Daily Current Affairs - 2026-01-16
The Daily Gazette
The Core Update: India has invited top European Union leaders as chief guests for its 77th Republic Day on January 26, underscoring a deliberate push to deepen diplomatic and strategic ties with Europe at a time of flux in global alliances.
Crucially, this invitation arrives against the backdrop of escalating tensions in West Asia, where Iran's airspace closure has disrupted flight paths, forcing Indian carriers like Air India and IndiGo to reroute. Why now? Europe, wary of over-reliance on Russia and China, sees India as a counterweight in the Indo-Pacific. However, this move also hedges against uncertainties in US-India relations under a potential Trump return, echoing historical non-alignment strategies during the Cold War. What next? Expect enhanced defence pacts and trade deals, but aspirants must watch for EU-India FTA progress amid farm subsidy disputes.
- 77th Republic Day: January 26, 2026
- Impacted: Air India, IndiGo flights to Europe/US
The Core Update: Iran closed its airspace amid domestic protests and US threats, prompting India to advise its citizens to leave immediately while UK evacuates its Tehran embassy; flights rerouted, oil prices tumbled 3%.
This isn't isolated—Trump's rhetoric on military intervention revives echoes of 1953 CIA-backed coup in Iran, a staple in modern history syllabi. For India, heavily reliant on Iranian oil (despite diversification), regime instability could spike energy costs, fuelling inflation. Conversely, Pakistan and China stand to gain from disrupted Straits of Hormuz flows. What comes next? Monitor OPCW reports on chemical use against protesters; India may push UNSC restraint, balancing Chabahar port investments with non-alignment.
- India's advisory: Leave Iran immediately
- Oil price drop: 3% amid Trump comments
The Core Update: Supreme Court warned of 'lawlessness' if state interference in ED raids persists, as Mamata Banerjee denied allegations of meddling during I-PAC operations in West Bengal.
However, this underscores Centre-state friction under Article 256, reminiscent of Sarkaria Commission debates. Why critical? ED's expanding role post-2014 has politicised enforcement, eroding federalism. Next, expect CJI-led benches to clarify 'interference' boundaries, aiding mains answers on cooperative federalism. Aspirants, link to recent Punjab witch-hunt claims for pattern recognition.
- SC observation: 'Lawlessness if interference continues'
- Related: ED vs I-PAC in Bengal
The Core Update: India's new labour codes triggered exceptional charges exceeding ₹4,300 crore for IT majors like TCS, Infosys, and HCLTech, squeezing Q3 margins amid compliance costs.
Crucially, these codes—consolidating 29 laws into 4—aim at flexibility but expose implementation gaps, delaying 2026 Budget farm promises too. Ripple effects? Slower hiring, impacting GDP growth forecasts. What next? RBI may factor this into February policy; track NITI Aayog reviews for labour market reforms, vital for economy section.
- Charges: Over ₹4,300 crore across IT firms
- Four Labour Codes: Wage, Social Security, Industrial Relations, OSH
The Core Update: Centre pushes to raise SC scholarship income ceiling from ₹2.5 lakh to ₹4.5 lakh, with Bihar actively implementing to aid marginalised students amid equity drives.
In Bihar's context, where SC/ST population exceeds 20%, this aligns with Mandal Commission legacies, addressing dropout rates. However, fiscal strain on states persists. Next? Monitor Budget allocations; BPSC aspirants, connect to Article 46 directive principles for essays.
- New limit: ₹4.5 lakh from ₹2.5 lakh
- Focus: SC students in Bihar colleges
The Core Update: NHAI launches real-time stray cattle alert pilot on national highways, targeting accident-prone stretches in Jharkhand and Bihar.
[Image of India National Highways Map with Cattle Alert Zones]This tackles a perennial issue in eastern India, where 30% accidents link to strays, rooted in geography of agrarian states. Why vital? Reduces logistics costs, aiding 'Viksit Bharat'. Next, AI integration; JPSC candidates, map to tribal land rights under CNT Act.
- Pilot: Real-time GPS alerts to drivers
- Jharkhand focus: NH-19, NH-43 stretches
The Core Update: Centre directs all universities to form equity committees under new regulations, fortifying safeguards against caste, gender biases.
Building on UGC 2012 guidelines, this operationalises Article 15(5). However, enforcement varies—recall Rohith Vemula case. What next? Annual audits; key for ethics paper on institutional inclusivity.
- Mandate: All HEIs by 2026
- UGC-backed equity cells
The Core Update: Trump administration halts immigrant visa processing for 75 nations; India excluded, while Pakistan and Bangladesh face bans amid security reviews.
Conversely, this boosts H1B flows for Indian IT, but signals protectionism. Link to 1924 Immigration Act history. Next? Bilateral trade talks acceleration.
- India: Not on list
- Impacts: Remittances from Pak, B'desh
The Core Update: India and US inch towards comprehensive trade pact, with negotiations advancing rapidly despite global headwinds.
In this context, it counters Iran oil risks via diversified markets. Echoes 1991 liberalisation. Next? Ratification by mid-2026, watch agri concessions.
- Status: 'Very close' per official
- Covers: Goods, services, investment