UPSC current affairs · Monday

Current Affairs, 24 August 2026

9 issues picked from 40 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

GIFT IFSC and RBI's FCNR(B) swap facility. RBI's 2026 USD-INR swap window raised $73 billion in under eleven weeks, beating 2013.
UPI and Merchant Discount Rate (MDR) framework. UPI turns 10: 24,162 crore transactions in FY26, 49% of global real-time volume.
Bonn Challenge and India's land restoration commitment. India reports 21.76 mn ha restored in 2011–2020 against its 26 mn ha Bonn pledge.
Medical Devices Rules, 2017. Health Ministry amends Medical Devices Rules: easier sterilization outsourcing, uniform testing fees, EU added for waiver.
GENESIS (Gen-Next Support for Innovative Startups) and MeitY Startup Hub. MeitY Startup Hub opens GENESIS EIR Cohort-3 applications, offering up to ₹10 lakh to Tier-II/III startups.
Service Producer Price Index (SPPI). Commerce Ministry releases quarterly Service PPIs for seven services on base year 2022-23.
PM Formalisation of Micro Food Processing Enterprises (PMFME). MoFPI holds PMFME Conclave; MoUs with APEDA, ONDC, NABKISAN signed for market linkages.
Adi Vaani platform and tribal language documentation. Tribal Affairs upgrades Adi Vaani with five new languages, an iOS app, and a CIIL MoU.
Central Bureau of Narcotics and NDPS Act, 1985. CBN and PHARMEXCIL sign MoU for voluntary compliance code and smoother pharma exports.

Economy

GIFT IFSC and RBI's FCNR(B) swap facility

GS3 Economy · External sector and bankingPrelims and Mains

Why in news: On 24 August 2026 the Finance Ministry said RBI's USD-INR swap facility, launched on 8 June 2026, has mobilised US $73 billion in forex inflows, with FCNR(B) deposits at US $65.40 billion. RBI has advanced the FCNR(B) window closure to 31 August 2026.
What it is: GIFT City IFSC is India's first International Financial Services Centre, in Gujarat. It is regulated by IFSCA, a unified authority set up under the IFSCA Act, 2019. IFSC Banking Units there deal in foreign currency with global sources of liquidity.

Swap sanctions: 20 IBUs sanctioned USD 54.02 billion under the RBI swap facility for FCNR(B) deposits by 31 August 2026; about USD 52.82 billion was disbursed.
ECB disbursement: IBUs disbursed USD 11.62 billion of External Commercial Borrowings from April to August 2026.
Bond listings: Indian banks raised USD 11.12 billion via bond listings on IFSC exchanges in April-August 2026.
Regulator and legal basis: IFSCA is the unified regulator for IFSCs, set up under the IFSCA Act, 2019.
FCNR(B): FCNR(B) is a foreign currency deposit account that NRIs can hold in India, with the deposit and its repayment in foreign currency, so the depositor bears no exchange risk.
Launch date: The special USD-INR swap facility began on 8 June 2026.
Early closure: RBI advanced the closure of the FCNR(B) window from 30 September to 31 August 2026.
FCNR(B) basics: FCNR(B) deposits are held in foreign currency, so the depositor bears no exchange risk. They are open to NRIs and OCIs, and the principal and interest are fully repatriable.

Don’t confuse with FCNR(B) vs NRE deposit: FCNR(B) is held in foreign currency; an NRE account is held in rupees.

Don’t confuse with ECB vs FDI: ECBs are commercial loans from non-resident lenders (debt); FDI is equity investment.

Don’t confuse with ECB vs FCNR(B): An ECB is a commercial loan raised abroad by an Indian borrower. An FCNR(B) deposit is money placed by a non-resident with an Indian bank.

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.

Test yourselfMains

Source: PIB, Ministry of Finance, 24 Aug, 19:53 IST · Release 293871

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 24 August 2026 the Ministry of Finance marked 10 years of UPI (launched 25 August 2016), citing IMF recognition as the world's largest real-time payment system by volume.
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, 24 Aug, 13:57 IST · Release 293848

Issue page →

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

International relations

Bonn Challenge and India's land restoration commitment

GS3 Environment: land degradation and restorationGS2 International conventionsPrelims and Mains

Why in news: On 24 August 2026, Environment Minister Bhupender Yadav told a side event at UNCCD COP17 in Ulaanbaatar that India restored 21.76 million hectares in 2011–2020 under its Bonn Challenge pledge.
What it is: The Bonn Challenge is a global voluntary effort to bring 150 million hectares of degraded and deforested land into restoration by 2020 and 350 million hectares by 2030. It was launched in 2011 by Germany and IUCN. Countries make voluntary pledges and report progress.

