Banking Awareness of 10, 11 and 12 July 2025

Topic: Indian Economy/Financial Market

1. According to a report by Union Bank of India, India’s wholesale inflation likely rose to 0.80% year-on-year in June 2025, up from 0.39% in May.

• This increase was driven by monthly rises in food, fuel, and core inflation.
• As per the report, the core Wholesale Price Index, which excludes food and fuel, jumped from 0.86% in May to 1.63% in June.
• Food inflation eased on an annual basis, falling to 0.60% in June from 1.72% in May.
• However, food prices increased on a month-on-month basis.
• Fuel inflation remained negative at -1.82% in June. The rate of decline slowed compared to -3.87% in May.
• As per the report, the rise in wholesale inflation in June was mainly due to higher commodity prices impacting core inflation.
• Global commodity prices are expected to stay volatile because of ongoing trade disputes and geopolitical tensions.
• Despite ample global supply and weak demand limiting inflation’s rise, any escalation in conflicts or trade issues could cause price instability.
• Agricultural prices remain uncertain due to the progress of the monsoon and potential weather disruptions.
• Geopolitical issues affecting supply chains could also push wholesale inflation higher in the short term.
• Overall, wholesale inflation stayed moderate in June. However, the outlook remains uncertain due to risks from global and weather-related factors.

Topic: Taxation 

2. The Central Board of Direct Taxes has classified bonds issued by the IREDA as long-term assets under Section 54EC of the Income-tax Act, effective from July 9, 2025.

• Indian Renewable Energy Development Agency (IREDA) bonds issued on or after this date and redeemable after five years will qualify for capital gains tax exemption under Section 54EC.

• The proceeds from these bonds will be used exclusively for renewable energy projects that can service debt through their own revenues without relying on State Governments.
• Investors can save tax on long-term capital gains up to ₹50 lakhs per financial year by investing in these bonds.
• This move is expected to lower borrowing costs for IREDA and accelerate growth in the renewable energy sector.
• The tax exemption will make IREDA bonds more attractive to investors and increase funding availability for green energy projects.
• This initiative supports India’s target of reaching 500 GW of non-fossil fuel capacity by 2030.
• It is expected to attract more investors seeking tax-saving options and strengthen the renewable energy financing ecosystem in India.
• Section 54EC of the Income-tax Act, 1961 is about capital gain not to be charged on investment in certain bonds.

Topic: Awards and Prizes

3. Muthoot FinCorp has introduced the SPARK Awards to celebrate small business owners across India.

• The program aims to recognize the perseverance, creativity, and impact of small businesses.
• Small business owners from various sectors across the country are eligible to participate.
• The awards include seven categories: Lifetime Achievement, Women Entrepreneur, Emerging Leader, Innovator, Tech Trailblazer, Social Impact Leader, and Fastest Growing Business.
• Winners will receive national recognition and expert mentorship.
• They will also get an all-expenses-paid trip for themselves and a family member to attend a grand awards ceremony.
• A panel of respected industry experts will judge the entries.
• The program provides small business owners with important resources and guidance to help their growth.

Topic: Appointments

4. Hindustan Unilever has appointed Priya Nair as CEO and MD.

• Priya Nair is first woman CEO and MD of Hindustan Unilever.
• Priya Nair has been appointed for the next five years beginning August 1, 2025.
• Priya Nair will replace incumbent Rohit Jawa. Rohit Jawa will step down on July 31, 2025.
• Nair started her career with the company in 1995 when it was called Hindustan Lever.
• Between 2014 and 2020, she was the executive director of the home care division.
• From 2020 to 2022, she served as executive director of the beauty and personal care division.
• Rohit Jawa became CEO and MD in 2023. He joined the board on April 1, 2023, with his official designation starting on June 27, 2023.
• Hindustan Unilever is an Indian fast-moving consumer goods company. It is headquartered in Mumbai.
• It is a subsidiary of the Anglo-Dutch company Unilever.

Topic: Appointments

5. Kumar Mangalam Birla has been appointed to the Executive Committee of the USISPF Board of Directors.

• USISPF has commended Birla for his role in strengthening US-India relations.
• John Chambers, Chairman of USISPF, awarded Birla the 2025 Global Leadership Award.
• Chambers said Birla’s role on the Executive Committee will help USISPF grow and explore new opportunities.
• Birla received the award at the 2025 USISPF Leadership Summit in Washington, D.C.
• The Aditya Birla Group is the leading Indian greenfield investor in the US.
• Kumar Mangalam Birla is the Chairman of the Aditya Birla Group.
• The Aditya Birla Group is India’s third-largest conglomerate.

Topic: World Economy

6. Bulgaria will join the eurozone as its 21st member in January 2026.

• On July 8, 2025, EU finance ministers officially approved Bulgaria’s adoption of the euro, with the transition to take place on January 1, 2026.
• With this move, Bulgaria will become the 21st member of the eurozone and replace its national currency, the lev.
• Bulgaria’s switch from the lev to the euro comes nearly 19 years after the country of 6.4 million people joined the European Union.
• The euro-to-lev exchange rate has been officially fixed at 1.95583.
• Prime Minister Rossen Jeliazkov of Bulgaria expressed gratitude for the collective efforts that enabled the milestone decision.
• A smooth and efficient transition to the euro was promised by the Bulgarian government for the benefit of its citizens.

Topic: Miscellaneous

7. Trinidad and Tobago became the first Caribbean country to adopt BHIM-UPI.

• Trinidad and Tobago has joined the global UPI network, enabling BHIM app transactions for digital payments.

• Trinidad and Tobago is now the eighth to implement India’s UPI system, becoming the first in the Caribbean to do so.
• Indian Prime Minister Narendra Modi congratulated the nation for embracing UPI during his visit on July 3–4.
• Discussions between the two nations included plans to adopt more India Stack technologies like DigiLocker and GeM.
• The collaboration has been praised as a boost to digital financial infrastructure in Trinidad and Tobago.
• The BHIM-UPI system is already operational in seven countries:

Topic: Miscellaneous

8. Colombia and Uzbekistan have joined the New Development Bank.

• Colombia and Uzbekistan have officially joined the New Development Bank (NDB)
• This brings the bank’s total membership to 11 countries.
• The NDB was launched in 2015 by the BRICS nations: Brazil, Russia, India, China, and South Africa.
• It was created to finance development projects in emerging economies.
• The bank focuses on infrastructure and sustainability.
• NDB President Dilma Rousseff spoke at the 10th Board of Directors meeting.
• Rousseff emphasized the importance of science, technology, and innovation.
• She said these are key to helping member nations adapt to the Fourth Industrial Revolution.
• The NDB is headquartered in Shanghai.
• Its current members include Brazil, Russia, India, China, South Africa, Bangladesh, UAE, Egypt, Algeria, Colombia, and Uzbekistan