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FOCUS
FOCUS: RAU’S HOUSE JOURNAL ON CURRENT AFFAIRS ANALYSIS | JANUARY 2016
1
FOCUS
Dear Students,
FOCUS is a Rau’s IAS Study Circle’s monthly publication of current affairs analysis !he publication, as the
name su""ests, focuses solely on such current affair items and ne#spaper editorials #hich are rele$ant to
the dynamic se"ments of the %eneral Studies’ syllabus and are important themes for the &ssay paper of the
Ci$il Ser$ices &'amination
FOCUS is not (ust a collection of current affairs and "eneral )no#led"e items, it is in fact a collecti$e effort
of e'perienced trainers and educators in $aried themes of %eneral Studies to analyse these ne#s items,
research and pro$ide bac)"round and related information, lend a "eneralist $ie#point to these ne#s pieces
and thus prepare critical notes for the study of %eneral Studies’ papers
Features:
1 All ne#s items are cate"ori*ed and clubbed theme+#ise International, India - the .orld, /ational,
0olity - %o$ernance, Science - !echnolo"y, Defence and so on
2 3aps and fi"ures, #here$er rele$ant, ha$e been pro$ided #ith ne#s
4 5ac)"round information has been added to ma)e ne#s understandable in totality
6 Related and additional information
7 /e#s Analysis
8 3ust read editorials of the month9 &ssay
: Assi"nment ;uestions
< All in a $ery simple and lucid format
How to use
1 !his issue is broadly di$ided into twe!t" se#e! parts=
a 0arts One to !#enty One are different themes under #hich all ne#s items ha$e been cate"ori*ed
b 0art !#enty !#o contains all the important editorials from different sources #hich #e consider are a
must read for all aspirants
c 0art !#enty !hree contains important articles #hich #e consider are a must read for all aspirantsd 0art !#enty Four on &ssay
e 0art !#enty Fi$e contains a bunch of multiple choice >uestions on current affairs incorporated #ith
emphasis on 0reliminary %eneral Studies + 0aper I and 17 descripti$e type >uestions for $arious core
sections of the 3ain e'am
f 0art !#enty Si' contains solutions to multiple choice >uestions incorporated in FOCUS+December,
2?17 issue
" 0art !#enty Se$en= Focus Special
2 Study maps and fi"ures carefully It #ill add depth to your )no#led"e
4 /e$er miss the @5ac)"round’ of any ne#s U0SC as)s >uestions from the bac)"round of the ne#s
6 Use @Related Information’ and @Additional Information’ to create e'tra dimensions to your ans#er
7 /e#s Analysis and &ditorial #ill help you de$elop $ie#s about an issue U0SC as)s >uestions based
upon your $ie#s re"ardin" an issue
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FOCUS
FOCUS= RAU’S OUS& BOUR/A O/ CURR&/! AFFAIRS A/ASIS E JANUARY 2016
2
8 3a)e a collection of all these issuespublications and )eep re$isin" them as these notes #ill not only
help you ans#er many >uestions in the %eneral Studies papers but #ill also be $ery helpful for the
&ssay paper
Furt$er Ass%sta!&e:
1 For further understandin" of any current affair items or editorials, please consult the respecti$e
thematic faculty memberprofessor
2 For clarity on practice multiple choice >uestions 3C;s "i$en in this issue, please consult the
FOCUS+ No#e'(er %ssue
4 For clarity on >uestions on %S 3ain &'am, please consult respecti$e thematic faculty
T$e sour&es )or a** t$e !ews %te's a!+ ot$er re*ate+ %!)or'at%o! are:1 !he indu
2 !he !imes of India
4 !he Indian &'press
6 Asian A"e
7 !he !ribune
8 !he &conomic !imes
9 indu 5usiness ine
: Frontline
< &conomic and 0olitical .ee)ly
1? .orld Focus11 55C
,oo+ Lu&-.
RAU’S IAS STU/Y CIRCLE
ESSAY RITIN,!he Study Circle in$ites and encoura"es students to #rite essay on any or both of the belo# mentioned topics and
submit to the office for inclusion in the Fe(ruar" 2016 issue &ssays can be submitted on any of the follo#in" issues=+
1 &ducation #ithout $alues, as useful as it is, seems rather to ma)e a man more cle$er de$il
2 Dreams #hich should not let India sleep
• .ord limit= Desired #ord limit is 17?? #ords
• Clarity of thou"ht, lucidity in e'pression, coherence and analytical thin)in" is e'pected from the students
• !imelines= All essays must be submitted either as hard copies at the Office or emailed as scanned copies to
)o&usrau%as3&o' latest by Fe(ruar" 24 2016 /o e'tension in the date of submission #ill be considered
• Students can submit essay on either of the topics Do remember to mention your /ame and 5atch number alon"
#ith the essay
Note: T$e (est essa"5s o! t$e (as%s o) 'er%t a!+ re*e#a!&e to t$e to7%& w%** (e 7u(*%s$e+ %! t$e )ort$&o'%!8 %ssue3
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!A5& OF CO/!&/!S
FOCUS: RAU’S HOUSE JOURNAL ON CURRENT AFFAIRS ANALYSIS | JANUARY 2016
4
TA9LE OF CONTENTS
ART ONE | INTERNATIONAL 7
1 !sai In"+#en elected !ai#anGs first female president 9
2 /orth Horea test dra#s threat of sanctions despite +bomb doubts <
4 China restructures military as i eyes @stron" army’ 1?
6 ShiGite cleric e'ecuted in Saudi Arabia, stirrin" an"er in re"ion 11
7 5an"ladesh court upholds death sentence for /i*ami 12
8 /uclear sanctions lifted as Iran, US a"ree on prisoner s#ap 12
AARRTT TT OO || IINN//IIAA AANN// TTHHEE OORRLL// 1133
1 India ran)s 98th in "lobal corruption inde' 14
AARRTT TTHHRREEEE || NNAATTIIOONNAALL NNEE SS 1155
1 India launches its urban ma)eo$er plan #ith smart cities 17
2 !elan"ana becomes first State to ma)e "ender education compulsory 18
4 alba"h flo#er sho# "oes national 18
AARRTT FFOOUURR || EECCOONNOO;;YY 117 7
1 Startup India Standup India 19
2 China de$alues yuan a"ain, tri""ers currency #ar fears 1:
4 India to counter @non+issues’ at .!O tal)s 1<
6 Fall in e'ports pro(ected to be #orst since 1<72+74 2?
7 0radhan 3antri Fasal 5ima o(ana 2?
8 %o$ernment lo#ers %D0 "ro#th rate to 92J 21
9 I3F cuts "lobal "ro#th forecast as China slo#s 22
: India "ets more $otin" ri"hts as I3F implements >uota reforms 24
< Openin" of AII5 part of "lobal financial re$amp 26
1? %o$t mobilises <?? )" of "old under monetisation scheme 27
AARRTT FFII<<EE || OOLLIITTYY AANN// ,,OO<<EERRNNAANNCCEE 2 266
1 After Centre allo#ed Balli)attu, Supreme Court stops it 28
2 0resident 3u)er(ee clears fi$e le"islations, "i$es more teeth to SCS! Act 29
AARRTT SSII== || SSOOCCIIAALL IISSSSUUEESS 2 288
1 3aharashtra sa# more than 4??? farmer suicides in 2?17 2:
AARRTT SSEE<<EENN|| SSCCIIEENNCCEE AANN// TTEECCHHNNOOLLOO,,YY 2 299
1 IR/SS+1& satellite launch= One step closer to our $ery o#n %0S 2<
2 /e# #ay to measure "ra$ity can find &arth+li)e planets 4?
4 !he most ener"etic li"ht e$er in space 4?
6 First flo#er in space 4?
AARRTT EEII,,HHTT|| EENNEERR,,YY 33 2 2
1 Cabinet nod for po#er tariff policy 42
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6
AARRTT NNIINNEE|| //EEFFEENNCCEE 3333
1
/e# defence procurement procedure chan"es dynamics 44
2 Sahyo"+Hai(in 46
AARRTT TTEENN|| EENN<<IIRROONN;;EENNTT EECCOOLLOO,,YY >> 99IIOO//II<<EERRSSIITTYY 3355
1 India to "o directly to 5S+KI emission norms by 2?2? 47
2 Sno#fla)e coral 47
4 %i"antopithecus 48
6 I3D declares an end to drou"hts in India 49
7 /e# class of fro"s found in the north+east 4:
8 %iant bird eaten to e'tinction by humans 4:
9
Solitary bee 4<
AARRTT EELLEE<<EENN|| HHEEAALLTTHH 4 400
1 Li)a Kirus 6?
2 !he ancet turns spotli"ht on endin" pre$entable stillbirths 61
4 Rural India too battles hypertension 62
AARRTT TT EELL<<EE|| CCOO;;;;IITTTTEEEESS AANN// RREEOORRTTSS 4 433
1 odha committee proposes s#eepin" reforms for 5CCI 64
2 Shyam 5ene"al to head committee to re$amp film censor board 66
AARRTT TTHHIIRRTTEEEENN|| CCOONNFFEERREENNCCEESS AANN// SSUU;;;;IITTSS 4 455
1 .&F concludes in Da$os #ith concern o$er economic slo#do#n 67
AARRTT FFOOUURRTTEEEENN|| SSOORRTTSS 4 47 7
1 Chennai Open 69
2 Australian Open 2?18 69
4 at+tric) for Santina 69
AARRTT FFIIFFTTEEEENN|| OORR,,AANNIISSAATTIIOONN IINN NNEE SS 4 488
1
International 3onetary Fund I3F 6:
AARRTT SSII==TTEEEENN|| EERRSSOONNAALLIITTIIEESS 5500
1 Abe Ki"oda 7?
2 Da$id 5o#ie 7?
4 De$ender Humar Si)ri 7?
6 3ar$in 3ins)y 7?
7 3rinalini Sarabhai 71
8 3ufti 3ohammad Sayeed 71
9 /atalie Cole 71
:
Ra$indra Halia 72
< RH 3athur 72
1? Sailesh 72
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AARRTT SSEE<<EENNTTEEEENN|| AA AARR//SS 5533
1
3essi ba"s fifth 5allon dGOr a#ard 74
2 %olden %lobes 2?18 74
4 Anuradha Roy #ins DSC 0ri*e for South Asian iterature 76
6 !he indu 0ri*e for 2?17 "oes to &asterine Hire 76
AARRTT EEII,,HHTTEEEENN|| LLAACCEESS 5555
1 Field fossil museum to come up at Karana$asi 77
AARRTT NNIINNEETTEEEENN|| HHIISSTTOORRYY AANN// CCUULLTTUURREE 5566
1 .orld 3usic Festi$al to be held in Udaipur in February 78
2
Chandra"iri fort 78
4 03 releases 1?? secret files on /eta(i 79
AARRTT TT EENNTTYY|| 99OOOO??SS AANN// AAUUTTHHOORRSS 5588
1 !he !urbulent ears 7:
2 !he !ale of Hitty+In+5oots 7:
AARRTT TT EENNTTYY OONNEE|| ;;IISSCCEELLLLAANNEEOOUUSS 5599
1 .orld 5raille Day 7<
AARRTT TT EENNTTYY TT OO|| EE//IITTOORRIIAALLSS 6600
1 ou are here 8?
2 Re$i$e /A!%RID #ith safe"uards 8?
4 !o#ards or"anic lifestyle 81
6 Islamic nations also on ISIS’ radar 81
7 It’s the lynchpin= <2J of Indian adults ha$e Aadhaar, but #here’s its le"islati$e frame#or)M 82
8 olistic inclusion 84
9 .ill Rafael deal flyM 84
: Scientific temper essential to India’s de$elopment in 21st century 86
< !he unmet health challen"e 86
1?
Dealin" #ith the slo#do#n 87
11 Start and "o 87
12 3i'ed le"acy of the Obama years 88
14 /o lon"er shy 89
16 appy birthday, .i)ipedia 89
17 Optimisin" diaspora asset 8:
18 A ne# be"innin" #ith Iran 8:
19 Sta"flation ris) ahead 8<
1: 0rotect home buyers= Real estate bill has been han"in" fire for years, e$en as the sector cries for
reforms 8<
1<
Return of terror in Indonesia 9?
2? A bri"ht, da**lin" rainbo# 91
21 Incremental steps not enou"h 91
22 5an"ladesh’s Islamist challen"e 92
24 Road to 3andalay 92
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8
26 Field lessons 94
27 A dan"erous escalation 96
28 Flo#in" out 96
29 All for the "ame 97
2: .inds of chan"e= !ai#an’s shiftin" politics opens the door to "reater Indo+!ai#anese cooperation 97
2< China bear need not menace India 98
4? A political misad$enture 98
41 Ri"ht trac) 99
42 A (ust e'emption 99
44 C0I a poor monetary policy $ariableN only constant must be the stability ob(ecti$e 9:
46 India’s strate"y for the near #est 9:
47
.ron" blend 9< 48 !he sunrise sector :?
49 5i" >ua)e #arnin"= 3anipur is another #a)eup call for $ulnerable India, don’t i"nore this one too :?
4: Caution on Free 5asics :1
4< %ro# this food= o# to #oo more states aboard field trials for %3 crops :1
6? Challen"e for la#ma)ers :2
61 %i$in" cities the smart ed"e :2
62 Dancer and dance :4
64 Act /ear+&ast :4
66 Death #ith di"nity= %o$ernment must empo#er terminally ill patients to ta)e decisions about their
o#n care :6
AARRTT TT EENNTTYY TTHHRREEEE|| AARRTTIICCLLEESS 8855
1 /on+ali"nment to multi+ali"nment :7
2 !he many must resist the some :9
4 Saudi Arabia’s deadly "amble ::
6 A case for e'pandin" D5! <?
7 .hat Free 5asics did not intend to do <1
8 Reform, only left to the (udiciaryM <4
9 !he hidden #ealth of nations <7
AARRTT TT EENNTTYY FFOOUURR|| EESSSSAAYY 9988
AARRTT TT EENNTTYY FFII<<EE || AASSSSII,,NN;;EENNTT @@UUEESSTTIIOONNSS 110000
AARRTT TT EENNTTYY SSII==|| SSOOLLUUTTIIOONNSS 1100 4 4
AARRTT TT EENNTTYY SSEE<<EENN|| FFOOCCUUSS SSEECCIIAALL 1100 4 4
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0AR! O/&EI/!&R/A!IO/A
FOCUS= RAU’S OUS& BOUR/A O/ CURR&/! AFFAIRS A/ASIS E JANUARY 2016
:
5ut in the ne't fe# years, Chian"Gs troops #ere beaten bac) by the Communist armies under 3ao Ledon"
Chian" and the remnants of his Huomintan" H3! "o$ernment fled to !ai#an in 1<6< !his "roup, referred to
as 3ainland Chinese, dominated !ai#anGs politics for many years, e$en thou"h they only account for 16J of the
population
a$in" inherited an effecti$e dictatorship, Chian"Gs son, Chian" Chin"+)uo, be"an a process of democratisation,
#hich e$entually led to the 2??? election of the islandGs first non+H3! president, Chen Shui+bian
HERE ARE THIN,S AT NO
After decades of hostile intentions and an"ry rhetoric, relations bet#een China and !ai#an started impro$in" in
the 1<:?s China put for#ard a formula, )no#n as Pone country, t#o systemsP, under #hich !ai#an #ould be
"i$en si"nificant autonomy if it accepted Chinese reunification
!he offer #as re(ected, but !ai#an did rela' rules on $isits to and in$estment in China It also, in 1<<1,
proclaimed the #ar #ith the 0eopleGs Republic of China o$er
!here #ere also limited tal)s bet#een the t#o sidesG unofficial representati$es, thou"h ChinaGs insistence that
the Republic of China ROC "o$ernment is ille"itimate pre$ented "o$ernment+to+"o$ernment contact
5ei(in" became alarmed in 2???, #hen !ai#an elected as president Chen Shui+bian, #ho had openly bac)ed
independence
3r Chen #as re+elected in 2??6, promptin" China to pass a so+called anti+secession la# in 2??7, statin" ChinaGs
ri"ht to use Pnon peaceful meansP a"ainst !ai#an if it tried to secede from China
In 2??:, 3a in"+(eou #as elected president and has sou"ht to impro$e relations #ith China, mainly throu"h
economic a"reements
SO HAT IS TAIAN
!here is disa"reement and confusion about #hat !ai#an is, and e$en #hat it should be called Chian" Hai+she)Gs Republic of China ROC "o$ernment, #hich fled the mainland to !ai#an in 1<6<, at first
claimed to represent the #hole of China, #hich it intended to re+occupy It held ChinaGs seat on the United
/ations Security Council and #as reco"nised by many .estern nations as the only Chinese "o$ernment
5ut in 1<91, the U/ s#itched diplomatic reco"nition to 5ei(in" and the ROC "o$ernment #as forced out Since
then the number of countries that reco"nise the ROC "o$ernment diplomatically has fallen to about 2?
China re"ards !ai#an as a brea)a#ay pro$ince #hich it has $o#ed to reta)e, by force if necessary 5ut !ai#anGs
leaders say it is clearly much more than a pro$ince, ar"uin" that it is a so$erei"n state It has its o#n constitution
and democratically+elected leaders
%i$en the hu"e di$ide bet#een these t#o positions, most other countries seem happy to accept the current
ambi"uity, #hereby !ai#an has most of the characteristics of an independent state, e$en if its le"al status
remains unclear
HO ;UCH OF AN ISSUE IS IN/EEN/ENCE IN TAIAN
.hile political pro"ress has been slo#, lin)s bet#een the t#o peoples and economies ha$e "ro#n sharply
Some !ai#anese #orry their economy is no# dependent on China Others point out that closer business ties
ma)es Chinese military action less li)ely, because of the cost to ChinaGs o#n economy
A contro$ersial trade a"reement spar)ed the PSunflo#er 3o$ementP in 2?16 #here students and acti$ists
occupied !ai#anGs parliament protestin" a"ainst #hat they call ChinaGs "ro#in" influence o$er !ai#an
Officially, the Democratic 0ro"ressi$e 0arty D00 still fa$ours e$entual independence for !ai#an, #hile the
H3! fa$ours e$entual re+unification Opinion polls sho# only a small minority of !ai#anese support one or the
other, #ith most preferrin" to stic) #ith the current middle "round
et more and more people say they feel !ai#anese rather than Chinese, and there is "ro#in" support for the
D00, partly because of dissatisfaction #ith the rulin" party H3!Gs handlin" of economic matters, from the
#ealth "ap to hi"h housin" prices, and partly because of #orries that the current administration is ma)in"
!ai#an too dependent on 5ei(in"
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<
HAT ROLE /OES THE US LAY
!he US is by far !ai#anGs most important friend, and its only ally !he relationship, for"ed durin" .orld .ar
!#o and the Cold .ar, under#ent its sternest test in 1<9<, #hen 0resident Bimmy Carter ended US diplomatic
reco"nition of !ai#an in order to concentrate on bur"eonin" ties #ith China
!he US Con"ress, respondin" to the mo$e, passed the !ai#an Relations Act, #hich promises to supply !ai#an
#ith defensi$e #eapons, and stressed that any attac) by China #ould be considered of P"ra$e concernP to the
US
Since then, US policy has been described as one of Pstrate"ic ambi"uityP, see)in" to balance ChinaGs emer"ence
as a re"ional po#er #ith US admiration for !ai#anGs economic success and democratisation
!he pi$otal role of the US #as most clearly sho#n in 1<<8, #hen China conducted pro$ocati$e missile tests to
try and influence !ai#anGs first direct presidential election In response, US 0resident 5ill Clinton ordered the
bi""est display of US military po#er in Asia since the Kietnam .ar, sendin" ships to the !ai#an Strait, and a
clear messa"e to 5ei(in"
23
Nort$ ?orea test +raws t$reat o) sa!&t%o!s +es7%te H(o'( +ou(ts
!orth "orea said it s#ccessf#lly tested a powerf#l n#clear bomb$ drawing threats of f#rther sanctions even
tho#gh the %nited &tates and weapons eperts voiced do#bts the device was as advanced as the isolated nation
claimed.
!he under"round e'plosion shoo) the earth so hard that it re"istered as a seismic e$ent #ith US earth>ua)e
monitors It
put pressure
on China to
rein innei"hbourin"
/orth Horea
!he U/
United
/ations
Security
Council said it
#ould be"in
#or)in"
immediately
on si"nificant
ne# measures
in response to
/orth Horea, a
threat
diplomats said could mean an e'pansion of sanctions
/orth Horea has been under Security Council sanctions since it first tested an atomic de$ice in 2??8 After a
nuclear test in 2?14, the Security Council a"reed on a resolution that ti"htened financial restrictions and crac)ed
do#n on 0yon"yan"Gs attempts to ship and recei$e banned car"o
!he e'plosion dre# criticism, includin" from China and Russia 5ei(in", the /orthGs main economic and
diplomatic bac)er, said it #ill lod"e a protest #ith 0yon"yan"
H9O;9 OF JUSTICE
.hile /orth Horea has a lon" history of $oicin" bellicose rhetoric a"ainst the United States US and its Asian
allies #ithout actin" on it, the assertion by 0yon"yan" that it had tested a hydro"en de$ice, much more
po#erful than an atomic bomb, came as a surprise /orth Horea called the de$ice the P+bomb of (usticeP
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1?
ydro"en bombs pac) an e'plosion that can be more po#erful than an atomic bomb as it uses a t#o+step
process of fission and fusion that releases substantially more ener"y
/orth Horea also said it #as capable of miniaturi*in" the +bomb, in theory allo#in" it to be placed on a missile
and potentially posin" a ne# threat to the US .est Coast, South Horea and Bapan
.hile the Him "o$ernment boasts of its military mi"ht to pro(ect stren"th "lobally, it also plays up the need to
defend itself from e'ternal threats as a #ay to maintain control domestically
/orth Horea has lon" co$eted diplomatic reco"nition from .ashin"ton, but sees its nuclear deterrent as crucial
to ensurin" the sur$i$al of its third+"eneration dictatorship
3
C$%!a restru&tures '%*%tar" as =% e"es Dstro!8
ar'"’
hina #nveiled three new #nits to its military a force to
oversee strategic missiles$ an army general command and
strategic s#pport force. President i *inping described
the moderni+ation reform as a ma,or policy decision to
reali+e the hinese dream of a strong army.
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11
ROC?ET FORCE
!he reforms include a ne# 0eopleGs iberation Army 0A unit established to o$ersee ChinaGs arsenal of
strate"ic missiles
In addition to the so+called PRoc)et Force,P the 0A also un$eiled an army "eneral command to ser$e as the
head>uarters for land forces and a support unit to assist combat troops
In an effort to create a more efficient fi"htin" force, 0resident i announced recently to cut the number of
Chinese troops by about 4??,??? to appro'imately 2 million soldiers
5ei(in" is also e'pandin" its na$al capacity, buildin" a second aircraft carrier to (oin the one that #as
commissioned in 2?12
SEA /ISUTES
!he moderni*ation comes as China fle'es its military muscles #ith Bapan in the &ast China Sea and #ith its
Southeast Asian nei"hbours in the South China Sea
China claims nearly all of the South China Sea, throu"h #hich some Q7 trillion in trade passes annually 5ut the
0hilippines, 5runei, Kietnam, 3alaysia and !ai#an ha$e o$erlappin" claim
3
S$%B%te &*er%& ee&ute+ %! Sau+% Ara(%a st%rr%!8 a!8er %! re8%o!
&a#di rabia eec#ted a prominent &hi'ite M#slim cleric$ !imr al-!imr$ and do+ens of al aeda members$
signalling that it wo#ld not tolerate attac/s$ whether by &#nni ,ihadists or minority &hi'ites$ and stirring
sectarian anger across the region.
/imr, the most $ocal critic of the dynasty amon" the ShiGite
minority, had come to be seen as a leader of the sectGs youn"er
acti$ists, #ho re(ected the >uiet approach of older communityleaders for failin" to achie$e e>uality #ith Sunnis
3ost of those )illed recently in the )in"domGs bi""est mass e'ecution
for decades #ere Sunnis con$icted of al ;aeda attac)s in Saudi
Arabia a decade a"o Some, includin" /imr, #ere ShiGites accused of
in$ol$ement in shootin" policemen
!he mo$e further soured relations bet#een Sunni+ruled Saudi
Arabia and its ShiGite re"ional ri$al, Iran, #hich had hailed /imr as
the champion of a mar"inalised ShiGite minority
;ESSA,E TO SAU/IS
o#e$er, the e'ecutions seemed mostly aimed at discoura"in" Saudis from (ihadism after bombin"s and
shootin"s by Sunni militants in Saudi Arabia o$er the past year )illed do*ens and Islamic State called on
follo#ers there to sta"e attac)s
Saudi ArabiaGs rulin" Al Saud family has "ro#n increasin"ly #orried in recent years as 3iddle &ast turmoil,
especially in Syria and Ira>, has empo#ered Sunni militants see)in" to brin" it do#n and "i$en room to Iran to
spread its influence A nuclear deal #ith Iran bac)ed by Saudi ArabiaGs bi""est ally, the United States, has done
little to calm ner$es in Riyadh
RA/ICAL ISLA;
3ost (ihadist "roups follo# a radical interpretation of the Salafi branch of Islam, the strict Sunni 3uslim school
that #as de$eloped in Saudi Arabia and is still follo#ed by its cler"yN but they ha$e lon" re"arded the US+allied Saudi establishment as an enemy
%o$ernment+appointed clerics ha$e for years denounced al ;aeda and Islamic State as reli"ious Pde$iantsP,
#hile the "o$ernment has crac)ed do#n on (ihadists at home, s>uee*ed their fundin" streams abroad and
stopped them tra$ellin" to fi"ht
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G3
9a!8*a+es$ &ourt u7$o*+s +eat$ se!te!&e )or N%a'%
0angladesh's &#preme o#rt #pheld a death sentence against a top Islamist political leader for crimes committedd#ring the co#ntry's 1231 war of independence from Pa/istan.
3otiur Rahman /i*ami + leader of the countryGs bi""est Islamist party, Bamaat+e+Islami + #as con$icted by a
special #ar crimes tribunal last year of a raft of offences that included "enocide, murder, torture and rape
/i*ami is accused of settin" up the Al+5adr militia, a paramilitary unit accused of collaboratin" #ith the
0a)istani army in lar"e+scale )illin"s and tar"etin" 5an"ladeshGs indu minority and intelli"entsia
RISIN, <IOLENCE
3any opposition politicians, includin" leaders of Bamaat+e+
Islami, ha$e been con$icted by the tribunal and e'ecuted since
late 2?14
Islamists ha$e denounced the tribunal as part of a politically
moti$ated campai"n aimed at #ea)enin" the leadership of
Bamaat+e+Islami, a )ey ally of the countryGs main opposition
party
!he e'ecutions since 2?14 ha$e come amid a rise in $iolence in
3uslim+ma(ority 5an"ladesh, #ith armed "roups claimin" the
murder of forei"ners and secular #riters
!he "o$ernment has blamed the increase in $iolence on Bamaat+e+Islami but the party denies any lin)
63
Nu&*ear sa!&t%o!s *%)te+ as Ira! U3S3 a8ree o! 7r%so!er swa7
Iran emerged from years of economic isolation when world powers lifted crippling sanctions against the Islamic
4ep#blic in ret#rn for Tehran complying
with a deal to c#rb its n#clear ambitions.
In a dramatic mo$e scheduled to coincide
#ith the scrappin" of the sanctions, !ehran
also announced the release of some
Americans includin" .ashin"ton 0ost
reporter Bason Re*aian as part of a prisoner
s#ap #ith the United States
!he Kienna+based International Atomic
&ner"y A"ency IA&A ruled recently thatIran had abided by an a"reement last year
#ith si' #orld po#ers to curtail its nuclear pro"ram, tri""erin" the end of sanctions
SI,NIFICANCE
!o"ether, the liftin" of sanctions and the prisoner deal considerably reduce the hostility bet#een !ehran and
.ashin"ton that has shaped the 3iddle &ast since IranGs Islamic Re$olution of 1<9<
!ens of billions of dollars #orth of Iranian assets #ill no# be unfro*en and "lobal companies that ha$e been
barred from doin" business in Iran #ill be able to e'ploit a mar)et hun"ry for e$erythin" from automobiles to
airplane parts
!he end of sanctions means more money and presti"e for ShiGite 3uslim Iran as it becomes deeply embroiled in
the sectarian conflicts of the 3iddle &ast, notably in the Syrian ci$il #ar #here its allies are facin" Sunni 3uslim
rebels
AmericaGs tha# #ith Iran is $ie#ed #ith deep suspicion by US Republicans as #ell as American allies in the
3iddle &ast, includin" Israel and Saudi Arabia US+Iranian suspicion too still remains deeply entrenched
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AARRTT TT OO || IINN//IIAA AANN// TTHHEE OORRLL//
13
I!+%a ra!-s 6t$ %! 8*o(a* &orru7t%o! %!+e
P#blic-sector corr#ption is still a ma,or problem aro#nd the world b#t more co#ntries are improving than
worsening and the %nited &tates (%&) and %nited "ingdom (%") have reached their best ran/ings ever$ the
anti-corr#ption watchdog$ Transparency International$ said.
Denmar) remained at the top of !ransparency International’s Corruption 0erceptions Inde', a closely #atched
"lobal barometer, for the second consecuti$e year as the country percei$ed as least corrupt It scored <1 points
out of a possible 1?? #hile /orth Horea
and Somalia remained at the bottom
#ith unchan"ed scores of :
!he US rose one spot this year to 18th
place, tyin" #ith Austria !he UH rose
three spots to place 1?th, that tied it #ith
%ermany and u'embour" !he other
top spots, from second to ninth, #ere
occupied by Finland, S#eden, /e#
Lealand, /etherlands, /or#ay,
S#it*erland, Sin"apore and Canada
OTHER FIN/IN,S
Despite so many countries in the top 1?,
!ransparency said there #as still a lot of
room for impro$ement in &urope and
Central Asia, #hich it "rouped as one
re"ion, sayin" in lo#+scorers un"ary,
0oland and !ur)ey, politicians and their
cronies are increasin"ly hi(ac)in" state
institutions to shore up po#er
It’s e$en "rimmer further do#n the
inde', the or"ani*ation continued In
A*erbai(an, Ha*a)hstan, Russia,U*be)istan and others, "o$ernments are
restrictin", if not totally stiflin", ci$il
society and free media
Russia sat in 11<th place, tied #ith
A*erbai(an, %uyana and Sierra eone,
althou"h its score impro$ed from 2?16,
brin"in" its ran)in" on the list up from
148th place
5ra*il, in the midst of a massi$e
corruption scandal at the state+o#ned
oil company 0etrobras, posted thebi""est decline, droppin" to 98th place
!ransparency noted that in places li)e
%uatemala, Sri an)a and %hana,
citi*en acti$ists ha$e #or)ed hard to
dri$e out the corrupt
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O$erall, t#o+thirds of the 18: countries studied scored belo# 7? and the "lobal a$era"e #as 64 Still,
!ransparency said it #as a "ood si"n that 86 countries impro$ed their score #hile only 74 declined !he rest
#ere unchan"ed
THE IN/E=
!he corruption inde' is based on e'pert opinions of public sector corruption, loo)in" at a ran"e of factors li)e
#hether "o$ernmental leaders are held to account or "o unpunished for corruption, the percei$ed pre$alence of
bribery, and #hether public institutions respond to citi*ens’ needs
RELATE/ INFOR;ATION: TRANSARENCY INTERNATIONAL 5TI
!ransparency International !I is a non+"o$ernmental or"ani*ation that monitors and publici*es corporate and
political corruption in international de$elopment Ori"inally founded in %ermany in 1<<4 as a not+for+profit
or"ani*ation, !ransparency International is no# an international non+"o$ernmental or"ani*ation
It publishes an annual %lobal Corruption 5arometer, Corruption 0erceptions Inde', and %o$ernment Defence
Anti+Corruption Inde' a "lobal listin" of corruption in the #orldGs defence sectors Its head>uarters are located
in 5erlin, %ermany
4a#5s I& &t#dy ircle
&pace for notes
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AARRTT TTHHRREEEE || NNAATTIIOONNAALL NNEE SS
13
I!+%a *au!&$es %ts ur(a! 'a-eo#er 7*a! w%t$ s'art &%t%es
The government pic/ed 67 cities$ incl#ding five state capitals$ to la#nch its larger #rban ma/eover plan.
!he "o$ernment proposes to pro$ide
financial help to these cities, selected
throu"h a challen"e, and it is the
first phase of the "o$ernment’s plan
to set up 1?? smart cities
!he cities in the first list ha$e made it
to the top of the competition basedon implementation frame#or),
includin" feasibility and cost+
effecti$eness #hich has a #ei"hta"e
of 4?J, follo#ed by result
orientation 2?J, citi*en
participation 18J, smartness of
proposals 1?J, strate"ic plans
1?J, $ision and "oals 7J,
e$idence+based city profilin" and
)ey performance indicators 7J and
processes follo#ed 6J
!he cities in order of ran)in" are=
5hubanes#ar, 0une, Baipur, Surat,
Hochi, Ahmedabad, Babalpur
3adhya 0radesh, Kisa)hapatnam,
Solapur 3aharashtra, Da$ana"ere
Harnata)a, Indore, /e# Delhi
3unicipal Council Delhi,
Coimbatore, Ha)inada Andhra
0radesh, 5ela"a$i Harnata)a,
Udaipur, %u#ahati, Chennai,udhiana and 5hopal
HU,E IN<EST;ENT
From the central "o$ernment, the
selected cities #ill each be "i$en
Rs2?? crore in the first year and
Rs1?? crore e$ery subse>uent year
0lans #ill be implemented by a
special purpose $ehicle set up for
each city
!he ne't round of the competition toselect 6? cities #ill be"in from 1
April this year
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ORL/CLASS INFRASTRUCTURE
At a time #hen the "o$ernment is pushin" for urban rene#al in India, the smart cities pro(ect aims to pro$ide
#orld+class infrastructure in Indian cities De$elopin" the pro(ect in the shortlisted cities #ould ensure >uality
infrastructure, technolo"y+enabled ser$ices, sustainable public transport 3oreo$er, affordable housin", #hich is
already a priority for the "o$ernment, #ould recei$e a further boost throu"h the pro(ect
!he Smart Cities mission, a pet pro(ect of 0rime 3inister /arendra 3odi, #as launched in Bune 2?17 #ith the
"o$ernment releasin" the "uidelines and mission statement for the 1?? Smart Cities pro(ect !he mission has
been allotted a bud"et of Rs6:,??? crore for fi$e years
23
Te*a!8a!a (e&o'es )%rst State to 'a-e 8e!+er e+u&at%o! &o'7u*sor"
Telangana has become the first &tate to introd#ce comp#lsory gender
ed#cation at the grad#ate level8 witho#t repeating gender stereotypes in itsbiling#al tetboo/ titled$ 9Towards a :orld of ;<#als.5
!he boo) introduced on a pilot basis in en"ineerin" colle"es affiliated to the
Ba#aharlal /ehru !echnolo"ical Uni$ersity B/!U+yderabad discusses
"ender in its composite form #ithout limitin" itself to crime a"ainst
#omen From information on unac)no#led"ed #omen #riters of
!elan"ana to problems of se' selection and #omen’s #or) in politics and
economics, the boo) attempts to co$er it all
Structured in simple lan"ua"e and form to suit under+"raduates, the boo)
discusses different strands of #omen’s mo$ements across the #orld,
introducin" students to political mo$ements of Afro+American, Caribbean,
African, Dalit and minority #omen .hat ma)es the te'tboo) interestin" is the "amut of reactions and
classroom discussions #hich it attempts to "enerate And coupled #ith the
boo) is a collection of $isual teachin" tools #hich include documentary
films
3
La*(a8$ )*ower s$ow 8oes !at%o!a*
=or the first time in its 176-year-old history of hosting flower shows$ >albagh 0otanical ?ardens (0angalore)
held a national flower show in *an#ary as a do+en &tates participated in the 4ep#blic Day flower show this time.
!his edition of the flo#er sho# had a pan+India presence,
#ith each State sho#casin" its nati$e specialities to add to
the hetero"eneous disposition of flo#er display
!he edition, in a first, used only potted plants and flo#ers
"ro#n on "round from saplin"s !his is ne# "round for
alba"h, #hich has held flo#er sho#s for more than a
century by usin" la)hs of cut flo#ers
!he sho# "enerates many truc)loads of bio#aste
comprisin" dry flo#ers, t#i"s and folia"e "athered from
around the "arden !he biode"radable #aste is "enerally
handled by alba"h authorities for systematic compostin",
a portion of #hich is also sent to ulima$u 5io Centre at 5anner"hatta Road for con$ertin" into $ermi+compost
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AARRTT FFOOUURR || EECCOONNOO;;YY
13
Startu7 I!+%a Sta!+u7 I!+%a
Prime Minister !arendra Modi #nveiled the government's '&tart#p India &tand#p India' plan. The programme
aims to ma/e a cond#cive atmosphere for new-age entreprene#rship and provide e<#al opport#nities to all.
