Current Affairs For Examinations (CAFE) 2026

May 06, 2026

Explore the latest current affairs of 2026 with daily updates covering important developments from India and across the world. This section provides concise and reliable news on national events, international relations, economy, environment, science and technology, security, and government schemes. Carefully curated for UPSC, SSC, Banking, State PCS, and other competitive exam aspirants, these updates highlight key facts, policy changes, reports, and global developments that are frequently asked in exams. Each topic is explained in a clear and easy-to-understand format, helping readers quickly grasp the significance and exam relevance. From major government initiatives and economic reforms to environmental issues and international agreements, our current affairs coverage ensures you stay informed and exam-ready with accurate, timely, and structured information every day.

International Affairs

1. Mayon Volcano

Context:

The recent escalation of the Mayon Volcano to Alert Level 3 in May 2026 highlights the persistent volcanic threat in the Philippines. Characterized by Strombolian activity, Mayon is a prime example of a stratovolcano that balances aesthetic beauty with extreme geological danger.

Understanding the Volcanology of Mayon

Mayon is not just a landmark; it is a highly efficient “geological machine” driven by the tectonic forces of the Pacific Ring of Fire.

The Composite Structure

As a stratovolcano (or composite volcano), Mayon is built from alternating layers of hardened lava, tephra, and volcanic ash. Its “perfect cone” is a rarity in nature, maintained because its eruptions typically originate from a single central vent rather than multiple side vents, which would otherwise distort its symmetry.

The Tectonic Engine

Mayon’s activity is fueled by the subduction of the Philippine Sea Plate beneath the Philippine Mobile Belt. As the plate sinks into the mantle, it melts, creating magma that rises through the crust to feed the Bicol Volcanic Chain.

Strombolian & PDCs

The current activity in 2026 is described as Strombolian, which offers a specific set of characteristics and risks:

• Strombolian Activity: Named after the Stromboli volcano in Italy, this involves relatively mild but frequent bursts of incandescent lava. It often creates “fireworks” displays as molten cinders and “lava bombs” are ejected into the air.
• Pyroclastic Density Currents (PDCs): These are the primary killers at Mayon. PDCs are high-speed avalanches of hot gas, ash, and rock that can reach temperatures of $700^\circ\text{C}$ and speeds of $100\text{ km/h}$. They follow gravity and flow down the ravines of the volcano.
• Lahars: During heavy rains (common in the Bicol region), volcanic ash on the slopes mixes with water to create “lahars”—destructive volcanic mudflows that can bury entire villages far beyond the crater.

The Alert System

The Philippine Institute of Volcanology and Seismology (PHIVOLCS) uses a 5-level alert system. The current Alert Level 3 indicates “Increased Tendency Towards Hazardous Eruption.”

Alert Level	Meaning	Action Required
Level 1	Abnormal	No immediate evacuation; stay out of the 6km PDZ.
Level 2	Increasing Unrest	Possible magma intrusion; preparation for evacuation.
Level 3	Relatively High Unrest	Magma is at the crater; Evacuation of high-risk areas.
Level 4	Hazardous Eruption Imminent	Eruption expected within days.
Level 5	Hazardous Eruption in Progress	Major eruption occurring; extreme danger.

Conceptual MCQs

Q1. What specific plate tectonic process is responsible for the formation of the Mayon Volcano?

A) Divergence of the Pacific Plate.

B) Subduction of the Philippine Sea Plate.

C) Transformation of the Eurasian Plate.

D) Continental collision of the Indian and Eurasian plates.

Q2. In volcanology, what does “Strombolian activity” typically refer to?

A) Continuous, quiet flows of thin basaltic lava.

B) Violent, massive explosions that reach the stratosphere.

C) Intermittent, fountain-like bursts of incandescent lava and cinders.

D) Undersea volcanic activity that creates new islands.

Q3. Why is Mayon referred to as a “composite” or “stratovolcano”?

A) Because it is made of a mixture of ice and rock.

B) Because it is composed of alternating layers of lava flows and volcanic ash/pyroclastic material.

C) Because it has multiple active craters spread across a large plain.

D) Because it only erupts once every thousand years.

