Comprehensive Current Affairs Report: May 26, 2025

This report provides an in-depth analysis of the latest developments as of May 26, 2025, tailored for aspirants preparing for competitive exams such as UPSC, SSC, Banking, and other government examinations. Covering politics, economy, science and technology, international relations, environment, defense, and sports, this article draws from credible sources like The Hindu, Indian Express, Times of India, Business Standard, Livemint, The Economic Times, Press Information Bureau (PIB), PRS Legislative Research, BBC News, Reuters, and Down To Earth. The information is presented in a reader-friendly manner, with bold formatting for key terms to aid quick identification, ensuring high readability and engagement for students.

Politics and Governance

India’s political landscape in May 2025 was marked by significant geopolitical developments, particularly the escalation and subsequent de-escalation of tensions with Pakistan, alongside strategic insights from a U.S. intelligence report.

Indo-Pakistan Conflict and Operation Sindoor

On April 22, 2025, a tragic terrorist attack in Baisaran Valley near Pahalgam, Jammu and Kashmir, claimed 26 lives, mostly Hindu tourists, and injured over 20 others. The attack, attributed to The Resistance Front, an offshoot of the Pakistan-based Lashkar-e-Taiba, targeted non-Muslims, intensifying India-Pakistan tensions (Al Jazeera). In response, India launched Operation Sindoor on May 7, 2025, targeting nine terrorist infrastructures in Pakistan and Pakistan-occupied Kashmir (PoK). The operation, involving missile strikes and air raids, resulted in over 100 terrorists killed and significant damage to Pakistani air bases (The Hindu).

Pakistan retaliated with heavy shelling, causing 27 fatalities in India, including 20 in Poonch, and over 50 injuries. The conflict, described as the “first drone war” due to the use of drones and loitering munitions, brought the two nuclear-armed nations to the brink of war (Wikipedia). On May 10, 2025, a fragile ceasefire was brokered by the United States, with U.S. President Donald Trump, Vice President JD Vance, and Secretary of State Marco Rubio facilitating negotiations. The ceasefire was formalized on May 12, 2025, after talks between the Directors General of Military Operations (DGMOs) of both nations, though initial violations were reported (Reuters).

Prime Minister Narendra Modi addressed the nation, reaffirming India’s zero-tolerance policy towards terrorism, referencing past operations like the 2016 Surgical Strikes and 2019 Balakot Airstrike (The Hindu). Opposition parties, including the Congress and CPI(M), criticized the government for allowing U.S. mediation and demanded a parliamentary discussion (The Hindu). The Shiromani Akali Dal praised Modi’s handling of the situation, while Jammu and Kashmir Chief Minister Omar Abdullah noted that border residents could return home as shelling ceased (The Hindu).

U.S. Intelligence Report on India’s Strategic Priorities

A U.S. Defense Intelligence Agency (DIA) report, published on May 25, 2025, provided insights into India’s strategic outlook. Titled the 2025 Worldwide Threat Assessment, the report, prepared by Lieutenant General Jeffrey Kruse, stated that India views China as its primary adversary and Pakistan as an ancillary security problem to be managed (Business Today). The report highlighted Prime Minister Narendra Modi’s defense priorities, which include demonstrating global leadership, countering China, and enhancing India’s military power.

To counter Chinese influence, India is prioritizing defense partnerships in the Indian Ocean Region through joint exercises, arms sales, training programs, and information sharing. The report also noted India’s active involvement in forums like the Quad, BRICS, SCO, and ASEAN, as well as a disengagement agreement with China in October 2024 to reduce tensions along the Line of Actual Control (LAC) in eastern Ladakh. India’s military modernization efforts, including tests of the Agni-I Prime and Agni-V MIRV missiles and the commissioning of a second nuclear-powered submarine, underscore its focus on self-reliance through the Made in India initiative.

Economy

India’s economic landscape in May 2025 reflects significant growth and stability, with notable developments in GDP, monetary policy, and financial markets.

India Becomes Fourth-Largest Economy

India achieved a historic milestone by becoming the world’s fourth-largest economy in 2025, overtaking Japan in nominal GDP terms. According to projections, India’s nominal GDP reached approximately $4.187 trillion, marginally surpassing Japan’s estimated GDP (NDTV). NITI Aayog member Arvind Virmani expressed confidence in this achievement, noting that the International Monetary Fund (IMF) projects India to become the third-largest economy by 2028 with a GDP of $5.5 trillion (NextIAS). This growth has boosted global confidence, attracting increased foreign direct investment (FDI) and reinforcing India’s role as a key economic power (Insights on India).

