Politics (State and National)
Tamil Nadu government formation hangs fire
Tamilaga Vettri Kazhagam (TVK) leader Vijay (108 seats) met the Governor on 7 May to claim the Chief Minister post. TVK lacks a simple majority (118 seats), but Congress (5 seats) has offered support, bringing their tally to 113. The ruling DMK (59 seats) and Left allies are now in opposition. AIADMK briefly explored backing TVK but withdrew after talks fell through. Vijay has declined official CM perks (returned the CM convoy cars) until the government is formally formed. With smaller parties (like VCK, CPI(M) etc.) still undecided, the Governor is awaiting sworn letters of support from MLAs. Negotiations will continue to secure the last few numbers for Vijay; sources say the swearing-in ceremony is pending receipt of formal support. The DMK has signaled it will “watch without disturbing” as it moves to opposition, questioning whether TVK can fulfill its promises. Outcome remains uncertain until support is formalised, with possible further meetings of TVK legislators scheduled as directed by central BJP leaders (Nadda, Saini).
Assam NDA returns to power
The BJP-led National Democratic Alliance secured a third straight term, winning 102 of 126 seats. Chief Minister Himanta Biswa Sarma tendered his resignation (on 6 May) to pave way for a new ministry. The BJP itself won 82 seats, with allies Asom Gana Parishad and BPF claiming 10 each. Sarma is chairing a meeting of newly elected BJP MLAs (with party chief Nadda’s oversight) to elect the legislative party leader, expected to be the next CM. Because Congress (19 seats) falls short of the official Opposition threshold, there will likely be no formal Leader of Opposition. However, each party will nominate its own legislative party leader. Governor Acharya has invited the NDA to form government; officials say a new Chief Minister and cabinet could take oath by mid-May. Key next steps are the BJP’s internal deliberations and submission of letters from supporting legislators.
Economy and Finance
RBI tightens forex dealer rules amid rupee volatility
The Reserve Bank notified a new Foreign Exchange (Authorised Persons) Regulation (2026), introducing a three-tiered category system for forex dealers. Category I dealers (bank branch networks), Category II (non-bank entities like money-changers), and a new Category III (fintech/innovative forex firms) each have defined net-worth and governance norms. Crucially, the RBI announced a halt on fresh Full-Fledged Money Changer (FFMC) licences; existing franchise models must end within two years, replaced by a principal-agent structure (Forex Correspondents) under stricter oversight. Non-bank dealers face new capital and turnover thresholds and ‘fit and proper person’ criteria. The central bank says this overhaul will strengthen monitoring of FX flows and curb leakages as it contends with rupee instability and global uncertainties. Experts note that enhanced reporting requirements, NOC mandates, and the multi-category framework aim to improve transparency. Affected entities have six months to adjust, and the RBI will revoke licences for non-compliance. The change aligns with broader efforts to manage currency pressure by tightening the forex ecosystem.
Startup sector sees record growth
The government reported certifying 55,200 new startups in FY 2025–26, a 52% jump from the previous year. This brings total recognised startups to over 223,000. The Department for Promotion of Industry & Internal Trade (DPIIT) said these startups collectively generated 36% more direct jobs than in FY25 – the highest single-year increase since the Startup India initiative began in 2016. Almost 48% of certified startups now have a woman founder or partner. Officials highlight ongoing support through schemes: over ₹7,000 crore was disbursed under the Fund of Funds (enabling ₹26,900 crore investments into 1,420 startups), the Startup Seed Fund has set up ₹945 crore across 219 incubators (₹605 crore committed to 3,400 startups), and an expanded Credit Guarantee Scheme has covered 410 loans (₹1,250 crore guaranteed). Intellectual property output also rose: startups filed a record 19,400 patent applications in FY26 (up from 2,850 the prior year). Business analysts say this robust growth reflects policy incentives and investor interest. With continued push for innovation, next steps include focusing on follow-on funding and scaling emerging ventures, as policymakers target sustainable ecosystem building.
Foreign Policy and Defence
India–Vietnam upgrade ties to enhanced strategic partnership
On Vietnam President To Lam’s 5–7 May state visit, India and Vietnam expanded cooperation to an “Enhanced Comprehensive Strategic Partnership”. Prime Minister Modi and President Lam signed joint statements reaffirming close political ties and regional security collaboration. They set a new bilateral trade target of $25 billion by 2030 and agreed to expedite market access for agricultural goods (India’s grapes to Vietnam; Vietnam’s durians to India). Both sides pledged to boost defence cooperation – plans include regular 2+2 talks (foreign and defence ministers) and joint maritime exercises – and to strengthen tech, cyber, space and energy ties. The leaders also emphasized startup collaboration and deepening supply chain links. India noted Vietnam’s importance in its Act East policy, and Vietnam praised India’s development strides. Several MoUs and business deals were exchanged during Vietnam’s visit to Delhi and Mumbai. This upgrade comes on the 10th anniversary of their strategic partnership, reflecting convergence on Indo-Pacific stability amid global uncertainties. Observers say enhanced ties also balance China’s regional influence; the partnership is expected to yield more defense technology and investment agreements ahead.
