% of its snowmelt flow, Common but Differentiated Responsibilities (CBDR) and Pradhan Mantri Virasat Ka Samvardhan (PM VIKAS).

IMPORTANT DAY

1. SMALL INDUSTRY DAY

Observed every year on 30 August
Aim: to recognize the contribution of Small-Scale Industries (SSIs) to the country’s economic development.

SMALL-SCALE INDUSTRIES (SSI) – KEY FACTS

• Definition: Small-scale industries are privately owned small manufacturing units, corporations, or service providers with limited resources and manpower.

• Contribution to Economy:

  • Provide large-scale employment at low capital cost.

  • Contribute significantly to India’s GDP and exports.

  • Encourage entrepreneurship and self-reliance.

INTERNATIONAL

2. USA IMPOSES ADDITIONAL 25% TARIFF ON INDIAN IMPORTS

Current Context: The USA has imposed an additional 25% tariff on Indian imports, affecting almost two-thirds of India’s exports by value to the US.

IMPACT ON INDIA

• Exports: May fall to USD 49.6 billion in 2025-26 from nearly USD 87 billion in 2024-25 (GTRI estimate).

• Most Affected Sectors: Labour-intensive industries like gems & jewellery, textiles, apparel, shrimp, auto components.

• Competitiveness: Indian products to lose edge over exporters from Vietnam, Bangladesh, Mexico.

• Foreign Inflows: Possible decline in FDI and volatility in FPI inflows.

WAY FORWARD

• Financial Support: Reinstate Interest Equalisation Scheme for low-cost MSME credit.

• Targeted Credit: Extend special credit lines for shrimp, apparel, jewellery, handicrafts.

• Export Incentives: Enhance RoDTEP and ROSCTL schemes.

• Policy Support: Simplify regulations, rationalise duties on key raw materials (cotton, leather, gems).

APPOINTMENT

3. VICE PRESIDENT OF NEW DEVELOPMENT BANK (NDB)

Current Context: New Development Bank (NDB), set up by BRICS nations (Brazil, Russia, India, China, South Africa), appointed Dr Rajiv Ranjan as Vice President and Chief Risk Officer.

ABOUT DR RAJIV RANJAN

• Joined Reserve Bank of India (RBI) in 1989.

• Over 30 years of central banking experience.

• Served as Executive Director at RBI and member of the Monetary Policy Committee (MPC) since 2022.

• Worked with G20, IMF, World Bank, BIS, FSB, OECD, SAARC.

• Expertise: Monetary policy, liquidity management, financial markets, risk assessment.

INDIA’S ROLE IN NDB

• Second-largest project portfolio: USD 7.5 billion (after China’s USD 8.1 billion).

ABOUT NDB

• The New Development Bank, established by the BRICS nations, plays an important role in financing sustainable development and infrastructure projects.

• Established: July 2015 (formally launched at the 7th BRICS Summit, Ufa, Russia)

• Headquarters: Shanghai, China

• Member Countries: BRICS founding members; later expanded to include Bangladesh, UAE, Egypt, Uruguay.

• Authorized Capital: USD 100 billion

• Initial Subscribed Capital: USD 50 billion (equally shared among BRICS nations)

• Current President: Dilma Rousseff (former President of Brazil)

REPORT

4. WHO–UNICEF REPORT ON DRINKING WATER AND SANITATION (2000–2024)

Current Context: The World Health Organization (WHO) and United Nations Children’s Fund (UNICEF) released a joint report assessing global and national progress on Water, Sanitation and Hygiene (WASH) between 2000–2024, highlighting persistent inequalities that threaten the achievement of Sustainable Development Goal 6 (SDG-6).

Key Findings

• Global Findings:

  • Open Defecation: In low-income countries, rates remain 4 times higher than the global average.

  • Safe Sanitation Access: Improved to 58% worldwide.

  • Drinking Water: Safely managed drinking water coverage rose from 68% (2015) to 74% (2024).

  • Gendered Burden: Women spend disproportionate time fetching water.

  • Menstrual Health: Data from 70 countries reveal widespread access gaps across all income groups.

• India-Specific Findings:

  • Open Defecation: Drastic decline, but challenges persist in rural and marginalised groups.

  • Sanitation Coverage: Near universal access; however, slippage in usage and waste management quality remains a concern.

  • Drinking Water: Expanded household tap water connections, yet safely managed drinking water coverage is still below universal levels.

