India’s Urban Engine
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Why in News: India is rapidly urbanizing, with its urban population set to surge, shaping its economic and social future. However, urban challenges are hindering its full potential.
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Cities as Economic Engines:
- Contribute ~60% of India’s GDP on only 3% of land, highlighting productivity and innovation.
- Just 15 cities account for 30% of GDP and are projected to add 1.5% more by 2047.
- Agglomeration benefits (density) boost economic output and job creation.
- Enhance global competitiveness and ease of doing business, crucial for economic growth ambitions.
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Urban Challenges:
- Congestion: 1.5-2 hours daily lost in traffic, costing billions annually due to poor public transport and infrastructure.
- Pollution: India has many of the world’s most polluted cities, impacting health.
- Water Scarcity: Polluted rivers and poor infrastructure lead to significant water loss.
- Waste Management: Low processing rates and poor segregation create pollution and health hazards.
- Sanitation: Inadequate facilities in many urban areas, especially informal settlements.
- Affordable Housing: A significant shortage leading to slums and potential social issues.
- Urban Flooding: Caused by inadequate drainage and encroachment, exacerbated by extreme weather.
- Weak Municipal Finances: Low revenue generation limits investment in urban development.
- Digital Deficits: Slower internet speeds hinder digital economy growth.
- Urban Heat Island: Increases energy demand, emissions, and health risks.
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Needed Reforms:
- Treat Urban Infrastructure as Core: Elevate urban infrastructure to national priority status.
- Synchronize Urban Expansion: Integrate housing, commerce, and transport for efficient growth.
- Unified Governance: Streamline urban planning with tech-enabled, accountable bodies.
- Sanitation/Waste as Economic Priorities: Adopt industry-led models for sustainable management.
- Recapitalize PPPs: Redefine Public-Private Partnerships to attract long-term capital.
- Co-Develop Digital Backbone: Collaborate with industry for smart city infrastructure.
- Climate Resilience: Integrate adaptive infrastructure and green spaces into planning.
- Societal Engagement: Co-create reforms with citizens and industry for legitimacy.
India-Brazil Pillars
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Why in News: Indian Prime Minister’s state visit to Brazil reaffirmed commitment to the Strategic Partnership, focusing on five priority pillars. PM Modi received Brazil’s highest state honor.
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Five Priority Pillars:
- Defense and Security: Deepened cooperation via classified information exchange, combating terrorism and organized crime, and cybersecurity dialogue.
- Food & Agricultural Security: Focus on sustainable agriculture, food access, joint R&D, and opposing trade barriers. Support for Global Alliance Against Hunger and Poverty.
- Energy Transition & Climate Action: Emphasis on sustainable biofuels, flex-fuel vehicles, strengthening the Global Biofuels Alliance, and supporting Brazil’s COP30 Presidency.
- Digital Transformation & Emerging Technologies: Collaboration on digital public infrastructure, AI, quantum technologies, renewable energy, and outer space via Joint Commission.
- Industrial Partnerships: Collaboration in pharmaceuticals, mining/critical minerals, and oil & gas, addressing non-tariff barriers and promoting investment. Launch of Brazil-India Business Council.
Indo-Namibia & Africa
- PM Modi’s State Visit to Namibia: First by an Indian PM in 27 years, reinforcing India’s commitment to partnership with Africa based on dialogue, not dominance.
- Namibia’s UPI Adoption: Namibia becomes the first country globally to sign a licensing agreement for India’s UPI technology, signifying digital cooperation.
- Namibia Joins CDRI & GBA: Namibia’s acceptance letters for the Coalition for Disaster Resilient Infrastructure and Global Biofuels Alliance highlight shared development goals.
- Highest Civilian Award: PM Modi conferred Namibia’s highest civilian award, the Order of the Most Ancient Welwitschia Mirabilis, recognizing strong bilateral ties.
- Historical Support: India’s early UN advocacy for Namibian independence (1946) and support for SWAPO’s liberation struggle were highlighted.
- “Build Together” Approach: India aims to cooperate with Africa, focusing on value creation and sustainable growth, not competition or resource extraction.
- Key Agreements: MoUs signed for an Entrepreneurship Development Centre and health cooperation, alongside the UPI licensing agreement.
- Strategic Importance of Africa: Vital for India’s maritime trade, economic growth (AfCFTA), securing critical minerals, and diplomatic leverage as a global bloc.
- Challenges: Sluggish investment, credibility issues with exports, regional imbalances in engagement, complex security landscape, and resource competition with China.
