Banking Awareness of 5, 6, 7 and 8 April 2026

Topic: RBI

1. The RBI has launched a 'Benchmark Issuance Strategy' for market borrowing for nine states on a pilot basis.

• This initiative will commence from the financial year 2026-27.
• Nine states have agreed to participate in this pilot program.
• These states include Andhra Pradesh, Bihar, Chhattisgarh, Kerala, Madhya Pradesh, Maharashtra, Rajasthan, Telangana, and Uttar Pradesh.
• Under this strategy, bonds with fixed maturity periods are issued based on a pre-determined schedule.
• The central bank is acting as the financial advisor and debt manager for the states.
• The objective of this move is to enhance transparency in the borrowing undertaken by the states.
• Another objective is to provide investors with clearer signals and greater predictability.
• The RBI has been consistently encouraging states to adopt this systematic approach to borrowing.
• It is expected that more states and Union Territories will adopt this method in the future.
• For the period from April to June 2026, the total planned borrowing by states and Union Territories is estimated at ₹2,54,509 crore.
• This figure is lower than the planned borrowing during the corresponding quarter of the previous year.
• In the first quarter of FY27, the nine participating states will collectively borrow a total of ₹1,53,900 crore.
• The borrowing amount for the remaining states and Union Territories will be ₹1,00,609 crore.

Topic: Indian Economy/Financial Market

2. Moody's Ratings has lowered its GDP growth forecast for India for FY27 from its previous estimate of 6.8% to 6%.

• The primary reason for this downward revision is the ongoing geopolitical tension in West Asia.
• This conflict is expected to slow down economic momentum and intensify inflationary pressures.
• Disruptions in LPG supply could lead to a temporary shortage of the fuel for households.
• Supply disruptions may also result in increased fuel and transportation costs.
• Rising costs are also likely to drive up food inflation, particularly through the import of fertilizers.
• Approximately 55% of India's crude oil imports originate from West Asia, which also fulfills over 90% of the country's LPG requirements.
• Inflation is projected to rise to an average of 4.8% in FY27. This is significantly higher than the 2.4% projected for FY26.
• Rising input costs are likely to have an adverse impact on capital formation.
• The Organisation for Economic Co-operation and Development (OECD) has also projected slower growth for FY27, estimating it at approximately 6.1%.
• Ernst & Young estimates that if the conflict persists, growth could decline even further.
• Domestic rating agency ICRA expects GDP growth to hover around 6.5%.
• In the calendar year 2025, India recorded robust GDP growth of 7.5%, surpassing the 7.2% growth registered in the previous year.
• In 2025, India's Current Account Deficit (CAD) narrowed to approximately 0.4% of GDP.

Topic: Reports and Indices

3. India's services sector PMI fell to a 14-month low of 57.5 in March.

• This decline reflects the impact of the first full month of the ongoing conflict in the Middle East.
• Meanwhile, input price inflation surged to a 45-month high.
• Despite rising costs, the trend of new job creation continued within the sector.
• This decline in the services PMI mirrors trends in the manufacturing sector. The manufacturing PMI fell to 53.9 in March—its lowest level since June 2022.
• The pace of growth in the services sector slowed for the second consecutive month.
• The PMI is based on a survey of 400 purchasing executives, wherein a score above 50 indicates expansion (growth).
• The pace of new business inflows was the slowest since January 2025.
• Input costs rose sharply, driven by items including chicken, cooking oil, eggs, electricity, fish, fruits, fuel, wages, meat, and vegetables.
• The gap between input cost inflation and the rise in output prices widened to its highest level since July 2023.

Topic: Taxation

4. The Income Tax Department has launched a new website named ‘Kar Saathi’.

• The objective of this platform is to simplify tax-related processes. It has been designed to make tax filing even easier for users.
• This website improves access to tax-related information. It consolidates all information pertaining to direct taxes onto a single platform.
• An AI-powered assistant, also named ‘Kar Saathi’, has been introduced as well.
• This tool assists users with tax-related queries. It also guides users through various procedures. This AI assistant is available 24×7.
• This initiative is part of a broader modernization effort. It reflects the government's focus on technology-driven services.
• Ravi Agarwal, Chairman of the Central Board of Direct Taxes (CBDT), spoke about this initiative during the launch of ‘PRARAMBH’.
• ‘PRARAMBH’ is an outreach program focused on tax reforms. It facilitates the transition towards the ‘Income Tax Act, 2025’.
• The full name of ‘PRARAMBH’ is ‘Policy Reform and Responsible Action for Mission Viksit Bharat’.
• These reforms prioritize simplification and clarity. The number of rules has been reduced from 510 to 333, and the number of forms has been cut from 399 to 190.
• These changes will make compliance with regulations even easier.