Settin" up of a corpus fund of Rs 1?,??? crore to fund startups, attracti$e ta' incenti$es and minimum
"o$ernment interference constitute the ma(or plans of the "o$ernment to spur entrpreneurship in the country
HI,HLI,HTS
13 SELF CERTIFICATION !he start+ups #ill adopt self+certification to reduce the re"ulatory liabilities !he self+certification #ill apply to
la#s includin" payment of "ratuity, labour contract, pro$ident fund mana"ement, #ater and air pollution acts
23 STARTU IN/IA HU9
An all+India hub #ill be created as a sin"le contact point for start+up foundations in India, #hich #ill help the
entrepreneurs to e'chan"e )no#led"e and access financial aid
3 RE,ISTER THROU,H A
An online portal, in the shape of a mobile application, #ill be launched to help start+up founders to easily
re"ister
3 ATENT ROTECTION
A fast+trac) system for patent e'amination at lo#er costs is bein" conceptuali*ed by the central "o$ernment !he
system #ill promote a#areness and adoption of the Intellectual 0roperty Ri"hts I0Rs by the start+up
foundations
G3 RS 10000 CRORE FUN/
!he "o$ernment #ill de$elop a fund #ith an initial corpus of Rs 2,7?? crore and a total corpus of Rs 1?,??? crore
o$er four years, to support upcomin" start+up enterprises
!he ife Insurance Corporation of India #ill play a ma(or role in de$elopin" this corpus A committee of pri$ate
professionals selected from the start+up industry #ill mana"e the fund
63 NATIONAL CRE/IT ,UARANTEE TRUST CO;ANY
A /ational Credit %uarantee !rust Company /C%!C is bein" conceptuali*ed #ith a bud"et of Rs 7?? crore
per year for the ne't four years to support the flo# of funds to start+ups
3 NO CAITAL ,AINS TA=
At present, in$estments by $enture capital funds are e'empt from the Capital %ains !a' !he same policy is
bein" implemented on primary+le$el in$estments in start+ups
3 NO INCO;E TA= FOR THREE YEARS
Start+ups #ould not pay Income !a' for three years !his policy #ould re$olutioni*e the pace #ith #hich start+ups #ould "ro# in the future
43 TA= E=E;TION FOR IN<EST;ENTS OF HI,HER <ALUE
In case of an in$estment of hi"her $alue than the mar)et price, it #ill be e'empt from payin" ta'
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103 9UIL/IN, ENTRERENEURS
Inno$ation+related study plans for students in o$er 7 la)h schools 5esides, there #ill also be an annual
incubator "rand challen"e to de$elop #orld class incubators
113 ATAL INNO<ATION ;ISSION
!he Atal Inno$ation 3ission #ill be launched to boost inno$ation and encoura"e talented youths
123 SETTIN, U INCU9ATORS
A pri$ate+public partnership model is bein" considered for 47 ne# incubators and 41 inno$ation centres at
national institutes
13 RESEARCH AR?S
!he "o$ernment plans to set up se$en ne# research par)s, includin" si' in the Indian Institute of !echnolo"y
campuses and one in the Indian Institute of Science campus, #ith an in$estment of Rs 1?? crore each
13 ENTRERENEURSHI IN 9IOTECHNOLO,Y
!he "o$ernment #ill further establish ne# biotech clusters, ne# bio incubators, technolo"y transfer offices and
bio+connect offices in the country
1G3 LE,AL SUORT
A panel of facilitators #ill pro$ide le"al support and assistance in submittin" patent applications and other
official documents
163 RE9ATE A rebate amount of :? percent of the total $alue #ill be pro$ided to the entrepreneurs on filin" patent
applications
13 EASY RULES
/orms of public procurement and rules of tradin" ha$e been simplified for the start+ups
13 FASTER E=IT
If a start+up fails, the "o$ernment #ill also assist the entrepreneurs to find suitable solutions for their problems
If they fail a"ain, the "o$ernment #ill pro$ide an easy #ay out
23
C$%!a +e#a*ues "ua! a8a%! tr%88ers &urre!&" war )ears
China de$alued its currency once a"ain promptin"
fears of a currency #ar in the Asian re"ion !he
countryGs nei"hbours, includin" India and Bapan, may
respond throu"h mar)et inter$ention in case if a
#ea)er Chinese yuan threaten their e'ports
!he de$aluation mo$e came at a time #hen the
countryGs stoc) mar)ets plun"ed sharply 5oth the
de$elopments in the currency and stoc) mar)ets ha$e
tri""ered bearin" sentiments in financial mar)ets of
other countries
ChinaGs recent efforts at pro"ressi$e de$aluation of the yuan ha$e already resulted in Kietnam and South Horea
(oinin" in competiti$e de$aluation Bapan had preceded China in reducin" the $alue of the en to encoura"e its
e'ports
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3
I!+%a to &ou!ter D!o!%ssues’ at TO ta*-s
The government is firming #p a strategy to prevent 9attempts5 by rich nations to introd#ce 9new pro-corporateiss#es5 s#ch as global val#e chains$ digital economy$ labo#r and climate-related trade into the :orld Trade
@rganisation (:T@) deliberations and negotiations on mega free trade agreements.
.hen the Doha Round ne"otiations for a "lobal a"reement to lo#er trade barriers resume at the .!O
head>uarters in %ene$a S#it*erland, India #ill ma)e it clear that discussions on any @ne# issue’ can ta)e place
only after resol$in" all the outstandin" matters related to the Doha Round tal)s, "o$ernment told
!he de$elopment came after India had opposed the declaration brou"ht out after the .!O’s ministerial
conference its hi"hest decision ma)in" body in /airobi recently as it did not include measures primarily meant
for impro$in" trade prospects of de$elopin" and poor nations
!he outstandin" issues include a permanent solution for the issue of public stoc)holdin" for food security
purposes
TO CRITERIA
India #ill state at the .!O that any country pitchin" for the introduction the @ne# issues’ #ill first ha$e to
ensure that they meet t#o criteria
One is to establish the rele$ance of these issues in the conte't of trade and the other to ensure that there is a
consensus amon" all .!O member countries in ta)in" up such an a"enda
Simultaneously, India #ill stren"then the alliance of de$elopin" and poor countries to put an end to the
attempts to introduce Gne# issuesG into the .!O tal)s at this sta"e
NE ISSUES
!hese @ne# issues’ that the de$eloped #orld is )een to introduce into the .!O’s Doha Round tal)s include
"lobal $alue chains, e+commerce, labour, climate+related trade such as en$ironmental ser$ices and "oods,competition policies, in$estment pacts, "o$ernment procurement and state+o#ned enterprises, on all of #hich
the rich nations ha$e superior standards or rules than the de$elopin" and poor countries
!he de$elopin"
nations feel these
standards or
rules mi"ht
therefore become
non+tariff
barriers, hurtin"
their e'ports to
rich nations#hile the latter
#ill be able to
indirectly open
up the
de$elopin"
mar)ets throu"h
an a"enda that
includes Gne#
issuesG
In the Re"ional
Comprehensi$e
&conomic
0artnership
RC&0 tal)s too,
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2?
India #ill state that the focus should be on e'peditiously concludin" discussions on the "oods, ser$ices and
in$estment chapters of the pact
0ointin" out to the presence of some rich countries in the RC&0 "roupin" #hich are also a part of the US+led
!rans 0acific 0artnership another similar me"a free trade pact that has hi"her standards than the RC&0, the
"o$ernment said India #ill oppose their attempts to brin" in any non+trade and .!O+plusT issues such as
labour and en$ironment into the RC&0
RELATE/ INFOR;ATION: RCE
Re"ional Comprehensi$e &conomic 0artnership RC&0 is a proposed free trade a"reement F!A bet#een the
ten member states of the Association of Southeast Asian /ations AS&A/ 5runei, 5urma 3yanmar,
Cambodia, Indonesia, aos, 3alaysia, the 0hilippines, Sin"apore, !hailand, Kietnam and the si' states #ith
#hich AS&A/ has e'istin" F!As Australia, China, India, Bapan, South Horea and /e# Lealand
RC&0 ne"otiations #ere formally launched in 2?12 at the AS&A/ Summit in Cambodia RC&0 is $ie#ed as analternati$e to the !00 trade a"reement, #hich includes the United States but e'cludes China
3
Fa** %! e7orts 7roKe&te+ to (e worst s%!&e 14G2G
Merchandise eports this fiscal are pro,ected to fall aro#nd (-) 1A per cent over the previo#s financial year. This
will be the second worst eport performance since independence$ according to official data. @nly in 12B6-BC$
eports had fared worse.
CONCERNS
Analysts said the fall in e'ports is of concern as se$eral employment+intensi$e sectors are e'port+oriented Since
the demand for e'ports is do#n, "oin" for#ard there #ill be increasin" reliance on the domestic demand, theyadded
!hey said in addition to factors includin" the #ea) demand o$erseas, the fall in commodity prices and the
currency $olatility, the e'ports sector #as hurt by the delay on the part of the "o$ernment to release the interest
sub$ention amount as #ell as the hi"h transaction costs
EFFORTS
!he "o$ernment, mean#hile, is #or)in" on a sle# of measures to prop up e'port+oriented firms includin"
Special &conomic Lones Separately, the Centre has called a meetin" of all the State "o$ernments for the first
time to e'pedite the notification of a separate forei"n trade policy for each state and to push throu"h
infrastructure creation measures that can support e'ports
!he "o$ernment also #ants the Reser$e 5an) of India to loo) into the currency $olatility+related issues and ta)e
measures to help India’s e'ports as se$eral countries some of them India’s competitors and others its mar)ets
had chosen to de$alue their currency in the last one year, in turn impactin" India’s e'ports
G3
ra+$a! ;a!tr% Fasa* 9%'a YoKa!a
The %nion abinet approved the la#nch of Pradhan Mantri =asal 0ima o,anaE PM=0 (Prime Minister rop
Ins#rance &cheme) in which the premi#m rates to be paid by the farmers have been bro#ght down s#bstantially
so as to enable more farmers avail ins#rance cover against crop loss on acco#nt of nat#ral calamities. The scheme
will come into effect from the #pcoming /harif season.
Under the ne# scheme, farmers #ill ha$e to pay a uniform premium of t#o per cent for all )harif crops and 17per cent for all rabi crops For annual commercial and horticultural crops, farmers #ill ha$e to pay a premium of
7 per cent !he remainin" share of the premium, as in pre$ious schemes, #ill continue to be borne e>ually by the
Centre and the respecti$e state "o$ernments
.ith farmers ha$in" been re>uired to pay a premium share of as hi"h as 17 per cent in se$eral areas in the
country, there has been a lon"+standin" discussion on the need to brin" do#n these rates !he Centre’s mo$e to
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#as re$ised up to 78J from 71J #hile for 2?14+16, it #as lo#ered to 88J from the 8<J estimated earlier
!he do#n#ard re$ision for 2?16+17 comes due to lo#er than e'pected "ro#th in a"riculture and industry #hile
the ser$ices sector performed better than earlier estimated
Separately, data released by the Controller %eneral of Accounts sho#ed India’s fiscal deficit in the first three
>uarters April+December of the fiscal year 2?17+18 remained at ::J of the full+year tar"et, si"nallin" better
fiscal mana"ement Durin" the same period last year, the "o$ernment had e'hausted its full+year tar"et
FASTEST ,ROIN, ;AJOR ECONO;Y
In the first half of the current financial year 2?17+18, %D0 "re# by 92J Althou"h 2?17+18 %D0 "ro#th may #in
a mar"inal boost from a lo#er base, it is li)ely the statistics department #ill re$ise do#n the "ro#th rate, "i$en
the trend in the last t#o years, said analysts
&$en so, India is e'pected to remain the fastest "ro#in" ma(or economy in the #orld and is seen as a bri"ht spot
amid a tepid "lobal reco$ery and at a time #hen China is slo#in" !he International 3onetary Fund I3F )ept its "ro#th forecast for India unchan"ed at 97J in 2?18+19 #hile it
lo#ered its "lobal "ro#th pro(ection in an update to the .orld &conomic Outloo) .&O released in October
CRITICIS; OF ,/ SERIES
!he ne# %D0 series released last year has faced fla) from both policyma)ers and pri$ate economists #ho
complain that it portrays an o$ertly robust picture of the Indian economy #hile other macro indicators such as
ban) credit "ro#th, rural demand and factory output do not support such a depiction
3
I;F &uts 8*o(a* 8rowt$ )ore&ast as C$%!a s*ows
The International Monetary =#nd (IM=) c#t its global growth forecasts for the third time in less than a year$ asnew fig#res from 0ei,ing showed that the hinese economy grew at its slowest rate in a <#arter of a cent#ry in
671B.
!o bac) its forecasts, the I3F cited a sharp slo#do#n in China trade and #ea) commodity prices that are
hammerin" 5ra*il and other emer"in" mar)ets
!he Fund forecast that the #orld economy #ould "ro# at 46 per cent in 2?18 and 48 per cent in 2?19, both
years do#n ?2 percenta"e points from the pre$ious estimates made last October
!he updated .orld &conomic Outloo)
forecasts came as "lobal financial mar)ets
ha$e been roiled by #orries o$er China’s
slo#do#n confirmed by recent official
Chinese data and plummetin" oil prices
!he I3F maintained its pre$ious China
"ro#th forecasts of 84 per cent in 2?18 and
8? per cent in 2?19, #hich represent sharp
slo#do#ns from 2?17
UNCHAN,E/ ESTI;ATES
!he I3F pro(ected 94 per cent %D0 "ro#th
for India in 2?17+18 and 97 per cent in 2?18+
19, le$els unchan"ed from its outloo) released
in October In 2?16+17, it estimates, %D0 "re#94 per cent
!he Union Finance 3inistry recently re$ised
do#n#ards its pro(ection for the current
financial year to 97 per cent after estimates
from the Central Statistics Office sho#ed that
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in the first si' months, real %D0 "re# 92 per cent, slo#er than the 97 per cent in the correspondin" period last
year In February 2?17, it pro(ected that "ro#th #ould accelerate to :1+:7 per cent
3
I!+%a 8ets 'ore #ot%!8 r%8$ts as I;F %'7*e'e!ts Muota re)or's
Goting rights of emerging-mar/et economies s#ch as India and hina have increased at the International
Monetary =#nd (IM=)$ which has finally notified governance <#ota reforms adopted in 6717.
!he reforms #ere held up as the US Con"ress #as reluctant to ratify the proposal, fearin" a decline in its hold
o$er the institution It appro$ed the mo$e recently #ith a set of conditions
!he ratification of the 2?1? reforms also clears the #ay for the institution to be"in the ne't round of re$ie# of its
>uotas to discuss the si*e and composition of I3F resources and the distribution of >uota shares amon" the
Fund’s membership
FRUSTRATION OF THE /E<ELOIN, COUNTRIES
!he iron "rip of the US and the &U &uropean Union o$er the
I3F and the .orld 5an), and their un#illin"ness to ma)e
these institutions more representati$e by "i$in" more say to
de$elopin" countries, in sync #ith their "ro#in" economic
clout, has frustrated the latter o$er the years
!his has led to the creation of ne# financial institutions such as
the /e# De$elopment 5an) by the 5RICS 5ra*il, Russia,
India, China and South Africa countries and the Asian
Infrastructure In$estment 5an) spearheaded by China
SI,NIFICANCE
!he reforms si"nificantly increase the I3F’s >uota resources and its ability to respond to crises more effecti$ely
!he combined >uotas or the capital that the countries contribute of the I3F’s members #ill increase to a
combined SDR 699 billion about Q87< billion from about SDR 24:7 billion about Q42< billion
SDRs, or special dra#in" ri"hts, are the international reser$e of assets under the I3F, from #hich it lends to
countries in times of financial crisis
Its $alue is currently based on a bas)et of four ma(or currencies, and the bas)et #ill be e'panded to include the
Chinese renminbi R35 as the fifth currency, effecti$e 1 October 2?18
@UOTA SHARES
India’s share at I3F has no# increased to 297J from 266J, ma)in" it the ei"hth+lar"est shareholder in the
multilateral a"ency, climbin" three notches
.ith the implementation of the reforms, more than 8J of the >uota shares ha$e shifted to emer"in"+mar)et and
de$elopin" countries and also from o$er+represented to under+represented I3F members
As a result, 5ra*il, China, India and Russia are no# amon" the 1? lar"est members of the I3F !he other top 1?
members are the US, Bapan, France, %ermany, Italy and the UH
FURTHER REFOR;S
Accordin" to e'perts, no# that the recent >uota reforms ha$e been finally implemented, India should see) to
restart the stalled ne't round of re$ie# in #hich the country raised more fundamental >uestions about the
formula used in calculatin" the >uotas
!he 2?1? re$ie# has only tin)ered around #ith the 7?+year old formula Under the ne't round of re$ie#, India
has proposed many chan"es, includin" "i$in" "reater #ei"hta"e to %D0 "ross domestic product in purchasin"
po#er parity terms #hile decidin" the >uota of a country
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43
O7e!%!8 o) AII9 7art o) 8*o(a* )%!a!&%a* re#a'7
The hina-led sian Infrastr#ct#re Investment 0an/ (II0) was formally opened for b#siness$ signalling thesteady revamp of the global financial architect#re$ which will also soon incorporate the !ew Development 0an/
of the 0ra+il-4#ssia-India-hina-&o#th frica (04I&) gro#ping.
!he AII5 is e'pected to open a ne# channel of fundin" for the %lobal South, #hich #as so far dependent on the
#estern bac)ed International 3onetary Fund I3F, the .orld 5an) and the Asian De$elopment 5an) AD5,
in #hich Bapan plays a pre+eminent role
Obser$ers say the ne# lender #ill focus on infrastructure de$elopment in Asiaa mo$e that is li)ely to support
the &urasian connecti$ity initiati$e under the China+led 5elt and Road frame#or)
Analysts point out that launch of the AII5 is another e'ample of the reinforcement of economic bonds bet#een
&urope and Asia In fact, the run up to the formation of the ban) opened crac)s #ithin the Atlantic Alliance
Despite US ob(ections, &uropean countries includin" 5ritain, France and %ermany (oined the AII5 Australia
and South Horea top US allies in the Asia+0acific also decided to participate in the de$elopment ban) as
its foundin" members
CHINA JOINS E9R/
/ot#ithstandin" the focus on the AII5 in #hich India and Russia are also ma(or partners China, recently,
also became the member of the &uropean 5an) for Reconstruction and De$elopment &5RD
.ith China on board, the &5RD is rapidly re+definin" its role In 1<<1 it #as formed to reinforce the unipolar
#orld that had emer"ed follo#in" the So$iet Union’s collapse Its focal area of interest #as &astern &urope,
#hich #as no lon"er under 3osco#’s shado#, and had to be rapidly inte"rated in the #estern institutional
#eb
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103
,o#t3 'o(%*%ses 400 -8 o) 8o*+ u!+er 'o!et%sat%o! s&$e'e
The government said it had netted a hefty 277 /g of idle ho#sehold and temple gold #nder the monetisationscheme and is hopef#l that the n#mber wo#ld rise f#rther in f#t#re.
!he %old 3onetisation Scheme,
#hich had not pic)ed up
initially, #as fine+tuned to
ma)e it more attracti$e and
con$enient to encoura"e
entities holdin" idle "old to
participate in the scheme
THE SCHE;E
Under the monetisation scheme,
ban)s #ere authorised to collect
"old for up to 17 years to
auction them off or lend to
(e#ellers from time to time
Depositors #ill earn up to 27?
per cent interest per annum, a
rate lo#er than sa$in"s ban)
deposits
!here are many Assayin" and
allmar)in" Centres #hich are>ualified to act as Collection
and 0urity !estin" Centres
C0!C for handlin" "old under
the "old monetisation scheme
All "old deposits under the
scheme ha$e to be made at C0!C 5an)s could also accept deposits of "old at desi"nated branches, especially
from lar"er depositors
India imports about 1,??? tonnes of "old e$ery year and the precious metal is the secondhi"hest component of
the imports bill after crude oil An estimated 2?,??? tonnes of "old are lyin" #ith households and temples
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AARRTT FFII<<EE || OOLLIITTYY AANN// ,,OO<<EERRNNAANNCCEE
13
A)ter Ce!tre a**owe+ Ja**%-attu Su7re'e Court sto7s %t
#estioning the Hnecessity of s#ch festivals$ the &#preme o#rt restrained the Tamil !ad# government from
cond#cting its traditional b#ll-taming sport *alli/att#$ and stayed the entre5s notification lifting the ban on it.
A"reein" #ith
animal ri"hts
"roups on the
necessity to issue
an ur"ent order,
the court imposedthe interim stay
until 3arch 17
#hich, apart from
Balli)attu in !amil
/adu, #ill also
prohibit bulloc)
cart races in states
li)e 3aharashtra,
Harnata)a, 0un(ab,
aryana, Herala
and %u(arat durin"
this period
.ith its recent
order, the Supreme
Court has re$i$ed
its ban on
Balli)attu, first
imposed in 2?16
#hen it held that use of bulls in such e$ents se$erely harmed animals and constituted an offence under the
0re$ention of Cruelty to Animals Act
!he interim order has been issued on a batch of petitions mo$ed by the Animal .elfare 5oard of India, 0eoplefor the &thical !reatment of Animals 0&!A, Compassion Unlimited 0lus Action CU0A, 0eople For Animals
and other animal ri"hts "roups !hese "roups ar"ued that Balli)attu is torturous and cruel to animals and all
such sport should be completely banned
RELATE/ INFOR;ATION: RE<ENTION OF CRUELTY TO ANI;ALS ACT
!he 0re$ention of Cruelty to Animals Act, 1<8? #as enacted by parliament to pre$ent the infliction of
unnecessary pain or sufferin" on animals and to amend the la#s relatin" to the pre$ention of cruelty to animals
As per the pro$isions of the la# the %o$ernment of India formed the Animal .elfare 5oard of India
ANI;AL ELFARE 9OAR/ OF IN/IA
!he Animal .elfare 5oard of India is a statutory ad$isory body ad$isin" the %o$ernment of India on animal#elfare la#s, and promotes animal #elfare in the country
It #or)s to ensure that animal #elfare la#s in the country are follo#edN pro$ides "rants to Animal .elfare
Or"anisationsN and considers itself Pthe face of the animal #elfare mo$ement in the countryT
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AARRTT SSII== || SSOOCCIIAALL IISSSSUUEESS
13
;a$aras$tra saw 'ore t$a! 000 )ar'er su%&%+es %! 201G
In Maharashtra$ s#icides by farmers to#ched a grim high in 671B. The year recorded more than 6B77 s#icides
#ntil @ctober -- the higher ever since 6771. The n#mber of s#icides by farmers on December C1$ 671B was more
than C777$ indicating that the slew of meas#res the government #ndertoo/ thro#gh the year failed to arrest the
dist#rbing trend.
3aharashtra has recorded more than 2???? farmer suicides since
2??1 Data obtained from the "o$ernment sho#s Kidarbha #as the
#orst hit last year, #ith more than 17?? farmers from Amara$ati and
/a"pur di$ision committin" suicides 3ore than 1??? farmers ended
their li$es in the Auran"abad di$ision of 3arath#ada
CRO INSURANCE
In the last three to four years, 3aharashtra has #itnessed e'treme
#eather conditions that ha$e either destroyed crops or left them
dama"ed
In this situation, recent Crop Insurance Scheme has come as a bi"
relief 3aharashtra has than)ed 0rime 3inister /arendra 3odi for
launchin" the 03 Crop Insurance Scheme, #hich assures co$erin"
o$er 7?J of the farmers under the insurance scheme in the comin" three years Under this scheme, <?J
premium money #ill be paid by the Centre and not (ust the fully "ro#n crop but e$en the stem #ill be insured
4a#5s I& &t#dy ircle
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13
IRNSS1E sate**%te *au!&$: O!e ste7 &*oser to our #er" ow! ,S
:ith the la#nch of the I4!&&-1; satellite$ India moved a step closer to completing its networ/ of satellites that
will form a space-based regional navigation system providing location services over India and neighbo#ring
areas. In other words$ o#r very own /ind of ?P& (?lobal Positioning &ystem).
!he IR/SS+1&, #hich
#as launched on 0olar
Satellite aunch Kehicle,
0SK+C41, from
Srihari)ota, is the fifth of
the se$en satellites that
#ill ma)e the
constellation !he
remainin" t#o are
scheduled to be launched
before 3arch this year
IR/SS stands for Indian
Re"ional /a$i"ation
Satellite System Once the
system is complete and
comes into use, it #ill
pro$ide an alternati$e to
the US+de$eloped %0S,
or "lobal positionin"
system that is so
commonly used in a
$ariety of applications
;ORE ACCURATE
!he IR/SS is @re"ional’
and #ill co$er the area o$er India and 1,7?? )m from India’s political boundaries, unli)e the %0S #hich is@"lobal’ o#e$er, because it is specific to the Indian re"ion, it is e'pected to be e$en more accurate than the
%0S !he %0S system uses 26 satellites at present thou"h it can support a constellation of 4? satellites !he actual
number of satellites in use at a "i$en time $aries
!he IR/SS constellation had already started #or)in" after the launch of the fourth satellite in 3arch last year,
the minimum number re>uired to ma)e the system operational !he fifth and the subse>uent t#o satellites #ill
ma)e the system stron"er and more reliable
RELATE/ INFOR;ATION: ,A,AN AN/ 9HU<AN
!he de$elopment of IR/SS has happened alon"side that of %A%A/ %0S+Aided %eo Au"mentation
/a$i"ation #hich is meant for na$i"ation ser$ices for ci$il aircraft o$er the Indian re"ion
%A%A/, #hich #as authorised for use by the Directorate %eneral of Ci$il A$iation in April 2?17, can alsopro$ide ser$ices to other sectors li)e hi"h#ays, rail#ays, maritime transport, sur$ey, telecom, etc
!he plan is to inte"rate IR/SS and %A%A/ #ith 5hu$an, a satellite+based mappin" ser$ice for the Indian
mainland de$eloped by Indian Space Research Or"anisation ISRO a fe# years a"o
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23
New wa" to 'easure 8ra#%t" &a! )%!+ Eart$*%-e 7*a!ets
In a bid to determine whether distant stars with planets orbiting them can harbo#r life$ a global team ofastronomers has discovered a new way to meas#re the p#ll of gravity at the s#rface of distant stars. "nowing the
s#rface gravity of a star is essentially /nowing how m#ch yo# wo#ld weigh on that star.
If stars had solid surfaces on #hich you could stand, then your #ei"ht
#ould chan"e from star to star
!he ne# method allo#s scientists to measure surface "ra$ity #ith hi"h
accuracy, for stars too distant and too faint to apply current techni>ues
!he techni>ue can tell ho# bi" and bri"ht is the star, and if a planet around it
is the ri"ht si*e and temperature to ha$e #ater oceans, and maybe life !he
ne# techni>ue called the autocorrelation function timescale techni>ueT or
timescale techni>ue for short, uses subtle $ariations in the bri"htness of
distant stars recorded by satellites
RELATE/ INFOR;ATION: ,OL/ILOC?S LANET
A %oldiloc)s planet is a planet that falls #ithin a starGs habitable *one, and the name is often specifically used for
planets close to the si*e of &arth %oldiloc)s planets are of )ey interest to researchers loo)in" either for e'istin"
and possibly intelli"ent life or for future homes for the human race
3
T$e 'ost e!er8et%& *%8$t e#er %! s7a&e
&cientists have discovered the most energetic light ever detected in the
#niverse from the centre of a s#pernova /nown as 9rab p#lsar5 whichis sit#ated A$B77 light years away from ;arth.
!he Crab pulsar is the corpse left o$er #hen the star that created the
Crab nebula e'ploded as a superno$a It is surrounded by a re"ion of
intense ma"netic field 1? thousand billion times stron"er than that of
the Sun
It is located at the centre of a ma"netised nebula $isible in the !aurus
constellation It is the most po#erful pulsar in our "ala'y and it is one
of only a fe# pulsars detected across all #a$elen"ths, from radio up to "amma rays
;A,IC
!he pulsar #as found by researchers #or)in" #ith the 3a(or Atmospheric %amma+ray Ima"in" Cheren)o$3a"ic obser$atory in the Canary Islands, Spain
!he ne# disco$ery challen"es current theories about ho# such astronomical ob(ects operate
3
F%rst )*ower %! s7a&e
:hen there is no H#p$ which way does a flower growJ strona#ts on the
International &pace &tation (I&&) have answered this and other +ero-gravity
gardening con#ndr#ms by growing the first flower in space.
!he oran"e *innia loo)s li)e a daisy and has a reputation for bein" one of the
easiest flo#ers to "ro# on &arth In space, thou"h, it #as a challen"e "ettin"it to sprout
SUSTAINA9LE FOO/ SULE;ENT
!he flo#er is part of a #ider attempt to "ro# food in orbit, usin" /asa’s
/ational Aeronautics and Space Administration plant "ro#th system
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Ke""ie, #hich #as deli$ered to the ISS in 2?16 !he Ke""ie team has already en(oyed a successful lettuce har$est
and plan to ha$e tomatoes too by 2?19 Ultimately, the hope is to ma)e possible a sustainable food
supplementT for a future manned mission to 3ars
5ut space "ardenin" is pla"ued #ith problems, includin" hi"h radiation le$els and temperature e'tremes
Fortunately, #ith the ISS in a lo# orbit, the &arth’s ma"netic field shields plants from the #orst radiation effects
Inside the station, the atmosphere can also be ti"htly controlled
RELATE/ INFOR;ATION: ISS
!he International Space Station ISS is a space station, or a habitable artificial satellite, in lo# &arth orbit Its first
component #as launched into orbit in 1<<:, and the ISS is no# the lar"est artificial body in orbit
!he ISS ser$es as a micro"ra$ity and space en$ironment research laboratory in #hich cre# members conduct
e'periments in biolo"y, human biolo"y, physics, astronomy, meteorolo"y, and other fields
!he station is suited for the testin" of spacecraft systems and e>uipment re>uired for missions to the 3oon and3ars
!he ISS pro"ramme is a (oint pro(ect amon" fi$e participatin" space a"encies= /ASA, Roscosmos body
responsible for the Russian space science pro"ram and "eneral aerospace research, BAA Bapan Aerospace
&'ploration A"ency, &SA &uropean Space A"ency, and CSA Canadian Space A"ency !he o#nership and
use of the space station is established by inter"o$ernmental treaties and a"reements
4a#5s I& &t#dy ircle
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AARRTT NNIINNEE|| //EEFFEENNCCEE
13
New +e)e!&e 7ro&ure'e!t 7ro&e+ure &$a!8es +"!a'%&s
Months after the !arendra Modi-led government promised a new proced#re for defence e<#ipment ac<#isition$
the Ministry of Defence (MoD) approved ma,or policy changes that will give top-priority to locally prod#ced
e<#ipment and f#nd Indian private companies to do research and development.
It, ho#e$er, deferred
addressin" )ey t#in issues=
One, ha$in" a method on
blac)listin", or not
blac)listin", of firms
indul"in" in #ron"doin"
and t#o, on ha$in"
"uidelines to select
international strate"ic
partners for producin"
ma(or e>uipment in India
CHAN,ES ALLOE/ 9Y
THE /AC
!he Defence Ac>uisition Council DAC, the ape' decision ma)in" body of the 3oD, too) the decisions at a
meetin" chaired by Defence 3inister 3anohar 0arri)ar
Under the chan"es allo#ed by the DAC, the Defence 0rocurement 0rocedure D00 #ill ha$e a ne# cate"ory
called the @IDD3’ or @Indi"enously Desi"ned, De$eloped and 3anufactured’ platforms !his #ill "et top
priority and #ill be first to be chosen for tenders
!his #ill ha$e t#o sub+cate"ories one, it #ill be mandatory to ha$e 6? per cent local content in case the desi"n
is also indi"enous !#o, in case the desi"n is not Indian, 8? per cent local content #ill be mandatory
!he definition to be counted as an @Indian company’ is a company that is controlled and operated by Indian
nationals
RAISE/ LI;IT OF DOFFSETS’
/otably, the D00 allo#s certain le$era"e to forei"n companies It raises the limit of @off+sets’ from Rs 4?? crore toRs 2,??? crore @Off+sets’ are a pro$ision that ma)es forei"n companies to mandatorily procure 4? per cent of the
supplies from Indian partners, in case of #innin" a bid of Rs 4?? crore or more !his limit has been raised to Rs
2,??? crore, as not many Indian companies are a$ailable to absorb so much of technolo"y infusion
RESEARCH AN/ /E<ELO;ENT
Another ma(or chan"e in the D00 is the policy to fund Indian pri$ate entities in Research and De$elopment
R-D to encoura"e more local de$elopment !he Department of Defence 0roduction #ill fund up to <? per
cent of the R-D
!he D00 sets up an empo#ered committee to sol$e disputes or unforeseen issues !ill no# disputes #ent to
DAC
RELATE/ INFOR;ATION: SIRI REORT
%lobally, India is the lar"est buyer of #eapons and military e>uipment, accountin" for some 17 per cent of all
such international imports, said a report by S#eden+based thin)+tan) Stoc)holm International 0eace Research
Institute SI0RI in 3arch last year
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23
Sa$"o8?a%K%!
Ships and aircraft of the Indian Coast %uard and the BapanCoast %uard came to"ether to train for the 17th edition of
@Sahyo"+Hai(in’ (oint e'ercise in the 5ay of 5en"al off the
Chennai coast !he e'ercise #as aimed at fine+tunin" the
coordination bet#een the forces
!his is the second time in recent months ships from the
Bapanese military forces participated in a military e'ercise
alon" #ith India In October last year, Bapan 3aritime Self+
Defence Force’s ships participated in e'ercise @3alabar’ #ith
ships and aircraft of the Indian and the United States na$ies
4a#5s I& &t#dy ircle
&pace for notes
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AARRTT TTEENN|| EENN<<IIRROONN;;EENNTT EECCOOLLOO,,YY >> 99IIOO//II<<EERRSSIITTYY
13
I!+%a to 8o +%re&t*" to 9S<I e'%ss%o! !or's (" 2020
India will move #p to the to#ghest emission standards of 0& (0harat &tage)-GI from the c#rrent 0&-IG by 6767$
s/ipping an intermediate level. The #to =#el Policy had earlier recommended implementation of 0&-GI norms
by 676K.
!he decisionthe
immediate
moti$ation appears
to be the poor air
>uality in /e#
Delhi#ill ma)e
cars, sports utility
$ehicles SUKs,
truc)s and buses
more e'pensi$e
Auto companies
and parts ma)ers
doubted #hether
they #ould be
ready in time
!here is also a
supply issue and it
is unli)ely that 5S+
KI fuel #ill be
a$ailable across the country Currently, only 7? cities in India "et 5S+IK fuel, #hile the rest still use 5S+III fuel
5y s#itchin" to 5S+KI, India #ill (oin the lea"ue of the US, Bapan and the &uropean Union, #hich follo# &uro
Sta"e KI emission norms 5S+KI is the Indian e>ui$alent of &uro Sta"e KI
/ECLINE IN THE USE OF /IESEL
For years, India subsidi*ed the price of diesel As the price difference bet#een diesel and petrol #idened, many
customers started optin" for cars #ith diesel en"ines Companies in$ested in diesel en"ine capacities !he "o$ernment e$entually stopped subsidi*in" diesel !hat brou"ht do#n the number of customers usin"
diesel $ehicles !hat number is li)ely to see a further decline as concerns o$er $ehicular pollution increase !he
Supreme Court recently said no ne# diesel $ehicle #ith an en"ine capacity of 2???cc or abo$e could be
re"istered in Delhi, #here the air >uality has become $ery bad !hat has hurt auto companies that in$ested in
ne# lines for diesel en"ines !he chan"e in deadline for 5S+KI #ill hurt them e$en more
23
S!ow)*a-e &ora*
olonies of snowfla/e coral (ari,oa riisei)$ an invasive species recently doc#mented off the coast of
Thir#vananthap#ram ("erala) and "anya/#mari (Tamil !ad#)$ co#ld pose a serio#s threat to the marine
ecology of the region$ according to scientists.
!hey recorded the presence of se$eral colonies of the fast+"ro#in" alien species amid barnacle clusters on the
roc)y reef off the coast of Ho$alam in !hiru$ananthapuram and &nayam, Hanya)umari
!he documentation #as done as part of a research pro(ect harnessin" the traditional )no#led"e of the fishermen
community to assess the marine biodi$ersity of the re"ion
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IN<ASI<E SECIES
!he sno#fla)e coral is )no#n to inhabit reefs
and under#ater structures such as ship#rec)s
and piers, attachin" itself to metal, concrete
and e$en plastic It is considered an in$asi$e
species because of its capacity to dominate
space and cro#d out other marine or"anisms
A nati$e of the tropical .estern Atlantic and
the Caribbean, Criisei #as first reported as an
in$asi$e species from a#aii in 1<92 Since
then, it has spread to Australia, !hailand,
Indonesia and the 0hilippines
In India, it has been reported from the %ulf of3annar, the Andaman and /icobar Islands,
%ulf of Hutch and %oa
.ith its capacity to thic)ly settle and occupy a
$ariety of surfaces, Criisei can destabilise the marine ecosystem Scientists fear it #ill cro#d out other species
li)e corals, spon"es, al"ae, ascidians that contribute to the rich marine biodi$ersity of the re"ion
RELATE/ INFOR;ATION: CORALS
Corals are marine in$ertebrates in the class Antho*oa of phylum Cnidaria !hey typically li$e in compact
colonies of many identical indi$idual polyps
Althou"h some corals can catch small fish and plan)ton, usin" stin"in" cells on their tentacles, most corals
obtain the ma(ority of their ener"y and nutrients from photosynthetic unicellular dinofla"ellates in the "enusSymbiodinium that li$e #ithin their tissues !hese are commonly )no#n as *oo'anthellae and the corals that
contain them are *oo'anthellate corals
Such corals re>uire sunli"ht and "ro# in clear, shallo# #ater, typically at depths shallo#er than 8? metres
Corals are ma(or contributors to the physical structure of the coral reefs that de$elop in tropical and subtropical
#aters, such as the enormous %reat 5arrier Reef off the coast of ;ueensland, Australia
3
,%8a!to7%t$e&us
The largest ape to roam ;arth died o#t 1$77$777 years ago beca#se it failed to t#c/ into savannah grass after
climate change hit its preferred diet of forest fr#it$ scientists s#ggest.
%i"antopithecusT the closest /ature e$er came to
producin" a real Hin" Hon" #ei"hed fi$e times as
much as an adult man and probably stood three metres
tall, accordin" to s)etchy estimates
In its heyday a million years a"o, it inhabited semi+
tropical forests in southern China and mainland Southeast
Asia Until no#, thou"h, almost nothin" #as )no#n
about the "iant’s anatomical shape or habits
FOSSIL RECOR/S
!he only fossil records are some partial lo#er (a#s, andteeth the first of #hich turned up in the 1<4?s in on"
Hon" apothecaries #here they #ere sold as dra"on’s
teethT
&'aminin" sli"ht $ariations in carbon isotopes found in tooth enamel, scientists sho#ed that the primordial
Hin" Hon" li$ed only in the forest, #as a strict $e"etarian, and probably #asn’t cra*y about bamboo
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!hese narro# preferences did not pose a problem for %i"antopithecusT until &arth #as struc) by a massi$e ice
a"e durin" the 0leistocene &poch, #hich stretched from about 28 million to 12,??? years a"o
!hat’s #hen /ature, e$olution and perhaps a refusal to try ne# foods conspired to doom the "iant ape
Due to its si*e, %i"antopithecusT presumably depended on a lar"e amount of food .hen durin" the
0leistocene, more and more forested area turned into sa$annah landscapes, there #as simply an insufficient
food supply
SO;E AES SUR<I<E/
And yet, accordin" to the study, other apes and early humans in Africa that had comparable dental "ear #ere
able to sur$i$e similar transitions by eatin" the lea$es, "rass and roots offered by their ne# en$ironments
5ut for some reason, Asia’s "iant ape #hich #as probably too hea$y to climb trees, or s#in" in their branches
did not ma)e the s#itch
3
I;/ +e&*ares a! e!+ to +rou8$ts %! I!+%a
The India Meteorological Department (IMD) has officially ep#nged the word Hdro#ght from its vocab#lary.
