Banking Awareness of 11, 12 and 13 September 2025

Topic: Indian Economy/Financial Market

1. India’s external debt rose to $730 billion by the end of FY 2024-25.

• This marks an increase of over 10% from $660 billion in the previous fiscal year.
• The debt-to-GDP ratio rose to 19.1% in March 2025.
• This was a moderate rise of 60 basis points compared to the previous year.
• Foreign exchange reserves covered about 91% of the total external debt.
• This indicates a strong buffer against external financial risks.
• The Finance Ministry described the debt position as moderate.
• It also said India’s external debt is more stable than that of many developing countries.
• The appreciation of the US Dollar added $5.3 billion to the total debt.
• Without this valuation effect, the debt increase would have been $72.9 billion.
• Long-term debt made up 81.7% of the total external debt. The remaining 18.3% was classified as short-term debt.
• Trade credit accounted for 96.8% of short-term debt.
• Non-financial corporations were the largest external borrowers.
• Loans formed the largest category of external borrowing, accounting for 34%.
• Other major components included foreign currency deposits (22.8%), trade credit (17.8%), and debt securities (17.7%).
• Commercial lenders were the top creditors, holding 39.6% of the debt.
• Non-Resident Indians (NRIs) held 22.4% through deposits.
• The US Dollar was the main currency of debt, making up 54.2% of the total.
• The Indian Rupee came next with a 31.1% share.
• In rupee terms, external debt stood at ₹63 lakh crore in March 2025.

Topic: Miscellaneous

2. The World Bank has approved a loan of $212.64 million.

• The loan is aimed at improving coastal resilience in Tamil Nadu and Karnataka.
• It is part of the first phase of the Strengthening Coastal Resilience and the Economy (SHORE) Programme.
• The loan is provided through the International Bank for Reconstruction and Development.
• It has a total repayment period of 23 years. This includes a grace period of 6.5 years.
• The project focuses on conserving coastal ecosystems. It also aims to reduce plastic waste.
• Around 100,000 people are expected to benefit from the initiative.
• Funding will also be extended to local communities and government agencies.
• About 70,000 people will be trained in sustainable tourism and related fields.
• The programme seeks to engage the private sector.
• Conservation work will cover 30,000 hectares of coastal areas.
• Hybrid infrastructure like breakwaters will also be developed.
• The project will educate people about plastic pollution.
• Efforts will focus on linking urban local bodies with private firms.
• The programme is expected to reduce plastic leakage.

Topic: Appointments

3. Abhishek Maheshwari has been appointed as the Managing Director and CEO of the International Asset Reconstruction Company (IARC).

• He holds an MBA from the Indian Institute of Management (IIM) Bangalore.
• IARC Chairman Praveen Kadle praised Maheshwari’s international experience and leadership skills.
• Maheshwari noted that the asset reconstruction industry is changing rapidly.
• His goal is to strengthen IARC’s position as a forward-looking player in the financial ecosystem.
• Before joining IARC, Maheshwari was a Partner at Boston Consulting Group.
• He also co-founded Encore Asset Reconstruction Company.
• Encore was among India’s first asset reconstruction companies focused on retail assets.

Topic: MoUs/Agreements

4. The Government of India and ADB signed a $126.4 million loan agreement for sustainable tourism in Uttarakhand.

• On 10 September, a loan agreement worth $126.42 million was signed between the Government of India and the Asian Development Bank (ADB) to promote sustainable tourism in the Tehri Lake region of Uttarakhand.
• The agreement was signed by Ms. Juhi Mukherjee, Joint Secretary, Department of Economic Affairs, and Mr. Kai Wei Yeo, Officer-in-Charge of ADB’s India Resident Mission.
• It was stated that this project supports Uttarakhand’s policy of positioning itself as an all-weather tourism destination, with Tehri Lake prioritized for development.
• Mr. Yeo highlighted that the project is a model of sustainable tourism centered on a hydropower lake, with a multisector approach to generate jobs, diversify income, and build climate resilience.
• The Tehri Garhwal district, one of the most climate-vulnerable and economically disadvantaged regions of the state, will be targeted by the project.
• More than 87,000 residents and approximately 2.7 million annual visitors are expected to benefit through improved infrastructure, improved tourism planning, and disaster preparedness.
• Provisions for climate-resilient infrastructure, nature-based solutions against landslides and floods, and inclusive tourism services are included in the project design.

Topic: MoUs/Agreements

5. TCIL signed an MoU with PNB to strengthen comprehensive IT solutions.

• On September 3, 2025, Telecommunications Consultants India Limited (TCIL) signed an MoU with Punjab National Bank (PNB) in New Delhi.
• TCIL is a Government of India enterprise under the Ministry of Communications.
• The MoU has been aimed at strengthening PNB’s IT infrastructure and accelerating its technology transformation journey.
• The signing ceremony was conducted at TCIL Headquarters in the presence of senior dignitaries from both organizations.
• TCIL was represented by CMD Sh. Sanjeev Kumar, while PNB was represented by GM Mr. Manish Agrawal.
• Specialized expertise in IT consultancy, project management, and turnkey technology execution will be provided by TCIL under this agreement.
• It was announced that the collaboration will ensure robust, secure, and compliant technology solutions to strengthen PNB’s digital backbone.
• Areas such as RFP lifecycle management, system integration, IT rollout, and regulatory-compliant deployment have been identified as key components.
• Depending on requirements, TCIL will serve either as Project Management Consultant or as Project Implementing Agency.
• The partnership has been described by both organizations as a milestone for PNB’s IT modernization and for supporting customer-centric digital banking.
• This agreement is also aligned with the Government of India’s Digital India vision to advance secure and technology-driven financial services.