RBI Updates and Inflation Trends

The Reserve Bank of India (RBI) made significant moves to support economic growth. On May 26, 2025, the RBI approved a record dividend payout of 2.69 trillion rupees ($32 billion) to the government for the fiscal year 2025, expected to bolster government finances and potentially lower bond yields (Bloomberg). The RBI also proposed amendments to Know Your Customer (KYC) rules to simplify processes for consumers (CNBC TV18) and announced a ₹36,000 crore Government Securities auction scheduled for May 30, 2025 (HDFC Sky).

Inflation trends showed positive developments, with the consumer price index (CPI) inflation rate dropping to 3.16% in April 2025, the lowest since July 2019, down from 3.34% in March 2025 (Moneycontrol). This decline, driven by lower food prices (rising by only 1.78%), fell below the RBI’s 4% midpoint target, strengthening the case for additional interest rate cuts to stimulate economic activity (Forbes India).

Stock Market Performance

On May 26, 2025, India’s stock markets reflected optimism, with the Sensex closing 455.37 points higher at 82,176.45 and the Nifty 50 rising 148.00 points to 25,001.15 (The Hindu BusinessLine). This positive movement was driven by India’s economic milestone, the RBI’s dividend payout, and global cues, such as the postponement of U.S. tariffs on the European Union.

Economic Indicator	Details
Nominal GDP	$4.187 trillion (2025, FY26)
Inflation Rate	3.16% (April 2025)
RBI Dividend Payout	2.69 trillion rupees ($32 billion)
Sensex (May 26, 2025)	82,176.45 (+455.37 points)
Nifty 50 (May 26, 2025)	25,001.15 (+148.00 points)

Science and Technology

India made significant strides in science and technology, particularly in weather forecasting, space research, and polar studies.

Bharat Forecasting System

On May 26, 2025, the government unveiled the Bharat Forecasting System, developed by the Indian Institute of Tropical Meteorology (IITM) in Pune. This advanced weather forecasting model, with a resolution of 6 km—the highest globally—enables more accurate and localized predictions, benefiting agriculture, flood planning, and disaster management (The Hindu). This system is a critical tool for India’s agrarian economy and climate resilience efforts.

Polar and Ocean Research Hubs

On May 22, 2025, Union Minister Jitendra Singh inaugurated Sagar Bhavan and Polar Bhavan at the National Centre for Polar and Ocean Research (NCPOR) in Goa. These state-of-the-art facilities aim to enhance India’s research capabilities in polar and ocean studies, addressing climate change and ocean geopolitics. The minister emphasized India’s growing role in global ocean governance and climate action (Sakshi Post).

Biological Experiments on the ISS

India is set to conduct its first biological experiments on the International Space Station (ISS) as part of the AXIOM-4 mission, with Indian astronaut Group Captain Shubhanshu Shukla as a crew member. Spearheaded by the Indian Space Research Organisation (ISRO) in collaboration with NASA and the Department of Biotechnology (DBT), the experiments will study the impact of microgravity and space radiation on edible microalgae and cyanobacteria, potential food sources for long-duration space missions. This initiative, part of the BioE3 Biotechnology Policy, marks a significant step in India’s space research ambitions (Times of India).

Science & Technology Development	Details
Bharat Forecasting System	6 km resolution, unveiled May 26, 2025
Polar and Ocean Research	Sagar Bhavan and Polar Bhavan inaugurated in Goa
ISS Experiment	First biological experiments on AXIOM-4 mission

International Relations

India’s diplomatic engagements in May 2025 reflect its active role in global and regional affairs.

Strengthening India-U.S. Ties

On May 28, 2025, Foreign Secretary Vikram Misri met U.S. Under Secretary Jeffrey Kessler in Washington to advance cooperation in critical areas, reinforcing the strategic partnership between India and the U.S. (The Hindu). This meeting builds on the U.S.’s role in mediating the India-Pakistan ceasefire.

Diplomatic Visits

An all-party delegation from India visited Kuwait on May 26-27, 2025, to strengthen bilateral ties (Public Now). Similarly, Maldivian Foreign Minister Dr. Abdulla Khaleel led the 2nd India-Maldives High Level Core Group (HLCG) meeting in India on May 26, 2025, expressing strong support for India’s fight against terrorism following the Pahalgam Attack (New Indian Express).

China’s Regional Role

During the India-Pakistan conflict, China expressed regret over the escalation and offered to play a constructive role in alleviating tensions, though it did not formally mediate (South China Morning Post). This stance reflects China’s cautious approach to regional dynamics, given its close ties with Pakistan and ongoing border talks with India.

Environment

Environmental developments in May 2025 focus on weather forecasts and international climate cooperation.

Monsoon Forecast

India is expected to experience above-average monsoon rains in 2025, a positive development for agriculture and the economy. The early arrival of the monsoon in states like Kerala, Tamil Nadu, Karnataka, and Maharashtra was attributed to factors like the albedo effect and climate change (Reuters).