India's pledge: India's 2015 initial Bonn Challenge commitment was later raised to 26 million hectares by 2030.
Next reporting cycle: The 2021–2025 cycle is being done with the ICFRE Centre of Excellence on Sustainable Land Management and IUCN, tracking area, finance and jobs.
Origin: The Bonn Challenge was launched in 2011 by the German government and IUCN. The 2014 New York Declaration on Forests endorsed the 350 million hectare target for 2030.
UNCCD: The UN Convention to Combat Desertification was adopted in 1994 and is a legally binding convention. Its secretariat is in Bonn, Germany.

Don’t confuse with Bonn Challenge vs UNCCD: The Bonn Challenge is a voluntary restoration pledge effort. UNCCD is a binding convention whose COP17 hosted the event.

Don’t confuse with Bonn Challenge vs Land Degradation Neutrality: Bonn Challenge sets area-restoration pledges. Land Degradation Neutrality is a UNCCD target to balance land loss and gain.

International bodies and relations: the largest group of news questions in Prelims (61 since 2013), often about background, members and location. In Mains, 27 news-triggered questions, mostly on India's interests.

Test yourself

Source: PIB, Ministry of Environment, Forest and Climate Change., 24 Aug, 14:58 IST · Release 293853

Issue page →

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

Law and statutory body

Medical Devices Rules, 2017

GS2 Health regulationGS3 Ease of doing businessPrelims and Mains

Why in news: On 24 August 2026 the Union Health Ministry announced amendments to the Medical Devices Rules, 2017. They cover outsourced sterilization, uniform testing fees and adding the EU to the jurisdictions whose approvals can waive clinical investigation.
What it is: The Medical Devices Rules, 2017 regulate the manufacture, import, sale and testing of medical devices in India. They are made under the Drugs and Cosmetics Act, 1940 and are administered by the Central Drugs Standard Control Organisation (CDSCO). Devices are classified by risk and licensed accordingly.

Rule 44 change: Manufacturers using an outsourced sterilization facility no longer need a separate loan licence under Rule 25, if the facility holds a valid licence under the Rules.
Ninth Schedule: A new Ninth Schedule sets uniform fees for testing of medical devices by Medical Device Testing Laboratories.
Rule 63 and the EU: Rule 63 now includes the European Union among recognized stringent regulatory jurisdictions for waiver of clinical investigation for devices without predicate devices.
Earlier recognized jurisdictions: The provision already recognized the USA, UK, Australia, Canada and Japan.
Parent law and regulator: The Rules are framed under the Drugs and Cosmetics Act, 1940 and enforced by CDSCO under the Drugs Controller General of India.
Risk classes: Devices fall into Class A, B, C and D, with Class D the highest risk.
Class B timeline: Proposed cut in the manufacturing licence timeline for Class B from 140 to 115 days. Examples are BP monitors and pulse oximeters.
Class C and D timeline: Proposed cut from 105 to 90 days for high-risk devices such as cardiac stents and orthopaedic implants.
Stage-wise timelines: The draft sets defined timelines for scrutiny, audit by notified bodies, compliance verification and licence issue.
Legal basis: The Rules are made under the Drugs and Cosmetics Act, 1940 and administered by the CDSCO.

Don’t confuse with Medical Devices Rules, 2017 vs a separate Medical Devices Act: India has no standalone medical devices Act. The Rules operate under the Drugs and Cosmetics Act, 1940.

Don’t confuse with Loan licence vs manufacturing licence: A loan licence lets a manufacturer use another licensed firm's facilities. The amendment removes it only for outsourced sterilization.

Don’t confuse with Medical Devices Rules, 2017 vs Drugs Rules, 1945: Devices have had their own rules since 2017 (in force from January 2018). Drugs continue under the Drugs Rules, 1945.

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 regulatory topic with specific rule changes, but Prelims asks about rule amendments rarely and a Mains debate is thin. Laws are 23 of 327 Prelims questions.

Source: PIB, Ministry of Health and Family Welfare, 24 Aug, 10:37 IST · Release 293840

Issue page →

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

Scheme

GENESIS (Gen-Next Support for Innovative Startups) and MeitY Startup Hub

GS3 Startups and innovationPrelims and Mains

Why in news: On 24 August 2026 MeitY announced the launch of GENESIS EIR Cohort-3 by MeitY Startup Hub, launched on 4 August 2026 at Coimbatore. Applications are open until 3 September 2026.
What it is: GENESIS (Gen-Next Support for Innovative Startups) is a MeitY Startup Hub scheme to find and support startups in Tier-II and Tier-III cities. It has Entrepreneur-in-Residence, Pilot, Investment and DeepTech funding components, covering the path from ideation to scale. The EIR component funds early-stage innovators to turn ideas into pilot-ready solutions.