Topic: Infrastructure and Energy

5. Record cargo handling of 915 million tonnes was achieved by major ports in FY 2025-26.

• A record cargo handling of 915.17 million tonnes was achieved by India’s Major Ports in FY 2025-26, surpassing the annual target of 904 million tonnes.
• A year-on-year growth of 7.06% was registered, reflecting sustained improvement in efficiency and operational capacity.
• The achievement was driven by reforms and strategic investments aimed at modernising port infrastructure and logistics systems.
• The milestone was aligned with the vision of strengthening India’s position as a global maritime leader under the Maritime Amrit Kaal Vision 2047.
• Deendayal Port Authority emerged as the top performer with 160.11 million tonnes, followed by Paradip Port Authority at 156.45 million tonnes and JNPA at 102.01 million tonnes.
• Significant contributions were also made by ports such as Visakhapatnam, Mumbai, Chennai, and New Mangalore, enhancing overall throughput.
• The highest growth rate was recorded by Mormugao Port Authority at 15.91%, followed by Kolkata Dock System at 14.28% and JNPA at 10.74%.
• Increased handling of commodities such as coal, crude oil, fertilizers, containers, and POL played a crucial role in this growth.

Topic: MoUs/Agreements

6. An agreement signed by the GoI to provide the SAMPANN platform-as-a-service to Goa and the Cochin Port Authority.

• On 2 April, an agreement has been signed by the Government of India to provide the SAMPANN platform as a service to the Government of Goa and the Cochin Port Authority to enhance digital governance.
• The adoption of the platform has been aimed at strengthening technology-enabled, citizen-centric governance and improving service delivery mechanisms.
• SAMPANN has been designed as a comprehensive, cloud-based pension management system covering the entire lifecycle from initiation to disbursement and accounting.
• The platform has been developed in alignment with the Digital India mission to ensure seamless, transparent, and efficient pension administration.
• Pension processing, authorisation, accounting, and payment have been integrated into a single digital interface to reduce delays and improve efficiency.
• SAMPANN is now distributing an average monthly pension of ₹1,650 crore, and a total amount of approximately ₹72,000 crore has been disbursed through it so far.
• The system has enabled direct transfer of pensions into beneficiaries’ bank accounts, ensuring transparency and ease of access.
• Features such as grievance redressal, digital records, and streamlined processes have been incorporated to enhance user experience for pensioners.

Topic: Agriculture

7. India's fisheries sector has received an investment of approximately ₹39,272 crore since 2015.

• This funding has boosted both employment and export performance.
• Approximately 30 million fishermen and farmers depend directly on this sector.
• India is now the world's second-largest producer in aquaculture. It contributes approximately 8% to the global fish production output.
• Fish production rose from 141.64 lakh tonnes in 2019–20 to 197.75 lakh tonnes by 2024–25.
• This reflects an average annual growth rate of approximately 7%.
• Seafood exports have witnessed rapid growth over the past decade, rising from ₹30,213 crore in 2013–14 to ₹62,408 crore in 2024–25.
• Shrimp exports account for the largest share of these earnings, contributing ₹43,334 crore alone.
• India exports over 350 varieties of seafood products to approximately 130 global markets.
• The United States is its largest buyer. Other key markets include China, the European Union, Southeast Asia, Japan, and the Middle East.
• The share of value-added seafood products has increased from 2.5% to 11%. The value of this segment now stands at approximately $742 million.
• The government is promoting high-value species, including tuna, seabass, cobia, and mud crabs.
• Infrastructure across the entire sector is being upgraded, encompassing cold storage facilities and supply chains. Fishing harbors are also being modernized.

Topic: Indian Economy/Financial Market

8. Domestic Textile Demand expanded to ₹14.95 lakh crore with changing consumer trends.

• A significant expansion in domestic textile demand to ₹14.95 lakh crore was reported through a comprehensive national survey released by Giriraj Singh.
• The report titled “Market for Textiles & Clothing: National Household Survey 2024” was prepared by the Textiles Committee to analyse consumption trends and market size.
• The market size was noted to have grown from ₹4.89 lakh crore in 2010 to ₹14.95 lakh crore in 2024, registering a CAGR of 8.3%.
• A major contribution was made by household consumption, which increased from ₹4.18 lakh crore in 2010 to ₹8.77 lakh crore in 2024.
• The domestic segment alone was valued at ₹12.02 lakh crore, indicating strong internal demand across the country.
• A rise in per capita expenditure from ₹2,119 in 2010 to ₹6,066 in 2024 was recorded, reflecting higher incomes and evolving lifestyles.
• A shift towards man-made fibre and blended products was observed, which accounted for 52.2% of the market, while cotton contributed 41.2%.
• The demand for MMF and blended textiles increased from ₹1.47 lakh crore to ₹4.47 lakh crore, while cotton demand rose to ₹3.53 lakh crore.
• Women were identified as the primary consumers, accounting for 55.5% of purchases compared to 44.5% by men.