UPSC CURRENT AFFAIRS – 4 October 2025

UPSC CURRENT AFFAIRS – 4 October 2025 covers important current affairs of the day, their backward linkages, their relevance for Prelims exam and MCQs on main articles

InstaLinks : Insta Links help you think beyond the current affairs issue and help you think multidimensionally to develop depth in your understanding of these issues. These linkages provided in this ‘hint’ format help you frame possible questions in your mind that might arise(or an examiner might imagine) from each current event. InstaLinks also connect every issue to their static or theoretical background.

Table of Contents

GS Paper 3 : (UPSC CURRENT AFFAIRS – 4 October (2025)

1. Safeguarding India’s Digital Economy

GS Paper 4:

2. Ethics at the Heart of Global Climate Action

 Content for Mains Enrichment (CME):

1. NHAI: QR Code Sign Boards on Highways

Facts for Prelims (FFP):

1. Cyclone Shakhti

2. Compressive asphyxia

3. Snow Leopard

4. Stable Coin

5. Presumptive Taxation

 Mapping:

1. Assam-Nagaland Border Dispute

UPSC CURRENT AFFAIRS – 4 October 2025

GS Paper 3:

Safeguarding India’s Digital Economy

Syllabus: Economy  

Source:  TH

Context: The Indian digital economy is in the spotlight after a sharp rise in sophisticated cyber frauds such as phishing, UPI/OTP scams, identity theft, and digital arrests.

About Safeguarding India’s Digital Economy:

Cybercrime Landscape in India

1. Scale of problem: Over 13.9 lakh cybercrime cases were reported in India in 2023 (NCRB), but experts estimate many go unreported due to stigma or distrust in institutions.
   • Eg: In 2025, a 78-year-old banker lost ₹23 crore through a “digital arrest” scam.
2. Tactics used: Social engineering is at the core—fear, greed, urgency—exploited via phishing, OTP/UPI frauds, loan/job scams, remote access malware, and fake government impersonations.
3. Weakest links:
   • Elderly and rural citizens: digitally illiterate yet financially vulnerable.
   • Banks: often issue generic advisories, fail to detect abnormal transactions, and allow mule accounts with weak KYC.
   • Cyber police: lack manpower, training, and AI-driven tools, reducing their effectiveness.

Constitutional and Institutional Dimensions:

• Right to Privacy (Justice K.S. Puttaswamy vs Union of India, 2017): Citizens’ personal and financial data must be protected as a fundamental right under Article 21.
• Article 300A: Protects property; digital financial frauds threaten citizens’ legitimate wealth.
• RBI Regulations: Banks are mandated to provide zero liability protection for victims in certain categories of digital fraud.
• CERT-In: Nodal agency under the IT Act for cybersecurity incidents, but lacks proactive capacity for retail-level fraud detection.

Threats to India’s Digital Economy:

• Social Engineering Fraud: Exploiting fear, urgency, and trust through phishing, OTP/UPI scams, job/loan frauds, and fake government impersonation.
  • Eg: “Digital arrest” scam siphoned ₹23 crore from a retired banker in 2025.
• Identity Theft & Data Breach: Misuse of Aadhaar, PAN, or bank details due to data leaks and poor encryption safeguards.
• Mule Accounts & Money Laundering: Weak KYC enables mule accounts, which are used for layering and dispersal of funds, making recovery difficult.
• Institutional Negligence: Banks fail to monitor abnormal high-value transactions; cyber police remain under-equipped in manpower and technology.
• Cross-Border Scams: Fraud networks operate internationally, exploiting jurisdictional loopholes and weak cooperation frameworks.

Initiatives Taken So Far:

• Regulatory Safeguards:
  • RBI’s zero liability policy for certain categories of fraud.
  • Digital Personal Data Protection Act, 2023 for secure handling of personal data.
• Institutional Mechanisms:
  • CERT-In for cybersecurity incident reporting.
  • Indian Cyber Crime Coordination Centre (I4C) for inter-agency coordination.
• Awareness Campaigns: RBI’s Cyber Jagrookta Abhiyan and RBI Kehta Hai campaigns to spread digital literacy.
• Technological Steps:
  • Some banks adopting AI-based anomaly detection.
  • National Cyber Crime Reporting Portal for grievance redressal.

