This is the current affairs of 19 to 22 September 2025. Here are questions and answers of daily current affairs for better preparation of competitive exams for government jobs.
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1. The much-discussed H-1B visa, whose application fee has been raised to $100,000, is primarily related to what?
a. Employment of agricultural workers in the United States
b. Employment of high-skilled foreign professionals in the United States
c. Refugee resettlement in the United States
d. Investment-based citizenship in the United States
Answer: b. Employment of high-skilled foreign professionals in the United States
What is an H-1B Visa?
– Definition: The H-1B is a non-immigrant visa that allows U.S. companies to hire foreign highly skilled professionals in specialized fields such as technology, engineering, and medicine.
– Significance: Indian professionals, especially in the IT sector, are the largest beneficiaries (in FY2024, 71% of H-1B visas were granted to Indians).
– Annual Cap: 65,000 regular visas + 20,000 for advanced degree holders.
Validity: It is valid for three years, after which it must be renewed.
– Would you like me to make this sound more formal and article-like, or keep it simple for study notes?
Trump’s New Executive Order (September 19, 2025)
– Fee Increase: The H-1B visa application fee has been raised from $2,000–$5,000 to $100,000 (approximately ₹88 lakh) per application.
– Clarification (September 20, 2025): The White House clarified that this fee is a one-time charge and will apply only to new applicants, not to existing holders. It will also not apply to petitions already pending, nor to renewals.
– Effective Date: Effective from September 21, 2025.
Impact on India
– Economic Impact: The Indian IT sector ($283 billion) will be affected, as it is highly dependent on H-1B visas. The new fee is higher than the average annual salary of Indian employees, making onsite hiring costlier.
– For Example: The average salary of Indian IT employees is $60,000–$80,000 per year, whereas this fee is far greater than their income.
– Impact on Companies: Companies (such as TCS, Infosys) may be unable to bear this fee, which could force employees to pay it themselves—something financially unviable.
– Impact on Families: Families may face additional financial pressure, such as cutting down on children’s education, housing, or other expenses.
– Humanitarian Impact: This policy will have negative social, economic, and psychological effects on Indian migrants and their families.
Future Job Prospects Will Decline:
– Barriers will increase for new visa applicants. Young people, students, and new graduates who want to work in the U.S. will face greater challenges.
– Companies may reduce their dependence on H-1B visas, and the trend of offshoring work (remote work in India) could increase.
Opportunities for India
– Boost to Domestic Industry: If opportunities in the U.S. become difficult, Indian professionals may contribute more to India’s IT and startup sector.
– Possibility of ‘Brain Gain’: If Indian talent stays in the country instead of going abroad, it could strengthen India’s knowledge economy.
– New Form of Brain Drain: Some highly skilled youth may migrate to other countries (like Canada, Australia, etc.).
– Exploring New Markets: Indian companies may expand into other markets such as Europe, Asia, and Africa.
Impact on the U.S.
– Risk to Innovation: U.S. lawmakers (such as Raja Krishnamoorthi) have called this move “reckless,” as it may discourage highly skilled talent.
– Burden on U.S. Companies: Firms like Amazon (10,044 visas), Microsoft, and Google will be affected, since they rely heavily on H-1B workers.
– Employment Impact: The White House claims this will protect American workers, but the Global Trade Research Initiative (GTRI) states that the increase in local employment will remain limited.
India’s Response
– Ministry of External Affairs (MEA): The MEA is studying the impacts and is in talks with the U.S. administration and NASSCOM.
– Political Criticism: The Congress party (Mallikarjun Kharge, Rahul Gandhi) called the central government’s foreign policy “weak”; Akhilesh Yadav also criticized it.
U.S. Policy Debate
– Elon Musk called the H-1B program “broken” and demanded reforms;
– Trump’s claim that it poses a “national security threat” has been controversial.
Key Statistics
– Indians among H-1B holders: Around 71% (FY2024)
– Indians among top-paid H-1B applicants: 78% (earning > $1 million/year)
– Top beneficiaries: Amazon (10,044), TCS (5,505), Microsoft (5,189)
– Visas granted to Indian companies: About 24,766 (April–September 2024)
Why is the Indian IT Industry Dependent on the U.S.?
– The U.S. is the world’s largest IT and digital services market.
