Daily Current Affairs 2025  

01/09/2025

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CA-01/09/2025

 

Why in news?
On 31 August and 1 September 2025, PM Modi and Union Minister Dr. Mansukh Mandaviya emphasized the scheme's launch as a pivotal move to convert India's youth potential into national prosperity via large-scale job creation.
 
News Highlights

• The initiative was prominently discussed after its Independence Day announcement and is now being rolled out across India with a focus on formalizing private sector employment.
• Eligible youth (private sector, first job) will receive the incentive in two payments upon meeting employment and savings milestones.
• Employers registered with EPFO will receive up to ?3,000 per new eligible employee per month.
• Incentives for financial literacy and savings are embedded in the scheme framework.
• Special sectors like MSMEs, manufacturing, and services are primary focus areas for job creation.

Impact and Government Narrative

• The scheme is presented as central to India's vision for economic growth, youth empowerment, and a formal, resilient employment system as India moves toward "Viksit Bharat" by 2047.
• Continuous government communication reinforces the scale (3.5 crore jobs), targeted approach (youth, first-time job seekers), and simplified application via EPFO portals.

About PM-VBRY
The PM Viksit Bharat Rozgar Yojana (PM-VBRY) is a major employment-linked incentive scheme launched by the Government of India to boost job creation, especially for youth entering their first employment in the private sector. It was announced by the Prime Minister on 15 August 2025 and will run from 1 August 2025 to 31 July 2027.

Key Objectives and Features

• The scheme aims to create 3.5 crore new jobs in two years, with a budget outlay of nearly ?1 lakh crore.
• Focus is on first-time job seekers and incentivizing private sector employers to hire new workers.
• The scheme is part of the larger goal to leverage India’s demographic dividend for economic growth.

Benefits for Youth and Employers

• First-time employees in the private sector will receive a direct financial incentive of ?15,000, paid in two installments via DBT (Direct Benefit Transfer).
• The first installment (?7,500) is given after completing six months of continuous employment.
• Employers receive an incentive of up to ?3,000 per month for each new eligible employee hired during the scheme period.

Eligibility and Application

• Beneficiaries must be private sector employees receiving up to ?1 lakh monthly salary, and must be taking up their first job (not previously covered by EPFO/exempt trust).
• Employers must register new employees under EPFO and comply with scheme requirements, including EPFO registration and active UAN for employees.
• Applications can be made online through the official EPFO portal and UMANG app.

Additional Conditions and Highlights

• Financial literacy training is mandatory for the release of the second installment of incentive.
• A portion of the incentive is encouraged to be invested in savings instruments.
• Major sectors covered include MSME, manufacturing, services, and technology.

Impact

• The scheme is expected to accelerate job creation, support skill development, promote financial inclusion, and strengthen India’s push toward a self-reliant economy.

 
 
   
Why in news?
Prime Minister Narendra Modi has emphasized that resilience defines India's economic journey and growth story, noting how the nation has repeatedly turned global challenges into opportunities, particularly through digital transformation, energy security, and the green transition.
 
He promoted the mantra "Daam Kam, Dum Zyada" (less price, higher quality), urging India to prove its mettle globally through quality products and support for "Made in India".
 
Growth Performance and Resilience

• India’s GDP grew by 7.8% in the first quarter of FY26, making it the fastest-growing major economy currently.
• Estimates suggest India will sustain over 6% growth into 2025–2026, with forecasts ranging from 6.2% to 7.7% depending on the source.

• Fundamental strengths include high private consumption, continued public capital expenditure, and sector-wide momentum in manufacturing, agriculture, and services.

Key Strategies Amid Global Headwinds

• The government prioritizes digital transformation, energy security, and green transitions, turning external challenges like trade protectionism and tariff wars into innovation opportunities.
• Public infrastructure investment acts as a counter-cyclical anchor while private investment remains subdued globally; capex allocation has risen annually.
• India has enhanced export diversification, especially toward South Asia and Europe, to navigate disruptions in global value chains and tariff risks.
• Domestic policy, such as welfare programs and inflation control, maintains strong rural and urban consumption even as export orders face uncertainty.

 Global and Structural Challenges

• Persistent geopolitical tensions, protectionist measures (e.g., US tariffs), and supply chain realignments represent ongoing external risks.
• India’s future growth requires continued macroeconomic stability, meaningful reforms in labor, product markets, and targeted investments in education, health, and MSMEs.
• Despite high growth, challenges linger around inclusivity—especially labor force participation among women and quality rural job creation.

