Current Affairs - Finance

Aryaman Finance Ltd is the entity that obtained registration from the Reserve Bank of India on December 24, 2025, as a Type II Non-Banking Financial Institution, classified as a non-deposit taking Investment and Credit Company. This regulatory approval allows the company to legally operate in the lending and credit space. With this development, the parent company, Aryaman Financial Services Ltd, gains the ability to diversify its business operations beyond merchant banking. The RBI license is significant because it marks a strategic expansion into regulated financial activities, strengthening the group’s overall financial services portfolio.

India entered into a major development financing partnership with the Asian Development Bank through the signing of five loan agreements exceeding $2.2 billion. These loans are aimed at supporting national and state-level initiatives across diverse sectors such as skill development, rooftop solar energy, healthcare infrastructure, metro rail expansion, and ecotourism-based livelihoods. The collaboration reflects India’s focus on inclusive and sustainable growth, climate action, and capacity building. By extending financial and technical assistance, the Asian Development Bank plays a key role in strengthening India’s development priorities while supporting long-term economic resilience and social infrastructure improvement.

Amazon Pay introduced a PIN-free UPI payment feature in India that allows users to authenticate transactions through fingerprint or facial recognition on Android devices. Launched on 16 December 2025, this facility supports transactions up to ₹5,000 and covers services such as Send Money, Scan & Pay, and merchant payments. By relying on device-bound biometrics that remain securely stored on the user’s phone, the feature enhances convenience, speed, and security. This innovation aims to simplify digital payments, promote one-handed usage, and encourage wider adoption of UPI-based transactions.

JP Morgan announced its plan to establish Asia’s largest Global Capability Centre in India, marking a significant milestone in the country’s global services landscape. The centre will be located in Powai, Mumbai, spread across 2 million square feet, and is expected to employ around 30,000 people by 2029. This move highlights India’s growing importance as a hub for banking, financial services, and technology-driven operations. It also reflects global corporations’ confidence in India’s skilled workforce, cost efficiency, and robust digital ecosystem, further strengthening the nation’s position in global finance.

The Insurance Amendment Bill, 2025 introduces a major reform by increasing the permissible FDI limit in insurance companies to 100%. This change reflects the government’s intention to open the sector fully to foreign investment, which is expected to bring in substantial capital inflows. Higher foreign participation can enhance competition, encourage innovation, and improve the quality and reach of insurance services in India. The reform aligns with the regulatory framework governed by the Insurance Act, LIC Act, and IRDAI Act, strengthening the sector’s growth potential.