Digest for 23 July, 2025

Cabinet Approves India-UK Free Trade Agreement

The Union Cabinet has approved a comprehensive free trade agreement (FTA) with the United Kingdom, set to be signed in London on July 24. This landmark pact, India's most ambitious to date, aims to double bilateral trade to $120 billion by 2030. It proposes removing tariffs on key exports like leather and textiles while making UK imports such as cars and whisky cheaper. The agreement also covers critical areas including services, investment, intellectual property rights, and government procurement.

Supreme Court to Examine Presidential Power Over State Legislation

The Supreme Court has issued notices to the Centre and all states on a Presidential Reference questioning a previous court verdict that imposed time limits on Governors and the President for giving assent to bills. This sets the stage for a crucial constitutional hearing on the scope of executive power over state legislatures. The issue has been a major source of friction between several state governments and the Centre, and the outcome will have profound implications for federalism.

US Announces Withdrawal From UN Cultural Agency UNESCO

The United States announced it will withdraw from UNESCO for the third time, effective December 2026, reversing its decision to rejoin just two years ago. The Trump administration cited the UN agency's perceived anti-Israel bias and promotion of "woke, divisive cultural and social causes" as the primary reasons. The move marks a significant shift in US foreign policy and is expected to impact UNESCO's funding and global standing, as the US was a major contributor to its budget.

Trump Claims He Averted Impending India-Pakistan Nuclear War

US President Donald Trump claimed he recently stopped a conflict between India and Pakistan that he said was escalating into a potential nuclear war. Speaking at the White House, Trump asserted that after five planes were shot down, he intervened by threatening trade consequences to de-escalate the situation. While India has consistently denied any US mediation in its conflicts with Pakistan, the repeated claims from a sitting US president introduce a significant and volatile element into the subcontinent's diplomacy.

Indian Army Receives First Batch of US-Made Apache Helicopters

The Indian Army has taken delivery of the first three of six AH-64E Apache attack helicopters from the United States. The advanced, heavily armed aircraft arrived in India via a transport plane and will significantly enhance the Army Aviation Corps' offensive capabilities, particularly in challenging high-altitude terrains. The acquisition, part of a ₹5,691-crore deal, marks a key milestone in India's military modernisation and deepens the strategic defense partnership between India and the US.