– American companies invest heavily in services such as cloud computing, artificial intelligence, and cybersecurity.
– U.S. companies continuously outsource in order to reduce costs and obtain high-quality services.
– India is the largest source to meet this demand.
– Indian IT companies such as TCS, Infosys, Wipro, and HCL earn 40–60% of their revenue from the U.S. American clients (banking, retail, healthcare, finance, etc.) are the main base of India’s IT income.
– During the IT boom of the 1990s and the Y2K problem, U.S. companies adopted India for IT services.
– Strong ties were established in that era, and Indian IT companies opened delivery centers and offices in the U.S.
– The U.S. is a global tech hub (Silicon Valley, Seattle, New York).
– Indian companies enhance their services by engaging with U.S. technology, R&D, and startup ecosystems.
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UPSC and State PCS Prelims Level Questions
Q.1
Consider the following statements regarding H-1B Visa:
1. It is a non-immigrant visa issued by the United States.
2. It is primarily granted to professionals in the Information Technology (IT) and STEM fields.
3. In September 2025, the U.S. increased its fee, which may impact Indian companies.
Which of the statements given above is/are correct?
a. 1 and 2 only
b. 2 and 3 only
c. 1 and 3 only
d. 1, 2 and 3
Answer: d. 1, 2 and 3
Brief Explanation:
– Correct – The H-1B visa is a U.S. non-immigrant work visa that allows a foreign professional to work temporarily in the United States.
– Correct – It is primarily granted to highly skilled professionals in IT, engineering, and STEM (Science, Technology, Engineering, Mathematics) fields.
– Correct – In September 2025, the U.S. significantly increased the H-1B visa fee (up to $100,000), which could affect the costs and competitiveness of Indian IT companies and professionals.
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Q2.
Given the recent discussion on the sharp increase in H-1B visa application fees, why is the Indian IT industry so dependent on the U.S.?
1. The U.S. is the largest consumer of IT services.
2. American companies rely on India for outsourcing.
3. 40–60% of revenue of Indian companies comes from the U.S.
4. Indian IT companies take projects only in the U.S.
Correct option:
a. Only 1 and 2
b. Only 1, 2, and 3
c. Only 2, 3, and 4
d. All 1, 2, 3, and 4
Answer: b. Only 1, 2, and 3
Brief Explanation:
– Correct – The U.S. is the largest consumer of IT services, so there is high demand for Indian IT companies’ services.
– Correct – American companies rely on India for outsourcing to obtain high-quality services at lower costs.
– Correct – 40–60% of revenue of Indian IT companies comes from the U.S.
– Incorrect – The statement that Indian IT companies take projects only in the U.S. is wrong. Indian companies also execute projects in India and other countries; hence, this option is not correct.
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UPSC and State PCS Prelims Level Questions
GS Paper-II (Governance, International Relations)
Q1.
“How will the US decision to increase the H-1B visa fee to US$100,000 impact the Indian IT industry and Indian diaspora professionals? Discuss in the context of India-US bilateral relations.”
(250 words)
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GS Paper-III (Indian Economy, Employment, Growth)
Q2.
“Recent changes in H-1B visa policies present both opportunities and challenges for India’s demographic dividend and job creation. Discuss.”
(250 words)
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2. The three services (Army, Navy and Air Force) have decided to establish how many joint military stations for the first time for better coordination and integration?
a. 3
b. 12
c. 15
d. 25
Answer: a. 3
– On 17 September 2025, India’s top military officials decided that, for better coordination and unity among the three armed forces, the country will set up three joint military stations for the first time.
– Along with this, the education branches of the three forces will be merged to create a Joint Education Corps.
– According to The Indian Express, these stations may be located at places including Mumbai, Bengaluru, Ahmedabad, Gwalior, Pune, and Secunderabad.
– The announcement was made at a three-day Joint Commanders’ Conference held in Kolkata.
– The conference was inaugurated by Prime Minister Narendra Modi.
Meaning of Joint Military Station
– A Joint Military Station means that facilities related to the Army, Navy, and Air Force will be integrated—such as logistics, infrastructure, repair and maintenance, storage, and supply—managed together. The goal is to optimize resource utilization and ensure that all three forces operate under a common command.
Formation of the Tri-Service Education Corps
– The decision to form this corps has been taken to enhance unity, optimize manpower, infrastructure, and administration, and ensure better integration of personnel across the three forces.
