Tensions in West Asia have escalated significantly as Iran and its allied groups launched missile strikes against Israel, Arab states, and U.S. military targets. The conflict has expanded to several fronts, resulting in casualties and the downing of multiple aircraft, including American F-15E Strike Eagles. In response, oil prices have surged by over 8%, hovering around $80 a barrel. The situation is further complicated by reports of Iran potentially shutting down the Strait of Hormuz, a critical maritime passage for global energy supplies. India is monitoring the situation closely, placing warships on standby for humanitarian operations under Operation Sankalp.
Iran's strikes targeted U.S. assets, Israel, and Gulf Arab states in response to previous attacks on its territory and nuclear facilities.
Global oil prices spiked significantly due to fears of supply disruptions in the Strait of Hormuz, which handles one-fifth of global oil.
The conflict has led to the death of Iranian Supreme Leader Ayatollah Ali Khamenei and his wife following strikes in Tehran.
Exam Points
Brent Crude Futures rose to nearly $79.15 per barrel during the escalation.
Operation Sankalp is the Indian Navy's initiative launched in 2019 to ensure maritime security in the Gulf region.
The Strait of Hormuz is a vital chokepoint through which approximately 20% of the world's oil consumption passes.
Prime Minister Narendra Modi and Canadian Prime Minister Mark Carney signed a landmark $1.9 billion, 10-year uranium supply deal for Indian nuclear power reactors. This agreement marks a significant step in resetting bilateral ties that were strained following the killing of activist Hardeep Singh Nijjar. Beyond energy, the two nations agreed to conclude the Comprehensive Economic Partnership Agreement (CEPA) within the year and established a Strategic Energy Partnership covering renewable energy and critical technologies. Canada also announced its decision to join the India-led International Solar Alliance (ISA) and the Global Biofuel Alliance as a member.
The 10-year uranium deal is valued at $1.9 billion and aims to fuel India's growing nuclear energy sector.
Both nations have committed to finalizing the Comprehensive Economic Partnership Agreement (CEPA) by the end of 2025 to double bilateral trade.
Canada has officially joined the International Solar Alliance (ISA) and the Global Biofuel Alliance, supporting India's green energy initiatives.
Exam Points
The uranium supply deal is worth $1.9 billion over a 10-year period.
Mark Carney is the first Canadian Prime Minister to make a bilateral visit to India since 2018.
The CEPA (Comprehensive Economic Partnership Agreement) aims to double bilateral trade between India and Canada by 2030.
India's Index of Industrial Production (IIP) growth slowed to 4.8% in January 2026, down from a 26-month high of 8% in December 2025. This broad-based slowdown affected manufacturing, mining, and electricity sectors. The manufacturing sector, a key component of the index, saw its growth decelerate to 4.8% from 8.4% in the previous month. However, the infrastructure and construction goods sector showed resilience, with growth quickening to 13.7%, the highest since August 2023. Analysts attribute the overall slowdown to a high base effect and cooling consumer demand in specific segments.
The IIP growth rate dropped to 4.8% in January 2026, marking a three-month low for industrial activity.
Manufacturing growth slowed significantly to 4.8% compared to 8.4% in December 2025.
Infrastructure and construction goods were the only sectors showing accelerated growth, reaching 13.7%.
Exam Points
January 2026 IIP growth was 4.8%, down from 8% in December 2025.
Infrastructure sector growth reached 13.7% in January 2026, the highest in nearly 2.5 years.
MoSPI (Ministry of Statistics and Programme Implementation) is the nodal agency for releasing IIP data in India.
The Indian government has updated the base year for Gross Domestic Product (GDP) and Gross Value Added (GVA) data to 2022-23 from the previous 2011-12. This long-overdue revision incorporates more accurate data sources, such as the Annual Survey of Unincorporated Sector Enterprises (ASUSE) and Periodic Labour Force Survey (PLFS), replacing outdated extrapolations. The new series adopts the 'double-deflator' approach to better account for inflation in intermediate and final products. While the new series predicts a 7.6% growth for FY26, the absolute size of the economy is estimated to be 3.3% smaller than previously projected.
The GDP base year has been shifted from 2011-12 to 2022-23 to improve statistical accuracy and representativeness.
The new methodology uses the 'double-deflator' approach to separate inflation effects on intermediate and final goods.
Data from GST and PLFS are now integrated into the national accounts for a more robust picture of the informal and consumer sectors.
Exam Points
The new GDP base year is 2022-23, replacing the 2011-12 series.
India's economy is pegged at ₹345.47 lakh crore for 2025-26 under the new series.
The double-deflator method is a key methodological improvement introduced in the new national accounts series.
Following the rationalization of the GST framework into a two-tiered structure of 5% and 18% in September 2025, gross collections reached ₹1.83 lakh crore in February 2026. However, a critical vulnerability has emerged: a 17% spike in import IGST collections. This rise is driven by India's heavy reliance on imports for semiconductors, crude oil, and metals, coupled with a weakening rupee. Import IGST now constitutes roughly 27% of gross GST collections. Experts warn that rising input costs due to higher import taxes could nullify the price relief intended by the GST rationalization for consumers.
