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  • Free Webinar: 10 things an IAS* Topper would ensure for a rank in UPSC 2024 that ‘Most Aspirants will IGNORE’ | Pranav’s (IAS, AIR 65) Masterclass (Join FREE)

    Free Webinar: 10 things an IAS* Topper would ensure for a rank in UPSC 2024 that ‘Most Aspirants will IGNORE’ | Pranav’s (IAS, AIR 65) Masterclass (Join FREE)

    A Game-Changing Webinar/Masterclass for UPSC aspirants by AIR 65, Pranav, IAS

    Register for the FREE Masterclass

    The journey to success in the UPSC exam is a rollercoaster ride, filled with ups and downs, and stories of aspirants who defy the odds to achieve their dreams. One such inspiring story is that of Pranav Vijayvergiya, an IIT Bombay graduate who, despite failing to clear the Prelims in his first two attempts in 2018 and 2019, bounced back and secured an impressive AIR 65 in the UPSC 2020 exam.

    From Failing Prelims to AIR 65: Pranav Vijayvergiya’s 10-Step Strategy for Sure-shot Success in UPSC 2024

    Contrary to the popular myth that UPSC exams are a cakewalk for IITians, Pranav’s journey shows that success in the prestigious exam requires more than just an impressive educational background. It takes perseverance, smart strategies, and the right guidance to sail through the exam.

    https://www.youtube.com/shorts/DSwO38weHAA

    Join us for an exclusive webinar where Pranav himself will share his 10-step strategy for a sure-shot rank in UPSC 2024, and discuss the critical gaps he overcame with the help of Civilsdaily’s mentorship under Sajal sir.

    Webinar Details:

    Don’t miss this opportunity to learn from an expert in the field! Here are the details for Pranav Vijayvergiya’s (AIR-65, UPSC 2020) live webinar:

    Date: 6th May (Saturday) 2023

    Time: 7:30 PM Onwards

    Zoom Meeting Link will be sent to your registered email.

    10-Step Strategy by AIR 65, Pranav

    What to Expect in the Webinar:

    In this enlightening webinar, Pranav will share:

    1. The 10-step strategy that helped him secure a top rank in UPSC 2020.
    2. The approach and strategic interventions went into overcoming five critical gaps in his preparation.
    3. How to improve bit by bit if you are weak in any subject?
    4. How to start answer writing and what topics you should pick if you don’t have any prior knowledge?
    5. What does IAS current affairs preparation mean? What are the best and most Effective, Holistic, and Minimalistic ways to prepare for Current Affairs?
    6. How to re-start or re-boost your Preparation if you have any previous failed attempts?
    7. What is the best platform for sectional and FLT online mock test series for Prelims & main?
    8. The secret behind choosing study materials meticulously. he consolidated his study materials and revised them as many times as he could.
    9. What is the role of 1-1 Mentorship in IAS Preparation?
    10. Many more UPSC Preparation secrets for success that only a topper can explain.
    Register for the FREE Masterclass

    Why Should You Attend?

    This webinar is a must-attend for UPSC 2024 aspirants, whether you’re attempting for the first time or repeating the exam after a failure. You’ll gain valuable insights from Pranav’s personal experience and learn the strategies that can help you succeed in your own UPSC journey.

    Don’t miss this unique opportunity to interact with a successful IAS officer who has walked the path you’re on and emerged victorious. Register now and get ready to revamp your UPSC preparation strategy with Pranav Vijayvergiya’s expert guidance!

    FREE Masterclass by AIR 65, Pranav, IAS

    CivilsDaily’s FREE Webinar package UPSC 2024

    Post-webinar we will share important PDFs, timetable framework, and notes.

    Other than this a strategy package will be emailed to you.

    What The Hindu opined about Civilsdaily Mentorship

    AIR 65, Pranav, IAS (Serving IAS officer, Gujrat)

    He’s an IIT Bombay Mechanical Engineer graduate and yet he failed 2 Prelims. Most folks will move on after 2 failures. Waiting for the 3rd is just too painful, but he remained hooked on the goal he had envisioned. He is presently serving as an IAS in Gujarat.

    Karishma Nair, AIR 14 was also Sajal sir’s student
    best coaching for upsc in delhi

    The most important Seminar for UPSC Preparation 2024 by Civilsdaily’s Super IAS Mentor, AIR 65, Pranav, IAS sir Limited entry

    Register FREE: 1-1 with AIR 65

  • Nikaalo Prelims Spotlight || Current affairs Developments in Economics


    Dear Aspirants,

    This Spotlight is a part of our Mission Nikaalo Prelims-2023.

