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UPSC Quiz- 2017 : IASbaba's Daily Current Affairs Quiz [Day 46] Archives Q.1) Which of the following states shares its border with Nepal Arunachal Pradesh Assam Bihar West Bengal Sikkim Select the correct code: 3, 4 and 5 2, 3 and 5 1, 2 and 5 1, 2, 3 and 4 Q.2) Which of the following is/are correctly matched? CNG – Methane LPG – Propane Both (a) and (b) Neither (a) nor (b) Q.3) Ghantasala will be developed as a major Buddhist destination and it will be themed on Mahaparinirvana of the Buddha. ‘Mahaparinirvana’ signifies Renunciation Buddha’s first sermon Search of Truth Liberation Q.4) Hamas, is a Islamic fundamentalist organization from Syria Palestine Nigeria Yemen Q.5) Bezbaruah Committee is concerned with Police reforms Caste discrimination Communal Violence Racial discrimination To Download the Solution - Click here All The Best IASbaba
NPAs of Public Sector Banks ARCHIVES Search 12th June 2017 http://www.newsonair.com/Main_Audio_Bulletins_Search.aspx TOPIC: General Studies 2 Government policies and interventions for development in various sectors and issues arising out of their design and implementation. Structure, organization and functioning of the Executive Background For years, Indian lenders, especially state-run banks, were engaged in volume game to balloon their balance sheets and appease their promoter (the government). That has been so ever since nationalisation of these banks happened in two stages (beginning 1969). Governments often treated these banks as their extended arms and used them for populist measures. There was a time from 2011-13 when every bank rushed to give money to corporations, no matter what the credit perception was as everyone expected a miraculous pick-up in the economy. Picture credit: http://s1.firstpost.in/wp-content/uploads/2016/02/bad-loans-of-39-banks.jpg Today, the total values of NPAs in India is 6 lakh crore. What is NPA? NPA in terms of RBI regulations result out of non-payment of interest for a period of 90 days or non-payment of principle amount for 90 days or more. So beyond that point, it is called Non-Performing Asset. The loan is taken by the company on its assets from the bank. When the asset is not performing because they become doubtful and NPAs from doubtful become bad loans. Can’t collateral be used to write off loans? When the banks give loans, they take something from the entity taking it as collateral for that loan. Lot of people give collaterals but in case of large projects, it is not possible to give collaterals. In such cases, the land purchase, the building purchase, the plant machines, the debtors and inventory are mortgaged to the bank. These assets are available but if they are able to produce enough to really repay to the bank remains doubtful. The question than arises what should the banks do with those assets. Suppose a car is a collateral, it can be sold to anybody but a petrochemical complex or steel complex cannot be sold to anybody. The banks have the right to sell the assets. But selling is not the question. When these assets are sold in distress, there is chance that against Rs. 50000 crore loan, the banks get only Rs. 20000 crores. Out of 6 lakh crores, 80-90% of them large borrowers. Now the government doesn’t want to kill these companies, create employment problems and take people’s job. Huge areas such as steel, cements, energy industries are country’s development backbone. Such companies cannot be shut down and hence there bad loans are continued to be carried forward. How NPAs arose? After 2008, there was international financial crisis. The prices have fallen significantly in the international market. In last two years the commodity market is very bad for example, the Sugar industry and steel industry. Power sector was not operating properly. Halfway through the plants being operational, the banks stopped giving them money due to policy paralysis. People had extended their business beyond their means and higher interest was creating more problems Had the financial planning and financial management not compromised while giving the loans, the issue wouldn’t have been this grave. In certain cases, the money has been diverted by entrepreneurs, they did not bring in promoters, did over invoicing of expenditure and took out money from that. So all kinds of speculations are there which led to increase in NPAs. Challenges to payback policies The rate of interest is so high that at times the people are unable to pay it back. There are policy errors when the government policy change and the enabling environment is not there. Solution Government will have to do mix and match of various things. No single solution for all the problems. The solution has to be derived on case to case basis. The government is thinking of setting up committees for this purpose. There can be learned people appointed in each and every case who know their industry very well. Whether government should run the business is also a big issue. It makes sense for the government to convert part of the loan into equity and take majority ownership possible. The banks will be able to take over the management and revive the company. It is important to do the financial restructuring. There are many who get repeated in the defaulters list. So some long term solution is required. They can’t be allowed to benefit on their own fault. There should be certain benchmark on the performance. If they are not able to perform, then entire debt can be converted into equity or part of the debt can be waived and bring in other promoters. Many banks, especially PSBs do a lot of work. They do PSL, they give educational loans and housing loans. Because of bad loans, the entire system of PSBs, their priorities are compromised and entire structure gets vulnerable. However, it doesn’t mean private sector banks have suffered less due to NPAs. Conclusion Start up, initial capital, turn business into amateur industry. They should take the risk as far as possible. Whatever money they take as loan is for repayment. People who pay the banks in time keep on growing and prospering. Unfortunately, a tendency has come to a section of borrowers that this money of bank is like a free money. This kind of feeling is a major reason for the disaster. Lot of people don’t have enough capital on their own. Only those succeed who plan with due care. Contingency is important. When going for larger projects, there should be more concentration on equity and borrowing kept on minimum. The capital inflow is not much in India. So the government has to plan regarding the same. Capital can be channelized into equity and people can expand business. Another idea is to create a bad bank which would be a centralised agency that would take over the largest and most difficult stressed loans from public sector banks in order to help clean their balance sheets, and would take politically tough decisions to reduce debt, providing an impetus to further lending to spur economic activity. NPAs will cause pain to banks by those who have not paid back the loan. But some part of the money have to come back to the system as it is common man’s money. Connecting the dots: Issue of NPAs have been reaching to unexpected levels. What is the reason for such high levels and suggest possible measures to tackle them.
