Digest for 26 July, 2025
India Extends $565 Million Credit Line to Maldives, Resets Ties
India has extended a $565 million (₹4,850 crore) line of credit to the Maldives to bolster a strategic reset in bilateral relations. During a state visit by PM Narendra Modi, the two nations also agreed to negotiate a Free Trade Agreement and advance a bilateral investment treaty. The move signals a significant diplomatic and economic realignment after a period of strained ties under President Mohammed Muizzu's government, aiming to counter growing Chinese influence and reinforce India's 'Neighbourhood First' policy.
Government Bans 25 OTT Platforms for Obscene Content
The Indian government has directed internet service providers to block 25 Over-The-Top (OTT) platforms, including popular services like ALTT and Ullu, for streaming obscene and pornographic content. The Ministry of Information and Broadcasting stated the platforms violated several Indian laws. The move follows multiple warnings and concerns raised by child rights bodies and the Supreme Court. In response, Balaji Telefilms clarified that Ekta Kapoor and Shobha Kapoor have had no association with ALTT since June 2021.
India Successfully Tests Indigenous Drone-Launched Missile
The Defence Research and Development Organisation (DRDO) successfully test-fired a new UAV-Launched Precision-Guided Missile (ULPGM) in Kurnool, Andhra Pradesh. The missile, launched from an indigenous UAV, can strike various targets day or night and has multiple warhead options for use against tanks and bunkers. This marks a significant step in India's 'Aatmanirbhar Bharat' initiative and enhances its drone warfare capabilities. The government has also allocated ₹723 crore to develop an engine for the 'Ghatak' combat drone.
Lok Sabha to Initiate Removal Proceedings Against High Court Judge
The Lok Sabha is set to take up a bipartisan motion, signed by 152 MPs, to remove Allahabad High Court Justice Yashwant Varma over corruption allegations. The move follows an inquiry by a Supreme Court-appointed committee that indicted the judge after wads of half-burnt currency were found at his residence. A similar notice filed by the opposition in the Rajya Sabha was not admitted, clearing the way for proceedings to begin in the lower house, a rare and significant step for judicial accountability.
Future Rate Cuts Depend on Inflation Outlook, Not Current Data, Says RBI Governor
Reserve Bank of India Governor Sanjay Malhotra clarified that future interest rate cuts will be determined by the outlook for inflation and growth, not just the current low inflation numbers. Speaking in Mumbai, he noted that monetary policy operates with a lag and must consider projections up to 12 months ahead. While June's retail inflation was low at 2.1%, the RBI's forecast anticipates a rise to 4.4% by Q4, tempering expectations for immediate further easing in monetary policy.