UPSC current affairs · Tuesday

Current Affairs, 15 September 2026

5 issues picked from 45 PIB releases · about 2 minutes each · written by UPSC Grade, each fact checked against its PIB release or by a second model

How to readRead “Why in news” and “What it is” for every issue. Open For Prelims or For Mains for the exam you’re preparing for, then Test yourself at the foot of each card. Half the news questions in Prelims are answered from background, not the news itself.

In 60 seconds

Kishau Multipurpose Project. Six Yamuna basin states sign Kishau dam agreement; Centre to bear about 90% cost.
UPI and Merchant Discount Rate (MDR) framework. UPI gets a limited MDR on large merchant payments; P2P and small payments stay free.
Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP). Janaushadhi Kendras are widening from cheap medicines to surgical, baby-care and elderly-care products.
SHREYAS (Scholarships for Higher Education for Young Achievers Scheme). SHREYAS spent Rs 3,509 crore on four education components for SC and OBC students since 2014-15.
Legal Metrology (Government Approved Test Centre) Rules, 2013. Legal metrology verification network widens: 51 GATCs recognised, 23 instrument categories, States aligning rules.

In the news

Kishau Multipurpose Project

GS3 Water resources and inter-state water disputesGS2 FederalismPrelims and Mains

Why in news: On 15 September 2026, the Chief Ministers of UP, Uttarakhand, Himachal Pradesh, Rajasthan, Delhi and Haryana signed the Kishau Multipurpose Project agreement before Amit Shah and C. R. Patil. The Centre has declared it a National Project.
What it is: Kishau is a proposed multipurpose storage dam on the Tons River, a Yamuna tributary, on the Uttarakhand-Himachal Pradesh border. It is one of the upper Yamuna storage projects planned under the 1994 water-sharing agreement among the basin states. Such projects need separate state agreements on cost and water use.

Dam design: A 232.6 m high concrete gravity dam is planned on the Tons River, storing 1,562 million cubic metres.
Benefits: It will irrigate 97,000 hectares and generate 1,476 million units of hydropower.
Funding: The Centre will bear about 90% of the cost; the participating states bear 10% under the 1994 agreement.
1994 agreement: An agreement of 12 May 1994 provided for separate agreements for each storage project in the basin.
Status: The Government of India has declared Kishau a National Project.
Yamuna confluence: The Yamuna joins the Ganga at Prayagraj.
States in the consensus: Himachal Pradesh, Uttarakhand, Delhi, Uttar Pradesh, Haryana and Rajasthan agreed to sign an MoU.
Funding of water component: The Centre bears 90% of the water component cost as Central Assistance. The six states share the remaining 10%.
Next step: After the MoU is signed, the project goes to the Union Cabinet for approval.
Water-for-power swap: Himachal's share of water goes to Delhi and Rajasthan, in return for their sharing the cost of Himachal's portion of the power component.
Location: The dam is on the Tons River, a Yamuna tributary, on the Uttarakhand-Himachal border.

Don’t confuse with Tons (Kishau) vs Tamsa/Tons of Uttar Pradesh: The Tons at Kishau is a Yamuna tributary in Uttarakhand-Himachal. Another Tons (Tamsa) is a Ganga tributary in UP and MP.

Don’t confuse with Kishau vs Lakhwar: Both are upper Yamuna storage projects under the 1994 agreement. Lakhwar is on the Yamuna itself in Uttarakhand; Kishau is on the Tons.

Test yourselfMains

Source: PIB, Ministry of Home Affairs, 15 Sep, 17:26 IST · Release 294721

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Economy

UPI and Merchant Discount Rate (MDR) framework

GS3 Economy: Payments and fintechPrelims and Mains

Why in news: On 15 September 2026, the Finance Ministry clarified the new UPI framework: P2P transfers stay free, and MDR applies only to specified merchant payments above ₹2,000.
What it is: Merchant Discount Rate (MDR) is the fee a merchant pays its bank for accepting a digital payment. It is shared among the banks and payment service providers in the chain. UPI, run by NPCI, was kept at zero MDR for years, which raised questions about who bears the cost of running it.

