Current Affairs 7 October 2026
Current affairs of 33 for UPSC, RBI, SEBI, NABARD, EPFO and PFRDA aspirants: RBI monetary policy, regulatory measures, India-EFTA Prosperity Summit, Sagarmanthan 2026 and other key updates.
On this page
Key facts at a glance
The numbers and names most likely to turn up in Prelims, Phase 1 or a GA section.
| Topic | What to remember | Source, date |
|---|---|---|
| Repo rate | Raised 25 bps to 5.50% | RBI |
| SDF / MSF | 5.25% / 5.75% | RBI |
| Stance | Calibrated tightening | RBI |
| GDP 2026-27 | 7.1% projected | RBI |
| CPI 2026-27 | 5.2% projected | RBI |
| Forex reserves | $734.6 bn (2 Oct 2026) | RBI |
| Next MPC | 2-4 December 2026 | RBI |
| India-EFTA TEPA | In force since 1 Oct 2025 | PIB |
| PMGSY-IV | ₹70,125 cr; 62,500 km | PIB |
| Nobel Chemistry | Henri B. Kagan, Kenso Soai | AIR |
Economy
3 storiesOnion supply improves with Kharif arrivals
The Department of Consumer Affairs said onion availability has strengthened with fresh Kharif arrivals. Supplies have started from Karnataka, Andhra Pradesh and Rajasthan. Kharif onion acreage is estimated to be about 5% higher than last year. Prices are moderating across mandis and consumer markets. Stored stocks continue to meet demand during the festive season. The IMD outlook does not forecast excessive rain during the harvest period.
Sagarmanthan 2026 opens in New Delhi
The 3rd edition of Sagarmanthan: The Great Oceans Dialogue opened in New Delhi on 7 October 2026. It is organised by the Ministry of Ports, Shipping and Waterways with the Observer Research Foundation. In his message, Hon'ble Prime Minister Shri Narendra Modi called for a free, open, secure and rules-based maritime order. He recalled India's maritime heritage from Lothal to the Cholas and Chhatrapati Shivaji Maharaj. Union Minister Shri Sarbananda Sonowal also addressed the dialogue.
Live events sector grew 44% in a year
Secretary, Ministry of Information and Broadcasting, Shri Chanchal Kumar said India's live events sector grew 44% over the past year. Around 34,000 events were held, and the sector supports more than one crore livelihoods. The Government aims to double the sector by 2030. This could create 15 to 20 million direct and ancillary jobs. He was addressing the 5th meeting of the Live Events Development Cell.
Banking & Markets
10 storiesRBI raises repo rate by 25 bps to 5.50%
The Monetary Policy Committee of the RBI voted unanimously on 7 October 2026 to raise the policy repo rate by 25 basis points to 5.50%. Consequently, the Standing Deposit Facility rate is now 5.25%. The Marginal Standing Facility rate and the Bank Rate stand at 5.75%. This was the 63rd meeting of the MPC, held from 5 to 7 October under Governor Shri Sanjay Malhotra. The repo rate had stood at 5.25% before this decision.
MPC changes stance to 'calibrated tightening'
The MPC also changed its policy stance to 'calibrated tightening'. The RBI said this signals that rate cuts are off the table in the near term. Further action can only be a hike or a pause, depending on conditions. Two members, Dr. Nagesh Kumar and Prof. Ram Singh, preferred to keep the stance neutral. The minutes will be published on 21 October, and the next meeting is on 2 to 4 December 2026.
RBI projects GDP growth at 7.1% for 2026-27
The RBI projected real GDP growth for 2026-27 at 7.1%. The quarterly projections are 7.2% for Q2, 6.9% for Q3 and 6.8% for Q4. Growth for Q1 of 2027-28 is projected at 7.1%. Real GDP grew 7.8% in Q1 of 2026-27, higher than expected. The MPC said the risks to the growth outlook are evenly balanced. It noted risks from a deficient south-west monsoon and El Niño conditions to farm output and rural demand.
CPI inflation projected at 5.2% for 2026-27
The RBI projected CPI inflation for 2026-27 at 5.2%. The quarterly projections are 4.9% for Q2, 6.0% for Q3 and 5.7% for Q4. Inflation for Q1 of 2027-28 is projected at 5.6%. CPI inflation rose to 4.8% in August 2026 from 4.5% in July, mainly due to food and fuel prices. Core inflation is projected at 4.4% for the year. The MPC said headline inflation may average almost 5.8% over the next three quarters.