A War Room for Investments: Will it work Wonders? Archives TOPIC: General Studies 3 Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment. General Studies 2 Government policies and interventions for development in various sectors and issues arising out of their design and implementation. In news: Commerce and Industries minister held meeting with Invest India team looking to up investments and encourage companies to make in India. Invest India is the official investment promotion and facilitation agency of the government. It was concluded that there is a need for paradigm shift in the approach of enhancing investments. This should be in line with rolling out red carpet for investors. There was also a call for setting up war room (metaphorically) to ensure that investment proposal materialize and are not held up due to hurdles. Challenges in commerce and industries Investments The biggest challenge is going to be reviving the process of industrial investment and accelerating export growth that has not happened so far. There is FDI coming in but the part problem is that lot of it is in capping the Indian market where no significant job growth is possible. Lot of stuff is coming into e-marketing side is basically oriented at competing the market share within India, there are foreign companies buying Indian companies etc. This doesn’t add to creating new jobs or broadly design the technological capacity. This is the same thing that happened at other palces such as FDI in manufacturing. Here, more was invested in machines and bringing technology and not in people and increasing their skills. Thus a paradigm shift is required. World market The world trade is not expanding now at the rate at which it was when china had its boom. Now the world is showing the protectionist trend. Domestic issues How can be foreign investors enthused when domestic companies are not enthusiastic about investments? Anyway, the role of FDI in Indian capital formation has invariable been very small. At present, partly there is a slowdown in demand growth. The capacity utilization in corporate sector is 75%. The small sector has been heavily hit by demonetization and GST. This loss of employment is related to it. Companies are not going to invest unless the demand grows. India continues to have issues pertaining with aggregate demand being low and there being access capacity available. Now wherever there is some demand being created, the twin balance sheet problem emerges. Unavailability of skilled labour China has a workforce which is healthier and better educated. In India, the school system doesn’t help people to read even at the age of 10 years. Thus there is a hard job ahead in terms of skill training so that to ensure that when jobs are created, there will be people to do those jobs. Others There is also a need to make the macro issues right. The manufacturing growth in first quarter has been 1.2%, the lowest in 5 years. Steps to tackle the challenges Investments have to be though from point of view of direct jobs created and not in million and billion dollars. There are huge number of declaration of FDI. But where it goes? It goes into automated plant in outskirt of a city while employs 20 people but has investment of 300 million dollar in land, 400 million in robots. The rest goes into dealership and trade promotion and all. So these are not labour intensive units. This one paradigm needs to be changed now. Second, then there should be look out for industries which are labour intensive which need these investments. Questions such as Which are the next 10 big industries that are labour industries that can be created over next 20 years? Which are the next 10 industries that will come up, can be created now for next 20 years? What are the enabling factors needed at district level and state level? Ease of doing business is must to get competitive and efficient and then to survive. This will give possibility to create jobs. For this, labour reforms also need to be done. The small and medium sector should be encouraged and promoted. This can provide an important point of intervention which could accelerate not just industrial growth but find ways of connecting foreign capital with startup programme, infrastructure for small industries. However, there shouldn’t be concessions as it ruins the business prospects. At a time when private investment is at all time low, the onus on government to boost investments. There are many industries which had borrowed heavily during 2008-10 period. The demand is still lagging behind the capacity. Now the new capacities shouldn’t be added but focus on optimally utilizing existing ones and then investing in new. Sectors to be focused- Print media, automobiles, dedicated freight corridors which are abbot to be completed and money is not an issue. This will have lot of forward and backward linkages. With GST, improve the logistics sector as the competitiveness has been affected due to high cost of moving the goods. The focus should be ‘Make in India’ and also ‘Design in India’. This should be a part of the entire value chain where preparation of district wise plan and creation of core competencies for states based on district wise plan should be carried out. In commerce, there are 70 FTAs which have to be yet reviewed. There are big bilateral and multilateral trade agreement coming up. The services have to be incorporated in FTAs. In last 5 years, India has lost lot of ground because of the FTAs. India did not incorporate requirement of movement of people, benefits accruing to the country as more interest was in signing the agreements quickly. India’s biggest resources is its manpower. The manpower has to be allowed to travel and work anywhere in the world and need not be entered into any agreements signed. Thus, there needs to be a strategic shift from the previous decision which will spearhead the desired growth of investments in the country. Connecting the dots: The environment of investments seems to be de-lustrous. Critically examine the reasons and practical way forward to revive it.
IASbaba’s Daily Current Affairs – 19th Sep 2017 Archives NATIONAL TOPIC: General Studies 2: Statutory, regulatory and various quasi-judicial bodies. Government policies and interventions for development in various sectors and issues arising out of their design and implementation. Issues relating to development and management of Social Sector or Services relating to Health, Education, Human Resources. Poor medical colleges and Shortage of medical doctors: What needs to be done? Background: According to the World Directory of Medical Schools, in 2016, India, with 343 medical colleges, had the largest number of operational allopathic medical schools in the world. Brazil, was a distant second, with 193 medical colleges, and China, with a population comparable to India’s, had less than half the number. It is imperative that India ensures that all these medical colleges meet a basic minimum quality standard. Issues: The Medical Council of India (MCI) has been repeatedly criticized for providing opaque accreditation to aspiring medical colleges in India. Many of its members have been accused of taking bribes in order to fast-track accreditation. Bribes reduce the legitimacy of all accredited colleges and thereby compromise medical college quality overall in the country. Considering India’s dearth of medical professionals, quality medical colleges are needed to fill the growing healthcare shortages. NITI Aayog's recommendation: Experts at NITI Aayog have proposed replacing the compromised MCI with a new National Medical Commission (NMC), outlined in a draft Bill known as the National Medical Commission Bill of 2016. The NMC Bill, 2016 – Issues and Way out: The proposed Bill