31 December 2025 - Current Affairs for Competitive Exams
Why Today's Current Affairs Matter: Daily current affairs are essential for competitive exams including UPSC, SSC, Banking, Railway, and Defence. Today's news covers major national developments, international events, economic updates, and scientific achievements that directly impact exam preparation and question patterns.
Section 1: India – National Current Affairs
1. Defence Acquisition Council Approves Rs 79,000 Crore Procurement
The Defence Acquisition Council (DAC), chaired by Defence Minister Rajnath Singh, approved procurement proposals worth Rs 79,000 crore covering Indian Army, Navy, and Air Force acquisitions. This decision strengthens India's defence capabilities across all three services. Exam Relevance: Important for Defence Services exams, UPSC Mains (Internal Security), and questions on defence modernization and procurement policies.
2. Union Home Minister Amit Shah Addresses Conference in Kolkata
Union Home Minister Amit Shah held a press conference in Kolkata on December 30, 2025, addressing security and political matters in West Bengal. He was accompanied by West Bengal Leader of Opposition Suvendu Adhikari and state BJP President Samik Bhattacharya. Exam Relevance: Questions on Centre-State relations, federal structure, and current political developments in West Bengal.
3. India Becomes World's Fourth-Largest Economy
India officially overtook Japan as the world's fourth-largest economy with a GDP of USD 4.18 trillion, according to government's year-end economic review released on December 30, 2025. India now aims to surpass Germany within three years. Exam Relevance: Critical for Economics section in all competitive exams, questions on GDP rankings, economic growth, and India's global economic position.
4. NIA Launches Lost, Looted, Recovered Weapons Database (LLRWD)
The National Investigation Agency (NIA) prepared India's first-ever weapons database (LLRWD) to track government weapons that are lost, stolen, looted, or recovered from state police forces and Central Armed Police Forces (CAPFs). Union Minister Amit Shah also honored nine NIA personnel with Sewa Padak and Veerta Padak. Exam Relevance: Important for Internal Security questions, UPSC Prelims/Mains, and questions on NIA's role and mandate.
5. Ministry Notifies Shipbuilding Initiatives Worth Rs 44,700 Crore
In December 2025, the Ministry of Ports, Shipping & Waterways (MoPSW) notified operational guidelines for the Shipbuilding Financial Assistance Scheme (SBFAS) and Shipbuilding Development Scheme (SbDS) with a total budget of Rs 44,700 crore, valid until March 31, 2036. Exam Relevance: Questions on maritime sector development, Make in India, Atmanirbhar Bharat, and government schemes.
6. Union Minister Releases IS 19262:2025 for Electric Agricultural Tractors
On December 24, 2025, Union Minister Pralhad Joshi unveiled Indian Standard (IS) 19262:2025 'Electric Agricultural Tractors – Test Code' on National Consumer Day at Bharat Mandapam, New Delhi, promoting sustainable agriculture and electric vehicle adoption in farming. Exam Relevance: Questions on agriculture modernization, electric vehicles, standardization, and sustainable development.
7. Supreme Court Stays Aravalli Hills Judgment
The Supreme Court stayed its November 20 judgment that accepted a 100-metre elevation criterion for defining the Aravalli hills, following nationwide protests by environmental groups. The stay pauses the height-based definition pending further review. Exam Relevance: Environmental law, judicial activism, conservation issues, UPSC Mains Environment and GS Paper 2.
8. Successful Test of Pinaka Long Range Guided Rocket
India successfully tested the Pinaka Long Range Guided Rocket, enhancing its artillery capabilities. The increased range and accuracy provide strategic advantages on China and Pakistan borders. Exam Relevance: Defence technology, indigenous weapon systems, strategic security for Defence Services and UPSC exams.
9. AAP Unveils 2026 MCGM Election Manifesto
AAP leaders including Atishi Marlena, Preeti Sharma Menon, and Ruben Mascarenhas unveiled the party manifesto for the 2026 MCGM (Municipal Corporation of Greater Mumbai) general elections at Mumbai Press Club on December 30, 2025. Exam Relevance: Urban governance, municipal elections, political developments in Maharashtra.