Recommended Measures:

• Technology & AI Integration: Deploy AI/ML for real-time anomaly detection, personalised transaction profiling, and blockchain for tamper-proof KYC.
• Strengthen Cyber Police: Establish 24/7 cyber rapid response units, expand forensic labs, and train workforce in global best practices.
• Bank Accountability: Strictly enforce KYC compliance, penalise banks failing to freeze mule accounts, and mandate real-time fraud alerts.
• Cross-Institutional Cooperation: Build a National Fraud Intelligence Grid linking banks, telecoms, and enforcement agencies.
• Citizen Empowerment: Launch targeted digital literacy drives for senior citizens, rural communities, and students to counter social engineering.
• Global Coordination: Enhance Interpol, FATF, and bilateral cyber treaties for tracking international fraud networks.

Conclusion:

Safeguarding India’s digital economy demands a shift from reactive redressal to proactive prevention through AI-driven monitoring and stronger bank accountability. Empowered cyber police and digitally literate citizens are vital to counter evolving fraud tactics. Only by combining technology, institutions, and trust can India build a truly resilient digital economy.

UPSC CURRENT AFFAIRS – 4 October 2025 GS Paper 4:

Ethics at the Heart of Global Climate Action

Syllabus: Applied Ethics

Source:  CC

Context: The upcoming COP30 negotiations in Brazil have revived the role of ethics in climate governance through the launch of a Global Ethical Stocktake, aiming to place justice, equity, and responsibility at the core of global climate action.

About Ethics at the Heart of Global Climate Action:

Ethical Dimensions of Climate Change

1. Justice and Equity – The principle of “common but differentiated responsibilities” under the UNFCCC reflects fairness: developed nations bear historical responsibility, while developing nations need space for sustainable growth.

Eg: Paris Agreement’s leave no one behind principle aligns with distributive justice.

1. Intergenerational Responsibility – Current decisions directly impact the survival prospects of future generations. Ethics demands stewardship, not exploitation.

Eg: International Court of Justice (2025) reaffirmed intergenerational equity as central to climate treaties.

1. Human Rights Linkage – Access to food, water, housing, and a healthy environment are inseparable from the right to life (Article 21, Indian Constitution).

Eg: Inter-American Court (2024) declared right to climate as a fundamental human right.

1. Integrity and Credibility – Climate negotiations often suffer from promise–delivery gaps. Ethical governance demands accountability, transparency, and honesty in Nationally Determined Contributions (NDCs).

Eg: Cases of corporate greenwashing erode public trust in climate commitments.

1. Solidarity with the Vulnerable – Marginalized groups, Indigenous peoples, and the Global South face disproportionate risks. Climate ethics insists on inclusion and empathy in designing adaptation strategies.

Eg: Community-based conservation in Himachal Pradesh (snow leopard survey) shows ethics of inclusion in practice.

Role of Ethics in Climate Governance:

• Guiding Negotiators – Beyond political bargaining, negotiators must uphold moral responsibility for lives at stake. Delay equals suffering.
• Embedding Ethical Frameworks – Initiatives like Brazil’s Global Ethical Stocktake before COP30 demonstrate attempts to institutionalize ethics in climate negotiations.
• Courts as Ethical Guardians – Judicial interventions link law and morality, compelling states to act with due diligence.
• Corporate Social Responsibility (CSR) in Climate – Businesses must align with ethics of responsibility (Jonas) to avoid tokenistic pledges.

Ethics and Indian Context:

• Constitutional Mandates:
  • Article 48A – Duty of State to protect environment.
  • Article 51A(g) – Duty of citizens to protect natural resources.
• Judicial Precedents: Vellore Citizens’ Forum vs Union of India (1996) upheld the precautionary principle and polluter pays principle.
• Gandhian Perspective: Mahatma Gandhi’s idea of trusteeship resonates with sustainable consumption and ethical responsibility towards nature.

Challenges in Ethical Climate Action:

1. National interest vs. global good – Developed countries often prioritize economic competitiveness, delaying commitments on climate finance and technology transfer, widening trust deficits.
2. Political polarization and denialism – Divisive politics and climate denial slow down consensus, making multilateral negotiations ineffective despite rising urgency.
3. Greenwashing and weak enforcement – Corporations and states exaggerate climate achievements, while absence of strict monitoring erodes accountability and credibility.
4. Adaptation finance underfunded – Vulnerable communities lack resources for resilience, showing an ethical gap between rhetoric and real support for the Global South.