Answers: Q1: B | Q2: C | Q3: B

National Affairs

1. Project Deepak

Context:

The 66th Raising Day celebration of Project Deepak on May 4, 2026, marks a significant milestone for the Border Roads Organisation (BRO). As one of the oldest pillars of India’s border infrastructure, Project Deepak plays a dual role: acting as a strategic multiplier for the Indian Armed Forces and a lifeline for the civilian population in the Western Himalayas.

About Project Deepak

Project Deepak is an executive arm of the BRO, tasked with some of the most difficult engineering feats in the world.

• Year of Raising: 1961 (Just a year before the Sino-Indian War, highlighting its strategic birth).
• Headquarters: Shimla, Himachal Pradesh.
• Parent Body: Border Roads Organisation (BRO), under the Ministry of Defence.
• Primary Mandate: Construction and maintenance of strategic infrastructure in Himachal Pradesh.

A. Vital Connectivity Axes

• The Manali-Leh Axis: Project Deepak maintains critical stretches of this route, which is the primary supply line for the Ladakh sector.
• Hindustan-Tibet Road (NH-5): This historic road connects the heart of Himachal to the border outposts near the Tibet border, facilitating swift troop movement and trade.
• The Rohtang Factor: While the Atal Tunnel has simplified transit, Project Deepak remains responsible for maintaining the high-altitude passes and approach roads that are susceptible to heavy snowfall.

B. Geographic Reach

It operates in the most sensitive and rugged districts of Himachal Pradesh:

• Kinnaur & Lahaul-Spiti: Strategic districts bordering Tibet.
• Shimla & Kullu: Vital hubs for logistics and regional connectivity.

Key Challenges and Roles

• Extreme Engineering: Working at altitudes exceeding 10,000 feet, the unit deals with sub-zero temperatures, oxygen depletion, and frequent landslides.
• Snow Clearance: One of its most vital recurring tasks is the “Summer Snow Clearance” operations to reopen high mountain passes, ensuring that remote valleys are not cut off for more than a few months.
• Disaster Management: In the event of cloudbursts or earthquakes in the Himalayas, Project Deepak is often the first responder to restore road links for humanitarian aid.

BRO Projects

To understand Project Deepak’s place, it is helpful to see it alongside other major BRO projects:

Project	Region of Operation	Key Focus
Project Deepak	Himachal Pradesh	Manali-Leh Axis, Hindustan-Tibet Road.
Project Himank	Ladakh	Highest motorable roads (Umling La, Khardung La).
Project Dantak	Bhutan	Infrastructure development in Bhutan (Friendship project).
Project Beacon	Jammu & Kashmir	Zojila Pass and Kashmir Valley connectivity.

Conceptual MCQs

Q1. Project Deepak, which celebrated its 66th Raising Day in 2026, primarily operates in which Indian state?

A) Uttarakhand

B) Ladakh

C) Himachal Pradesh

D) Arunachal Pradesh

Q2. Under which Union Ministry does the Border Roads Organisation (BRO) operate?

A) Ministry of Home Affairs

B) Ministry of Road Transport and Highways

C) Ministry of Defence

) Ministry of External Affairs

Q3. Which of the following iconic roads is maintained by Project Deepak?

A) The Stillwell Road

B) The Hindustan-Tibet Road

C) The Grand Trunk Road

D) The Zanskar Shinku La Road

Answers: Q1: C | Q2: C | Q3: B

2. Project 17A (Nilgiri-class)

Context:

The current status of Project 17A (Nilgiri-class) and the broader naval infrastructure described in your summary reflects a critical juncture in India’s maritime strategy as of May 2026. While the physical construction speed has increased, systemic issues regarding imports and supporting infrastructure persist.

Project 17A Progress and INS Mahendragiri

As of April 30, 2026, the project reached a major milestone with the delivery of INS Mahendragiri (the 6th ship of the class) by Mazagon Dock Shipbuilders Limited (MDL).

• Delivery Speed: Mahendragiri is the sixth ship delivered in just 17 months, starting from the lead ship INS Nilgiri (delivered Dec 2024). This indicates a significant improvement in the “Integrated Construction” methodology.
• The “Commissioned but Unprepared” Flag: Despite these rapid deliveries, current reports echo the 2025 CAG concerns: ships are frequently “delivered” to meet schedules but may wait months for the final integration of high-end foreign sensors and propulsion controllers.
• Indigenization Gap: Although the project touts 75% indigenous content by value, the remaining 25% represents the “brain” and “heart” of the ship—gas turbines (GE), long-range radars (Israel), and specialized sonars—which dictate the actual combat readiness.

