Current Affairs MCQs – June 02-03

Consider the following statements about the Shangri-La Dialogue:

1. It is organised annually by the International Institute for Strategic Studies (IISS), a think tank headquartered in London.
2. The dialogue is held in Singapore and derives its name from the hotel where it was first hosted.
3. It is an official summit of the Association of Southeast Asian Nations (ASEAN).
4. The Raisina Dialogue is often regarded as India’s counterpart to the Shangri-La Dialogue.

Which of the statements given above are correct?

1. 1, 2 and 4 only
2. 1 and 3 only
3. 2, 3 and 4 only
4. 1, 2, 3 and 4

Explanation

Option (a) is correct

• The 2026 edition of the Shangri-La Dialogue (SLD) was held in Singapore.
• The U.S. described India as a “critical anchor” in maintaining the balance of power in the Indo-Pacific region and supported a greater Indian role in Indo-Pacific security.
• It is Asia’s premier defence and security summit that brings together defence ministers, military chiefs, policy makers and strategic experts across the globe.
• It is organised annually by the International Institute for Strategic Studies (IISS), a London-based think tank.
• The dialogue is held in Singapore since 2002 at the Shangri-La Hotel, from which it derives its name.
• The Dialogue enables decision-makers from across the Asia-Pacific, North America, Europe, the Middle East and beyond to discuss the most pressing regional security issues and share policy responses.
• India is a regular and prominent participant in the Shangri-La Dialogue. Raisina Dialogue is broadly considered India’s counterpart to the Shangri-La Dialogue.

Answer: (a) 1, 2 and 4 only; Difficulty Level: Medium

Which one of the following best describes the term ‘Blue Bond’?

1. A debt instrument issued exclusively to finance projects related to marine conservation, sustainable use of ocean resources and protection of water ecosystems.
2. A bond issued by coastal states to finance naval modernisation and maritime security infrastructure.
3. A sovereign debt instrument issued only by island nations to address sea-level rise and climate-induced displacement.
4. A financial instrument used by central banks to regulate liquidity in the maritime transport sector.

Explanation

Option (a) is correct

• Sagarmala Finance Corporation Limited (SFCL) plans to issue India’s first Blue Bonds in FY 2026–27 to finance maritime and blue economy projects.
• Blue Bonds are debt instruments issued to raise funds earmarked exclusively for ocean-friendly projects and critical clean water resources protection.
• Similar to Green Bonds, Blue Bonds are a subset of green/sustainable bonds that specifically target marine and water-based projects.
• Seychelles launched the world’s first sovereign Blue Bond in 2018 backed by World Bank and Global Environment Facility.

Answer: (a) A debt instrument issued exclusively to finance projects related to marine conservation, sustainable use of ocean resources and protection of water ecosystems; Difficulty Level: Easy

Consider the following statements regarding the India–Oman Comprehensive Economic Partnership Agreement (CEPA):

1. It is India’s first Comprehensive Economic Partnership Agreement (CEPA) with a member of the Gulf Cooperation Council (GCC).
2. Oman has, for the first time in a trade agreement with India, provided binding mobility commitments for certain categories of professionals.
3. Oman is the first country to incorporate cooperation in traditional medicine and AYUSH within its trade framework with India.

How many of the statements given above is/are correct?

1. Only one
2. Only two
3. All three
4. None

Explanation

Statement 1 is incorrect

• India-Oman Comprehensive Economic Partnership Agreement (CEPA), signed in December 2025, has entered into force. India is the second country, after the US, to secure a comprehensive pact with Oman. It’s India’s second CEPA in the Gulf Cooperation Council (GCC), following the one with the UAE (2022).

Statement 2 is correct

• Oman, for the first time, offers binding mobility pathways for certain professionals and raises intra-corporate transferee quotas from 20% to 50%.

Statement 3 is correct

• Indian medicines and ingredients get zero-duty access, while global-agency-approved Indian generics receive Omani approval in 90 days.
  • Oman became the first country to commit to traditional medicine, AYUSH, in its trade framework.

Answer: (b) Only two; Difficulty Level: Easy

Consider the following statements regarding the Prison Statistics Report, 2024:

1. India’s prisons are operating at an occupancy rate of over 110%, indicating significant overcrowding despite a slight improvement in recent years.
2. Undertrials constitute nearly three-fourths of the total prison population, reflecting delays in the justice delivery system.
3. Delhi has the highest prison overcrowding among States/UTs, with occupancy levels approaching 200%.

How many of the statements given above are not correct?

1. Only one
2. Only two
3. All three
4. None

Explanation

All statements are correct

• The Prison Statistics report, 2024, was released by the National Crime Records Bureau.

• Key Highlights
  • Overcrowding: India’s 1,333 prisons, sanctioned for ~4.53 lakh inmates, currently house over 5.11 lakh, an occupancy rate of 112.7%, a decade-low, yet still alarmingly above capacity.
  • Undertrial Crisis: ~73% of all prisoners are undertrials, with 9,028 confined for over 5 years without conviction, a direct violation of the right to speedy trial under Article 21.
  • Women Prisoners: About 95% of prisoners are male, while women constitute only 4.14%. India has just 34 women’s prisons, and 21 States/UTs lack exclusive facilities for women inmates.
  • Regional Overcrowding: Overcrowding is not uniform. Delhi has reported the highest occupancy rate (194.6%), followed by Meghalaya (163.5%).