10. Republic Day Celebrations Rehearsals Begin
President's Bodyguard on horses conducted rehearsals at Kartavya Path in New Delhi ahead of Republic Day 2026 celebrations, showcasing India's military tradition and ceremonial excellence. Exam Relevance: National symbols, Republic Day significance, constitutional importance for all exams.
Section 2: International Current Affairs
1. Bangladesh's First Female PM Khaleda Zia Dies at 80
Former Bangladesh Prime Minister Khaleda Zia died on December 30, 2025, at Evercare Hospital in Dhaka after prolonged illness. She served as PM from 1991-1996 and 2001-2006 and was Bangladesh's first female prime minister. Bangladesh declared three days of state mourning. Exam Relevance: International Relations, India-Bangladesh relations, political developments in neighboring countries, obituary questions.
2. China Conducts Military Drills Around Taiwan
China's People's Liberation Army conducted large-scale military drills around Taiwan as part of "Justice Mission 2025" on December 30, 2025, simulating a blockade of key Taiwanese ports in the largest exercise covering more area than ever before. Exam Relevance: India-China relations, Indo-Pacific security, One China Policy, international security issues for UPSC Mains.
3. US and Israel Meet Over Gaza Peace Plan
President Donald Trump and Israeli Prime Minister Benjamin Netanyahu met in Florida on December 29, 2025, but announced no progress on the next phase of the Gaza peace plan. The second phase includes Hamas disarmament and reconstruction in Gaza. Exam Relevance: West Asia conflicts, Israel-Palestine issue, US foreign policy, international organizations for UPSC/CDS.
4. Search for Malaysia Airlines Flight MH370 Resumes
Malaysia announced on December 30, 2025, that the search for Malaysia Airlines Flight 370 will resume with Ocean Infinity conducting a 55-day underwater search in the southern Indian Ocean under a "no-find, no-fee" agreement. Exam Relevance: Aviation disasters, international cooperation, search and rescue operations.
5. UN Elects New High Commissioner for Refugees
The United Nations General Assembly elected former Iraqi President Barham Salih as the next High Commissioner for Refugees, succeeding Filippo Grandi whose term ends December 31, 2025. Exam Relevance: International organizations, UN bodies, refugee crisis management for UPSC and SSC exams.
6. Somalia Condemns Israel's Recognition of Somaliland
Somalia condemned Israel's recognition of breakaway region Somaliland, calling it a "direct and grave threat to international peace and security" in a letter to the UN Security Council. Israel became the first country to recognize Somaliland as independent, triggering demonstrations across Somalia. Exam Relevance: International law, territorial integrity, diplomatic recognition, African affairs for UPSC Mains.
7. Mass Stabbing Incident in Taiwan
Three people were killed and five injured in a mass stabbing near a subway station in Taipei, Taiwan, on December 30, 2025. The perpetrator, who also threw smoke bombs, died during the chase with police. Exam Relevance: Internal security issues, public safety concerns, contemporary world events.
8. Pakistan Court Sentences Imran Khan to 17 Years
A Pakistani court sentenced former Prime Minister Imran Khan and his wife Bushra Bibi to 17 years in prison after finding them guilty of corruption-related charges in December 2025. Exam Relevance: India-Pakistan relations, political developments in neighboring countries, South Asian affairs.
Section 3: Economy & Banking
1. RBI Reduces Repo Rate to 5.25%
The Reserve Bank of India's Monetary Policy Committee, led by Governor Sanjay Malhotra, reduced the repo rate by 25 basis points to 5.25% in December 2025 (from 6.50% in February to 5.25% by December), marking the most aggressive rate cut since 2019 to support economic growth. Exam Relevance: Monetary policy, RBI functions, repo rate mechanism, inflation control for Banking, SSC, and UPSC exams.