  • Equity Issues: Tribal and poorest communities lag in access.

WASH Initiatives in India

• Swachh Bharat Mission (SBM)

  • Objective: Elimination of open defecation.

  • Impact: Empowered women, reduced child mortality, improved public health and safety.

• Jal Jeevan Mission (JJM)

  • Objective: Provide safe and adequate tap water connections to every rural household.

  • Focus: Universal coverage, with special attention to vulnerable groups.

PLACE IN NEWS

5. GANGOTRI GLACIER

Current Context: A recent study revealed that the Gangotri Glacier has lost nearly 10% of its snowmelt flow in the past four decades, raising concerns over water security for the Ganga basin.

ABOUT GANGOTRI GLACIER

• Location: Uttarkashi district, Uttarakhand.

• Length: About 30 km.

• River System: Feeds the Bhagirathi River, which merges with the Alaknanda River at Devprayag to form the Ganga River.

• Protected Area: Lies within Gangotri National Park.

• Key Fauna: Snow Leopard, Himalayan Blue Sheep (Bharal), Himalayan Monal (state bird of Uttarakhand).

ENVIRONMENT

6. ARTICLE 9.1 OF PARIS AGREEMENT

Current Context: At COP-30 in Belém, Brazil, India and other developing countries pushed to bring Article 9.1 back at the center of negotiations.

ABOUT ARTICLE 9.1

• Core Principle: Developed countries shall provide financial resources to assist developing countries in mitigation and adaptation.

• Basis: Anchored in the principle of Common but Differentiated Responsibilities (CBDR) and historical responsibility.

• Significance: Ensures climate justice by placing the responsibility of financing on developed countries.

POLICY AND PROGRAMME

7. MATSYA SHAKTI PROJECT

Current Context: The Union Minister of State for Fisheries, Animal Husbandry & Dairying announced the launch of the Matsya Shakti Project to empower minority fishing communities.

ABOUT MATSYA SHAKTI PROJECT

• Implemented By: Vizhinjam Regional Centre of ICAR–Central Marine Fisheries Research Institute (CMFRI).

• Under Ministry: Ministry of Agriculture and Farmers’ Welfare.

• Scheme Link: Conceived under Pradhan Mantri Virasat Ka Samvardhan (PM VIKAS) Scheme.

• Purpose:

  • Empower minority fishing communities.

  • Provide year-long, phased training in sustainable livelihood and modern skill development.

  • Hands-on training in integrated aquaculture, seed production, and advanced fisheries technologies.

ABOUT PM VIKAS SCHEME

• Type: Central Sector Scheme under Ministry of Minority Affairs.

• Components: Skill development, leadership training, entrepreneurship support.

• Reach: Expected to benefit around 9 lakh candidates during the 15th Finance Commission Cycle (2025-26).

• Merger of Schemes: Consolidates Seekho aur Kamao, USTTAD, Hamari Dharohar, Nai Roshni, Nai Manzil.

• Integration: Works with Skill India Mission and ministries like Women & Child Development, Panchayati Raj, Tourism, and Education.

SCHEME

8. PM SVANIDHI SCHEME

Current Context: The Union Cabinet approved the restructuring and extension of the PM Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) scheme beyond 31 December 2024.

ABOUT PM SVANIDHI SCHEME

• Launch: 1 June 2020.

• Objective: Provide working capital loans to street vendors affected by COVID-19.

• Implementing Agencies:

  • Ministry of Housing & Urban Affairs (MoHUA).

  • Department of Financial Services (DFS) facilitates credit through banks.

KEY FEATURES OF RESTRUCTURED SCHEME

• Coverage Expansion: From statutory towns to census towns and peri-urban areas.

• Enhanced Loan Tranches:

  • 1st tranche: ₹15,000 (earlier ₹10,000).

  • 2nd tranche: ₹25,000 (earlier ₹20,000).

  • 3rd tranche: ₹50,000 (unchanged).

• Digital Boost:

  • UPI-linked RuPay Credit Card for immediate credit access.

  • Cashback incentives up to ₹1,600 for digital transactions.

• Capacity Building:

  • Entrepreneurship, financial literacy, digital skills, marketing.

  • Food safety training for street vendors (with FSSAI).

• ‘SVANidhi se Samriddhi’: Strengthened through monthly Lok Kalyan Melas.

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