Interoperability among Account Aggregators
The RBI has decided to implement interoperability among NBFC-Account Aggregators. Customers will be able to access and share financial information from different providers through any AA of their choice. Depositories regulated by SEBI will be able to include bank deposit details in their Consolidated Account Statement through AAs. Demat holders can then see their holdings and bank deposits in one place. Both measures are to be implemented by 31 December 2026.
Technical Consultative Committee for Financial Markets
The RBI will set up a Technical Consultative Committee for Financial Markets. It will be a forum for structured engagement with market participants and stakeholders. It will cover policy and operational issues in money, government securities and foreign exchange markets. Their derivative markets and infrastructure will also be covered. The composition and terms of reference will be notified separately.
RBI issues final directions on CVA framework
The RBI issued final directions on the Credit Valuation Adjustment (CVA) framework for commercial banks. Draft directions had been issued on 7 August 2026 for comments. Eligible banks can now choose a simpler approach for the CVA capital charge. Supervisory risk weights have been made more sensitive to sector and credit quality. The rules on recognising CVA hedges have also been clarified.
Amendments to SA-CCR directions
The RBI issued amendment directions on the Standardised Approach for Counterparty Credit Risk (SA-CCR). The drafts had been released on 10 June 2026. The changes clarify the scope of counterparty credit risk for banking and trading book exposures. They address multiple margin agreements and netting sets. They also guide banks acting as clearing members of SEBI-recognised exchanges in equity derivatives.
Paytm Payments Bank excluded from Second Schedule
The RBI announced that Paytm Payments Bank Limited has been excluded from the Second Schedule to the RBI Act, 1934. The notification is dated 31 July 2026. It was published in the Gazette of India on 7 September 2026. Banks in the Second Schedule are known as scheduled banks. Scheduled banks can access RBI facilities such as refinance and must maintain CRR with the RBI. Payments banks were set up on the recommendation of the Nachiket Mor Committee.
Forex reserves at $734.6 billion: Governor
Governor Shri Sanjay Malhotra said India's foreign exchange reserves stood at $734.6 billion as on 2 October 2026. He said the current account deficit stayed modest in Q1 of 2026-27. The merchandise trade deficit rose to $58.7 billion in July-August 2026 from $55.1 billion a year earlier. This was mainly due to imports of electronic goods and crude oil. Capital flow measures taken in June have supported inflows.
Polity & Governance
3 storiesWomen and Child Development Departmental Summit
The Ministry of Women and Child Development will host a Departmental Summit on 8 and 9 October 2026 at Sushma Swaraj Bhawan, New Delhi. It is the second in a series of Departmental Summits envisioned by the Prime Minister. The summits aim to strengthen cooperative federalism and Centre-State collaboration. The theme is a Suposhit, Surakshit and Sashakt Bharat. It is linked to the goal of Viksit Bharat@2047.
Sadhana Shrinkhla workshop for North East in Guwahati
The second regional workshop of Sadhana Shrinkhla 2026 will be held in Guwahati on 9 October 2026. It is organised by the Capacity Building Commission. Assam Chief Minister Dr. Himanta Biswa Sarma will inaugurate it. It will bring together all eight North-Eastern States. Heads and faculty of government training institutes, subject experts and industry partners will take part. The Capacity Building Commission works under Mission Karmayogi.
CBN Jan Samvad at Malana in Kullu
The Central Bureau of Narcotics held a Jan Samvad at Malana village in Kullu district, Himachal Pradesh, on 6 October 2026. It was part of preventive outreach under the Yuva Raksha initiatives. The aim is to promote alternative development in areas with illicit cannabis cultivation. It follows the NDPS Policy, 2012 and the Vision document on Narcotics Control 2026-2029. CBN works under the Department of Revenue.
International Relations
4 stories2nd India-EFTA Prosperity Summit
The 2nd India-EFTA Prosperity Summit was held at Bharat Mandapam, New Delhi, on 7 October 2026. It marked one year of the India-EFTA TEPA, which came into force on 1 October 2025. Swiss President H.E. Mr. Guy Parmelin and Union Minister Shri Ashwini Vaishnaw attended. Ministers from Iceland, Liechtenstein and Norway also took part. Under Article 7.1 of TEPA, EFTA States aim to raise FDI into India by $100 billion over 15 years.