Way Forward:

1. Institutionalize Global Ethical Stocktake – Regularly assess climate action through justice, equity, and responsibility frameworks to strengthen UNFCCC processes.
2. Just Transition Policies – Ensure livelihoods of workers, farmers, and local communities are safeguarded while shifting away from fossil fuels.
3. Strengthen Ethical Climate Jurisprudence – Courts must hold governments accountable for rights-based climate action, linking law with moral duty.
4. Promote Ethical Leadership – Policymakers should adopt stewardship and fairness over short-term political or electoral gains.
5. Integrate Ethical Education – Mainstream climate ethics in schools and training programs to nurture long-term values of responsibility and sustainability.

Conclusion:

Ethics must be the compass of climate action. Without justice, responsibility, and solidarity, science alone cannot drive real change. By embedding ethics into global governance—through courts, communities, and negotiations—we can rebuild trust and ensure a liveable planet.

UPSC CURRENT AFFAIRS – 4 October 2025 Content for Mains Enrichment (CME)

NHAI: QR Code Sign Boards on Highways

Source:  DD News

Context: The National Highways Authority of India (NHAI) has announced plans to install QR code-enabled Project Information Sign Boards across highways.

About NHAI: QR Code Sign Boards on Highways:

What it is?

• Digital information boards with embedded QR codes to give commuters instant access to highway-related details.
• To be installed at toll plazas, rest areas, truck lay-byes, start/end points, and wayside amenities.

Aim:

• To improve transparency in highway construction and maintenance projects.
• To empower commuters with real-time access to safety and facility information.
• To strengthen road safety by linking users with emergency and service providers quickly.

Features:

• QR code access to project details: highway number, chainage, project length, timelines.
• Display of contact information: Highway Patrol, Toll Manager, Project Manager, Resident Engineer, and NHAI field office.
• Prominent mention of Emergency helpline 1033.
• Real-time updates on nearby facilities: hospitals, toilets, petrol pumps, police stations, repair shops, e-charging stations.
• Ensures visibility at strategic locations like toll plazas and rest areas.

Relevance in UPSC Exam Syllabus:

• GS-II (Governance & Transparency): Enhances accountability and citizen-centric governance.
• GS-III (Infrastructure & Road Safety): Links to transport infrastructure, digital governance, and safety innovation.
• Essay/GS-IV (Ethics & Technology in Public Service): Case study on how digital tools improve transparency, efficiency, and public trust.

UPSC CURRENT AFFAIRS – 4 October 2025 Facts for Prelims (FFP)

Cyclone Shakhti

Source:  DTE

Context: The India Meteorological Department (IMD) confirmed the formation of Cyclone Shakhti over the northeast Arabian Sea.

About Cyclone Shakhti:

What it is?

• A tropical cyclonic storm that developed in the northeast Arabian Sea, ~340 km west of Dwarka (Gujarat).
• Named “Shakhti” under the World Meteorological Organisation’s regional naming system.

Origin:

• Formed due to low-pressure development over warm Arabian Sea waters in early October 2025.
• The system strengthened into a cyclonic storm (CS) on October 3 and is forecast to become a severe cyclonic storm (SCS) as it tracks west-southwestwards.

Features:

• Brings strong winds, high sea waves, and heavy rainfall potential along coastal belts.
• Part of a trend of increasing Arabian Sea cyclones due to rising sea surface temperatures.

Why Bay of Bengal Gets More Cyclones than Arabian Sea

1. Warmer Waters:
   • Bay of Bengal is semi-enclosed and landlocked, retaining warm water (29–30°C year-round).
   • Arabian Sea remains cooler due to stronger winds and evaporation.
2. Moisture Availability:
   • Bay receives abundant moist air from rivers and monsoon flows.
   • Arabian Sea is influenced by dry winds from Oman and Yemen, limiting cyclone intensity.
3. External Triggers (Pulses):
   • Typhoons from the Pacific often enter Bay of Bengal as low-pressure systems, which then intensify.
   • Arabian Sea does not get such external inputs.

Compressive asphyxia

Source:  TH

Context: A stampede at actor-politician Vijay’s rally in Karur, Tamil Nadu, killed 41 people including nine children.

• Most deaths occurred due to compressive asphyxia, a dangerous form of oxygen deprivation in overcrowded situations.

About Compressive asphyxia:

What it is?

• Compressive asphyxia is a type of mechanical asphyxiation where external force presses on the chest or abdomen.
• This prevents the lungs and diaphragm from functioning normally, leading to lack of oxygen supply.

How it Occurs?

• Common in stampedes, crowd crushes, or when heavy weight presses the torso.
• In dense crowds (>6–7 persons per square metre), chest compression restricts the diaphragm’s ability to expand and contract, blocking normal breathing.