Accordin" to the
department, the
mo$e is part of a
decision to do
a#ay #ith or re+
define terms that
are not
scientificallyprecise
5e"innin" this
season, for
instance, if India’s
monsoon rainfall
#ere to dip belo#
1? per cent of the
normal and span bet#een 2? and 6? per cent of the country’s area, it #ould be called a deficientT year instead
of an All India Drou"ht earT as the I3D’s older manuals #ould say A more se$ere instance, #here the deficit
e'ceeds 6? per cent and #ould ha$e been called an All India Se$ere Drou"ht ear,T #ill no# be a ar"e
Deficient earT
RERO,ATI<E OF STATES
!he I3D has ne$er used the term drou"htT in its forecasts and has maintained that declarin" drou"hts #as the
prero"ati$e of States !he a"ency had se$eral definitions of drou"ht= meteorolo"ical, hydrolo"ical and
a"ricultural, and it #as >uite possible for a State to ha$e a meteorolo"ical drou"ht <? per cent shortfall of the
a$era"e monsoon rainfall but not suffer an a"ricultural drou"ht if the shortfall didn’t affect more than 2?
per cent of the State’s area
5ut the analysts said the chan"e in the nomenclature #ould not practically influence the #ay States $ie#ed
drou"hts
RELATE/ INFOR;ATION: I;/
!he India 3eteorolo"ical Department I3D, also referred to as the 3et Department, is an a"ency of the
3inistry of &arth Sciences of the %o$ernment of India It is the principal a"ency responsible for meteorolo"ical
obser$ations, #eather forecastin" and seismolo"y I3D is head>uartered in /e# Delhi and operates hundreds
of obser$ation stations across India and Antarctica
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4:
I3D is also one of the si' Re"ional Specialised 3eteorolo"ical Centres of the .orld 3eteorolo"ical
Or"ani*ation It has the responsibility for forecastin", namin" and distribution of #arnin"s for tropical cyclones
in the /orthern Indian Ocean re"ion, includin" the 3alacca Straits, the 5ay of 5en"al, the Arabian Sea and the
0ersian %ulf
G3
New &*ass o) )ro8s )ou!+ %! t$e !ort$east
class of frogs that grow in tree holes and as tadpoles feed on eggs laid by their mother have been discovered in
the north-east region.
In the last t#o decades, India has reported a rapid rise
in the disco$ery of fro" species from the .estern
%hats and, more recently, the north+eastern States
!he ne# fro", reported in the peer+re$ie#ed (ournal0oS One, has been christened Fran)i'alus BerdoniiT
and #as once considered a species lost to science !his
"enus remained unnoticed by researchers probably
because of its secreti$e life in tree holes
Researchers said they had first found these fro"s in
2??7 durin" e'plorations in Assam and Arunachal 0radesh, amon" other places, but it too) a decade to publish
about them because of the comple'ities in$ol$ed in ensurin" that it #as indeed an entirely ne# "enus and not
merely a )no#n species
TREE FRO,S
Fro"s of the ne#ly described "enus Fran)i'alusT are relati$ely lar"e and are found on forest canopies andinside bamboos slits Due to insufficient food resources in tree holes, the mother e'hibits remar)able parental
careT by layin" unfertilised e""s to feed her tadpoles
!ree fro"s occur across sub+Saharan Africa, China, much of tropical Asia, Bapan, the 0hilippines and Sula#esi
63
,%a!t (%r+ eate! to et%!&t%o! (" $u'a!s
4esearchers have fo#nd the first reliable evidence that h#mans played a s#bstantial role in the etinction of a
giant bird in #stralia.
Studies ha$e sho#n that more than :7 percent of Australia’s mammals, birds and
reptiles #ei"hin" o$er 67 )" #ent e'tinct shortly after the arri$al of the first
humans
Researchers from the Uni$ersity of Colorado 5oulder in the US disco$ered the
first direct e$idence that humans #ere preyin" on the no# e'tinct beasts in
this case a bird #ei"hin" o$er 2?? )"
!he fli"htless bird, )no#n as %enyornisne#toniT, #as nearly se$en feet tall and
appears to ha$e li$ed in much of the continent prior to the ad$ent of humans 7?,???
years a"o, the study re$ealed
!he e$idence consists of dia"nostic burn patterns on %enyornisT e""shell
fra"ments that indicated that humans #ere collectin" and coo)in" its e""s, thereby
reducin" the birds’ reproducti$e success, the researchers said
In analysin" unburned %enyornisT e""shells from more than 2,??? localitiesacross Australia, primarily from sand dunes #here the ancient birds nested, se$eral
datin" methods helped researchers determine that none #ere youn"er than 67,??? years old
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3
So*%tar" (ee
A solitary beeT species #as recently disco$ered in theSundarbans 5iosphere Reser$e
!he small bee, named 5raunsapischandraiT , is blac) in colour
and has punctured le"s .hat ma)es it distinct from other species
of solitary bees is the different patterns of the mar)s on its face and
frontal re"ion
!he species of bees of the "enus 5raunsapisT do not ma)e combs
as common honeybees do Solitary in nature, they nest in stems
and t#i"s independently !he ne# species plays a si"nificant role
in pollination
4a#5s I& &t#dy ircle
&pace for notes
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AARRTT EELLEE<<EENN|| HHEEAALLTTHH
13
%-a <%rus
The :orld Lealth @rgani+ation (:L@) has declared the i/a vir#s an international p#blic health emergency$
prompted by growing concern that it co#ld ca#se birth defects. The infection appears to be lin/ed to the
development of #n#s#ally small heads and brain damage in newborns.
HAT IS I?A
Li)a is actually an old $irus itGs only recently that
health e'perts ha$e been seriously #orried It #as first
disco$ered in 1<69 #hen it #as isolated from mon)eys in
the Li)a forest in U"anda And for decades thereafter, it
barely bothered humans 0rior to 2??9, there #ere fe#
documented Li)a cases 5ut then the first bi" outbrea)
erupted on ap island in 3icronesia And from there, the
$irus #as on the mo$e
Soon cases popped up in other 0acific Islands, includin" a
lar"e outbrea) in 2?14+G16 in French 0olynesia 5y 3ay
2?17, health officials had detected the $irus in 5ra*il
possibly arri$in" #ith a tra$eler to the .orld Cup .ithin
a year, more than a million people in 5ra*il had been
affected, as mos>uitoes carried it from person to person as
they do diseases li)e malaria and yello# fe$er
Li)a has since spread to many countries mostly
concentrated in Central and South America and the
Caribbean and itGs e'pected to "o much further
HAT HAENS IF YOU ,ET I?A
One of the thin"s that ma)es Li)a $ery difficult to trac) is the fact that in the $ast ma(ority of cases, it causes no
symptoms at all 3ost people #ho "et infected donGt e$en reali*e it and therefore ne$er see) medical
attention !hey can, ho#e$er, still transmit the disease if they are bitten by a mos>uito that then bites someone
else 3ean#hile, a minority of Li)a patients rou"hly 2? percent sho# relati$ely minor symptoms= a lo#+"rade
fe$er, sore body, and headache, as #ell as red eyes and a body rash 3ore rarely, this mi"ht include abdominal
pain, nausea, and diarrhea Se$ere disease re>uirin" hospitali*ation is uncommon
5ut thatGs not the #hole story In rare occasions, Li)a seems to cause really serious problems In both the 5ra*il
and French 0olynesia outbrea)s, researchers noted that some people infected #ith the $irus #ere later
dia"nosed #ith %uillain+5arrV, a rare and sometimes deadly neurolo"ical condition in #hich peopleGs immune
systems dama"e their ner$e cells, leadin" to muscle #ea)ness and e$en paralysis !he symptoms can last #ee)s,
months, or e$en years
&$en more #orryin"ly, thereGs e$idence that Li)a is lin)ed to a terrible birth defect called microcephaly, #hich is
characteri*ed by a shrun)en head and incomplete brain de$elopment Since Li)a arri$ed in 5ra*il in 2?17,
thousands of cases of microcephaly ha$e been reported Researchers are still #or)in" to confirm the lin) Still, Li)a #ouldnGt be the first $irus to cause microcephaly
Rubella famously caused an epidemic of birth defects before the ad$ent of the $accine And e$en if this turns
out to be a $ery rare complication of Li)a, the imperfect e$idence alone #as enou"h to prompt the .orld ealth
Or"ani*ation to issue a rare "lobal public health emer"ency declaration
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CAUSES OF STILL9IRTHS
.hile the estimates for the causes of stillbirths are often frustrated by $arious classification systems, in countries
#ith reliable data, con"enital abnormalities account only for a small per cent of stillbirths 3any disorders
associated #ith stillbirths are potentially modifiable and often coe'ist maternal infections, non+communicable
diseases, nutrition, lifestyle factors and maternal a"e older than 47 years
0rolon"ed pre"nancies, #hen the baby is not born after 62 #ee)s of "estation, also contribute to lar"e number of
stillbirths Causal path#ays for stillbirth fre>uently in$ol$e impaired placental function, either #ith "ro#th
restriction, or preterm labour or both
ONLY FE STILL9IRTHS ARE RE,ISTERE/
!he (ournal points out that less than 7 per cent of neonatal deaths and e$en fe#er stillbirths are re"istered A
paper calls for maintainin" meticulous records of all births and deaths maternal and foetal in order to increase
the a$ailability of data, rationalisin" that #hile data alone #ill not help sa$e li$es, it #ould certainly indicate a
#ay to tar"et inter$entions
/otably, it #as in 2?11, that !he ancet be"an its first series on stillbirths, hi"hli"htin" the rates and causes of
stillbirth "lobally, e'plorin" cost+effecti$e inter$entions to pre$ent stillbirths as #ell as maternal and neonatal
deaths, and settin" )ey actions to hal$e stillbirth rates by 2?2? One of the papers notes that some pro"ress has
been made in the measurement of stillbirths since the 2?11 !he ancet Stillbirths Series Stillbirths are
increasin"ly counted, #hich mi"ht be partly related to more $isible estimates
!he stillbirth series sets out to sho# the need for increased a#areness, openin" up the dialo"ue at policy and
community le$els, "i$in" #omen ade>uate healthcare from before conception to after birth and callin" for
accountability for tar"eted inter$entions And all this #ould be possible only if there is political determination to
reduce the number of li$es lost to *ero, the paper says
RELATE/ INFOR;ATION: THE LANCET
!he ancet is a peer+re$ie#ed "eneral medical (ournal It is one of the #orldGs oldest and best )no#n "eneral
medical (ournals, and has been described as one of the most presti"ious medical (ournals in the #orld
!he ancet #as founded in 1:24 by !homas .a)ley, an &n"lish sur"eon #ho named it after the sur"ical
instrument called a lancet, as #ell as after the architectural term Plancet archP, a #indo# #ith a sharp pointed
arch, to indicate the Pli"ht of #isdomP or Pto let in li"htP
3
Rura* I!+%a too (att*es $"7erte!s%o!
i"her stress le$els in rural India and faulty diet in cities ha$e
thro#n up t#o most disturbin" health concerns in the /ationalFamily ealth Sur$ey /FS, the data for #hich #as released
recently
.hile obesity le$els ha$e shot up in the country since the last
/FS sur$ey in 2??7+?8, the number of people sufferin" from
hypertension in rural India is, in many cases, hi"her than in
urban parts
!he /FS released the data for 17 States and each State, #ith
the e'ception of 0uducherry, sho#ed a sharp rise in obesity
le$els amon" both men and #omen
As for blood su"ar le$els, most States ha$e maintained the
traditional difference bet#een urban and rural areas, #ith
urban centres recordin" more cases of hi"h blood su"ar
ealth e'perts said the o$erall obesity in urban India and risin"
hypertension in rural India #as indicati$e of the faulty diet of
people and also of the stress le$els of #omen in rural India
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64
AARRTT TT EELL<<EE|| CCOO;;;;IITTTTEEEESS AANN// RREEOORRTTSS
13
Lo+$a &o''%ttee 7ro7oses swee7%!8 re)or's )or 9CCI
The &#preme o#rt-appointed >odha panel recommended barring ministers and government officials from
holding office in the 0oard of ontrol for ric/et in India (0I) and legalising betting in sweeping meas#res to
clean #p the scandal-ridden sports body.
!he panel headed
by (ustice retd
R3 odha #as
appointed by the
ape' court last
year in the #a)e
of a sport+fi'in"
scandal in Indian
0remier ea"ue
I0, the bi""est
crisis to hit the
cash+rich sports
body in the
country
HERE ARE THE ?EY RECO;;EN/ATIONS FRO; THE LO/HA CO;;ITTEE =
1 Separate "o$ernin" bodies for the I0 and 5CCI
2 Constitution and establishment of a players association
4 imited autonomy for I0 %o$ernin" Council
6 Rele"ation of Rail#ays, Ser$ices and Uni$ersities as associate members In that #ay, they #ill also lose their
$otin" ri"hts
7 One association of each state #ill be full+member and ha$e the ri"ht to $ote
8 A steerin" committee headed by former home secretary %H 0illai
9 0layers are not employees of 5CCI and thus the interests of the players should not lie #ith the 5CCI and ismeant to be protected
: &thics officer #ill be a former C i"h Court (ud"e and there #ill be elected officer #ho #ill o$erloo) the
elections, #hen held
< A 5CCI office+bearer cannot be a 3inister or "o$ernment ser$ant
1? Any 5CCI office+bearer cannot ha$e more than t#o consecuti$e terms
11 5CCI office+bearer cannot hold office for more than 4 terms #ith the rider that there #ill be a coolin" off after
each term
12 odha Committee recommends only one person per post 0ro'y $otin" of indi$iduals #ill not be allo#ed
14 odha Committee recommends the le"islature must seriously consider brin"in" 5CCI #ithin the pur$ie# of the
R!I Ri"ht to Information Act
16 5CCI office+bearer cannot hold t#o posts at the same time
17 e"alisation of bettin"
18 If an office bearer of a state association is elected to 5CCI, he has to $acate state association post recommends
odha panel
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RELATE/ INFOR;ATION: 9CCI
!he 5oard of Control for Cric)et in India 5CCI is the national "o$ernin" body for cric)et in India !he board
#as formed in 1<2: as a society, re"istered under the !amil /adu Societies Re"istration Act
It is a consortium of state cric)et associations and the state associations select their representati$es #ho in turn
elect the 5CCI officials
23
S$"a' 9e!e8a* to $ea+ &o''%ttee to re#a'7 )%*' &e!sor (oar+
In the wa/e of recent controversies$ the entre has decided to form a panel which will be responsible for the
overha#l of the ensor 0oard. The committee will be headed by noted film director &hyam 0enegal #nder holistic
interpretation of provisions of inematograph ct and 4#les.
Durin" their deliberations, the committee #ould
be e'pected to ta)e note of the best practices in$arious parts of the #orld, especially #here the
film industry is "i$en sufficient and ade>uate
space for creati$e and aesthetic e'pression !he
committee #ould recommend broad "uidelines
or procedures under the pro$isions of the
Cinemato"raph Act and Rules for the benefit of
the chairperson and other members of the
screenin" committee !he staffin" pattern of
C5FC Central 5oard of Film Certification
#ould also be loo)ed into in an effort to recommend a frame#or) #hich #ould pro$ide efficient, transparent
user friendly ser$ices Filmma)ers ha$e complained of arbitrary ob(ections and cuts sou"ht by the 5oard in the recent past includin"
the criticism for the cuts the latest Bames 5ond mo$ie GSpectreG had to "o throu"h for its screenin" in India
RELATE/ INFOR;ATION: C9FC
!he Central 5oard of Film Certification often referred to as the Censor 5oard is a statutory censorship and
classification body under the 3inistry of Information and 5roadcastin", %o$ernment of India
It is tas)ed #ith re"ulatin" the public e'hibition of films under the pro$isions of the Cinemato"raph Act 1<72
It assi"ns certifications to films, tele$ision sho#s, tele$ision ads, and publications for e'hibition, sale or hire in
India Films can be publicly e'hibited in India only after they are certified by the 5oard, includin" films sho#n
on tele$ision
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AARRTT TTHHIIRRTTEEEENN|| CCOONNFFEERREENNCCEESS AANN// SSUU;;;;IITTSS
13
EF &o!&*u+es %! /a#os w%t$ &o!&er! o#er e&o!o'%& s*ow+ow!
The ann#al s#mmit of :orld ;conomic =or#m (:;=) came to a close in Davos$ &wit+erland. :orld leaders
epressed concerns abo#t economic headwinds from hina$ geo-political ris/s arising from the ref#gee crisis in
;#rope and terror attac/s in vario#s parts of the world.
.ith re"ard to India, the leaders at the .orld &conomic Forum .&F
e'uded confidence that its "ro#th story #ould continue and the country
#ould consolidate its position as the bri"ht spot of the #orld !hey
hoped that doin" business in India #ill become easier
FOURTH IN/USTRIAL RE<OLUTION
!he relentless rise of automation and e$er more intelli"ent machines #as
a )ey issue at the .&F !he official theme of the 2?18 meetin" #as
masterin" the fourth industrial re$olutionT !hat, in .&F+spea), means the fusion of technolo"ies that is
blurrin" the lines bet#een the physical, di"ital and biolo"ical spheresT
5ut Da$os summit also loo)ed at the threat to #hite collar (obs, as)in" if the chan"es are failin" the middle
classes Another >uestion that #as discussed #as #hether #e are headin" to#ards a #orld #ithout #or) a
serious issue "i$en that some e'perts rec)on one in t#o (obs could e$entually be ta)en by intelli"ent
automation
3ore than 9 million (obs are at ris) in the #orld’s lar"est economies o$er the ne't fi$e years, accordin" to a .&F
report published recently, #ith #omen losin" out more than men as they are less li)ely to be #or)in" in areas
#here the adoption of ne# technolo"y #ill create (obs
THE ;I,RATION CRISIS
.orld leaders and the heads of humanitarian a"encies debated ho# to address the "ro#in" mi"ration crisis and
better inte"rate refu"ees into the communities #ho shelter them
;AR?ET TUR;OIL
!he stoc) mar)et rout of 2?18 has already made a small dent in the fortunes of countries So there #as
discussion about #hether #e are headin" into a ne# crash and #hether it can be fended off In the discussions,
the bi" #orry, of course, #as China, #ith its slo#in" economy and s#ellin" credit le$els
CLI;ATE CHAN,E
!he .&F hoped to build on the 0aris climate deal, a"reed in December, by e'aminin" ho# "o$ernments and
businesses can #or) to"ether to cut carbon emissions
Its annual ris) sur$ey found that failin" to deal #ith and prepare for climate chan"e is the bi""est sin"le threat
facin" the #orld economy !his is the first time in more than a decade that en$ironmental issues ha$e topped
the list of #orries
INE@UALITY
!his annual "atherin" also discussed #ealth ine>uality O'fam already "ot the ball rollin" #ith a ne# report
#arnin" that #ealth is becomin" increasin"ly concentrated in the hands of a small "roup of billionaires
RELATE/ INFOR;ATION: EF
!he .orld &conomic Forum .&F is a S#iss non profit foundation, based in Colo"ny, %ene$a
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Reco"ni*ed by the S#iss authorities as the international institution for public+pri$ate cooperation, its mission is
cited as Pcommitted to impro$in" the state of the #orld by en"a"in" business, political, academic, and other
leaders of society to shape "lobal, re"ional, and industry a"endasP
!he Forum is best )no#n for its annual #inter meetin" in Da$os, in S#it*erland !he meetin" brin"s to"ether
top business leaders, international political leaders, selected intellectuals, and (ournalists to discuss the most
pressin" issues facin" the #orld
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C$e!!a% O7e!
Stan .a#rin)a #on his fourth title at the Chennai Open
#ith #in o$er 5orna Coric of Croatia
!he Chennai Open is a professional tennis tournament
played on outdoor hard courts It is currently part of the
A!0 .orld !our series of the Association of !ennis
0rofessionals A!0 .orld !our
RELATE/ INFOR;ATION: AT !he Association of !ennis 0rofessionals A!0 #as formed in 1<92 by Donald Dell, 5ob 5riner, Bac) Hramer, and
Cliff Drysdale to protect the interests of male professional tennis players Drysdale became the first 0resident
Since 1<<?, the association has or"ani*ed the #orld#ide tennis tour for men and lin)ed the title of the tour #ith
the or"ani*ationGs name !he A!0Gs "lobal head>uarters are in ondon, United Hin"dom
!he counterpart or"ani*ation in the #omenGs professional "ame is the .omenGs !ennis Association .!A
23
Austra*%a! O7e! 2016
!he 2?18 Australian Open #as played at 3elbourne 0ar) in
Banuary 2?18 It #as the first %rand Slam tournament of the
year
/o$a) D(o)o$ic successfully defended the menGs sin"les title
and thus #on a record+e>ualin" si'th Australian Open title
Serena .illiams #as the defendin" champion in the
#omenGs sin"les but failed to defend her title, losin" to
An"eli>ue Herber in the finalN by #innin", Herber became the first %erman player of any "ender to #in a %rand
Slam title since Steffi %raf #on her last such title at the 1<<< French Open
RELATE/ INFOR;ATION: AUSTRALIAN OEN
!he Australian Open is a ma(or tennis tournament held annually o$er the last fortni"ht of Banuary in 3elbourne,
Australia First held in 1<?7, the tournament is chronolo"ically the first of the four %rand Slam tennis e$ents of the year
the other three bein" the French Open, .imbledon and the US Open
0rior to 1<:: the tournament #as played on "rass Since 1<::, hardcourt surfaces ha$e been used at 3elbourne
0ar)
3
Hattr%&- )or Sa!t%!a
Sania 3ir*a and 3artina in"is #ere cro#ned the Australian Open
#omen’s doubles champions after they tamed the C*ech duo of
Andrea la$ac)o$a and ucie radec)a
It #as the third consecuti$e %rand Slam title for Sania and in"is,ha$in" #on the .imbledon and US Open in the 2?17 season
It #as Sania’s second title at the Australian Open, ha$in" #on the
mi'ed doubles in 2??< #ith 3ahesh 5hupathi
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13
I!ter!at%o!a* ;o!etar" Fu!+ 5I;F
Goting rights of emerging-mar/et economies s#ch as India and hina have increased at the International
Monetary =#nd (IM=)$ which has finally notified governance <#ota reforms adopted in 6717.
A9OUT I;F
!he I3F, also )no#n as the Fund, #as concei$ed at a
U/ conference in 5retton .oods, /e# ampshire,
United States, in 1<66 !he countries at that conference
sou"ht to build a frame#or) for economic cooperationto a$oid a repetition of the competiti$e de$aluations
that had contributed to the %reat Depression of the
1<4?s It is head>uartered in .ashin"ton, DC Its head
is Christine a"arde
THE I;FBS RESONSI9ILITIES
!he I3FGs primary purpose is to ensure the stability of
the international monetary systemthe system of
e'chan"e rates and international payments that enables
countries and their citi*ens to transact #ith each other !he FundGs mandate #as updated in 2?12 to include all
macroeconomic and financial sector issues that bear on "lobal stability
OR?
!he I3F’s fundamental mission is to ensure the stability of the international monetary system It does so in three
#ays= )eepin" trac) of the "lobal economy and the economies of member countriesN lendin" to countries #ith
balance of payments difficultiesN and "i$in" practical help to members
SUR<EILLANCE
!he I3F o$ersees the international monetary system and monitors the economic and financial policies of its
member countries As part of this process, #hich ta)es place both at the "lobal le$el and in indi$idual countries,
the I3F hi"hli"hts possible ris)s to stability and ad$ises on needed policy ad(ustments
LEN/IN,
A core responsibility of the I3F is to pro$ide loans to member countries e'periencin" actual or potential balance
of payments problems !his financial assistance enables countries to rebuild their international reser$es, stabili*e
their currencies, continue payin" for imports, and restore conditions for stron" economic "ro#th, #hile
underta)in" policies to correct underlyin" problems Unli)e de$elopment ban)s, the I3F does not lend for
specific pro(ects
TECHNICAL ASSISTANCE
!he I3F helps its member countries desi"n economic policies and mana"e their financial affairs more effecti$ely
by stren"thenin" their human and institutional capacity throu"h technical assistance and trainin" !he I3F aimsto e'ploit syner"ies bet#een technical assistance and trainin"#hich it calls capacity de$elopmentto
ma'imi*e their effecti$eness
I;F RESOURCES
3ost resources for I3F loans are pro$ided by member countries, primarily throu"h their payment of >uotas
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13
A(e <%8o+a
!he actor Abe Ki"oda, #ho played a doomed 3afia soldier in !he
%odfather, passed a#ay
!he role made him reco"nisable to millions and led to many more
roles, includin" as detecti$e 0hil Fish in the 1<9?s !K series 5arney
3iller
23
/a#%+ 9ow%e Sin"er Da$id 5o#ie, one of the most influential musicians of
his era, passed a#ay
5o#ie’s 27 albums produced a strin" of hits includin"
Chan"es, ife on 3ars and Ashes to Ashes e #as )no#n
for e'perimentin" across di$erse musical "enres e also
had a notable actin" career
3
/e#e!+er ?u'ar S%-r%
De$ender Humar Si)ri #as appointed as Chairman of fair+trade re"ulator Competition Commission of India
CCI
RELATE/ INFOR;ATION: CCI
!he Competition Act, 2??2, as amended by the Competition Amendment Act, 2??9, follo#s the philosophy of
modern competition la#s !he Act prohibits anti+competiti$e a"reements, abuse of dominant position by
enterprises and re"ulates combinations ac>uisition, ac>uirin" of control etc, #hich causes or li)ely to cause an
appreciable ad$erse effect on competition #ithin India
!he ob(ecti$es of the Act are sou"ht to be achie$ed throu"h the Competition Commission of India CCI, #hich
has been established by the Central %o$ernment in 2??4 CCI consists of a Chairperson and 8 3embers
appointed by the Central %o$ernment It is the duty of the Commission to eliminate practices ha$in" ad$erse effect on competition, promote and
sustain competition, protect the interests of consumers and ensure freedom of trade in the mar)ets of India
!he Commission is also re>uired to "i$e opinion on competition issues on a reference recei$ed from a statutory
authority established under any la# and to underta)e competition ad$ocacy, create public a#areness and
impart trainin" on competition issues
3
;ar#%! ;%!s-"
3ar$in 3ins)y, one of the pioneers of artificial intelli"ence AI, passed a#ay !he mathematician and
computer scientist #as one of the #orldGs foremost AI e'perts
As a student, he built one of the first neural+net#or) learnin" machines, usin" $acuum tubes e #ent on tocofound the 3assachusetts Institute of !echnolo"yGs Artificial Intelli"ence ab, in 1<7<, #ith Bohn 3cCarthy
0rof 3ins)yGs ideas and influence #ere #ide+ran"in" + from computational lin"uistics, mathematics and
robotics + but underpinnin" it all #as a desire, in his o#n #ords, Pto impart to machines the human capacity for
commonsense reasonin"P e $ie#ed the brain as a machine #hose functions could be replicated in a computer
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is boo), !he Society of 3ind, is considered a seminal
#or) in e'plorin" the di$ersity of mechanisms that
interact in intelli"ence and thou"ht is last boo), !he
&motion 3achine, continued the theme, offerin" a ne#
model for ho# minds #or)ed
e #as also a talented pianist and #rote an influential
paper on the connections bet#een music, psycholo"y
and the mind e also in$ented the earliest confocal
scannin" microscope
e recei$ed many a#ards o$er the years, includin" the
!urin" A#ard + the hi"hest honour in computer science
G3
;r%!a*%!% Sara($a%
/oted danseuse and 0adma 5hushan recipient 3rinalini
Sarabhai passed a#ay
!rained in 5haratnatyam, Hatha)ali and 3ohiniyattom, she #as
educated at Shantini)etan under Rabindranath !a"ore She #as
married to the architect of IndiaGs space pro"ramme, Dr Ki)ram
Sarabhai er dau"hter 3alli)a is also a celebrated classical
Indian dancer
5esides bein" a classical dancer, she #as a poet, #riter and
en$ironmentalist and played a leadin" role in the social and art
scene in Ahmedabad She #as one of the first classical dancer toturn to choreo"raphy
3rinalini Sarabhai founded the Darpana Academy of
0erformin" Arts in Ahmedabad and trained thousands in
Indian classical dance forms
63
;u)t% ;o$a''a+ Sa"ee+
3ufti 3ohammad Sayeed, #ho redre# the contours of politics in Bammu and Hashmir by deftly brin"in" into
its mainstream $oices and ideas that #ere considered separatist, passed a#ay
Sayeed too) char"e as Chief 3inister of Bammu and Hashmir for the second time last 3arch after enterin" into
an unli)ely alliance #ith the 5B0 5haratiya Banata 0arty
A Con"ressman until 1<:9, Sayeed left the party and (oined the ran)s of K 0 Sin"h to become ome 3inister of
the /ational Front "o$ernment in 1<:< e #as Chief 3inister from 2??2 to 2??7 #ith the Con"ress as his
coalition partner
3
Nata*%e Co*e
!he sin"er /atalie Cole passed a#ay
She #on nine %rammy a#ards in a career spannin" 6? years, after
follo#in" her father /at GGHin"GG Cole into the music business
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3
Ra#%!+ra ?a*%a
/oted indi #riter and (ournalist Ra$indra Halia passed a#ay Hno#n for his #or)s li)e G/au Saal Chotti 0atniGand G%halib Chutti SharabG, the former 5haratiya Bnanpith director #as also the editor of se$eral literary
ma"a*ines, includin" /aya %yanodaya
43
R3?3 ;at$ur
RH 3athur #as s#orn in as the Chief Information Commissioner CIC by 0resident 0ranab 3u)her(ee As the
CIC, 3r 3athur #ill ha$e tenure of about three years, till he attains the a"e of 87 years
!he CIC is appointed for fi$e years or up to the a"e of 87, #hiche$er is earlier
103
Sa%*es$ Senior IAS officer Sailesh #as appointed as Re"istrar %eneral and Census Commissioner e #as appointed in
place of C Chandramouli
RELATE/ INFOR;ATION: RE,ISTRAR ,ENERAL AN/ CENSUS CO;;ISSIONER
!he responsibility of conductin" the decennial Census rests #ith the Office of the Re"istrar %eneral and Census
Commissioner, India under 3inistry of ome Affairs It may be of historical interest that thou"h the population
census of India is a ma(or administrati$e functionN the Census Or"ani*ation #as set up on an ad+hoc basis for
each Census till the 1<71 Census
!he Census Act #as enacted in 1<6: to pro$ide for the scheme of conductin" population census #ith duties and
responsibilities of census officers !he %o$ernment of India decided in 1<6< to initiate steps for de$elopin"
systematic collection of statistics on the si*e of population, its "ro#th, etc, and established an or"ani*ation in
the 3inistry of ome Affairs under Re"istrar %eneral and e'+Officio Census Commissioner, India
!his or"ani*ation #as made responsible for "eneratin" data on population statistics includin" Kital Statistics
and Census ater, this office #as also entrusted #ith the responsibility of implementation of Re"istration of
5irths and Deaths Act, 1<8< in the country
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AARRTT SSEE<<EENNTTEEEENN|| AA AARR//SS
13
;ess% (a8s )%)t$ 9a**o! +BOr awar+
Ar"entina and 5arcelona footballer ionel 3essi #as named #orld player of
the year 2?17 and claimed the 5allon dGOr trophy for the fifth time o$erall
3essi reclaimed the a#ard after #atchin" his "reat ri$al Cristiano Ronaldo
#al) off #ith the pri*e for the pre$ious t#o years
!he Ar"entine, #ho finished ahead of Ronaldo and 5ra*il for#ard /eymar,
had pre$iously #on it four years in a ro# from 2??< to 2?12
3essi helped 5arcelona to #in a Spanish lea"ue title, cup and Champions
ea"ue treble plus the Club .orld Cup and also led Ar"entina to the CopaAmerica final, #here they lost to Chile on penalties
OTHER AAR/S
5arcelonaGs uis &nri>ue #as $oted coach of the year US .orld Cup #inner Carli loyd, #ho scored a hat+tric)
in the final a"ainst Bapan, #as named #omenGs player of the year
RELATE/ INFOR;ATION: 9ALLON /BOR
!he FIFA 5allon dGOr is an annual association football a#ard "i$en to the #orldGs best male player by the sportGs
"o$ernin" body, FIFA International Federation of Association Football, and the French publication France
Football since 2?1?
It is a#arded based on $otes from international media representati$es and national team coaches and captains,
#ho select the player they deem to ha$e performed the best in the pre$ious calendar year A fusion bet#een the
former 5allon dGOr and the menGs FIFA .orld 0layer of the ear a#ard, the FIFA 5allon dGOr is considered the
most presti"ious indi$idual a#ard in #orld football
23
,o*+e! ,*o(es 2016
!he Re$enant and 3o*art in the Bun"le emer"ed as the top #inners at
the 94rd edition of the %olden %lobe a#ards
!he Re$enant ba""ed three a#ards best drama film, best actor in a
drama for eonardo DiCaprio and best director for Ale(andro %Inarritu
In the !K realm, Ama*on Studio’s 3o*art in the Bun"le #on under the
cate"ory of best comedy series and best actor in a comedy series for
%ael %arcia 5ernal !he series is inspired by the 3o*art in the Bun"le=
Se', Dru"s, and Classical 3usic oboist 5lair !indall’s 2??7 memoir Wan oboist is a musician #ho plays the
oboe or any oboe family instrument
!he a#ard for the best actress in a motion picture drama #as #on by 5rie arson for Room
RELATE/ INFOR;ATION: ,OL/EN ,LO9E AAR/
!he %olden %lobe A#ard is an American accolade besto#ed by the members of the olly#ood Forei"n 0ress
Association F0A reco"ni*in" e'cellence in film and tele$ision, both domestic and forei"n !he annual formal ceremony at #hich the a#ards are presented is a ma(or part of the film industryGs a#ards
season, #hich culminates each year #ith the Academy A#ards
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3
A!ura+$a Ro" w%!s /SC r%e )or Sout$ As%a! L%terature
India’s Anuradha Roy has #on the DSC 0ri*e for South Asian iterature2?18 for her no$el, Sleepin" on BupiterT, #hich deals #ith the sub(ect of
$iolence a"ainst #omen
Other authors and no$els in contention for this year’s pri*e #ere= A)hil
Sharma Family ifeN HR 3eera an"#omanN 3ir*a .aheed !he 5oo)
of %old ea$es, /eel 3u)her(ee !he i$es of Others and Ra( Hamal Bha
She .ill 5uild im A City
RELATE/ INFOR;ATION: /SC RIE FOR SOUTH ASIAN LITERATURE
!he DSC 0ri*e for South Asian iterature is a literary pri*e a#arded annually to #riters of any ethnicity or
nationality #ritin" about South Asia themes such as culture, politics, history, or people
It is for an ori"inal full+len"th no$el #ritten in &n"lish, or translated into &n"lish !he pri*e #as instituted by DSC imited, an Indian infrastructure and construction company
3
T$e H%!+u r%e )or 201G 8oes to Easter%!e ?%re
&asterine Hire, poet, no$elist and children’s #riter from /a"aland, #on
!he indu 0ri*e, 2?17, for her no$el .hen the Ri$er SleepsT, a boo)
about a lone hunter see)in" a fara#ay ri$er, to ta)e from it a stone that #ill
"i$e him untold po#ers
3s Hire #as one of the si' authors shortlisted !he shortlisted boo)s
included Amit Chaudhuri’s Odysseus AbroadN Amita$ %hosh’s Flood of
FireN Anuradha Roy’s Sleepin" on BupiterN Banice 0ariat’s Seahorse and
Siddharth Cho#dhury’s !he 0atna 3anual of Style
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AARRTT EEII,,HHTTEEEENN|| LLAACCEESS
13
F%e*+ )oss%* 'useu' to &o'e u7 at <ara!a#as%
:or/ on the constr#ction of a field fossil m#se#m has commenced at Garanavasi near Pa+h#r in the riyal#r
district$ Tamil !ad#.
!he district administration
identified the area in
Karana$asi as Ariyalur
re"ion has been a hub for
"eolo"ists for its rich
deposits of fossils
Cretaceous marine fossils
in this re"ion constitute
critical paleontolo"ical
data &$idence of
;uaternary formation has
been found in the $icinity
UROSE
!he field fossil museum aims at preser$ation and conser$ation of e$idence of paleontolo"y of the re"ion It #ill
pro$ide additional information on the "eolo"ical conte't of fossils, ensure additional perspecti$e of the tertiaryand >uaternary formations and pre+historical archaeolo"y of the re"ion, encoura"e local cement industries to
realise the importance of museum throu"h donation of fossils "ot durin" their minin" operation or
infrastructure de$elopment
It has also been planned to establish a research laboratory to promote study and research
RELATE/ INFOR;ATION: ALEONTOLO,Y
0aleontolo"y is the study of the history of life on &arth as reflected in the fossil record
Fossils are the remains or traces of or"anisms plants, animals, fun"i, bacteria and other sin"le+celled li$in"
thin"s that li$ed in the "eolo"ical past and are preser$ed in the crust of the &arth
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AARRTT NNIINNEETTEEEENN|| HHIISSTTOORRYY AANN// CCUULLTTUURREE
13
or*+ ;us%& Fest%#a* to (e $e*+ %! U+a%7ur %! Fe(ruar"
%daip#r (4a,asthan) will come alive with the first edition of India5s first :orld M#sic =estival. The festival$ in
=ebr#ary$ will bring together over 177 global artistes and ensembles from over 16 co#ntries$ incl#ding &pain$
?hana$ Gene+#ela$ Italy$ =rance as well as India.
!he aim of the festi$al is to establish an annual si"nature e$ent
in Ra(asthan and at the same time establish Udaipur as a ma(or
destination for #orld music in South Asia
ATTRACTION
One of the most popular Fado sin"ers from 0ortu"al, Carminho
#ill be performin" for the first time in India at the e$ent French
composer 3athias Duplessy #ill also perform at the e$ent,
#here he #ill collaborate #ith Ra(asthani $ocalist 3u)htiyar Ali
from the semi+nomadic community called 3irasi from the !har
Desert
!he e$ent #ill come ali$e #ith instrumental Spanish Flamenco
"uitar and dance performance and the uni>ue African beat
music by Dobet %nahore, a %rammy a#ard #inner from the
I$ory Coast
23
C$a!+ra8%r% )ort
handragiri =ort near Tir#pati (ndhra Pradesh) is all set to host the birth anniversary of famo#s Gi,ayanagara
emperor &ri "rishnadevaraya in =ebr#ary.
Chandra"iri #as under
the rule of ada$a
/aidus for about three
centuries and came into
control of Ki(ayana"ar
rulers in 1489 It cameinto prominence durin"
Salu$a /arasimha
Rayalu ater, the most
famous Ki(ayana"ara
emperor Sri)rishna
De$araya, #as )ept
restricted in this fort as a
prince, till his
coronation It is also said
that he met his future
>ueen Chinna De$i at
this fort
Chandra"iri #as the 6th
capital of Ki(ayana"ar
&mpire, Rayas shifted
their capital to here #hen %olconda sultans attac)ed 0enu)onda Andhra 0radesh In 1868 the fort #as
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anne'ed to the %ol)onda territory and subse>uently came under Hin"dom of 3ysore rule It #ent into obli$ion
from late 1:th century
RELATE/ INFOR;ATION: <IJAYANA,ARA E;IRE
!he Ki(ayana"ara &mpire #as based in the Deccan 0lateau re"ion in South India It #as established in 1448 by
arihara I and his brother 5u))a Raya I of San"ama Dynasty
!he empire is named after its capital city of Ki(ayana"ara, #hose ruins surround present day ampi, no# a
.orld erita"e Site in Harnata)a
!he #ritin"s of medie$al &uropean tra$ellers such as Domin"o 0aes, FernXo /unes, and /iccolY Da Conti, and
the literature in local lan"ua"es pro$ide crucial information about its history Archaeolo"ical e'ca$ations at
Ki(ayana"ara ha$e re$ealed the empireGs po#er and #ealth
!he empireGs le"acy includes many monuments spread o$er South India, the best )no#n of #hich is the "roup
at ampi !he pre$ious temple buildin" traditions in South India came to"ether in the Ki(ayana"araArchitecture style
&fficient administration and $i"orous o$erseas trade brou"ht ne# technolo"ies such as #ater mana"ement
systems for irri"ation !he empireGs patrona"e enabled fine arts and literature to reach ne# hei"hts in Hannada,
!elu"u, !amil, and Sans)rit, #hile Carnatic music e$ol$ed into its current form
3
; re*eases 100 se&ret )%*es o! NetaK%
Prime Minister !arendra Modi released the first set of 177 declassified files
pertaining to !eta,i &#bhas handra 0ose. The government plans to release
in the p#blic domain 6B declassified files each month.
