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The Hindu Editorial Analysis
We understand the significance of reading The Hindu newspaper for enhancing reading skills, improving comprehension of passages, staying informed about current events, enhancing essay writing, and more, especially for banking aspirants who need to focus on editorials for vocabulary building. This article will explore today’s editorial points, along with practice questions and key vocabulary.
Centre Sends FCRA Bill to JPC; Opposition Demands Its Withdrawal
- The Lok Sabha on Wednesday passed a motion to refer the Foreign Contribution (Regulation) Amendment Bill, 2026 to a Joint Parliamentary Committee (JPC). The decision was taken amid loud protests from Opposition MPs. The Bill was aimed at institutions run by minority communities, they demanded that the Bill be withdrawn.
- The JPC will have a total of 31 Members. Of them, 21 members will be from the Lok Sabha and they will be nominated by the speaker Om Birla. The other 10 members will be from Rajya Sabha and will be nominated by Chairman C.P. Radhakrishnan.
- The committee has to submit its report to Lok Sabha by the last day of the first week of the Winter Session of Parliament this year.
- The motion to send the Bill to the 31-member JPC was added to the Lok Sabha’s List of Business through a supplementary list shortly before the House was supposed to meet again at 2 p.m. The House had earlier been adjourned just a few minutes after it started at 11 a.m.
- Union Home Minister Amit Shah was listed as the person who would move the motion. However, it was the Minister of State for Home, Nityanand Rai, who actually placed the motion before the House.
- The Bill proposes to set up a designated authority to take over and dispose of the assets of an organization if it loses its licence under the Foreign Contribution (Regulation) Act (FCRA).
- The Opposition said that this provision could affect genuine foreign funding received by Christian NGOs and other social welfare and educational institutions run by minority communities.
- Before the motion was passed, Congress MP K.C. Venugopal said that the Bill clearly targeted NGOs, especially those run by minority communities. He demanded that the government withdraw the Bill.
- Venugopal said that, on one side, the RSS was collecting donations from foreign countries, while on the other side, the government was targeting NGOs. He said that the government should withdraw the Bill.
- Samajwadi Party MP Akhilesh Yadav also demanded that the Bill be withdrawn. He said that the entire Opposition was against the Bill. He also questioned which Bill the government had brought so far that, according to him, was not against minorities. T.R. Baalu of the DMK also demanded that the government withdraw the Bill.
- Parliamentary Affairs Minister Kiren Rijiju challenged the Opposition to point out even one provision in the Bill that was against minorities.
- Rijiju said that if Venugopal or any other MP had concerns about the Bill, they could raise those concerns before the JPC. He said that they would get enough time to discuss and examine the Bill there.
- Rijiju also said the Bill was not targeting any particular minority community. He said he had expected the Opposition not to oppose the decision to send the Bill to a joint committee.
- Rijiju dared Akhilesh Yadav to show one provision of the Bill which was against minorities. “There is a lot of false information being spread across the country and there should be proper rules in such matters,” he said.
- The FCRA Amendment Bill was introduced in Lok Sabha on March 25 but it was not taken up for passage during the Budget Session.
- After the motion was passed on Wednesday, the Lok Sabha was briefly adjourned. The House met again at 3 p.m. and passed the Mines and Minerals Bill without any discussion.
- Earlier in the morning, Speaker Om Birla appealed to the Opposition MPs to allow the smooth functioning of the House. He said that it was not right to damage the image of the House by holding protests and shouting slogans.
- Speaker Om Birla told the protesting MPs that even if their views and way of thinking were different from those of the ruling side, the country wanted Parliament to function properly.
Centre Floats ₹1 Lakh Crore Tender for 60 Aircraft
- On Wednesday, the Defence Ministry issued a tender worth around ₹1 lakh crore for 60 Multirole Transport Aircraft (MTA) for the Indian Air Force (IAF). The move is aimed at replacing the IAF’s old cargo and transport aircraft and at improving its ability to carry out long-distance strategic airlift operations.
- The tender has been given to several Indian companies, including Hindustan Aeronautics Limited (HAL) and major private defence companies, a senior Defence Ministry official said.
- The programme is planned as an Indian-led project. Under it, Indian companies will work together with global Original Equipment Manufacturers (OEMs) to manufacture the aircraft in India.
- Mahindra Defence has partnered with Brazilian aerospace company Embraer and will offer the C-390 Millennium. Tata, meanwhile, has partnered with U.S. company Lockheed Martin to offer the C-130J Super Hercules, which is already being used by the IAF for special operations.
- Under the proposed programme, about 20% of the aircraft are expected to be brought into service in fly-away condition, meaning they will be supplied as fully built aircraft. The remaining aircraft will be manufactured in India.
- The aircraft made in India are expected to have more than 60% indigenous content. They will be produced through joint ventures between Indian companies and the global OEMs.
- The MTA aircraft are expected to give the IAF a better ability to quickly move troops, equipment and other military supplies over long distances. The aircraft could also be modified for aerial refuelling, which would give the IAF an additional capability to use them as tanker aircraft.
- At present, the IAF operates 12 C-130J Super Hercules aircraft. These aircraft are mainly used for special operations and tactical airlift missions.