Achievements and Outlook

• India’s export sector has climbed sharply, with ambitious targets set for 2030.
• The country is projected to become the world’s fourth largest economy by 2026, with strong global recognition for its geopolitical and economic significance.
• India’s inflation has moderated and remains within target ranges, supporting overall stability.

In summary, India’s resilient growth is anchored in robust domestic demand, strategic reforms, and adaptive global trade strategies, allowing it to outperform most economies even in a turbulent global environment.
 
 
   
Why in news?
SEMICON India 2025 is a major semiconductor industry event to be held from September 2 to 4, 2025, at Yashobhoomi in New Delhi.
It is jointly organized by the India Semiconductor Mission (ISM) under the Ministry of Electronics and Information Technology (MeitY) and the global industry association SEMI. 
 
Key features of SEMICON India 2025 include:

• The launch of India's first made-in-India semiconductor chip, the Vikram 32-bit processor developed by ISRO's Semiconductor Lab.
• Showcasing India's rapid semiconductor ecosystem growth supported by a Rs 76,000 crore government Production Linked Incentive (PLI) scheme, with nearly Rs 65,000 crore already committed.
• India is progressing towards becoming a global hub for semiconductor design, fabrication, packaging, and testing.
• The event hosts over 350 exhibiting companies from 33 countries, marking India's rising role in the global semiconductor supply chain.
• India contributes 20% of global semiconductor design and is building an 85,000-strong semiconductor workforce.
• Advanced chip design facilities focused on 3-nanometer technology have been inaugurated.
• India is moving towards next-generation manufacturing technologies like Silicon Carbide semiconductors and 3D Glass packaging.
• The semiconductor market in India is projected to reach $55 billion by 2026 and $100 billion by 2030.
• The event also highlights growing investments, state policies, AI-driven manufacturing, and global collaborations.

SEMICON India 2025 reinforces India's vision of becoming a leader in semiconductor innovation, manufacturing, and self-reliance in this critical technology sector, with strong government backing, industry participation, and academic collaboration.
 
 
   
Why in news?
The 2025 Shanghai Cooperation Organisation (SCO) Summit, also known as the 25th SCO Summit, was held from August 31 to September 1, 2025, in Tianjin, China.

• This summit was the largest in SCO's history and marked the fifth time China hosted the event.
• The main venue was the Tianjin Meijiang Convention and Exhibition Center, with extensive preparations including infrastructure upgrades and volunteer mobilization.

Key Details of SCO Summit 2025:

• Theme: "Upholding the Shanghai Spirit: SCO on the Move."
• Host: China, with President Xi Jinping chairing the summit.
• Participants: Leaders from 10 full member states including China, Russia, India, Pakistan, Iran, Belarus, Kazakhstan, Kyrgyzstan, Tajikistan, and Uzbekistan. Also, leaders from observer states and dialogue partners attended, along with heads of 10 international organizations.
• Notable Attendees: Indian Prime Minister Narendra Modi, Russian President Vladimir Putin, Pakistan's Prime Minister Shehbaz Sharif, Iran's President Masoud Pezeshkian, Belarus President Alexander Lukashenko, and others.
• New Member Status: Laos was granted partner status during the summit.
• Key Topics Discussed: Global governance reform, regional security, counter-terrorism, trade and connectivity, digital technology, energy cooperation, climate change, and sustainable development.

Key Outcomes:

• Adoption of the Tianjin Declaration and a development strategy for 2026–2035 for SCO’s growth.
• Signing of 20 significant documents shaping SCO's future agenda.
• Commitments to combat terrorism, radicalization, and terror financing with calls for coordinated action.
• Support for reforming global institutions, including the United Nations.
• Proposals to enhance connectivity projects like the Chabahar Port and the International North-South Transport Corridor.
• Emphasis on youth empowerment, startups, and cultural exchange.

Financial Commitments:

• China pledged $280 million in grants and about $1.4 billion in loans to SCO members, with ideas for a new development bank.

Security and Cooperation:

• China and Russia advocated for a new global order promoting true multilateralism, opposing hegemonism and power politics.

India's Role:
Prime Minister framed India’s three-pillar vision for the SCO—Security, Connectivity, and Opportunity—as a comprehensive framework to promote peace, prosperity, and regional integration in Eurasia.

