Prelims General Studies Paper I

Google has announced a landmark $15 billion investment over five years to establish its first AI-powered data center hub in Visakhapatnam, Andhra Pradesh, marking its largest such commitment outside the United States. This initiative, formalized through an MoU with the Andhra Pradesh government, involves partnerships with AdaniConneX and Bharti Airtel, and is expected to generate 1.38 lakh jobs while democratizing AI technology across sectors like healthcare, education, and agriculture.

The Supreme Court of India, in a significant judgment on October 7, 2025, issued comprehensive directives to enhance pedestrian safety, including mandatory audits of footpaths in major cities and the creation of online grievance portals, in response to the sharp rise in road accident fatalities where pedestrians account for over 20 percent of deaths as per the latest Ministry of Road Transport and Highways report.

The International Monetary Fund (IMF) has issued a caution in its latest World Economic Outlook update, drawing similarities between the current boom in Artificial Intelligence (AI) investments and the dot-com bubble of the late 1990s, warning that unmet expectations could lead to sharp market corrections. This comes as global tech giants like Google announce massive AI investments, including a $15 billion commitment to build an AI data centre in India's Andhra Pradesh, underscoring the rapid influx of capital into AI and its potential implications for economic stability worldwide, including in emerging markets like India.

US President Donald Trump recently moderated his threats of imposing 100% tariffs on Chinese goods after a sharp drop in American stock markets, while China firmly stated it would not back down and would fight to protect its interests. This development, following China's new controls on rare earth exports, exposes the limits of using tariffs to fix trade imbalances and provides important hints for India, which is dealing with US tariffs up to 50% on its goods and additional penalties for importing Russian oil, pushing New Delhi toward reforms and stronger ties with Asian economies.

The Royal Swedish Academy of Sciences has awarded the 2025 Nobel Prize in Economic Sciences to Joel Mokyr, Philippe Aghion, and Peter Howitt for their pioneering research that explains how innovation and the process of creative destruction have transformed economic stagnation into sustained growth over the past two centuries. Announced on October 13, 2025, this recognition highlights the shift from historical economic flatlines to ongoing progress, offering insights into managing technological changes amid global challenges like AI advancements and trade barriers, which are crucial for countries like India aiming for self-reliant development.

Youth-led protests, often called Gen Z movements, have recently erupted in Morocco and Madagascar, joining a global wave seen in countries like Nepal, the Philippines, Indonesia, Bangladesh, and Kenya. In Morocco, demonstrations started in late September 2025 over inadequate public services like healthcare, contrasting with heavy government spending on the 2030 FIFA World Cup infrastructure. In Madagascar, protests began in September 2025 due to frequent power and water shortages, escalating into demands for President Andry Rajoelina's resignation after violent crackdowns. These events highlight young people's growing frustration with economic inequality, joblessness, and elite dominance, amplified by social media, in middle-income countries facing slow growth and unfulfilled promises.

On October 9, 2025, the Supreme Court of India issued an order pausing all work on Haryana's proposed jungle safari park in the Aravalli hills, following a petition highlighting potential ecological harm. This decision comes amid growing debates on balancing development projects like eco-tourism with the protection of fragile ecosystems, especially in the Aravallis, which serve as a vital green barrier for northern India.

Prime Minister Narendra Modi addressed the Global Fintech Fest 2025 in Mumbai on October 9, sharing the stage with UK Prime Minister Keir Starmer. He highlighted India's AI Mission as capable of managing data and privacy issues while promoting 'All Inclusive' AI, showcased India's fintech successes like UPI, and announced enhanced UK-India partnerships to boost global fintech cooperation and innovation.

The Centre has announced the identification of 100 Aspirational Agriculture Districts across 29 states and Union Territories under the Prime Minister Dhan-Dhaanya Krishi Yojana (PMDDKY), with Uttar Pradesh leading the list with 12 districts. This move, approved by the Union Cabinet with an annual outlay of ₹24,000 crore, aims to boost agricultural productivity, promote sustainable practices, and achieve self-reliance in underperforming agricultural regions through the convergence of 36 existing schemes.

Union Home Minister Amit Shah, while inaugurating the expansion of Sabar Dairy in Gujarat on October 3, 2025, highlighted that India's dairy sector has grown by 70% over the past 11 years, making it the fastest-growing in the world. This announcement underscores the sector's role in boosting rural incomes and national GDP, amid ongoing initiatives like White Revolution 2.0 and recent GST reductions on dairy products to further accelerate growth.

India, during its presidency of the Brussels-based International Institute of Administrative Sciences (IIAS), has advanced a proposal for research on a new international governance index. This initiative, highlighted as part of the achievements after 100 days of India's three-year term (2025-2028), aims to challenge Western-dominated indices like the Worldwide Governance Indicators (WGI) and Varieties of Democracy (V-Dem) reports, which have ranked India poorly in areas such as political stability and democracy. The move reflects India's ongoing efforts to promote fairer, context-aware global assessments, drawing from criticisms by government bodies like the Economic Advisory Council to the Prime Minister (EAC-PM) and aligns with broader calls for transparency in international rankings that influence credit ratings and global perceptions.

India hosted the World Para Athletics Championships 2025 for the first time in New Delhi from September 27 to October 5, delivering its best-ever performance with 22 medals (6 gold, 9 silver, 7 bronze). This surpassed the previous record of 17 medals from Kobe 2024, showcasing the rising prowess of Indian para athletes amid government support through initiatives like Target Olympic Podium Scheme (TOPS) and increased infrastructure, while serving as a qualifier for the Los Angeles 2028 Paralympics.