How is the extension of PM SVANidhi for street vendors relevant to the UPSC exam? What is the significance of topics such as brown dwarfs, cloudbursts, and the H-1B visa program for both the Preliminary and Main exams? You can learn more by reading the Indian Express UPSC Key for August 28, 2025.
President Donald Trump listens with Secretary of Defense Pete Hegseth, center, as Secretary of Commerce Howard Lutnick, right, speaks during a cabinet meeting at the White House, Tuesday, Aug. 26, 2025, in Washington. Know more in our UPSC Key. (AP Photo)
Preliminary Examination: Current events of national and international importance
Mains Examination: General Studies-II: Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests.
What’s the ongoing story: United States Commerce Secretary Howard Lutnick on Tuesday called the H-1B visa program a “scam” and asked “all great American businesses” to “hire American”.
“The current H-1B visa system is a scam that lets foreign workers fill American job opportunities,” he said in an interview to Fox News. “…Now is the time to hire American.”
Key Points to Ponder:
— What is the H-1B visa?
— What are the issues related to the H-1B visa?
— What significant policy changes have occurred in recent years regarding the H-1B visa?
— Immigration is one of the most polarising political issues in the US. What does it mean?
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— What do you know about the Golden Card project of Trump?
— What is the contribution of Indian Americans to US Society and economy?
Key Takeaways:
— The H-1B program has long been a highly desired pathway for Indians to migrate to the US — more than 70% of all approved H-1B petitions since 2015 have been from Indians, according to United States Citizenship and Immigration Services (USCIS) data.
— The H-1B visa program allows American employers to hire immigrant workers in occupations that require “a high level of skill” and “at least a bachelor’s degree”, according to the US Department of Labor.
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— The visa category was created by the Immigration Act, 1990, with the intention of helping “employers who cannot otherwise obtain needed business skills and abilities from the US workforce by authorising the temporary employment of qualified individuals who are not otherwise authorised to work in the United States”.
— The H-1B program was preceded by a long tussle between industry groups and workers’ unions in the US. Business groups such as the US Chamber of Commerce and the National Foreign Trade Council successfully lobbied Congress to loosen restrictions on hiring immigrant workers.
— In the 1990s, as the technology sector boomed, companies like Microsoft and Oracle, and later Google and Amazon, needed specialised talent to fuel their growth but domestic supply was found wanting. The H-1B program allowed these companies to hire lakhs of highly skilled workers from countries like India and China to meet the shortfall.
— It is this dominance of Indians that has caught the attention of nativist MAGA Republicans who argue that Indians coming to the US to work in the tech industry are “stealing” American jobs and depressing wages.
— There is some truth to this criticism. Nearly 70% of H-1B petitions approved for Indian professionals in US fiscal year 2023 were for salaries below $100,000 per annum, an analysis of data on 60,000 approvals from USCIS obtained by Bloomberg showed. For context, the median salary for IT professionals in the United States was $104,420 in May 2023, according to the US Bureau of Labor Statistics.
Do You Know:
— Indians have been the biggest beneficiaries of the H-1B program, accounting for more than 70% of successful H-1B petitions. The Chinese, who account for 12-13%, are a distant second, USCIS data show.
— An H-1B visa can be issued for a maximum of six years at a stretch, after which the visa holder has to either leave the US for a period of at least 12 months before returning, or apply for and receive permanent residence (“Green Card”).
— Currently, there is an annual numerical limit (regular cap) of 65,000 new statuses/ visas under this program each fiscal year, with an extra 20,000 visas available to those with a master’s degree or higher from a US university.
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— Trump has floated a “Golden Card” project which would provide residency and citizenship to wealthy individuals who invest around $1 million in a business that creates jobs, or $800,000 in a rural or economically depressed area. Lutnick referenced this project in his interview with Fox News, saying that it will allow the US to “start picking the best people”.
— United States Secretary of Commerce Howard Lutnick said on Monday (June 16) that around 70,000 people had signed up for the new golden Trump Card, a new visa scheme which would offer permanent residence in the country for $5 million.
Preliminary Examination: Current events of national and international importance
Mains Examination: General Studies-III: Science and Technology- developments and their applications and effects in everyday life
What’s the ongoing story: A team of scientists has discovered an extremely rare quadruple star system in the Milky Way, according to a new study. The system — known as UPM J1040−3551 AabBab — consists of a pair of cold brown dwarfs orbiting a pair of young red dwarf stars, a configuration never seen before, the analysis said.
Key Points to Ponder:
— What are dwarf stars?
— What are pulsars?
— How stars are formed?
— What is the significance of these discoveries?
