🗞️ National Current Affairs (India)
India-US Trade Agreement Reduces Tariffs and Promotes Growth
On 03.02.2026, India and the United States finalized a major trade deal to reduce U.S. tariffs on Indian exports from around 50% to 18%, aiming to boost bilateral trade volume and reduce global uncertainty in markets.
India agreed to increase purchases of U.S. energy and agricultural products potentially worth $500 billion, strengthening economic ties and cross-border investment collaboration.
RBI Monetary Policy Outlook
Reserve Bank of India is projected to maintain the Key Repo Rate at 5.25% through 2026 after a cumulative reduction of 125 basis points since February 2025.
Inflation is expected to average 2.1% in FY26, while GDP growth forecasts at 7.4% for this fiscal year, decelerating slightly later due to macroeconomic factors.
Government Proposes High-Level Banking Review Committee
In the Union Budget 2026-27, Finance Minister proposed a high-level committee to assess and strategize the future of India’s banking sector under the Viksit Bharat 2047 vision, focusing on digital finance, enhanced bank coverage, and stronger regulatory frameworks.
Major Banks Revise Charges and Credit Card Features
Effective February 2026, leading Indian banks (SBI, HDFC Bank, ICICI Bank, Punjab National Bank) updated service charges, credit card benefits, and transaction fees to align with new regulations and customer service strategies.
Plans to Increase FDI in State-Run Banks
The Indian government is exploring proposals to raise the foreign direct investment (FDI) cap in public sector banks from 20% to 49%, aiming to attract global inflows and strengthen capital buffers for future expansion.
🌍 International Current Affairs
External Affairs Engagement on Critical Minerals
On 03.02.2026, India’s External Affairs Minister met U.S. Secretary of State Marco Rubio in Washington ahead of a Critical Minerals Ministerial Meet scheduled for 04.02.2026.
Focus areas include securing supply chains of strategic minerals key to technologies such as EV batteries and clean energy infrastructure.
2026 Winter Olympics Commence (International Sports)
The 2026 Winter Olympics in Milan and Cortina d’Ampezzo, Italy will begin 04–22 February 2026.
The opening ceremony is scheduled for 06.02.2026 at San Siro Stadium, highlighting cultural showcases and Olympic cauldron lighting.
Events start from 04.02.2026 with alpine skiing, followed by biathlon, figure skating, ice hockey, and newly introduced ski mountaineering events. This is a major multi-nation sporting spectacle.
Insurgency and Security Situation in Balochistan (Regional Security)
The 2026 Balochistan attacks saw significant militant activity from 29.01.2026 to 02.02.2026 with counterterrorism operations continuing into early February.
Reported casualties include militants, security forces, and civilians, highlighting ongoing internal security challenges.
💼 Economy & Banking Sector Current Affairs
World Bank Annual Financing Framework with India
India and the World Bank Group announced a new financing partnership providing $8–10 billion annuallyover the next five years for infrastructure, agribusiness, healthcare, tourism, and skill development programs that align with long-term economic growth targets.
IRDAI Reconstitutes Reinsurance Advisory Committee
The Insurance Regulatory and Development Authority of India reconstituted the Reinsurance Advisory Committee for a three-year term, chaired by V. Girija Kumar, to strengthen guidance on reinsurance issues.
SBI Launches CHAKRA Initiative for Sunrise Sectors
State Bank of India has launched CHAKRA (Centre of Excellence) focusing on financing emerging sectors such as renewable energy, electric vehicles, green hydrogen, semiconductors, and decarbonization, with a projected ₹100 trillion investment potential over five years.
Union Budget 2026 Key Impact Points
Introduction of SHE Marts to support women entrepreneurs.
Budget allocation of approximately ₹73,990.94 crore to Dept of Telecommunications while enhancing capital support for BSNL.
Excise changes will increase cigarette prices up to ₹55 per pack to boost public health outcomes.
Expansion of astronomy infrastructure and launch of Bharat-VISTAAR AI advisory platform for farm productivity enhancement.
🏆 Sports Current Affairs
Winter Olympics 2026 Official Start
International sporting events kick off on 04.02.2026 with multiple medal events scheduled throughout the Olympics through 22.02.2026.
2026 World Grand Prix (Snooker) Underway
The 2026 World Grand Prix in snooker is being held at Kai Tak Arena, Hong Kong from 03–08 February 2026, featuring the world’s top 32 players vying for ranking points and a share of the £700,000 prize fund.
🧠 Exam-Oriented Summary Points
India-US Trade Deal reduces tariffs and strengthens bilateral trade ties.
RBI Expected to Hold Interest Rates at 5.25% through the year.
Budget 2026 Initiatives include high-level banking review and SHE Marts.
FDI cap in state-run banks might increase to 49%.
India secures strategic mineral cooperation with the U.S.
Winter Olympics 2026 begins on 04.02.2026; opening on 06.02.2026.
World Bank to finance India with $8–10 billion annually.
SBI’s CHAKRA initiative targets ₹100 trillion investment sectors.
Snooker: World Grand Prix ongoing (03–08.02.2026).