    You can check the broad timetable of Nikaalo Prelims here

    Session Details

    YouTube LIVE with Parth sir – 7 PM  – Prelims Spotlight Session

    Evening 04 PM  – Daily Mini Tests

    Join our Official telegram channel for Study material and Daily Sessions Here

    5th May 2023

    Current affairs Developments in Economics

    Refer to the economics current affairs compilation.

     

  • [Sansad TV] Mudda Aapka: India’s Logistics Sector

    [Sansad TV] Mudda Aapka: India’s Logistics Sector

    Central Idea: India’s Logistics Progress

    • India improves in the logistics ranking of the World Bank by jumping 6 places to Rank 38 out of 139 countries in the 7th edition of Logistics Performance Index (LPI 2023).
    • This is a strong indicator of India’s global positioning, with this development being powered by our Government’s laser focus on reforms for improving logistics infrastructure.

    Reasons behind

    • GatiShakti: In October 2021, the Government of India launched the PM GatiShakti National Master Plan (PMGS-NMP) towards a coordinated approach, leveraging technology, for infrastructure planning and development.
    • National Logistics Policy (NLP): In September 2022, the Prime Minister launched the National Logistics Policy (NLP) which acts as a guiding document for States / UTs seeking to formulate logistics policy (19 States / UTs have notified their logistics policy).

    India’s logistics sector: A backgrounder

    (1) Road Transport

    • The country faces a skewed logistic modal mix with nearly 71% of all freight transport being done by roads.
    • Highways only account for 2.2 % of the entire road network but carry 40% of all freight traffic, thereby putting immense strain on the highway network of the nation.

    (2) Railways 

    • The Railways’ share in freight transport has dropped from 89% in 1950-51 to only 18%in 2020.
    • The average speed of a freight train in India is only 25 km/hour with a permitted axle load (freight capacity of wagons) of around 20 tonnes.
    • The US, which has a vast rail network like India, runs its freight trains at an average speed of 38 mph (60 kmph) and permits an axle load of nearly 30 tonnes.

    (3) Air Cargo 

    • The picture is similar in terms of the air cargo handled.
    • According to the Ministry of Civil Aviation’s Annual report 2019-20, India has 23 domestic cargo terminals and 20 international cargo terminals which handled a total of 3.56 million tonne (mt) of cargo in 2018-19.
    • In contrast, the Shanghai Pudong International Airport in China alone handled 3.63 mt of cargo in 2019.

     What is NLP?

    • First introduced in 2020 during Finance Minister’s Budget speech, the policy will bring in an integrated and tech-enabled approach to logistics operations to bridge the efficiency gap.
    • A comprehensive action plan is proposed under the policy, with major features including:
    • Integrated digital logistics systems;
    • Unified logistics interface platform;
    • Ease of logistics and standardisation of physical assets and
    • Benchmarking service quality standards, state engagement,
    • Human resource development and capacity building,
    • Export-import logistics
    • Sectoral plans for efficient logistics, and facilitation of the development of logistics parks.

    Need for such a policy

    • Organizing and consolidating the sector: India’s logistics sector is largely unorganized and fragmented. As per estimates, the worth of Indian logistics market is over $200 billion.
    • Reducing logistics cost: This is why the country’s logistics costs are as high as 14-15% of the GDP, against 7-8% in developed nations such as Singapore and the US, who leverage it to boost exports. The NLP aims to bring down India’s logistics cost to 8% in the next five years.
    • Preventing waste of perishable items: As per some estimates in India, about 16% of agri-production is wasted at different stages of the supply chain.
    • Warehousing development: Moreover, due to factors such as limited capacity and availability of warehouses, the cost of transaction increases.
    • Multi-modal integration: The new policy is going about simplification, technology and will have a multimodal approach that will combine rail, water, and air — all modes of transport.
    • Reducing operational complexities: The sector is complex with more than 20 government agencies, 40 PGAs (Partner Government Agencies), 37 export promotion councils, 500 certifications, over 10,000 commodities.
    • Employment generation: The sector provides livelihood to more than 22 million people and improving it will facilitate 10 per cent decrease in indirect logistics cost leading to the growth of 5 to 8 per cent in exports.

    What are the focus areas?