Scheme outlay: GENESIS has a total budget outlay of ₹490 crore.
Components: GENESIS has four components: Entrepreneur-in-Residence, Pilot, Investment and DeepTech funding.
EIR support: The EIR component gives up to ₹10 lakh per startup at the ideation/prototype stage.
Eligibility: stage: The innovation must be at Technology Readiness Level 1–4.
Eligibility: location and age: The startup must be based in a Tier-II or Tier-III city, and if incorporated, be under two years old.
Implementing agency: MeitY Startup Hub is a unified national platform under MeitY integrating startup, incubation and innovation initiatives.

Don’t confuse with GENESIS vs Startup India Seed Fund Scheme: GENESIS is a MeitY scheme for tech startups in Tier-II/III cities. The Startup India Seed Fund Scheme is run by DPIIT and covers startups across sectors.

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 with an EIR component aimed at Tier-II and III cities. Worth a card, but a cohort launch gives few testable facts.

Source: PIB, Ministry of Electronics & IT, 24 Aug, 11:55 IST · Release 293844

Issue page →

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

Economy

Service Producer Price Index (SPPI)

GS3 Indian economy: price indicesPrelims and Mains

Why in news: On 24 August 2026 the Commerce Ministry released provisional Service Producer Price Indices (base 2022-23) for Q1 of FY 2026-27 and final indices for Q4 of FY 2025-26.
What it is: The Service Producer Price Index (SPPI) tracks changes in the prices that service providers receive for their services. It is compiled quarterly for selected services and is meant to supplement goods-based price indices. It is not a measure of consumer inflation.

Coverage: The release covers seven services: securities transactions, banking, pension fund management, insurance, telecom, railways and air passenger transport.
Next release: Indices for Q2 of FY 2026-27 are due on 25 November 2026.
Compiler: The Ministry of Commerce and Industry publishes the SPPI, through the Office of the Economic Adviser.

Don’t confuse with SPPI vs CPI: SPPI measures prices received by service producers. CPI measures prices paid by consumers for a basket of goods and services.

Don’t confuse with SPPI vs WPI: WPI tracks wholesale prices of goods only. SPPI covers selected services.

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.

No practice question for this one; the card may still help an answer. Why: Price index concept is on syllabus, but this release is routine quarterly data. Economy terms are 42 of 327 Prelims questions.

Source: PIB, Ministry of Commerce & Industry, 24 Aug, 12:00 IST · Release 293843

Issue page →

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

Scheme

PM Formalisation of Micro Food Processing Enterprises (PMFME)

GS3 Food processing and MSMEsPrelims and Mains

Why in news: On 24 August 2026, Food Processing Industries Minister Chirag Paswan inaugurated the PMFME Conclave and PMFME Bazaar in New Delhi. Three MoUs were signed with APEDA, ONDC and NABKISAN, and the Minister called for a stronger PMFME 2.0.
What it is: The PM Formalisation of Micro Food Processing Enterprises (PMFME) Scheme is a centrally sponsored scheme of the Ministry of Food Processing Industries. It supports existing micro food processing units to upgrade and formalise through credit-linked subsidy, training and common services. It also backs SHGs, FPOs and cooperatives, and follows a One District One Product (ODOP) approach.

Conclave: MoFPI is holding the PMFME Conclave on 24-25 August 2026 at India Habitat Centre, New Delhi, with over 500 stakeholders.
PMFME Bazaar: The Bazaar has exhibitors from 25 States and UTs showing ethnic and traditional food products.
MoUs: Three MoUs were signed with APEDA, ONDC and NABKISAN to strengthen market and institutional linkages for beneficiaries.
Launches: A coffee table book of 30 beneficiary success stories and the Ministry's quarterly magazine 'FoodNova' were launched.
PMFME 2.0: The Minister stressed the need for a stronger and more comprehensive PMFME 2.0.
Scheme type: PMFME is a centrally sponsored scheme launched in 2020 as part of Atmanirbhar Bharat, with a 2020-21 to 2025-26 period.
Outlay and period: Outlay of Rs 10,000 crore, approved for 2020-21 to 2024-25 and now extended till September 2026.
Subsidy for individual units: 35% credit-linked subsidy for individual micro enterprises, up to Rs 10 lakh.
Seed capital: Seed capital of Rs 40,000 per SHG member engaged in food processing, for working capital and small tools.
Branding and marketing grant: 50% grant for branding and marketing to groups such as FPOs, SHGs and cooperatives.
ODOP coverage: 137 unique products identified across 726 districts in 35 States and UTs.
Incubation centres: 80 common incubation centres approved, 31 commissioned.
Individual unit subsidy: Micro enterprises get a credit-linked capital subsidy of 35% of eligible project cost, up to Rs 10 lakh per unit.
Seed capital for SHGs: SHG members engaged in food processing get Rs 40,000 each for working capital and small tools, up to Rs 4 lakh per SHG Federation.
Common infrastructure: FPOs, SHGs, cooperatives and government agencies get a 35% credit-linked subsidy, up to Rs 3 crore, for common infrastructure. Other units and the public can use it on hire.
Branding and marketing: Groups of FPOs, SHGs, cooperatives or an SPV of micro food processing enterprises get a grant of up to 50% for branding and marketing.
Handholding by DRPs: District Resource Persons help with project reports, bank loans, training, approvals and hygiene standards. They also help with Udyam, FSSAI and GST registration.
GeM tie-up: An MoU with the Government e-Marketplace was signed on 14 November 2024 to market products of supported units.