Inequality Metrics
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Government’s Claim vs. Reality: India’s claim of being “one of the most equal societies” (Gini 25.5) based on consumption data is contested by academic studies showing rising income inequality (Gini 62).
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Gini Coefficient Explained: Measures income/wealth inequality from 0 (perfect equality) to 1 (perfect inequality).
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Data Discrepancy: India’s consumption Gini improved (28.8 to 25.5), while income inequality (World Inequality Database) rose (52 to 62). Wage disparity remains high (top 10% earn 13x bottom 10%).
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Consumption vs. Income Gini: Consumption Gini underestimates inequality as rich people save more, making income more volatile and indicative of disparity.
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Survey Limitations: Differential non-response from the rich and under-sampling of top earners lead to an underestimation of inequality.
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Alternative Data Sources: World Inequality Lab uses income tax data, showing rising inequality, and recommends combining survey data with tax data for accuracy.
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Gini Index Limitations: Insensitive to extremes, overly sensitive to the middle. The Palma Ratio (top 10% vs. bottom 50% income share) is suggested as a clearer measure.
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Way Forward: Combine survey and income tax data, use multiple inequality measures, and focus on inclusive growth.
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News Significance: Inaccurate inequality measurement can lead to ineffective or counterproductive policies. Relying solely on limited Gini data obscures the true economic disparity.
SPM 125th Birth Anniversary
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Two-Year Nationwide Commemoration Launched: The Ministry of Culture has initiated a two-year (July 6, 2025 – July 6, 2027) nationwide celebration of Dr. Syama Prasad Mookerjee’s 125th birth anniversary. This event honors his significant role in India’s political, educational, and industrial development.
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Inaugural Events and Releases: The commemoration began in New Delhi with an event attended by Union Minister of Culture and Tourism, Shri Gajendra Singh Shekhawat. A special postage stamp and a ₹125 commemorative coin were released, symbolizing his contributions to national unity and self-reliance.
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Emphasis on National Unity: A central theme is Dr. Mookerjee’s advocacy for “one nation, one flag, one Constitution” and his strong opposition to Article 370, highlighting his efforts for Jammu and Kashmir’s integration. This is reflected in remarks about fearless “Tiranga Yatras” in Kashmir and the implementation of all Indian laws there.
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Educational and Industrial Contributions: The commemoration also focuses on his achievements as the youngest Vice-Chancellor of Calcutta University and India’s first Minister for Industry and Supply, recognizing his impact on educational reform and industrial development.
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Nationwide Outreach and Activities: Numerous exhibitions, outreach programs, workshops, and screenings are being organized across India, including in states like Sikkim and Assam, to showcase his life, philosophy, and ideals to future generations.
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Legacy and Inspiration: The events aim to inspire citizens by reflecting on Dr. Mookerjee’s vision for a self-reliant and united India. His principled stands, even leading to resignation from government, and his early opposition to partition are highlighted as defining aspects of his character.
Cat Bonds: Crisis & Risk
- Increased Disaster Frequency & Intensity: Climate change is leading to more frequent and severe natural disasters, exposing populations with low insurance penetration to significant losses.
- Why News: Highlights the urgent need for innovative financial solutions beyond traditional insurance.
- Catastrophe Bonds (Cat Bonds): Hybrid financial instruments that securitize disaster risks, transforming insurance cover into tradable securities. They allow governments to transfer disaster risk to a wider pool of investors.
- Why News: Offers a new mechanism for governments to access large, immediate funds for post-disaster relief and reconstruction.
- Mechanism: Governments pay premiums and define risk parameters. Institutions like the World Bank or reinsurance companies issue bonds. Investors (e.g., pension funds, hedge funds) buy them for diversification and higher returns.
- Why News: Explains the operational aspects and the role of various financial actors in disaster risk transfer.
- Risk & Returns: Investors earn higher coupons due to the risk of principal loss if a disaster occurs, with premium rates varying by disaster type (e.g., lower for earthquakes, higher for cyclones).
- Why News: Clarifies the risk-reward profile for investors, crucial for market participation.
- Advantages: Provide immediate liquidity post-disaster, shift financial burden to global markets, and incentivize proactive risk reduction measures.
- Why News: Underscores the practical benefits for governments and disaster preparedness.
- Disadvantages: Risk of poorly designed triggers leading to non-payouts despite significant damage, and potential questioning of premium expenses if no disaster occurs.
