Supreme Court

Supreme Court, Economy, and International Relations: April to June 2025

June 30, 20254 min read

Supreme Court

In Re: Election Commission Independence (April 2025): The Court directed that the Chief Election Commissioner and Election Commissioners shall be appointed by a committee comprising the Prime Minister, the Leader of Opposition, and the Chief Justice of India. This reversed the government's 2023 law that replaced the CJI with a Union Cabinet Minister on the selection panel. The Court held that an independent Election Commission requires a non-partisan appointments process. The judgment applied from the next appointments (current CEC and ECs were unaffected).

In Re: AI and Fundamental Rights (May 2025): The Court issued guidelines for the government's use of AI in decision-making. Automated decisions affecting citizens' rights (welfare eligibility, law enforcement, surveillance) must be explainable, appealable, and subject to human review. A citizen denied a benefit by an algorithm has the right to know why and to have the decision reviewed by a human officer. This is India's first judicial framework for algorithmic accountability.

Right to Property and the Greater Public Good (June 2025): A nine-judge bench revisited the right to property (Article 300A). The Court held that compulsory acquisition of private property for a "public purpose" requires not just compensation at market value, but also: (a) a fair hearing before acquisition, (b) a rehabilitation and resettlement plan for displaced persons, (c) the acquiring authority must demonstrate that the specific land is necessary and that no alternative is available.


Economy

RBI April 2025 policy: Repo rate unchanged at 6.50%. The MPC's two new external members (appointed in February 2025) voted for the first time. The vote was 4:2. The MPC noted that headline CPI inflation had eased to 4.2% in February 2025 but cautioned that food inflation remained volatile and the monsoon outlook for 2025 was uncertain (IMD forecast: 96% of LPA, "below normal").

Fiscal deficit 2024-25: The Controller General of Accounts released the provisional accounts in May 2025. Fiscal deficit was 4.9% of GDP, meeting the revised estimate target. The GST collection averaged ₹1.85 lakh crore per month in 2024-25, buoyed by formalisation of the economy and improved compliance. Direct tax collections grew by 13%.

WTO 14th Ministerial Conference (Abu Dhabi, May 2025): India's long-pending demands on the peace clause for public stockholding (foodgrain procurement at MSP) were partially accepted. A permanent solution was not agreed upon, but the peace clause (no legal challenge to India's MSP-based procurement even if it exceeds WTO limits) was extended indefinitely. India also blocked the China-led Investment Facilitation for Development (IFD) agreement, arguing that investment is not a trade issue and does not belong in the WTO.


International Relations

Quad Leaders' Summit (New Delhi, May 2025): India hosted the Quad Summit. Key outcomes: Quad Cancer Moonshot (cervical cancer elimination in the Indo-Pacific), Quad Infrastructure Fellowships (10,000 fellows trained in infrastructure project management), and a new Quad maritime legal framework to counter "grey-zone" activities (Chinese coast guard and maritime militia operations in the South China Sea).

India-EU Trade and Technology Council (Brussels, June 2025): The second TTC meeting focused on semiconductor supply chain resilience. India's semiconductor mission (ISMC, a consortium of Vedanta and Foxconn) was discussed alongside the EU Chips Act. A joint commitment to diversify semiconductor manufacturing away from Taiwan and South Korea.

India-Bangladesh: Teesta Water Sharing: No breakthrough. The Teesta water-sharing agreement has been pending since 2011. West Bengal Chief Minister Mamata Banerjee continues to oppose it, arguing that the state does not have enough water to share. The central government cannot sign a treaty involving a state subject (water is in the State List) without the state's consent.


Species & Environment

DevelopmentDetails
Cheetah reintroduction: first wild births (April 2025)Two cheetah cubs were born in the wild at Kuno National Park. This is the first wild birth of cheetahs in India since the species went extinct in 1952. Total cheetah population at Kuno: 24 (12 adults, 12 cubs). Total deaths since reintroduction (2022): 10
IMD Monsoon Forecast (June 2025)The IMD forecast the 2025 Southwest Monsoon at 96% of the Long Period Average (LPA). "Below normal." The forecast was based on: developing La Nina conditions in the Pacific (which favour the Indian monsoon), but a negative Indian Ocean Dipole (which suppresses it). The competing signals create uncertainty
India State of Forest Report 2025 (ISFR)India's forest and tree cover: 25.2% of total geographical area (up from 24.6% in 2021). The increase is concentrated in open forests (canopy density 10-40%), not dense forests. Very dense forests (canopy density >70%) have actually declined. Green India Mission. Carbon stock: 7,200 million tonnes
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