— What do you understand about dark matter?
Key Takeaways:
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— The study, ‘Benchmark brown dwarfs – I. A blue M2 + T5 wide binary and a probable young [M4 + M4] + [T7 + T8] hierarchical quadruple’, appeared in the September issue of the journal Monthly Notices of the Royal Astronomical Society.
— Brown dwarfs are curious celestial bodies that share some similarities with stars and others with planets. For instance, these objects form like stars from collapsing clouds of gas and dust. However, they do not have enough mass to consistently fuse hydrogen, a process that heats a star and makes it shine. That is why they are often known as “failed stars”.
— They have atmospheres similar to gas giant planets such as Jupiter and Saturn. Their atmospheres can consist of clouds and molecules like H2O. Brown dwarfs can also be up to 70 times more massive than Jupiter.
— Brown dwarfs can be difficult to detect as they are cold and faint. As a result, astronomers typically search for brown dwarfs orbiting companion stars, which often burn brighter.
— This also helps them study these celestial bodies because if a brown dwarf is part of a multiple system with a brighter star, the chances are they were formed out of the same material, at the same place and time.
— That is why the recent discovery of the quadruple star system is significant. Although the two brown dwarfs, which are both about the size of Jupiter, of the system emit almost no visible light, there is a pair of young dwarfs — the most common type of stars in the Milky Way — which are much brighter than their companions.
— Brown dwarfs are significant as they can help astronomers better understand the conditions that are necessary for the formation of stars and planets.
— Determining the abundance and distribution of brown dwarfs gives key information on the distribution of mass in the universe to astronomers. Note that much of the universe’s mass has thus far been undetectable and is known asdark matter.
Do You Know:
— The stars in the sky seem to shine forever, but they too are subject to lifespans determined by their mass and internal physics. Some last for billions of years and others are transitory in comparison, with far shorter lifetimes.
— Regardless of duration, all stars survive by maintaining a balance between two competing forces: the inward pull of gravity and the outward pressure produced by nuclear energy.
— The surrounding shell of hydrogen just outside the core also heats up and reignites in a thin layer. This shell-burning dumps energy into the star’s outer layers, causing them to expand dramatically. The star becomes a red giant—swollen, cooler on the surface, but far more luminous than before.
— Eventually, the star cannot sustain further fusion. The outer layers are gently expelled into space, forming a glowing planetary nebula, while the core is left behind as a white dwarf: a hot, dense object roughly the size of Earth, composed mostly of carbon and oxygen. About 95% of stars in an average galaxy like our Milky Way end up as white dwarfs.
— These stars can reach the extreme core temperatures required to fuse progressively heavier elements — carbon, oxygen, silicon — all the way up to iron.
— At this point, the physics changes dramatically. The fusion of iron does not release energy; instead, it consumes it. Without any source of pressure to oppose gravity, the core collapses in on itself within seconds. It becomes incredibly dense, forming a neutron star, or if massive enough, a black hole.
— Pulsars are rapidly spinning neutron stars that are the collapsed cores of massive stars. They have an incredibly fast rotational period, spinning around every few milliseconds and emitting flashes of high energy gamma and X-rays while doing so.
Preliminary Examination: Indian and World Geography-Physical, Social, Economic Geography of India and the World.
Mains Examination: General Studies-I, III: Important Geophysical phenomena such as earthquakes, Tsunami, Volcanic activity, cyclone etc., geographical features and their location-changes in critical geographical features (including water-bodies and ice-caps) and in flora and fauna and the effects of such changes, Disaster and disaster management.
What’s the ongoing story: At least 41 people, most of them Vaishno Devi pilgrims, died in Jammu’s Reasi and Doda districts between Tuesday and Wednesday as the heaviest-ever rainfall recorded during 24 hours in Jammu province left a trail of death and devastation.
Key Points to Ponder:
— What are cloudbursts? Is the frequency of cloudbursts increasing?
— Can cloudbursts be forecast?
— Why do cloudbursts mostly occur in hilly or mountainous areas?
— What is flash flooding?
— How can cloudbursts lead to flash floods?
— What should India do to reduce the risk of future catastrophe?
Key Takeaways:
— Thirty-four people died near Adhkunwari en route to the shrine on Tuesday afternoon following a cloudburst in the area, while four died in the hilly Doda district due to rain and flash floods earlier in the morning.
Damaged road following a cloudburst in Kathua. (PTI Photo)
— J&K Lt Governor Manoj Sinha, who visited a hospital in Katra to enquire about the health of 13 injured pilgrims there, said, “A cloudburst occurred and devotees at Ardhkuwari were caught in it. It was a heart-wrenching natural calamity in which we lost precious lives. We are providing all possible assistance to their families.”