and recommendations that would raise the integrity and overall quality of accreditation of medical education in India are discussed below: Mandate of the proposed NMC: The NMC would split the selection, advising, and actual accreditation process into three separate boards. By dividing power, the hope is to create a system of checks and balances. Issue: As per the current Bill, all members of the accreditation board are supposed to be ex-officio members of the advisory board. This defies the logic of good governance. Instead of creating different boards to watch and observe each other, the NMC would instead create two different heads, but for the most part, a single potentially corrupt body. Way ahead: It would be better if all members of the accreditation board are removed from the advisory board. The accreditation board is not given direct jurisdiction over the accreditation process. Rather, it is given authority over four sub-boards that look into the four core areas of accreditation: undergraduate, postgraduate (PG), registrar of medical professionals, and compliance. The compliance wing is supposed to hire a third party to check that colleges meet standards set by the other sub-boards. Issue: The monopolistic nature of this service will produce unnecessary bureaucracy, stifle smooth accreditation and possibly raise the spectre of the old MCI all over again. Way ahead: Instead four regional medical councils can be created. Creating these regional options will lead to competition and an increase in the quality of accreditation services overall. There already exist state medical councils which can be combined for the purpose. There is a great deal of variation in the quality of state medical councils across states. Competition for the accreditation business could ignite life into these bodies. What more needs to be done? Sticking to the set standards: The World Health Organization has put out several drafts on standards for basic medical education, postgraduate medical education (PME), and continuing professional development. The NMC would greatly benefit from being tied to these best practices. Countries like China and Thailand have already done so to the benefit of their medical education establishment. Although the standards set by the PME call for schools to balance teaching and research, the Bill needs to incentivize research. A study found that over 57% of medical colleges in India have published no peer-reviewed articles. Research is fundamental to PG medical education. The PG sub-board should only accredit schools that establish a research-based hierarchy for its faculty and assess students on their research. The current MCI rules and guidelines prohibit qualified MBBS doctors without a PG degree from performing procedures such as ultrasound and interpreting chest X-rays. The NMC should revisit these rigid regulations to raise the effective availability of qualified doctors in India. Checking the brain drain: The other factor contributing to the shortage of medical doctors is the emigration of physicians. India is the largest source of physicians in the US and the UK, and the second and third largest in Australia and Canada. This brain drain is especially expensive because many of them are trained in colleges subsidized by the government. It is within the purview of the NMC Bill to recommend a policy to limit emigration of newly graduated doctors. Case study: Thailand - successfully adopted such a measure in 1972. Their policy mandates three years of government work for all post-graduates. The first year is spent in provincial hospitals, while the second and third years are spent in rural or community hospitals. Statistical evidence indicates that this policy limited brain drain, and reduced medical professional density disparity between rural and urban areas. Case Study: Kerela- implemented compulsory rural service for all MBBS and PG doctors studying in government medical colleges as a part of Arogyakeralam, its version of the National Rural Health Mission. Connecting the dots: India needs to ensure that all these medical colleges meet a basic minimum quality standard. The National Medical Council Bill, 2016 drafted by NITI Aayog can go a long way to serve the purpose. However, there are certain issues that needs to be resolved. Discuss. NATIONAL TOPIC General Studies 1: Social empowerment, communalism Salient features of Indian Society, Diversity of India General Studies 2: Government policies and interventions for development in various sectors and issues arising out of their design and implementation. Welfare schemes for vulnerable sections of the population by the Centre and States and the performance of these schemes; mechanisms, laws, institutions and bodies constituted for the protection and betterment of these vulnerable sections Sub-Categorisation of OBC In news: The government recently announced creation of a committee to look into sub-categorisation of Other Backward Classes (OBC). It provides an opening to ensure social justice in an efficient manner. The biggest challenge India faces is that the groups perceived to be disadvantaged consist of a very large segment of Indian society, while public policies are highly limited in scope. The jobs-claimants mismatch: The National Sample Survey (NSS) data from 2011-12 show that about 19% of the sample claims to be Dalit, 9% Adivasi, and 44% OBC. This totals a whopping 72%. Among the population aged 25-49, less than 7% have a college degree. By most estimates, less than 3% of the whole population is employed in government and public-sector jobs. Since reservations cover only half the college seats and public-sector jobs, the mismatch is obvious. A vast proportion of the population eligible for reservations must still compete for a tiny number of reserved and non-reserved category jobs. Thus, there is tremendous internal competition within groups. If we want reservations to make a significant difference in the lives of the marginalised groups, there are only two options. Either the government must drastically increase availability of government jobs and college seats or it must reduce the size of the population eligible for these benefits. The only viable option is to reduce the size of the eligible population, possibly along the lines of sub-categorisation proposed by the government. The practical challenges facing sub-categorisation: How will we know which castes are the most disadvantaged? At the moment, the only reputable nationwide data on caste comes from the 1931 colonial Census and some of the ad hoc surveys conducted for specific castes. Lack of credible data: The Socio-Economic Caste Census (SECC) of 2011 was supposed to provide up-to-date comprehensive data. However, the results remain shrouded in mystery. When releasing poverty and deprivation data from the SECC in 2015, it was found that about 4.6 million distinct caste names, including names of gotra, surname and phonetic variations were returned, making the results almost impossible to interpret. For nearly 80 million individuals, caste data were believed to be erroneous. Way ahead: Getting credible data: It would make sense to rethink collection of caste data in Census. Preparations for Census 2021 are ongoing. There is still time to create an expert group to evaluate the methodology for collecting caste data and include it in the Census forms. Losing this opportunity would leave us hanging for another 10 years without good data for undertaking sub-categorisation of OBC quota or evaluating claims to OBC status by groups like Jats and Patels. Addressing caste-based inequalities: A broader issue, however, focusses on whether we want to radically rethink our approach to affirmative action. We need to think on what would it take