The Chain of Static Sensors & Detection Grid

The “Detect-Decide-Respond” system mentioned is India’s primary shield against asymmetric threats (like 26/11) and conventional intrusions.

• Regional Expansion: The sensor chain now covers Mauritius, Sri Lanka, and the Seychelles, integrated via the Information Fusion Centre – Indian Ocean Region (IFC-IOR) in Gurugram.
• The “Fuzzy Picture” Problem: While the grid is physically vast, the Chain of Static Sensors primarily tracks surface vessels (AIS data and coastal radar). The text highlights a critical failure: these sensors struggle to detect sub-surface threats (PLA Navy submarines) or low-RCS Houthi-style drones without the premium radar/sonar upgrades currently delayed by import dependencies.

Project 17A Capabilities vs. Reality

Feature	Design Specification	Operational Reality (May 2026)
Role	Multi-role (AAW, ASuW, ASW)	Effective for ASuW/Piracy; limited in high-end ASW.
Indigenization	75% by Value	Critical sensors/engines remain 100% import-dependent.
Fleet Status	6 of 7 Ships Delivered	Final integration of weapons often lags delivery by 6+ months.
Sensor Grid	Chain of Static Sensors	Extensive coverage; lacks fidelity for stealth/sub-surface targets.

Key Terms

• Project 17B: The planned follow-on to P17A, expected to feature even higher indigenization and potentially vertical launch systems for advanced missiles.
• Integrated Construction: A method where the ship is built in pre-outfitted blocks rather than a single hull, significantly reducing time on the slipway.
• LWE/Non-traditional Threats: Refers to modern challenges like drone swarms and anti-ship ballistic missiles used by non-state actors (e.g., Houthis).
• Sub-conventional Warfare: Operations that are not full-scale war but involve high-tech sabotage, piracy, or terrorism.

MCQ

Q1: Why does the 2025 CAG report argue that Project 17A deliveries might be “misleading” on paper?

A) The ships are built by private companies instead of PSUs.

B) Ships are delivered without engines or critical sensors just to meet commissioning deadlines.

C) The ships are smaller than the previous Shivalik class.

D) The Navy has no trained sailors to man the new frigates.

Q2: Which component is cited as the most “imported and delayed,” preventing frigates from acting as mobile sensors?

A) The steel hull

B) The crew quarters

C) Radars and Sonars

D) Basic life-support systems

Answers:

Q1: B | Q2: C

Banking and Finance News

1. UDGAM (Unclaimed Deposits – Gateway to Access Information) Portal

Context:

In a recent submission to the Supreme Court on May 5, 2026, the Reserve Bank of India (RBI) highlighted the progress of the UDGAM (Unclaimed Deposits – Gateway to Access Information) portal. The central bank confirmed that 30 banks are now fully integrated, covering approximately 90% of unclaimed deposits in India.

Key Updates from the Supreme Court Hearing

The hearing was part of a Public Interest Litigation (PIL) filed by journalist Sucheta Dalal, who sought a centralized mechanism to help families track dormant financial assets.

• Integration Milestone: 30 banks are currently linked to UDGAM, allowing users to search across major public and private sector institutions simultaneously.
• Search Volume: As of early 2026, the portal has facilitated over 44 lakh searches by approximately 20 lakh registered users.
• The “Single Silo” Challenge: Advocate Prashant Bhushan, representing the petitioner, argued that while bank deposits are covered, other assets like Post Office deposits, Provident Funds (PF), and Insurance policies remain outside UDGAM’s scope.
• Court Direction: The Supreme Court has asked the Union Government and regulators to provide a detailed response on the feasibility of a truly unified search platform for all financial assets. The next hearing is scheduled for May 19, 2026.

What is the UDGAM Portal?

Launched in August 2023, UDGAM is a centralized web platform intended to simplify the process of finding “Unclaimed Deposits”—accounts that have been inoperative for 10 years or more.

