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May 12, 2026
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Public Sector Banks show stronger asset quality, record profitability and healthier capital position amid broad-based credit growth.
Public Sector Banks recorded strong financial performance during FY 2025-26, marked by sustained business growth, improved asset quality, record profitability and a healthy capital position. Aggregate business, deposits and advances expanded sharply, with broad-based credit growth in the retail, agriculture and MSME segments. Asset quality improved significantly as gross and net NPA ratios fell to historically low levels, while provisioning coverage remained above 90% across all PSBs.
May 12, 2026
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Rupee depreciation under geopolitical as US-Iran tensions and surging crude prices pressure foreign exchange markets.
Rupee depreciation in the foreign exchange market was driven to a record closing low against the US dollar amid renewed US-Iran tensions, heightened global risk aversion, and concerns over tighter global supply conditions. Market sentiment was also affected by expectations that elevated crude prices could worsen India's trade deficit and balance-of-payments position, while the dollar remained firm against major currencies. Brent crude rose sharply, reinforcing fears of supply disruption and higher energy costs.
May 12, 2026
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Balance of payments stress test from West Asia crisis raises inflation, current account and rupee pressure for India.
West Asia crisis is described as a live balance of payments stress test for India, with direct implications for inflation, the current account and the exchange rate. Heavy dependence on imported crude, imported LPG and remittance inflows from Gulf countries makes India exposed to disruption in energy supplies and external earnings, while higher global crude prices are expected to enlarge the import bill, weaken foreign exchange reserves, widen the current account deficit and put pressure on the rupee.
May 12, 2026
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Fuel supply stability and under-recoveries shape India's energy response as the government weighs long-term conservation and storage reforms.
India's fuel supply remains stable despite global energy disruptions, with about two months of crude stock, LNG inventories and LPG reserves available and no immediate supply-side shortage reported. State-owned oil marketing companies continue to supply petrol, diesel and cooking gas below cost, and retail prices have remained unchanged for several years despite elevated input costs. The government is reviewing the strain from under-recoveries, promoting fuel conservation, a shift to piped natural gas, larger strategic reserves, expanded refining capacity and wider domestic exploration.
May 12, 2026
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False suicide note on bridge triggers police search, as young man later returns home safely.
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May 12, 2026
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Kimberley Process certification and compliance drive efforts to strengthen trust in ethically sourced natural diamond trade.
The Kimberley Process Intersessional Meeting 2026 in Mumbai focuses on implementation of the Kimberley Process Certification Scheme, monitoring and compliance mechanisms, artisanal and alluvial diamond production, statistics and measures to strengthen trust in the natural diamond value chain. The Kimberley Process Certification Scheme is an international initiative established pursuant to United Nations General Assembly Resolution 55/56 (2000) to prevent conflict diamonds from entering the legitimate diamond trade, with India's 2026 Chairship centred on credibility, compliance and consumer confidence.
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Gold jewellery demand concerns emerge as traders warn of pressure on artisans, exporters and small businesses.
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May 12, 2026
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Economic growth and state-level convergence shape India's path to prosperity through fiscal discipline, GST reform, and targeted state strategies.
India's economic growth has accelerated steadily over four decades, alongside stronger macroeconomic stability, fiscal consolidation, unification of indirect taxation through GST, and a Flexible Inflation Targeting framework that has anchored inflation expectations and enhanced policy credibility. Across states, per capita income has risen sharply, but growth remains uneven even as divergence has narrowed and welfare indicators have converged more decisively. The speech emphasises that future prosperity will require differentiated state-specific growth strategies and a clearer alignment between national and state policy levers.
May 11, 2026
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Austerity measures urged to cut foreign-currency spending, reduce fuel use, and shift travel, work and schooling domestic
Austerity measures were urged as a public response to global disruption caused by the West Asia crisis, with emphasis on reducing avoidable foreign-currency expenditure and shifting daily activities toward lower-cost, domestic alternatives. Citizens were asked to avoid foreign vacations and destination weddings abroad, defer gold purchases, reduce consumption of edible oils, limit use of imported products, and curtail fuel consumption through public transport, electric mobility and carpooling.
May 11, 2026
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Calls for judicious use of fuel and foreign exchange conservation in response to the West Asia conflict emphasise reduced petrol and diesel consumption, greater use of metro rail, carpooling, electric vehicles, railway parcel services and work from home. The appeal also includes postponing gold purchases and foreign travel for one year as measures to ease pressure on the economy and preserve foreign exchange reserves amid disruptions to fuel transport and other global supply effects.
May 11, 2026
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May 11, 2026
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Fuel supply stability and no rationing planned as India strengthens inventories, sourcing, and demand management.
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May 11, 2026
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May 11, 2026
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May 11, 2026
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May 11, 2026
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Bribery allegations in GST refund processing led to a CBI trap and apprehension of a CGST superintendent.
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Customs & Trade

Europe faces stray Ukrainian drones as Kyiv targets Russian oil exports

May 21, 2026

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Kyiv, May 21 (AP) Over the past months, Ukrainian drones have crashed into the chimney of a power plant in Estonia, hit empty fuel tanks in Latvia and been shot down by Romanian fighter jets stationed in Lithuania.

For the first time in a NATO and European Union capital, Lithuanians were pictured sheltering in underground car parks in Vilnius on Wednesday, as authorities warned of unidentified drone activity.

No one has died or been injured recently, but the increasing airspace incursions have prompted some Baltic ministers to chastise Ukraine for the violations. In Latvia, officials' handling of the stray drones led to a political crisis that triggered the collapse of the government earlier this month.