to eliminate caste-based disadvantages in next three or four decades. A two-pronged approach that focusses on eliminating discrimination and expanding the proportion of population among the disadvantaged groups that benefits from affirmative action policies could be a solution. Checking disadvantages at school level: The present policies focus on preferential admission to colleges and coveted institutions like IITs and IIMs. But these benefits may come too late in the life of a Kurmi or Gujjar child. Their disadvantage begins in early childhood and grows progressively at higher levels of education. The India Human Development Survey of 2011-12 found that among families where no adult has completed more than Class X, 59% children from the forward castes are able to read a simple paragraph while the proportion is only 48% for OBCs, 41% for Dalits and 35% for Adivasis. Improving quality of education for all, including those from marginalised groups, must be a first step in addressing caste-based inequalities. Ensuring that benefits of reservations are widely spread: It makes little sense for a young man to obtain admission to a prestigious college, get admitted to a postgraduate course, get a job as an assistant professor, and be promoted to the position of a professor using the same caste certificate. It would make even less sense if his children are also able to obtain preferential treatment using the same caste certificate. Thus, use of the OBC quota must be limited to once in a person’s lifetime, allowing for a churn in the population benefitting from reservations. Linking the Aadhaar card to use of benefits makes it possible that individuals use their caste certificates only once, spreading the benefits of reservations over a wider population. Conclusion: The present move by the government to rethink OBC quota creates a wedge that could potentially be used to ensure that we have better data on caste-based disadvantages for future discourse. Sub-categorisation of OBCs provides an opening to ensure social justice works better. Connecting the dots: The government recently announced creation of a committee to look into sub-categorization of Other Backward Classes (OBC). It provides an opening to ensure social justice in an efficient manner. Critically analyze. MUST READ The encephalitis challenge The Hindu Naysayer to leader Indian Express Banking on merger Indian Express At the prison gates Indian Express HSR and modernization of Indian Railways Livemint A case for continued support for green energy Livemint
UPSC Quiz- 2017 : IASbaba's Daily Current Affairs Quiz [Day 45] Archives Q.1) Consider the following statements about Right to Information Act 2005 It extends to whole of India except the State of Jammu and Kashmir & Tribal areas The Act states that the information pertaining to the allegations of corruption and human rights violation will not fall under the exemption given to intelligence and security organisations under Section 24 of the RTI Act Select the correct statements 1 Only 2 Only Both 1 and 2 Neither 1 nor 2 Q.2) Consider the following statements about GST Composition Scheme It can be opted by any taxpayer whose turnover is less than Rs. 1 Crore Those who opt for this scheme can file returns on a quarterly basis Select the correct statements 1 Only 2 Only Both 1 and 2 Neither 1 nor 2 Q.3) Google TEZ is associated with Unified Payments Interface (UPI) R&D; project with a mission of providing Internet access to rural and remote areas Voice over Long-Term Evolution 3D Printing Q.4) Money bill can be introduced in the state legislature only on the recommendation of: Speaker Chief Minister Governor Finance Minister Q.5) ‘Ngari’ was in news recently. It is located in Middle East South China Sea Central Asia None of the above To Download the Solution - Click here All The Best IASbaba
IASbaba’s Daily Current Affairs – 18th Sep 2017 Archives INTERNATIONAL TOPIC: General Studies 2 India and its neighbourhood- relations. Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests Effect of policies and politics of developed and developing countries on India’s interests India-Japan ties: A new paradigm The PM Abe's visit comes at a crucial time: Japan has been unsure of the US commitment to its allies ever since Donald Trump started his presidential campaign. The ICBM (intercontinental ballistic missile) capability of North Korea has aggravated Tokyo’s worries about the decoupling of the US-Japan alliance. It is not clear whether the Asean (Association of Southeast Asian Nations) will be able to hold its own in the face of increasing Chinese assertiveness in the region. Indo-Russian relations, a stabilizing factor in the past, are in flux. In this scenario, India and Japan are the only major forces of stability in the Indo-Pacific. Emerging Geopolitical trends: Indo-Pacific emerging as new playground: The shift of the geopolitical centre of gravity from the Euro-Atlantic to the Indo-Pacific region. Most of the rivalries are being played out in the crowded geopolitical space of the Indo-Pacific, and Asian economies now account for more than half of global GDP and becoming larger in coming years. Rise of China: The rise of China. China’s rise is reflected in a more assertive China. According to President Xi Jinping’s ‘two guides’ policy announced in February, China should guide ‘the shaping of the new world order’ and safeguarding ‘international security’. Today’s China is not just willing but eager to assume leadership and expects other countries to yield space. Its assertiveness in the East China Sea with Japan and in the South China Sea with its Association of Southeast Asian Nations (ASEAN) neighbours sends a signal that while multipolarity may be desirable in a global order, in Asia, China is the predominant power and must be treated as such. Even though China has been a beneficiary of the U.S.-led global order, it is impatient that it does not enjoy a position that it feels it deserves, especially in the Bretton Woods institutions. During the last five years, it has set about creating a new set of institutions (the Asian Infrastructure Investment Bank and the New Development Bank) and launched the Belt and Road Initiative (BRI) to create a new trading infrastructure that reflects China’s centrality as the largest trading nation. The BRI is also complemented by a growing Chinese naval presence in the Indian Ocean. Beginning in 2009, the PLA Navy started rotating three ship task forces through the Indian Ocean as part of the anti-piracy task force off the Somalia coast. In addition to Gwadar, China is now converting the supply facility at Djibouti into a full-fledged military base. Recent developments accelerating the trends: The outcome of the U.S. elections last year. By invoking ‘America first’ repeatedly, President Donald Trump has made it clear that the U.S. considers the burden of leading the global order too onerous. Recent nuclear and long-range missile tests by North Korea have added to South Korean and Japanese anxieties. Given the U.S. push for more sanctions that depend on China for implementation, most Japanese reluctantly admit that North Korea’s nuclear and missile capability is unlikely to be dismantled any time soon. Another significant development was the Doklam stand-off between India and China that lasted from June to August. Differences with China in Doklam was preceded by the stapled visa issue for Indians belonging to Arunachal Pradesh and Jammu and Kashmir, growing incidents of incursions along the disputed boundary, blocking of India’s bid to join the Nuclear Suppliers Group last year, ensuring that no language relating to Pakistan-based terrorist groups found mention in the BRICS summit in Goa and preventing the inclusion of Masood