Legal basis: The framework is introduced under the Payment and Settlement Systems Act, 2007, after deliberation by the UPI Steering Committee.
Essential sectors: Transactions above ₹2,000 in railways, telecom, insurance, fuel and agricultural inputs attract a flat ₹5 per transaction.
Capital markets: Payments for mutual funds, securities, and stockbrokers and dealers attract 0.02% MDR, capped at ₹300.
Who gets MDR: MDR is not a tax or a charge collected by the Government or NPCI. It is shared among ecosystem participants.
Who signed: NIPL, the international arm of NPCI, signed with NIPC JSC, which operates Uzbekistan's national payment system HUMO.
What it enables: Indian travellers can scan Uzbekistan's interoperable QR code UZQR with UPI-enabled apps to pay merchants.
Regulatory approvals: The RBI and the Central Bank of Uzbekistan approved the arrangement and designated HUMO as NIPL's authorised partner for cross-border merchant acceptance.
Type of payment: The payments are direct person-to-merchant (P2M) from Indian bank accounts, avoiding foreign exchange markup.
UPI abroad: The release lists ten countries where UPI is accepted: Singapore, UAE, France, Mauritius, Nepal, Bhutan, Qatar, Sri Lanka, Cambodia and Greece.
Launch and operator: UPI was launched on 25 August 2016 by NPCI, under RBI regulatory oversight.
Global standing: The IMF recognises UPI as the world's largest real-time payment system by transaction volume.
Cross-border reach: UPI is operational in 11 countries, including UAE, France, Bhutan, Sri Lanka, Nepal and Singapore.
MDR: MDR is the fee a merchant pays its bank for accepting digital payments; UPI has long been kept at zero MDR.
Legal change: The Taxation and Other Laws (Amendment) Bill, 2026 proposes to amend Section 10A of the Payment and Settlement Systems Act, 2007. It is an enabling provision, not a charge in itself.
Who decides: After the Bill passes, the UPI and Services Steering Committee, headed by NPCI, will decide on MDR, if any.
Zero-MDR history: UPI was introduced in 2016 and has been free for merchants and citizens since January 2020.
Operator: UPI is run by the National Payments Corporation of India (NPCI), an umbrella body for retail payments set up with RBI guidance.

Don’t confuse with P2P vs P2M vs P2PM: P2P is person to person and is always free. P2M is person to merchant and attracts MDR above ₹2,000. P2PM is the category of small merchants using personal QR codes, which get zero MDR up to ₹1 lakh a month.

Don’t confuse with MDR vs daily transaction limit: MDR is a merchant fee. Daily limits of ₹1 lakh to ₹5 lakh are security and risk safeguards, not charging thresholds.

Don’t confuse with NPCI vs NIPL: NPCI runs UPI and other retail payment systems in India. NIPL is its international subsidiary that arranges overseas acceptance and tie-ups.

Don’t confuse with P2M vs P2P: P2M is a payment from a person to a merchant, as in this UZQR arrangement. P2P is a transfer between individuals, as in remittances.

Don’t confuse with MDR vs interchange: MDR is the total fee charged to the merchant; interchange is the part paid to the card-issuing or remitting bank.

Don’t confuse with P2P vs P2M: P2P moves money between individuals; P2M pays a merchant. P2M leads in volume, P2P in value.

Don’t confuse with PSS Act regulator vs operator: RBI regulates payment systems under the PSS Act, 2007. NPCI operates UPI.

Economy terms and data: 42 Prelims questions since 2013, rising in recent years; they test what a term or instrument means. In Mains, 12 news-triggered questions.

Why it matters

Gives banks and payment providers a revenue stream to sustain UPI infrastructure.
Keeps individuals and small merchants free of charges, protecting financial inclusion.
Extends UPI as digital public infrastructure abroad and strengthens India's financial diplomacy.
Cuts forex markup and card dependence for Indian travellers, students and business visitors.
Boosts financial inclusion and formalisation through interoperable, low-cost digital payments.
Gives India a globally recognised DPI model and a tool for soft power through cross-border links.
A revenue model could fund fraud prevention, cybersecurity and upgrades for a system of 2,366 crore monthly transactions.
It may bring more fintech and bank participation, and so more competition and rural reach.