- Why News: Points out critical design flaws and the perception challenges of paying for protection that isn’t triggered.
- India’s Need & Advantage: India’s vulnerability to extreme weather events necessitates cat bonds to protect public finances from fiscal shocks and leverage its strong financial reputation for global investor trust.
- Why News: Assesses the specific relevance and benefits for India in managing its disaster risk.
- Regional Cat Bonds: India could sponsor regional cat bonds for South Asia, spreading risks across multiple countries and diverse disaster types, reducing individual premium costs, and enhancing regional resilience.
- Why News: Proposes a strategic, collaborative approach for enhanced disaster financing and resilience in the region.
Cat Bonds
- Risk Transfer Mechanism: Cat bonds shift natural disaster risk from insurers/governments to capital markets.
- How They Work: Investors lend money to an issuer. If a specified disaster occurs, the principal is used for claims; otherwise, investors get principal back with interest.
- Trigger Types: Payouts depend on defined triggers like actual losses (indemnity), measurable disaster factors (parametric), or modeled/industry losses.
- Pre-Disaster Planning Advantage: Issuing cat bonds before a disaster ensures immediate funds for relief and reconstruction, reducing reliance on other sources.
- Enhanced Resilience: Guarantees available recovery resources, boosting preparedness.
- Diversification & Stability: Distributes disaster risk globally, helping maintain stable insurance premiums despite climate change.
- Supplementing Disaster Funds: Provide additional financial protection, especially for large, infrequent events.
- Comparison to Bonds: Similar to other debt securities, they involve lending money for interest payments and principal return, but with a disaster-related payout trigger.
India Lawmaking
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Lok Sabha Speaker’s Call for Enhanced Productivity: Lok Sabha Speaker Om Birla emphasized the need for greater legislative productivity and improved quality of discourse, drawing parallels with the functioning of urban local bodies (ULBs).
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Reduced Disruptions in Parliament: The Speaker highlighted a significant reduction in disruptions within Parliament, attributing this to increased maturity and responsibility, which has led to enhanced productivity and more meaningful debates. This marks a positive shift from previous practices of frequent adjournments.
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Lessons for Urban Local Bodies: Birla urged ULBs to adopt parliamentary practices like Question Hour and Zero Hour to enhance accountability and incorporate structured procedures such as regular sittings and robust committee systems. He stressed the importance of shunning disruptive behavior and focusing on constructive, inclusive discussions.
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Historical Decline in Sitting Days: The provided context notes a steep decline in Parliament’s sitting days, from around 135 days annually in the first Lok Sabha to approximately 55 days in the 17th Lok Sabha, impacting thorough deliberation.
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Impact of Disruptions and Low Scrutiny: Disruptions, low attendance in debates, and a reduced referral of bills to committees (10% in the 17th Lok Sabha compared to 60-71% in earlier ones) have hampered the quality of lawmaking and executive oversight.
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Consequences of Low Productivity: Key implications include weakened executive oversight, potential for poor-quality legislation, marginalization of the opposition, erosion of public trust, and executive overreach through ordinances.
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Measures and Future Steps: Existing measures include a Code of Conduct for MPs, technology adoption (e-Vidhan), strengthening committee systems, and capacity building. Proposed steps involve institutional discipline, mandatory committee scrutiny, enhanced transparency, fostering dialogue, and citizen engagement.
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ULBs as Foundations of Democracy: The Speaker underscored the crucial role of ULBs as the closest tier of governance to citizens and as vital institutions for strengthening constitutional democracy and nation-building. Empowering local bodies is seen as strengthening national governance.
BioE3 Policy 2025
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World Bioproduct Day 2025 & BioE3 Policy: DST, BIRAC, and iBRIC+ organized the event focusing on Equity, Environment, and Economy, highlighting public participation in biotechnology and reinforcing the USD 300 billion bioeconomy goal by 2030 under the BioE3 framework.
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Bioeconomy Target & Public Participation: Minister Dr. Jitendra Singh emphasized that every Indian is a stakeholder in the $300 billion bioeconomy by 2030 and urged for wider public understanding and inclusive participation.
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‘Voices Across the Cities’ Initiative: A nationwide hourly dialogue series showcased India’s biotech diversity through theme-based discussions across different cities, reflecting regional capabilities.
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BioE3 Policy Aims: The policy promotes high-performance biomanufacturing, integrates advanced biotechnological processes, strengthens India’s bioeconomy through sustainable practices, innovation, and employment, and aligns with ‘Net Zero’ goals and circular bioeconomy principles.
