4 April 2025

• Regional diplomacy: The 6th BIMSTEC Summit was held in Bangkok. India's PM unveiled a 21-point action plan. The BODHI initiative for human resource development was launched.
• India-Myanmar: PM Modi met Myanmar's military ruler at the Bangkok summit and extended support for earthquake relief, reinforcing Operation Brahma.
• Trade shock: The United States imposed reciprocal tariffs on its major trading partners. India faces a 26 per cent tariff. The announcement triggered global market volatility.
• RBI anniversary: The Reserve Bank of India completed 90 years since its founding in 1935.

GS area: International Relations

The 6th BIMSTEC Summit convened in Bangkok on 4 April 2025, the first in-person leaders' meeting in seven years. Thailand chaired the event under the theme "Prosperous, Resilient and Open BIMSTEC."

• Members: Seven countries. Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka, and Thailand.
• Founded: 6 June 1997 under the Bangkok Declaration. The original name was BIST-EC (later BIMSTEC after Myanmar and Thailand joined).
• Headquarters: Dhaka, Bangladesh. Became operational in 2014.
• 21-point action plan: India proposed a BIMSTEC Chamber of Commerce, an annual BIMSTEC Business Summit, and a feasibility study on conducting intra-regional trade in local currencies.
• BODHI initiative: "BIMSTEC for Organised Development of Human Resource Infrastructure." Trains 300 youth annually, provides scholarships at Nalanda University and Forest Research Institute, and runs annual diplomat training.
• Agreements: The Maritime Transport Cooperation Agreement was adopted to reduce logistical bottlenecks.
• Energy: BIMSTEC Energy Centre in Bengaluru was moved toward operationalisation.
• Digital: A UPI pilot with regional payment systems was proposed.

PM Modi met Myanmar's Senior General Min Aung Hlaing on the summit sidelines and extended support for earthquake relief, following the 7.7-magnitude earthquake that struck Mandalay on 28 March 2025.

Static linkage: Regional groupings, India's neighbourhood policy, Bay of Bengal (GS-2 IR).

GS area: Economy, International Relations

The United States President announced sweeping reciprocal tariffs on 2 April 2025, which took effect in the following days. The tariff announcement triggered the sharpest single-day fall in global equity markets since 2020.

• India's tariff: 26 per cent. This compares with 36 per cent on Thailand, 37 per cent on Bangladesh, 44 per cent on Sri Lanka and Myanmar, and 10 per cent on Nepal and Bhutan.
• Sectors exposed: India's textile, pharmaceutical, electronics, and seafood exports to the United States are most vulnerable.
• India-US trade: The US is India's largest export destination. India's goods exports to the US were approximately 78 billion dollars in 2023-24.
• The logic: The US administration described the tariffs as reciprocal, matching what each country charges on American goods. Critics note that the calculation does not account for non-tariff barriers accurately.

Static linkage: International trade, trade policy, WTO (GS-2 IR, GS-3 Economy).

GS area: Economy

The Reserve Bank of India completed 90 years on 1 April 2025. The anniversary prompted reflection on the evolution of India's monetary policy toolkit.

• First policy (1935): Bank Rate set at 3.5 per cent. The Cash Reserve Ratio was introduced. The Bank Rate was modelled on the Bank of England's practice. CRR was inspired by the US Federal Reserve Act.
• Modern benchmark rate: The policy repo rate, replaced the Bank Rate as the primary signalling tool. Currently 6 per cent after the April 2025 cut.
• Quantitative tools: CRR, SLR, Repo Rate, Reverse Repo Rate, Open Market Operations, Marginal Standing Facility, Long-Term Repo Operations, Market Stabilisation Scheme.
• Qualitative tools: Credit rationing, margin requirements, moral suasion, and direct action.

Static linkage: Monetary policy, RBI (GS-3 Economy).

GS area: Governance, Internal Security, Geography

The Vibrant Villages Programme-II (VVP-II) received Cabinet approval as a continuation of border area development strategy.

• Financial outlay: Rs 6,839 crore covering 2024-25 to 2028-29.
• Ministry: Ministry of Home Affairs. The programme is 100 per cent centrally funded.
• Coverage: 17 States and Union Territories, including Arunachal Pradesh, Assam, Punjab, Gujarat, Jammu and Kashmir, and Ladakh.
• Objectives: Improving quality of life in border villages, livelihood creation, reinforcing national security, and maintaining border integrity.
• Key features: Village Action Plans, saturation of basic services, SMART classrooms, and tourism promotion in border areas.

The strategic logic: villages that remain inhabited and prosperous act as human sentinels along borders. Depopulation of border villages is a security risk because it creates ungoverned spaces.

Static linkage: Border management, internal security, rural development (GS-3 Internal Security).

GS area: International Relations, Security

The Ottawa Convention (Mine Ban Treaty) resurfaced in news as five European countries withdrew in early 2025.

• Adoption: December 1997. Came into force in March 1999.
• Signatories: 164 countries.
• Non-members: India, the United States, Russia, China, and Israel are notable non-parties.
• 2025 withdrawals: Poland, Finland, Lithuania, Latvia, and Estonia withdrew from the treaty, citing the security threat from Russia as justification.
• India's position: India cites porous borders and active insurgencies as reasons for not joining. Land mines remain deployed in sensitive border areas.

Static linkage: Arms control treaties, India's security environment (GS-2 IR).

• HANSA-3 (NG) trainer aircraft: Developed by CSIR-National Aerospace Laboratories in Bengaluru. Two-seater ab-initio trainer. Powered by a Rotax 912 engine. Costs approximately Rs 2 crore, around half the import price. The electric variant E-HANSA is under development.
• Agasthyamalai Biosphere Reserve: Covers the southernmost Western Ghats in Kerala and Tamil Nadu. Designated by UNESCO in March 2016. Area of approximately 3,500 sq km. Supports 2,254 plant species, 79 mammal species including 20 endemics, and the Kani tribal community of around 30,000 people.