— There are two routes up to the shrine. While the yatra had been suspended on the Himkoti trek route since Tuesday morning, it was allowed on the old route until 1:30 pm, when authorities decided to suspend it until further notice.
— Official sources said that in just a 24-hour period, Jammu recorded 380 mm of rainfall on Tuesday. This is the maximum rainfall ever recorded in Jammu in a 24-hour period since 1910, when the observatory was established, they added. The previous record was 270.4 mm recorded on September 25, 1988.
Do You Know:
— A cloudburst is a localised but intense rainfall activity. It is a short-term extreme precipitation that takes place over a small area; it is not, as is sometimes understood, the breaking open of a cloud resulting in the release of huge amounts of water. Cloudbursts have a very specific definition.
—The India Meteorological Department (IMD) defines cloudburst as unexpected precipitation exceeding 100mm (or 10 cm) per hour over a geographical region of approximately 20 to 30 square km. Significant amounts of rainfall such as this can result in floods.
— Basically, all instances of cloudbursts involve heavy rain in a short period, but all instances of heavy rain in a short period are not cloudbursts if they do not fit this criterion.
Previous year UPSC Prelims Question Covering similar theme:
(3) Which of the following statements with regard to cloudburst is/are correct? (UPSC CDS 2017)
1. It is defined as sudden localized very heavy downpour with cloud thunder and lightning.
2. It mostly occurs in the hilly areas.
3. It results into very high intensity of rainfall, i.e., 250 mm-300 mm in a couple of hours.
4. It occurs only during the daytime.
Select the correct answer using the code given below.
(a) 1, 2, and 3
(b) 1, 3, and 4
(c) 2 and 3
(d) 2 only
Previous year UPSC Mains Question Covering similar theme:
Discuss the recent measures initiated in disaster management by the Government of India departing from the earlier reactive approach. (UPSC CSE 2020)
Disaster preparedness is the first step in any disaster management process. Explain how hazard zonation mapping will help disaster mitigation in the case of landslides. (UPSC CSE 2019)
Preliminary Examination: Current events of national and international importance
Mains Examination: General Studies-II: Government policies and interventions for development in various sectors and issues arising out of their design and implementation.
What’s the ongoing story: The Union Cabinet Wednesday approved the restructuring of the PM SVANidhi loan scheme for street vendors, extending it till March 31, 2030 and enhancing the loan amount.
Key Points to Ponder:
— What was the objective of introducing PM SVANidhi loan scheme?
— It is implemented by which ministry?
— The extension of the scheme envisages the holistic development of street vendors. What do you understand from this statement?
— What is the Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014?
— What are the challenges faced by the street vendors?
Key Takeaways:
— The scheme was launched in 2020 as a part of the government’s economic package during the Covid-19 pandemic and lockdown.
— On Wednesday, the Cabinet, chaired by Prime Minister Narendra Modi, extended the lending period from December 31, 2024 to March 31, 2030, which is expected to benefit 1.15 crore beneficiaries, including 50 lakh new ones, a government statement said.
— As per the statement, the first tranche was increased from Rs 10,000 to Rs 15,000 and the second tranche from Rs 20,000 to Rs 25,000. The third remains Rs 50,000. The scheme will be implemented by the Ministry of Housing and Urban Affairs and the Department of Financial Services, it said.
— The scheme’s total outlay would be Rs 7,332 crore, it said. As of July 30, 96 lakh loans worth `13,797 crore have been disbursed to 68 lakh street vendors. Once vendors pay off the first tranche, they are eligible for the second and similarly, after the second tranche is repaid, they can avail of the third.
— The revamped scheme, which was a part of the Budget, will also give the vendors incentives of up to `1,600 cashback for retail and wholesale digital transactions.
Do You Know:
— There are an estimated 50-60 lakh street vendors in India, with the largest concentrations in the cities of Delhi, Mumbai, Kolkata, and Ahmedabad. Most of them are migrants who typically work for 10–12 hours every day on average.
— Anyone who doesn’t have a permanent shop is considered a street vendor. According to government estimates, street-vending accounts for 14 per cent of the total (non-agricultural) urban informal employment in the country.
— The Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014 was enacted to regulate street vendors in public areas and protect their rights. It was introduced in Lok Sabha on September 6, 2012 by then Union Minister of Housing and Urban Poverty Alleviation, Kumari Selja.
— The Act defines a “street vendor” as a person engaged in vending of articles… of everyday use or offering services to the general public, in…any public place or private area, from a temporary built up structure or by moving from place to place”.