Note: These new measures are part of several efforts over the past few years to achieve better integration among the three services (Theater Command).
Army Chief: General Upendra Dwivedi
Navy Chief: Admiral Dinesh K. Tripathi
Air Force Chief: Air Chief Marshal Amar Preet Singh
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3. Who became the first woman FIDE Master (WFM) from Bihar?
a. Arpita Singh
b. Maryam Fatima
c. Neha Singh
d. Kirti Sharma
Answer: b. Maryam Fatima
– Mariam Fatima is a resident of Muzaffarpur, Bihar.
– She has won several awards in the game of chess.
– The Director General of the Sports Authority of Bihar is Ravindran Shankaran.
Note: Mariam Fatima from Bihar received the title after performing exceptionally well in the international competitions held in Barcelona, Spain in July and August 2025.
What is WFM (Women FIDE Master)?
– Women FIDE Master (WFM) is an honorary chess title awarded to a female player based on her high-level playing abilities. It is a lifetime title conferred by the World Chess Federation (FIDE).
– Female players are awarded this title when their FIDE rating reaches at least 2100, or when they perform well in certain international tournaments such as Zonal, Continental, or Chess Olympiad events.
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4. Which country ranked first in the ‘Global Innovation Index 2025’ (released by WIPO)?
a. America
b. Sweden
c. Switzerland
d. Niger
Answer: c. Switzerland
– Switzerland ranked first in the GII rankings for the 15th consecutive year (overall score of 66.0).
– A total of 139 countries are ranked in this index.
Top 5 countries in the GII ranking
1. Switzerland
2. Sweden
3. USA
3. Republic of Korea
4. Singapore
5. United Kingdom
Last country in the GII ranking
139. Niger
138. Angola
137. Congo
136. Venezuela
135. Mali
134. Ethiopia
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5. What is the rank of India in the ‘Global Innovation Index 2025’, released by the World Intellectual Property Organization (WIPO)?
a. 25
b. 38
c. 40
d. 68
Answer: b. 38 (Was ranked 39th in 2024)
– India has made significant progress from its 81st position in 2015.
– The World Intellectual Property Organization (WIPO) released the Global Innovation Index (GII) 2025 in September 2025. This is the 18th edition.
Why India’s ranking improved
– India performs best in knowledge and technology output (#22) and market sophistication (#38), while its weakest rankings are in business sophistication (#64), infrastructure (#61), and institutions (#58).
Four Indian clusters—Bengaluru (21st), Delhi (26th), Mumbai (46th), and Chennai (84th)—have been ranked among the top 100 innovation clusters in the world.
Note: A cluster is a geographical area where similar industries or companies are concentrated. For example, textile clusters, automobile clusters, IT clusters, etc.
Investment growth is slowing – According to the World Intellectual Property Organization (WIPO) Global Innovation Index (GII) 2025, research and innovation growth is projected to fall to 2.9 percent in 2024. It is projected to fall further to 2.3 percent in 2025.
Top three innovation economies by income group
High Income
1. Switzerland
2. Sweden
3. United States
Upper middle income
1. China
2. Malaysia
3. Türkiye
Lower middle income
1 India
2 Vietnam
3 Philippines
Low Income ^
1. Rwanda
2. Togo
3. Uganda
Rankings are based on:
– Institutions
– Human capital and research
– Infrastructure
– Market sophistication
– Business sophistication
– Knowledge and technology outputs
– Creative output
About the Global Innovation Index (GII)
– It is an annual report that ranks countries based on their innovation performance and capabilities.
– The GII was established in 2007 in collaboration with INSEAD (a leading business school), Cornell University (USA), and the World Intellectual Property Organization (WIPO).
WIPO (World Intellectual Property Organization)
– WIPO is an agency of the United Nations.
– This organization was established in 1967.
Top 10 Most AI-Dominated Countries in 2025:
1. USA
2. UAE
3. Saudi Arabia
4. Republic of Korea
5. France
6. India
7. China
8. United Kingdom
9. Finland
10. Germany
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6. When is the International Day of Peace celebrated by the United Nations?
a. September 20
b. September 21
c. September 22
d. September 23
Answer: b. September 21
Theme for 2025:
– Act Now for a Peaceful World
– Its main objective is to promote peace, end violence, and encourage conflict resolution worldwide.