    According to several reports, the policy is expected to touch upon four main steps:

    • Integration of Digital System (IDS): This system will look forward to integrating 30 different systems of seven different departments, which are road transport, railway, customs, aviation, foreign trade, and commerce ministries.   
    • Unified Logistics Interface Platform (ULIP): This system will monitor smooth cargo movement.
    • Ease of Logistics (ELOG): Under this, the new policy will simplify the rules, which is expected to simplify basic business.
    • System Improvement Group (SIG): This system will be used to monitor all logistics-related projects regularly and will facilitate the removal of any hurdle. An empowered group of secretaries (EGoS), constituted under the PM Gati Shakti, would monitor and review the implementation of the policy.  

    How will the NLP increase the participation of state governments?

    • Under the policy, every state in India will have to set up a State Logistics Coordination Committee/Cell.
    • The policy will also annually review the performance of every state through the Logistics Ease Across Different States (LEADS) index.
    • The central government will also let states develop their logistics ecosystems and provide a roadmap for improving logistics efficiency.
    • The SIG will also carry out the annual LEADS performance index of states and union territories in India.
    • The agency will work closely with the states and prepare a comprehensive annual State Engagement Report covering the above-mentioned aspects.

    Policy measures till now

    • Mission Gati-Shakti: This mission has been launched as a national master plan for multi-modal connectivity.
    • Bharatmala Pariyojana: The 34,000 km of road infrastructure works would be undertaken, of which, 11,000 km have been targeted to be completed by March 2022. (Also read about Sagarmala, Parvatmala etc.)
    • High budgetary allocation: Government allocated Rs5.54 trillion towards capital expenditure across various ministries in the Union Budget 2021-22, a 34.5% jump from the previous year.
    • Dedicated freight corridor: There is Eastern and Western Dedicated Freight Corridors commissioned which can be a game-changer for boosting railway freight share
    • National Air Cargo Policy: This has also been formulated that seeks to build air transport shipment hubs in all major airports by 2025.

    Various challenges

    • Skewed modal mix: Nearly 71% of all freight transport is done by roads, while other modes such as railways, air cargo, and waterways remain underutilized.
    • Congestion on highways: Highways carry 40% of all freight traffic, despite accounting for only 2.2% of the entire road network, putting immense strain on the highway network of the nation.
    • Decline in railways’ share: The Railways’ share in freight transport has dropped from 89% in 1950-51 to only 18% in 2020. The average speed of a freight train in India is only 25 km/hour with a permitted axle load of around 20 tonnes, which is significantly lower than that of other countries like the US.
    • Limited air cargo infrastructure: India has only 23 domestic cargo terminals and 20 international cargo terminals, which handled a total of 3.56 million tonnes of cargo in 2018-19. This is much lower than other countries like China.
    • Fragmented sector: India’s logistics sector is largely unorganized and fragmented, with more than 20 government agencies, 40 PGAs (Partner Government Agencies), 37 export promotion councils, 500 certifications, and over 10,000 commodities, making it complex and challenging to navigate.
    • High logistics costs: India’s logistics costs are as high as 14-15% of GDP, against 7-8% in developed nations such as Singapore and the US, which affects its competitiveness and reduces its ability to boost exports.
    • Wastage of perishable items: About 16% of agri-production is wasted at different stages of the supply chain, leading to significant economic losses.
    • Limited warehousing capacity: The availability and capacity of warehouses are limited, increasing the cost of transactions.

    Way forward

    • Use of blockchain technology: The use of blockchain technology can improve transparency, efficiency and traceability in the logistics sector. It can also help reduce fraud and errors, and increase security.
    • Promote inland waterways: The government can promote the use of inland waterways for freight transport by building more ports and terminals, improving infrastructure and providing incentives to transporters.
    • Use of UAV: The use of drones can help improve last-mile delivery and reduce delivery times. They can be used for delivering packages in remote areas and for monitoring the movement of goods in real-time.
    • Encourage multi-modal transportation: Multi-modal transportation involves using more than one mode of transport for freight movement.  
    • Collaboration between private and public sector: The government can collaborate with private players to develop a robust logistics infrastructure.  
    • Development of logistics parks: The government can develop logistics parks that provide warehousing, cold storage, and other facilities required for efficient logistics operations.  
    • Green logistics: The government can promote green logistics by encouraging the use of electric vehicles, promoting the use of renewable energy and adopting sustainable logistics practices.  

    Get an IAS/IPS ranker as your personal mentor for UPSC 2024 | Schedule your FREE session and get the Prelims prep Toolkit!