Don’t confuse with PMFME vs PMKSY: PMFME targets micro food units, mainly unorganised. PM Kisan SAMPADA Yojana (PMKSY) funds larger food processing infrastructure such as mega food parks and cold chains.

Don’t confuse with APEDA vs NABKISAN: APEDA promotes exports of agricultural and processed foods. NABKISAN is a NABARD subsidiary that finances farmer-linked enterprises and FPOs.

Don’t confuse with Individual vs group subsidy cap: Individual units get 35% subsidy up to Rs 10 lakh. FPOs, SHGs and similar groups get 35% up to Rs 3 crore for common infrastructure.

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.

Why it matters

Formalises the large unorganised micro food processing sector, improving credit access, quality and income.
Supports One District One Product, SHGs and FPOs, aiding rural jobs and value addition.
Formalises the roughly 25 lakh unregistered food processing units, widening their access to credit, food safety standards and markets.
Supports women and SHG-led rural enterprises, reducing post-harvest losses and raising farmers' income realisation.
Formalises informal micro food units through Udyam, FSSAI and GST registration, widening access to credit.
Builds local value chains and rural jobs by adding value to farm produce.

Problems

Micro units struggle with credit access, branding, packaging and quality standards.
Weak market linkages keep many beneficiaries limited to local sales.
Micro units often find bank credit, paperwork and compliance hard, so subsidy uptake depends on bank lending.
Many incubation centres and branding proposals are still not operational, so benefits reach only a small share of units.
Micro units often struggle to get bank loans needed for the credit-linked subsidy.
Weak quality standards and limited market access hold back small brands.

Way forward

Use the new MoUs with ONDC and APEDA to link units to digital commerce and exports.
Design PMFME 2.0 with stronger support for technology, capacity building and cluster-based common facilities.
Speed up commissioning of the remaining incubation centres and widen branding support beyond ODOP groups.
Improve bank linkage and handholding so more units can formalise and keep FSSAI compliance.
Strengthen DRP support and speed up bank loan sanction.
Expand market tie-ups and common facilities so more units meet quality standards.

Put in your answer

Market linkage MoUs: Partnerships with APEDA, ONDC and NABKISAN aim at domestic and export market access and digital commerce for micro enterprises.

Unorganised sector scale: About 25 lakh unregistered food processing enterprises form the target base of PMFME.

Reach among women: Of 1,96,270 individual units supported, more than 40% of beneficiaries are women.

GeM tie-up: MoFPI signed an MoU with GeM to help PMFME units onboard and get market assistance.

Subsidy ceiling: 35% credit-linked subsidy, up to Rs 10 lakh per unit, shows the scheme's support for micro units.

Employment link: The scheme is said to create direct and indirect jobs in rural and semi-urban areas by strengthening local food processing value chains.

No practice question for this one; the card may still help an answer. Why: Lasting scheme, but this release is only an event with no new provisions. Schemes are 52 of 327 Prelims questions, though not for events.

Source: PIB, Ministry of Food Processing Industries, 24 Aug, 21:08 IST · Release 293875

Issue page →

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

Scheme

Adi Vaani platform and tribal language documentation

GS1 Tribal languages and cultureGS2 Tribal welfarePrelims and Mains

Why in news: On 24 August 2026 the Ministry of Tribal Affairs began a three-day National Conclave on Tribal Languages & Museums in Mysuru. It launched the upgraded Adi Vaani platform and the AI bot Jago, and signed an MoU with CIIL.
What it is: Adi Vaani is a Ministry of Tribal Affairs digital platform for documenting and reviving tribal languages. It uses language technology so that oral-only tribal languages are recorded and made accessible. It sits within wider efforts to protect tribal culture and support mother-tongue education.