Azhar from being designated as a terrorist by the UN Security Council by exercising a veto. India-Japan ties: A new strategic landscape: The contours of a new relationship were defined during Mr. Abe’s earlier tenure, in 2006-07, when annual summits were introduced, the relationship became a ‘Special Strategic and Global Partnership’, Japan was invited to join in the Malabar naval exercises and a Joint Declaration on Security Cooperation was concluded. A singular achievement was the conclusion of the agreement for Cooperation in the Peaceful Uses of Nuclear Energy in 2016. Under negotiation for five years, this was a sensitive issue for Japan given the widespread anti-nuclear sentiment and faith in the Nuclear Non-Proliferation Treaty. To deepen strategic understanding, the two sides initiated a 2+2 Dialogue involving the Foreign and Defence Ministries in 2010. A memorandum on enhancing defence and technology/security cooperation was signed and talks on acquiring the amphibious maritime surveillance ShinMaywa US-2i began in 2013. Trilateral dialogue involving both the U.S. and Japan and covering strategic issues was elevated to ministerial level in 2014. Japanese participation in the Malabar exercises, suspended because of Chinese protests, was restored in 2015. A new trilateral at the foreign secretary level has been initiated with Australia as the third country. India has also extended to Japan an offer denied to any other country, which is to assist in infrastructure development in the Northeast. The numbers on Japanese foreign direct investment (FDI) and overseas development assistance (ODA) to India have been climbing. FDI flows from Japan have almost tripled in last three years. Other than the Mumbai-Ahmedabad high speed rail, many other high-profile projects like the Delhi-Mumbai Industrial Corridor (DMIC) and Mumbai Trans-harbour link project are under different stages of execution. The two countries are exploring cooperation on infrastructure and human development projects beyond India. The Mumbai-Ahmedabad high speed rail corridor is more than symbolism, in demonstrating that high-cost Japanese technology is viable in developing countries and that India has the absorption capacity to master it. Completing it in five years is a management challenge but the bigger challenge will be to transfer the know-how of best practices to other sectors of the economy. Another major initiative is the recently launched Asia-Africa Growth Corridor to build connectivity for which Japan has committed $30 billion and India $10 billion. This adds a critical dimension to the ‘global partnership’ between the two countries. If pursued with an unwavering focus, the AAGC, has the potential to become a serious counterweight to China’s BRI. Unlike BRI, the AAGC promises to evolve a consultative mechanism towards identification and implementation of projects. Joint statement: Both the title of the joint statement, “Toward a free, open and prosperous Indo-Pacific”, and substantive paragraphs on cooperation in the region, indicate a much closer alignment between India and Japan in countering China’s influence in the South China Sea, its forays into the Indian Ocean, and investments in South Asia and Africa. The joint statement calls for a “rules-based order” in the Indo-Pacific region where “sovereignty and international law are respected, and differences resolved through dialogue, and where all countries, large or small, enjoy freedom of navigation and overflight, sustainable development, and a free, fair and open trade and investment system”. The joint statement also took a swipe at China’s OBOR initiative by calling for transparency in the development of connectivity and infrastructure development in the region, and reaffirmed the India-Japan project to connect Africa and Asia. The statement condemns North Korea, but for the first time, includes “the importance of holding accountable all parties” that helped that country develop its nuclear programme, which is not just an allusion to China, but also Pakistan. The joint statement also endorses the principles on which India decided to sit out the Chinese Belt and Road Initiative (BRI). In a way, India and Japan show themselves to be an open and democratic bulwark against the malafide conduct of the Rawalpindi-Beijing-Pyongyang axis. Way ahead: It is imperative that India and Japan also look beyond their lofty geopolitical aims, at the more basic aspects of bilateral engagement. Stronger economic times needed: The strategic partnership needs stronger economic ties. Today, India-Japan trade languishes at around $15 billion, a quarter of trade with China while Japan-China trade is around $300 billion. The trade numbers—below $15 billion annually in the last two years—do not reflect the economic ties between the third and the fourth largest (on purchasing power parity terms) economies in the world. Long pending defence deals—especially the sale of US-2 amphibious aircraft to India—too haven’t moved forward. While Japan is India’s largest donor and the third largest provider of FDI, bilateral trade has steadily declined since 2013, and is down to $13.61 billion in 2016-17 from $14.51 billion the year before. The decision to finalise four new locations for special Japanese industrial townships may be only one way of addressing the difficulties businessmen face in India. Both New Delhi and Tokyo have to keep in mind that they have independent relations with China, with problems unique to their own bilateral histories. As they join hands, they cannot wish China away. Thus, the next step in the India-Japan partnership has to be constructive engagement with China. The two countries should work on strengthening security cooperation. If the emerging geopolitical environment helps Japan become a “normal” military power—it is currently restrained by its own Constitution—it will help New Delhi and Tokyo in evolving a robust security architecture in the Indo-Pacific. India needs to change its style of implementing projects abroad, most of which have been plagued by cost and time over-runs. Ensuring effective implementation and setting up mechanisms for delivery will align Mr. Modi’s Act East policy with Mr. Abe’s Free and Open Indo-Pacific Strategy. This alignment sets the stage for the reordering of the Asian strategic landscape. Thus, it is time to get down to brass tacks and address some of the issues in order to facilitate closer ties between India and Japan, even as the two leaders and militaries forge closer bonds. Conclusion: The emerging India-Japan alignment surely sets the stage for the reordering of the Asian strategic landscape. India and Japan are infusing bilateral ties with a sharper geopolitical agenda. Only time will tell if Japan can be new Russia or much more than that for India. Connecting the dots: Strengthening ties between India and Japan should seen in the context of emerging geopolitical trends viz, rise of China and the shift of the geopolitical centre of gravity from the Euro-Atlantic to the Indo-Pacific region. Analyze. It is imperative that India and Japan look beyond their lofty geopolitical aims, at the more basic aspects of bilateral engagement. Critically analyze. MUST READ Time for caution The Hindu A fairer test Indian Express A powerful move Indian Express A narrow view Indian Express Liberalization's impact on gender discrimination Livemint Rethinking police refrom Livemint India needs to show tact Businessline It's possible to seriously simplify GST Businessline