  • Nikaalo Prelims Spotlight || Agriculture, Industrial Sector & Service Sector


    Dear Aspirants,

    This Spotlight is a part of our Mission Nikaalo Prelims-2023.

    You can check the broad timetable of Nikaalo Prelims here

    Session Details

    YouTube LIVE with Parth sir – 7 PM  – Prelims Spotlight Session

    Evening 04 PM  – Daily Mini Tests

    Join our Official telegram channel for Study material and Daily Sessions Here

    4th May 2023

    Cropping Pattern in India

    Back to Basics: Cropping Pattern mean the proportion of area under different crops at a point of time, changes in this distribution overtime and factors determining these changes.

    Cropping pattern in India is determined mainly by rainfall, climate, temperature and soil type.

    Technology also plays a pivotal role in determining crop pattern. Example, the adoption of High Yield Varieties Seeds along with fertilisers in the mid 1960’s in the regions of Punjab, Haryana and Western Uttar Pradesh increased wheat production significantly.

    The multiplicity of cropping systems has been one of the main features of Indian agriculture. This may be attributed to following two major factors:

    1. Rainfed agriculture still accounts for over 92.8 million hectares or 65 percent of the cropped area. A large diversity of cropping systems exists under rainfed and dryland areas with an overriding practice of intercropping, due to greater risks involved in cultivating larger area under a particular crop.
    2. Due to prevailing socio-economic situations (such as; dependency of large population on agriculture, small land-holding size, very high population pressure on land resource etc.), improving household food security has been an issue of supreme importance to many million farmers of India, who constitute 56.15 million marginal (<1.0 hectare), 17.92 million small (1.0-2.0 hectare) and 13.25 million semi-medium (2.0-4.0 hectare) farm holdings, making together 90 percent of 97.15 million operational holdings.
    3. An important consequence of this has been that crop production in India remained to be considered, by and large, a subsistence rather than commercial activity.

    What are the types of cropping System?

    Different types of cropping systems are adopted on farms depending on the resources and technology available. The different & basic types of cropping System is explained below:

    Mono-cropping: If only one crop is grown in the land season after season, it is referred to as Monocropping. Example: Wheat will be planted year after year in the same field. 

    Crop Rotation: In this method, the type of crops grown in the field is changed each season or each year. farmers also change from crops to fallow. Example: Maize will be planted in the first year and beans in the second year. This Crop rotation system is a key principle of agriculture conservation as it improves the soil structure and fertility. It also helps to control weeds, pests, and diseases.

    Sequential Cropping: This system involves growing two crops in the same field, one after the other in the same year. Example: Planting maize during long rains, then beans during the short rains. 

    Inter-cropping: Growing two or more crops in the same field at the same time is called Intercropping. Examples: Planting alternating rows of maize and beans, or growing a cover crop in between the rows. 

    Mixed Intercropping: In this method, seeds of two crops are distributed or dibbling the seeds without any row arrangement. This method is called mixed intercropping. This method is easy to sow but makes weeding, fertilization, and harvesting difficult. 

    Multiple-Cropping: In this cropping system, farmers grow two or more crops on farmland in one year with intensive input management practices. It includes inter-cropping, mixed-cropping, and sequence cropping.

    Row Intercropping: In this method, both the main crop and the intercrop in rows are planted. The row intercropping makes weeding and harvesting easier than with mixed intercropping.

    Stir Cropping: This type of cropping involves planting broad strips of several crops in the field. Each strip will be 3–9 m wide. On slopes, the strips are laid out along the contour to prevent erosion. The farmer can rotate crops by planting each strip with a different crop in the next year. Example: Alternating strips of maize, soybean, and finger millet are planted. 

    Relay Cropping: In this method, one crop is planted and another crop, usually a cover crop, is planted in the same field before harvesting the first. It avoids competition between the main crop and the intercrop. Relay cropping uses the field for a long time since the cover crop usually continues to grow after the main crop is harvested.

    In Indian agriculture, three types of Cropping System is used. They are:

    • Mono-Cropping

    • Inter-cropping

    • Multiple-Cropping

    Factors Determining Cropping Pattern in India

    Cropping Pattern in India

    30 most important cropping patterns in India

    Specific Issues Related to the Cropping Pattern

    Crop Pattern Region/State Issues Related to Crop Pattern
    Rice-Wheat UP, Punjab, Haryana, Bihar, West Bengal, Madhya Pradesh. Over the years there is stagnation in the production and productivity loses.

    The main reasons for stagnation are:

    Over Mining of Nutrients from the soil.