Adi Vaani upgrade: The upgraded platform adds an iOS app, five new languages and a new logo.
MoTA-CIIL MoU: The MoU covers language documentation and corpus development. CIIL will support the Ministry and share data on tribal languages.
Jago AI assistant: Jago is the Ministry's official AI conversational assistant. It helps people find information on tribal welfare schemes and programmes.
Organisers: The Conclave was organised by MoTA with the Karnataka State Tribal Research Institute and CIIL.
Mysuru Declaration: The Mysuru Declaration is to be adopted and signed on the second day, 25 August 2026.

Don’t confuse with CIIL vs KSTRI: CIIL is the central institute for Indian languages, based in Mysuru. KSTRI is Karnataka's state tribal research institute.

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: Lasting topic on tribal language preservation with a new platform and MoU; few testable facts for a statement.

Source: PIB, Ministry of Tribal Affairs, 24 Aug, 21:14 IST · Release 293876

Issue page →

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

Law and statutory body

Central Bureau of Narcotics and NDPS Act, 1985

GS3 Internal security: drug controlGS2 Statutory bodiesPrelims and Mains

Why in news: On 24 August 2026, the Central Bureau of Narcotics (CBN) and PHARMEXCIL signed an MoU at CBN Headquarters, Gwalior. It aims to boost legitimate pharma exports and prevent diversion of controlled substances.
What it is: The Central Bureau of Narcotics is the central agency under the Department of Revenue, Ministry of Finance, with headquarters at Gwalior. It administers the facilitation, regulation and enforcement provisions of the NDPS Act, 1985, including control over licit opium poppy cultivation and authorisations for trade in controlled substances.

Parent department: CBN works under the Department of Revenue, Ministry of Finance.
Core mandate: CBN supervises licit opium poppy cultivation, issues import and export authorisations for narcotic drugs and psychotropic substances, and checks diversion of chemical inputs.
Head of CBN: The CBN is headed by the Narcotics Commissioner, who signed the MoU for CBN.
Voluntary Code of Conduct: The code will be voluntary and non-binding, and will not add statutory or financial burdens on exporters.
PHARMEXCIL's parent ministry: PHARMEXCIL was set up by the Ministry of Commerce and Industry.

Don’t confuse with CBN vs NCB: CBN, at Gwalior under the Finance Ministry, handles licit opium cultivation and licensing. The Narcotics Control Bureau, under the Home Ministry, is the main enforcement and coordination agency against illicit drugs.

No practice question for this one; the card may still help an answer. Why: CBN's role under the NDPS Act is a lasting syllabus topic. The MoU itself is routine; statutory bodies are 7 of 327 Prelims questions.

Source: PIB, Ministry of Finance, 24 Aug, 21:36 IST · Release 293877

Issue page →

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

Quick facts

India's first non-GMO, high-expansion popcorn maize hybrid seed was launched at Musunuru, Eluru district, Andhra Pradesh.

Source: PIB, 24 Aug

What we left out: 30 of 40 releases

Speeches without a decision (3)
Routine seizures (1)
Routine production data (1)
Ceremonies and campaigns (7)
Same issue as another release (4)
Visit schedules (2)
Institutional course launch (1)
Recruitment notices (1)
Routine bilateral meetings (2)
Internal reviews (1)
Beneficiary stories (3)
Routine data (1)
Conferences and workshops (3)

Practise the day’s news

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

1GIFT IFSC and RBI's FCNR(B) swap facilityMCQ · 5 true or false
2UPI and Merchant Discount Rate (MDR) frameworkMCQ · 21 true or false · Mains
3Bonn Challenge and India's land restoration commitmentMCQ · 7 true or false

Mains question of the day

15 marks · 250 words

RBI's special USD-INR swap facility launched in June 2026 mobilised US $73 billion in under eleven weeks, with FCNR(B) deposits contributing the bulk of it, and surpassed the 2013 FCNR(B) swap scheme. Examine how such swap windows help India manage pressure on the rupee and external buffers, and discuss the costs and risks they carry.

From: GIFT IFSC and RBI's FCNR(B) swap facility

Write and get it marked

Keep reading

The day before

Sunday, 23 August 2026Regenerative Agriculture, Natural Farming and Soil Health Cards

The day after

Tuesday, 25 August 2026UNCCD and India's Guide to Grasslands and Open Natural Ecosystems

All days

Practice · 3 Mains question