!he files do not seem to thro# up any ne# e$idence su""estin" thefreedom fi"hter sur$i$ed the plane crash in !aiho)u, no# in !ai#an, on
Au"ust 1:, 1<67
!he theory that he died in the crash #as the $ersion of his Indian /ational
Army associates and #as also accepted by the /ehru "o$ernment
o#e$er, this may not yet put to rest speculation that the freedom fi"hter
outli$ed the crash
A section of the 5ose family, and many in 5en"al, ha$e for decades held that the #hole truth of 5ose’s
disappearance isn’t out yet
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7:
AARRTT TT EENNTTYY|| 99OOOO??SS AANN// AAUUTTHHOORRSS
13
T$e Tur(u*e!t Years
!he second $olume of 0resident 0ranab 3u)her(ee’s
memoir !he !urbulent ears= 1<:?+<8T #as released
In the boo), he has chronicled some momentous
de$elopments of the 1<:?s and 1<<?s, includin" Indira
%andhiGs assassination, 5abri demolition, operation 5lue
Star and his ouster from Ra(i$ %andhiGs Cabinet
e has also shed ne# li"ht on e$ery ma(or political
occurrence of the time + from Ra(i$ %andhiGs ascendanceas 0rime 3inister to the emer"ence of 0 K /arsimha Rao
as leader of the nation
23
T$e Ta*e o) ?%tt"I!9oots
A ne#ly disco$ered story #ritten more than a century a"o by the cherished
5ritish childrenGs author 5eatri' 0otter #ill be published in September
!he !ale of Hitty+In+5oots, a story about a blac) cat that leads a double life, #as
found some years a"o by 0en"uin Random ouse publisher
0otter is best )no#n for !he !ale of 0eter Rabbit, #hich has sold 67 million copies
and been translated into 48 lan"ua"es
!he publication of the ne#ly+unco$ered tale forms part of this yearGs celebrations
mar)in" the 17?th anni$ersary of her birth
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AARRTT TT EENNTTYY OONNEE|| ;;IISSCCEELLLLAANNEEOOUUSS
13
or*+ 9ra%**e /a"
The :orld 0raille Day was observed on *an#ary K across the world to recogni+e contrib#tions of >o#is 0raille in
helping the vis#ally impaired people to read and write.
!he .orld 5raille Day celebrates the life and achie$ements of ouis 5raille #ho in$ented the 5raille code for the
$isually impaired /on+"o$ernmental or"anisations /%Os around the #orld celebrates this day to create
a#areness about the challen"es faced by $isually impaired indi$iduals and encoura"e businesses alon" #ith the
"o$ernments to create economic and social opportunities for the blind
RELATE/ INFOR;ATION: 9RAILLE CO/E 5raille is a code that uses bumps and indentation on a surface to represent alphabets and letters that can be
reco"ni*ed by touch ouis 5raille, #ho #as a French, lost his si"ht in an accident at a $ery youn" a"e and
in$ented the code
5efore 5raille in$ented this form of communication, $isually impaired people read and #rote usin" a system
that embossed atin letters on thic) paper or leather !his #as a complicated system that re>uired much trainin"
and only allo#ed people to read not #rite
Discoura"ed by this, 5raille at the a"e of 17 in$ented the 5raille code Since 5raille is a code, all lan"ua"es and
e$en certain sub(ects li)e mathematics, music and computer pro"rammin" can be read and #ritten in 5raille
4a#5s I& &t#dy ircle
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AARRTT TT EENNTTYY TT OO|| EE//IITTOORRIIAALLSS
13
You are $ere
The Indian ;press N ategory &cience and Technology
.ith the launch of the fifth payload of the Indian Re"ional /a$i"ation Satellite System IR/SS, the Indian Space
Research Or"anisation ISRO is almost set to deploy a secure and nationally o#ned alternati$e to %0S %lobal
0ositionin" System, #hich #ill co$er all of India and a *one about 1,7?? )m beyond the national borders After t#o
more launches, India #ill (oin the small "roup of nations #ith their o#n satellite na$i"ation systems !he US %0S #as
the trailbla*in" system #ith a "lobal footprint, follo#ed by the Russian %O/ASS %lobalnaya na$i"atsionnaya
sputni)o$aya sistema and French DORIS Doppler Orbito"raphy and Radiopositionin" Inte"rated by Satellite 5y2?2?, the &uropean Union’s %alileo and China’s 5eiDou satellite arrays are e'pected to be "lobally deployed
5eiDou is still a re"ional system, and the IR/SS mar)s India’s first, confident and $ery necessary step into this field It
#ill ha$e t#o ser$ices, a public access system and an encrypted $ariant for the military Indeed, #hile satellite
na$i"ation systems are "enerally celebrated for impro$in" accuracy in con(unction #ith other ser$ices li)e %0S
DORIS can drill do#n to millimetric le$els, #hich is $aluable in the earth sciences security #ill be the initial
deli$erable of the IR/SS !he need for secure communications is understood in our hac)er+infested #orld and, by
e'tension, so is the need to o#n communication satellites o#e$er, the need to o#n secure positionin" ser$ices
should be e>ually ob$ious A ma(or "eopolitical incident could render forei"n %0S systems hard to access, or
impossible to trust
!he e'tra accuracy #hich the IR/SS promises #ill assume si"nificance for future de$elopments li)e the Internet of
!hin"s, to re$olutionise lo"istics and in$entory mana"ement, for instance, and perhaps enhance telemetry ser$ices
!he ISRO is ta)in" a si"nificant step #ith the IR/SS, helpin" to future+proof the nation from the perspecti$e of the
security and accuracy of data In an information+hun"ry #orld, it’s ser$in" the national priority of "eneratin" and
o#nin" reliable data on the nei"hbourhood
23
Re#%#e NAT,RI/ w%t$ sa)e8uar+s
The Lind# N ategory Polity and ?overnance
!he Central "o$ernment’s decision to re$i$e /A!%RID /ational Intelli"ence %rid is a #elcome mo$e in the fi"ht
a"ainst terrorism, but it calls for caution and nuanced plannin" in the #ay it #ould be structured Accordin" to the
e'istin" plan, /A!%RID #ill become a secure centralised database to stream sensiti$e information from 21 sets of datasources such as ban)s, credit cards, $isa, immi"ration and train and air tra$el details, as #ell as from $arious
intelli"ence a"encies !he database #ould be accessible to authorised persons from 11 a"encies on a case+to+case basis,
and only for professional in$esti"ations into suspected cases of terrorism /A!%RID #as amon" the ambitious sle# of
intelli"ence reforms underta)en in the #a)e of the 3umbai attac)s of /o$ember 2??: i)e /A!%RID, most of these
proposed reforms in the security establishment ha$e not fully materialised, yet a"ain ser$in" as a reminder that India’s
memory is embarrassin"ly short
In a data+dri$en, di"itised #orld, it #ould be foolhardy to i"nore the po#er of bi" data and its potential to pro$ide real
time tip+offs and predicti$e intelli"ence to deal #ith the terrorist threat O$er the last t#o decades or so, durin" #hich
the post+Cold .ar chaos resulted in many $iolent non+state actors settin" up shop, the $ery di"ital tools that terrorists
use ha$e also become "reat #eapons to fi"ht the ideolo"ies of $iolence Social media and other platforms ha$e become
recruitment sites and propa"anda machines for terrorist "roups, and formal ban)in" channels are used as much asinformal ones to transact terror fundin" In those same oceans of information are trends and information that could
a$ert terrorist stri)es o#e$er, appreciation of the po#er of di"ital databases to tac)le terror must be accompanied by
deep concern about their possible misuse !he Sno#den files are (ust one pointer to the #idespread misuse in recent
years of sur$eillance capabilities to compromise indi$idual pri$acy and e$en $iolate national so$erei"nty
Increasin"ly, there is also academic e$idence to sho# that states are applyin" e'cessi$e force and sur$eillance to tac)le
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terrorism !he /A!%RID’s efforts must be placed a"ainst these realities before the "o$ernment rushes into re$i$in" it
.hen so much sensiti$e information about indi$iduals is a$ailable on a sin"le source, the potential for its misuse
#ould dramatically "o up !he poor trac) record of the Indian security and intelli"ence a"encies on indi$idual pri$acy
and liberty must be )ept in mind as the /ational Democratic Alliance "o$ernment tries to nurture /A!%RID, #hich
has failed to ta)e off despite the a""ressi$e push by the pre$ious United 0ro"ressi$e Alliance "o$ernment !he
o$erdue initiati$e to re$i$e /A!%RID must therefore be accompanied by action on the e$en lon"er+pendin" need to
ha$e effecti$e o$ersi"ht of intelli"ence a"encies by 0arliament or an eminent "roup
3
Towar+s or8a!%& *%)est"*e
Pioneer N ategory ;conomy
!he often bitter debate on or"anic farmin" not#ithstandin", Si))im deser$es to be #hole+heartedly con"ratulated for
"oin" "reen and chemical+free Recently, the tiny /ortheastern State #as officially declared as the countryGs first fullyor"anic State .hat this means is that no farmer in Si))im uses any amount of chemical fertiliser, insecticide or
pesticide Instead, only natural manure from co# dun" is used in the fields Si))imGs success story is an inspiration for
the rest of the country, and other States, especially the do*en others that are focusin" on or"anic farmin", #ill ha$e
$aluable lessons to learn, e$en if they are not able to fully replicate the Si))im model Si))im had certain inherent
ad$anta"es #hen it be"an its or"anic pro"ramme more than a decade a"o !he soil of the State is rich in or"anic
matter, farmers #ere mostly follo#in" or"anic practices by choice, and only a small percenta"e of the land under
culti$ation had been e'posed to chemicals Conse>uently, it #as relati$ely easy for Si))im to turn bac) and "o "reen
Still, the process too) 14 years since the 2??4 declaration in the e"islati$e Assembly by then Chief 3inister 0a#an
Chamlin"Gs on the phasin" out of harmful chemicals After that, pilot pro(ects #ere implemented, #hich included the
adoption of @bio+$illa"esG !he State also subsidised the construction of $ermicompostin" pits and encoura"ed the use
of bio+fertilisers and or"anic manure In 2?1?, the Si))im Or"anic 3ission #as launched #ith the aim of becomin"chemical+free by December 2?17
/o#, the focus is on scalin" up the industry Si))im, for instance, does not produce enou"h to sustain itself and its
produce is fairly e'pensi$e !his is beneficial for the farmers, of course, and a #elcome alternati$e for those #illin" to
pay more for healthier food options 5ut e$en if one factors in the additional re$enues from eco+tourism etc, or"anic
farmin" o$erall is still unsustainable in a densely+populated, de$elopin" country li)e ours It is on this issue that ne#
research and de$elopment in the farm sector must focus 3ean#hile, the Centre should offer full support to other
States li)e 3e"halaya and Herala, #hich are close to becomin" fully or"anic %lobally, or"anic farmin" has become the
holy "rail of sustainable li$in", and the international or"anic foods mar)et is #orth se$eral billion dollars today
Resource+rich India, ho#e$er, does not e$en ha$e a one per cent share in this lucrati$e mar)et !his can and should
chan"e not because or"anic farmin" is fashionable these days, but because it is imperati$e for the Indian farm sector
to remain competiti$e, as #ith e$ery passin" day more and more de$eloped nations are cuttin" do#n on non+or"anic
food e'ports One effecti$e #ay to marshal resources, for the Se$en Sister States, for e'ample, is to do$etail their
or"anic missions #ith the 3a)e in /orth+&ast pro"ramme that focuses on horticulture and food processin"
3
Is*a'%& !at%o!s a*so o! ISIS’ ra+ar
The sian ge N ategory International
3a(or terrorist attac)s in Istanbul and Ba)arta recently, follo#in" the 0aris stri)e of last /o$ember, ha$e once a"ain
raised fears of the "lobal e'pansion of the Islamic State IS, or ISIS Islamic State of Ira> and Syria, the #orld’s most
brutal and most effecti$e Islamist terrorist or"anisation #hich puts to shame e$en Al ;aeda, #hose franchisee it #as
meant to be in Ira> and Syria until (ust a couple of years a"oISIS, or Daesh, has claimed authorship of the outra"e in Ba)arta and 0aris, and the presumption is that it #as also
responsible for )illin" forei"n tourists in the Sultanahmet district of Istanbul, one of the most $isited places in the
#orld 5ut firm proof eludes us in tracin" particular $ile acts to Daesh !his is especially the case #ith the recent
Istanbul and Ba)arta attac)s
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!ur)ey has been seen by many as an indirect bac)er of Daesh because Daesh hits re"imes in .est Asia #ith #hich
An)ara is at odds Of course, !ur)ey stron"ly refutes the su""estion In the #a)e of the Istanbul attac), it e$en
unleashed a #a$e of airstri)es a"ainst Daesh positions in Syria
.hat seems true, ho#e$er, is that the current !ur)ish "o$ernment is seen to be Islamic #hich in $arious #ays see)s to
oppose the sturdy secular social and political tradition built up in the country in the last hundred years Should Daesh
be hittin" tar"ets in Istanbul thenM
Anythin" #e say #ill be con(ectural, but it is also true that there ha$e been a number of terrorist incidents in !ur)ey
since last Bune Are the attac)s lin)ed in their authorship, or are different "roups espousin" different causes, fi"htin" it
outM !here are no firm clues
If those #ith ultra+Islamist $alues, or e$en Islamic ones, are uneasy #ith modern !ur)ey’s stron" secular foundational
structures, it is understandable !he case of Indonesia, ho#e$er, is >uite different !he "o$ernment there is openly
democratic and moderately 3uslim Its political character is not the same as !ur)ey’s
5ut the recent past has seen robust Islamic and Islamist mo$ements in Indonesia #hich ha$e used terrorism as aninstrument !he Bemah Islamiyah, a dreaded terrorist outfit #hich too) credit for the infamous 5ali bombin" some
years a"o, has its or"anisational bases in 3alaysia and the 0hilippines also 5ut in the past decade, the Indonesian
"o$ernment had o$erpo#ered the Islamist tendencies and these could #ell be hittin" bac) #ith the help of Daesh
Daesh is indeed a serious threat internationally, as US 0resident 5arac) Obama reminded us in his last State of the
Union address recently In India too #e need to be alert to its acti$ities as a clutch of Indians ha$e tra$elled to fi"ht for
ISIS and the outfit is tryin" to spread its #in"s in 0a)istan and Af"hanistan, #here India is en"a"ed
G3
It’s t$e *"!&$7%!: 42 o) I!+%a! a+u*ts $a#e Aa+$aar (ut w$ere’s %ts *e8%s*at%#e
)ra'ewor-
Times of India
N ategory Polity and ?overnance
A month after Chennai #as battered by a flood, $ictims #ere in for a pleasant surprise About 16 million people
recei$ed Rs 9?? crore as flood relief throu"h ban)s in #hat may ha$e been the >uic)est and most transparent transfer
in India after a calamity !his e'ample, #hen (u'taposed #ith the spread of Aadhaar co$era"e to <2J of India’s adult
population, should push /DA /ational Democratic Alliance to "et its act to"ether >uic)ly Aadhaar’s rich potential
needs to be supported by an appropriate le"islati$e frame#or), #hich should be on the "o$ernment’s priority list for
the bud"et session of 0arliament
About Rs 84 trillion, or 62J of %D0 "ross domestic product, is spent e$ery year on subsidies by all layers of
"o$ernment 5ut the e'tent of subsidies #hich actually reach intended beneficiaries is anybody’s "uess because a lot of
$ulnerable people in India find it difficult to "et the paper#or) mandated to pro$e their identity Aadhaar, a di"ital
identification system, o$ercomes most of these problems Its pro$ision of a $erifiable identity from any location opens
up access to a number of public and pri$ate ser$ices for people Opportunities multiply for indi$iduals For
"o$ernment, it "i$es a chance to enhance the #elfare system by eliminatin" #asta"e and reachin" the ri"ht person
Aadhaar is part of a pac)a"e of measures to enhance "o$ernance #hich is under"irded by communications
technolo"y It comes #ith challen"es #hich need to be tac)led throu"h appropriate le"islation amon" other thin"s et
/DA has sho#n e'treme casualness about such le"islation It is o$er fi$e years since the pre$ious "o$ernment
introduced a bill, deemed unsatisfactory by 5B0, to pro$ide a le"islati$e frame#or) !his bill subse>uently made no
pro"ress %i$en Aadhaar’s potential, 3odi "o$ernment’s support for it and >uestions raised by the Supreme Court, the
absence of a sense of ur"ency to fill this le"islati$e "ap is mystifyin"
Aadhaar is a bipartisan idea 5oth 5B0 and Con"ress ha$e seen merit in it and many state "o$ernments endorse it So a
lot of "round to "arner political support for a bill has already been co$ered It’s time for an ironclad le"islation #hich
addresses le"itimate concerns, includin" pri$acy 5B0 has to ta)e the initiati$e to "et this le"islation in place andCon"ress should support it as a lot of the "round#or) to "et Aadhaar up and runnin" happened durin" U0A tenure
!his is a bill #hich has the potential to directly impro$e opportunities for many people and, therefore, needs broad+
based political support
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63
Ho*%st%& %!&*us%o!
Lind# 0#siness >ine
N ategory ;conomyIt #ould be #ron" to dismiss the deliberations of the Deepa) 3ohanty committee on @!he 3edium !erm 0ath on
Financial Inclusion’ as (ust the latest in a series of hi"h+profile committee reports on the issue .hat the 3ohanty
committee has done is to e'amine #hy pre$ious initiati$es on financial inclusion, such as priority sector lendin" by
ban)s, interest rate sub$ention for a"riculture, the ban)in" correspondent model and the Ban Dhan o(ana ha$e not
mana"ed to fulfil their ob(ecti$es also, #hat can be done at the "round le$el to address this !he report su""ests that
to attain the lofty "oal of uni$ersal financial inclusion, the R5I Reser$e 5an) of India #ill ha$e to stitch to"ether a
holistic strate"y that in$ol$es not only its o#n constituents such as ban)s and /5FCs /on+5an)in" Financial
Companies, but also ropes in telecom operators, Central and State a"encies, land re"istrars and small and payment
ban)s, to deli$er last+mile inclusion
On the primary problem of inclusion, the report finds that the attempts to impro$e ban)in" access throu"h rural
branches, A!3s automated teller machines, ban)in" correspondents 5Cs and no+frills accounts ha$e deli$ered a
si'+fold e'pansion in ban) accounts in the last fi$e years 5ut some poc)ets remain e'cluded, such as to#ns in &ast and
/orth+&ast India, #omen in "eneral and the minorities !o address this, it offers specific solutions such as
pi""ybac)in" on mobile net#or)s in remote areas, openin" "o$ernment+funded ban) accounts for school+"oin" "irls
and enablin" interest+free ban)in" #indo#s for those #ith ethical ban)in" needs On a"ricultural credit, the
committee tempers #elfare ob(ecti$es #ith a stron" dose of pra"matism It points out that the present ban) lar"esse in
the form of subsidised loans and loan #ai$ers mainly reaches the affluent landed farmer and creates a moral ha*ard It
su""ests dismantlin" these modes of credit deli$ery and as)s the Centre to offer small and mar"inal farmers income
support throu"h direct transfers It ar"ues for the seedin" of all ban) accounts #ith Aadhaar numbers, the di"itisation
of land records and issue of tenancy certificates to landless tillers so that cash benefits and crop insurance policies can
be deli$ered directly into the latter’s hands !o remo$e the primary entry barrier to inclusion the lac) oftransactional history the report su""ests mappin" the di"ital footprint of all financial customers, #hether it is the
small farmer s#ipin" his Hisan Credit Card or the o#ner of a micro+enterprise ta)in" a personal loan !his can create a
$erifiable national database for lenders to ma)e a 48? de"ree assessment of a ne# borro#er’s credit+#orthiness
O$erall, the report has o$er 9? different recommendations cuttin" a #ide s#athe across sub(ects ran"in" from crop
loans to cashless payments .hile most of them appear #orthy of implementation, the difficulty #ill lie in the fact that
their success is dependent on transparent information+sharin" and coordination amon" many a"encies /e$ertheless,
this comprehensi$e approach to financial inclusion needs to be ta)en seriously A multi+disciplinary a"ency at the
Central le$el should be set up to put these ideas into action
3
%** Ra)ae* +ea* )*"
The Trib#ne N ategory Defence
French 0resident Francois olland’s $isit helped create an air of finality to the deal for purchasin" Rafael fi"hter (ets
All that remains, #e are told is si' more months of hard bar"ainin" o$er prices 5y then the /arendra 3odi
"o$ernment #ould ha$e completed t#o years in office and come no nearer to its predecessor in resol$in" the >uestion
of steady dra#do#n of IndiaGs fi"hter aircraft fleet For years, the (oint de$elopment and production plan #ith Russia
for the ne't "eneration of fi"hter aircraft too has been the sub(ect of intense ne"otiations !he li"ht combat aircraft,
after decades of bein" under de$elopment, #ent on its first outin" to the 5ahrain air sho# 5ut it cannot underta)e the
re>uirements of the hea$ier fi"hter aircraft
If the ne"otiations o$er Rafael dra" on, 3odi #ill ha$e himself to blame for failin" to re$erse the attrition in IndiaGs
fi"hter fleet Almost as if on impulse, he placed an order for 48 Rafael (ets on the e$e of his first $isit to 0aris last April
Rafael had emer"ed as the best of the si' fi"hters that had competed for the Indian Air Force’s tender for 128 fi"hters
For the past three years Defence 3inistry officials had been conductin" intense ha""lin"+cum+ne"otiations #ith the
company !he entire e'ercise #ent topsy+tur$y #hen 3odi announced the order for 48 fi"hters &'asperated officials
had to be"in ne"otiations all o$er a"ain !his time they are tryin" to "et the old price for a smaller order
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It is not (ust about Rafael !he 3a)e+in+India policy for defence e>uipment #as announced #ith fanfare #ithout one
crucial component the criteria for the forei"n strate"ic partner !he industry is not happy #ith the proposal to
restrict one strate"ic partner to one pro(ect Once this is o$ercome, the ne't hurdle #ill be the defence public sector
#or)ers opposin" the entry of the pri$ate sector Se$eral other ma(or pro(ects such as plans to (ointly build #arships,
nuclear submarines and helicopters are also facin" challen"es !he bi""er challen"e is there are no e'port mar)ets or
ci$ilian deri$ati$es for these products !he "o$ernment #ill ha$e to become realistic and prioritise products that can
be realistically built in India at a comparable cost
3
S&%e!t%)%& te'7er esse!t%a* to I!+%a’s +e#e*o7'e!t %! 21st &e!tur"
;conomic Times N ategory &cience and Technology
It does not matter if /obel laureate Ken)atraman Rama)rishnan #as ri"ht in describin" the Indian Science Con"ress as
a circus #here $ery little science is discussedT .hat matters is that o$er the years, the annual meet passes by #ithouta blip on our radar, e'cept for the prime minister’s inau"ural address and possible contro$ersy
!he Indian Science Con"ress, first held in 1<16, #as the initiati$e by t#o 5ritish chemists, B Simonsen and 0 S
3ac3ahon, #ho thou"ht that an annual "atherin" similar to the 5ritish Association for the Ad$ancement of Science
5AAS #ould stimulate science research Since then, interaction amon" scientists has increased e'ponentially, ma)in"
the science con"ress yet another meet .hile the importance of science has only "ro#n, the public appreciation of
science and scientific temper has been on the decline Scientists probably should ta)e a cue from the 5AAS, recast as
5ritish Science Association, rein$ent the Indian Science Con"ress, to impro$e the perception of science and scientists in
the country It can do so by ma)in" the primary "oal of the annual meet en"a"in" a broader audience= the political and
administrati$e class, industry, thin) tan)s, the media, science educators, communicators and students A t#o+#ay
communication is needed= scientists must appreciate society’s needs and e'pectations and the #ider community must
)no# #hat scientists are doin"Science has a crucial role to play but it must be embedded in a lar"er societal frame#or) A scientific temper is
essential to India’s de$elopment in the 21st century Scientists must sei*e the day, instead of #allin" themsel$es off,
they must acti$ely en"a"e #ith politics, contro$ersy and the #orld at lar"e, and the Indian Science Con"ress can be the
"ate#ay
43
T$e u!'et $ea*t$ &$a**e!8e
The Lind# N ategory Lealth
!he first set of data from the /ational Family ealth Sur$ey /FS +6 for 14 States and t#o Union !erritories should
be seen as a report card on ho# effecti$ely India has used its ne#ly created #ealth to alter a dismal record of
nutritional depri$ation, ill+health and lost potential amon" its citi*ens, particularly #omen and children %i$en the
steady "ro#th in real per capita %D0 "ross domestic product since the 1<:?s, and the pro"ress made since
Independence in o$ercomin" se$ere undernourishment, enli"htened policy approaches could ha$e brou"ht about a
"iant leap from 1<<2+<4, #hen the first /FS #as conducted, ensurin" that no child or #oman #as left behind in the
>uest for health for all &$idently, the Indian state has not $ie#ed the situation e$en at the hei"ht of a prosperous
phase of economic "ro#th a decade a"o of 4< per cent of children under the a"e of fi$e remainin" under#ei"ht as
constitutin" a national crisis It comes as no surprise, therefore, that this failure to assume responsibility for child
nutrition has left 46 per cent of children in that a"e "roup under#ei"ht today !here is also a lot of e$idence to sho#
that the depri$ed sections of India’s children ha$e lo# #ei"ht e$en at birth due to the "eneral ne"lect of #omen’s
nutrition and #ell+bein"
It is imperati$e that the data comin" out of /FS+6 lead to the chartin" of a ne# policy course that ma)es access tonutrition and health a ri"ht for all Assertin" this ri"ht #ould re>uire the stren"thenin" of the Inte"rated Child
De$elopment Ser$ices ICDS scheme in all States, particularly those #ith a hi"her proportion of under#ei"ht and
stunted children In the first set of data, 5ihar and 3adhya 0radesh brin" up the rear on these crucial metrics of child
de$elopment It deser$es mention that e$en #ithin the ICDS, there is a clear deficit in carin" for the needs of children
under three /utrition in the first t#o or three years of a child’s life has a lastin" impact on her de$elopmentN care
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"i$en in later years, includin" freshly coo)ed meals at school, cannot undo the setbac) caused by ne"lect durin" this
foundational phase Other )ey areas re>uirin" inter$ention are access to antenatal care, reduction of hi"h le$els of
anaemia amon" #omen, and immunisationN it is a cause for concern that a State such as !amil /adu #ith an acti$e
public health system recorded a reduced rate of full child immunisation compared #ith /FS+4 data O$erall, there is
a need to assess the health of citi*ens more fre>uently than the current /FS cycle of se$en to 1? years allo#s Data
"athered e$ery t#o or three years #ould help ma)e timely policy corrections A fuller picture of the health of urban
and rural Indians #ill emer"e later in the year #hen data for all States become a$ailable !hey should send out the
messa"e that sustained economic "ro#th is not possible #ithout state support to achie$e the #ell+bein" of the
population, especially #omen and children
103
/ea*%!8 w%t$ t$e s*ow+ow!
The Lind# N ategory ;conomy!he International 3onetary Fund I3F has added to the pre$ailin" economic "loom by cuttin" the "lobal "ro#th
forecast It no# e'pects the #orld economy to e'pand by 46 per cent in 2?18 !his is ?2 percenta"e points belo# its
forecast of October last year !he re$ision has come (ust as 5ei(in" released numbers that sho#ed China postin" the
slo#est "ro#th yet in 27 years !hou"h it reported a "ro#th of 8< per cent in 2?17, the year sa# turbulence in the
Chinese economy, #ith hea$y capital outflo#s and stoc) mar)et $olatility !he I3F has )ept its "ro#th forecast for
China unchan"ed at 84 per cent in 2?18, and the fear is that China’s economic slo#do#n could ha$e a tri""er effect on
others Readin" the China factor in tandem #ith #ea) commodity prices, the Fund has chosen to pare its "lobal
"ro#th forecast !he latest I3F "ro#th numbers no doubt reflect the unfa$ourable "round conditions around the
"lobe et, they also underscore a sense of ur"ency in puttin" in place an action plan that #ould catalyse and hasten
the economic reco$ery process /ot surprisin"ly, the I3F has emphasised the need for supporti$e measures in the near
term to assist a reco$ery.hile rin"in" the slo#do#n alarm, the I3F, ho#e$er, finds India better+placed $is+Z+$is other lar"e economies It has
)ept its "ro#th forecast for India in 2?18+19 unchan"ed at 97 per cent !he I3F’s prediction could be seen to be a shot
in the arm for Indian leaders to hard sell the country at the .orld &conomic Forum At best, it could "i$e India a
psycholo"ical ed"e o$er others 5ut that alone may not be sufficient to pull India to a hi"her "ro#th orbit In an inter+
connected en$ironment, "lobal head#inds cannot be #ished a#ay Oftentimes, there ha$e been comparisons bet#een
India and China in the "lobal in$estin" community 3ana"in" the @China factor’ is $ery crucial for India to stay its
course on the "ro#th path Containin" the spillo$er effects of $olatility in 5ei(in" could, ho#e$er, pro$e a bi"
challen"e for monetary and fiscal planners in India in the comin" days %i$en that Indian e'ports ha$e been
contractin" month after month, the de$elopments on the Chinese currency front are bound to pose fresh #orries for
the economy !hou"h India is relati$ely better+placed, the economic slo#do#n is as much a concern for the country as
it is for others &$en as the I3F forecast pro$ides India a comparati$e ed"e in #ooin" the "lobal in$estor community,
it is essential for the "o$ernment to coherently address the "ro#in" an'iety amon" domestic consumers and stem, if
not fully re$erse, the demand slump !he bud"et #ill pro$ide the /DA "o$ernment an opportunity to announce a
plan to miti"ate economic distress, especially in the farm sector, and sho# the political #ill to push (ob+creation as a
central ob(ecti$e It’s a tas) the "o$ernment must not dod"e
113
Start a!+ 8o
The Indian ;press
N ategory ;conomy
!he "o$ernment’s ne# initiati$e for start+ups promises s#ift appro$als for startin" enterprises, easier e'its, ta' and
fiscal incenti$es, faster re"istration of patents and protection of intellectual property ri"hts It si"nals a possible end tothe inspector ra( that has sapped the ener"y and spirit of many youn" entrepreneurs in the country Unli)e India’s
lar"e business "roups, small entrepreneurs find it difficult to na$i"ate the comple' bureaucratic and re"ulatory ma*e
From that perspecti$e, these supply+side reforms are #elcome .hat ma)es this initiati$e especially #elcome is the
fact that start+ups hold the potential of creatin" more (obs at a time #hen the manufacturin" sector is facin" a slump
that may last lon"er "i$en "lobal economic prospects and the slo#do#n in China, #hich has been one of the en"ines
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of "lobal "ro#th And #ith "ro#in" automation, the manufacturin" sector may no lon"er be in a position to create
(obs !he fact is that there is a fundamental problem of demand and the real challen"e for the Indian economy no# is
to fund se$eral lar"e pro(ects be it roads, hi"h#ays or rail#ays !hat’s #hy it is heartenin" to see the "o$ernment
attemptin" to pro$ide an enablin" policy en$ironment for start+ups, #hich are (ob creators much li)e the lar"e number
of self+employed #ho form a si"nificant part of the country’s labour force
5ut should the "o$ernment, #hich says it #ants to be more of a facilitator, "et into the fundin" of start+upsM !here has
been enou"h capital chasin" start+ups in India, includin" e+commerce firms, #ith a predominant share comin" from
o$erseas in$estors, unli)e in the US or China, #hich are ahead of this country in terms of the number of ne#+a"e firms
!a' brea)s do help, but "lobal e'perience sho#s that #hat is more critical is an enablin" re"ulatory and business
en$ironment that #ill foster inno$ation and ha$e a cascadin" impact on entrepreneurship Indian policyma)ers appear
to be "raspin" this imperati$e but the fundin" no# on offer could perhaps be directed more to#ards entrepreneurs
#ho find it tou"h to raise capital in se"ments such as food processin", rather than mobile+based applications or e+
commerce firms, for #hom raisin" money isn’t a ma(or problem!he "o$ernment’s approach of tar"etin" start+ups to po#er "ro#th o$er the ne't decade is #ell (ud"ed 5ut the easin"
of rules and creation of a conduci$e policy en$ironment should not be restricted (ust to start+ups It should be e'tended
to all businesses !hat #ill be the real test, alon" #ith "ettin" more Indian firms domiciled o$erseas because of rules
here to mo$e bac) Other#ise, the losers #ill be the "o$ernment and local in$estors
123
;%e+ *e8a&" o) t$e O(a'a "ears
The Lind# N ategory International
In a speech lon" on past achie$ements and short on policy promises for his final year in office, US 0resident 5arac)
Obama recently deli$ered his se$enth and last State of the Union address to a ouse of Representati$es chamber
&>ually dedicatin" his time at the pulpit to defendin" his t#o+term record in office and to layin" out a $isionconsistent #ith the liberal paradi"m of the Democratic 0arty, 3r Obama posed four definiti$e >uestions, the ans#ers
to #hich he said #ould determine ho# much pro"ress the US #ould ma)e in the years ahead First, on ho# the US
middle class finds sufficient opportunities in the ne# economy to secure its prosperityN second, on ho# the US
harnesses the po#er of technolo"y to tac)le climate chan"eN third, #hat are the means to secure the safety of
Americans at home and abroad #ithout "ettin" trapped in any military >ua"miresTN and fourth, ho# could AmericaGs
leadership foster a less hateful, less anti+minority brand of national politicsM In the face of the Republican 0arty’s
attitude of rancour and suspicionT, 3r Obama has deftly na$i"ated a path for#ard on domestic priorities includin"
healthcare reform, economic re$i$al, and sustainable technolo"ies in the ener"y sector et his record on forei"n policy
is more patchy and comple' !he partial realisation of the dream of America leadin" a multilateral #orld sits rather
uncomfortably #ith notable cases of stasis and deepenin" conflict
An une>ui$ocal feather in 3r Obama’s cap is the dVtente #ith Iran, #hich, on his #atch, has rolled bac) its nuclear
pro"ramme, shipped out its uranium stoc)pile, and helped the #orld step bac) from the brin) of #ar So too is the
re$i$al of formal diplomatic ties #ith Cuba last summer #hich, after more than 7? years of isolation and economic
embar"o, #itnessed the rela'ation of tra$el restrictions but a#aits a nod from the Republican+controlled Con"ress
before trade can be fully opened up At the macro le$el, se$en years since the end of 5ush+era unilateralism, the
adoption of multilateral, re"ionally focussed and hemispheric political models ha$e certainly come into $o"ue under
the able "uidance of the Obama machine et, e$en as multilateralism has thri$ed, bilateral crisis+resolution has ta)en
a bac) seat .ith Russia, the le"itimate concerns of an important strate"ic player are reduced to sound bites and
tal)in" heads on US ne#s channels Conse>uently in U)raine and Syria there is often a hair+tri""er situation
.ashin"ton’s China en"a"ement #as more reacti$e than proacti$e, and led to more a""ressi$e positions in the re"ion
!he unra$ellin" security prospects of Af"hanistan and the festerin" 0alestine+Israel conflict #ere inconsistentlyaddressed o$er the t#o presidential terms India, thou"h, turned out to be the classic partner for Obama’s America
there #as enou"h bilateral economic depth to )eep ties stron", and the shared idiom of pluralistic democracy held the
t#o nations to"ether in a close but li"ht strate"ic embrace
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13
No *o!8er s$"
The Indian ;press
N ategory India and :orldIt is in the fitness of thin"s that &'ternal Affairs 3inister Sushma S#ara(’s first trip to .est Asia is ta)in" her to Israel
and 0alestine If the bane of Indian forei"n policy has been the ne"lect of the strate"ically important 3iddle &ast
e$en the %ulf states much ener"y has been e'pended in )eepin" the bilateral relationship #ith Israel discreet and
emphasisin" India’s e>uidistanceT from Israel and 0alestine S#ara(’s $isit is only the third Indian forei"n ministerial
trip since the establishment of full diplomatic ties in Banuary 1<<2 et, comin" close on the heels of 0resident 0ranab
3u)her(ee’s October 2?17 $isit the first by an Indian head of state and ome 3inister Ra(nath Sin"h’s /o$ember
2?16 trip, S#ara(’s $isit assumes additional si"nificance, also "i$en the li)elihood of Israeli 0rime 3inister 5inyamin
/etanyahu comin" to India this year and 0rime 3inister /arendra 3odi’s return trip
!he bilateral relationship had almost come out in the open in 2??4, durin" then Israeli 03 Ariel Sharon’s trip to India,
only to be put firmly bac) in the closet by the U0A United 0ro"ressi$e Alliance that didn’t dare to tal) about it in
public o#e$er, that the momentum pic)ed up o$er the years #as undeniable, and its effect could be felt beyond the
primary, albeit unpublicised, defence and security cooperation !he 3odi "o$ernment’s intent, e$ident since India’s
historic abstention from the anti+Israel U/RC United /ations uman Ri"hts Council resolution in Buly last year,
appears to be to stop bein" shy about Delhi’s partnership #ith !el A$i$ 3odi and /etanyahu had an important
meetin" in September 2?16, on the sidelines of the U/%A United /ations %eneral Assembly e$en as the /DA has
found it (ust as necessary to tread carefully on 0alestine 3odi met 0alestinian 0resident 3ahmoud Abbas in /e#
or) in September 2?17 and, li)e 3u)her(ee, S#ara( too #ill be"in her $isit #ith 0alestine, #here India’s continued
political support and de$elopmental assistance #ill be re+emphasised
!his year is e'pected to be the brea)out year for the India+Israel partnership, comin" out of the closet formally An
indicator is the "ro#in" tendency to tal) more openly about defence collaboration Israel is a top technolo"y and
inno$ation hub, #hose pro#ess in a"riculture and #ater treatment is already ma)in" a difference in Indian states interms of meetin" the challen"e of food and #ater security S#ara(’s $isit should "i$e another push to the pendin"
bilateral F!A free trade a"reement, #ith its potential to treble the bilateral trade of appro'imately Q7 billion, and also
brin" the industrial ecosystems of both countries closer Israel, the Start+up /ationT, is an ideal partner for 3a)e in
IndiaT
13
Ha77" (%rt$+a" %-%7e+%a
The Indian ;press N ategory Miscellaneo#s
.i)ipedia has reached the respectable a"e of a decade and a half, but it has al#ays been old enou"h to )no# better
It’s so old that the names of its founders, Bimmy .ales and arry San"er, no lon"er inspire instant recall So old that its
fundraisers, ori"inally pushed to acts of desperation to sta$e off collapse, no# collect millions of dollars a$in" li$edthrou"h stran"e perils li)e an obsession #ith the scoldin" citation re>uiredT ta", and the >uestion of #hether the
5en"ali .i)ipedia should use the Indian or 5an"ladeshi fla$our of the lan"ua"e, the site is the #orld’s only non+profit
that is an industry leader 5ut most importantly, this astonishin" e'periment in public trust and faith in humanity, free
to ta)e from, free to contribute to, has concentrated and ordered the sum of human )no#led"e in a "enerally reliable
manner Don’t trust the bio"raphies too much, thou"h
!he structure of .i)ipedia o#es much to the thou"ht of free soft#are pioneer Richard Stallman, #ho had impro$ed
upon earlier proposals for online encyclopedias by su""estin" that editin" should be distributed, #ith no indi$idual or
entity in char"e i)e the internet itself, foundin" documents and a"reed upon protocols should be the arbiters of
processes In a #orld accustomed to trustin" only top+do#n structures that $est o#nership and accountability at the
ape', public acceptance of .i)ipedia #as a remar)able act of trust
.i)ipedia has particularly benefited the people of less fortunate nations, pro$idin" them #ith free access to >uality
peer+re$ie#ed )no#led"e In the bac)#aters of the )no#led"e economy, it has literally opened the doors of
perception /o #onder, then, that its birthday is bein" celebrated in 14 Indian centres, includin" small to#ns li)e 0uri
and San"rur !hey are far from the mainstream, but ser$ices li)e .i)ipedia ha$e put them in the fast lane of the
information superhi"h#ay
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8:
1G3
O7t%'%s%!8 +%as7ora asset
Pioneer N ategory India and :orldA recent U/ United /ations sur$ey has found that this country has the #orldGs lar"est diaspora #ith 18 million
Indians li$in" abroad !he study only includes those #ho #ere born in India but no# li$e outside the country and,
therefore, lea$es out the si*eable number of Indian+ori"in forei"n citi*ens #ho are also part of the diaspora .hen
these indi$iduals are counted, the si*e of the Indian diaspora "ro#s to 78< crore as on Banuary 2?17, accordin" to the
3inistry of O$erseas Indian Affairs no# mer"ed #ith the 3inistry of &'ternal Affairs !he >uestion here is= o# can
the Indian %o$ernment le$era"e this forei"n demo"raphic di$idend to promote its interests abroadM !o ans#er this
>uestion, it is important to underline some of the salient features of the Indian diaspora= First, Indians #or)in" abroad
send bac) lar"e amounts in remittances e$ery year In 2?16+2?17, they sent Q92 billion, #hich is at least t#ice, if not
thrice, the forei"n direct in$estment in the country, ma)in" India the lar"est remittance+recei$in" nation Second,
Indians abroad are mostly hi"hly+s)illed .hile there are also thousands of semi+s)illed #or)ers, especially in the
%ulf, the Indian diaspora o$erall is disproportionately #ell+educated and #ealthy and e$entually po#erful For
e'ample, in the US, #hich has a relati$ely youn" Indian diaspora, the Indian community is already sendin"
representati$es to the Con"ress, has a presence in the .hite ouse and holds senior positions in the bureaucracy
Across the Atlantic, in se$eral African countries, thou"h the Indian community is smaller, it is still si"nificantly
po#erful #ith Indian+ori"in heads of state e$en !hird, Indians abroad maintain a special connection #ith their
motherland, irrespecti$e of #hether they are recent immi"rants such as in the US or ha$e li$ed abroad for
"enerations thin) of Indian+ori"in people in 3auritius, Fi(i or !rinidad and !oba"o
!he cumulati$e impact of all these factors can be enormous o#e$er, it is yet to be mobilised 0re$ious %o$ernments
ha$e ta)en some steps, such as settin" a separate 3inistry for the diaspora and or"anisin" the 0ra$asi 5haratiya Di$as,
but these ha$e only had a limited impact !he incumbent %o$ernment has made the diaspora an important aspect of
its forei"n policy but it is too early to "au"e its impact on the "round oo)in" ahead, a comprehensi$e, multi+pron"edstrate"y is necessary to ma)e the most of IndiaGs diaspora ad$anta"e !his must include administrati$e, financial,
political and socio+cultural elements !he %o$ernment should ma)e it easier for those of Indian+ori"in to tra$el to and
in$est in India It should also loo) into diaspora bonds of the sort that #ere issued in the late 1<<?s At that time, it #as
e'pectin" about a billion dollars in financin" but raised fi$e times the amount 0olitically, thereGs a lot that Indian
parties can do to culti$ate the diaspora !he 5B0 is a step ahead of most other parties in this re"ard but thereGs still a
lon" #ay to "o
163
A !ew (e8%!!%!8 w%t$ Ira!