India and Ghana sign agricultural research MoU
ICAR and the Crops Research Institute (CSIR-CRI), Accra, Ghana, signed a five-year MoU on agricultural research, education and technology transfer. The signing was attended by External Affairs Minister Dr. S. Jaishankar and Ghana's Foreign Minister H.E. Mr. Samuel Okudzeto Ablakwa. The first phase will focus on vegetable crops, especially tomato research. Arima Farms Ltd., Ghana, is the commercial partner. The MoU supports South-South and India-Africa cooperation.
Shri Piyush Goyal meets US companies in New York
Union Minister Shri Piyush Goyal held meetings with leaders of major US companies in New York. He met senior leaders of Blackstone, including its President and COO Jonathan Gray, and the Chairman and CEO of Neuberger Berman, George Walker. Talks focused on expanding investments and partnerships in India. The aim was to strengthen India-US trade and invite top US companies to invest in India. The meetings were held during the Minister's visit to the United States.
India-UK Financial Markets Dialogue in London
The fourth UK-India Financial Markets Dialogue was held in London on 29 September 2026, and a joint statement was adopted. It was led by the Ministry of Finance and HM Treasury. SEBI, RBI, IFSCA, PFRDA and IRDAI took part along with the Bank of England and the FCA. Discussions covered capital markets, insurance, pensions, asset management and fintech. The previous meeting was in December 2024.
World
1 storyNobel Prize in Chemistry 2026
The 2026 Nobel Prize in Chemistry has been awarded to French chemist Henri B. Kagan and Japanese chemist Kenso Soai. They were honoured for discoveries of non-linear effects and autocatalysis in asymmetric organic synthesis. The Royal Swedish Academy of Sciences said their work explains how homochirality can emerge spontaneously. Many molecules such as amino acids exist in two mirror-image forms. Living organisms mostly use only one of these forms.
Schemes & Missions
4 storiesPMGSY Chintan Shivir on rural roads
A two-day PMGSY Chintan Shivir was held at Bharat Mandapam, New Delhi, on 5 and 6 October 2026. About 8 lakh km of rural roads have been built under PMGSY over 25 years. Under PMGSY-IV, with an outlay of ₹70,125 crore, about 62,500 km of all-weather roads are planned. These will connect 25,000 eligible unconnected habitations. Union Minister Shri Shivraj Singh Chouhan called for greater use of technology.
Jal Jeevan Mission 2.0 regional review at IIM Bangalore
The Department of Drinking Water and Sanitation held a regional review of States and UTs under Jal Jeevan Mission 2.0 at IIM Bangalore. It was chaired by DDWS Secretary Shri Ashok K. K. Meena. The meeting reviewed source sustainability and water quality surveillance. Digital governance and other reforms were also discussed. JJM aims to provide tap water connections to every rural household.
NCSC push for reporting SC beneficiaries in schemes
After intervention by the National Commission for Scheduled Castes, the Department of Financial Services issued directions on mandatory reporting. State and UT Level Bankers' Committees must include scheme-wise and bank-wise data on SC beneficiaries. The data will cover the number and share of SC beneficiaries under key financial schemes. It will be part of their periodic reviews. The NCSC is a constitutional body under Article 338.
NCAHP notifies regulations for allied health professions
The National Commission for Allied and Healthcare Professions notified new regulations under the NCAHP Act, 2021. These include regulations on Autonomous Boards and a Central Assessment Committee. Registration of Allied and Healthcare Professionals Regulations, 2026 were also notified. A competency-based curriculum for the Diploma in Medical Radiology and Imaging Technology was released. The measures aim at quality education and verified registration of professionals.
Environment
2 storiesMoSPI strategy for environmental-economic accounts
MoSPI released the 'Strategy for Environmental-Economic Accounts in India 2026-2030'. MoSPI follows the System of Environmental-Economic Accounting endorsed by the UN Statistical Commission. It has worked on environment accounts since 2018. The earlier strategy for 2022-2026 covered material flow, ocean and energy accounts. MoSPI has published studies on forests, wetlands, soil, water and urban ecosystems.