    Declining Ground Water Table.

    Increase Pest Attacks and Diseases.

    Shortages of Labour.

    Inappropriate use of Fertilizers.
    Rice-Rice Irrigated and Humid coastal system of Orrisa, Tamil Nadu, Andhra Pradesh, Karnataka and Kerala. The major issues in sustaining the productivity of rice-rice system are:

    Deterioration in soil physical conditions.

    Micronutrient deficiency.

    Poor efficiency of nitrogen use. Imbalance in use of nutrients. Non-availability of appropriate trans planter to mitigate labour shortage during the critical period of transplanting.
    Rice- Groundnut Tamil Nadu, Andhra Pradesh, Karnataka, Orrisa and Maharashtra. The major issues in the pattern are:

    Excessive Rainfall and Water Logging.

    Non-availability of quality seeds.

    Limited expansion of Rabi Groundnut in Rice grown areas.
    Rice-Pulses Chhattisgarh, Orrisa and Bihar. Factors limiting Productivity are:

    Droughts and Erratic Rainfall distribution.

    Lack of Irrigation.

    Low coverage under HYV Seeds.

    Weed Attacks.

    Little attention to pest attacks and diseases.

    Marginalisation of land and Removal of Tribal from their own land.
    Maize-Wheat UP, Rajasthan, MP and Bihar The Reason for Poor Yields are:

    Sowing Timing.

    Poor Weed Management.

    Poor Plant Varieties.

    Poor use of organic and inorganic fertilizers.

    Large area under Rain Fed Agriculture.
    Sugarcane-Wheat UP, Punjab and Haryana accounts for 68% of the area under sugarcane.

    The other states which cover the crops are; Karnataka and MP.

    		 Problems in Sugarcane-Wheat system are:

    Late Planting.

    Imbalance and inadequate use of nutrients.

    Poor nitrogen use efficiency in sugarcane.

    Build-up of Trianthema partu lacastrum and Cyprus rotundus in sugarcane.

    The stubble of sugarcane pose tillage problem for succeeding crops and need to be managed properly.
    Cotton-Wheat Punjab, Haryana, West UP, Andhra Pradesh, Karnataka, Tamil Nadu. Problems in Cotton-Wheat system are:

    Delay Planting.

    Stubbles of cotton create the problem of tillage operations and poor tilth for wheat.

    Cotton Pest like Boll Worm and White Fly.

    Poor nitrogen use efficiency in cotton.
    Soya bean-Wheat Maharashtra, MP and Rajasthan Constraints limiting the soybean production and productivity are:

    A relatively recent introduction of soybean as a crop.

    Limited genetic diversity.

    Short growing period available in Indian latitudes.

    Hindered agronomy/availability of inputs at the farm level.

    Rainfed nature of crop and water scarcity at critical stage of plant growth.

    Insect pests and diseases, Quality improvement problems.

    Inadequate mechanization and partial adoption of technology by farmers have been identified.
    Legume Based Cropping Systems (Pulses-Oilseeds) MP, Gujarat, Maharashtra, Andhra Pradesh and Karnataka. The major issues in Legume based system are:

    Lack of technological advancement.

    Loses due to erratic weather and waterlogging.

    Diseases and Pests.

    Low harvest index, flower drop, indeterminate growth habit and very poor response to fertilizers and water in most of the grain legumes.

    Nutrient needs of the system have to be worked out considering N-fixation capacity of legume crops.

    Horticulture Crops in India

    India has made a good place for itself on the Horticulture Map of the World with a total annual production of horticultural crops touching over 1490 million tones during 1999-00.

    The horticultural crops cover about 9 percent of the total area contributing about 24.5 percent of the gross agricultural output in the country. However, the productivity of fruits and vegetables grown in the country is low as compared to developed countries.

    Vegetable Crops

    Vegetable crops in India are grown from the sea level to the snowline. The entire country can broadly be divided into six vegetable growing zones:

    Low productivity is the main feature of vegetable cultivation in India as farm yields of most of the vegetables in India are much lower than the average yield of the world and developed countries.

    The productivity gap is more conspicuous in tomato, cabbage, onion, chilli and peas. The preponderance of hybrid varieties and protected cultivation are mainly responsible for high productivity in the developed countries.