The Lind# N ategory India and :orld
It #as a remar)able moment in international diplomacy Until last year, it #as unima"inable that there #ould be apeaceful solution to the Iranian nuclear crisis &$en #hen a deal #as reached in Buly, critics continued to attac) the
efforts, >uestionin" the operatin" challen"es of the accord and Iran’s dubious nuclear record 5ut pro$in" its critics
#ron" a"ain, Iran >uic)ly acted to rein in its nuclear pro"ramme It decommissioned its enrichment centrifu"es,
remo$ed the core of its hea$y+#ater reactor and shipped out most of its lo#+enriched uranium stoc)pile all in
months Recently, the International Atomic &ner"y A"ency confirmed Iran had complied #ith its commitments
.ithin hours, nuclear sanctions #ere remo$ed, si"nallin" Iran’s reinte"ration #ith the "lobal economy !he
implementation of the deal demonstrates the #illin"ness of both the US and Iran to mo$e past their history of
hostilities and be"in a ne# future of cooperation US 0resident 5arac) Obama and his Iranian counterpart assan
Rouhani deser$e credit for their $isionary determination It #as not easy to effect structural chan"es in the thin)in" of
their respecti$e forei"n policy establishments and chart a ne# course of constructi$e en"a"ement 5oth faced criticism
at home !here #ere re"ional challen"es as #ell, such as the steadfast opposition from Israel Still they stuc) to the
path of diplomacy #hich brou"ht ne# hopes to a re"ion that is other#ise tormented by conflicts
O$er the past fe# months, US+Iran ties ha$e substantially impro$ed !hou"h both sides maintain that cooperation is
limited to the nuclear deal, in actuality it is much broader !ehran and .ashin"ton are en"a"ed in Syria and Ira> !hey
share common interests in Af"hanistan !he >uic) release of American sailors #hose patrol boats drifted into Iranian
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9?
contracts bet#een buyers and real estate promoters A real estate bill, #hich is presently pendin" in Ra(ya Sabha, see)s
to fill this "ap It has been debated for o$er t#o years and should be passed by 0arliament in the bud"et session
India is in the midst of rapid urbanisation and urban population is e'pected to more than double to about <?? million
o$er the ne't three decades Unfortunately, e$en the current population does not ha$e ade>uate housin" A
"o$ernment estimate in 2?12 put the shorta"e at nearly 1< million units If this shorta"e is to be alle$iated >uic)ly,
India’s messy real estate sector needs reforms
!he real estate bill see)s to set standards for contracts bet#een buyers and sellers !ransparency, a rare commodity in
real estate, is enforced as promoters ha$e to upload pro(ect details on the re"ulators’ #ebsite Importantly, standard
definitions of terms mean that buyers #ill not feel cheated after ta)in" possession of a house In order to protect buyers
#ho pay upfront, a part of the money collected for a real estate pro(ect is rin"+fenced in a separate ban) account Also,
"i$en the uncertainty #hich e'ists in India on land titles, the real estate bill pro$ides title insurance !his bill has been
scrutinised by t#o parliamentary committees and its passa"e no# broo)s no delay
!his bill is an important step in cleanin" up the real estate mar)et, but the (ourney should not end #ith it State"o$ernments play a si"nificant role in real estate and they are often the source of problems Some estimates su""est
that real estate de$elopers ha$e to see) appro$als of as many as 6? central and state departments, #hich lead to delays
and an escalation in the cost of houses Sensibly, /DA "o$ernment’s pro(ect to pro$ide uni$ersal urban housin" forces
states to institute reforms to access central fundin" .ithout real estate reforms at the le$el of states, it #ill not be
possible to meet the ambition of ma)in" housin" accessible for all urban d#ellers
143
Retur! o) terror %! I!+o!es%a
The Lind# N ategory International
!he multiple terror attac)s in Ba)arta, the Indonesian capital, #hich left many dead, mar) the return of or"anised
Islamist $iolence to the country after a brief period !he Southeast Asian country #itnessed se$eral terror attac)sdurin" the last decade, includin" the 2??2 5ali bombin" that )illed o$er 2?? people 3ost of such attac)s #ere carried
out by the home+"ro#n terrorist "roup, Bemaah Islamiyah BI, #hich has lin)s #ith al+;aeda An effecti$e military
campai"n a"ainst the BI by the "o$ernment, alon" #ith US+model counter+terror strate"ies, helped Indonesia brea)
up the e'tremist net#or) and arrest the tide of terror stri)es 5ut recent attac), the first ma(or terror assault in the
country in si' years, has re)indled fears that e'tremists are re"roupin" themsel$es at a time #hen it is "oin" throu"h a
tou"h economic phase Indonesia has blamed Islamic State for the attac) !he apparent tar"et of the attac)ers #as a
do#nto#n mall #ith outlets of Starbuc)s and 5ur"er Hin", as #ell as a diplomatic >uarter in Ba)arta It’s e$ident that
the attac)ers #anted to inflict ma'imum dama"e, much the same #ay the 5ali tourist hotspot #as attac)ed 5ut the
plan didn’t succeed, accordin" to initial reports, as the "unmen #ere stopped at the mall and sent bac) to a police post,
#here they opened fire
!hou"h ma(or attac)s #ere halted after the 3alaysian leader of the BI #as )illed in a shootout in rural Indonesia in
2??<, Ba)arta has stepped up security measures in recent times in the #a)e of "ro#in" Islamist challen"es If militants
radicalised at home and trained in Af"hanistan posed security challen"es in 2???+?<, no# radicalised youth "et
military trainin" in Syria and Ira> undreds of Indonesians are estimated to ha$e tra$elled to Syria and Ira> to (oin
Islamic State !he "o$ernment has e'pressed concern that their return #ould reinforce the bro)en e'tremist net#or)s,
brin"in" bac) another phase of or"anised $iolence !here #as a massi$e crac)do#n on suspected Islamists on /e#
earGs e$e For the Islamists, Indonesia has al#ays been a hi"h+sta)es "ame !hou"h their influence amon" Indonesian
society is ne"li"ible and their net#or)s #ere bro)en up by the state, the latest attac)s sho# they still possess the
capability to hit life It is bad ne#s for the "o$ernment of 0resident Bo)o .idodo, #hich faces the challen"e of
re(u$enatin" an economy hit by a slo#do#n and fallin" commodity prices 3r .idodo, #ho came to po#er in 2?16,
has been tryin" to portray Indonesia as a peaceful, stable place to attract in$estments to fund "ro#th !error attac)s#ould certainly ma)e his (ob harder A bi""er challen"e is to pre$ent the return of attac)s alon" the model of the last
decade !o stop Islamists ma)in" inroads into the #orld’s lar"est 3uslim society, the "o$ernment has to ta)e on both
the e'tremist or"anisations and the e'tremists’ ideas 0resident .idodo should not let Islamists ha$e their #ay
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203
A (r%8$t +a*%!8 ra%!(ow
Pioneer N ategory International!he 3aithripala Sirisena %o$ernmentGs decision to )ic)+start the process to adopt a ne# Constitution for Sri an)a #ill
"ladden the hearts of those #ho had placed trust in the re"imeGs promise of s#eepin" chan"es in "o$ernance and
reconciliation #ith the !amil community Despite comin" from different parties, 0resident Sirisena and 0rime 3inister
Ranil .ic)remesin"he ha$e (oined hands in the ambitious tas), and it is "ood to )no# that both these leaders dra#
#idespread support from their respecti$e constituents in "oin" ahead !hey ha$e no option but to succeed because
they recei$ed public mandate for precisely that !hey cannot be seen "oin" the #ay the former re"ime led by 3ahinda
Ra(apa)sa had, promisin" the moon on the inte"ration of the Sri an)an !amil community de$astated by the #ar
bet#een the state and the terror "roup, iberation !i"ers of !amil &elam, in the lar"er national mainstream, but not
really emer"in" #ith credibility in the end One reason for the failure perhaps #as the complete lac) of trust bet#een
him and the !amil "roups 3r Sirisena came to po#er #ith a clean slate, althou"h he had been part of the Ra(apa)sa
%o$ernment before re$oltin" and brea)in" a#ay in the run+up to the presidential election last year 5ut the 0resident
and his 0rime 3inister may not necessarily ha$e an easy passa"e on the ne# Constitution, despite the o$er#helmin"
support the effort has amon" the people 5esides ha$in" to balance the interests of different sections of society and
ensurin" political stability to push the ne# document throu"h, the t#o leaders can ha$e to contend #ith the more
serious spoiler e'tremist elements across the socio+political spectrum #ho can e$en resort to unrest and $iolence to
derail the process Of course, the e'tremists #ill be dra#in" o'y"en from political leaders and parties too, and the
0resident and his team #ill ha$e to tac)le them diplomatically but firmly Finally, the entire effort could run into deep
trouble if certain pro$isions of the proposed Constitution are deemed unacceptable to si"nificant sections of the
sta)eholders Colombo #ill ha$e to de$elop a consensus, #hich is easier said than done
et, this #as the best time for be"innin" #or) on a ne# Constitution and ta)in" the process for#ard speedily 5oth 3r
Sirisena and 3r .ic)remesin"he en(oy the ad$anta"e of considerable political capital, but this is not an e$er+lastin"commodity Once, for #hate$er reasons, it be"ins to deplete, the t#o #ill find it increasin"ly difficult to effect
systemic chan"es in "o$ernance !he decision to ha$e a Constituent Assembly #hich #ill see) inputs not (ust
internally but from outside as #ell, to draft a broadly acceptable Constitution is #elcome !he "eneral contours are
)no#n reformin" the electoral system and abolishin" the e'ecuti$e presidency, besides others 5ut the de$il lies in
the details, and itGs here that the 0resident and his team #ill ha$e to #al) the tal)
213
I!&re'e!ta* ste7s !ot e!ou8$
The Lind# N ategory Defence
!he Defence Ac>uisition Council has appro$ed a re$ised Defence 0rocurement 0rocedure D00, aimed at boostin"
indi"enous defence procurement and encoura"in" better participation from the Indian pri$ate sector !he Council isheaded by Defence 3inister 3anohar 0arri)ar and includes )ey sta)eholders of the defence establishment Amon" its
)ey decisions is a proposal to introduce a ne# cate"ory of ac>uisition termed 5uy Indian or IDD3, indi"enous desi"n
de$elopment and manufacturin", #hich #ould become the most preferred ac>uisition cate"ory Under 5uy Indian,
domestically desi"ned e>uipment #ith 6? per cent indi"enous components or forei"n+desi"ned e>uipment #ith 8? per
cent local components #ill be considered !he ne# D00 has si"nificantly increased the offset threshold for forei"n
contracts from Rs 4?? crore to Rs 2,??? crore #ith 4? per cent of the contract $alue to be procured from #ithin India,
#hile it has certain pro$isions for encoura"in" 3icro, Small and 3edium &nterprises At first "lance, the D00 is an
incremental impro$ement o$er recent efforts to reduce India’s import dependence, #hich stands at 87 per cent of total
defence procurement, to help create a robust military industrial comple' #ithin the country
It is imperati$e that India succeeds at the earliest in creatin" a cuttin"+ed"e domestic military industrial base= no ma(or
nation state has transitioned to becomin" a de$eloped economy #ithout one Such a comple' #ould create not only
latest #ar machines but also hothouse inno$ations and technolo"ies to impro$e o$erall scientific capabilities, and
ma)e India self+reliant at least in critical areas If the ambition is to truly ma)e 3a)e in India a reality in the defence
sector, then the D00 falls si"nificantly short of e'pectations 3any pri$ate sector participants ha$e been fla""in" a host
of issues, and inbuilt biases a"ainst indi"enisation !here are t#o )ey impediments to India’s pri$ate sector becomin"
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acti$e participants in defence R-D and production= the monopoly en(oyed by defence public sector units D0SUs, and
the fa$ours that forei"n suppliers en(oy D0SUs are the #or)horses of the sector as #ell as the bi""est dra" on
indi"enous military research A si"nificant number of them are merely assemblin" forei"n )its %i$en India’s o$er+
dependence on forei"n military $endors, se$eral biases ha$e crept in fa$ourin" them in procurements A forei"n
$endor "ets most of his payment on self+certification of pro(ect pro"ress, #hile Indian $endors ha$e to #ait for a
"o$ernment inspector’s certification, #hich can delay payments by se$eral months A forei"n $endor en(oys upfront
customs duty e'emption, #hile the e'cise duty e'emption for a local supplier is a reimbursement months after he has
supplied an item !he ne# D00 may #or) to#ards e'pandin" the number of participants in military tenders, but it
may not help dramatically impro$e the present en$ironment for all participants %oin" by the present trend, the Q1??
billion and more that India #ill spend o$er the ne't decade #ill mostly end up in forei"n mar)ets 0olitical boldness
and radical reform are needed in defence procurement /either is $isible in the ne# D00
223
9a!8*a+es$’s Is*a'%st &$a**e!8e
The Lind# N ategory International
!he death sentence handed out to t#o students recently for the murder of a secular blo""er in 5an"ladesh mar)s the
first ma(or $erdict in a strin" of cases related to the )illin"s of #riters in the South Asian nation Ahmed Ra(ib aider
#as hac)ed to death by machete+#ieldin" attac)ers in February 2?14 !he (ud"e at a fast+trac) court found that the t#o
students and another man #ere "uilty of murder and con$icted another fi$e people on lesser char"es aider’s murder
had opened a ne# phase of $iolence in 5an"ladesh’s contemporary history A number of secular #riters ha$e been
tar"eted by Islamists e$er since In 2?17 alone, fi$e #riters #ere )illed in the country 5lo""ers are $ictims of an
on"oin" conflict bet#een the country’s secular establishment and Islamist factions !he A#ami ea"ue "o$ernment’s
decision to open a trial of the #ar crimes committed durin" the country’s 1<91 liberation #ar did not "o do#n #ell
#ith Islamists !he con$iction of some of the leaders of the opposition parties such as the 5an"ladesh /ationalist 0artyand the Bamaat+e+Islami made matters more complicated &'tremist sections are steadfastly opposed to the trial, but
they lac) the political capital to build a popular resistance a"ainst it !herefore, they turned to#ards $iolent protests
a"ainst the #ar crimes trial, #hich created serious la# and order problems in the country
It #as a"ainst this bac)"round that ri"ht+#in" frin"e "roups such as the Ansarullah 5an"la !eam started tar"etin"
#riters !he blo""ers, #ho consistently campai"ned a"ainst the #ar criminals and demanded their e'ecutions, in$ited
the #rath of Islamists !he "o$ernment of 0rime 3inister Shei)h asina had initially faced criticism for not doin"
enou"h to stop $iolence a"ainst #riters /o#, #ith a relati$ely fast conclusion of the trial of aider’s murder case and
the passin" of the hi"hest possible punishment to the con$icts, the "o$ernment appears to be uppin" the ante a"ainst
the Islamists !he "o$ernment’s resol$e to brin" the attac)ers to boo) is timely 5ut at the same time there are
>uestions o$er the #orsenin" security situation #hich allo#s the e'tremists to carry out attac)s and, more important,
the "o$ernment’s increased reliance on the death penalty to address the Islamist threat Dha)a’s primary challen"e is
to pre$ent any such incidents ta)in" place a"ain Islamists ha$e apparently issued a hit listT of blo""ers, threatenin"
to )ill them all %i$en the recent cycle of $iolence, the latest $erdict could tri""er more attac)s by e'tremist "roups !he
"o$ernment should not lo#er its "uard As re"ards the death penalty, it is #orth notin" that the han"in" of #ar
criminals has done little in #ea)enin" Islamist politics in the country &$en in the case of blo""ers murders, lon"
prison terms #ould be ideal #hich #ould not only stren"then the "o$ernment’s moral position in this conflict #ith
Islamist radicals, but #ill also #ea)en the latter’s narrati$e that the state is #a"in" a #ar a"ainst them 5an"ladesh
needs a comprehensi$e strate"y to fi"ht Islamists, because the latter’s tar"et is not merely #riters, but the country’s
secular polity itself
23
Roa+ to ;a!+a*a"
The Indian ;press
N ategory India and :orld
!he oo) &ast policy brin"s fresh cheer for the ne# year, as the road to 3andalay seems to lie open and a >uic) dri$e
across to Chian" 3ai is no lon"er the stuff of #istful ima"ination 5y 3arch, the "o$ernment is e'pected to in) an
a"reement for road transport $ia a hi"h#ay bet#een India, 3yanmar and !hailand Alon" #ith the ob$ious benefits
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to the mobility of "oods and labour in the eastern re"ion, there is diplomatic capital to be made !he Chinese had
endeared themsel$es in the lands to our east by impro$in" local hi"h#ays and connectin" them #ith their o#n
hi"h#ay system, openin" up traditionally inaccessible parts of the hinterland to international traffic !hai and Bapanese
interests ha$e mo$ed into 3yanmar no#, but India al#ays has the opportunity to for"e stron"er lin)s on the stren"th
of pro'imity and specific needs, such as medical tourism
!he Imphal+3andalay bus ser$ice, proposed in 2?12, can finally see the "reen li"ht some#here in the middle distance
!he proposal to connect #ith the leadin" city of north 3yanmar, #hose $ery name is laden #ith historical associations
for many Indians, has been cleared by the Indian ministry of e'ternal affairs /o#, correspondin" clearance is a#aited
from its 3yanmarese counterpart, after #hich the 5order Roads Or"anisation #ill set to #or) impro$in" road >uality
on the other side of the border
South Asia needs to recapture the spirit of old, #hen a hi"h#ay ran across its breadth from 0esha#ar to Dha)a !oday,
the domain in our re"ion across #hich "oods, ser$ices, labour and tourists could flo# ran"es from Af"hanistan to
Kietnam, and includes s#athes in #hich Chinese interests ha$e been acti$e for years For too lon", India has li$ed #iththe an'iety of bein" encircled by Chinese assets !he Imphal+3andalay road can ser$e as the seed of an open+handed,
open+hearted outreach pro"ramme #hich can clear the air and impro$e the basis on #hich the t#o ma(or po#ers of
the re"ion relate to each other
23
F%e*+ *esso!s
The Indian ;press
N ategory ;conomy
A Reser$e 5an) of India R5I+constituted committee has called for phasin" out interest subsidy on short+term
a"ricultural loans and for plou"hin" bac) the sums sa$ed into an affordable uni$ersal crop insurance scheme for
farmers !he recommendation ma)es sense for at least t#o reasons First, for most farmers, it isn’t the cost but the
a$ailability of credit that is the real problem/ational Sample Sur$ey data sho#s ban)s and cooperati$e societies account for only 799 per cent of outstandin"
loans of farmin" households, #ith the rest mainly representin" borro#in"s from pri$ate moneylenders and traders,
often at annual interest of 26 per cent or more !he dependence on informal credit sources is, moreo$er, pro"ressi$ely
hi"her #ith a reduction in landholdin" si*e Second, farmin" is increasin"ly bein" done by tenant culti$ators
sharecroppers Since these are lar"ely based on informal lease arran"ements, the tillers in this case, too, are cut off from
the formal credit system, #hich means it matters little #hether crop loans from ban)s are bein" e'tended at < per cent
or 6 per cent
!here is a stron" case, then, to focus more on au"mentin" credit a$ailability from the ban)in" system, more so to co$er
small and mar"inal farmers as #ell as landless culti$ators a"ainst tenancy lease certificates Farmers, unli)e salaried
employees or most businessmen, recei$e no re"ular monthly income !hey typically ha$e lumpy re$enue streams from
the sale of one or t#o crops a year 5orro#in"s that includes crop loans are #hat sustains their consumption
round the year In such a scenario, access to timely credit at reasonable cost is #hat counts .hen the formal ban)in"
system is unable to deli$er that, the farmer is forced to "o to the moneylender, leadin" to the familiar story of
indebtedness
!here is no e$idence that the Centre’s interest sub$ention scheme, in place since 2??8+?9, has reduced farmer
indebtedness !he latter, if anythin", has only "one up, especially in the last t#o years, #ith bac)+to+bac) monsoon
failures and crash in crop prices impactin" farm incomes !he star)est manifestation of it is in 3aharashtra’s
3arath#ada re"ion, #hich alone sa# o$er 1,1?? farmer suicides in 2?17, cappin" #hat has been horrible year for
Indian a"riculture
!hat lin)s up #ith the committee’s second recommendation to institute a uni$ersal crop insurance scheme startin"
#ith small and mar"inal farmers #ith a monetary ceilin" of around Rs 2 la)h !he Rs 14,??? crore that the Centre isspendin" annually on interest sub$ention for crop loans can be redirected to#ards subsidy on insurance premium If
farmers ha$e insurance protection a"ainst crop loss and price slumps #ith prompt claims settlement enabled by
satellite ima"ery, handheld %0S %lobal 0ositionin" System de$ices, drones and other technolo"y+based solutions for
assessin" dama"e and access to formal credit channels, they are less li)ely to be dri$en to despair and suicide
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2G3
A +a!8erous es&a*at%o!
The Lind# N ategory International!he e'ecution of Shei)h /imr al+/imr, an influential Shia cleric, by Saudi Arabia has e'pectedly led to a flare+up of
sectarian passions in .est Asia Shei)h /imr #as the most prominent reli"ious leader of the Hin"dom’s Shia minority,
#hich has lon" been sub(ected to institutionalised se"re"ation by the Sunni monarchy of the al+Saud family e #as
the dri$in" force behind the 2?11 protests in the country’s east, inspired by Arab Sprin" protests else#here 3oreo$er,
Shei)h /imr #as a respected cleric amon" the Shia community in "eneral e had spent years in Iran’s Shia
seminaries !ehran had repeatedly as)ed Riyadh to pardon him 5y e'ecutin" him, i"norin" all those pleas, Saudi
Arabia has dan"erously escalated its ri$alry #ith Iran .ithin days, the stand+off has sno#balled into a full+blo#n
diplomatic crisis #ith sectarian o$ertones Saudi missions in !ehran and 3ashhad #ere ransac)ed by protesters In
return, Saudi Arabia, 5ahrain and Sudan ha$e cut diplomatic relations #ith Iran, #hile the United Arab &mirates has
do#n"raded ties
.est Asia is already #itnessin" sectarian conflicts Ira>, #hich is torn apart on sectarian lines, is ta)in" baby steps
under the ne# 0rime 3inister, aider al+Abadi, to rebuild national unity !he country #itnessed a bloody phase of
sectarian strife in the aftermath of the US in$asion 0arts of the country, includin" the second lar"est city, 3osul, are
still under the control of Islamic State, #hich is carryin" out a systematic campai"n a"ainst non+Sunni reli"ious
"roups In emen, the Shia outhi rebels are fi"htin" forces loyal to a Saudi+protected "o$ernment led by Sunnis In
5ahrain, the #ounds of a Shia rebellion #hich #as crushed by a Sunni monarch #ith the help of the Saudis are still not
healed 5y e'ecutin" Shei)h /imr, Riyadh has poured oil into this sectarian fire, for #hich the re"ion #ill ha$e to pay
a hu"e price For decades, one of the main sources of instability in .est Asia has been the cold #ar bet#een Saudi
Arabia and Iran !hou"h the ultimate "oal of both nations has been re"ional supremacy, they use sectarianism as a
$ehicle to ma'imise their interests .hile Riyadh has the support of Sunni monarchs and dictators in the Arab #orld,
Iran is ali"ned #ith Ira> and Syria, besides its pro'ies such as e*bollah in ebanon and the outhis in emen !hissets the sta"e for a dan"erous Shia+Sunni conflict across the re"ion Unless tensions are dialled do#n bet#een these
t#o hea$y#ei"hts, there #ill not be peace in .est Asia 5oth the US and Russia, allies of Saudi Arabia and Iran
respecti$ely, ha$e called for calm 3osco# has reportedly offered to mediate bet#een Riyadh and !ehran !he US
and Russia should use their influence to rein in further escalation of tensions Unchec)ed, the Saudi+Iran ri$alry could
plun"e the re"ion, already torn apart by in$asions, ci$il #ars and terrorism, into further chaos
263
F*ow%!8 out
The Indian ;press
N ategory ;conomy
Since 3ay, forei"n portfolio in$estors F0I ha$e been net sellers in Indian stoc) mar)ets practically e$ery month
barrin" t#o, Buly and October Durin" the year (ust ended, their net in$estment in e>uities here #as (ust under Q42billion, compared to Q181 billion for 2?16 5ut the outflo#s seen o$er the last ei"ht months or so aren’t comparable to
the hu"e F0I sell+off that happened durin" Bune+Au"ust 2?14, #hich also sa# the rupee slide belo# Rs 8: to the dollar
!he latter had to do #ith reasons that #ere India+specific, related to the country’s seemin"ly intractable current
account and fiscal deficit problems, coupled #ith concerns o$er the then U0A re"ime’s policy paralysis and the
Kodafone retrospecti$e ta' mess !he current F0I sellin", by contrast, is not as much about India !rue, there are no
tan"ible si"ns of a "ro#th and in$estment pic)+up yetN nor has the present "o$ernment deli$ered on bi"+tic)et reforms
et, India’s macroeconomic indicators are better than most emer"in" mar)et economies’ &3&s today and the t#in
deficitsT no lon"er pose the #orry they did t#o years a"o
!he F0I sell+off happenin" no# is mainly on account of lar"escale redemptions by so$erei"n #ealth funds S.F,
especially from some of the oil+rich economies !he slump in "lobal oil prices has resulted in diminishin" surpluses
that these nations #ere funnellin" into &3&s throu"h S.Fs 5ut #ith their o#n finances no# under pressure, the
S.Fs are compelled to redeem their in$estments !hat, alon" #ith the US Federal Reser$e raisin" interest rates and
concerns o$er a deepenin" Chinese slo#do#n, has led to ris) a$ersion amon" "lobal in$estors, tri""erin" outflo#s
from all &3&s India is not bein" sin"led out in this case, unli)e in 2?14, #hen it #as particularly $ulnerable to capital
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outflo#s follo#in" the Fed’s first indications of endin" its e'traordinary monetary stimulus or >uantitati$e easin"
pro"ramme
Si"nificantly, the Indian mar)ets ha$en’t fallen all that much this time, despite all the F0I sellin" One reason is the
control on inflation, #hich has dri$en e$en local in$estors to mo$e a#ay from deployin" money in "old or real estate
to financial sa$in"s instruments !his is reflected not (ust in ban) deposits "oin" up, but also a 2? per cent annual
increase in assets under the mana"ement of domestic mutual funds !hat is, of course, a healthy trend pro$idin"
insulation for the mar)ets a"ainst the sell+off by F0Is 5ut this should not be reason for complacency or blamin" the
hostile #orld economic en$ironment for continuin" #ea) "ro#th and in$estment acti$ity at home Accordin" to
"lobal fund mana"ers, India today holds the potential to attract dedicated flo#s, rather than bein" lumped to"ether
#ith other &3&s, if only the 3odi "o$ernment is able to push throu"h more decisi$e reforms !hey are not #ron"
23
A** )or t$e 8a'e
!he Indian &'press
E Cate"ory= Sports
In his report, Bustice R3 odha bro)e his mandate do#n to t#o fundamental >uestions= .hether this #ill benefit the
"ame of cric)etMT And, .hat does the Indian cric)et fan #antMT !he odha Committee has su""ested s#eepin"
chan"es that promise to cleanse Indian cric)et 3ore player po#er, lessenin" of the influence of politicians, ti"htenin"
of the $otin" system #ithin the board, addressin" the "rie$ances of cric)et fans, possible inclusion under the ambit of
the R!I and le"alisin" bettin" are some of these radical steps
It’s not the end of politicians’ control o$er cric)et, of course, as only those #ho are ministers ha$e been barred from
holdin" a post in the 5CCI 5oard of Control for Cric)et in India and state associations /e$ertheless, this is an
important step, especially #hen combined #ith the recommendation that an official can only hold a post cumulati$ely
for nine years as that #ould #eed out many $eteran politicians #ho ha$e been in$ol$ed in cric)et administration !he
balance of po#er has tilted to#ards the players and it’s apt here to record the obser$ations of Bustice 3u)ul 3ud"al,#ho had tabled a report of his o#n on spot+fi'in" and corruption in cric)et= Bust because he is a player, he isn’t an
an"elT /e$ertheless, as dri$ers of the sport #here they are treated as subordinates to administrators, the rise of
players can only be #elcomed !he su""estion that e$en the players can’t hold t#o consecuti$e terms, and #ill be
monitored and assisted by an ombudsman, #ho #ill address the disputes in administration, an ethics officer, #ho #ill
ta)e care of conflict of interest issues, and an electoral officer, #ho #ill o$ersee elections, should address the concern
about po#er corruptin" the players !he inclusion of #omen in the inner circle can help #omen’s cric)et 5ut
hopefully, their role #on’t be restricted to #omen’s cric)et it’s the old boy’s club that has led to the present crisis
Often, in the election of the 5CCI president, a candidate #ould use the *onal rotation policy to influence small
associations in his *one #ith fa$ours and come to po#er e$en if the ma(ority of the 5CCI #as opposed to him !hat
s)uldu""ery #ill end no# i)e#ise, the re>uirement that selectors be former Indian cric)eters and untethered to any
*onal restriction #ill allo# them to be unbiased in theory !he po#er of the president to $eto any selection has also
been ta)en a#ay Also, the formation of a players’ association India bein" the only lar"e country that doesn’t ha$e a
players’ body can only benefit the "ame at lar"e !he odha Committee has also loo)ed beyond the 5CCI in an
effort to clean up it has re>uested 0arliament to le"alise bettin" and re+initiated debate on the R!I Ri"ht to
Information Under its current head, Shashan) 3anohar, it has sho#n )eenness to clean cric)et !his commitment #ill
be tested by its reaction to the comprehensi$e clean+up proposed by the odha Committee
23
%!+s o) &$a!8e: Ta%wa!’s s$%)t%!8 7o*%t%&s o7e!s t$e +oor to 8reater I!+oTa%wa!ese
&oo7erat%o!
Times of India
N ategory India and :orldIn a historic election in !ai#an, !sai In"+#en has become the first #oman president in the Chinese+spea)in" #orld
!he result, #hich mar)s a si"nificant political shift for the &ast Asian island state, also holds out important "eopolitical
implications For the last ei"ht years !ai#an’s rulin" Huomintan" party has follo#ed a policy of en"a"ement #ith
China that’s seen relations across the !ai#an Strait impro$e 5ut !ai#an’s o#n economic slo#do#n coupled #ith a
"ro#in" income "ap led to resentment a"ainst Huomintan"’s pro+China policies
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months from no# 0olitical parties sto)ed popular sentiment in fa$our of re$i$in" (alli)attu by demandin" measures
to circum$ent the (udicial bar !he rulin" 5haratiya Banata 0arty at the Centre, loo)in" to find a foothold in the political
fray in !amil /adu, made a calculated mo$e by amendin" a 2?11 notification that pre$ented bulls from bein"
e'hibited or trained as performin" animals, by e'emptin" bulls deployed in (alli)attu and cart+racin" from its pur$ie#
!he party #ill no# ha$e to li$e #ith the criticism that it )ne# that the notification #ould be stayed, and all it #as
loo)in" for #as some political capital
!he Centre #ill ha$e to e'plain #hy it tried to "et around a court $erdict throu"h a mere e'ecuti$e notification, #hen
it is common )no#led"e that it can be done only throu"h le"islation that remo$es the basis for the (ud"ment and not
merely by t#ea)in" some re"ulations !amil /adu Chief 3inister Bayalalithaa has no# ur"ed the Centre to
promul"ate an ordinance to sa$e the traditional sport, but e$en that may be no solution !he la# laid do#n by the
Supreme Court is fortified by se$eral le"al formulations In a harmonious readin" of animal ri"hts in the conte't of the
Uni$ersal Declaration of Animal .elfare UDA., the pro$isions of the 0re$ention of Cruelty to Animals Act and the
Constitution, the court has ruled that animals ha$e a ri"ht a"ainst human bein"s inflictin" unnecessary pain andsufferin" on them In effect, the entire sport has been declared $iolati$e of the la# a"ainst cruelty !reatin" animals in a
humane, non+e'ploitati$e #ay is no# a constitutional re>uirement for any e'ecuti$e action related to them !he State’s
earlier re"ulatory Act on (alli)attu #as dismissed as an anthropocentric la# that #as repu"nant to the eco+centric la#
a"ainst cruelty to animals Instead of continuin" this artificial confrontation bet#een tradition and modern la#, !amil
/adu #ould do #ell to stop spearheadin" the cause of (alli)attu, #hich is but a relic of a feudal past
13
R%8$t tra&-
The Indian ;press
N ategory !ation
A"artala #as the second northeastern city to "et on India’s metre+"au"e rail#ay map in the 1<<?s, but only no# can it
loo) for#ard to (oinin" the mainstream !he first broad+"au"e locomoti$e has rolled into the capital of !ripura on atrial run, "aily decorated, li)e a /e# ear’s present Follo#in" further safety inspections, passen"er ser$ices #ill
commence in 3arch, and tra$ellers #ill be able to ride directly to Hol)ata and points #est and south A bus ser$ice
already connects the t#o cities, #hich are (oined in spirit by a lon" history of communist rule, but the route cuts
throu"h 5an"ladesh !his e'cludes tra$ellers #ithout passports, #hich means most Indians on the mo$e For non+
passport holders #ho cannot afford airfares, the ne# rail lin) #ill be crucially important
It mar)s the first step in a lon" o$erdue pro(ect, deadlined for 2?2?, to connect the capitals of all the northeastern states
to the rest of India #hich, politically incorrectly, is spo)en of as the mainlandT &$en before that, by 2?19, a line #ill
be laid to A)haura in 5an"ladesh, #hich #ill offer throu"h connecti$ity all the #ay to Chitta"on" In about the same
time, another line to the 5an"ladesh border throu"h the South district of !ripura #ill be laid !hese lines #ill assume
si"nificance in the comin" decades, #hen international rail lin)s throu"h Asia are e'pected to play lar"e roles in trade
and tourism, leachin" traffic a#ay from air and road net#or)s
!he political impact could be e$en more $aluable than the efficiencies offered by rail transport !he rail#ay system has
ser$ed India as a "reat unifier, bindin" to"ether di$erse cultures in a #eb of steel /o#, the fact that tra$ellers to and
from A"artala #ill not ha$e to chan"e lines at umdin" Assam, the old metre "au"e terminus, #ill reduce the
psycholo"ical distances #hich seem to se>uester the /ortheast
23
A Kust ee'7t%o!