– It was established in 1981 by the United Nations General Assembly (UNGA).
– Since 1982, it has been observed annually.
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7. With which Arab country did Pakistan sign a defence pact, under which an attack on one country will be considered an attack on the other?
a. Kuwait
b. Israel
c. UAE
d. Saudi Arabia
Answer: d. Saudi Arabia
Strategic Mutual Defence Agreement (SMDA) between Pakistan and Saudi Arabia
– In September 2025, Saudi Crown Prince Mohammed bin Salman (MBS) and Pakistani Prime Minister Shehbaz Sharif signed a defence agreement.
– Under this agreement, an attack on one country will be considered an attack on the other.
– The agreement is called the “Strategic Mutual Defence Agreement” (SMDA).
– At the time of signing, Pakistani Army Chief Asim Munir was also present.
– Reports suggest that this agreement may open the way for Pakistan to receive additional financial support from Saudi Arabia to help improve its struggling economy.
Key Features of the Agreement
– Collective Defence Principle: This agreement is similar to NATO’s Article 5, where an attack on one member is considered an attack on all.
– Nuclear Security Umbrella: Pakistan’s Defence Minister clarified that, if necessary, Pakistan’s nuclear capability could be made available to Saudi Arabia.
– Military Cooperation: Under the agreement, both countries will conduct joint military exercises, exchange intelligence, and develop joint defence strategies.
Regional and Global Implications
– Impact on India: India has expressed concern over this agreement, particularly regarding the possibility that Pakistan’s nuclear capability being made available to Saudi Arabia could affect regional security.
– U.S. Response: The United States has also expressed concern, especially that the spread of Pakistan’s nuclear capability could impact global security.
– Power Balance in the Middle East: The agreement could influence the balance of power in the Middle East, particularly in relation to Iran and other regional powers.
Nuclear Security Risk
– Pakistan has stated that, if necessary, it could make its nuclear capability available to Saudi Arabia.
– This is a matter of concern for India, as it could affect the regional nuclear balance.
– Although it is not an immediate threat, it requires strategic vigilance.
Bilateral Relations with Saudi Arabia
– Saudi Arabia has been a friend and trade partner of India.
– This agreement does not indicate any hostile stance by Saudi Arabia toward India.
– The agreement is based on Saudi Arabia’s regional security priorities and its historical religious/cultural ties with Pakistan.
– Currently, there is no major strain in India-Saudi relations, but India needs to maintain strategic and diplomatic vigilance.
– India must reassess and strengthen its regional security strategy and alliances accordingly.
Pakistan suggested the creation of a NATO-like force.
– On September 9, 2025, Israel carried out an attack targeting Hamas chief Khalil al-Hayya in Doha, the capital of Qatar. Al-Hayya survived the attack, but six others were killed.
– Subsequently, on September 14, several leaders of Muslim countries gathered in Doha for a special meeting against Israel. Here, Pakistan suggested the creation of a NATO-like joint force for all Islamic countries.
Pakistan also signed a Saudi-like defense agreement with the US.
– Pakistan had a defence agreement with the United States similar to the one with Saudi Arabia.
– In 1954, during the Cold War, the U.S. sought allies in South Asia to contain Soviet expansion.
– At that time, Pakistan entered into a military alliance with the U.S.
– The agreement included mutual defence provisions, meaning both countries would provide military assistance (weapons, training, equipment) to each other.
This agreement ended in 1979.
Prior to that, there were two wars between India and Pakistan, but in neither did the U.S. provide direct military assistance.
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UPSC and State PCS Prelims Level Questions
Q1.
With reference to the ‘Strategic Mutual Defence Agreement’ (SMDA) signed between Pakistan and Saudi Arabia in September 2025, which one of the following statements is not correct?
a. The agreement is based on a collective defense principle similar to NATO’s Article 5.
b. It includes a provision to make Pakistan’s nuclear capability available to Saudi Arabia.
c. An attack on one country will be considered an attack on the other.
d. The agreement primarily focuses on Saudi investment to strengthen Pakistan’s economy.
Answer: (d) The agreement mainly focuses on Saudi investment to strengthen Pakistan’s economy.