Problems

Merchants may pass MDR on to customers despite the prohibition, which is hard to monitor.
Charges may discourage larger merchants from using UPI or push them to cards and cash.
Cross-border links need regulator approvals and partner-country interoperability, which slows rollout.
Revenue models and fees for foreign operators are unclear, as with the domestic MDR debate.
Zero MDR leaves unclear who bears the cost of running UPI, which strains banks and payment providers.
Heavy concentration in a few apps and an operator raises systemic risk, and outages and fraud affect trust.
Even a small MDR could push small merchants back to cash and slow formalisation.
Trust in a free public good may fall if the government's messaging is unclear, and a threshold may be hard to design.

Way forward

Monitor pass-through by merchants and enforce the ban on platform fees and hidden charges.
Review rates periodically using data on adoption and costs, and use the small-merchant fund well.
Expand bilateral links and work towards linking UPI with more national fast-payment systems.
Keep clear rules on fees, security and dispute resolution for cross-border payments.
Settle a sustainable cost-sharing model, such as targeted incentives or MDR for large merchants, without hurting small merchants.
Diversify the app market, strengthen fraud controls and operational resilience.
Set a transparent, rule-based threshold and rate, with consultation, and exempt small merchants and P2P.
Consider other ways to fund UPI, such as targeted incentives and cost sharing, and publish cost data.

Put in your answer

P2P share of value: UPI transactions making up 70% of total transaction value stay outside the MDR framework.

Parliamentary panel: The framework is consistent with the Standing Committee on Finance's 32nd Report, which stressed a viable revenue model.

UPI's overseas reach: UPI is accepted in ten countries per the release, a point for answers on digital public infrastructure and soft power.

UPI scale: UPI volume rose from 1.78 crore transactions in FY17 to over 24,162 crore in FY26.

Micro-payments: 86% of P2M transactions are below ₹500, showing use in everyday small retail.

Self-sustainability argument: Government says reliance on subsidies alone is not viable for the next wave of growth.

Test yourself

True or false?

1 of 21

Statements the way Prelims prints them. Say first, then see the fact.

1.The new UPI framework is introduced under the Payment and Settlement Systems Act, 2007.
2.MDR collected on UPI is a tax levied by the Government and deposited with NPCI.
3.A 0.4% MDR applies to person-to-merchant UPI transactions above ₹2,000.
4.Person-to-person UPI transfers above a certain amount attract MDR under the framework.
5.Transactions above ₹2,000 in sectors such as railways, insurance and fuel attract a flat MDR of ₹5 per transaction.
6.A fund for small-merchant UPI adoption will receive 5% of total MDR collections.
7.UPI was launched in 2016 by the National Payments Corporation of India under the regulatory oversight of the Reserve Bank of India.
8.The International Monetary Fund has acknowledged UPI as the world's largest real-time payment system by transaction value.
9.Person-to-merchant transactions make up the larger share of UPI transaction volume, while person-to-person transactions make up the larger share of value.
10.UPI is currently operational in 11 countries, including Bhutan, Nepal and Singapore.
11.UPI accounts for nearly 49 per cent of the world's real-time payment transaction volume as of 2025.
12.Merchant Discount Rate is the fee a bank pays to NPCI for every UPI transaction it processes.
13.Among UPI P2M transactions, a majority are small-ticket payments below ₹500.
14.NPCI is a statutory body set up under an Act of Parliament to regulate all payment systems in India.
15.The proposed amendment to the Payment and Settlement Systems Act, 2007 concerns Section 10A of the Act.
16.After the amendment, the Reserve Bank of India's Monetary Policy Committee will decide on MDR for UPI.
17.The Government has said any MDR on UPI, if introduced, would apply only to a limited set of merchant transactions above a threshold.
18.The Government has said that Person-to-Person UPI transactions may attract a nominal charge once MDR is introduced.
19.UPI has been free of charge for both merchants and citizens since January 2020.
20.UPI is operated by the Reserve Bank of India directly through its Department of Payment and Settlement Systems.
21.MDR is the fee a merchant pays for accepting a digital payment, and it is shared among the banks and service providers in the chain.

Written by us from the release, not by UPSC; checked by a second model.

Source: PIB, Ministry of Finance, 15 Sep, 18:45 IST · Release 294728

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Scheme

Pradhan Mantri Bhartiya Janaushadhi Pariyojana (PMBJP)

GS2 Health schemesPrelims and Mains

Why in news: On 15 September 2026, PIB highlighted how PMBJP's Janaushadhi Kendras now sell baby-care, post-delivery, monitoring and elderly-care products beyond medicines, with more products in the pipeline.
What it is: PMBJP is a scheme of the Department of Pharmaceuticals, Ministry of Chemicals and Fertilizers. It sells quality generic medicines at much lower prices through dedicated Janaushadhi Kendras. The Bureau of Pharma PSUs of India (BPPI) implements it.