- Separately, the IAF is also bringing C-295 transport aircraft into service under a programme involving Airbus and Tata. Around 70 such aircraft are planned for the IAF, and most of them are expected to be manufactured in India.
- The MTA programme is part of the IAF’s larger plan to modernise its aircraft fleet. This is especially important because many of its transport aircraft are ageing, while the force also needs to increase its ability to carry troops, equipment and other military assets by air.
- The IAF has also issued a tender for 114 multirole fighter aircraft under its long-pending programme to modernise its fighter fleet.
- At the same time, the IAF is looking to buy more than 100 trainer aircraft. These will replace its ageing Hawk trainer aircraft and help increase its training capacity as the IAF works to increase the number of its fighter squadrons.
- The proposed transport aircraft programme is also expected to help expand India’s domestic aerospace manufacturing sector. It will bring global OEMs into production partnerships with Indian companies and increase the amount of Indian-made content in military airlift aircraft.
Government Considers MDR Charges to Make UPI Self-Sustaining
- The Standing Committee on Finance told Parliament on Wednesday that the current UPI system cannot continue financially in its present form. It said this situation could affect important spending on cybersecurity, preventing fraud and maintaining the network infrastructure needed to keep UPI running safely and smoothly.
- In response, the government told the Committee that it is currently looking at two possible ways to make the UPI platform financially self-sustaining, so that it can meet its costs without depending heavily on government support.
- The first option being considered is to bring in a charge on certain high-value transactions and merchants who have a high volume of transactions.
- The second option is to introduce a “tiered incentive structure”. Under this system, the government would gradually reduce and eventually phase out its present support. At the moment, the government pays part of the processing cost faced by payment companies and other players for handling low-value UPI transactions made at small merchants.
- These details were given in the report of the Standing Committee on Finance, which was placed before the Lok Sabha on Wednesday. The government gave this response after the Committee recommended that some method should be found to make UPI financially sustainable without putting an additional burden on the government budget.
- The Department of Financial Services told the Committee that, keeping in mind the long-term financial health of the UPI system and the amount of money being spent by the government, it is currently considering two options: (i) checking whether MDR can be brought back for certain high-value transactions or merchants crossing a particular transaction limit, and (ii) introducing a tiered incentive system through which government support can be gradually reduced over the next few years.
- Merchant Discount Rate (MDR) is a fee charged to merchants by different parts of the payment system, such as banks, payment processors and payment gateways, for handling and processing their transactions.
- At present, MDR is charged on most debit card transactions and all credit card transactions. However, UPI and RuPay debit card transactions have been kept outside MDR since 2020, meaning merchants do not have to pay this charge on these transactions.
- The Committee also found that the government’s existing scheme, under which payment processors are given some money to cover the cost of processing UPI transactions, is much lower than the actual cost being faced by the industry.
- The report pointed out a very large difference between the amount provided by the government and the actual cost estimated by the industry. The government has allocated ₹2,000 crore, while the industry has estimated that its operational cost is around ₹20,700 crore.
- The Committee said that it was deeply concerned about this very large gap, as the money being provided under the current government scheme is far from enough to meet the actual costs involved in running and processing UPI transactions.
- The report also said that UPI is expected to handle up to 150 billion transactions every month and could add around 600 million new users. This means that the number of transactions and users could rise sharply, which would also increase the cost of running and maintaining the UPI system.
- Even with this expected growth, the government’s present incentive scheme covers only around 11% of the industry’s actual costs and 14% of the MDR that could potentially be collected if such charges were applicable.
- The Committee therefore said that the present incentive system provides far less money than the actual cost of running the UPI payment system. It also said that the current arrangement unnecessarily increases the overall Demand for Grants of the Department of Financial Services, adding to the amount that the government has to provide in its budget.
Important Questions
- Why did the Opposition MPs demand that the government withdraw the Foreign Contribution (Regulation) Amendment Bill, 2026, from Parliament?
- What does the proposed Bill seek to do with the assets of an organisation after it loses its licence under the Foreign Contribution (Regulation) Act?
- What is the main purpose of the Defence Ministry’s ₹1 lakh crore tender for 60 Multirole Transport Aircraft for the Indian Air Force?
- How is the proposed Multirole Transport Aircraft programme expected to strengthen India’s domestic aerospace manufacturing sector?
- Why did the Standing Committee on Finance state that the present UPI system cannot continue financially in its current form?
- What are the two possible options being considered by the government to make the UPI platform financially self-sustaining in the long term?
Important Vocabulary
- Supplementary — added to something extra or in addition.
- Designated — officially chosen for a particular purpose.
- Dispose — to deal with or take action regarding something.
- Provision — a specific part or condition of a law.
- Strategic — related to a carefully planned long-term objective.
- Indigenous — produced or developed within the country.
- Tactical — related to actions planned to achieve a specific military objective.
- Modernise — to make something more modern and suitable for present needs.
- Sustainable — able to continue for a long period without serious problems.
- Incentive — something offered to encourage a particular action.
- Operational — related to the working or functioning of a system.
- Infrastructure — the basic systems and facilities needed for something to operate.
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