Sagarmatha Sambaad

India’s Union Environment Minister represented the country at the inaugural Sagarmatha Sambaad in Nepal, a biennial global dialogue forum named after Mount Everest. The 2025 theme, “Climate Change, Mountains and the Future of Humanity”, highlighted the importance of mountain ecosystems. India proposed a five-point action plan: Enhanced Scientific Cooperation, Building Climate Resilience, Empowering Mountain Communities, Providing Green Finance, and Recognizing Mountain Perspectives (Drishti IAS).

Environmental Initiative	Details
Monsoon Forecast	Above-average rains expected in 2025
Sagarmatha Sambaad	India’s 5-point climate action plan in Nepal

Defense

India’s defense sector saw a major advancement with the approval of a key indigenous project.

Advanced Medium Combat Aircraft (AMCA)

On May 27, 2025, Defence Minister Rajnath Singh approved the execution model for the Advanced Medium Combat Aircraft (AMCA), India’s fifth-generation stealth fighter jet program. Designed by the Aeronautical Development Agency (ADA) under the Defence Research and Development Organisation (DRDO), the AMCA aims to enhance the Indian Air Force’s capabilities and promote self-reliance under the Aatmanirbharta initiative. The first prototype is expected by 2028-29, with the first flight in 2030 (The Week). Negotiations for the jet’s engine, requiring 110kN thrust, are underway with Safran (France) and Rolls-Royce (UK) (IDRW).

Defense Development	Details
AMCA Program	Fifth-generation stealth fighter, prototype by 2028-29

Sports

Indian athletes achieved remarkable success in international competitions, showcasing the country’s growing sports prowess.

ISSF Junior World Championships

India topped the medals tally at the ISSF Junior World Championships, securing 11 medals (3 gold, 4 silver, 4 bronze), surpassing China’s tally of 3 gold and 1 bronze. Tejaswini won gold in the Women’s 25m Pistol event with a final score of 31, outperforming competitors from AIN and Hungary (Sportstar). India’s consistent performance, topping four of the last five ISSF junior competitions, highlights its dominance in shooting.

Asian Athletics Championships

At the Asian Athletics Championships in Gumi, South Korea, Gulveer Singh won gold in the Men’s 10,000m with a time of 28:38.63, outpacing Japan’s Mebuki Suzuki and Bahrain’s Albert Kibichi Rop. Servin Sebastian secured bronze in the Men’s 20km Race Walk with a personal best of 1:21:14, trailing athletes from China and Japan (Business Standard).

Sports Event	Achievements
ISSF Junior World Championships	11 medals (3 gold, 4 silver, 4 bronze)
Asian Athletics Championships	Gold (Men’s 10,000m), Bronze (Men’s 20km Race Walk)

Conclusion

This comprehensive report covers the key developments of May 26, 2025, providing aspirants with a detailed and engaging resource for competitive exam preparation. From geopolitical tensions to economic milestones, scientific advancements, diplomatic engagements, environmental initiatives, defense projects, and sports achievements, these updates offer a holistic view of India’s current affairs landscape. By understanding these events, students can gain a competitive edge in their exams.

Key Citations

Daily quiz on current affairs with answers

Question 1: What was the primary objective of India’s Operation Sindoor launched in May 2025?
Option 1: To evacuate civilians from border areas
Option 2: To target terrorist infrastructures in Pakistan and PoK
Option 3: To impose economic sanctions on Pakistan
Option 4: To conduct military exercises with allied nations
Option 5: To initiate diplomatic talks with Pakistan
Answer: Option 2
Explanation: Operation Sindoor was a strategic military operation launched by India on May 7, 2025, in response to a terrorist attack in Jammu and Kashmir that killed 26 Hindu tourists. The operation involved airstrikes and missile attacks targeting nine terrorist infrastructures in Pakistan and Pakistan-occupied Kashmir (PoK), resulting in the elimination of over 100 terrorists and damage to Pakistani air bases. This mission was a demonstration of India’s zero-tolerance policy toward terrorism.

Question 2: India surpassed which country to become the world’s fourth-largest economy in 2025 in nominal GDP terms?
Option 1: Germany
Option 2: Japan
Option 3: United Kingdom
Option 4: France
Option 5: Brazil
Answer: Option 1
Explanation: In 2025, India overtook Japan to become the fourth-largest economy in the world by nominal GDP, reaching approximately $4.187 trillion. This milestone reflects strong economic growth and positions India closer to its projected status as the third-largest economy by 2028, according to IMF forecasts. Japan, previously the fourth-largest economy, now ranks fifth in this measure.