Symptoms:

• Shortness of breath, chest tightness, dizziness, bluish skin or lips (cyanosis).
• Severe cases cause hypoxia (oxygen shortage), hypercapnia (CO₂ build-up), unconsciousness, organ failure, and death.

Treatment:

• Immediate removal from the crushing force/crowd.
• Provide oxygen support, CPR, or advanced airway management in emergencies.
• Hospital care may include ventilation, treatment for organ damage, and monitoring for respiratory complications.

Snow Leopard

Source:  IT

Context: A new survey by the Himachal Pradesh Forest Department recorded 83 snow leopards in the state, up from 51 in 2021.

About Snow Leopard (Panthera uncia):

What it is?

• A large, elusive wild cat, often called the “ghost of the mountains” due to its natural camouflage and secretive behaviour.
• It is the State Animal of Himachal Pradesh and an important indicator species for fragile high-altitude ecosystems.

Found in:

• Native to the high mountains of Central and South Asia, across 12 countries including Afghanistan, China, India, Nepal, and Mongolia.
• In India: Found in Western Himalayas (J&K, Ladakh, Himachal Pradesh, Uttarakhand) and Eastern Himalayas (Sikkim, Arunachal Pradesh).

IUCN Status: Listed as Vulnerable (VU) on the IUCN Red List.

Characteristics of Snow Leopard:

• Physical Traits:

• • Fur & Camouflage: Thick, white-grey coat with dark rosettes helps it blend with snow-covered rocky slopes—earning the name “Ghost of the Mountains.”
  • Strength & Agility: Powerful hind legs allow leaps up to six times its body length, helping chase prey in steep terrain.

• Biological Traits:

• • Diet: Strictly carnivorous—feeds on blue sheep, Himalayan ibex, marmots, pikas, hares, and other high-altitude prey.
  • Territory Size: Needs very large ranges due to low prey density—ranges vary from 5 sq. miles in Nepal to over 190 sq. miles in Mongolia.

• Social & Behavioral Traits:

• • Lifestyle: Mostly solitary and territorial, except during mating season or when mothers rear cubs.
  • Habitat Preference: Inhabits high-altitude cold deserts and rugged slopes above 3,000 m, often up to 5,500 m.
  • Elusiveness: Naturally shy and nocturnal, with very low population density, making sightings extremely rare.

Stable Coin

Source:  FT

Context: Union Finance Minister stated that nations must “prepare to engage with stablecoins,” as innovations in cryptocurrency are reshaping global monetary systems and could force countries to adapt or risk exclusion.

About Stable Coin:

What is a Stablecoin?

• A stablecoin is a type of cryptocurrency that is specifically designed to maintain a stable value relative to a certain underlying asset, such as a basket of currencies or precious metals, but most commonly, a fiat currency like the U.S. Dollar.
• Unlike highly volatile cryptocurrencies (like Bitcoin), stablecoins aim for price stability, making them a more reliable medium of exchange within the blockchain universe and better suited for transactions.

Types of Stablecoins:

Stablecoins generally fall into two main categories:

1. Fully Reserved Stablecoins:
   • What it is: These are backed one-to-one by high-quality, liquid assets held in reserve by the issuer.
   • How it works: Each coin issued is supported by an equivalent underlying asset, such as fiat currency or short-term government securities. This direct collateralisation helps to stabilize the price, as the holder theoretically has a guaranteed right to redeem the coin for the pegged asset at par value.
2. Algorithmic Stablecoins:
   • What it is: These stablecoins are not backed by liquid reserves but are maintained by a set of automated rules.
   • How it works: They use smart contracts (computerised algorithms) to respond to supply and demand imbalances.
     • If the price trades above its peg, the protocol mints (creates) additional tokens to increase supply and drive the price down.
     • If the price trades below its peg, the protocol burns (destroys) tokens to reduce supply and push the price back up.

Key Features:

• Price Stability: They offer the low volatility necessary for commerce, remittances, and serving as a safe harbor for crypto investors.
• Efficiency: They enable fast and cheap transactions, especially for cross-border payments, bypassing traditional, slower, and costlier financial intermediaries.
• Programmability: As digital, on-chain assets, they can be integrated into smart contracts and automated financial systems, accelerating the movement of cash within financial services.
• Digital Fiat: They act as a digital, blockchain-based representation of fiat money, making them highly compatible with the traditional financial system’s need for real-time settlement.

Presumptive Taxation

Source:  PIB

Context: NITI Aayog, in its first Tax Policy Working Paper (2025), proposed an optional presumptive taxation regime for foreign firms to reduce litigation, simplify compliance, and bring certainty on Permanent Establishment (PE) disputes.

