UPSC CSE Current Affairs — 5 June 2026

Pradhan Mantri Mudra Yojana (PMMY), launched April 8, 2015, completed 11 years of providing collateral-free loans to micro and small enterprises. Operating through three categories—Shishu (up to ₹50,000), Kishor (₹50,001-₹5 lakh), Tarun (₹5-₹10 lakh)—PMMY has sanctioned over 40 crore loans worth ₹23 lakh crore. Administered by MUDRA Limited under RBI, it targets non-corporate, non-farm income-generating activities. Women borrowers constitute 68% of beneficiaries, promoting financial inclusion and entrepreneurship.

PMMY addresses the critical credit gap facing India's 5.77 crore micro-enterprises, which contribute 30% to GDP but struggled with formal credit access. The scheme operates through all scheduled commercial banks, RRBs, cooperative banks, MFIs, and NBFCs, creating a comprehensive delivery network. Its significance lies in democratizing credit—moving from traditional collateral-based lending to cashflow-based assessment. The Mudra card facility provides working capital flexibility, while priority sector lending norms incentivize banks. PMMY's success metrics include job creation (estimated 12+ crore), formalization of informal sector businesses, and reduced dependence on informal money lenders. The scheme particularly empowers women entrepreneurs, SC/ST communities, and first-generation entrepreneurs. However, challenges include NPAs in microfinance, over-indebtedness concerns, and ensuring credit reaches intended beneficiaries versus consumption purposes. Recent focus includes digital lending platforms, integration with PM SVANidhi for street vendors, and strengthening post-sanction monitoring. PMMY represents India's largest microfinance initiative, crucial for achieving the vision of becoming a $5 trillion economy by leveraging grassroots entrepreneurship.

Union Finance Minister Nirmala Sitharaman inaugurated a farmers' training and agro-processing centre in Yadgir district, Karnataka on June 4, 2024. The facility aims to enhance agricultural productivity through skill development and value addition training for local farmers. Yadgir, known for its drought-prone conditions and agricultural challenges, will benefit from modern farming techniques and post-harvest processing capabilities. The centre represents government's focus on transforming agriculture through infrastructure development and capacity building initiatives.

This inauguration reflects the government's multi-pronged approach to agricultural transformation through institutional capacity building. Yadgir district, part of Karnataka's northern plains, faces chronic drought conditions and low agricultural productivity, making such interventions crucial. The training centre addresses the critical gap between traditional farming practices and modern agricultural techniques, while the agro-processing component tackles post-harvest losses—estimated at 15-20% of total production nationally. This dual approach of skill enhancement and value addition aligns with the broader vision of doubling farmers' income by promoting crop diversification, improved practices, and direct market linkages. The centre will likely offer training in precision farming, organic cultivation, integrated pest management, and food processing technologies. Karnataka's agriculture contributes about 15% to the state's GDP, employing nearly 55% of the workforce. Such infrastructure development is vital for addressing rural distress, reducing migration to urban areas, and creating local employment opportunities. The initiative also supports the government's Atmanirbhar Bharat vision by strengthening rural economies and reducing import dependence for processed foods.

World Bank provides comprehensive support to India's air pollution challenge through the $300 million Air Pollution Control and Management Program (APCMP) approved in 2021. India's entire 1.4 billion population faces unhealthy PM2.5 exposure, particularly in Indo-Gangetic plains. The program targets vehicular emissions, industrial pollution, and agricultural burning through technology transfer, institutional strengthening, and policy reforms. Focus areas include real-time monitoring systems, cleaner fuel transitions, and state-level implementation frameworks across priority cities and regions.

India's air pollution crisis represents a critical development challenge where 21 of the world's 30 most polluted cities are Indian, with economic losses estimated at $95 billion annually. The World Bank's intervention addresses systemic failures in pollution control through three strategic pillars: institutional capacity building, technology adoption, and cross-sectoral coordination. The program specifically targets PM2.5 levels exceeding WHO guidelines by 5-10 times, particularly in Delhi-NCR and Indo-Gangetic plains where crop burning contributes 40% of winter pollution. Beyond health impacts affecting 1.67 million annual deaths, air pollution reduces agricultural productivity, increases healthcare costs, and constrains economic growth. The Bank's approach integrates global best practices with local contexts, emphasizing real-time monitoring networks, cleaner production technologies, and sustainable urban transport. This support aligns with India's National Clean Air Programme (NCAP) goals of 20-30% pollution reduction by 2024, addressing both immediate health concerns and long-term sustainable development objectives while building climate resilience.