Network size: The release says there are over 20,000 Janaushadhi Kendras across the country.
Janaushadhi Bachpan: A range of baby-care products, including diapers and wipes, sold at the Kendras.
Jan Aushadhi Swabhiman: A dedicated range of adult diapers for aged, dependent or bedridden people.
Monitoring devices: Glucometer test strips and pulse oximeters are part of the range.
Pipeline products: Knee brace, walker, steam vaporizer, foot elevator pillow, pregnancy back support belt and cervical collar are under process for inclusion.
Implementing agency: PMBJP is implemented by the Bureau of Pharma PSUs of India (BPPI) under the Department of Pharmaceuticals.

Don’t confuse with PMBJP vs Ayushman Bharat PM-JAY: PMBJP lowers the price of medicines and products at Kendras. PM-JAY is a health insurance scheme covering hospitalisation costs.

Schemes: 52 Prelims questions since 2013, 10 in Prelims 2026 alone. They test features, the period and who funds it. In Mains, 33 news-triggered questions, mostly GS3.

No practice question for this one; the card may still help an answer. Why: Scheme is a lasting topic, but this release is a feature on products with few testable new facts.

Source: PIB Headquarters, 15 Sep, 10:07 IST · Release 294696

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Scheme

SHREYAS (Scholarships for Higher Education for Young Achievers Scheme)

GS2 Welfare schemesPrelims and Mains

Why in news: On 15 September 2026, the Social Justice Minister Dr Virendra Kumar gave figures on SHREYAS: about Rs 3,509.39 crore spent on four components from 2014-15 to 2025-26, reaching 1,18,248 SC and OBC students.
What it is: SHREYAS is a Centrally run umbrella scheme of the Ministry of Social Justice and Empowerment for SC and OBC students in higher education. It bundles four components: Free Coaching, Top Class Education, National Overseas Scholarship and National Fellowship for SC Students. It aims to cut financial barriers from exam preparation to research.

Total spending: About Rs 3,509.39 crore was spent under the four components from 2014-15 to 2025-26.
Free Coaching: Gives financial help for coaching in competitive and professional exams to economically disadvantaged SC and OBC students.
Top Class Education: Supports meritorious SC students studying in premier institutions; it is for SC students only.
National Overseas Scholarship: Helps eligible SC students study abroad; 764 beneficiaries went abroad over the period, peaking at 114 in 2023-24.
National Fellowship for SC Students: Largest component by spending (about Rs 2,199.28 crore, 59,039 beneficiaries); supports SC scholars in higher education and research.

Don’t confuse with SHREYAS vs PM-AJAY: PM-AJAY is a separate Social Justice Ministry scheme for SC-dominated villages, hostels and income generation, not scholarships for higher education.

Don’t confuse with Post-Matric Scholarship for SCs: This is a separate large scholarship scheme for SC students after Class 10. SHREYAS components cover coaching, top institutions, overseas study and fellowships.

Schemes: 52 Prelims questions since 2013, 10 in Prelims 2026 alone. They test features, the period and who funds it. In Mains, 33 news-triggered questions, mostly GS3.

No practice question for this one; the card may still help an answer. Why: Central scheme for SC and OBC students with four components; schemes are 16% of news-linked Prelims questions, but this release is a data reply with little new.

Source: PIB, Ministry of Social Justice & Empowerment, 15 Sep, 16:44 IST · Release 294716

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Law and statutory body

Legal Metrology (Government Approved Test Centre) Rules, 2013

GS3 Consumer protection and standardsPrelims and Mains

Why in news: On 15 September 2026, the Department of Consumer Affairs said it is processing fresh applications to become Government Approved Test Centres (GATCs). 51 centres are already recognised, and several States have notified their own GATC Rules.
What it is: The Legal Metrology (Government Approved Test Centre) Rules, 2013 let the Centre recognise private institutions to verify and re-verify weights and measures. They work under the legal metrology framework, which governs standards of weights and measures in trade. The aim is to add capacity to State Legal Metrology Departments.