The Indian ;press
N ategory ;conomy
!he "o$ernment is reportedly considerin" e'emptin" fund #ithdra#als under the /ational 0ension System /0S
from ta'ation If this proposal from the 0ension Fund Re"ulatory and De$elopment Authority 0FRDA does comethrou"h in the ensuin" Union bud"et, it #ould be a #elcome step Currently, subscribers’ contributions to the /0S as
#ell as interest earned durin" the accumulation phase are ta'+e'empt 5ut #ithdra#als from the scheme attract ta',
#hich is not the case #ith the &mployees’ 0ro$ident Fund, 0ublic 0ro$ident Fund 00F, or e$en e>uity+lin)ed sa$in"s
scheme in$estments that en(oy e'emption at all three sta"es Such differential ta' treatment ma)es no sense, especially
#hen the /0S is a social security scheme unli)e the 00F, #hich is a pure interest+earnin", ta'+sa$in" instrument
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Correctin" this anomaly #ould "o some #ay in ma)in" the /0S more attracti$e= Currently, out of its assets under
mana"ement of Rs 1?: la)h crore, almost <? per cent are accounted for by Central and state "o$ernment employees
#ho ha$e to compulsorily subscribe to the scheme
5ut that is not the only reason Unli)e the .est and in many other countries, India has no real social security scheme,
more so for the unor"anised and informal sector that ma)es up about :: per cent of its total #or)force !hese #or)ers,
and also "o$ernment employees enterin" ser$ice after 2??6, ha$e to build their o#n retirement nest e""s !he /0S is
one such a$enue for citi*ens to par) hard+earned sa$in"s "enerated durin" their #or)in" life !he least the
"o$ernment can do to help this $ast ma(ority is not ta' these accumulations at the time of #ithdra#al It is only fair
that those #antin" to pro$ide for themsel$es #ithout relyin" on "o$ernment lar"esse should be "ranted complete ta'
e'emption at contribution, earnin"s and the final corpus sta"e
!he remo$al of uncertainty o$er ta' treatment on #hat can be a "enuine lon"+term social security scheme is, moreo$er,
important for a country that desperately needs to build roads, rail#ay lines, po#er plants, #ater supply, sanitation
and other infrastructure !hese pro(ects typically ha$e lon" "estations, #hile offerin" no immediate returns For thatreason, they can only be funded by lon"+term sa$in"s .hile forei"n direct in$estment, includin" o$erseas pension
funds, could be one source, the bul) of it, thou"h, has to be "enerated internally from #ithin the country India is
today in a demo"raphic s#eet spot, #here it has a lar"e population that is of #or)in" a"e and can pro$ide these lon"+
term financial sa$in"s !he /0S should be ta'+enabled to facilitate that
3
CI a 7oor 'o!etar" 7o*%&" #ar%a(*eP o!*" &o!sta!t 'ust (e t$e sta(%*%t" o(Ke&t%#e
;conomic Times N ategory ;conomy
/iti Aayo" $ice+chairman Ar$ind 0ana"ariya #ants India’s monetary policy to mo$e a#ay from tar"etin" the
consumer price inde' C0I !his echoes an earlier remar) by chief economic ad$iser Ar$ind Subramanian R5I
"o$ernor Ra"huram Ra(an remains firmly focused on reinin" in inflation as measured by the C0I e has cut the policyrate by 127 percenta"e points in 2?17, but says further cuts depend on fiscal consolidation and inflation trends
&conomy #ide inflation, as measured by the %D0 deflator, has been flat for some time, and the #holesale price inde',
ne"ati$e !he "ro#th rate of the economy has slipped belo# the nominal yield on "o$ernment debt
If the additional output "enerated is lo#er than the cost of producin" that output, a company #ould simply #ind up
!he nation does not ha$e that option Its option is to increase additional output, that is, the rate of "ro#th Of course,
"ro#th is not a function of the interest rate alone 5ut there is e$ery reason, at a time #hen in$estment in the economy
is some ei"ht percenta"e points of %D0 belo# its historic pea), to ma)e sure that the cost of capital does not constrain
in$estment Inflation, of course, must be reined in 5ut consumer prices, #ith a hu"e #ei"hta"e for food and fuels, are
not a "ood pro'y for demand A drou"ht, a flood or a bli"ht can #ither crops and send food prices shootin" up, in our
economy #ith its poor stora"e and food processin" facilities !o dampen o$erall economic acti$ity (ust because supply+
side factors ha$e raised food prices ma)es no sense !he R5I must rethin) the C0I as its monetary policy $ariable
In the "lobalised #orld, macroeconomic stability is a function of many thin"s, includin" sudden sur"es in capital
flo#s, asset price s#in"s and financial instability Central ban) policy must address all these, and not (ust inflation $ia
an unrepresentati$e inde' Abandonin" a declared tar"et policy $ariable, adopted only recently, mi"ht seem
inconsistent 5ut then, consistency is a $irtue for trains, not policy, #hich must be dynamic, to suit the demands of a
#orld in flu'
3
I!+%a’s strate8" )or t$e !ear west
The Lind# N ategory India and :orld
.ith a series of hi"h+profile $isitors and $isits planned, /e# Delhi is indicatin" its focus on .est Asia in the comin"year, #ith 0rime 3inister /arendra 3odi e'pected to tra$el to Saudi Arabia, Israel, 0alestine and possibly Iran
eaders from those countries and more are e'pected to come to Delhi as #ell !he rene#ed interest from India is
#elcome, and indicates the importance this re"ion holds for it In addition, it is important that the "o$ernment be"ins
to e'plore options beyond bilateral relations #ith countries of this re"ion, as India bids for a place as a permanent
member of the U/ Security Council !his is not a re"ion India can afford to ta)e its eyes off !he e'plosi$e discord
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bet#een Iran and Saudi Arabia despite Iran’s landmar) a"reement #ith the 07[1 China, France, Russia, the United
Hin"dom, and the United StatesN plus %ermany countries does not au"ur #ell for the future of the re"ion as a #hole,
"i$en that each country has specific areas of influence in it !he de$astation of emen caused by Saudi Arabian stri)es
and fi"htin" on the "round hint #here that conflict could lead !he spread of Islamic State may ha$e been stopped due
to bombin" raids by the US coalition in Ira> and the Russian support to Syrian troops in Syria, but this is by no means
a solution !he Israel+0alestine conflict has the potential to spar) more tensions in this re"ion at any "i$en time, and
the bur"eonin" numbers of refu"ees fleein" the $iolence from Syria, ibya, emen, Ira> and nei"hbourin" areas pose
another potential threat to stability in the re"ion and in countries #here these hapless communities are forced to ta)e
shelter
%i$en the po#der )e" that the re"ion no# stands on, can India ha$e a hands+off approach, and focus only on its
bilateral interests in the re"ionM !o be"in #ith, the .A/A .est Asia, /orth Africa re"ion is home to more than
se$en million Indians #ho account for more than half of all remittances to India, addin" up to Q9? billion India’s
ener"y dependence on the re"ion is another reason for deeper en"a"ement !he turmoil of the past fe# years in Ira>,ibya, Syria and emen has unleashed untold sufferin"s on Indians #or)in" there India cannot afford to i"nore this
peril, or simply issue ad$isories for citi*ens not to "o there It #ill ha$e to ta)e a deeper interest in resol$in" the
re"ional conflicts Sendin" troops to these areas is not an option %i$en the "ood#ill it en(oys, and India’s reputation of
neutrality, it #ould be desirable for 0rime 3inister 3odi to use his outreach in .est Asia as an interlocutor for
dialo"ue instead .hen si"nin" the landmar) (oint strate"ic $ision document #ith the US to monitor the South China
Sea re"ion, officials had pointed to India’s mandate for a role in upholdin" international rule of la# 3uch the same
lo"ic #ould apply for India’s role in .est Asia, one that is commensurate #ith its o#n ambitions on the #orld sta"e
G3
ro!8 (*e!+
Lind# 0#siness >ine
N ategory ;nergyIndia’s su"ar industry is reelin" under a "lut, cane dues to farmers are at a hi"h and the country has (ust committed to
reducin" its reliance on fossil fuels at the 0aris climate tal)s All this is ideal for the country’s ethanol+blended fuel
pro"ramme &50 to ta)e off !he processin" of e'cess cane into ethanol can reduce the su"ar industry’s surpluses,
"enerate hi"her incomes for both mills and farmers, and reduce reliance on imported crude to sa$e forei"n e'chan"e
5ut despite a stron" case in fa$our of the &50, it has been mired in problems from the day it #as fla""ed off a decade
a"o
!he roadbloc)s faced by !amil /adu’s su"ar mills in increasin" their supplies to the &50 are symptomatic of #hat ails
this initiati$e Faced #ith surplus cane for the fourth consecuti$e year, the State’s su"ar mills e'pect to be saddled #ith
nearly 29 crore litres of alcohol, as a by+product of cane crushin", this season 0articipatin" in the tenders floated by the
oil firms #ill allo# them to li>uidate these stoc)s and bolster their realisations 5ut #hat stands in the #ay of their
rampin" up ethanol output is the 7?+la)h+litre production cap imposed by the State "o$ernment for supplies to the
&50 !his production cap is clearly dri$en by the State’s commercial interest in ensurin" that its li>uor industry ne$er
runs dry on potable alcohol suppliesN after all, li>uor chips in #ith a third of its ta' re$enue %i$en that !amil /adu’s
su"ar mills churn out alcohol #ell in e'cess of the li>uor industry’s needs, the State can rela' this cap #ithout
materially hurtin" li>uor manufacturers !he tu"+of+#ar bet#een the li>uor lobby, the State "o$ernment and other
$ested interests in the su"ar economy is not uni>ue to !amil /adu Other lar"e su"ar+producin" States in India
Uttar 0radesh and 3aharashtra ha$e e>ually draconian la#s in place, from restrictions on inter+State mo$ement of
molasses, to hi"h entry ta'es, to the @reser$ation’ of molasses output for first+use by the li>uor barons !he Centre
should realise that #ithout the States untan"lin" these con$oluted rules, it cannot hope to ma)e a success of the &50
!o be fair, the /DA "o$ernment has ta)en many more steps than its predecessors to ma)e a "o of this pro"ramme
ast year, it resol$ed the bic)erin" bet#een oil companies and su"ar millers on ethanol pricin" It streamlined thetenderin" process, hi)ed the mandatory blendin" >uota from 7 to 1? per cent, and lin)ed its su"ar subsidy pac)a"e to
ethanol supplies o#e$er, for ethanol blendin" to really ta)e off, both the su"ar industry and oil companies #ill ha$e
to stop treatin" this as an opportunistic business that they #ill either ta)e up or i"nore, dependin" on the commodity
cycle !he Centre, on its part, needs to seriously e'amine if the 5ra*ilian model of allo#in" su"ar millers to s#itch
freely bet#een su"ar and ethanol based on their relati$e economics can be adopted in India
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enforcement of buildin" byla#s and ne"lect of #ea) structures ha$e become the norm !his must chan"e if #e are to
"uard oursel$es from bi" earth>ua)es
!he /ational Disaster 3ana"ement Authority #as set up after the 5hu( earth>ua)e in 2??1 o#e$er, acti$ation of
state nodal a"encies and local disaster mana"ement units has seen lac)lustre pro"ress Unless all states ha$e a clear
blueprint of ho# to secure )ey roads and communication infrastructure, s#iftly deploy rescue units across districts
and >uic)ly pro$ide relief to $ictims, casualties from bi" >ua)es can’t be )ept do#n 5ut most of all, there’s a need to
fi"ht the mindset that earth>ua)e+related catastrophes happen to @others’ For 3anipur could easily be follo#ed by
Srina"ar or Delhi
3
Caut%o! o! Free 9as%&s
The Lind# N ategory &cience and Technology
@Free’ and @altruism’ are #ords that "enerally ha$e a positi$e rin" to them 5ut it’s clear that social media behemothFaceboo)’s Free 5asics pro"ramme, #hich it pitches as an altruistic endea$our to pro$ide the ha$e+nots a brid"e to the
Internet for free, fails to e$o)e such a feel /ot #ithout reason, thou"h For starters, as critics ha$e repeatedly pointed
out, there is a hu"e difference bet#een bein" a "ate#ay to the Internet and bein" a "ate)eeper to the Internet, and Free
5asics #orryin"ly has all the ma)in"s of the latter So, it does ha$e the potential to trap subscribers in the metaphorical
#alled "ardenT, #hat #ith the immensely popular Faceboo) thro#n into the free mi' of offerin"s !hat the #hole
pac)a"e is offered free hardly surprises anyone #ith e$en a little )no#led"e of ho# business models in the di"ital
#orld #or) Free, by the #ay, is a business model that deli$ers returns in an uncon$entional #ay !here mi"ht be
many $ariations of it but basically it is about accumulatin" millions and millions of ne# users by offerin" products
free, in the hope that the build+up could be mil)ed for re$enue in the years to come !hat’s the same tactic many start+
ups use to sho# tractionT #hile pitchin" to bi" moneyed $enture capitalists
And #here do you find an unrestricted Internet economy #ith millions yet untappedM es, India !here can be $erylittle doubt that the ha$es+ha$e+nots di"ital di$ide in India is star), and needs to be brid"ed as soon as possible Credit
is due to Faceboo) for identifyin" this need and brin"in" a sense of ur"ency to addressin" it Credit is also due for the
#ay its youn" founder 3ar) Luc)erber" has fou"ht do""edly for the idea’s acceptance It is close to a year no# since
he launched Internetor", the earlier a$atar of Free 5asics, in India And durin" this period, there has ne$er been a dull
moment in the e'chan"es bet#een the critics of Free 5asics and Faceboo) As it stands, the !elecom Re"ulatory
Authority of India, the re"ulator, has as)ed Faceboo)’s Free 5asics partner in India, Reliance Communications, to put
the ser$ice on hold !he social media "iant, sho#in" little si"n of bac)in" off, has done all that it can t#ea)ed its
dimensions, launched a comprehensi$e ad$ertisin" campai"n, and "ot its charismatic founder to pen articles to "et
political and social acceptance to the idea It’s both impressi$e and unsettlin" at the same time #hen one thin)s about
ho# a corporate, $alued at o$er Q4?? billion, can spend so much money and effort on a contro$ersial pro(ect that is not
e$en a$o#edly a pure business $enture !he problem has reached the doorsteps of policyma)ers !hey ha$e to not
only decide the fate of ser$ices such as Free 5asics but also find #ays to deli$er di"ital e>uality fast For, Free 5asics
can’t be an e'cuse for the failures of the state in deli$erin" uni$ersal access
43
,row t$%s )oo+: How to woo 'ore states a(oar+ )%e*+ tr%a*s )or ,; &ro7s
Times of India
N ategory ;conomy
&minent a"riculture scientist 3 S S#aminathan has su""ested that India should accelerate field trials of %3
%enetically modified crops #ith the combined ser$ices of the Indian Council of A"riculture Research ICAR and
state a"riculture uni$ersities It’s a sensible idea and must be pursued dili"ently !he stalemate that’s "ripped India’s
efforts to accelerate the de$elopment of %3 crops, after its success #ith 5! cotton, must be bro)en !hou"h thenational %enetic &n"ineerin" Appraisal Committee has appro$ed field trials for ne# %3 strains of important crops
li)e rice, #heat, mai*e, potatoes, brin(al, mustard, su"arcane and chic)en peas, its efforts ha$e been stymied by many
state "o$ernments refusin" permission for field trials
A (oint inter$ention by central and state research institutions, coordinatin" all+India field trials, #ill help secure "reater
acceptance from the states After all they ha$e an important sta)e in impro$in" a"riculture’s prospects As the
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e'perience #ith cotton sho#s, %3 crops help reduce the costs of culti$ation, raise crop producti$ity, boost farmer’s
income, critically raisin" a"riculture output to meet the needs of a "ro#in" population
One reason $arious states remain inhibited about %3 trials is that o$er the years some of "o$ernment’s o#n e'pert
committees ha$e ta)en a $ery ne"ati$e approach, stressin" the need for inno$ation much less than the need for "reater
caution in adoptin" ne# technolo"ies instead of see)in" a balance Actually, India’s safety mechanisms for %3 field
trials are already in line #ith those ad$ocated by multilateral or"anisations li)e O&CD Or"anisation for &conomic Co+
operation and De$elopment and the International 0lant 0rotection Commission Some states li)e 3aharashtra and
%u(arat ha$e already proceeded ahead #ith field trials 5ut a coordinated approach bet#een ICAR and state
uni$ersities can help brin" more states on board, "i$in" a bi" boost to India’s pursuit of "reater food security
03
C$a**e!8e )or *aw'a-ers
Pioneer N ategory Polity and ?overnance5oth the Supreme Court and the %o$ernment of India are on firm "round in their opinions o$er tac)lin" incidents of
rape of children .hile the ape' court has ad$ised the %o$ernment to introduce ne# pro$isions in the Indian 0enal
Code to deal #ith the rape of a "irl child, the Attorney %eneral of India 3u)ul Rohat"i pointed out that 0arliament
#as the appropriate body to deliberate and come to a conclusion on the matter !he court #as deeply mo$ed by an
incident of rape of a 2:+month "irl child and, #hile hearin" a public interest petition the Supreme Court .omen
a#yers Association had filed, su""ested that the %o$ernment should car$e out a separate offence under Section
4981 of the Indian 0enal Code I0C dealin" #ith the rape of minors !he t#o+(ud"e 5ench #as ri"ht in pointin" out
that, #hile the definition of minors included all children belo# the a"e of 18, se'ual crimes a"ainst those far less in a"e,
#ith the $ictims often bein" toddlers, #ere heinous enou"h to be dealt #ith separately
!he %o$ernment and 0arliament need to ta)e a call on the su""estion !here is certainly a case for metin" out
e'emplary punishment for rape, but that punishment should be e$en more strin"ent #hen the $ictims are innocentchildren In other #ords, the Supreme Court has said that a child should be treated as a special case amon" minors
.hile the %o$ernment #ill surely a"ree #ith the concerns of the ape' (udiciary and #ould #ant to combat more
effecti$ely crimes a"ainst the "irl child, it is entirely up to 0arliament to brin" about the necessary chan"es !hese
chan"es cannot be a )nee+(er) reaction to the courtGs obser$ations, but must e$ol$e throu"h a #ide ran"e of
consultations #ith all sta)eholders !o be"in #ith, the %o$ernment has to ta)e a position on the issue It has to then
see) comments from e'perts #or)in" in the field of child #elfare and use the inputs to formulate the chan"es it desires
in the I0C !hereafter the proposal #ill come up before 0arliament to discuss, debate, and re(ect or appro$e !he
collecti$e #isdom of representati$es of the people #ill decide the issue ItGs not as if 0arliament is immune to popular
opinion !he alacrity #ith #hich it recently endorsed chan"es in the Bu$enile Bustice Care and 0rotection of Children
Act, is a case in point It did so out of respect for popular sentiment and the pressin" need to tar"et the risin" "ra$e
crimes committed by (u$eniles
Incidentally, by citin" this particular instance, 3r Rohat"i appeared to indicate that the %o$ernment #as prepared to
consider the courtGs su""estion #ith the respect it deser$edN ho#e$er, the necessary amendment to the I0C #hich the
court spo)e of and this #ill include all children re"ardless of "ender, #ill happen only if a ma(ority of the members in
0arliament support it At this sta"e, ho#e$er, the %o$ernment has to ta)e the initiati$e !he other parties are unli)ely
to frame their opinion unless they ha$e a concrete proposal
13
,%#%!8 &%t%es t$e s'art e+8e
The Lind# N ategory !ation
!he Central "o$ernment’s frame#or) for 2? cities to become @smart’ o$er a fi$e+year period can co$er ne# "round if itma)es intelli"ent use of information technolo"y to deli$er better ci$ic ser$ices Rapid and poorly re"ulated
urbanisation has o$er#helmed urban "o$ernments, renderin" them incapable of pro$idin" e$en basic ser$ices such as
clean #ater, se#era"e, pedestrian+friendly roads, public transport, uninterrupted po#er, street li"htin", par)s and
recreational spaces So #ea) and uncoordinated is "o$ernance that commercial entities ha$e #ilfully $iolated buildin"
re"ulations and put up unauthorised structures #ith se$ere impact on con"estion, air >uality and flood
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mana"ement and "o$ernments ha$e "ladly re"ularised the $iolations later !he smart city plan no# proposes to
inter$ene and brin" some order by up"radin" the physical infrastructure in select encla$es, and incenti$isin" the use
of information and communication technolo"ies Urban De$elopment 3inister 3 Ken)aiah /aidu has come up #ith a
"eneralised definition of a smart Indian city as one that enables a decent life to the citi*ens, and "reen and sustainable
en$ironment, besides enablin" adoption of smart solutionsT, but the e'ercise should lead to measurable outcomes
!he first batch of smart cities #ould create $irtually ne# business districts in se$eral cities, mar)in" a departure from
the disa""re"ated urban de$elopment #itnessed o$er the past fe# decades !his area+based de$elopment approach
ma)es it imperati$e that the resultin" demand for mobility to and from the @smart’ area be made an inte"ral part of the
plan, #ith an emphasis on #al)ability, use of non+motorised transport and access to public transport Ahmedabad and
5hubanes#ar ha$e sho#n hi"h ambition by optin" for a common tra$el card Others such as Indore, Da$an"ere and
5ela"a$i plan Intelli"ent !ransport Solutions, somethin" that has been unattainable for e$en a bi" metro such as
Chennai Althou"h it en(oys hi"h $isibility, the smart city pro"ramme is merely a frame#or) for urban de$elopment
aided by the Centre #ith a small initial seed fund of Rs7?? crore, #hile additional finances ha$e to come from public+pri$ate partnerships and local re$enue State "o$ernments, includin" those left out of the first list, could unloc) the
potential of all cities #ith de$elopment policies that aim at structural chan"e Impro$ed public transport, for instance,
has an immediate positi$e impact on the local economy !echnolo"ies such as %0S %lobal 0ositionin" System to
inform passen"ers in real time on their mobile phones, and common tic)etin", increase the efficiency of transport use
Uni$ersal desi"n in public buildin"s and streets #ould help all people, includin" those #ith disabilities !he challen"e
for Smart Cities 1? is to pro$ide proof of concept >uic)ly and ma)e outcomes sustainable Care also needs to be ta)en
that the effect is not to create "ated communities of best practices and ci$ic up"rade in a #ider landscape of urban
distress It is crucial that these urban encla$es cater to the housin", health, education and recreation needs of a #ide
cross section of society, and that the con$er"ence of the Smart Cities pro"ramme #ith e'istin" urban rene#al pro(ects
country#ide be smooth
23
/a!&er a!+ +a!&e
The Indian ;press
N ategory Personalities
5haratanatyam #as her chosen dance form 5ut 3rinalini Sarabhai, #ho passed a#ay recently, #as more than a "reat
5haratanatyam dancer and "uru er persona encompassed multiple identities and "a$e her the aura of a public
intellectual and an institution builder In a sense, she represented the idea of the artist as a nation builder, a role she
assumed naturally after ha$in" "ro#n up in a family that #as immersed in the national mo$ement
3rinalini #as born into #ealth and #as educated in S#it*erland and Shantini)etan She realised early in her life that
she #as a dancer and trained under eminent "urus li)e 3eena)shi Sundaram 0illai, 3ylapore %o#ri Ammal and the
Hatha)ali maestro, %uru Hunchu Hurup She #as e'posed to .estern art traditions, but Rabindranath !a"ore came to
be the preeminent influence in her life and art er idea of the nation and art, unsurprisin"ly, #as e'pansi$e and bereft
of narro# nationalistic or parochial influences She #as a dancer, choreo"rapher, #riter and teacher, and Darpana
Academy of 0erformin" Arts, the institution she built in Ahmedabad, trained students in dance, drama, music and
puppetry 3rinalini’s mother’s family had its roots in Herala but her mother, Ammu S#aminathan, had come into her
o#n as a political acti$ist in 3adras A %andhian, she nurtured a free and independent spirit in her children
3rinalini’s sister, Captain a)shmi Seh"al, chose to become a doctor and led the Indian /ational Army’s #omen
contin"ent 3rinalini’s partner+in+life #as an e>ually celebrated fi"ure, Ki)ram Sarabhai, #ho founded the Indian
space pro"ramme !he Sarabhais #ere a ma(or industrial house in %u(arat, )no#n for philanthropy and support to the
national mo$ement
Dance #as a metaphor for ci$ilisational $alues in 3rinalini’s life, and the dancer and the dance #ere indistin"uishable
3
A&t NearEast
The Indian ;press
N ategory ;conomy
A report by Smera Ratin"s su""ests that .est 5en"al, Odisha, 5ihar, Bhar)hand, Chhattis"arh, Assam and the other
northeastern states could contribute a >uarter of India’s %D0 #ithin the ne't 2? years, as a"ainst their current
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combined share of 187 per cent ome to 29 per cent of the country’s population, this re"ion also houses a
disproportionate section of its poor !his, despite the rich mineral resources #ith some of these states= At the time of
Independence, .est 5en"al and 5ihar #hich included Bhar)hand had actually a reasonable industrial base A bi"
part of the decline of eastern India can be attributed to the post+Independence policy of frei"ht e>ualisationT !his,
throu"h a per$erse subsidisation of transport to ma)e iron ore or coal a$ailable at more or less the same price across
the country, )illed the natural comparati$e ad$anta"e these states had in the settin" up of industries Althou"h the
policy #as scrapped in the early 1<<?s, the dama"e from it #as lon"+lastin"
So, #hat can be done to re$i$e the "ro#th potential of eastern IndiaM !#o broad strate"ies one e'ternal and one
internal may #or) One, as the Smera Ratin"s report points out, is to loo) at the re"ion as the "ate#ay to eastern
Asia !he Indo+Asean Association of Southeast Asian /ations trade is already $alued at o$er Q:? billion De$elopin"
eastern states as a conduit to Southeast Asia, by in$estments in the supply chain infrastructure #ith these states, #ill
further enhance the re"ion’s "ro#th potential throu"h bac)#ard and for#ard lin)a"es !#o, the Centre should put
e>ual emphasis on de$elopin" an industrial corridor connectin" the eastern states, similar to those for 3umbai+Delhiand Chennai+5an"alore !he Hol)ata 3etropolitan Re"ion, too, can act as a ma"net for attractin" in$estments to the
re"ion 5ut that re>uires e>ual initiati$e and enterprise from the concerned state "o$ernments
3
/eat$ w%t$ +%8!%t": ,o#er!'e!t 'ust e'7ower ter'%!a**" %** 7at%e!ts to ta-e +e&%s%o!s
a(out t$e%r ow! &are
Times of India
N ategory Polity and ?overnance
Ad$anced medical technolo"y can ha$e per$erse conse>uences, such as #hen it interrupts death and )eeps patients
half+ali$e under conditions that are close to torture It may seem a simple statement of truth to say human bein"s are
mortal, but our le"al and medical establishments often don’t reco"nise this /o# the Supreme Court has challen"ed
the "o$ernment to clarify its position on #hether a terminally ill person can be )ept ali$e on artificial life supportsystems if he doesn’t #ish to !he "o$ernment should respond by "i$in" le"al sanctity to the concept of a li$in" #illT,
as #ell as po#er of attorney in the realm of healthcare #hereby indi$iduals can authorise lo$ed ones to ta)e health
care decisions on their behalf if they are incapacitated in future
If #e reco"nise that bein" mortal is a necessary ad(unct to bein" human, then the ri"ht to li$e #ith di"nity also
includes the ri"ht to die #ith di"nity 3any Indian+ori"in reli"ions also reco"nise this, hence the concepts of santhara,
samadhi or icchamrityu Ad$ocate 0rashant 5hushan has ri"htly ar"ued before the Supreme Court that many
terminally ill patients do not #ant to be forcibly )ept ali$e on a $entilator And additional solicitor "eneral 0S 0at#alia
has noted ho# hospitals e'ploit $ulnerable moments of patients and their relati$es by turnin" $entilators into a
lucrati$e business
i$in" #illsT #here patients state in ad$ance #hat )inds of medical treatment they can refuse #hen they are dyin"
are reco"nised in most democracies such as the US, Canada, Australia, &n"land, %ermany, olland and S#it*erland
India, too, must pass le"islation reco"nisin" li$in" #ills and medical po#ers of attorney Alon"side, there’s a cryin"
need to facilitate the settin" up of hospices and palliati$e care institutions #hich ensure that the terminally ill spend
their last days in as much comfort as possible and company of their lo$ed ones
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AARRTT TT EENNTTYY TTHHRREEEE|| AARRTTIICCLLEESS
13
No!a*%8!'e!t to 'u*t%a*%8!'e!t
The Lind#N ategory India and the :orld
India5s foreign policy has finally rid itself of old :ar trappings in favo#r of a wider engagement with world powers.
0#t one old :ar-era reality remains when it comes to Pa/istan$ one co#ldn5t be caref#l eno#gh.......
December has been a si"nificant month for India and Indian diplomacy !his #as not limited merely to defence
ac>uisitions, but also included ne# initiati$es on the forei"n policy front If anythin" remained of the concept of non+
ali"nment, India’s outreach to both Cold .ar anta"onists, in December, appeared to si"nal its final demise /on+
ali"nment ser$ed India #ell durin" the difficult years from the mid to the late 2?th century, but had apparently
outli$ed its utility !he time had possibly come to sound its re>uiem, and India did (ust that in December
Se$eral reasons can be adduced for India’s shift from non+ali"nment to multi+ali"nment Undeniably, policies adopted
by India since the be"innin" of this century had helped "enerate a climate of trust across the spectrum of #arrin"
nations and lon"+time anta"onists A spirit of accommodation and constructi$e solutions to ma(or re"ional and
international challen"es had also made India more acceptable to most nations !he India+US Ci$il /uclear A"reement
in the first decade of this century #as in this respect truly the "ame chan"erT India came to be seen as a positi$e,
stabilisin" influence as far as the "lobal and the re"ional en$ironment #as concerned /on+ali"nment clearly had no
place in this milieu
/ee7e!%!8 I!+%aU3S3 t%es
It #as, hence, not difficult for Defence 3inister 3anohar 0arri)ar, #ithin the course of a fe# hours of discussion #ith
his counterpart durin" his $isit to the United States in December, to enhance the >uality of their defence dialo"ue and
stren"then the defence en"a"ement bet#een the t#o countries Outcomes from this $isit of the Defence 3inister are
certain to further enlar"e the scope of the already boomin" defence relationship Amon" the more si"nificant
ta)ea#ays are= the pro"ress made re"ardin" the (oint #or)in" "roups on both aircraft carrier technolo"y and (et en"ine
technolo"yN the appro$als "i$en for additional numbers of 5oein" 0+:I maritime patrol aircraft, C+19 %lobemaster+III
strate"ic airlift aircraft, and 3999 ultra+li"ht ho#it*ersN the pro"ress achie$ed re"ardin" lon"+deferred foundational
a"reementsT such as CIS3OA Communications and Information Security 3emorandum of A"reement and the
o"istics Support A"reement SA, and a further stren"thenin" of the partnership on hi"h technolo"yT under the
Defence !echnolo"y and !rade Initiati$e D!!I
Rea))%r'%!8 t%es w%t$ Russ%a a!+ Ja7a!
Durin" this same month of December, 0rime 3inister /arendra 3odi too) off for Russia to reaffirm the stron" lin)s
that e'ist bet#een the t#o nations Statements made on the occasion re$eal the determination on both sides to
reinforce the strate"ic ties that date bac) to the Cold .ar years Fe#, ho#e$er, e'pected that the $isit #ould also result
in Russia re"ainin" its position as India’s principal defence supplier
!he list of a"reements dra#n up in 3osco# co$ers nuclear, space, ener"y and defence Russia has committed ]earlier^
to buildin" additional nuclear reactors at Hudan)ulam !amil /adu and in Andhra 0radesh In terms of con$entional
ener"y, India has secured a bou>uet of deals, includin" a 1? per cent sta)e in Russian oil company Rosneft, and
commitments re"ardin" a possible sta)e in another field in &ast Siberia In the area of defence manufacturin", both
sides ha$e pulled out all the stops A"reement #as reached #ith re"ard to co+production of Hamo$+228! utilityhelicopters the bul) of #hich #ould be built in India, and the possibility of securin" 6: 3I+19 K7 medium+lift
helicopters, S+6?? !riumf!riumph missile systems and stealth fri"ates
Bapanese 0rime 3inister Shin*o Abe’s $isit to India, also durin" the same month, meantime, pro$ed to be more than a
strate"ic interlude, #ith defence, forei"n policy, and economic aspects all recei$in" attention Bapan’s #illin"ness to
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cooperate on peaceful nuclear ener"y #ill ha$e the same )ind of positi$e impact as that #hich follo#ed the iconic
India+US ci$il nuclear a"reement of 2??: Bapan’s #illin"ness to ac)no#led"e India as a reliable and trust#orthy
nuclear po#er despite not bein" a si"natory to the /uclear /on+0roliferation !reaty is a"ain certain to ha$e a
positi$e impact on nuclear establishments across the #orld
Bapan’s #illin"ness to share defence e>uipment and technolo"y, facilitate the e'chan"e of classified military
information, and arri$e at an understandin" of emer"in" threats in the Indo+0acific implicit in the India+Bapan
A"reement #ith re"ard to freedom of na$i"ation in the South China Sea has opened a ne# chapter in relations !his
#as further buttressed by the pro$ision of financial and technical aid for a hi"h+speed rail lin) bet#een 3umbai and
Ahmedabad, in addition to o$erseas de$elopmental assistance for $arious pro(ects across India 3r Abe’s affirmation,
that no other bilateral relationship in the #orld has the )ind of potential #hich ties relations bet#een India and Bapan,
#as clearly no hyperbole
T$e a-%sta! 7u*e
On the return trip from Russia, 0rime 3inister 3odi paid a $isit to Af"hanistan #here he inau"urated the ne# Af"han
0arliament buildin" built #ith Indian aid 3a)in" a stirrin" speech on the occasion, he complimented Af"hanistan’s
determination to stand up to terror from across the border, and criticised attempts made to unsettle Af"hanistan
throu"h the use of terror tactics &n route to Delhi from Habul, the 0rime 3inister made an impromptuT stopo$er in
ahore to #ish 0a)istan 0rime 3inister /a#a* Sharif on his birthday !his e$o)ed euphoric headlines in the Indian
media /ot e$eryone, ho#e$er, sa# this as heraldin" a ne# chapter in India+0a)istan relations, #ith lon"+time
0a)istan #atchers #ell a#are that the path to 0a)istan’s perfidyT is usually pa$ed #ith "ood intentions on India’s
part
!he real moti$e underlyin" the 0rime 3inister’s $isit to 0a)istan remains unclear 3r 3odi is #ell a#are that0a)istan has "i$en no indication #hatsoe$er of ha$in" chan"ed its spotsT Only a fe# hours prior to the ahore $isit,
he had implicitly #arned Af"hanistan of the threat posed by 0a)istan ess than a fortni"ht a"o #hile addressin" the
Combined Commanders’ Conference on board I/S Ki)ramaditya, the 0rime 3inister had struc) a sombre note,
#arnin" that #e see terrorism and ceasefire $iolationsN rec)less nuclear build+up and threatsN border trans"ressionsN
and continuin" military modernisationT in our nei"hbourhood All this lea$es little room for anyone to thin) that the
0rime 3inister nurtures any illusion of a chan"e of heart on 0a)istan’s part It #ould, hence, be unrealistic to thin)
that he #as hopin" to remo$e the obstacles that stood in the #ay of a reconciliation bet#een the t#o countries #ith
this "rand "esture 3r 3odi is also #ell a#are that there can be no substitute for hard ne"otiations, or the need for a
"reat deal of effort, to narro# the "ap bet#een the t#o countries
!he real dan"er is that it could lull the nation into a false sense of complacency and security on account of the
circumstances surroundin" this sudden mo$e Any mista)en step as far as 0a)istan is concerned needs to be a$oided
0a)istan is presently "oin" throu"h a $ery promisin"T phase in its turbulent history, and is bein" #ooed by both
China and the US It does not, ho#e$er, sho# any si"ns that it has reduced its animosity to#ards India
!he potential benefits from the China+0a)istan &conomic Corridor are e'pected to substantially impro$e 0a)istan’s
economic fortunes !he US, in the meantime, appears to ha$e re$ersed some of the policies it had adopted after 2?14,
and is demonstratin" a hi"her de"ree of sensiti$ity to 0a)istan’s concerns It is at present acti$ely courtin" 0a)istan in
$ie# of its strate"ic location $is+Z+$is Af"hanistan and Central Asia !he sale of additional F+18 fi"hter aircraft, and
continuation of the Coalition Support Fund beyond 2?18 reflect this Reported US support to facilitatin" pro(ects in
0a)istan+occupied Hashmir, US support for a sustained dialo"ue bet#een India and 0a)istan to resol$e all
outstandin" territorial and other disputes, includin" HashmirT, and a reference to #or)in" to"ether to address
mutual concerns of India and 0a)istan re"ardin" terrorismT in the (oint statement issued follo#in" the $isit of 3r
Sharif to .ashin"ton in October, #ell reflect some current realities !his cannot be $ie#ed as mere stra#s in the #ind
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It #ould thus be premature to offer con"ratulations on an end+year brea)throu"hT in India+0a)istan relations
Instead, there is need for "reater $i"il and more careful thou"ht on #hat needs to be done so as to pre$ent a Har"il+
type situation, e'ploitin" the current euphoria, from ta)in" place
23
T$e 'a!" 'ust res%st t$e so'e
The Lind#N ategory ;conomy
s the developed co#ntries chip away at the egalitarian moorings of the :T@$ India m#st wor/ with li/e-minded
co#ntries to translate its agenda into act#al res#lts........