— The implementation of the Act has been patchy. According to NASVI, barring in a few districts in Punjab, Madhya Pradesh, and Maharashtra, town vending committees haven’t been formed, and street vendors continue to have to fend for themselves.
— Street vending across the Global South is highly gendered and is shaped by caste-class dynamics too. For instance, women constitute the majority of street food vendors, with 70-80% of street food stalls operated by them.
— Moreover, a 2010 census of street children in Delhi revealed that there are around 51,000 street children in the city, with nearly 70% of them fending for themselves in the street; of these, 36% were Dalits and 17% were Adivasis.
UPSC Mains practise Question Covering similar theme:
What rights and protections does the Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014 offer to street vendors? How effective has it been in safeguarding the interests of street vendors?
Preliminary Examination: Current events of national and international importance.
Mains Examination: General Studies-III: Science and Technology- Achievements of Indians in science & technology; indigenization of technology and developing new technology; Awareness in the fields of IT and space.
What’s the ongoing story: Three hyperspectral imaging satellites developed by the Indian startup Pixxel were successfully placed in orbit by SpaceX’s Falcon 9 rocket early Wednesday morning. The launch of the three satellites, along with the three launched earlier in January, marked the completion of the first phase of the Firefly constellation.
Key Points to Ponder:
— What is the Firefly constellation?
— What is hyperspectral imaging? How can it help in monitoring Earth’s ecosystems and climate change?
— How is hyperspectral imaging different from normal and multispectral imaging?
— What are the applications of hyperspectral satellites in various sectors?
— What is a satellite bus?
— Read about the role of the private sector in strengthening India’s space sector.
— Know about the IN-SPACe and SpaceX’s Falcon-9.
Key Takeaways:
— The same Falcon-9 mission also launched the payloads based on the P-30 satellite bus developed by the Indian startup Dhruva Space. A satellite bus is the backbone of a satellite that contains all essential sub-systems—power, propulsion, communication—on which the payloads are attached. Dhruva’s LEAP-1 contains two payloads: an advanced AI module and a hyperspectral imager.
— Pixxel plans to create an 18-24 satellite constellation, depending on customer needs. With the first six satellites, the company will be able to provide global coverage every 24 hours. The satellites will also provide high-resolution images of the Earth at a 5-metre resolution, captured in 135 spectral bands.
— The basic RGB images are captured in three spectral bands of visible light. A multi-spectral image is captured in four to 12 bands, ranging from visible to near-infrared light, while hyperspectral images are captured in 37 to more than 100 spectral bands, ranging from visible to short-wave infrared light. This produces detailed images that enable consumers to monitor Earth’s ecosystems with extreme accuracy. It also has significant potential in sectors such as agri-business, oil and gas, and mining.
— While many earth observation satellites are capable of informing customers about crop health, hyperspectral images can tell which nutrients are missing from the soil. These images can also distinguish between different species and subspecies of crops, which is not possible with many other Earth observation satellites.
— This detailed data can help companies, say, predict their yields better. When it comes to the oil and gas sector, hyperspectral images can be used to detect invisible leaks of compounds such as methane or underground leaks that cannot be easily spotted. In the mining sector, it can be used to remotely map the minerals that are available in an area.
— The company plans to expand its fleet with Honeybees, satellites that will work with Fireflies to establish a persistent, planet-wide health monitoring system. The Honeybees will enhance hyperspectral reading with further observation in the electromagnetic spectrum. Not only will they offer coverage in broader spectrum ranges, but they will also enable faster revisit times.
Do You Know:
— A Pixxel-led consortium recently won the Indian National Space Promotion and Authorisation Centre (IN-SPACe) bid to set up the country’s fully-indigenous commercial earth observation satellite constellation in collaboration with the government.
— The constellation will be deployed in a phased manner over four years to ensure continuous service upgrades and expanded coverage. Once the constellation becomes operational, it will be among the most advanced earth observation systems in the world.
Secondary, tertiary effects of US tariffs on economy pose challenges: FinMin report
Syllabus:
Preliminary Examination: Current events of national and international importance.
Main Examination: General Studies-II, III: Effect of policies and politics of developed and developing countries on India’s interests, Indian Economy.
What’s the ongoing story: THE IMMEDIATE impact of an extra 50 per cent US tariff on Indian exports may appear limited, but their secondary and tertiary effects on the economy pose challenges that must be addressed, the Finance Ministry said in its latest monthly economic report.
Key Points to Ponder:
— Read about the India-US trade negotiations.
— What are India’s import and export trends with the US?
— What are tariffs? Why are tariffs imposed?
