Current Affairs - International

Switzerland has decided to suspend the Most-Favored-Nation (MFN) clause in its Double Taxation Avoidance Agreement (DTAA) with India, starting from January 1, 2025. This decision will increase tax rates on dividends and royalties to 10%. The suspension was triggered by a ruling from India’s Supreme Court, which stated that the application of the MFN clause requires formal notification under the Income Tax Act. This change is expected to impact tax burdens for both Indian and Swiss companies, potentially affecting their bilateral trade relations.

Dubai unveiled the world’s largest gold bar, weighing 300.12 kg and valued at ₹211 crore ($25 million), at the Dubai Gold Souk Extension. Crafted by the Emirates Minting Factory, the bar took 8-10 hours to create, adhering to Guinness World Records standards. This record-breaking achievement showcases Dubai’s innovation and leadership in the global gold and luxury trade, solidifying its status as a hub of excellence in the precious metals industry.

The United Kingdom joined the Comprehensive Security Integration and Prosperity Agreement (C-SIPA) alongside the US and Bahrain. This agreement aims to enhance regional maritime security and navigation safety through initiatives like the Geospatial Acceleration Initiative, utilizing U.S. expertise. The UK's participation builds on its £1 billion Strategic Investment Partnership with Bahrain, reinforcing collaboration on securing vital maritime corridors.

India provided 2,200 metric tonnes of rice to Myanmar as part of its humanitarian assistance efforts. This initiative reflects India's commitment to its ‘Act East’ and ‘Neighbourhood First’ policies, aiming to support Myanmar amid its severe challenges. Myanmar remains the deadliest country for landmine casualties, with 1,052 civilian casualties in 2023, including 20% children, underlining the significance of India's support to its neighbouring country.

The UBS Billionaire Ambitions Report 2024 highlights India's rise to 185 billionaires, marking a 20% increase from 153 in 2023. This positions India third globally in billionaire count, following the US and China. The growth reflects India's thriving family-owned businesses and emerging sectors such as pharmaceuticals, edtech, and fintech. Over the past decade, billionaire wealth in India has surged by 263%, underlining the nation's economic dynamism.