IASbaba PIB Weekly: Press Information Bureau - 9th Sep to 16th Sep, 2017 ARCHIVES GS-2 Cabinet approves introduction of the Payment of Gratuity (Amendment) Bill, 2017 (Topic: Issues relating to development and management of Social Sector/Services relating to Health, Education, Human Resources) Amendment: Will increase the maximum limit of gratuity of employees, in the private sector and in Public Sector Undertakings/ Autonomous Organizations under Government who are not covered under CCS (Pension) Rules, at par with Central Government employees. Payment of Gratuity Act, 1972 Applies to establishments employing 10 or more persons; an important social security legislation to wage earning population in industries, factories and establishments. To provide social security to workmen after retirement, whether retirement is a result of the rules of superannuation, or physical disablement or impairment of vital part of the body Considering the inflation and wage increase even in case of employees engaged in private sector, the Government is of the view that the entitlement of gratuity should be revised for employees who are covered under the Payment of Gratuity Act, 1972 MOU between the Ministry of Corporate Affairs and Central Board of Direct Taxes (CBDT) for Automatic and Regular Exchange of Information (Topic: Statutory, regulatory and various quasi-judicial bodies) Objective: To curb the menace of shell companies, money laundering and black money in the country and prevent misuse of corporate structure by shell companies for various illegal purposes Facilitate the sharing of data and information between CBDT and MCA on an automatic and regular basis Enable sharing of specific information such as Permanent Account Number (PAN) data in respect of corporates, Income Tax returns (ITRs) of corporates, financial statements filed with the Registrar by corporates, returns of allotment of shares, audit reports and statements of financial transactions (SFT) received from banks relating to corporates Ensure that both MCA and CBDT have seamless PAN-CIN (Corporate Identity Number) and PAN-DIN (Director Identity Number) linkage for regulatory purposes. CBDT and MCA will also exchange with each other, on request, any information available in their respective databases, for the purpose of carrying out scrutiny, inspection, investigation and prosecution. MoU between India and Morocco on cooperation in the field of health (Topic: India and its neighborhood- relations) Non-communicable diseases, including child cardiovascular diseases and cancer; Drug Regulation and Pharmaceutical quality control; Communicable Diseases; Maternal, child and neonatal health; Hospital twinning for exchange of good practices; Training in administration and management of health services and Hospitals; Any other area of cooperation as may be mutually decided upon. Morocco: A sovereign country located in the Maghreb region of North Africa – Its capital is Rabat, and the largest city is Casablanca Geographically, Morocco is characterised by a rugged mountainous interior, large tracts of desert and a lengthy coastline along the Atlantic Ocean and Mediterranean Sea. Why might India be interested in Morocco – Phosphates are used for fertilizer, making them extremely valuable to agrarian societies such as India. Moroccan phosphate resources are among the most extensive in the world. India’s influence in Africa has waned over recent decades, with rival China increasing its economic presence. To improve its own position on the geopolitical stage, India must become more involved with the affairs of so large a continent as Africa. This is especially pertinent given India’s ambitions to obtain a permanent seat on the United Nations Security Council. Must View & Read: India-Africa Ties: Where are they Heading? DBT-AIST International Laboratory for Advanced Biomedicine (DAILAB) to DAICENTER (Topic: India and its neighborhood- relations) Department of Biotechnology (DBT), Ministry of Science & Technology, announced the expansion of its first joint International laboratory with National Institute of Advanced Industrial Science & Technology (AIST) Japan named as DBT-AIST International Laboratory for Advanced Biomedicine (DAILAB) to DAICENTER. New research projects on Translational and Environmental Research including Big Data in Biomedicine New programs for educating and inspiring youth for science careers New connectivity/bridge between universities-research institutes-industries at both ends to inspire innovation, application and industrialization of research for the benefit of society. GS-3 Dairy Processing & Infrastructure Development Fund (Topic: Economics of animal-rearing) Fund: Outlay of Rs 10,881 crore during the period from 2017-18 to 2028-29 Objective: Focus on building an efficient milk procurement system by Setting up of chilling infrastructure Installation of electronic milk adulteration testing equipment Creation/modernization/expansion of processing infrastructure and manufacturing faculties for Value Added Products for the Milk Unions/ Milk Producer Companies Implemented by: National Dairy Development Board (NDDB) and National Dairy Development Cooperation (NCDC) directly through the End Borrowers such as Milk Unions, State Dairy Federations, Multi-state Milk Cooperatives, Milk Producer Companies and NDDB subsidiaries meeting the eligibility criteria under the project Monitoring of project activities: By Implementation and Monitoring Cell (IMC) located at NDDB, Anand Details: The end borrowers will get the loan @ 6.5% per annum. The period of repayment will be 10 years with initial two years moratorium. The respective State Government will be the guarantor of loan repayment Benefits: 95,00,000 farmers in about 50,000 villages would be benefitted Additional Milk processing capacity of 126 lakh litre per day, milk drying capacity of 210 MT per day, milk chilling capacity of 140 lakh litre per day, installation of 28000 Bulk Milk Coolers (BMCs) along with electronic milk adulteration testing equipment and value added products manufacturing capacity of 59.78 lakh litre per day of milk equivalent shall be created. Generate direct employment opportunities for skilled, semi-skilled and unskilled manpower – for about 40,000 people will be created under the scheme through project activities like expansion & modernisation of existing milk processing facilities, setting up of new processing plants, establishment of manufacturing facilities for value added products and setting up of Bulk Milk Coolers (BMCs) at village level. Indirect employment opportunities: About 2 lakh indirect employment opportunities will be created on account of expansion of milk and milk product marketing operations from existing Tier I, II & III to Tier IV, V & VI cities/towns etc. This will lead to deployment of more marketing staff by Milk Cooperatives, appointment of distributors and opening of additional milk booths/retail outlets in urban/rural locations. Generation of additional manpower employment for supervision of increased milk procurement operations, transportation of milk from villages to processing units, and increased input delivery services like Artificial Insemination (AI) services, Veterinary Services, etc. Compound Livestock Feed Manufacturers Association (CLFMA) Established in 1977 with 233 members, Compound Livestock Feed Manufacturers Association of India (CLFMA) represents the entire livestock, poultry and aquaculture industry in the country Livestock sector contributes 4% to the total GDP of the country and contributes 27% to the agriculture GDP; an important driver of ensuring the protein security for the common man Provides livelihood to 2 crore small and marginal farmers The prime objective is overall development of Animal Husbandry by promoting balanced feeding of animals in accordance with their nutritional requirements for deriving the maximum output from them through productivity improvement. Scheme for Harnessing and Allocating Koyala (Coal) Transparently in India (SHAKTI) (Topic: Infrastructure: Energy, Ports, Roads, Airports, Railways etc.) Policy: For allocation of future coal linkages in a transparent manner for power sector – an important initiative in alleviating one key challenge in power sector, viz. lack of coal linkage and is expected to positively contribute in resolution of a number of stressed assets. Impact: As a part of this policy, CIL/SCCL is to grant coal linkages on notified price on auction basis for Independent Power Producers (IPPs) having already concluded domestic coal based Power Purchase Agreement (PPAs), with the bidding parameter being levellised discount on existing tariff that the IPP is willing to provide. This is expected to result in a win-win situation of IPPs having a long term supply security of coal from a source of their choice while consumers will benefit from a lower tariff. Mumbai – Ahmedabad High Speed Rail (MAHSR) project (Topic: Infrastructure: Energy, Ports, Roads, Airports, Railways etc.) Popularly known as the Ahmedabad-Mumbai bullet train, it is a visionary project which will herald a new era of safety, speed and service for the people and help Indian Railways become an international leader in scale, speed and skill. MAHSR Project has “Make in India” & “Transfer of technology” objectives – ensure that most of the amount invested in this project would be spent and utilized within India. This project is likely to generate employment for about 20,000 workers during the construction phase, and will be trained specially to take up construction of such projects in India. Some of the new areas where construction skills would be developed are ballast-less track, under sea tunnel etc. High Speed Rail Training Institute is being developed at Vadodara – The facilities at this institute will be utilized to train about 4,000 staff in next three years, who will then be utilised for operation and maintenance ensuring that this work is through skilled people in India rather than foreign dependent. They will also serve as a backbone for future development of other High Speed Corridors in India. Cutting edge Shinkansen Technology – With the presence and availability of this technology, India will be leapfrog to the cutting edge of latest train developments with passengers able to reach their destination in 2 hours as against the current 7-8 hours by train. Known for reliability and safety with proven track record of more than 50 years, with punctuality record being less than a minute with zero fatality. 30th Anniversary of Montreal protocol and 23rd World Ozone Day (Topic: Conservation, environmental pollution and degradation, environmental impact assessment) The year 2017 marks the 30th Anniversary of the Montreal Protocol on Substances that Deplete the Ozone Layer Montreal Protocol: One of the most successful global environmental treaties, the implementation of which has not only led to the phase-out of around 98% of ozone depleting chemicals, but also averted more than 135 billion tonnes of carbon dioxide equivalent emissions. Nearly 2 million cases of skin cancer per year have been averted globally. The Montreal Protocol is the only environmental treaty which enjoys universal ratification of 197 UN member countries. India and Montreal Protocol During the Kigali negotiations, India piloted the concept of two base lines and a differentiated phased down time schedule to factor in the needs of developing countries. This was the first time in the Montreal Protocol that the concept of two baseline has been adopted both for developed and developing countries. On India’s initiative, energy efficiency was included for the first time in the Montreal Protocol as an agreed finance solution while phasing down HFCs. India has consciously chosen a path for most environment-friendly and energy efficient technologies, while phasing out Ozone Depleting substances, unlike many of the developed countries. India is among the few countries globally and a pioneer, in some cases, in the use of non-ODS low Global Warming Potential (GWP) technologies. Must Read: Link + Link Solve: Question 1 + 2 Partnership for Land Use Science (Forest-Plus) (Topic: Conservation, environmental pollution and degradation, environmental impact assessment) A joint programme by the United States Agency for International Development (USAID) and Ministry of Environment, Forest and Climate Change (MoEF&CC) to strengthen capacity for REDD (Reducing Emissions from Deforestation and Forest Degradation) implementation in India. Brings together experts from India and the United States to develop technologies, tools and methods of forest management to meet the technical challenges of managing forests for the health of ecosystem, carbon stocks, biodiversity and livelihood Exploring issues and opportunities for ecosystem approach to land management in India Discussing how the approaches and tools developed under the Forest-PLUS programme can be used to improve forest management in India To document and disseminate that learning with a wider group. Container Terminal of the Year (Topic: Infrastructure: Energy, Ports, Roads, Airports, Railways etc.) Jawaharlal Nehru Port Container Terminal (JNPCT) was awarded “Container Terminal of the Year” Award for the above 0.6 million TEUs category. The Jawaharlal Nehru Port owned JNPCT won the award for its proactive strategies to ease congestion, smooth delivery of containers and revamping of infrastructure to support trade amidst adverse conditions. The Gateway Award It was instituted to recognise and promote best practices, innovation and motivation in the Indian Maritime industry. The tenth edition of the Gateway Awards showcased the outstanding achievements and exceptional accomplishments of individuals and organisations in the Indian Maritime industry. Navika Sagar Parikrama Expedition (Topic: Various Security forces and agencies and their mandate) 6 women officers began their journey of circumnavigating the globe on board INSV Tarini - the first-ever Indian circumnavigation of the globe by an all-women crew. Is in consonance with the National policy to empower women to attain their full potential Aims to help discard the societal attitudes and mindset towards women in India by raising visibility of their participation in challenging environment. Encourage the use of environment friendly non-conventional renewable energy resources and this expedition therefore aims at harnessing the renewable energy. During the voyage, the crew would Monitor and report marine pollution on the high seas Interact extensively with local PIOs during various port halts to promote ocean sailing. Collate and update Meteorological/ Ocean/ Wave data on a regular basis for accurate weather forecast by India Meteorological Department (IMD) and subsequent analysis by research and development organisations. Other details: The expedition will be covered in five legs, with stop-overs at 4 ports viz. Fremantle (Australia), Lyttleton (New Zealand), Port Stanley (Falklands), and Cape Town (South Africa). INSV Tarini is a 55-foot sailing vessel, which has been built indigenously, and was inducted in the Indian Navy earlier this year, thus showcasing the ‘Make in India’ initiative on the World forum. Indigenous Development of Trawl System by DRDO (Topic: Various Security forces and agencies and their mandate) R&DE (Engrs), a premier system engineering laboratory under Armament & Combat Engineering (ACE) cluster of Defence Research and Development Organisation (DRDO) has recently undertaken the design and development of Trawl System for the minefield area in the battle zone to meet the operational requirements of Indian Army. Employed for breaching of land mines and creating a vehicle safe lane, through a minefield