(Explanation: The agreement is focused on defence, although it is likely to bring economic benefits to Pakistan, but the main focus is on the economy, not defence.)
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UPSC and State PCS Mains Level Questions
GS Paper 2 : International relations, regional security and geopolitics
Q1.
Analyze the various dimensions of military cooperation between Pakistan and Saudi Arabia under the Strategic Mutual Defense Agreement (SMDA). How might this cooperation impact the geopolitics of the Middle East and South Asia?
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8. Why is Chabahar Port considered important for India, on which the US ends its sanctions waiver in September 2025?
a. It gives India access to Afghanistan through Pakistan.
b. It gives India access to Afghanistan and Central Asia bypassing Pakistan.
c. It is only for India’s seaborne oil imports.
d. It is a trade route between India and China.
Answer: b. It gives India access to Afghanistan and Central Asia bypassing Pakistan.
U.S. Decision on Chabahar Port and Its Impact on India
– Chabahar Port, located on Iran’s coastline, is a strategically important port.
– It provides India access to Afghanistan and Central Asia, bypassing Pakistan.
– India constructed the port, and Iran has been operating its largest part, Shahid Beheshti Port, for 10 years.
– On 17 September 2025, the U.S. announced the termination of the 2018 sanctions waiver for Chabahar Port.
– This decision came into effect from 29 September 2025.
– The decision poses several strategic, economic, and diplomatic challenges for India.
U.S. Decision
– In 2018, the U.S. had granted India a special waiver to operate Chabahar Port.
– This waiver has now been terminated, meaning U.S. sanctions will directly apply to Chabahar Port.
– As a result, Indian companies operating at the port, such as India Ports Global Limited (IPGL), could come under U.S. sanctions.
Why Did the U.S. Impose This Sanction?
– The U.S. decision is part of its “maximum pressure” policy against Iran’s nuclear, ballistic missile, and military programs.
– Under this policy, the U.S. aims to restrict any economic cooperation with Iran.
– Specifically, under the Iran Freedom and Counter-Proliferation Act (IFCA), collaborations that could aid Iran’s military or nuclear programs are prohibited.
– India’s participation in the development of Chabahar Port was viewed under this act, leading the U.S. to terminate the previous waiver.
Impact on India?
Strategic Implications
– Chabahar Port provided India access to Afghanistan and Central Asia.
– Due to U.S. sanctions, India’s strategic ambitions in the region will be affected.
– Compared to Pakistan’s Gwadar Port, Chabahar served as an alternative route, whose significance has now increased even further.
Impact on Economic Investment
– India has invested approximately $500 million in Chabahar Port.
– The U.S. decision raises questions about the security and future of this investment.
Impact on Commerce and Connectivity
– India’s trade connectivity with Afghanistan and Central Asia may be disrupted.
– India will have to consider alternative routes and partnership options.
Diplomatic Implications
– This US decision could create tensions in India-US relations.
– India will have to protect its interests through its foreign policy and diplomatic strategy.
Impact Aspects
– Strategic Importance: Impeding Access to Afghanistan and Central Asia
– Economic Investment: Security of $500 million investment in question
– Commercial Connectivity: Lack of Alternatives to Pakistan’s Gwadar Port
– Diplomatic Relations: Potential Tensions in India-US Relations
– Possible Responses: Diplomatic Dialogue, Exploring Alternative Partnerships, Reviewing Development Plans
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UPSC और State PCS प्रिलिम्स लेवेल के प्रश्न
Q1.
Statement: The US ending the ‘sanctions waiver’ on Chabahar Port poses only which type of challenge to India.
Choose the correct option:
a. This is challenging for India only from an economic perspective.
b. This decision is challenging for India from all three perspectives – strategic, diplomatic, and economic.
c. This decision is challenging for India only from a diplomatic perspective.
d. This decision is challenging for India only from a strategic perspective.
Answer: b. This decision is challenging for India from all three perspectives – strategic, diplomatic, and economic.
Brief Explanation: This decision of America is challenging for India from all three perspectives – strategic, diplomatic and economic, because Chabahar Port is an important route for India’s access to Central Asia and Afghanistan.
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Q1.
Which facts about Chabahar Port are true?
1) It is India’s main access route to Afghanistan and Central Asia.
2) The US issued a ‘sanctions waiver’ for India in 2018.