Pakistan bolsters navy with Chinese submarines
Pakistan’s military announced it will induct eight advanced submarines from China (Hangor-class), with the first commissioned in late April. Four submarines will be built in China (and delivered), and four assembled in Pakistan under technology transfer, Pakistani officials said. The project – underscored by a recent ceremony attended by President Zardari – is part of growing China-Pakistan defence cooperation. Hangor subs feature air-independent propulsion and modern sensors. Islamabad’s navy states this will “bolster maritime defence and modernize the fleet”. In parallel, Pakistan has acquired Chinese J-10C fighter jets. Indian analysts note that these developments significantly raise Pakistan’s naval and aerial capabilities in the Indian Ocean region, potentially affecting regional security dynamics. New Delhi is monitoring these moves closely, given China’s deepening military ties with Pakistan. The submarines are expected to enter service over the next few years; Pakistan says they may eventually be exported.
Judiciary
Cabinet approves more Supreme Court judges for faster justice
The Union Cabinet (on 5 May) approved a proposal to raise the Supreme Court’s sanctioned strength from 33 to 37 judges, excluding the Chief Justice. The Supreme Court (Number of Judges) Amendment Bill will be introduced in Parliament to enact this change. Officials say the expansion is aimed at improving court efficiency and reducing case backlogs. The additional judgeships will be funded by the government. This is the first such increase since 2019 (when strength went from 30 to 33). Legal experts say more judges could help clear pendency in high courts and tribunals as well. The bill will outline the timelines and process for appointments. Stakeholders note that timely selection of qualified judges (through collegium and approval) will be crucial. No immediate appointments are announced; the new posts will open once the law is passed.
Health
Nipah outbreak contained, WHO assesses low spread risk
In West Bengal, two healthcare workers tested positive for Nipah virus in late January. Both (a male and female nurse, mid-twenties) were hospitalised with severe encephalitis; one is on ventilator support and the other has shown improvement. Indian health authorities traced and tested about 190 contacts, all of whom were negative, deploying mobile labs for rapid testing. Enhanced surveillance and infection control measures remain in place at the Barasat private hospital where cases occurred. The WHO’s Disease Outbreak News (Jan 30) assessed the outbreak risk as moderate regionally but low nationally and internationally. The WHO noted no evidence of sustained human-to-human transmission so far, and said India has the capacity to contain such clusters. A Ministry of Health official said both patients are being treated under strict precautions. No new Nipah cases have been reported since early January. The government has advised hospitals nationwide to remain vigilant, given Nipah’s high fatality rate (40–75%) and potential bat origins. Public health experts emphasize continued monitoring of Nipah hotspots and prompt testing for any suspected cases to prevent spread.
Environment and Energy
Climate commitments and monsoon outlook
India announced it has withdrawn its bid to host the 2028 UN climate summit (COP33), a decision confirmed by the foreign ministry. Spokesperson Randhir Jaiswal said various factors were considered but emphasized that India remains fully committed to its climate change goals. PM Modi had proposed hosting the summit in 2023. Analysts note this withdrawal may stem from domestic priorities or strategic planning, although India insists it will meet international climate obligations. Meanwhile, meteorological experts warn of weather extremes: the IMD forecasts the 2026 southwest monsoon at about 92% of the long-period average – the lowest in decades – due to an evolving El Niño. IMD officials (DG Mohapatra, Earth Sciences Secretary Ravichandran) expect El Niño to develop by mid-year, historically linked to weaker monsoons. Several regions are already under heatwave conditions weeks early, and the IMD predicts above-normal heatwave days across northwestern and central India. This combination raises concerns for farmers (irrigation shortfalls) and for power systems (spikes in cooling demand). State governments are preparing water conservation measures and summer relief. Observers say planning for drought-like conditions will be crucial if dry weather persists, as agriculture and GDP growth could be impacted by the subdued rains and record-breaking heat.
Education and Examinations
Entrance exam key releases and deadlines extended
The National Testing Agency (NTA) released the provisional NEET-UG answer key on 6 May. Around 23 lakh candidates who took the medical entrance exam on 3 May can download answer sheets and question papers from the official site. The NTA will open an online objection window soon, allowing challenges to any question(s). Final results are expected in early June after reviewing submissions. Separately, IIT Roorkee (JEE Advanced 2026 organiser) extended the application deadline to 5 May (11:59 PM). Qualified JEE Main candidates now have extra time to complete registration and fee payment for the 17 May JEE (Advanced) exam. These updates aim to ensure all eligible students can register and verify responses. Education officials say the extension and transparent answer-key process will help minimize errors. No major technical issues were reported, and exam bodies are proceeding with result processing and counselling schedules as planned.