Training for zoo keepers at IIFM Bhopal
The Central Zoo Authority and IIFM Bhopal began a three-day training programme for zoo keepers of Central India on 7 October 2026. It aims to build skills in captive animal care, behaviour and conservation education. Facility operations are also covered. Coordinating training of zoo staff is a function of the CZA under the Wildlife (Protection) Act, 1972. The programme runs till 9 October.
Science & Tech
2 storiesIICT-YouTube unveil four AI-enabled films
The Indian Institute of Creative Technologies and YouTube unveiled the first four AI-enabled short films under the 'Create with AI' programme in Mumbai. The programme was announced in November 2025. It supports AI-led creative projects. The films were also released on the filmmakers' YouTube channels. IICT is a national institute for the animation, VFX, gaming and comics sector.
Metal-free porous catalyst for zinc-air batteries
Scientists from S N Bose National Centre for Basic Sciences, Kolkata, INST Mohali and SRM University, Amaravati, have developed a metal-free organic porous material named TTT-DHTD. It can act as a catalyst for the oxygen reduction reaction in zinc-air batteries. Zinc-air batteries use cheap, abundant zinc and oxygen from the air. Metal-free catalysts can reduce the cost of clean energy technologies. Both institutes are under the Department of Science and Technology.
Defence
2 storiesSAREX-2026 inaugurated
Raksha Rajya Mantri Shri Sanjay Seth inaugurated the multinational Search and Rescue Exercise SAREX-2026 on 7 October 2026. The sea phase is off Paradip on 8 October. Thirty-two delegates from 30 friendly countries are taking part as observers. The Navy, Coast Guard, Air Force, coastal police, ports and civil agencies are involved. The 24th National Maritime Search and Rescue Board meeting was also held.
Revised SOP for industry use of MoD test ranges
Raksha Mantri Shri Rajnath Singh approved a revised SOP for use of MoD proof ranges, field firing ranges and test facilities by Indian defence industry. Testing charges have been waived for iDEX, TDF, Make and other development projects. The SOP lists facilities of DRDO, quality assurance agencies and the three Services. Arbitration has been replaced with a simpler conciliation process. The aim is to promote self-reliance in defence.
Reports & Indices
1 storyRBI releases forward-looking surveys
The RBI released the results of its forward-looking surveys on 7 October 2026. These include the Urban and Rural Consumer Confidence Surveys and the Inflation Expectations Survey of Households for September 2026. The 102nd round of the Survey of Professional Forecasters was also released. Others cover order books and capacity utilisation, industrial outlook, bank lending and services and infrastructure outlook. The RBI said results reflect respondents' views and not its own.
Important Days
1 storyTribute to former Speaker Shri Bali Ram Bhagat
Lok Sabha Speaker Shri Om Birla paid floral tributes to former Speaker Shri Bali Ram Bhagat on his birth anniversary on 7 October 2026. The tribute was paid in the Central Hall of Samvidhan Sadan. Shri Bhagat was a veteran freedom fighter. He was elected Speaker of the Fifth Lok Sabha on 5 January 1976. He was also a member of the Provisional Parliament. He later served as Union External Affairs Minister.
Quick-revision MCQs
Tap an option to check it. Every question comes from the stories above.
Q1.What is the policy repo rate after the October 2026 MPC meeting?
Answer: B. Raised by 25 bps to 5.50%.
Q2.The new MPC stance is:
Answer: C. Stance changed to calibrated tightening.
Q3.What is the MSF rate after the decision?
Answer: C. MSF and Bank Rate are at 5.75%.
Q4.RBI's CPI inflation projection for 2026-27 is:
Answer: B. Projected at 5.2%.
Q5.Interoperability announced by RBI relates to:
Answer: B. Among NBFC-Account Aggregators.
Q6.Paytm Payments Bank was excluded from which Schedule of the RBI Act, 1934?
Answer: B. Second Schedule.
Q7.The India-EFTA TEPA came into force on:
Answer: C. It entered into force on 1 October 2025.
Q8.Sagarmanthan is organised by MoPSW with:
Answer: B. With the Observer Research Foundation.
Q9.Under PMGSY-IV, how many habitations are to be connected?
Answer: C. 25,000 eligible unconnected habitations.
Q10.The NCSC is constituted under which Article?
Answer: B. Article 338.
Source: Press Information Bureau (PIB), Reserve Bank of India (RBI) and All India Radio (News On AIR).
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