2. India's GDP Growth Reaches 8.2% in Q2
India's real GDP growth accelerated to 8.2% in Q2 (July-September) of 2025-26, the highest in six quarters, driven by resilient domestic demand and festive spending despite global uncertainties. Exam Relevance: Economic indicators, GDP calculations, growth drivers for all competitive exams.
3. Inflation Falls to Record Low 0.3%
Retail inflation (CPI) plummeted to a record low of 0.3% in October 2025, breaching the RBI's lower tolerance threshold of 2% for the first time since flexible inflation targeting adoption, primarily due to correction in food prices. Exam Relevance: Inflation measurement, monetary policy targets, price stability for Banking and Economic sections.
4. Banking Sector Shows Multi-Decade Best Performance
According to RBI's "Trend and Progress of Banking in India" report, Scheduled Commercial Banks achieved Gross NPA ratio of 2.05-2.1%, the lowest in several decades, with Capital to Risk Weighted Assets Ratio (CRAR) at 17.24%, well above Basel III requirement of 11.5%. Exam Relevance: Banking sector health, NPA management, Basel norms for Banking exams and UPSC.
5. India's Rupee Performance in 2025
The Indian rupee weakened by 4-5% against the US dollar in 2025, from 86.23 in January to close to 90 by mid-December, emerging as Asia's worst-performing currency amid US trade tensions and tariff concerns. Exam Relevance: Foreign exchange management, currency markets, external sector issues for Economics section.
6. Financial Inclusion Index Improves
RBI's Financial Inclusion Index improved to approximately 67 in 2025, showing wider access to accounts, credit, insurance, and digital payments across India. Exam Relevance: Financial inclusion initiatives, digital banking, government schemes for all exams.
Section 4: Science, Technology & Environment
1. ISRO Launches Heaviest Satellite BlueBird-6
ISRO successfully launched the US-built AST SpaceMobile communications satellite BlueBird-6 (weighing 6,100 kg) on December 24, 2025, using LVM3-M6 rocket—the heaviest payload ever launched from Indian soil, demonstrating India's heavy-lift launch capabilities. Exam Relevance: Space technology, ISRO achievements, commercial space activities, satellite applications for Science & Technology sections.
2. SpaDeX Mission Achieves Successful Docking
India became the fourth country (after USA, Russia, and China) to achieve successful space docking through the SpaDeX mission. Two small spacecraft successfully docked and undocked in orbit on January 16, 2025, demonstrating power transfer capabilities essential for future space stations. Exam Relevance: Space technology milestones, indigenous capabilities, Gaganyaan mission preparation for competitive exams.
3. Indian Astronaut Shubhanshu Shukla Returns from ISS
Group Captain Shubhanshu Shukla became the first Indian to stay aboard the International Space Station as part of Axiom-04 mission, spending 18 days conducting microgravity experiments and completing seven Indian science experiments before returning safely in July 2025. Exam Relevance: Human spaceflight, India-US space cooperation, ISRO achievements for Science sections.
4. ISRO's 100th Launch Milestone
On January 29, 2025, ISRO reached a historic milestone by completing its 100th launch from Sriharikota, demonstrating consistent progress in India's space program over decades. Exam Relevance: Space program achievements, launch vehicle technology, ISRO's role in national development.
5. India Develops First 32-bit Space Microprocessors
ISRO delivered its first fully indigenous 32-bit space-grade microprocessors—VIKRAM3201 and KALPANA3201—developed with SCL Chandigarh in March 2025, advancing self-reliance in critical space technology components. Exam Relevance: Atmanirbhar Bharat, semiconductor technology, space applications for Science & Technology questions.
6. Gaganyaan Mission Parachute Tests Successful
ISRO successfully completed parachute tests for Gaganyaan crew module on December 18-19, 2025, testing drogue parachutes using rocket sleds in Chandigarh. These tests ensure astronaut safety for India's planned human spaceflight mission in 2027. Exam Relevance: Human spaceflight program, safety systems, ISRO's Gaganyaan mission for all competitive exams.