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Bioproduct Significance: Bioproducts derived from renewable biomass reduce reliance on fossil fuels, addressing pollution and biodiversity loss while promoting climate-resilient development through biotechnological innovation.
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Growth of Biotech Ecosystem: India’s biotechnology startup ecosystem has significantly grown from around 50 a decade ago to nearly 11,000 today, driven by policy support and institutional partnerships.
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Policy Focus: The BioE3 Policy supports biomanufacturing infrastructure (hubs, biofoundries), regenerative bioeconomy models, ethical biosafety, and workforce expansion, especially in Tier-II/III cities.
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Biotechnology for Livelihoods: Bioproducts are seen as contributing to livelihoods through biodegradable packaging, eco-friendly products, and rural/green job creation, moving beyond laboratory applications.
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Leveraging Traditional Knowledge: The importance of valuing India’s natural resources and traditional knowledge systems was highlighted, contrasting with past policy priorities informed by Western models.
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Operationalizing the Policy: Steps to operationalize the BioE3 Policy include support for pilot manufacturing, region-specific innovation, and strengthening the research-to-market pipeline, fostering academia-industry collaborations.
Rubin Observatory
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First Test Images Released: The Vera C. Rubin Observatory has issued its inaugural test images, showcasing the capabilities of its Simonyi Survey Telescope. This marks a significant milestone in its journey towards full operational status.
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Comprehensive Southern Sky Survey: Its primary purpose is to conduct the most thorough survey of the southern hemisphere’s night sky through continuous scanning, providing unprecedented data.
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Honoring Vera C. Rubin: The observatory is named after astronomer Vera C. Rubin, who provided early evidence for dark matter.
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Unparalleled Field of View: The Simonyi Survey Telescope boasts an exceptionally wide field of view, capturing an area equivalent to 40 full Moons at once, vastly exceeding the capabilities of Hubble and JWST. This is achieved through its innovative three-mirror design.
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World’s Largest Digital Camera: It houses the world’s largest digital camera, a 3,200-megapixel instrument that can detect objects 100 million times dimmer than the naked eye. Its sensors are designed to capture light across various parts of the electromagnetic spectrum using six filters.
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Fastest-Slewing Telescope: The telescope is the fastest in the world, capable of repositioning itself in just five seconds, allowing for rapid sky coverage and the capture of up to 1,000 images per night.
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Exploring Dark Matter and Dark Energy: A key objective is to deepen our understanding of dark energy (68% of the universe) and dark matter (27%), which constitute 95% of the cosmos.
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Addressing Key Astronomical Questions: It aims to answer fundamental questions about the Milky Way’s formation, the potential existence of a ninth planet in our solar system, and asteroid threats to Earth.
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Revolutionary Data Generation: Over 10 years, it will generate 20 terabytes of data nightly, leading to an estimated 10 million alerts per night for celestial changes.
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Asteroid Discovery Powerhouse: In just 10 hours of engineering data, its software identified over 2,100 new asteroids, including seven near-Earth objects. It is expected to triple the current inventory of catalogued asteroids and near-Earth objects.
Jaguar Jet Fatal
- Third Jaguar Jet Crash in 2025: This incident, occurring near Bhanuda village in Rajasthan, is the third fatal crash of an Indian Air Force (IAF) Jaguar jet this year, raising significant safety concerns.
- Two Pilots Killed: The crash resulted in the deaths of two pilots, underscoring the serious consequences of these accidents.
- Routine Training Mission: The aircraft was on a routine training mission, indicating that the accidents are not necessarily tied to combat operations.
- Court of Inquiry Launched: The IAF has initiated a formal investigation to determine the precise cause of this latest crash.
- Concerns Over Aging Fleet: The repeated crashes highlight growing worries about the safety of the IAF’s Jaguar fleet, which entered service in 1979.
- Technical Issues and Outdated Systems: Despite upgrades, the age of the aircraft and potential technical issues are suspected contributors to the accidents.
- Calls for Modernization: There are increasing demands for the IAF to modernize its fleet and phase out older aircraft like the Jaguar to prevent future tragedies.
- Jaguar’s Role: The Jaguar is a twin-seat, multi-role combat aircraft used for ground attack and close air support.
Dibrugarh Pethia
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New Fish Species Discovered: Researchers from ICAR-CIFRI have identified a new cyprinid fish species, Pethia dibrugarhensis.