!he .orld !rade Or"anisation’s .!O press release after the /airobi 3inisterial Conference in mid+December said,
.!O members secured a historic /airobi 0ac)a"e for Africa and the #orldT !hose seemin"ly optimistic #ords,
ho#e$er, belie se$eral fundamental challen"es that the /airobi 3inisterial Declaration presents for the future of the
.!O 5uried in the last fe# para"raphs of the declaration is a recordin" of differences bet#een .!O members o$erho# the future ne"otiations #ill be conducted It notes that #hile many .!O members reaffirm the Doha
De$elopment A"enda DDA, not all members share this $ie#
A cardinal principle for .!O ne"otiations is consensus !he .!O #or)s on the principle of one $ote for each member
country, irrespecti$e of si*e or economic po#er !his principle #or)ed #ell in theory in a #orld #here a fe#
economically stron" po#ers could continue to hold the reins of decision+ma)in", but has been runnin" into increasin"
comple'ities in a multipolar .!O #ith a membership of o$er 18? countries, and a US and &uropean Union #hose
economic clout ha$e been diminishin"
!he Doha precedent
!o add to the comple'ities of the increasin"ly comple' .!O #as the fairly e"alitarian mandate that the DDApresented !he Doha De$elopment Round, launched in 2??1, set for itself the challen"e of a sin"le underta)in"T
comprisin" se$eral elements includin" a"riculture, non+a"ricultural mar)et access, ser$ices, intellectual property, trade
facilitation, trade and en$ironment, and trade and de$elopment Kirtually e$ery item #as en$isa"ed as a #hole and
indi$isible pac)a"e #hich could not be a"reed upon separately !he underlyin" principle for this #as the need for a
balanced outcome in all streams of ne"otiations
!he slo# pro"ress at the .!O has been accompanied by the "ro#th of me"a+re"ional trade a"reements the recently
concluded !rans+0acific 0artnership !00 formed amon" 12 countries, and t#o under ne"otiation= the Re"ional
Cooperation for &conomic 0artnership RC&0 formed amon" the 1? AS&A/ countries and India, China, Bapan, South
Horea, Australia and /e# Lealand, and the !ransatlantic !rade and In$estment 0artnership !!I0 bet#een the US
and the &U !hese me"a+re"ionals need to also be seen in the conte't of increasin" bilateral free+trade a"reements
#hich ha$e increased from around 126 such a"reements in 1<<6 to o$er 8?? a"reements in 2?17 A si"nificant amount
of India’s o#n ne"otiatin" capital and focus has been on the me"a+re"ional RC&0 a"reement, and on bilateral free+
trade a"reementsN but neither approach is a substitute for the .!O and its stron" edifice of a multilateral system of
rules, bac)ed by an effecti$e dispute+settlement mechanism
A8ree%!8 to +%sa8ree
It is in this conte't that the /airobi 3inisterial Declaration’s admission of dissonance in the .!O membership on the
@Doha mandate’ assumes "reater si"nificance !his dissonance is presented in the te't of the declaration #hich records
#hat many 3embersT $ersus some 3embersT #ant .hile manyT reaffirm the Doha mandate, the others do not
.hile many 3embers #ant to carry out the #or) on the basis of the Doha structureT, some #ant to e'plore ne#architecturesT And finally, #hile some #ish to identify and discuss other issues for ne"otiationT a reference to issues
other than those under the Doha mandate, others do notT
For the first time in a 3inisterial Declaration adopted by consensus, there is reference to a consensual
ac)no#led"ement of di$er"ence of $ie#s, #hich underlies the slo# pro"ress of the Doha round .hile there is no
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identification in the declaration, the de$elopin" countries, includin" India, clearly belon" to the manyT cate"ory,
#hile someT includes the US, the &U, and other de$eloped countries !he use of the #ord manyT could perhaps
be seen as an implicit recordin" of a ma(ority $ie# in fa$our of the Doha mandate A "limmer of hope, ho#e$er,
remains that the $ie#s of the ma(ority could potentially be tapped for dri$in" at a lo"ical and hopeful conclusion of
the Doha mandate
o#e$er disappointin" the /airobi outcome may be, it is in essence a recordin" of a factual reality of the differences
bet#een countries, and the stron" pressure of the de$eloped #orld to manoeu$re the .!O in a direction that best
suits its interests !he only option for India is to for"e ahead #ith a hi"h de"ree of preparedness and focus on areas of
its interests, coalition+buildin" #ith li)e+minded countries, and translatin" #hat manyT #ant into actual results !he
Doha round had resulted in se$eral decisions and declarations #hich continue to remain le"ally $alid decisions of
.!O members and need to be honoured in ta)in" for#ard the ne"otiations !he /airobi Declaration in fact refers to
the recently concluded United /ation’s 2?4? Sustainable De$elopment %oals SD%s One of the SD%s is that ofpromotin" an e>uitable multilateral tradin" system under the .!O throu"h the conclusion of ne"otiations under its
Doha De$elopment A"endaT !his can a"ain be seen as an implicit referencin" of the DDA and its importance
Furthermore, the /airobi Decisions on special safe"uard mechanism for de$elopin" country members and on public
stoc)holdin" for food security purposes clearly ma)e reference to post+Doha decisions the on" Hon" 3inisterial
Decision and the 5ali Decision as the basis for further ne"otiations It is important to build on each of these to reach
clear, successful and speedy outcomes
On other Doha issues, it is important to clearly map #hat India #ants, and ho# that may be achie$ed for e'ample,
in ser$ices ne"otiations Of e>ual importance is the need to prepare for the ne# issues, approaches and architecture
that someT .!O members ha$e e'pressed their desire for in the /airobi Declaration !he recently concluded !00a"reement perhaps pro$ides a clear "limpse of #hat these ne# issues are li)ely to be en$ironment, labour,
in$estment, competition, "o$ernment procurement, and so on o# to en"a"e on these issues, and identify the red and
"reen li"hts for ne"otiations, is the ne't challen"e that India needs to be prepared for
!he .!O remains an institution that is #orth preser$in" India needs to approach it from a position of stren"th, #ith
clearly defined a"endas, and #ith preparedness for the ne# challen"es it presents
3
Sau+% Ara(%a’s +ea+*" 8a'(*e
The Lind# N ategory International
It wo#ld be in Tehran5s interest to stop playing into 4iyadh5s plans to ratchet #p tensions in the region.....
Saudi Arabia’s e'ecution of Shei)h /imr al+/imr, perhaps the most influential leader amon" the Hin"dom’s Shia
minority, #as clearly a pro$ocati$e mo$e Riyadh )ne# that its action #ould deteriorate relations #ith Iran and
inflame sectarian tensions in .est Asia at a time #hen the Islamic State is systematically persecutin" Shias and other
minorities #ithin Islam Iran, a Shia+ma(ority country and a re"ional ri$al of Saudi Arabia, had repeatedly re>uested
the Sunni monarchy to pardon /imr, #ho #as the dri$in" force behind the Arab Sprin" model protests in the
)in"dom’s east in 2?11 5y e'ecutin" him, alon" #ith 68 others on Saturday, Riyadh has plun"ed the re"ion, already
reelin" under terrorism, insur"ency and sectarianism, into more chaos
St%)*%!8 +%sse!t
.hy did Riyadh do this if they )ne# the conse>uences #ould be deadlyM A lo"ical e'planation is that it’s part of a#ell+thou"ht+out strate"y to #hip up tensions so that the Al+Saud rulin" family could ti"hten its "rip on po#er at
home and embolden its position in the re"ion by amassin" the support of the Sunni re"imes .hether the royals a"ree
or not, Saudi Arabia is facin" a ma(or crisis Oil prices are plummetin", endan"erin" the )in"dom’s economy In 2?17,
it ran a deficit of Q<9< billion, and has announced plans to shrin) its bud"et for the current year by Q:8 billion !his is
li)ely to impact the "o$ernment’s public spendin", and could tri""er resentment !he rentier )in"dom relies hea$ily
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on the "o$ernment’s #elfare policies, besides its reli"ious appeal, to drum up public support !he late Hin" Abdullah’s
response to Arab Sprin" protests is an e'ample of this .hen people else#here rose up a"ainst dictatorships, he
announced a special economic pac)a"e of Q9? billion much of this money #as allocated to build 7,??,??? houses to
address housin" shorta"e to >uell discontent at home Additionally, the state in(ected Q6 billion into healthcare Hin"
Salman does not en(oy the lu'ury of usin" oil re$enues to sa$e his cro#n due to the economic crisis Another option
the royals ha$e to buttress their position is to resort to e'treme ma(oritarianism
At least four, includin" Shei)h /imr, amon" the 69 e'ecuted on Banuary 2 #ere political prisoners 5y puttin" them to
death, the royal family has sent a clear messa"e to political dissidents at home At the same time, the e'ecution of the
country’s most prominent Shia cleric #ould bolster the re"ime’s .ahhabi credentials amon" the hardliners !his is a
tactic dictators ha$e often used in history !hey "o bac) to e'tremism or sectarianism to bolster their hard+line
constituency to tide o$er the economic and social difficulties !he real aim of the monarchy is to close do#n e$ery
#indo# of dissidenceN if that can’t be done throu"h economic de$elopment and #elfarism, do it by other means
!ensions bet#een Iran and Saudi Arabia "o bac) decades &$en #hen pre+re$olutionary Iran and Saudi Arabia #ere
the t#o pillars of the US’s .est Asia policy, Riyadh and !ehran #ere re"ional ri$als !he latest phase of this cold #ar
be"ins #ith the US+led Ira> in$asion .hen Saddam ussein #as toppled and a Shia+dominated "o$ernment
emer"ed in 5a"hdad, Iran #as the happiest re"ional po#er ussein had been a staunch enemy of !ehran Saudi
Arabia #as alarmed by the chan"in" political e>uations in Ira>, and had supported Sunni militancy to pre$ent the
Shias consolidatin" po#er in the post+Saddam set+up !his #as one reason that Ira> bro)e apart later 5ut the
Americans had assured full support to the %ulf monarchies and )ept pressure on Iran o$er the nuclear sanctions
.hen the 5arac) Obama administration chan"ed its approach to#ards Iran, en"a"in" #ith the Islamic Republic
throu"h serious ne"otiations, the Saudis #ere upset !hou"h Riyadh publicly accepted the nuclear deal, it #as
e'pectedly concerned about Iran’s reinte"ration #ith the "lobal economy !hat #ould not only flood the mar)et #ithcheap oil from Iran, sendin" oil prices do#n further, but also help !ehran rise as a le"itimate re"ional po#er
!his Saudi frustration #as e$ident in its emen #ar Riyadh started bombin" emen in 3arch, #hen the nuclear tal)s
#ere in the final sta"es 5ut after nine months, the Saudis are far from meetin" their "oals defeatin" the Shia outhi
rebels Riyadh calls lac)eys of !ehran On the other side, despite rhetoric from both sides, the US and Iran ha$e
e'panded cooperation from the nuclear deal to Ira> and Iran In Ira>, American #arplanes pro$ided air co$er #hen
the Ira> army and Iran+trained Shia militias fou"ht Islamic State fi"hters As re"ards Syria, the US a"reed to let Iran
(oin the peace tal)s, endin" years of opposition A"ainst this bac)"round, the Saudis #anted to escalate tensions #ith
Iran, and further complicate Iran’s re+accommodation in .est Asian "eopolitical and economic mainstream !he royals
)no# that the best #ay is to #hip up sectarian tensions
Iran should ha$e e'ercised restraint in the #a)e of Shei)h /imr’s e'ecution It could ha$e used the "lobal an"er
a"ainst mass beheadin"s in Saudi Arabia to its benefit, particularly at a time it’s rebuildin" its position in the re"ion
5ut lac) of a cohesi$e $ision, and maybe the hi"h+handedness of the hardliners, led Iran to o$erreact to the e'ecutions
!he attac)s on the Saudi embassy in !ehran and the consulate in 3ashhad shifted the #orld’s attention from the
e'ecutions to Iran’s hooli"anism, pro$idin" Riyadh an opportunity to e'tend the bilateral tensions into a diplomatic
crisis !his is e'actly #hat the Saudis #anted After Saudi Arabia, 5ahrain, a Shia+ma(ority nation ruled by a Sunni
monarchy, and Sudan, a Sunni+ma(ority country ruled by an alle"ed #ar criminal #ho’s mo$in" increasin"ly closer to
the %ulf monarchs, ha$e cut diplomatic ties #ith Iran !he United Arab &mirates, another Saudi ally, has #ithdra#n
its en$oy from !ehran
Iran has "ained nothin" but international condemnation from attac)in" forei"n missions in its land It’s yet to reco$er
completely from the sie"e of the US embassy in 1<9< by hard+line students In 2?11, students attac)ed the 5ritish
embassy in !ehran, forcin" ondon to #ithdra# its mission Full diplomatic ties bet#een the t#o nations #ere
restored only recently, after the nuclear a"reement !he latest attac) may ha$e far+reachin" conse>uences It’s also
possible that hard+line sections #ithin the Iranian establishment, #ho are already upset #ith the moderates o$er the
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nuclear deal, mi"ht ha$e used the opportunity to embarrass 0resident assan Rouhani It’s also #orth notin" that the
0resident has condemned the attac), but not the Supreme eader Ali Hhamenei, #ho #arned the Saudis of di$ine
re$en"eT .hate$er led to the attac) has compromised Iran’s position in the re"ion
$at !et
One natural $ictim of these risin" tensions #ill be the Syria peace plan 0resident 5ashar al+Assad’s re"ime and a
coalition of rebels are supposed to be"in peace tal)s this month, accordin" to a road map a"reed in the U/ Security
Council a fe# #ee)s a"o Iranian and Saudi cooperation is a must for peace in Syria, #here the on"oin" ci$il #ar has
)illed more than 2,7?,??? people !he Saudis bac) anti+re"ime rebels and e'tremists in Syria, #hile the Iranians
support the Assad "o$ernment
.orse, it’s not (ust Syria Unless Saudi+Iran tensions are contained, there #on’t be an effecti$e strate"y to fi"ht the
Islamic State, #hich is a Sunni+.ahhabi e'tremist "roupN the #ar in emen #ill "o on, endan"erin" many more li$esNand Ira>’s efforts to stabilise itself could be challen"ed !he Saudis loo) determined to play a lon"+term "ame of
sectarian "eopolitics to ma'imise its interests If the Iranians continue to respond in the same to)en, .est Asia #ould
remain turbulent for many more years
3
A &ase )or e7a!+%!8 /9T
The Lind#N ategory Polity and ?overnance
The two ma,or iss#es with s#bsidies in India O targeting and lea/ages O can both be tac/led by the government5s
ongoing Direct 0enefits Transfer p#sh. The time is now ripe to have it for all s#bsidy programmes.....
!he /ational Democratic Alliance /DA "o$ernment, by desi"n and than)s to some le"acy benefits from the United
0ro"ressi$e Alliance U0A "o$ernment’s term, is increasin"ly findin" itself in a s#eet spot #here social security aidand subsidies can finally be rid of the lon"+standin" issues pla"uin" such systems in India !he t#o ma(or issues #ith
subsidies in India tar"etin" and lea)a"es can both be tac)led by the "o$ernment’s on"oin" Direct 5enefits
!ransfer D5! push !he time is no# ripe to ha$e D5! for all subsidy pro"rammes
ea)a"es occur #hen the subsidy does not reach the recipient due to corruption, pilfera"e or other causes 3is+
tar"etin" benefits hi"her income "roups that don’t really deser$e the subsidies, thereby needlessly increasin" the
"o$ernment’s e'penditure !he "o$ernment’s D5! plan, #hich simply in$ol$es transferrin" the subsidy amount
directly to the beneficiaries’ ban) accounts instead of ha$in" to fiddle around #ith differential pricin" for the
underpri$ile"ed, can effecti$ely address the issue of lea)a"es and "o a lon" #ay in sol$in" the mis+tar"etin" problem
&fficient tar"etin", usin" Aadhaar+lin)ed data, ensures that the intended beneficiary recei$es the money in his account,
thus helpin" him as #ell as reducin" the "o$ernment’s subsidy burden !his has resulted in effecti$ely sol$in" the
lea)a"e and mis+tar"etin" problems in some schemes, but other schemes ha$e sho#n that they need more #or) to be
efficient
!he case of 3%/R&%A #a"es is an e'ample #here D5! effecti$ely addressed both issues at once In the be"innin",
there #ere reports across the country of 3%/R&%A #a"es at the time "i$en in cash bein" misappropriated by
middlemen in such lar"e+scale systems In 2?14, the "o$ernment initiated the D5! scheme in 3%/R&%A after se$eral
successful pilot pro(ects and eliminated these middlemen to a lar"e e'tent So far, in this financial year, under this
scheme, Rs2?,7?? crore has been credited to the accounts of almost 7 crore people All the beneficiaries only the
beneficiaries stood to reap benefits from 3%/R&%A #a"es
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;ore )%!etu!%!8
o#e$er, other schemes, thou"h successful, need more fine+tunin" .hile the ori"inal D5! scheme for li>uefied
petroleum "as 0% subsidies, named 0AA ]0ratya)sh anstantrit abh^, #as launched in Bune 2?14, the /DA
"o$ernment modified and re+launched the scheme in 76 districts on in /o$ember 2?16N for the rest of the country it
#as Banuary 2?17 !he idea #as that consumers lin) their Aadhaar number to a ban) account and recei$e the subsidy
amount for 12 cylinders in a year !hose #ithout an Aadhaar number could furnish any other ban) account to recei$e
the subsidy
/o#, #hile this ensured that all 0% consumers could, in theory, a$ail of the subsidy, it also meant that a lar"e
proportion of the subsidies #ere "oin" to people #ho could afford 0% cylinders at the un+subsidised rate !o#ards
this, and to the credit of the "o$ernment, it #as recently decided that people earnin" more than Rs1? la)h a year
#ould not be eli"ible for the 0% subsidy So, D5! addresses the lea)a"es issue #hile the income cap addresses the
mis+tar"etin" problem 5ac)+of+the+en$elope calculations since there are no accurate fi"ures of ho# many 0% usersearn more than Rs1? la)h pe" the "o$ernment’s sa$in"s from such a mo$e at around Rs7,??? crore a year
!here are also subsidy schemes #here D5!, in its efficient implementation, could actually result in ad$erse outcomes
!a)e the e'ample of D5! in the )erosene scheme the Centre is incenti$isin" States to adopt !he benefits here are
immense &'perts estimate that around half the )erosene sold in the country is bein" misused Instead of bein" used as
li"htin" fuel its most common use )erosene is bein" used to adulterate diesel amon" other thin"s !his means
that the benefit of )erosene bein" sold at subsidised rates is also unintentionally "oin" to those in$ol$ed in such
acti$ities
Under the D5! in )erosene scheme, the consumer buys )erosene at full price and then recei$es the subsidy amount in
his ban) account if eli"ible ere, too, mis+tar"etin" and lea)a"es are addressed 5ut, as economist 0ronab Sen haspointed out, this could lead to unintended outcomes unless the scheme is mana"ed carefully
If the subsidy amount each household is due is calculated on the basis of the total amount of )erosene sold di$ided by
the number of eli"ible households, then this #ill result in each household recei$in" about double the subsidy amount
it should be "ettin" because total usa"e also ta)es into account pilfera"e In other #ords, the total sales fi"ures
o$erestimate actual household+le$el usa"e because they also ta)e into account usa"e by theft
O$er+subsidisin" )erosene to such an e'tent #ill mean that it #ill remain the li"htin" fuel of choice for poor
households, #ith no chance of a s#itch bein" made to cleaner ener"y sources li)e solar po#er So, in impro$in" the
tar"etin" of )erosene subsidies, the "o$ernment could be cementin" the use of the dirty fuel in future !he possibility
that the "o$ernment #ill subse>uently reduce the subsidy amount, $ie#ed as a political no+no, seems remote
Currently, the "o$ernment has introduced D5! in food subsidies in only a fe# Union !erritories and is loo)in" to
introduce it in fertili*er subsidies as #ell a fer$ent demand made by farmers’ associations #hen they met the
Finance 3inister for a pre+5ud"et meetin" recently
!he s#eet spot created by uni$ersalisin" ban)in" $ia the Ban+Dhan o(ana, efficient tar"etin" $ia Aadhaar, and the
increasin" ubi>uity of smartphones is so attracti$e that the "o$ernment should ma)e full use of it to e'tend D5! to all
subsidy schemes It’s a #in+#in
G3
$at Free 9as%&s +%+ !ot %!te!+ to +o
The Lind# N ategory &cience and Technology
The p#blic now sees the Internet not ,#st in mar/et terms$ b#t as a social phenomenon that re<#ires p#blic interest
reg#lation.........
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In its a""ressi$e campai"n for Free 5asics, couched in simplistic de$elopmental lan"ua"e, Faceboo) underestimated
the political sophistication of the Indian public It must be re"rettin" it no# !he social net#or)in" ser$ice’s reportedly
Rs 1??+crore campai"n, throu"h double full+pa"e ne#spaper ad$ertisements, billboards and tele$ision, appears
simply to ha$e con"ealed public opinion a"ainst Free 5asics &$eryone seems to be ea"er to discuss and #rite about
#hat is #ron" #ith Free 5asics .hen the re"ulator had last called for /et neutrality+related inputs, in 3ay 2?17, the
opinions #ere relati$ely more di$ided If they are so much more polarised today a"ainst Free 5asics and /et neutrality
$iolations, the manner in #hich Faceboo) pushed this campai"n does bear some responsibility for it
Faceboo)’s campai"n may actually ha$e ended up doin" a lot of "ood to India, #hich, after all, #as its professed "oal
.e must than) Faceboo) for that !hese benefits ha$e been on t#o e'plicit fronts, and one more #hich #ill become
apparent in some time
T$e I!ter!et as a r%8$tF%rst, the campai"n forced e$eryone to respond to the >uestion, @can those in po$erty be denied connecti$ityM’ !he
ob$ious ans#er bein" @no’, e$eryone had to come up #ith concrete alternati$es As a result, somethin" interestin"
happened &$en #ith the current middle+class sentiment lar"ely bein" pro+free mar)ets and anti+"o$ernment
subsidies, a stron" opinion has emer"ed that those #ho cannot afford connecti$ity must be pro$ided some basic free
connecti$ity as an entitlement to be ensured by the "o$ernment It can be in the form of a limited data pac)a"e 3any
commentators as #ell as responses to the re"ulator’s consultation ha$e sou"ht such an entitlement
!his should ma)e the re"ulator and the "o$ernment thin) seriously about some such data entitlement for e$ery
citi*en It could also ha$e an impact on ho# connecti$ity throu"h the "o$ernment’s /ational Optical Fibre /et#or)
#ill be pro$ided to the people !his net#or), connectin" almost the #hole of rural India, is e'pected to be in place
#ithin the ne't t#o+four years Such emer"in" public opinion in fa$our of free basic connecti$ity, if concretised into
public policy, #ill be the first true e'pression of the Internet as a ri"ht, a concept #hich has be"un to be discussed"lobally
!he se&o!+ unintended conse>uence of the Free 5asics campai"n has been a "rounds#ell of public consciousness that
no# sees the Internet not (ust in pure mar)et terms, but as a uni>ue social phenomenon #hich re>uires special public
interest re"ulation !he last round of /et neutrality consultation #as the first hea$e in this direction, but it #as still a
bit tentati$e and immature It is also much easier for people to see the lo"ic for an Internet that treats all content
e>ually, than de$elop a case a"ainst a free ser$ice Remember, free ser$ice is already the dominant Internet ser$ice
model in application and content layers, a point #hich #e #ill come to later !hat the Indian public could form a
considered opinion on this rather comple' social and policy issue is heartenin" to note It is li)ely to usher a ne# era of
Internet ri"hts acti$ism, #ith people claimin" di"ital technolo"ies as a ri"ht and not (ust somethin" that the mar)et
pro$ides on its o#n terms
At the many public interest discussions on this sub(ect, people came up #ith in"enious analo"ies One person said, I
am ready to pay the auto dri$er accordin" to the distance tra$elled, not based on the destination that I "o toT Another
said, Free 5asics is li)e someone "i$in" you coo)in" "as for free, but bein" able to decide #hat you #ill coo) #ith itT
!here is an emer"ence of a $ery sophisticated orientation as to ho# people see the Internet in terms of its $ery crucial
and stron" role in society today, and its hidden manipulati$e possibilities
!he coo)in" analo"y is not a far+fetched one if one pro(ects ahead into the emer"in" #orld of Internet of !hin"s !he
Internet can be seen as a ne# neutral system of society, one that or"anises our li$es, #hich can become $ery dan"erous
if its manipulati$e potential is not closely #atched and )ept in chec) !here #ill al#ays be corporatist tendencies to
place @control points’ on this neutral net#or), #ith $arious )inds of free ser$ices as the incenti$e, but #hich #ould
lead to far "reater economic and other forms of e'ploitation
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Neutra*%t" %! a** *a"ers
!his brin"s us to the third unintended conse>uence of the Faceboo) campai"n !his is only bein" informally tal)ed
about as of no#, but #ill brea) into prominence soon #hen other similar @platform abuses’ come to the fore !his is
about ho# Faceboo) used its monopoly social net#or)in" platform for a hu"e political campai"n in its o#n fa$our,
ma)in" and sharin" la)hs 11 million, accordin" to Faceboo) of template responses to the re"ulator’s consultation
!he same platform functionality #as not a$ailable to other users, #ho could be holdin" other $ie#s on the sub(ect
!he implications of such @platform abuse’ are not difficult to see Ima"ine a close election contest in the future #hen
Faceboo), say, has 9? per cent of adult Indians as its users !here are t#o main parties and, say, FDI or hi"her
corporate ta'es has become the )ey election issue .hat if Faceboo) does a similar campai"n t#o #ee)s before the
elections, ta)in" a stron" position fa$ourin" one side, reachin" and @en"a"in"’ its users in a manner that others cannot
do usin" the same platformM
!he >uestion then is, if a telco cannot be allo#ed to pro$ide different functionalities on its platform to different content
and application+pro$iders, ho# can a monopoly social net#or)in" platform be allo#ed to discriminate amon" its
users in such a blatant #ay and #ith such far+reachin" social conse>uencesM It is much easier to s#itch bet#een telcos
today than to e$en find a "ood alternati$e to the Faceboo) platform
/et neutrality and @*ero+ratin"’ are therefore (ust the first )ey Internet re"ulation issues that #e are facin" As the
Internet >uic)ly transforms our social systems and becomes an essential element, there #ill soon be other )inds of
@platform neutrality’ issues !he &U is already conductin" a public consultation on @platform "o$ernance’ !he French
Di"ital Council has brou"ht out a comprehensi$e report on platform neutrality A draft bill on Internet ri"hts in the
Italian le"islature lays out public interest "uidelines for platforms
!he )een public en"a"ement #ith the issue of /et neutrality and *ero+ratin" indicates that #e #ill soon hear about
other )inds of platform abuses as #ell, alon" #ith calls for correspondin" Internet re"ulation
63
Re)or' o!*" *e)t to t$e Ku+%&%ar"
The Lind#N Polity and ?overnance
More significant than the iss#e of whether women sho#ld be allowed entry into the &abarimala temple is the <#estion of whether
sec#lar ,#dges o#ght to be the ones ma/ing that call. The more the state ta/es over the tas/ of social reform$ the less li/ely is the
desired change to emerge from within the society......
ast #ee), the Supreme Court declared that it #ould hear a public interest liti"ation 0I on #hether #omen of
menstrual a"e can be denied the ri"ht to enter the Ayyappa temple in Sabarimala, Herala !he bench, in its obser$ation
to the Herala "o$ernment and the temple authorities, remar)ed that unless you ha$e a constitutional ri"ht, you
cannot prohibit entry ]to #omen^T
In 1<<4, the Herala i"h Court had held that the !ra$ancore De$as#om 5oard, the authority that mana"es the
Sabarimala temple, could restrict access to #omen #ho #ere in the 1?+7? a"e "roup It had concluded that the
restriction imposed on #omen a"ed abo$e 1? and belo# 7? from tre))in" the holy hills of Sabarimala and offerin"
#orship at Sabarimala Shrine is in accordance #ith the usa"e pre$alent from time immemorial,T and that such
restriction imposed by the De$as#om 5oard is not $iolati$e of Articles 17, 27 and 28 of the Constitution of IndiaT !his
is the position that the Supreme Court #ill re$isit early ne't month in the conte't of ar"uments of "ender e>uality and
fundamental ri"hts In doin" so, it #ill yet a"ain #ade into the parado'ical #aters of a secular state ma)in" reli"ious
policies
No str%&t re*%8%o!state se7arat%o!