Question 3: Which Indian institution is responsible for developing the high-resolution Bharat Forecasting System launched in May 2025?
Option 1: ISRO
Option 2: NITI Aayog
Option 3: Indian Meteorological Department (IMD)
Option 4: Ministry of Earth Sciences
Option 5: Indian Institute of Tropical Meteorology (IITM)
Answer: Option 5
Explanation: The Bharat Forecasting System was developed by the Indian Institute of Tropical Meteorology (IITM), Pune. Launched on May 26, 2025, it features a global benchmark resolution of 6 km, enabling localized and accurate weather predictions. This advancement plays a crucial role in agricultural planning and disaster preparedness in India.

Question 4: During the India-Pakistan conflict, which country offered to play a constructive role in resolving tensions but refrained from formal mediation?
Option 1: United States
Option 2: United Arab Emirates
Option 3: Russia
Option 4: China
Option 5: Saudi Arabia
Answer: Option 4
Explanation: China expressed regret over the escalation of the India-Pakistan conflict and offered to play a constructive role in easing tensions. However, it refrained from direct mediation, maintaining a cautious diplomatic posture due to its strategic relationship with Pakistan and concurrent disengagement dialogues with India regarding the Line of Actual Control (LAC).

Question 5: What was the RBI’s recorded dividend payout to the government for FY2025, announced on May 26, 2025?
Option 1: ₹1.25 trillion
Option 2: ₹2.13 trillion
Option 3: ₹2.69 trillion
Option 4: ₹3.01 trillion
Option 5: ₹3.55 trillion
Answer: Option 3
Explanation: The Reserve Bank of India (RBI) announced a record dividend payout of ₹2.69 trillion (approximately $32 billion) to the Government of India for the fiscal year 2025. This substantial transfer supports fiscal consolidation and may lead to lower bond yields, benefiting the economy through increased fiscal space and public investment.

Question 6: Which project did India approve in May 2025 to boost its indigenous defense capabilities, focusing on a fifth-generation stealth fighter jet?
Option 1: Tejas Mk3 Program
Option 2: BrahMos II Missile Development
Option 3: INS Vishal Aircraft Carrier
Option 4: Rafale Induction Program
Option 5: Advanced Medium Combat Aircraft (AMCA)
Answer: Option 5
Explanation: On May 27, 2025, the Indian government approved the execution model for the Advanced Medium Combat Aircraft (AMCA) program, a fifth-generation stealth fighter designed by DRDO’s Aeronautical Development Agency. The project is part of India’s push for self-reliance under the Aatmanirbharta initiative, with the first prototype expected by 2028–29.

Question 7: Which Indian athlete won gold in the Men’s 10,000m at the Asian Athletics Championships held in South Korea in 2025?
Option 1: Servin Sebastian
Option 2: Neeraj Chopra
Option 3: Gulveer Singh
Option 4: Albert Kibichi Rop
Option 5: Mebuki Suzuki
Answer: Option 3
Explanation: Gulveer Singh clinched the gold medal in the Men’s 10,000m event at the 2025 Asian Athletics Championships in Gumi, South Korea, with a timing of 28:38.63. He outpaced strong competitors from Japan and Bahrain, marking a significant achievement in India’s athletics history.

Question 8: Which two countries are involved in engine negotiations for India’s AMCA fighter jet as of May 2025?
Option 1: Russia and Israel
Option 2: France and United Kingdom
Option 3: Germany and Sweden
Option 4: United States and Japan
Option 5: Italy and South Korea
Answer: Option 2
Explanation: The engine for India’s AMCA fighter jet, requiring 110kN thrust, is under negotiation with Safran (France) and Rolls-Royce (UK). These discussions aim to equip the AMCA with advanced propulsion systems while maintaining indigenous control over critical technologies.

Question 9: Who won gold in the Women’s 25m Pistol event at the ISSF Junior World Championships 2025?
Option 1: Tejaswini
Option 2: Manu Bhaker
Option 3: Esha Singh
Option 4: Rahi Sarnobat
Option 5: Anna Korakaki
Answer: Option 1
Explanation: Tejaswini won the gold medal in the Women’s 25m Pistol event at the ISSF Junior World Championships 2025 with an impressive final score of 31. Her victory contributed to India topping the overall medal tally with 11 medals, ahead of countries like China and Hungary.

Question 10: What was the key theme of the inaugural Sagarmatha Sambaad attended by India in Nepal in May 2025?
Option 1: Renewable Energy for Developing Nations
Option 2: Ocean Governance and Marine Pollution
Option 3: Climate Change, Mountains and the Future of Humanity
Option 4: Biodiversity and Indigenous Rights
Option 5: Global Trade and Sustainable Infrastructure
Answer: Option 4
Explanation: The inaugural Sagarmatha Sambaad held in Nepal in May 2025 focused on the theme “Climate Change, Mountains and the Future of Humanity.” India presented a five-point action plan highlighting climate resilience, scientific cooperation, and green financing, emphasizing the importance of mountain ecosystems in global climate discussions.

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