GST was rationalized into a simplified two-tier structure (5% and 18%) in September 2025 to boost consumption.
Gross GST collections for February 2026 stood at ₹1.83 lakh crore, an 8.1% year-on-year increase.
Import IGST has risen to 27% of total collections, indicating a growing dependence on import-led revenues over domestic demand.
Exam Points
February 2026 GST collection was ₹1.83 lakh crore.
Import IGST rose by 17% year-on-year, reaching roughly ₹47,800 crore in February 2026.
India imports over 90% of its semiconductor requirements, making it sensitive to global price fluctuations.
In the case of Vishwaprasad Alva vs Union of India (2026), the Supreme Court is addressing the legality of extending tax searches to digital devices under Section 132 of the Income Tax Act. Historically limited to physical premises, searches now encompass smartphones, cloud accounts, and communication archives. The petitioner argues that unrestricted access to digital ecosystems violates the right to privacy established in the Puttaswamy judgment and Articles 14 and 21. The Union defends these powers as necessary to prevent tax evasion, while the Court seeks a balance between revenue enforcement and digital personhood.
Section 132 of the Income Tax Act allows for the seizure of undisclosed assets and now extends to 'computer systems.'
The petitioner claims digital searches are disproportionate and lack the safeguards required for informational privacy.
The Puttaswamy judgment (2017) recognized privacy as an intrinsic part of the right to life and dignity under Article 21.
Exam Points
Section 132 of the Income Tax Act governs search and seizure powers of tax authorities.
The Puttaswamy judgment (2017) is the landmark case that established the Right to Privacy as a Fundamental Right.
Articles 14 (Right to Equality) and 21 (Right to Life and Liberty) are the primary constitutional provisions cited in the challenge.
The Supreme Court has decided to examine whether blood banks should be mandated to conduct the Nucleic Acid Test (NAT) for identifying diseases like HIV, Hepatitis B, and Hepatitis C. Currently, the less sensitive Enzyme-Linked Immunosorbent Assay (ELISA) test is more common. The petition, filed by an NGO, argues that safe blood transfusion is a fundamental part of the Right to Life under Article 21. The move follows reports of children contracting HIV through contaminated blood transfusions during treatment for Thalassemia. The Court has asked for data on the cost-effectiveness and feasibility of implementing NAT in state-run hospitals.
NAT is a highly sensitive molecular technique that detects the genetic material of viruses, reducing the 'window period' for detection.
The petition highlights that Thalassemia patients are particularly vulnerable due to frequent blood transfusions and contaminated blood risks.
Article 21 of the Constitution (Right to Life) is being invoked to demand safer medical procedures across all state hospitals.
Exam Points
NAT stands for Nucleic Acid Test; ELISA stands for Enzyme-Linked Immunosorbent Assay.
Article 21 of the Indian Constitution guarantees the Right to Life and Personal Liberty.
Thalassemia is an inherited blood disorder where the body fails to produce enough hemoglobin.
Pakistan and Afghanistan have engaged in intense military clashes along the Durand Line, marking a significant breakdown in their bilateral relationship. Pakistan has conducted air and missile strikes inside Afghanistan, targeting Tehrik-e-Taliban Pakistan (TTP) members, while the Taliban has retaliated against Pakistani military posts. The conflict stems from Pakistan's accusation that the Taliban provides a safe haven for the TTP, which has increased attacks within Pakistan. This 'open war' reflects a deep-seated mistrust between the Pakistani establishment and the Taliban leadership, despite their historical ties and shared religious ideology.
The Durand Line is the 2,640-kilometer border between Afghanistan and Pakistan, which the Taliban does not formally recognize.
Pakistan's military action follows a surge in militant activity by the TTP (Tehrik-e-Taliban Pakistan) targeting Pakistani security forces.
The conflict has displaced thousands and disrupted trade, particularly at the Karachi port which Afghanistan relies on for imports.
Exam Points
The Durand Line was established in 1893 as the border between British India and the Emirate of Afghanistan.
TTP stands for Tehrik-e-Taliban Pakistan, a militant group operating along the Afghan-Pak border.
The latest major escalation in clashes occurred in February 2026.
Proposed changes to University Grants Commission (UGC) regulations have sparked a debate over caste privileges and social justice in Indian higher education. The new regulations aim to include OBCs and other vulnerable groups (like EWS) alongside SC/STs in institutional safeguards against discrimination. However, the reforms have faced opposition from social elites and have stalled due to political hesitations. Data shows that OBCs constitute less than 3% of central university faculty, highlighting a significant gap in representation. The debate underscores the challenge of balancing 'meritocracy' with the constitutional mandate for inclusive social justice.
New UGC regulations seek to expand social justice frameworks to include OBCs and EWS in university campuses.
Opposition from elite groups has led to the policy being put in abeyance by the judiciary and the government.
A report on faculty recruitment shows OBC representation in central universities is disproportionately low at less than 3%.
Exam Points
The Bihar Caste Survey, which influenced the reservation debate, was released in 2023.
OBC representation in central university faculty is currently reported to be below 3%.
The UGC (University Grants Commission) is the statutory body responsible for maintaining standards in higher education.
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