A. How the Search Works

Users do not need to visit individual bank websites. After registering on the UDGAM portal, they can search using:

• Primary Identifiers: Name of the account holder and Name of the Bank.
• Specific IDs: PAN, Voter ID, Driving License, Passport number, or Date of Birth.
• Address-based Search: If no ID is available, the portal allows searching via the account holder’s recorded address.

B. Participating Banks (Major Included)

The 30 integrated banks include:

• Public Sector: SBI, PNB, Bank of Baroda, Canara Bank, Union Bank, etc.
• Private Sector: HDFC Bank, ICICI Bank, Axis Bank, Kotak Mahindra Bank, etc.
• Others: Major foreign banks (HSBC, Citibank, Standard Chartered) and regional/co-operative banks.

Important Distinctions

It is critical to understand what UDGAM is and is not:

Feature	Status
Search Function	YES. It helps you find where the money is located.
Claim Settlement	NO. You cannot claim money through the portal. You must approach the specific bank branch directly after finding the details.
Non-Bank Assets	NO. Currently does not show Insurance, Post Office, or Mutual Fund data.
DEAF Transfer	YES. Most funds searched here have already been transferred to the Depositor Education and Awareness (DEA) Fund.

MCQ for Practice

Q1. The UDGAM portal was primarily developed by which organization?

A) SEBI

B) Reserve Bank of India (RBI)

C) Finance Ministry

D) NSDL

Q2. What is the minimum period of inactivity required for a bank deposit to be classified as “unclaimed”?

A) 2 years

B) 5 years

C) 10 years

D) 15 years

Q3. Can a user directly claim their money through the UDGAM portal?

A) Yes, via UPI transfer.

B) Yes, if they provide a succession certificate online.

C) No, the portal is only for searching; claims must be settled with the specific bank.

D) No, unclaimed money is non-refundable.

Answers:

Q1: B | Q2: C | Q3: C

2. Prudential Norms on Specified Non-financial Assets (SNFA) Directions

Context:

The Reserve Bank of India (RBI) released a significant draft framework on May 5, 2026, titled “Prudential Norms on Specified Non-financial Assets (SNFA) Directions.” This new policy targets how banks and Non-Banking Financial Companies (NBFCs) manage physical assets, such as real estate or machinery, that they seize from defaulting borrowers.

Summary

• Keywords: SNFA, 7-Year Cap, Last Resort, Distress Sale Value, No Buy-backs.
• Context: Regulated Entities (REs) typically do not hold non-financial assets. These norms provide a structured “exit route” for assets taken over when a loan becomes a Non-Performing Asset (NPA).
• The Goal: To ensure transparency, prevent “moral hazards” (where borrowers get their property back cheaply), and encourage banks to focus on their core financial business rather than becoming real estate managers.

Core Operational Guidelines

For UPSC GS-3 or Banking Exams, understand that the RBI is creating a “parallel track” to the Insolvency and Bankruptcy Code (IBC) for asset recovery.

A. The 7-Year Disposal Window

• Timeline: Banks must dispose of seized immovable property within 7 years.
• Failure to Sell: If a bank fails to sell the asset within this window (or if its value reaches zero), the asset is reclassified from an “SNFA” to the bank’s own “Fixed Assets”.
• Method of Sale: Disposal should ideally occur through a public auction to ensure an arm’s-length transaction.

B. Valuation and Provisioning

• Initial Entry: SNFAs are recorded on the balance sheet at the lower of the Net Book Value (NBV) of the loan or the distress sale value.
• Periodic Review: Assets must be revalued at least once every two years on a distress sale basis.
• Accounting Treatment: Any valuation gains are ignored (prudence principle), but any diminution (loss) in value must be recognized in the Profit and Loss statement immediately.

The “Moral Hazard” Protection

One of the most critical aspects of the draft is the prohibition of buy-backs:

• The Ban: Banks are strictly barred from selling the seized asset back to the original borrower or any related party.
• The Logic: This mirrors Section 29A of the IBC. It prevents defaulting promoters from purposefully defaulting, allowing the bank to seize the asset, and then buying it back at a “haircut” (reduced price) through the back door.