Ukraine has ramped up attacks on Baltic Sea ports used for Russian energy exports in an attempt to hit Moscow's war chest as US President Donald Trump's war in Iran has driven up the price of oil, a key revenue stream for the Kremlin.

As Ukraine's drones have snaked up north, they have skirted the borders of NATO members Latvia, Lithuania, Estonia and Finland. Some of them were not detected before they crashed and landed in some of the Baltic states.

Ukrainian officials apologised and said the drones were aimed at military targets inside Russia but were sent off course by Russian electronic interference.

The string of airspace violations has prompted questions about the state of air defences on NATO's eastern flank.

Ukraine is targeting Russian ports on the Baltic Sea ----------------------------------------------------------- Ukraine's intensifying attacks against Russia have focused on arms factories, ports on the Baltic Sea and energy facilities as the war in Iran has boosted oil prices.

It has particularly targeted the ports of Ust-Luga and Primorsk, close to the borders of Estonia and Finland. Russia uses the ports to load up ships taking its oil exports through the Baltic Sea.

During one attack in May, which set part of the port of Primorsk on fire, more than 60 Ukrainian drones were shot down, Leningrad region governor Alexander Drozdenko said.

After stray Ukrainian drones entered Latvian airspace on May 7, the country's Defence Minister Andris Spruds resigned, leading Prime Minister Evika Silina to also quit days later because she was left without a majority in the coalition government.

On May 19, a Romanian fighter jet based in Lithuania shot down a Ukrainian drone over southern Estonia. Estonian Defence Minister Hanno Pevkur said it was likely aimed at targets in Russia and that he told Ukraine to send its drones “as far from NATO territory as possible.” On Wednesday, NATO fighter jets escorted an unidentified drone which crossed into Lithuania, prompting a red alert urging citizens to take cover around the capital Vilnius, Lithuania's defence ministry said. Contact with the drone was lost, and the military was searching for it, the ministry said.

Russian electronic interference sends drones off course ---------------------------------------------------------------- Since Russia's 2022 invasion of Ukraine, Nordic and Baltic nations have increasingly warned about electronic interference from Russia disrupting communications with planes, ships and drones.

In the Baltic region, Russia often uses jamming and spoofing to send drones off course.

Satellite communications systems — known collectively as the Global Navigation Satellite System, or GNSS — receive precise time signals from satellites around 20,000 kilometres (12,400 miles) away in space. A smartphone, car, marine or aircraft navigation system compares how long it takes to receive signals from several different satellites to calculate an exact location.

Jamming occurs when a receiver is overwhelmed by a strong radio signal transmitted in the same frequency range as GNSS and other satellite navigation signals, leaving the receiver unable to fix its location or time. Spoofing involves transmitting fake signals that imitate a real GNSS satellite signal, commonly known as GPS, to mislead a phone, ship, or aircraft into thinking it is in a different place.

Lithuanian Foreign Minister Kestutis Budrys said Tuesday that Russia is “deliberately” redirecting Ukrainian drones into Baltic airspace with electronic interference.

Drones have been entering Baltic airspace for many months --------------------------------------------------------------------- In September 2025, about 20 Russian drones flew into Poland, putting the spotlight on holes in NATO's air defences, as multimillion-dollar jets were scrambled. Those drones were not detected in advance, Estonia's defence minister said at the time.

Neither was a Ukrainian military drone which crashed with explosives in Lithuania last week, Vilmantas Vitkauskas, chief of Lithuania's National Crisis Management Centre, said on Sunday.

While Poland and Romania responded to the drone incursions last year by deploying new anti-drone technology — the first used by the NATO alliance aimed specifically at countering drones — that system is not in place across the entire Baltic region.

Defending against drones requires solving a complex set of technological, financial and bureaucratic problems and "there is no one solution against every type of drone,” Colonel Janno Mark of the Estonian Defence Forces said.

Tackling various types of drones operating at different speeds and altitudes requires a layered air defence response, Mark said during military exercises in southeastern Estonia.

Budrys, the Lithuanian foreign minister, told AP in an interview Saturday that the Baltic countries are likely going to have to continue to counter incursions from Ukrainian drones as Kyiv now has the capability to reach targets “deep in Russia” as well as ports on the Baltic Sea. The way to counter those drones, he said, is actually with Ukraine's help, as the most effective anti-drone systems have been developed in the country.

Ukraine denies claims it is preparing attacks from the Baltics --------------------------------------------------------------------- Writing on X, Budrys accused Moscow of “waging smear campaigns” after Russia's Foreign Intelligence Service, the SVR, claimed on Tuesday that Ukraine is preparing to launch drone attacks against Russia from the territory of the Baltic countries.

The SVR claimed Ukrainian military personnel had already deployed to Latvia and warned that the country's NATO membership wouldn't protect it from “just retribution.” It did not provide evidence for its claims.

Ukraine's foreign ministry spokesman, Heorhii Tykhyi, said Tuesday that none of the Baltic states or Finland has ever allowed Ukraine to use their airspace for strikes against Russia.

Budrys called the SVR claim a “transparent act of desperation” and an attempt to sow chaos and distract from a “simple reality” — that Ukraine is hitting Russia's military machine hard.

NATO Secretary-General Mark Rutte praised the alliance's reaction to the drone incidents, saying that they had been met with “a calm, decisive and proportionate response.” “This is exactly what we planned and prepared for,” Rutte said, blaming Russia's war on Ukraine for the incursions. (AP) SKS SKS

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