— What are the sectors to be affected most by the higher tariff imposed by the US?
— What are the Goods exempt from Trump’s tariffs?
— What steps should be taken to manage the implications of higher tariffs?
Key Takeaways:
— In this context, the ongoing India-US trade negotiations will be crucial, it said in its July review of the economy, even as uncertainties persist on whether the tariff quantum could be minimised anytime soon.
— The US government has imposed a total of 50 per cent additional tariffs on Indian exports to America, barring a few sectors, beginning Wednesday. The tariff increase will make Indian goods uncompetitive in several sectors, as many other Asia Pacific countries attract a 15-20 per cent tariff.
— While India is actively pursuing a diversified trade strategy to sustain its resilient trade performance, “these initiatives will take time to show results and may not fully address the shortfall in exports to the US that may arise if the current tariff rates on India persist,” the Ministry said.
— India recently concluded free trade agreements (FTAs) with the UK and EFTA and ongoing FTA negotiations with the US, EU, New Zealand, Chile, and Peru.
— While upgrading India’s rating to ‘BBB’ from ‘BBB-‘, S&P Global Ratings recently said, though the US is India’s largest trading partner, “we do not expect the 50 per cent tariffs (if imposed) to pose a material drag on growth.”
— India’s exports to the US constitute about 2 per cent of the Gross Domestic Product (GDP). Factoring in sectoral exemptions on pharmaceuticals and consumer electronics, the exposure of Indian exports subjected to tariffs is lower at 1.2 per cent of GDP.
Do You Know:
— Tariffs are taxes or duties imposed by a government on imported goods and services. Their objective is to make foreign products more expensive compared to domestically produced goods, thereby encouraging consumers to prefer local products. Tariffs also act as a protective measure for domestic industries against foreign competition. Additionally, they serve as a source of revenue for the government.
— With Trump’s new tariffs kicking in, trade experts estimate that the value of India’s merchandise exports to the US could drop by as much as 40-45% in 2025-26 compared with the previous year.
— Around 30 per cent of exports to the US — valued at $27.6 billion in FY25 — will remain duty free as product categories like pharmaceuticals, electronics, and petroleum products have been exempt from Trump’s tariffs, while 4 per cent of the exports — mainly auto parts — will face a 25 per cent tariff rate.
— Meanwhile, competitors like Vietnam, Bangladesh, Cambodia, and even China and Pakistan, which currently face lower tariffs from the Donald Trump administration, are set to benefit from India’s potential losses in various export-oriented sectors.
Previous year UPSC Mains Question Covering similar theme:
What are the key areas of reform if the WTO has to survive in the present context of ‘Trade War’, especially keeping in mind the interest of India? (UPSC CSE 2018)
There are some steps India can take to minimise the effects of the tariffs.
India’s export basket is not very broad and spans only a few sectors. We are also heavily dependent on the US ( 17 per cent of our goods exports) and the EU. The most important thing which needs to be done is to diversify both our export basket and destinations. This will require, of course, at least a few years and will need robust public-private partnerships.
Second, we need to conclude our FTA with the EU as quickly as possible and deepen and widen our existing FTAs with Japan, Korea, ASEAN and Australia.
Third, we must explore expanding trade with the BRICS countries.
Finally, we need to bring in multi-sectoral domestic reforms spanning both the Centre and the states to provide the impetus to economic growth.
Last Saturday, the Defence Research and Development Organisation (DRDO) announced the maiden flight test of a new, all-indigenous, Integrated Air Defence Weapon System (IADWS) off the coast of Odisha.
Besides the growing synergy between India’s public and private sector defence firms, there are opportunities for working with foreign partners, such as the Israeli military, in developing integrated air defences that can repulse combined operations by the Pakistani and Chinese air forces, such as during Operation Sindoor earlier this year.
PRELIMS ANSWER KEY
1. (c) 2. (a) 3. (a)
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Khushboo Kumari is a Deputy Copy Editor with The Indian Express. She has done her graduation and post-graduation in History from the University of Delhi. At The Indian Express, she writes for the UPSC section. She holds experience in UPSC-related content development. You can contact her via email: khushboo.kumari@indianexpress.com ... Read More
Roshni Yadav is a Deputy Copy Editor with The Indian Express. She is an alumna of the University of Delhi and Jawaharlal Nehru University, where she pursued her graduation and post-graduation in Political Science. She has over five years of work experience in ed-tech and media. At The Indian Express, she writes for the UPSC section. Her interests lie in national and international affairs, governance, economy, and social issues. You can contact her via email: roshni.yadav@indianexpress.com ... Read More