Topic: Awards and Prizes

6. Union Minister Shri Bhupender Yadav presented the 2025 Swachh Vayu Sarvekshan and Wetland Cities Recognition Awards in New Delhi.

• The Ministry of Environment, Forest and Climate Change hosted the ceremony to honor leading cities under the National Clean Air Programme (NCAP).
• Eleven cities were recognized for their outstanding performance in improving air quality.
• Among cities with populations above 10 lakh, Indore, Jabalpur, Agra, and Surat were declared top achievers.
• Indore secured the top rank with a perfect score of 200 and received ₹1.5 crore for its environmental efforts.
• The city set a Guinness World Record by planting over 16 lakh trees and operates a fleet of electric and CNG buses.
• Jabalpur claimed the second position with 199 points and was awarded ₹1 crore, credited for its waste-to-energy plant and urban greenery.
• Agra and Surat shared the third spot with 196 points each, earning ₹25 lakh per city.
• In the 3 to 10 lakh population bracket, Amravati topped the list with 200 points, earning ₹75 lakh. Jhansi and Moradabad followed closely with 198.5 points.
• Alwar stood third in the same category with a score of 197.6.
• Among smaller cities (under 3 lakh), Dewas ranked first with 193 points and was awarded ₹37.5 lakh.
• Parwanoo and Angul came second and third respectively.
• Alwar was recognized as a first-time awardee under the survey.
• The ministry introduced new guidelines to expand Swachh Vayu Sarvekshan to the ward level to enhance community involvement.
• The government plans to plant 75 crore trees during the Seva Parv (September 17 to October 2, 2025) as part of the "Ek Ped Maa Ke Naam" campaign.
• Seventy-five urban forests are also planned under the Nagar Van Yojana to boost green cover.
• Indore and Udaipur were honored as Wetland Cities under the Ramsar Convention for their exceptional conservation of urban wetlands.
• India now has 91 Ramsar-recognized wetlands covering 1.36 million hectares, the largest in Asia and third globally.
• The minister praised the expansion of Ramsar sites from 25 in 2014 to 91 in 2025.

Topic: MoUs/Agreements

7. On September 9, 2025, Coal India Limited (CIL) signed a Memorandum of Understanding (MoU) with the National Scheduled Tribes Finance and Development Corporation (NSTFDC).

• The agreement aims to improve infrastructure and build educational capacity in 76 Eklavya Model Residential Schools (EMRS).
• These schools are located in Chhattisgarh, Jharkhand, Madhya Pradesh, and Odisha.
• The MoU was signed in New Delhi. Union Tribal Affairs Minister Shri Jual Oram and Union Coal & Mines Minister Shri G. Kishan Reddy were present at the event.
• NSTFDC is a not-for-profit entity under the Ministry of Tribal Affairs.
• The project will benefit around 30,000 tribal students. It will enhance digital education, provide mentorship, and upgrade school infrastructure.
• Currently, there are 479 functional EMRS schools across India.
• These schools offer tribal children quality education, nutrition, healthcare, and overall development.
• EMRS institutions are a flagship initiative of the Ministry of Tribal Affairs.
• Their goal is to prepare tribal students for higher education and future employment.
• Coal India is supporting this initiative through its Corporate Social Responsibility (CSR) program.
• CIL has approved ₹10 crore in funding for the project.
• NSTFDC will implement the project in a time-bound manner.
• The initiative reflects a joint effort to bridge educational gaps in tribal communities.

Topic: MoUs/Agreements

8. NCEL-APEDA signed MoU for cooperatively led agricultural exports.

• On 9 September, an MoU to boost cooperative-led agricultural exports was signed by National Co-operative Exports Limited (NCEL) and Agricultural and Processed Food Products Export Development Authority (APEDA).
• It aims to take India's cooperative based agricultural exports to new heights.
• The MoU was signed by Shri Abhishek Deo, Chairman on behalf of APEDA and Shri Anupom Kaushik, Managing Director on behalf of NCEL.
• The MoU aims to align NCEL’s network with APEDA’s facilitation for better farmer income and rural livelihoods.
• It is aligned with the objectives of the newly launched National Cooperation Policy.
• Joint focus areas include training, quality compliance, infrastructure revival, branding, and international market positioning.
• Cooperative societies will gain knowledge on global quality standards, food safety, and documentation.
• APEDA’s support will streamline exports of fruits, vegetables, spices, cereals, processed foods, and animal products.
• The MoU will integrate NCEL’s outreach with APEDA’s infrastructure to strengthen India’s export competitiveness.