About Presumptive Taxation:

• Concept: Taxation based on a fixed deemed profit percentage of gross receipts, instead of detailed profit attribution through transfer pricing or functional analysis.
• Aim: Provide certainty, reduce litigation, simplify compliance, and secure predictable revenue.
• Existing Usage in India: Already applied in shipping (Sec. 44B), oil & gas services (44BB), airlines (44BBA), and small businesses (44AD/44ADA).

Why Needed in India?

1. Litigation-heavy regime – PE disputes take over a decade to resolve (e.g., Hyatt International 2025).
2. Ambiguity in rules – Broad interpretation of “business connection” and Significant Economic Presence (SEP) deters investment.
3. Retrospective taxation legacy – Vodafone-type cases damaged India’s image.

How the Proposed Scheme Works?

• Industry-specific deemed profit rates (e.g., 10% for EPC, 15% for marketing, 20% for services, 30% for digital/e-commerce).
• Optional & rebuttable – Firms can opt in, or opt out and file regular returns if actual profits are lower.
• Safe harbour – If presumptive scheme is chosen, tax authorities will not separately litigate PE existence.
• Administrative simplicity – Reduced need for audits and complex books; compliance burden minimized.
• Treaty compatibility – Optional nature ensures alignment with DTAAs.

Key Features of NITI Proposal:

1. Codify PE and profit attribution principles in domestic law aligned with global norms.
2. Presumptive taxation rates designed per sector, calibrated to historical profit margins.
3. Advance Pricing Agreements (APA) and Mutual Agreement Procedures (MAP) to reduce disputes.
4. Safe harbour for digital economy – special treatment for high-profit, user-intensive platforms.
5. Capacity building of tax officers for consistent application of rules.
6. Public consultation mechanisms to build investor trust.

Expected Benefits:

• Reduced litigation – Faster dispute resolution, less pressure on courts.
• Improved investor confidence – Predictability attracts long-term, sustainable FDI.
• Revenue safeguard – Ensures minimum tax collection, even from low-profit or digital firms.
• Ease of Doing Business – Simpler compliance, alignment with Make in India.

UPSC CURRENT AFFAIRS – 4 October 2025 Mapping:

Assam-Nagaland Border Dispute

Source:   TH

Context: The Assam–Nagaland border flared up after armed miscreants allegedly from Nagaland torched nearly 100 houses in a minority-dominated village in the disputed B Sector of Golaghat district, Assam.

About Assam–Nagaland Border Dispute:

What it is?

• The Assam–Nagaland border dispute revolves around territorial claims made by Nagaland over parts of Assam’s Golaghat, Jorhat, and Sivasagar districts, especially in the Disputed Area Belt (DAB)—a stretch of reserved forests and forest land.
• Both states claim ownership, while the CRPF has been deployed as a neutral force since 1979.

Historical Background:

1. Colonial demarcations (1826–1925): Post-Treaty of Yandabo (1826), British created Naga Hills District (1866). Subsequent notifications redefined boundaries without consulting Nagas.
2. Post-Independence tensions (1947–1963): Nagas declared independence in 1947; later, the Naga Hills–Tuensang Area Act (1957) and Nagaland State Act (1962) formalized Nagaland’s statehood but without a clear boundary settlement.
3. Commissions & Agreements:
   • Sundaram Commission (1972): led to four Interim Agreements to maintain status quo.
   • Shastri Commission (1985), J.K. Pillai Commission (1997), Variava & Chatterjee Commissions (2006) attempted boundary resolution but failed.

About Disputed Area Belt:

The border dispute centers on the territorial claims of Nagaland over significant tracts of land that legally fall within the administrative boundaries of Assam.

• Disputed Area Belt (DAB): The conflict is concentrated in the Disputed Area Belt (DAB)—forest land (Reserved Forests) that runs along the 512.1 km inter-state boundary, primarily spanning Assam’s Golaghat, Jorhat, Sivasagar, and Karbi Anglong districts.
• The Claim:
  • Assam maintains the constitutional boundary as defined at the time of Nagaland’s statehood in 1963.
  • Nagaland, however, insists on a boundary based on historical pre-colonial or colonial agreements (like the 16-Point Agreement of 1960), which would involve the “restoration” of Naga ancestral territories transferred out of the Naga Hills district by the British for administrative convenience.
  • Assam alleges that Nagaland has encroached upon over 60,000 hectares of its territory in the DAB.

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