- Why it’s news: This adds to the known biodiversity of freshwater fish in India and highlights ongoing scientific exploration.
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Named After Dibrugarh District: The species is named Pethia dibrugarhensis after the district in Assam where it was first found.
- Why it’s news: This localizes the discovery and connects it to a specific geographical region.
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Belongs to the Barb Family: It is classified under the Cyprinidae family, commonly known as barbs.
- Why it’s news: Despite lacking typical barbels, its morphological features place it within this well-known group, providing context for its characteristics.
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Found in Brahmaputra River: The new species inhabits moderately fast-flowing waters with a muddy-sandy-stony substrate in the Brahmaputra River.
- Why it’s news: The Brahmaputra is a significant river system, and discovering a new species within it indicates the river’s ecological importance and the potential for further discoveries.
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Key Features: It is characterized by an incomplete lateral line, a black blotch near the caudal peduncle, and the absence of humeral marks and barbels.
- Why it’s news: These distinct features are crucial for scientific identification and differentiation from other species.
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ICAR-CIFRI’s Role: The discovery was made by scientists from ICAR-CIFRI, a premier research institute focused on inland fisheries.
- Why it’s news: This underscores the vital research contributions of Indian institutions in understanding and conserving aquatic biodiversity.
Hornbill Giant
- Rare Sighting in Coastal Kannur: The Great Hornbill (Malamuzhakki Vezhambal), Kerala’s State bird, was sighted in the coastal area of Kakkampara, Kannur. This is unusual as the bird typically inhabits dense forests.
- Ecological Indicator: Its presence in a coastal, human-habitated area is seen as a significant indicator of the region’s biodiversity richness and ecological health.
- Confirmed by Birdwatchers: The sighting was confirmed by local birdwatchers and a forestry student, who observed the male bird foraging for two weeks.
- Importance for Conservation: As a ‘Vulnerable’ species on the IUCN Red List and protected under Schedule 1 of the Wildlife Protection Act, the sighting highlights the need for further studies and renewed conservation efforts in the area.
- Potential Habitat Shift: The unusual location suggests a possible broader ecological value and movement patterns of the species needing further investigation.
Starlink
- Starlink receives final regulatory clearance in India: This is significant as it allows Elon Musk’s company to officially offer satellite internet services in the country.
- Operator license granted by DoT and IN-SPACe: These approvals are crucial for Starlink to operate legally and deploy its satellite constellation for commercial use in India.
- Utilizes world’s largest satellite constellation (approx. 7,000 satellites): This massive network in Low Earth Orbit (LEO) is designed to provide high-speed, resilient internet, particularly to rural and remote areas lacking terrestrial broadband.
- Aims to bridge India’s connectivity gap: The service is expected to improve internet access in underserved regions, supporting India’s digital inclusion efforts.
- Partnerships with Airtel and Jio: Collaborations with major Indian telecom providers indicate a strategic approach to market entry and service delivery.
- Expansion of global internet coverage: India represents a key market for Starlink’s ambition to extend its internet services worldwide.
- IN-SPACe’s role in promoting private space sector: The agency’s authorization highlights its function in enabling private players like Starlink to utilize India’s space capabilities.
- LEO satellites offer lower latency and faster speeds: This technology is key to Starlink’s promise of improved internet performance compared to traditional methods.
Nistar
- India’s First Indigenous DSV ‘Nistar’ Delivered: The Indian Navy received its first domestically designed and built Diving Support Vessel (DSV), ‘Nistar’, on July 8, 2025, from Hindustan Shipyard Limited in Visakhapatnam.
- Advanced Deep-Sea Capabilities: ‘Nistar’ can conduct saturation diving up to 300 meters and side diving up to 75 meters, facilitating complex underwater missions.
- Critical Submarine Rescue Role: It serves as the ‘Mother Ship’ for Deep Submergence Rescue Vehicles (DSRVs), enabling rapid response and evacuation during submarine emergencies.
- Extensive Salvage Operations: Equipped with Remotely Operated Vehicles (ROVs), it can monitor divers and perform salvage operations at depths up to 1,000 meters.
- Significant Indigenous Content: The vessel boasts approximately 75% indigenous content, showcasing India’s growing self-reliance in shipbuilding and defense technology.
- Strategic Importance and Self-Reliance: This delivery positions India among a select group of nations with such specialized capabilities, reinforcing the ‘Aatmanirbhar Bharat’ initiative and strengthening India’s maritime power.