Key Differences: NPA vs. SNFA

Once an asset is classified as an SNFA, it undergoes a transformation in the bank’s accounting books:

Feature	Non-Performing Asset (NPA)	Specified Non-Financial Asset (SNFA)
Asset Type	A loan/financial claim.	A physical property (House, Land, etc.).
Accounting Head	Stressed Exposure / Advances.	Other Assets (Non-banking assets).
Claim Status	Debt still exists.	Debt is extinguished (fully or partially).
Reporting	Part of Provisioning Coverage Ratio.	Disclosed separately as SNFA.

Key Exam Terms

• SNFA: Specified Non-financial Asset; collateral seized in satisfaction of a claim.
• Arm’s-length Basis: A transaction where buyers and sellers act independently without one influencing the other.
• Moral Hazard: A situation where one party gets involved in a risky event knowing they are protected against the risk.
• Distress Sale Value: The estimated amount that could be realized from a quick sale in a forced situation.

Multiple Choice Questions (MCQs)

Q1. According to the May 2026 RBI draft, what is the maximum period allowed for banks to dispose of Specified Non-Financial Assets (SNFAs)?

A) 3 years

B) 5 years

C) 7 years

D) 10 years

Q2. How often must an SNFA be revalued on a distress sale basis according to the new norms?

A) Every 6 months

B) Every year

C) At least once every two years

D) Only at the time of sale

Q3. Under the new guidelines, banks are prohibited from selling the seized asset back to:

A) Other banks

B) The original borrower or their related parties

C) Non-resident Indians (NRIs)

D) Foreign institutional investors

Q4. If an SNFA is not sold within the maximum permitted time, it is reclassified as:

A) A permanent NPA

B) A Bad Debt

C) The lender’s “Fixed Asset”

D) A Government security

Answers:

Q1: C | Q2: C | Q3: B | Q4: C

One Liner Current Affairs

May 06, 2026

S.No	Topic	Key Highlights
1	Ministry of Power Revises Make in India Norms	Phased localisation for HVDC substations; target 60% local content by FY35; aligns with Make in India policy
2	World Portuguese Language Day 2026	Observed on May 5; recognised by UNESCO (2019); promotes multilingualism and culture
3	NSE Launches Electronic Gold Receipts (EGR)	Demat gold backed by physical reserves; improves transparency; no GST on trading
4	Wu Yize Wins World Snooker Championship	Defeated Shaun Murphy 18-17 at Crucible Theatre, Sheffield
5	Supreme Court Judges Strength Increased	Cabinet approves increase from 34 to 38 judges including CJI
6	Alex Zanardi निधन	Former F1 driver & Paralympic champion passes away at 59; symbol of resilience
7	South Coast Railway Zone Created	18th railway zone; HQ at Visakhapatnam; operational from June 1, 2026
8	BIS Releases Assistive Technology Standards	6 standards under NLEAP; improves accessibility for persons with disabilities
9	India vs Japan AFC U-17 Women’s Cup	India lost 0-3 in Suzhou, China
10	World Laughter Day 2026	Celebrated May 3; theme: “World Peace through Laughter”
11	Malcolm Adiseshiah Award 2026	Awarded to Raghav Das Gaiha (University of Pennsylvania)
12	ADB Critical Minerals Facility	Supports supply chains; financing + database; boosts energy transition
13	Project Freedom by USA	Naval escort mission in Strait of Hormuz; ensures oil trade security
14	Micro LED & OSAT Plants Approved	₹3,936 crore support; semiconductor push in Gujarat
15	Khandagale Wins Silver	309 kg total in World Junior Weightlifting (71 kg category)
16	International Firefighters’ Day 2026	Observed May 4; honours firefighters globally
17	MoHFW Diabetes Framework for Children	Universal screening (0-18 yrs); free insulin; ‘4Ts’ awareness model
18	Prasoon Joshi Appointed Chairman	Heads Prasar Bharati; noted lyricist & media leader
19	Pulitzer Prize 2026	Indian journalists Anand RK & Suparna Sharma among winners
20	Thomas & Uber Cup 2026 Winners	China (men’s), South Korea (women’s); held in Denmark
21	SpaceX Launches CAS500-2 Satellite	Falcon 9 launch; Earth observation mission with 45 payloads