7. Third Launch Pad Planned at Sriharikota
ISRO is developing a third launch pad at Satish Dhawan Space Centre, Sriharikota, to be completed within 4 years for next-generation launch vehicles capable of placing satellites weighing 12,000-14,000 kg, supporting both crewed and uncrewed missions. Exam Relevance: Space infrastructure, future missions, capacity building in space sector.
Section 5: Sports & Important Days
1. Premier League Festive Fixtures
The Premier League continues with midweek fixtures on December 30, 2025, including top-of-the-table clash Arsenal vs Aston Villa (8:15 PM) and Manchester United vs Wolverhampton (8:15 PM), with all 10 matches across December 30 and January 1 live on Sky Sports. Exam Relevance: International sports events, football tournaments for general awareness sections.
2. NBA Games Scheduled
Four NBA games scheduled for December 30, 2025, including Philadelphia 76ers vs Memphis Grizzlies and Los Angeles Lakers vs Detroit Pistons. LeBron James celebrated his birthday playing against the Pistons. Exam Relevance: International sports, major sporting events, sports personalities for general awareness.
3. Chicago Bears NFL Developments
Chicago Bears lost to San Francisco 49ers 42-38 in Week 17, with rookie WR Luther Burden III suffering a quad injury. Bears still can clinch No. 2 seed in NFC playoffs with Week 18 victory against Detroit Lions. Exam Relevance: International sports, NFL playoffs system for sports current affairs.
4. Patriots' Stefon Diggs Faces Legal Charges
New England Patriots wide receiver Stefon Diggs faced felony strangulation and assault charges on December 30, 2025, with NFL considering disciplinary action pending legal proceedings. Exam Relevance: Sports ethics, legal aspects in professional sports.
5. Important Day - Fast of 10th of Tevet
December 30, 2025, marks the Jewish fast day of 10th of Tevet, commemorating the siege of Jerusalem. Israeli President Isaac Herzog addressed this occasion at a Bible studies event, calling for statesmanlike investigation into October 7 failures. Exam Relevance: Religious observances, cultural awareness, West Asian affairs.
Quick Revision Points for MCQ Preparation
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Khaleda Zia, Bangladesh's first female PM, died on December 30, 2025, at age 80; Bangladesh declared 3 days of state mourning.
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India became the world's 4th largest economy with GDP of USD 4.18 trillion, overtaking Japan in 2025.
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RBI repo rate reduced to 5.25% in December 2025 (25 bps cut) under Governor Sanjay Malhotra.
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ISRO launched BlueBird-6 (6,100 kg) on December 24, 2025—the heaviest satellite from Indian soil.
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India became 4th country to achieve successful space docking (SpaDeX mission) after USA, Russia, and China.
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LLRWD - India's first Lost, Looted, Recovered Weapons Database prepared by NIA.
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Shipbuilding schemes (SBFAS and SbDS) worth Rs 44,700 crore notified, valid until March 31, 2036.
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India's GDP growth reached 8.2% in Q2 of 2025-26, highest in six quarters.
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Retail inflation fell to record low of 0.3% in October 2025, below RBI's 2% lower tolerance limit.
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Banking sector GNPA ratio declined to 2.05-2.1%, the lowest in several decades.
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China conducted military drills around Taiwan under "Justice Mission 2025" on December 30, 2025.
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Barham Salih (former Iraqi President) elected as new UN High Commissioner for Refugees.
Note for Aspirants: Focus on numerical data (Rs 44,700 crore, 5.25% repo rate, 8.2% GDP growth), names of personalities (Khaleda Zia, Sanjay Malhotra, Barham Salih), and schemes/initiatives (LLRWD, SBFAS, SpaDeX) as these form the basis of direct questions in competitive exams. Revise international developments particularly concerning neighbors (Bangladesh, Pakistan, China) for UPSC Mains and Prelims.