Unli)e any other secular state, the Republic of India #as concei$ed #ith a mandate for social re$olution !his ma)es
our situation unprecedented and uni>ue .e do not ha$e a #all of separationT bet#een reli"ion and state that, for
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instance, e'ists in the United States Furthermore, the founders of the Indian republic ha$e en(oined the state to
inter$ene in social customs and redress "rie$ances arisin" out of them so that all citi*ens can e>uitably en(oy their
constitutional ri"hts and pri$ile"es !his is e$ident in the #ay Article 27, #hich deals #ith freedom of reli"ion, is
constructed Unli)e other articles dealin" #ith the fundamental ri"hts, it be"ins #ith ca$eats sub(ect to public order,
morality and health and to the other pro$isionsT before statin" the ri"ht all persons are e>ually entitled to freedom
of conscience and the ri"ht freely to profess, practise and propa"ate reli"ionT It "oes on to empo#er the state to
re"ulate and restrict non+reli"ious acti$ities associated #ith reli"ion It allo#s the state to ma)e la#s pro$idin" for
social #elfare and reform or the thro#in" open of indu reli"ious institutions of a public character to all classes and
sections of indusT Interestin"ly, the term indusT here includes persons professin" the Si)h, Baina or 5uddhist
reli"ionT !he ri"hts of reli"ious minorities are protected under subse>uent articles !he asymmetries that arise from
these articles are causes of "rie$ances, dis"runtlements and contestations that $itiate our politics to this day
.hy did the #ise people #ho drafted a remar)ably liberal, secular and modern Constitution decide to "i$e the state somuch po#er o$er reli"ionM !he #ords of Dr 5R Ambed)ar, Chairman of the Draftin" Committee, "i$e us some
insi"ht Ar"uin" for a minimalist definition of #hat constitutes reli"ion and hence needs to be )ept outside the
domain of the state he held that the reli"ious conceptions in this country are so $ast that they co$er e$ery aspect of
life, from birth to death !here is nothin" #hich is not reli"ion and if personal la# is to be sa$ed, I am sure about it that
in social matters #e #ill come to a standstillT In other #ords, a strict separation bet#een reli"ion and state #ould
ha$e pre$ented the Constitution from carryin" out social re$olution
In the early decades of our republic, the Supreme Court e$ol$ed an essential reli"ious practices doctrineT that spelt
out the outer limits of #hat could be called the sole domain of reli"ion Unfortunately, o$er the years, this doctrine #as
interpreted in an elastic, and sometimes arbitrary manner Bud"es "a$e themsel$es the po#er to determine #hat
constitutes essential reli"ious practice not (ust for one reli"ion, but for all of them
India mi"ht be the only republic #here the (udiciary can pronounce on matters not only relatin" to la#, but also those
concernin" theolo"y !hus, courts ha$e ruled on topics li)e the Bain practice of Santhara $oluntary fastin" to deathN
and on #ho can and cannot become an archa)a priest !hey ha$e e$en pronounced on rather $e'ed >uestions li)e
#hat should be the shape of the mar)in"s on the temple elephant’s head
!he hi"her (udiciary’s decisions are seen as le"itimate amon" the public because of the relati$e credibility it en(oys
Budicial acti$ism and encroachment into le"islati$e and e'ecuti$e domains add to its popularity !hus, #e should not
be surprised if the Supreme Court declares that the Sabarimala temple must be thro#n open to #omen of all a"es
,e!+er eMua*%t" #s3 Ku+%&%a* o#errea&$
If it does, it #ill be seen as another $ictory for the cause of "ender e>uality, e$en if only a miniscule proportion of
#omen are li)ely to e$er e'ercise that ri"ht &$en #omen #ho are in a position to $isit the temple mi"ht choose not to
do so out of a certain re"ard for norms and practices And some may choose to $isit and society, traditions and norms
must chan"e to accommodate them
et, #e should be #ary of a (udiciary that encroaches on more domains, e$en for causes #e consider as desirable and
"ood CaesaropapismT is a term used to describe a state of complete subordination of reli"ion to the secular state
India runs the ris) of bein" in thrall of a $ariant of this, a condition that can be termed (udiciopapismT, #here (ud"es
can completely o$errule reli"ious authority .ith each (ud"ment that shrin)s the scope of #hat is considered an
essential reli"ious practiceT, the ris) "ro#s
.hy should #e careM !o su""est that this is not a bad thin" because it deli$ers pro"ressi$e results is similar to
contendin" that dictatorships are "ood because they can produce results that democracies stru""le to achie$e !he
re$olutionary ma)ers of our republic certainly did not en$isa"e a (udiciopapistT order &$en the stron"est ar"ument
in fa$our of secularism cannot condone such a state of affairs
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.orse, the more the state ta)es o$er the tas) of social reform, the less li)ely it is to emer"e from #ithin the society
Reli"ious traditions often respond to e'ternal inter$entions by "ro#in" more conser$ati$e and resistin" reform A
democracy is unli)ely to muster the #ill to see throu"h state+imposed reform, underminin" its success 0olitics in a
society li)e ours, #ith its many reli"ions and sects, is li)ely to create lo"(ams to e$en the most basic social reforms
/ote ho# the case for a Uniform Ci$il Code has become a "round for communal politics
Further, attempts by the state at a social re$olutionT only #ea)en efforts of social reformers #ho belon"ed to $arious
communities From 5uddha to Habir, from %uru /ana) to /arayana %uru, India has historically seen social reformers
emer"e as a response to orthodo'y and ri"idity Independent India has seen fe#er of them, perhaps because the Indian
republic has arro"ated that responsibility to itself
Rono(oy Sen ri"htly notes that court rulin"s ha$e furthered the reformist a"enda of the Indian state at the e'pense ofreli"ious freedom and neutralityT !he ca$eats are eatin" into the ri"ht 3ore si"nificant than the issue of #hether
#omen should be allo#ed entry into the Sabarimala temple is the >uestion of #hether secular (ud"es ou"ht to be the
ones ma)in" that call
3
T$e $%++e! wea*t$ o) !at%o!s
The Lind#N ;conomy
India5s biggest so#rce of =DI is India itself$ money departing on a short holiday to a ta haven and then ro#ted bac/ as =DI. :ill
the government m#ster #p the political will to clamp down on the ta-allergic b#siness eliteJ
!his could be a bumper year for the e$er+lucrati$e ta' a$oidance industry !he 2?17 final reports of the Or"anisation
for &conomic Co+operation and De$elopment O&CD+led pro(ect on 5ase &rosion and 0rofit Shiftin" 5&0S #hichrefer to the erosion of a nation’s ta' base due to the accountin" tric)s of 3ultinational &nterprises 3/&s and the le"al
but abusi$e shiftin" out of profits to lo#+ta' (urisdictions respecti$ely lays out 17 action points to curb abusi$e ta'
a$oidance by 3/&s As a participant of this pro(ect, India is e'pected to implement at least some of these measures
5ut can itM 3ore pertinently, does it ha$e the political #illM
!he 5&0S pro(ect is no doubt a positi$e de$elopment for ta' (ustice If India’s recent economic history tells us anythin",
it is that economic "ro#th #ithout public in$estment in social infrastructure such as health care and education can do
$ery little to better the life conditions of the ma(ority .hich is #hy curbin" ta' e$asion to boost public finance is part
of the United /ations’ Sustainable De$elopment %oals SD%s
o#e$er, not#ithstandin" the 5&0S pro(ect, 3/&s and their dedicated army of hi"hly paid accountants are not about
to roll o$er and comply A"ain, if past history is any indication, the cat+and+mouse "ame bet#een accountants and
ta'men #ill continue, #ith ne# loopholes bein" unearthed in ne# ta' rules
E'7ower%!8 ta +o+8ers
!he primary cause of concern here is the >uality of India’s political leadership, #hich has consistently betrayed its o#n
ta'men All it ta)es re"ardless of the party in po#er is for the stoc) mar)et to snee*e, and the Indian state
s#oons .e’$e seen it happen time and a"ain= the postponement of the enforcement of %eneral Anti+A$oidance Rules
%AAR to 2?19, and more spectacularly, on the issue of participatory notes, or 0+notes
ast year, the Special In$esti"ation !eam SI! on blac) money had recommended mandatory disclosure to the
re"ulator, as per Hno# our Customer HC norms, of the identity of the final o#ner of 0+notes It #as a sane
su""estion because the bul) of 0+note in$estments in the Indian stoc) mar)et #ere from ta' ha$ens such as Cayman
Islands 5ut the mar)ets thre# a fit, #ith the Sense' crashin" by 7?? points in a day !he /ational Democratic Alliance
/DA "o$ernment, #hich had come to po#er promisin" to fi"ht blac) money, promptly issued a statement assurin"
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in$estors that it #as in no hurry to implement the SI! recommendations %i$en such a patchy record, #hat are the
realistic chances of India actually clampin" do#n on ta' dod"in"M
et’s ta)e, for instance, Action /o 8 of the O&CD’s 5&0S report= it ur"es nations to curb treaty abuse by amendin"
their Double !a'ation A$oidance A"reements D!AA suitably !he ob$ious litmus test of India’s seriousness on 5&0S
is its D!AA #ith 3auritius 5y #ay of bac)"round, 3auritius accounted for 46 per cent of India’s FDI e>uity inflo#s
from 2??? to 2?17 It’s been India’s sin"le+lar"est source of FDI for nearly 17 years /o#, is it possible that there are so
many rich businessmen in this tiny island nation #ith a population of (ust 12 million, all #ith a touchin" faith in India
as an in$estment destinationM If not, ho# do #e e'plain an island economy #ith a %D0 less than one+hundredth of
India’s %D0 supplyin" more than one+third of India’s FDIM
.e all )no# the ans#er= 3auritius is a ta' ha$en .hile not in the same lea"ue as Cayman Islands or 5ermuda,
3auritius is a risin" star, than)s in no small measure to India’s patriotic but tra"ically ta'+aller"ic business elite In!reasure Islands= !a' a$ens and the 3en .ho Stole the .orld, financial (ournalist /icholas Sha'son notes ho#
3auritius is a popular hub for #hat is )no#n as round+trippin"T e #rites, A #ealthy Indian, say, #ill send his
money to 3auritius, #here it is dressed up in a secrecy structure, then dis"uised as forei"n in$estment, before bein"
returned to India !he sender of the money can a$oid Indian ta' on local earnin"sT
In other #ords, it appears that India’s bi""est source of FDI is India itself Indian money departs on a short holiday to
3auritius, before returnin" home as FDI 0erhaps not all the FDI streamin" in from 3auritius is round+tripped capital
maybe a part of it is @"enuine’ FDI ori"inatin" in &urope or the US 5ut it still denotes a massi$e loss of ta' re$enue,
part of the Q12 trillion stolen from de$elopin" countries e$ery year
.hat ma)es this theft of ta' re$enue not (ust possible but also le"al is India’s D!AA #ith 3auritius It’s a te'tboo)e'ample of @treaty shoppin"’ a "o$ernment+sponsored loophole for 3/&s to a$oid ta' by channellin" in$estments
and profits throu"h an offshore (urisdiction
For instance, as per this D!AA, capital "ains are ta'able only in 3auritius, not in India 5ut here’s the thin"= 3auritius
does not ta' capital "ains India, li)e any sensible country, does .hat #ould any sensible businessman doM Set up a
company in 3auritius, and route all Indian in$estments throu"h it
India si"ned this D!AA #ith 3auritius in 1<:4, but apparently @#o)e up’ only in 2??? India has spent much of 2?17
@tryin"’ to rene"otiate this treaty 5ut #ith our Indian+made forei"n in$estors lobbyin" furiously, the tal)s ha$e so far
yielded nothin" 3ean#hile, China, #hich too had the same problem #ith 3auritius, has already rene"otiated its
D!AA, and it can force in$estors to pay 1? per cent capital "ains ta' in China
C$a!8%!8 7ro)%*e o) ta $a#e!s
!a' ha$ens such as 3auritius thri$e parasitically, feedin" on substanti$e economies li)e India 5ac) in 2???, the O&CD
had identified 61 (urisdictions as ta' ha$ens !oday, as it humbly see)s their cooperation to combat ta' a$oidance, it
calls them by a different name, so as not to offend them
!he same list is no# called and this is not a (o)e @Burisdictions Committed to Impro$in" !ransparency and
&stablishin" &ffecti$e &'chan"e of Information in !a' 3atters’ Distin"uished members of this club include Cayman
Islands, 5ermuda, 5ahamas, Cyprus, and of course, 3auritius
!oday the function of ta' ha$ens in the "lobal economy has e$ol$ed #ay beyond that of offerin" a lo#+ta' (urisdiction
3r Sha'son describes three ma(or elements that ma)e ta' ha$ens tic) First, ta' ha$ens are not necessarily about
"eo"raphyN they are simply someplace else a place #here a country’s normal ta' rules don’t apply So, for instance,
country A can ser$e as a ta' ha$en for residents of country 5, and $ice $ersa !he US is a classic e'ample It has
strin"ent ta' la#s, and is ener"etic in prosecutin" ta' e$asion by its citi*ens around the #orld 5ut it is e>ually )een to
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attract ta'+e$adin" capital from other countries, and does so throu"h "enerous sops and helpful pieces of le"islation
#hich ha$e effecti$ely turned the US into a ta' ha$en for non+residents
Second, more than the nominally lo# ta'es, the bi""er attraction of ta' ha$ens is secrecy Secrecy is important for t#o
reasons= to be able to a$oid ta', you need to hide your real incomeN and to hide your real income, you need to hide
your identity, so that the booty stashed a#ay in a ta' ha$en cannot be traced bac) to you by the ta'men at home So,
e$en a country #hose ta'es are not too lo# can function as a ta' ha$en by offerin" a combination of e'emptions and
iron+clad secrecy #hich is the formula adopted by the li)es of u'embour" and the /etherlands
!hird, the e'treme combination of lo# ta'es and hi"h secrecy brou"ht about a ne# mutation of ta' ha$ens in the
1<8?s= they turned themsel$es into offshore financial centres OFCs !he economist Ronen 0alan defines OFCs as
mar)ets in #hich financial operators are permitted to raise funds from non+residents and in$est or lend the money to
other non+residents free from most re"ulations and ta'esT It is estimated that OFCs are recipients of 4? per cent of the
#orld’s FDI, and are, in turn, the source of a similar >uantum of FDI
Such bein" the case, all India needs to do to attract FDI is to become an OFC, or create an OFC on its territory brin"
offshore onshore, so to spea) !hat’s precisely #hat the US did it set up International 5an)in" Facilities I5Fs, to
offer deposit and loan ser$ices to forei"n residents and institutions free of_ reser$e re>uirementsT Bapan set up the
Bapanese Offshore 3ar)et BO3 Sin"apore has the Asian Currency 3ar)et ACU, !hailand has the 5an")o)
International 5an)in" Facility 5I5F, 3alaysia has an OFC in abuan island, and other countries ha$e similar
facilities OFCs, as Ronen 0alan puts it, are less ta' ha$ens than re"ulatory ha$ens, #hich means that financial capital
can do here #hat it cannot do @onshore’ So e$ery ma(or hed"e fund operates out of an OFC %i$en the $olume of
unre"ulated financial transactions that OFCs host, it is no surprise that they #ere at the heart of the 2??: financial
crisis
Apart from accumulatin" illicit capital in the ta' ha$en role, channellin" this capital bac) onshore dressed up as FDI
in in$estment hub role, and deployin" it to en"a"e in destructi$e financial speculation in OFC role, these
stron"holds of finance capital also ser$e a political function= they undermine democracy by enablin" financial capture
of the political le$ers of democratic states
It is #ell )no#n that political parties in most democracies are amply funded by slush funds that #ould not ha$e
accumulated in the first place had ta'es been paid 5ut today, not least in the An"lophone #orld, "lobal finance’s
capture of the state appears more li)e the norm
A lone e'ception seems to be Iceland, #hich be"an the ne# year on a rousin" note by sentencin" 28 corrupt ban)ers
to a combined 96 years in (ail 3ean#hile in India, #e continue to parrot lon" discredited clichVs about the need for
more financial dere"ulation and a #eird lo"ic that mandates a smaller and more limited role for public finance
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<:
AARRTT TT EENNTTYY FFOOUURR|| EESSSSAAYY
13 I!+e7e!+e!t t$%!-%!8 s$ou*+ (e e!&oura8e+ r%8$t )ro' t$e &$%*+$oo+3
Archit Mathur (Batch: SW 1)
Independence is not merely emancipation from physical shac)les but also freedom of thou"ht, speech and e'pression
Independent thin)in" means understandin" the #orld throu"h self e'perience, obser$ation and #isdom Free and
independent thin)in" are the prere>uisites for a healthy "ro#th of mind A healthy mind is one #hich is capable of
ma)in" rational decisions and is free from any pre(udices A person #ith such rational mind does not ta)e anythin" for
"ranted and >uestions e$erythin" especially those primordial notions #hich lac) any co"ent scientific e'planation
o#e$er, rational thin)in" is not somethin" that can be learnt in spur+of+the+momentN rather it is a s)ill that needs to
be honed ri"ht from the childhood
Formation of mind is not only determined by biolo"ical factors, rather its formation depends on the milieu in #hich
the person #as brou"ht up uman psyche is thus an upshot of "enetics and conditionin" !hou"h human mind is
born free but o$er the time a person’s #ill and $olition are all corrupted by the society !he famous ma'im of Arthur
Schopenhauer, 3an can do #hat he #ills but he cannot #ill #hat he #illsT sums up this phenomenon ac) of
independent thin)in" leads to the formation of tendentious and often belli"erent outloo) to#ards those #ho ha$e a
different opinion and is often a source of conflict Such a demeanour also acts as an impediment to inte"rate the
society
!he seeds for a scientific outloo) need to be so#n ri"ht from childhood /eurolo"ical science su""ests that brainplasticity is ma'imum durin" childhood and hence it is of utmost importance that independent thin)in" should be
promoted ri"ht from this sta"e .ith independent thin)in" a person #ill ha$e a con$iction to stand by his beliefs e$en
#hen they are not in conformity #ith accepted norms
!he e$er increasin" cases of reli"ious and ethnic conflicts accentuate the need for rational thin)in" It is true that there
is no a"e limit to learnin" but all that "oes into the brain after a certain a"e is construed pursuant to #hat #as fed to
the brain in its initial years, #hich #as childhood Althou"h #isdom accrues #ith a"e but some lon" held beliefs
cannot be easily obliterated from peoples mind One cannot assume a reli"ious fundamentalist to ab(ure his lon" held
beliefs and embrace the idea of secularismN similarly it’s not possible for a dyed+in+the+#ool conser$ati$e to ta)e a
liberal stand on any issue Independent thin)in" is basic and pi$otal re>uirement to build a secular society and should
be promoted durin" the formati$e years of the human mind
3ost of the countries today tal) about e>uality, but the truth is that e>uality still remains a co$eted dream %ender
ine>uality, social discrimination, racial persecution and economic chasm taint the le"acy of almost all the nations
/arro# minded people thri$e by ta)in" ad$anta"e of the beclouded minds of the people #ho fail to discern #hat is
propitious and #hat is pernicious for the society !his hi"hli"hts the dire need for people #ith broader and pious
mindset It is e'pected that people #ith rational minds #ill challen"e the customs and traditions of the yore #hich are
not buttressed by any scientific theory
In an attempt to moderni*e, the #orld loo)s at persons #ho ha$e the in"enuity and s)ill to brin" unprecedented
constructi$e chan"es Inno$ation has been possible only because of independent thin)in", in the absence of #hich,
#orld #ould still be usin" superannuated techni>ues of the early man A confluence ris) ta)in" attitude and ne#
ideas is the only re>uirement for rapid de$elopment One cannot be tau"ht to ta)e ris)s, but it can be fostered from
youn" a"e by promotin" independent thin)in" by #hich children learn by e'perimentin" and not by relyin" on #ord
of mouth !his de$elops in children the ability to trust their o#n (ud"ements and act accordin"ly despite ma)in"
errors
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Independent thin)in" offers a plethora of ad$anta"es, but creatin" an en$ironment conduci$e for the children to thin)
independently is a "ar"antuan challen"e !he present day education system pro$es to be the bi""est hurdle for this
tas) !oday, #hen a child’s ability is measured by the mar)s he scores, the spirit of learnin" fades a#ay, and this is
#here education loses its importance !he reason for pro$idin" education is not only to enable a person to "et a (ob but
also to ma)e him co"ni*ant of his surroundin"s so that he can initiate steps to ma)e the #orld a better place 3ost of
the achie$ements in the science field can be accrued to those erudite scholars #ho dared to defy the education system
and concentrated on their #or)s despite of attractin" fla) from the society ence, the present day education system
needs to be re$ised so as to promote independent thin)in" !he peda"o"y follo#ed must chan"e and the children
should be encoura"ed to brin" in creati$e ideas to sol$e a problem
0arents also need to play a $ital role in order to foster independent thin)in" by focusin" on o$erall de$elopment of
their children /ot only academics, but focus should be to help their children e'cel in all spheres of life !hey should
entrench in their children the ethos re>uired for rational thin)in" istenin" s)ills must be de$eloped in children sothat they understand the different $ie# points on a particular issue before ta)in" a stance Also parents must
understand that their role is not to sol$e the problem of their children but to e>uip them so that they are capable of
sol$in" them on their o#n and hence, spoon feedin" is should be a$oided as far as possible
Sports can play a sterlin" role in promotin" independent thin)in" in the children A success in sports comes almost
e$ery time because of some player’s unorthodo' tactics to steal the sho# !here cannot be a better platform than a
sports field to promote inno$ati$e thin)in" Apart from thin)in" independently, sports also pro$ide an opportunity to
the players to coalesce their different $ie#points to arri$e at a #innin" strate"y Sports thus pro$ide a fusion of
creati$eness and cooperation to a person, and this is precisely #hat the #orld re>uires
!eachin" of ethics in school as a part of its curriculum must be an immediate step !hou"h there may not be a directne'us bet#een ethics and independent thin)in", but it is $ery important to ensure that #hen #e pro$ide the children
#ith an opportunity to channeli*e their thou"hts and ener"y, morality doesn’t "et lost in the process &thics ensure
that this channeli*ation is in proper direction, other#ise this step to promote independent thin)in" to ameliorate the
present day conditions mi"ht turn out to be a fiasco, addin" to the #oes of the society In the #ords of Ba#aharlal
/ehru, Failure comes only #hen #e for"et our ideals and ob(ecti$es and principlesT
Children of today are the future of tomorro# and if #e en$isa"e a utopian #orld in the future, it is $ery important to
bolster the foundation for this future ob(ecti$e, and it is only possible by promotin" independent thin)in" ri"ht from
the childhood
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1??
AARRTT TT EENNTTYY FFII<<EE || AASSSSII,,NN;;EENNTT @@UUEESSTTIIOONNSS
ART I: Contains multiple choice >uestions 3C;s on current affairs for practice In this issue, #e ha$e
co$ered probable >uestions for %eneral Studies 0reliminary 0aper I dra#n from the No#e'(er 201G issue
of @FOCUS’ ma"a*ine
;1 .hich of the follo#in" is not a nei"hbourin"
country of 3yanmarM
a Cambodia
b !hailand
c aos
d 5an"ladesh
;2 Aun" San Suu Hyi is the leader of
a /ational ea"ue for Democracy /D
b /ational Democratic Front /DF
c iberal Democrats
d United Democratic Front UDF
;4 .hich of the follo#in" does not border @%ulf of
!hailand’M
a Cambodiab !hailand
c aos
d Kietnam
;6 .hich of the follo#in" is not a member country
of AS&A/M
a Cambodia
b &ast !imor
c aos
d 5runei Darussalam
;7 ata)ia 0ort lies in
a ebanon
b Israel
c Cyprus
d Syria
;8 .hich of the follo#in" pairs of countries border
@Dead Sea’M
a Israel and Syria
b Israel and ebanon
c Israel and Bordan
d Bordan and &"ypt
;9 /A!O’s head>uarters is located in
a Copenha"en
b Kienna
c 0ra"ue
d 5russels
;: .hich of the follo#in" countries #ithdre# from
/uclear /on+0roliferation !reaty /0!M
a Israel
b 0a)istan
c /orth Horea
d South Sudan
;< India’s easternmost strate"ic airfield at !e(u lies
in
a Assam
b Arunachal 0radesh
c /a"aland
d Si))im
;1? Sunderbans #ill become a separate district in
.est 5en"al Sunderbans, the #orldGs lar"est
man"ro$e is spread o$er t#o southern 5en"al
districts of
a 0urba 3edinipur and 0aschim 3edinipur
b u"li and aora
c /adia and u"li
d /orth and South 26 0ar"anas
;11 !ata Steel has commissioned the first phase of itsHalin"ana"ar steel plant in
a Chhattis"arh
b Bhar)hand
c 3adhya 0radesh
d Orissa
;12 Consider the follo#in" statements=
1 !he colle"ium system has its "enesis in a series
of three (ud"ments that is no# clubbed to"ether
as the !hree Bud"es CasesT
2 It is a system under #hich appointments and
transfers of (ud"es are decided by a forum of the
Chief Bustice of India and the four senior+most
(ud"es of the Supreme Court
.hich of the statements "i$en abo$e isare
correctM
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a Only 1
b Only 2
c 5oth 1 and 2
d /either 1 nor 2
;14 Census in India has been conducted e$ery 1?
years It be"an in
a 1:81
b 1:91
c 1::1
d 1:<1
;16 India plans to launch @Aditya’, its first dedicatedscientific mission to study the
a Uranus
b 0luto
c Sun
d !itan
;17 !he Indian Air Force IAF too) the deli$ery of
the 0C+9 5asic !rainer Aircraft 5!A
manufactured by 0ilatus of
a France
b S#it*erlandc Israel
d 5el"ium
;18 I/S Hadmatt is an
a indi"enously built attac) submarine
b indi"enously built stealth Anti+Submarine
.arfare AS. cor$ettes
c indi"enously built !orpedo aunch and
Reco$ery $essel
d indi"enously built "uided missile destroyer
;19 .orld !oilet Day is held on
a /o$ember 1<
b /o$ember ?<
c /o$ember 2<
d /o$ember 4?
;1: !he founder of Huomintan" H3! #as
a Chian" Hai She)
b Den" io 0in"
c Sun at+sen
d Lian" Lemin
;1< Archaeolo"ical Sur$ey of India #as founded in
1:81 by
a Bames 0rinsep
b Richard %uyon
c /orman ash
d Ale'ander Cunnin"ham
;2? @Denali’ is the ne# name of
a 3t 3c)inley
b 3t Aconca"ua
c 3ount Hoscius*)o
d 3t Hiliman(aro
;21 !he presti"ious %olden 0eacoc) a#ard at the
68th International Film Festi$al of India IFFI
#as #on bya Sealed Car"o
b 3easure of a man
c &mbrace of the Serpent
d Cinema#ala
;22 !he 2?17 Common#ealth eads of %o$ernment
3eetin" CO%3 #as held in
a 3alta
b /e# Lealand
c South Africa
d /amibia
;24 !he current Chief Bustice of India is
a Dattu
b !S !ha)ur
c R3 odha
d Hania
;26 Consider the follo#in" statements=
1 !he Da$is Cup is described by the or"anisers as
the P.orld Cup of !ennisP, and the #inners are
referred to as the .orld Champion team
2 !he competition be"an in 1<?? as a challen"e
bet#een %reat 5ritain and France
.hich of the statements "i$en abo$e isare
correctM
a Only 1
b Only 2
c 5oth 1 and 2
d /either 1 nor 2
;27 .hich of the follo#in" countries has #on Da$is
Cup+2?17M
a France
b %ermany
c S#it*erland
d %reat 5ritain
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1?2
;28 Consider the follo#in" statements=
1 !he %roup of !#enty also )no#n as %2? is an
international forum for the "o$ernments and
central ban) "o$ernors from 2? ma(or
economies
2 !he members include 1< indi$idual countries
alon" #ith the &uropean Union &U !he &U is
represented by the &uropean Commission and
by the &uropean Central 5an)
.hich of the statements "i$en abo$e isare
correctM
a Only 1
b Only 2c 5oth 1 and 2
d /either 1 nor 2
;29 .hich of the follo#in" countries is not a
member of %+2?M
a !ur)ey
b Saudi Arabia
c &"ypt
d South Africa
;2: !he 9th 0ay Commission #as headed bya Bustice K Du""al
b Bustice AH 3athur
c Bustice Subramaniam
d Bustice 3/ %an"uly
;2< Consider the follo#in" statements=
1 !he /ational %reen !ribunal #as established in
2?1? under the /ational %reen !ribunal Act 2?1?
for effecti$e and e'peditious disposal of cases
relatin" to en$ironmental protection and
conser$ation of forests and other natural
resources
2 It is a speciali*ed body e>uipped #ith the
necessary e'pertise to handle en$ironmental
disputes in$ol$in" multi+disciplinary issues
.hich of the statements "i$en abo$e isare
correctM
a Only 1
b Only 2
c 5oth 1 and 2
d /either 1 nor 2
;4? !he Centre for Cellular and 3olecular 5iolo"y
or CC35 is a biotechnolo"y research
establishment of
a Council of Scientific and Industrial Research
CSIR
b Indian A"riculture Research Institute IARI
c Central Dru" Research Institute CDRI
d Centre for &'cellence in 5asic Sciences
;41 5ara) surface+to+air missile SA3 system is
(ointly de$eloped by
a India and Israel
b India and Russia
c India and France
d India and United Hin"dom
;42 !he Schen"en Area is the area comprisin" of
countries that ha$e abolished passport and any
other type of border control at their common
borders !he area is in
a South America
b /orth America
c &urope
d South &ast Asia
;44 Consider the follo#in" statements=
1 !he /uclear Supplier %roup /S% is a 6: nation"roupin" that controls nuclear related e'port
2 It #as setup in 1<96 to counter India’s nuclear
tests
.hich of the statements "i$en abo$e isare
correctM
a Only 1
b Only 2
c 5oth 1 and 2
d /either 1 nor 2
;46 Consider the follo#in" statements=
1 !he 3issile !echnolo"y Control Re"ime 3!CR
is a 46 nation "roupin" that controls the e'port
of missile related technolo"y, includin" drones
2 It #as setup in 1<:9
.hich of the statements "i$en abo$e isare
correctM
a Only 1
b Only 2
c 5oth 1 and 2
d /either 1 nor 2
;47 Consider the follo#in" statements=
1 5onds are instruments of debt + typically used by
corporates to raise money from in$estors
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1?4
2 3asala bonds are rupee+denominated bonds
issued to o$erseas buyers
4 !he issuin" of masala bonds is an attempt to
increase the international status of rupee and is
also a step to#ards current currency
con$ertibility
.hich of the statements "i$en abo$e isare
correctM
a Only 1 and 2
b Only 2 and 4
c Only 1 and 4
d All of the abo$e
ART II: A bunch of 17 rele$ant >uestions on $arious themes of %eneral Studies 3ain &'amination ha$e been put in
this issue for practice
,ENERAL STU/IES 5;AIN AERS
A!swer t$e )o**ow%!8:
T$e'e: H%stor" I!+%a! Her%ta8e a!+ Cu*ture
1 !he ancient ci$ili*ation in Indian sub+continent differed from those of &"ypt, 3esopotamia and %reece in that
its culture and traditions ha$e been preser$ed #ithout a brea)do#n to the present day Comment
2 3esolithic roc) cut architecture of India not only reflects the cultural life of the times but also a fine aesthetic
sense comparable to modem paintin" Critically e$aluate this comment
4 o# different #ould ha$e been the achie$ement of Indian independence #ithout 3ahatma %andhiM Discuss6 3ahatma %andhi and Dr 5R Ambed)ar, despite ha$in" di$er"ent approaches and strate"ies, had a common
"oal of amelioration of the do#ntrodden &lucidate
7 It #ould ha$e been difficult for the Constituent Assembly to complete its historic tas) of draftin" the
Constitution for Independent India in (ust three years but for the e'perience "ained #ith the %o$ernment of
India Act, 1<47 Discuss
T$e'e: I!+%a! So&%et" a!+ So&%a* Just%&e
1 Critically e'amine #hether "ro#in" population is the cause of po$erty OR po$erty is the main cause of
population increase in India
2 o# do you e'plain the statistics that sho# that the se' ratio in !ribes in India is more fa$ourable to #omen
than the se' ratio amon" Scheduled CastesM
4 Discuss the chan"es in the trends of labour mi"ration #ithin and outside India in the last four decades
6 Discuss the positi$e and ne"ati$e effects of "lobali*ation on #omen in India
7 Debate the issue of #hether and ho# contemporary mo$ements for assertion of Dalit identity #or) to#ards
annihilation of caste
T$e'e: ,eo8ra7$" a!+ E!#%ro!'e!t
1 &'plain the factors responsible for the ori"in of ocean currents o# do they influence re"ional climates, fishin"
and na$i"ationM
2 India is #ell endo#ed #ith fresh #ater resources Critically e'amine #hy it still suffers from #ater scarcity
4 o# far do you a"ree that the beha$iour of the Indian monsoon has been chan"in" due to humani*in"landscapesM Discuss
6 .hat are the economic si"nificances of disco$ery of oil in Arctic Sea and its possible en$ironmental
conse>uencesM
7 !he states of Bammu and Hashmir, imachal 0radesh and Uttara)hand are reachin" the limits of their ecolo"ical
carryin" capacity due to tourism Critically e$aluate
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1?6
AARRTT TT EENNTTYY SSII==|| SSOOLLUUTTIIOONNSS
Solutions are "i$en hereunder for the multiple choice >uestions on current affairs "i$en in December, 2?17 issue of
@FOCUS’ ma"a*ine
;1+ Ans#er d
;2+ Ans#er c
;4+ Ans#er d
;6+ Ans#er b
;7+ Ans#er c
;8+ Ans#er d
;9+ Ans#er c;:+ Ans#er a
;<+ Ans#er b
;1?+ Ans#er a
;11+ Ans#er b
;12+ Ans#er d
;14+ Ans#er c
;16+ Ans#er b
;17+ Ans#er c
;18+ Ans#er b
;19+ Ans#er d
;1:+ Ans#er c
;1<+ Ans#er c
;2?+ Ans#er b
;21+ Ans#er d
;22+ Ans#er a
&'p= /ASA is headed by the Chief Bustice of India
;24+ Ans#er a
;26+ Ans#er c
;27+ Ans#er b
;28+ Ans#er a
;29+ Ans#er b;2:+ Ans#er c
;2<+ Ans#er a
;4?+ Ans#er c
;41+ Ans#er b
;42+ Ans#er a
;44+ Ans#er d
;46+ Ans#er c
;47+ Ans#er b
;48+ Ans#er d
;49+ Ans#er a
;4:+ Ans#er b;4<+ Ans#er d
;6?+ Ans#er a
&'p= !he 0eace 0ri*e is a#arded in Oslo, /or#ay,
#hile the other pri*es are a#arded in
Stoc)holm, S#eden
;61+ Ans#er a
;62+ Ans#er a
;64+ Ans#er b
;66+ Ans#er b
;67+ Ans#er d
;68+ Ans#er c
;69+ Ans#er a
;6:+ Ans#er b;6<+ Ans#er c
;7?+ Ans#er c
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1?7
ART TENTY SE<EN | FOCUS SECIAL
ROLE OF CURRENT AFFAIRS AN/ I;ACT OF DFOCUS ;A,AINE’
5AN O<ERALL ANALYSIS
ART I ROLE OF CURRENT AFFAIRS IN 201G ,ENERAL STU/IES 5;AIN AERS I II III
!he #orld is increasin"ly becomin" a close )nit "lobal $illa"e, connected by faster and emer"in" modes of
communication, #here flo# of information are transcendin" national boundaries and "ettin" access to all forms of
data, information, happenin"s, e$ents, decisions, treaties, and all thin"s of importance are (ust a clic) of mouse a#ay
So this accessibility to #ide ran"e of information pro$ides an opportunity to a person desirous of learnin" and
up"radin" hisher personality
In this conte't, U0SC throu"h its C%#%* Ser#%&e ;a%! Ea'%!at%o!201G QCSE 5;201G has embar)ed on the path of
(ud"in" candidates’ comprehensi$e a#areness, )no#led"e and understandin" of "lobal, national and local issues
influencin" and impactin" socio+economic de$elopment, security and en$ironmental issues and related policies in our
countryN and that is #hy 'ost o) t$e Muest%o!s as-e+ %! ,e!era* Stu+%es a7er I II III are +es%8!e+ a!+ +raw!
'a%!*" )ro' &urre!t %ssues a!+ $a77e!%!8s e%t$er +%re&t*" or &o!tetua*3
%eneral Studies+ 0aper I, II - III contained 60 5202020 Muest%o!s %! tota* Out of these, the brea)up of >uestions
ha$in" current affairs conte't in each of the paper is "i$en hereunder=
Sr3
No3
a7er No3 o) Muest%o!s as-e+ @uest%o!s $a#%!8
Curre!t a))a%rs &o!tet
Curre!t A))a%rs 5
01 %eneral Studies+ 0aper I 2? 11 77J
02 %eneral Studies+ 0aper II 2? 1: <?J
0 %eneral Studies+ 0aper III 2? 1: <?J
Tota* 5a7er I II >III 60
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FOCUS: RAU’S HOUSE JOURNAL ON CURRENT AFFAIRS ANALYSIS | JANUARY 2016
1?9
0 @uest%o! 14: Smart cities in India cannot sustain #ithout smart $illa"es Discuss this statement in the
bac)drop of rural urban inte"ration Co#ere+ %!: FOCUS AU%US! 2?17
E+%tor%a*: /eeded, smart solutions Direct
E+%tor%a*: India’s urban challen"es Direct
0 @uest%o! No3 20: .hat are the economic si"nificances of disco$ery of oil in Arctic Sea and its possible
en$ironmental conse>uencesM
Co#ere+ %!: FOCUS D&C&35&R 2?16
News Ite'= Denmar) claims contested Arctic territory Conte'tual
,ENERAL STU/IES AER II 01 @uest%o! 2: !he concept of cooperati$e federalism has been increasin"ly emphasi*ed in recent years
i"hli"ht the dra#bac)s in the e'istin" structure and the e'tent to #hich cooperati$e federalism #ould
ans#er the shortcomin"s
Co#ere+ %!: FOCUS F&5RUAR 2?17
Art%&*e: Federalism in India= 0olitical and Fiscal Direct
02 @uest%o! G: Resortin" to ordinances has al#ays raised concern on $iolation of the spirit of separation of
po#ers doctrine .hile notin" the rationales (ustifyin" the po#er to promul"ate ordinances, analy*e
#hether the decisions of the Supreme Court on the issue ha$e further facilitated resortin" to this po#er
Should the po#er to promul"ate ordinances be repealedM
Co#ere+ %!: FOCUS D&C&35&R 2?16
E+%tor%a*: Reform by decree Conte'tual
News Ite': Ordinance to amend and Act Conte'tual
0 @uest%o! : &'amine critically the recent chan"es in the rules "o$ernin" forei"n fundin" of /%Os under
the Forei"n Contribution Re"ulation Act FCRA, 1<98
Co#ere+ %!: FOCUS 3A 2?17
E+%tor%a*: /%Os in the firin" line Direct
0 @uest%o! 4: !he Self+elp %roup S% 5an) in)a"e 0ro"ramme S50, #hich is India’s o#n
inno$ation, has pro$ed to be one of the most effecti$e po$erty alle$iation and #omen empo#erment
pro"rammes &lucidate
Co#ere+ %!: FOCUS AU%US! 2?17
News Ite': 5an)in" re$olution on cards= R5I clears 11 payments ban)s Conte'tual
Co#ere+ %!: FOCUS S&0!&35&R 2?17
News Ite': /e# small finance ban)s Conte'tual
0G @uest%o! 10: o# can the role of /%Os be stren"thened in India for de$elopment #or)s relatin" to
protection of the en$ironmentM Discuss thro#in" li"ht on the ma(or constraintsCo#ere+ %!: FOCUS 3A 2?17
E+%tor%a*: /%Os in the firin" line Conte'tual
Co#ere+ %!: FOCUS S&0!&35&R 2?17
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FOCUS= RAU’S OUS& BOUR/A O/ CURR&/! AFFAIRS A/ASIS E JANUARY 2016
1?:
News Ite': %o$ernment launches %reen i"h#ays 0olicy Conte'tual
06 @uest%o! 113 !he >uality of hi"her education in India re>uires ma(or impro$ements to ma)e it
internationally competiti$e Do you thin) that the entry of forei"n educational institutions #ould help
impro$e the >uality of hi"her and technical education in the countryM Discuss
Co#ere+ %!: FOCUS AU%US! 2?17
Art%&*e: A blueprint for hi"her education Direct
0 @uest%o! 123 0ublic health system has limitations in pro$idin" uni$ersal health co$era"e Do you thin)
that the pri$ate sector could help in brid"in" the "apM .hat other $iable alternati$es #ould you su""estM
Co#ere+ %!: FOCUS BA/UAR 2?17
E+%tor%a*: Findin" money for health Direct
Co#ere+ %!: FOCUS F&5RUAR 2?17
E+%tor%a*: !he cost of ne"li"ence Direct
Co#ere+ %!: FOCUS S&0!&35&R 2?17
Fo&us S7e&%a*: Case for public health in India Direct
0 @uest%o! 13 !hou"h there ha$e been se$eral different estimates of po$erty in India, all indicate reduction
in po$erty le$els o$er time Do you a"reeM Critically e'amine #ith reference to urban and rural po$erty
indicators
Co#ere+ %!: FOCUS BU 2?17
E+%tor%a*: Urban, poor Direct
Co#ere+ %!: FOCUS BU 2?17
E+%tor%a*: Rural realities Direct
Co#ere+ %!: FOCUS BU 2?17
News Ite': Socio &conomic and Caste Census S&CCDirect
04 @uest%o! 1: In the li"ht of the Satyam Scandal 2??<, discuss the chan"es brou"ht in corporate
"o$ernance to ensure transparency, accountability
Co#ere+ %!: FOCUS A0RI 2?17
E+%tor%a*: !ruth pre$ails in Satyam case Direct
10 @uest%o! 1G: If amendment bill to the .histleblo#ers Act, 2?11 tabled in the 0arliament is passed, there
may be no one left to protectT Critically e$aluate
Co#ere+ %!: FOCUS 3A 2?17
E+%tor%a*: Amendments to the .histle 5lo#ers Act Direct
11 @uest%o! 16: For achie$in" the desired ob(ecti$es, it is necessary to ensure that the re"ulatory institutions
remain independent and autonomousT Discuss in the li"ht of the e'periences in recent past
Co#ere+ %!: FOCUS BU 2?17
E+%tor%a*: %i$e the R5I its independence Direct
12 @uest%o! 1: Increasin" interest of India in Africa has its pros and cons Critically e'amine
Co#ere+ %!: FOCUS OC!O5&R 2?17
E+%tor%a*: Reachin" out to Africa Direct
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Co#ere+ %!: FOCUS OC!O5&R 2?17
Art%&*e: Re$ersin" the continental drift DirectCo#ere+ %!: FOCUS /OK&35&R 2?17
Art%&*e: India+Africa summit beyond the e$ent Direct
1 @uest%o! 1: Discuss the impediments India is facin" in its pursuit of a permanent seat in U/ Security
Council
Co#ere+ %!: FOCUS S&0! 2?17
E+%tor%a*: !ime to reform the U/SC Direct
Co#ere+ %!: FOCUS CO30&/DIU3
News Ite': United /ations Security Council Conte'tual
1 @uest%o! 14: 0ro(ect `3ausam’ is considered a uni>ue forei"n policy initiati$e of the Indian %o$ernment
to impro$e relationship #ith its nei"hbours Does the pro(ect ha$e a strate"ic dimensionM Discuss
Co#ere+ %!: FOCUS A0RI 2?17
Art%&*e: China to inte"rate 3on"olian, Russian initiati$es #ith 3SR Conte'tual
,ENERAL STU/IES AER III
01 @uest%o! 1: !he nature of economic "ro#th in India in described as (obless "ro#th Do you a"ree #ith
this $ie#M %i$e ar"uments in fa$our of your ans#er
Co#ere+ %!: FOCUS BU 2?17
E+%tor%a*: S)illin" up Direct
02 @uest%o! 2: i$estoc) rearin" has a bi" potential for pro$idin" non+farm employment and income in
rural areas Discuss su""estin" suitable e'amples
Co#ere+ %!: FOCUS D&C&35&R 2?16
E+%tor%a*: A#ay from the farm Direct
0 @uest%o! : In $ie# of the declinin" a$era"e si*e of land holdin"s in India #hich has made a"riculture
non+$iable for a ma(ority of farmers, should contract farmin" and land leasin" be promoted in a"ricultureM
Critically e$aluate the pros and cons
Co#ere+ %!: FOCUS A0RI 2?17Art%&*e: A"riculture in crisis Direct
Co#ere+ %!: FOCUS CO30&/DIU3
Art%&*e: o# not to treat a"riculture Direct
0 @uest%o! : o# can the @Di"ital India’ pro"ramme help farmers to impro$e farm producti$ity and
incomeM .hat steps has the %o$ernment ta)en in this re"ardsM
Co#ere+ %!: FOCUS BU 2?17
E+%tor%a*: .ired for chan"e= Di"ital India’s a "reat idea, but re>uires implementation and pri$acy
safe"uards Conte'tual
0G @uest%o! : Cra*e for "old in Indians ha$e led to a sur"e in import of "old in recent years and put
pressure on balance of payments and e'ternal $alue of rupee In $ie# of this, e'amine the merits of %old
3oneti*ation Scheme
Co#ere+ %!: FOCUS S&0!&35&R 2?17
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11?
E+%tor%a*: !he thin" #ith "old Direct
Co#ere+ %!: FOCUS S&0!&35&R 2?17News Ite': Cabinet clears %OD schemes Direct
Co#ere+ %!: FOCUS /OK&35&R 2?17
Art%&*e: !he sum of three ne# "old schemes Direct
06 @uest%o! 3 Success of @3a)e in India’ pro"ramme depends on the success of @S)ill India’ pro"ramme
and radical labour reformsT Discuss #ith lo"ical ar"uments
Co#ere+ %!: FOCUS BU 2?17
E+%tor%a*: S)illin" up Direct
Co#ere+ %!: FOCUS 3ARC 2?17
Art%&*e: 3anufacturin" in India= /e# 0erspecti$es and Imperati$es Direct
0 @uest%o! 113 .hat do you understand by @Standard 0ositionin" Systems’ and @0rotection 0ositionin"
Systems’ in the %0S eraM Discuss the ad$anta"es India percei$es from its ambitious IR/SS pro"ramme
employin" (ust se$en satellites
Co#ere+ %!: FOCUS 3ARC 2?17
News Ite': ISRO launches IndiaGs fourth na$i"ation satellite IR/SS+1D Direct
0 @uest%o! 13 India’s !raditional Hno#led"e Di"ital ibrary !HD #hich has a database containin"
formatted information on more than 2 million medicinal formulations is pro$in" a po#erful #eapon in thecountry’s fi"ht a"ainst erroneous patents Discuss the pros and cons ma)in" this database publicly
a$ailable under open+source licensin"
Co#ere+ %!: FOCUS AU%US! 2?17
E+%tor%a*: Ci$ilisational copyri"ht Direct
04 @uest%o! 1G: !he /amami %an"e and /ational mission for clean %an"a /3C% pro"rammes and
causes of mi'ed results from the pre$ious schemes .hat >uantum leaps can help preser$e the ri$er
%an"a better than incremental inputsM
Co#ere+ %!: FOCUS 3A 2?17
E+%tor%a*: !he ri$er in distress Direct
10 @uest%o! 16: !he fre>uency of earth>ua)es appears to ha$e increased in the Indian subcontinent
o#e$er, India’s preparedness for miti"atin" their impact has si"nificant "aps Discuss $arious aspects
Co#ere+ %!: FOCUS 3ARC 2?17
E+%tor%a*: Bammu and Hashmir #ill "et seismic station net#or) Direct
11 @uest%o! 1: uman ri"hts acti$ists constantly hi"hli"ht the $ie# that the Armed Forces Special 0o#ers
Act, 1<7: AFS0A is a draconian act leadin" to cases of human ri"hts abuses by the security forces .hat
sections of AFS0A are opposed by the acti$istsM Critically e$aluate the re>uirement #ith reference to the
$ie# held by the Ape' Court
Co#ere+ %!: FOCUS 3A 2?17
E+%tor%a*: i)e !ripura Direct
12 @uest%o! 1: Reli"ious indoctrination $ia di"ital media has resulted in Indian youth (oinin" the ISIS
.hat is ISIS and its missionM o# can ISIS be dan"erous for the internal security of our countryM
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Considerin" the abo$e analysis, the contribution of FOCUS in ans#erin" the 69 current affairs based >uestions as)ed
in %eneral Studies+ 0aper I, II - III 2?17 is "i$en hereunder=
Sr3
No3
a7er No3 o) &urre!t a))a%rs
(ase+ Muest%o!s
Co!tr%(ut%o! o) FOCUS
5%! a!swer%!8 Muest%o!s
I'7a&t o) FOCUS 5
01 %eneral Studies+ 0aper I 11 ?: 92J
02 %eneral Studies+ 0aper II 1: 16 9:J
0 %eneral Studies+ 0aper III 1: 14 92J
Tota* 5a7er I II >III G G
Co#ere+ %!: FOCUS F&5RUAR 2?17
News Ite': IS )idnaps <? Assyrian Christians in Syria Direct
1 @uest%o! 14: !he persistin" dri$es of the "o$ernment for de$elopment of lar"e industries in bac)#ard
areas ha$e resulted in isolatin" the tribal population and the farmers #ho face multiple displacements
#ith 3al)an"iri and na'albari foci, discuss the correcti$e strate"ies needed to #in the left #in" e'tremism
.& doctrine affected citi*ens bac) into the mainstream of social and economic "ro#th
Co#ere+ %!: FOCUS BU 2?17
Art%&*e: !ribal alienation in an une>ual India Direct