3) This ‘sanctions waiver’ ended in 2025.
a. Only 1 and 2
b. Only 1 and 3
c. Only 2 and 3
d. All 1, 2, and 3
answer: d. All 1, 2, and 3
All facts are based on current reality.
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UPSC and State PCS Mains Level Questions
General Studies Paper II (GS-II) – International Relations / India’s Foreign Policy / Defence and Strategic Affairs
Q1.
The US terminated the 2018 waiver granted to India for Chabahar Port on September 17, 2025. What impact does this decision have on India-Afghanistan-Central Asia connectivity and regional strategic interests?
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General Studies Paper III (GS-III) – Indian Economy / Infrastructure and Strategic Investment
Q2.
The US ended the 2018 waiver granted to India for Chabahar Port on September 17, 2025. What impact does this US decision have on India’s investment in Chabahar Port?
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9. The Election Commission of India (ECI) decided to make which of the following changes to the Electronic Voting Machines (EVMs)?
a. Color photographs of candidates
b. A maximum of 15 candidates will be displayed on one EVM sheet
c. A maximum of 10 candidates will be displayed on one EVM
d. Both a and b (color photographs of candidates and a maximum of 15 candidates will be displayed on one EVM sheet)
Answer : d. Both a and b (color photographs of candidates and a maximum of 15 candidates will be displayed on one EVM sheet)
– The Election Commission of India (ECI) has announced changes to the design of Electronic Voting Machine (EVM) ballot papers.
– The aim is to ensure visibility, readability, and uniformity for voters.
– The move is part of 28 initiatives launched by the Election Commission over the past six months aimed at simplifying and making electoral processes voter-friendly.
Key Changes in EVM Ballot Design
– Colored Candidate Photos: Candidate photos on the EVM will now be in color, making identification easier.
– Larger Photo Space: Each candidate’s face will occupy three-fourths of the total photo space.
– Uniform Font and Style: Names of all candidates and the NOTA option will be displayed in the same font and size.
– Candidate Layout Limit: A maximum of 15 candidates will be shown on a single EVM sheet.
– NOTA Position: The “NOTA” option will always be displayed clearly after the last candidate’s name.
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10. In September 2025, the US Federal Reserve reduced its benchmark interest rate by how many basis points to what range?
a. 50 basis points, 4.25%–4.50%
b. 25 basis points, 4.00%–4.25%
c. 75 basis points, 3.75%–4.00%
d. 100 basis points, 3.50%–3.75%
Answer: b. 25 basis points, 4.00%–4.25%
U.S. Federal Reserve Cuts Interest Rate
– The U.S. central bank, the Federal Reserve (Fed), in September 2025, for the first time, reduced its benchmark interest rate by 25 basis points, bringing it to a new range of 4.00%–4.25%.
– This rate cut signals a more accommodative monetary policy, aimed at boosting economic growth and reducing unemployment.
– The move indicates the beginning of a potential rate-easing cycle.
– The objective is to balance inflation, a cooling labor market, and slowing economic growth.
Global Impact
– Global Capital Flows: With the interest rate cut, investment attractiveness in the U.S. may decrease, potentially increasing capital inflows to emerging markets like India.
– Currency Value: Other currencies, such as the Indian Rupee, may experience fluctuations against the U.S. dollar. An appreciation of the rupee could make imports cheaper but may negatively affect exports.
– Commodity Prices: Prices of oil and other commodities may be impacted, as the U.S. economy influences global demand.
Impact on India
– Monetary Policy: The Reserve Bank of India (RBI) may need to adjust its monetary policy, as changes in global interest rates influence India’s domestic policies.
– Investment and Stock Market: Increased inflows from Foreign Institutional Investors (FIIs) could lead to a bullish trend in Indian equity markets.
– Inflation and Imports: Cheaper imports may help control inflation in India, but export-oriented industries could face increased pressure.
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Q1.
What could be the main purpose of the 0.25% interest rate cut by the US Federal Reserve? Which of the following statements is most accurate?
a. Promote inflation and curb economic growth.
b. Encourage employment and control inflation by easing monetary policy.
c. Promote capital outflows from emerging markets by strengthening the US dollar.
d. Directly intervene to stabilize global commodity prices.
Answer: b. Encourage employment and control inflation by easing monetary policy.