for the advancing columns of mechanized forces in combat zone The equipment consists of Trawl roller, track width mine plough and electro- magnetic device (EMD), which caters to the need of all types of mines usually encountered by the battle tank in such a scenario. The Trawl System developed by DRDO is capable of breaching a variety of land mines including passive and active influence mines. The Trawl system recently crossed a major milestone with the successful completion of blast trials in collaboration with HEMRL Pune, which demonstrated the survivability of the equipment, when subjected to successive series of blast directly underneath it. The fieldable prototype of the Trawl System is in final stage of realization and would be shortly ready for conduct of User Evaluation Trials by the Army. The indigenous development of Trawls by DRDO is an important step towards achieving self-reliance in area of critical military equipment under ‘Make in India’ initiative and would result in saving of precious foreign exchange for the country. Please Note: Three attributes are important to be kept in mind when we talk about digital inclusion – First, technology must be affordable; Second, technology must lead to inclusion Third, technology must be developmental An International Homoeopathic conference was organized for the first time in Bengaluru. ‘Kumbh’: A documentary film based on Kumbh Mela produced by India Inspires Foundation in association with the Indus University. The Central Zoo Authority (CZA) is a statutory body created under the provisions of the Wildlife (Protection) Act, 1972 by the Ministry of Environment, Forest and Climate Change. It came into existence in 1992 to oversee the functioning of zoos and provide them technical and other assistance. Zoos in India are regulated under the provisions of the Wildlife (Protection) Act, 1972 and are guided by the National Zoo Policy, 1998. The Government of India has formulated Recognition of Zoo Rules, 2009 to lay down standards and norms for management of zoos in the country. At present there are 166 recognized zoos in the country. India’s developmental mantra – ‘Reform, Perform, Transform’ Belarus: A landlocked country in Eastern Europe – Capital: Minsk; bordered by Russia to the northeast, Ukraine to the south, Poland to the west, and Lithuania and Latvia to the northwest. (Locate it) Additional 1% Dearness Allowance to Central Government employees and Dearness Relief to pensioners Cabinet approves MoU between India and Armenia on Cooperation in the field of Disaster Management – enhance cooperation in the field of Disaster Management and contribute to the well-being and safety of the people of both the countries in the event of disaster. It will also result in exchange of information in the relevant fields of disaster management which is of mutual interest. MoU between India and Japan for collaborative research in the field of silkworm and silk industries – Would help in developing prolific hybrid silkworms, which would improve the manufacturing capacity and the quality standards of the Indian sericulture industry and thereby enhance exports of silk and silk products. Cabinet approves hiving off mobile tower assets of Bharat Sanchar Nigam Limited into a separate company, fully owned by BSNL – authorizes BSNL to monetize its telecom tower infrastructure with the formation of a separate subsidiary company. An independent, dedicated tower company of BSNL with a focused approach will lead to increasing of external tenancies and consequentially higher revenue for the new company. Three different business models within the telecom tower industry:- Companies created by hiving off the tower assets portfolios of service providers into subsidiaries Companies established as independent joint venture entities by service providers jointly Companies promoted by specific service providers but established as independent entities with the promoter being the anchor tenant for the tower company. Spiritual Capital of India – Varanasi “Wood is Good” campaign launched during the Conference on “Sustainable Landscapes & Forest Ecosystems: Theory to Practice” – Wood is a climate-friendly material, as it is a renewable resource, having zero carbon footprint. Stress was put on increasing the forest cover much beyond the stipulated 33 per cent of the geographical area and creating an additional carbon sink of 2.5 to 3 billion tons of CO2 equivalent in forests during the conference. Government of India has notified issuance of Commemorative Coins of Rs. 100/- and Rs. 10/- denomination on the eve of Birth Centenary of Dr. M S Subbulakshmi. Dr. Madurai Shanmukhavadivu Subbulakshmi also known as Dr. M.S. Subbulakshmi, was a Carnatic vocalist and was the first musician ever to be awarded the Bharat Ratna. She is the first Indian musician to receive the Ramon Magsaysay award, often considered as Asia’s Noble Prize in 1974. Hindi got its name from the Persian word Hind, meaning 'Land of the Indus River.' Japanese Industrial Townships: Gujarat, Rajasthan, Andhra Pradesh and Tamil Nadu Japan-India Institutes of Manufacturing: Gujarat, Karnataka, Rajasthan and Tamil Nadu Malaysian Association of Company Secretaries (MACS) to adopt the Secretarial Standards issued by the Institute of Company Secretaries of India (ICSI) as the benchmark Operation Insaaniyat – India is providing humanitarian assistance to Bangladesh on account of influx of refugees from Myanmar Swachhta Hi Seva – Unprecedented nationwide campaign on Swachhta to mobilise people and reinforce the “Jan Aandolan” for sanitation to contribute to Mahatma Gandhi’s dream of a Clean India. The campaign is scheduled to be launched by President of India from village Ishwarigunj in Kanpur that has attained the status of open free defecation status “An undocumented wonder: The making of the great Indian Election” – Book by hri S.Y. Khuraishiji The final Development Flight Trials of Astra - Beyond Visual Range Air to Air Missile (BVRAAM) were successfully conducted over the Bay of Bengal, Off the Coast of Chandipur, Odisha First Regional Vocational Training Institute (RVTI) in Hyderabad: First of its kind for the State of Telangana, boosting skill development opportunities among women ready to contribute to the country’s workforce.
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UPSC Quiz- 2017 : IASbaba's Daily Current Affairs Quiz [Day 44] Archives Q.1) Consider the following statements about WASP-12b It was discovered by the SuperWASP planetary transit survey The measured albedo is twice that of Earth It is categorised as a hot Jupiter Select the correct statements 1 and 2 2 and 3 1 and 3 All of the above Q.2) Consider the following statements about Air Independent Propulsion (AIP) Systems in Submarines AIP modules give stealth and extended endurance to diesel-electric submarines by allowing them to stay submerged longer. DRDO is developing fuel cell based Air Independent Propulsion (AIP) system Select the correct statements 1 Only 2 Only Both 1 and 2 Neither 1 nor 2 Q.3) Java is an island of which of the following? Sri Lanka Borneo Nicobar Indonesia Q.4) The Trade Disputes Act of 1929 provided for the participation of workers in the management of industries arbitrary powers to the management to quell industrial disputes an intervention by the British Court in the event of a trade dispute a system of tribunals and a ban on strikes Q.5) Which of the following statements is/are correct? Proper design and effective implementation of UN-REDD+ Programme can significantly contribute to protection of biodiversity resilience of forest ecosystems poverty reduction Select the correct code 1 and 2 only 3 only 2 and 3 only 1, 2 and 3 To Download the Solution - Click here All The Best IASbaba