Number of centres: 51 GATCs are already recognised, and more applications are under process.
Scope after amendment: After the amendments, GATCs cover 23 categories of weighing and measuring instruments, such as water, gas and energy meters, breath analysers, speedometers and fuel dispensers.
What applications are checked for: Applications are examined for documents, verification infrastructure, qualified technical staff and a site inspection before recognition. The Department does this with the State Legal Metrology Departments.
Role of GATCs: Private technically competent institutions can verify and re-verify specified weights and measures. This frees Legal Metrology Officers for market surveillance, risk-based inspections, enforcement and grievance redressal.
State alignment: Several States have notified their own GATC Rules in line with the amended central framework.
Parent law: The rules sit under the Legal Metrology Act, 2009, which replaced the Standards of Weights and Measures Act, 1976.

Don’t confuse with GATC vs State Legal Metrology Department: State departments are the statutory enforcers and inspectors. GATCs are recognised private test centres that only add verification capacity.

Don’t confuse with Legal metrology vs BIS standards: Legal metrology covers accuracy of measuring instruments used in trade. BIS sets and certifies product quality standards.

Laws, judgments and statutory bodies: 30 Prelims questions since 2013 (what the law says, who chairs, legal basis). In Mains, 44 news-triggered questions, most in GS2, asking for provisions and challenges.

No practice question for this one; the card may still help an answer. Why: Lasting rules with 51 recognised centres and 23 instrument categories; laws are 7% of Prelims news questions, but this is routine implementation.

Source: PIB, Ministry of Consumer Affairs, Food & Public Distribution, 15 Sep, 17:21 IST · Release 294719

Issue page →

Worth revising until Prelims 2028: most news questions come within two years of the event.

Quick facts

DoRD and PFRDA signed an MoU to create 'Pension Sakhis' through the DAY-NRLM SHG network, including BC Sakhis, to expand rural pension awareness and enrolment.
World Circular Economy Forum 2026 is being held at Gandhinagar from 15-18 September, the first WCEF hosted in South Asia; theme: 'Circular Economy: Transition for People and Prosperity'.
The 43.218-km, ₹10,998-crore Varuna Elevated Corridor in Varanasi will link NH-31 with the Ring Road and be built by NHAI.
At DRDO's VIMARSH industry meet, Rajnath Singh launched a framework for MSMEs and start-ups and a framework to share DRDO software source codes with licensee industries.
PLFS monthly bulletin, August 2026: overall LFPR 55.6%, WPR 52.8%, unemployment rate 5.0%, rural unemployment 4.1%.
SPROUT (SpeedSeed Phenotyping and Resource Optimization for Unified Trait Analysis) facility inaugurated at BRIC-NIPGR, Delhi, for climate-resilient crops; SpeedSeed can cut chickpea generation cycle to about 40 days.
The 22nd India-US exercise Yudh Abhyas began at Auli (Uttarakhand) and Mahajan Field Firing Range (Rajasthan), with 600 personnel from each side.
India sends its largest-ever 70-member team to the 48th WorldSkills Competition at Shanghai (22-27 September 2026), competing in 63 skills.

Source: PIB, 15 Sep

What we left out: 32 of 45 releases

Routine institutional news (4)
Speeches without a decision (3)
Greetings and tributes (5)
Ceremonies and campaigns (8)
Individual case stories (3)
Visit schedules (1)
Same issue as another release (2)
Routine inspections and data (1)
Routine MoUs (1)
Webinars and workshops (1)
Routine reviews and meetings (1)
Routine data (1)
Routine seizures and arrests (1)

Practise the day’s news

In UPSC’s formats, inside each issue. The answer and why come after you choose.

1Kishau Multipurpose ProjectMCQ · 10 true or false · Mains
2UPI and Merchant Discount Rate (MDR) frameworkMCQ · 21 true or false · Mains

Mains question of the day

15 marks · 250 words

The six Yamuna basin states recently signed the Kishau Multipurpose Project agreement, and the Centre has declared the project a National Project. Examine the provisions of the 1994 water-sharing arrangement among the basin states and the role of the Centre in resolving inter-state water disputes. Discuss the challenges that remain in sharing and managing Yamuna waters, including environmental flow.

From: Kishau Multipurpose Project

Write and get it marked

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