Current Affairs - International

The International Monetary Fund (IMF) reviewed and approved financial assistance to Pakistan, including a $1 billion Extended Fund Facility and a $1.3 billion Resilience and Sustainability Facility. India abstained from the vote on this bailout package, raising concerns about the potential misuse of the funds and questioning the effectiveness of IMF-supported programs based on Pakistan’s history of implementation challenges. The decision underscores India's cautious stance on international financial aid to countries with inconsistent reform records, particularly in politically sensitive regions.

Bhutan recently signed a Memorandum of Understanding (MoU) with the Adani Group to jointly develop hydropower projects with a total capacity of 5,000 MW. This agreement marks a significant step in strengthening Bhutan-India energy cooperation and builds upon the earlier Wangchhu Project, in which Bhutan’s Druk Green Power Corporation holds a majority stake. The initiative aligns with Bhutan’s long-term Renewable Energy Roadmap, which aims for 20,000 MW capacity by 2040. The deal is also expected to boost Bhutan’s green energy exports to India, contributing to regional clean energy goals.

On May 8, 2025, India and Chile officially signed the Terms of Reference to initiate negotiations for a Comprehensive Economic Partnership Agreement (CEPA), marking a significant upgrade from their existing Preferential Trade Agreement (PTA). This agreement aims to deepen bilateral economic ties by expanding into new areas such as digital services, MSME cooperation, critical minerals, and investment facilitation. The CEPA seeks to ensure sustainable and inclusive growth while enhancing access to strategic resources. By engaging with Chile—a key Latin American economy—India is strengthening South-South cooperation and diversifying its trade and investment relationships in a rapidly evolving global economic landscape.

Vietnam has introduced a groundbreaking 10-year renewable Golden Visa aimed at attracting long-term Indian investors, tourists, and skilled professionals. This strategic initiative is part of the country’s broader vision to transform itself into a regional hub for business, innovation, and sustainable tourism. The visa is expected to deepen India-Vietnam relations by encouraging long-term economic, cultural, and professional engagement. With features such as renewable residency, a digital-first application process, and a focus on meaningful economic contributions, the Golden Visa marks a significant policy shift to attract foreign talent and capital, positioning Vietnam as a key player in Southeast Asia’s evolving economic landscape.

The 24th edition of the Airport Show and the 12th Global Airport Leaders Forum (GALF) concluded successfully at the Dubai World Trade Centre. Dubai has maintained its global reputation as a leading aviation hub, with Dubai International Airport holding the title of the world’s busiest airport for international passengers for the 11th year in a row. The event also highlighted the contributions of women in the aviation sector through the Women in Aviation Middle East Conference. This large-scale gathering underscored Dubai’s continued leadership in global aviation innovation and infrastructure.