Brief Explanation
– The Federal Reserve’s dual mandate is to promote employment and stabilize inflation. Interest rate cuts easing monetary policy, making borrowing cheaper, increasing investment and employment.
– a. Wrong because the cuts control inflation rather than increasing it.
– b. Loosening monetary policy stimulates employment and keeping inflation under control.
– c. Wrong because lowering interest rates can weaken the dollar.
– d. Wrong because commodity prices are indirectly affected.
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Q2.
What is the global impact of the US Federal Reserve’s interest rate cut in monetary policy? Consider the following statements:
1. It can increase inflation in developing countries like India; interest rate reductions can increase commodity prices.
2. It can weaken the US dollar, affecting the valuation of other currencies.
3. It affects only the US economy, with no direct impact globally.
Which of the above statements are correct?
a. Only 1 and 2
b. Only 2 and 3
c. Only 1 and 3
d. All 1, 2, and 3
Answer: (a) Only 1 and 2
Brief Explanation
– Statement 1 is correct because a decrease in interest rates can boost global demand, leading to higher commodity prices and inflation.
– Statement 2 is correct because lower interest rates can weaken the dollar.
– Statement 3 is incorrect because the Fed’s policy has global effects, such as on capital flows and currency valuations.
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UPSC and State PCS Mains Level Questions
GS Paper 3 : Economy – वैश्विक वित्तीय संस्थानों और नीतियों का प्रभाव
Q1.
Analyze the recent interest rate cut by the US Federal Reserve. How might this affect global capital flows and what challenges and opportunities does it present for emerging markets like India? Also discuss the need for monetary policy coordination in your answer.
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GS Paper 3: Economy – Focus on RBI policy and India’s strategy amid global uncertainty
GS Paper 2 : International Relation
Q2.
What are the implications of changes in the Federal Reserve’s monetary policy on the Indian economy? Should the RBI change its policy? Argument with examples, and suggest a strategy for India in the context of global economic uncertainty.
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11. Who became the Executive Director of UN Women for the second time?
a. Rajni Verma
b. Sima Bahous
c. Izhar Shaikh
d. fordak rorer
Answer: b. Sima Bahous
UN Women: Appointment and Overview
– On 11 September 2025, UN Secretary-General António Guterres reappointed Dr. Sima Sami Bahous as the Executive Director of UN Women for a second term.
– She is a senior diplomat from Jordan.
– UN Women is the United Nations program focused on gender equality and women’s empowerment.
– It is a UN agency working to promote gender equality and empower women globally.
– Established: 2 July 2010
– Headquarters: New York City, United States
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12. When is World Rhino Day celebrated?
a. September 20
b. September 21
c. September 22
d. September 23
Answer: c. September 22
– Its purpose is to raise awareness about the conservation of rhinos and the protection of their natural habitat.
– First declared as World Rhino Day in 2010.
Main rhino habitat in India
– Assam – Kaziranga National Park
– Other parts of the Northeast: Manipur, Sikkim, and the Sundarbans of West Bengal (in smaller numbers)
Characteristics of the Indian rhinoceros:
– A single horn on its head
– Thick, wrinkled skin that resembles armor
– Herbivorous, feeding primarily on grass and aquatic plants
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13. When is World Alzheimer’s Day celebrated?
a. September 20
b. September 21
c. September 22
d. September 23
Answer: b. September 21
– This day is dedicated to spreading awareness about Alzheimer’s disease and other types of dementia and showing support to patients and their families.
What is Alzheimer’s disease?
– Alzheimer’s disease is a nervous system disease that gradually affects brain function, primarily affecting memory and cognitive abilities.
Age:
– This disease is usually more common after the age of 65.
– However, it has rarely been seen in younger people. A highly acclaimed film on this subject was released in 2025, titled Saiyara.
Symptoms:
– Difficulty remembering new things
– Confusion about time and place
– Inability to use language and words correctly
– Difficulty with everyday tasks
– Mood and personality changes
Causes:
– Abnormal protein deposits in the brain (such as β-amyloid plaques and tau tangles)
– Gradual damage to brain cells
– Aging, genetic factors, lifestyle, and environmental factors
Treatment:
– There is currently no cure for Alzheimer’s, but treatment and therapy can slow the disease’s progression and control symptoms.
– Medications, lifestyle modifications, and mental exercises are helpful.
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