Answer: (d) None; Difficulty Level: Medium

Consider the following statements regarding the Mission for Advancement in High-Impact Areas (MAHA) Water Mission:

1. It is an initiative launched by the Anusandhan National Research Foundation (ANRF) in collaboration with the Ministry of Jal Shakti to promote innovation in water security.
2. The mission provides funding support of up to ₹50 crore per project for technology development, validation, and field deployment.
3. It promotes a consortium-based approach involving academia, startups, MSMEs, and industry partners for multidisciplinary research.

How many of the statements given above are not correct?

1. Only one
2. Only two
3. All three
4. None

Explanation

Statement 1 is correct

• India has launched the Mission for Advancement in High-Impact Areas (MAHA) Water Mission to promote innovation, startups, and technology-driven solutions for India’s water security.

• Launched By: Anusandhan National Research Foundation (ANRF) and the Ministry of Jal Shakti.
• Aims to achieve sustainable, equitable, and climate-resilient water security through R&D-driven technological solutions.

Statement 2 is incorrect

• Funding: Provides funding of up to ₹20 crore per project for technology development, validation, field testing, and deployment.
• Five Priority Themes: Water resource management, drinking water, water quality & ecological health, water-use efficiency & circular economy, and climate resilience & adaptation.

Statement 3 is correct

• Consortium-Based Approach: Supports multi-disciplinary and multi-institutional consortia involving academia, research labs, startups, MSMEs, and industry partners.

Answer: (a) Only one; Difficulty Level: Medium

Consider the following statements regarding isobutanol as a diesel blending fuel:

1. Unlike ethanol, isobutanol has higher water absorption and lower energy density, making it more corrosive in existing diesel engines.
2. It has a higher flash point and lower volatility compared to ethanol, improving fire safety in fuel handling and storage.
3. Automotive Research Association of India (ARAI) trials suggest that existing diesel engines can safely tolerate isobutanol blending up to 10 per cent without major modifications.

How many of the statements given above are correct?

1. Only one
2. Only two
3. All three
4. None

Explanation

• Ministry of Road Transport and Highways (MoRTH) recently announced that a national isobutanol-diesel blending mandate is expected later in 2026.Key Cause: India’s 10% ethanol-diesel blending trials failed because ethanol is physically and chemically incompatible with diesel. Isobutanol (C₄H₁₀O), or isobutyl alcohol, is a flammable, colourless four-carbon higher alcohol, used as a solvent in paints, coatings, and chemical industries.

Statement 1 is incorrect, and statement 2 is correct

• Advantages over Ethanol:
  • Stability: Isobutanol mixes uniformly with diesel and remains stable over long durations without additional additives, allowing use in existing heavy-duty engines.
  • Engine Durability: It has a higher energy density and lower water absorption rate than ethanol, reducing corrosion risks in engines and pipelines.
  • Fire Safety: It has a higher flash point (lowest temperature for ignition) than ethanol and lower volatility.

Statement 3 is correct

• Automotive Research Association of India (ARAI) trials show that existing diesel engines can safely tolerate only 10% blending; higher blends need flex-fuel modifications.

Answer: (b) Only two; Difficulty Level: Medium

The Department for Promotion of Industry and Internal Trade (DPIIT) is revising the WPI with 2022–23 as the new base year and running a new Producer Price Index (PPI) in parallel for a transition period. With reference to this consider the following statements:

1. The revised WPI series assigns weights based on Net Traded Value (NTV) to better reflect domestic economic activity.
2. The new WPI basket expands coverage and includes renewable energy sources such as solar and wind electricity under the Fuel & Power category.
3. The PPI framework comprises three components—output prices, input costs, and services—and compiles all three at a monthly frequency.

How many of the statements given above are correct?

1. Only one
2. Only two
3. All three
4. None

Explanation

• Department for Promotion of Industry and Internal Trade (DPIIT) is revising the Wholesale Price Index (WPI) base year to 2022-23 and introducing a new Producer Price Index (PPI). Transition: WPI and PPI will run concurrently for five years to ease the commercial-contract transition, after which WPI will be fully phased out.

Statement 1 is incorrect

• Key Reforms in the WPI Revision:
  • Base & Basket: The new WPI series will replace the 2011-12 base year with 2022-23, and item coverage will expand from 697 to 957 commodities.
  • Weighting Basis: It assigns weights based on Gross Value of Output (GVO) rather than Net Traded Value (NTV) to better reflect domestic production.

Statement 2 is correct

• Energy Items: Solar, wind, and nuclear electricity have been added to the Fuel & Power category for the first time. Crude petroleum and natural gas have been moved from ‘Primary Articles’ to ‘Fuel & Power’.
• Methodology: The series shifts to a ‘chain-based short-term formulation’ from the long-term one and introduces ‘Targeted Mean Imputation’ to handle missing data.

Statement 3 is incorrect

• The PPI framework uses a 2022-23 base year and comprises three pillars:
  1. Output Prices: Output Producer Price Index (OPPI) will be compiled monthly using the basic price producers receive for finished goods as they leave the production facility.
  2. Input Costs: Trial Input Producer Price Index (IPPI) is compiled monthly using purchaser prices for the manufacturing sector to capture input-cost burdens.
  3. Service Prices: Service Producer Price Index (Service PPI) is compiled quarterly across seven verticals: Banking, Securities Transactions, Insurance, Pension Fund Management, Railways, Air Passenger Transport, and Telecom.

Answer: (a) Only one; Difficulty Level: Hard