Daily Current Affairs · Last published 16 September 2026
UPSC Prelims Current Affairs: 16 September 2026
NPCI sets a 0.4 percent UPI fee above Rs 2,000, India and Vietnam deepen defence ties, and the Centre flags concern over Red Sea blockades.
NPCI sets 0.4% merchant discount rate on UPI payments above Rs 2,000 from October 15
The National Payments Corporation of India announced that a merchant discount rate (MDR) of 0.4 percent will apply to person to merchant UPI transactions above Rs 2,000, effective from 15 October 2026. UPI transactions up to Rs 2,000 will continue to remain free of charge. The MDR is not a tax and does not accrue to the government: the fee is distributed among banks, payment aggregators and other participants in the UPI payments chain. A committee of banks had been examining the structure of merchant charges on larger UPI transactions before the NPCI notification.
Chief Economic Adviser says high food inflation unlikely to persist, FY27 fiscal deficit target achievable
Chief Economic Adviser V. Anantha Nageswaran said on 15 September 2026 that the high food inflation seen in August is unlikely to persist through the rest of the year, and that India's economic momentum remains intact despite global risks. He added that the Centre would be able to meet its fiscal deficit target of 4.3 percent of GDP for 2026-27 as estimated in the Union Budget.
India and Vietnam agree to deepen defence ties and co-produce military equipment
External Affairs Minister S. Jaishankar and Vietnam's Foreign Minister Le Hoai Trung co-chaired the 19th India-Vietnam Joint Commission Meeting in New Delhi on 15 September 2026. The two sides agreed to deepen defence and security cooperation, including through co-production of Indian defence items, and to expand trade, connectivity and cooperation in nuclear energy and space. Vietnam is the first country in the region with which India holds ties at the Enhanced Comprehensive Strategic Partnership level, a status elevated during Vietnamese leader To Lam's State Visit to India in May 2026. The two countries agreed to observe next year as the Year of India-Vietnam Friendship, marking 55 years of diplomatic ties.
Meta to report child sexual abuse material cases directly to India's cybercrime portal
Meta Platforms, the parent company of Instagram and Facebook, announced on 15 September 2026 that it will report child sexual abuse material (CSAM) cases directly to India's Cybercrime Coordination Centre (I4C) portal, which functions under the Union Home Ministry. Previously, such reports reached Indian agencies only indirectly, through the US based National Center for Missing & Exploited Children, which shared India specific cases with the National Crime Records Bureau under a 2019 arrangement. The announcement follows weeks of scrutiny of Meta by the Centre and the National Commission for Protection of Child Rights over CSAM appearing in paid advertisements on Instagram.
India voices deep concern over blockades in the Strait of Hormuz and Bab-el-Mandeb
The Ministry of External Affairs said on 15 September 2026 that India is deeply concerned about the blockades affecting the Strait of Hormuz in the Persian Gulf and the Bab-el-Mandeb Strait in the Red Sea, as Houthi forces intensified attacks on Saudi Arabia. The Ministry said oil supplies from the Red Sea region have not been affected so far. Separately, a ship carrying 14 Indian seafarers was targeted off the coast of Oman, and Oman is assisting India with the search for a missing crew member.
Rural jobs scheme VB-GRAM G trails 2025 MGNREGA employment levels by 9% in August
The Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin), or VB-GRAM G, generated 11.03 crore persondays of rural employment in August 2026, a 9 percent decline from the 12.12 crore persondays generated under MGNREGA in August 2025, according to government data reported on 15 September 2026. This is a narrower shortfall than July 2026, when the new scheme's 9.18 crore persondays trailed July 2025's MGNREGA figure of 17.65 crore by 48 percent. Ministry officials attributed part of the dip to a 60 day pause in agricultural activity. Since VB-GRAM G's launch, 6,40,779 new Gramin Rozgar Guarantee cards have been issued across states and union territories, and workers can continue to use existing MGNREGA job cards to access work.
Crude oil price spike drags rupee to near 96 per dollar, Nifty falls 1.2%
The Indian rupee fell 0.42 percent to close near 95.96 against the US dollar on 15 September 2026, extending its losing streak to five sessions, as Brent crude rose above 108 dollars a barrel amid escalating Houthi attacks on Saudi Arabia. The Indian crude basket rose to 128.70 dollars a barrel, adding to concerns over India's import bill. The Nifty 50 fell 1.19 percent to 23,118.60 and the Sensex fell 1.04 percent to 74,003.82, their lowest levels since early April, as rising crude prices and global bond yields sharpened concerns over inflation and interest rates.