Framing of Each Pillar:

• Security: India emphasized that peace and stability are essential foundations for development. It called for collective, resolute action against terrorism, violent extremism, and cross-border threats, rejecting any double standards in counter-terrorism efforts. Security cooperation was highlighted as a way to build trust and create a safer environment for all SCO member states.

• Connectivity: India positioned connectivity as the backbone of regional cooperation, underlining support for infrastructure projects such as the Chabahar Port and the International North-South Transport Corridor (INSTC) as key enablers of trade and people-to-people exchanges. Enhancing physical and digital connectivity was presented as vital to economic development and integration within the SCO region.

• Opportunity: India extended the vision of opportunity to include economic cooperation, innovation, youth engagement, and cultural exchanges. Advocated boosting startup ecosystems, empowering youth, and strengthening cultural ties to foster inclusive and sustainable growth. This pillar aimed to open new avenues for collaboration beyond traditional diplomatic frameworks.

This summit demonstrated China’s ambitions for reshaping the global economic and security order through the SCO platform and enhanced cooperation among member states spanning Asia, Europe, and beyond. The SCO continues to be a significant regional organization focused on security, economic development, and political cooperation across Eurasia.
 

   
Why in news?
Phase II of the Niveshak Didi program was officially launched on August 31, 2025, at Patelguda Panchayat in Hyderabad by the Investor Education and Protection Fund Authority (IEPFA) under the Ministry of Corporate Affairs in collaboration with India Post Payments Bank (IPPB).
Phase II targets training over 40,000 women postal workers (Niveshak Didis) who will conduct more than 4,000 financial literacy camps across rural, semi-urban, and tribal areas.
 
Key points about the Niveshak Didi initiative:

• Objective: To empower rural women through financial literacy by training women postal workers and local community leaders to become grassroots financial educators called "Niveshak Didis."
• Organizers: Launched by Investor Education and Protection Fund Authority (IEPFA) under the Ministry of Corporate Affairs and India Post Payments Bank (IPPB) under the Department of Posts.
• Target Group: Rural, semi-urban, and tribal women, with a focus on those in remote areas who are natural influencers in their communities.
• Training and Outreach: Over 40,000 women postal workers will be trained as Niveshak Didis to conduct more than 4,000 financial literacy camps.
• Focus Areas: Financial education covering savings, investment safety, insurance, digital banking, secure transactions, and fraud prevention.
• Local Language Delivery: Education delivered in local languages (13 Indian languages), making financial concepts easily understandable.
• Innovative Approaches: Includes unique methods like India’s first floating financial literacy camp to reach diverse rural populations.
• Women-Led Model: Emphasizes "by women, for women," empowering women to lead financial awareness in their communities.
• Impact: Aims to build confidence among rural women to make informed financial decisions, protect their money, and foster financial inclusion.
• Partnership Benefits: Leverages IPPB’s extensive rural network for last-mile financial education and service delivery.
• Broader Goal: To create a financially literate, resilient, and self-reliant rural India by empowering women financially at the community level.

These points summarize Niveshak Didi as a pioneering, women-centered financial literacy drive enhancing grassroots financial empowerment and inclusion across rural India.
 
 
   
Why in news?
Yudh Abhyas 2025 is the 21st edition of the annual India-US joint military exercise, taking place from September 1 to 14, 2025, at Fort Wainwright, Alaska, USA. 
 
Key points of Yudh Abhyas 2025:

• The exercise focuses on a wide range of tactical drills such as heliborne operations, use of surveillance resources, unmanned aerial systems (UAS), mountain warfare, rockcraft, casualty evacuation, combat medical aid, and the integrated use of artillery, aviation, and electronic warfare systems.
• It culminates in joint live-fire drills and high-altitude warfare maneuvers.
• A significant objective is to enhance operational readiness for United Nations peacekeeping operations and to build capacity for managing peacekeeping missions efficiently.
• Emphasis is placed on preparing forces for multi-domain challenges, integrated warfare, and joint operational strategies.
• Subject-matter experts from both armies conduct sessions on information warfare, communications, logistics, UAS and counter-UAS operations for knowledge exchange and joint strategy development.
• The exercise reinforces defence cooperation despite ongoing trade tensions between India and the US and highlights the resilience of their strategic partnership.

This 14-day military exercise strengthens interoperability between the Indian and US armies, focusing on mountain and high-altitude combat readiness and joint operational synergy.
 
 

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