    Constraints in vegetable production:

    1. Lack of planning in Production

    2. Non-availability of seeds of improved varieties.

    3. High cost of basic production elements

    4. Inadequate plant protection measures and non-availability of resistant varieties.

    5. Weak marketing facilities

    6. Transportation limits

    7. Post-harvest losses

    8. Abiotic stresses.

     

  • How to study hard without ever burning out? Simplifying UPSC 2024 Preparation | Fill Samanvaya, a Free 1-on 1 mentorship session

    How to study hard without ever burning out? Simplifying UPSC 2024 Preparation | Fill Samanvaya, a Free 1-on 1 mentorship session

    Get FREE Ranker’s Strategy and 1-1 session for UPSC 2024

    Click here

    Given the fierce competition, the extensive and complicated syllabus, and the unpredictable nature of the UPSC, there is some truth to the claim that passing the UPSC exam is a much more difficult task than imagined.

    On the other hand, winning this UPSC battle becomes much simpler for those who work hard in the right direction, under a strategy, followed consistently. Remember! UPSC demands absolute perfection in terms of execution.

    If you are not enjoying the process of working hard for UPSC prep, it is time to evaluate your prep and simplify it.

    Civilsdaily

    Now, Absolute perfection is impossible to achieve in a single day. And for this reason, the adage “Only practice makes a man perfect” is true. However, this statement varies for all UPSC candidates because only perfect practice makes a difference.

    Mantri Maurya cleared IAS on his 4th Attempt. He was relentless about improving himself in order to serve the country he loves dearly.

    Book FREE Samanvaya 1-1 mentorship session with IAS/IPS rankers

    Click here

    Table of Content

    What Does Hard Work Mean?

    Given an example, taking the UPSC-CSE with 50%, 60%, 70%, or even 85% syllabus coverage will not ensure your success. If you have only finished half of the syllabus, there are many competitors who have revised 3X times. It means they have done 300% preparation for the exam.

    To catch up with the competition you have to put in extra hours, extra effort, and a lot of dedication. Day in and day out, you have to cover the syllabus, make linkages, analyze and practice.

    And you have to do this for a major part of a year. Consistently. Like a machine.

    Why do 99.99% of Aspirants fail to do so?

    In the pursuit of success in the UPSC exam, it is not hard work that is the key ingredient separating the winners from the rest, but consistent hard work in the ‘right direction’.

    Therefore, it is crucial for an aspirant to adopt a work ethic that emphasizes persistence, determination, and a relentless pursuit of excellence. 

    Despite understanding the importance of studying hard and consistently, many UPSC aspirants struggle with burnout. You might have tried to study for UPSC for 10-12 hours/per day for a week or so, only to be unable to continue the following week.

    Burnout occurs when aspirants push themselves beyond their limits, leading to physical and mental exhaustion. This can result in a lack of motivation, decreased productivity, and an inability to focus on the task at hand.

    The reasons for burnout can vary, including poor time management, lack of a well-structured study plan, unrealistic expectations, and inadequate self-care. To overcome burnout and achieve success in the UPSC exam, it is crucial to address these issues and find a sustainable way of maintaining consistency in your preparation.

    Remember, your mental and physical wellness is your entire life, whereas UPSC-CSE is only a step in your life. If you are not enjoying working hard for UPSC-CSE, it is time to consider how you might simplify it for yourself.

    Book FREE Samanvaya 1-1 mentorship session with IAS/IPS rankers and Simplify your UPSC journey

    Click here
    FREE Samanvaya Mentorship

    How does Samanvaya Mentorship work? Introducing 3 layers of mentorship: Get IAS or UPSC ranker as your mentor

    1. We’ll schedule your 1-1 session with an IAS mentor who will get on a detailed on-call discussion around your UPSC prep situation. Understanding your challenges, strengths, weaknesses, time availability, your learning style, etc.

    Knowing yourself is very important to do a year-long exam like UPSC-CSE. Why do you want to be an IAS Officer, when you can apply for any other job? Which subjects are your strengths, and which are your weaknesses? What part of the syllabus presents an opportunity to score higher? What are the threats i.e. How is your preparation compared to other aspirants?

    There are no one-size-fits-all answers to these questions. What might be your strength, would be a weakness for another. If not preparing for CSAT is your threat, then the same need not be applicable to another aspirant. UPSC-CSE appears to be a competition against others but at its core, it’s a competition with yourself. It’s pushing yourself to be better than what you used to be before. Also, these are very important questions that one needs an answer to, not once but many times during their preparation

    What will be Addressed in Your Free 1-on-1 Counselling Session?

    1. How you can align your UPSC-Preparation in time available to you? (Working professional/college aspirant has diff time availability than a full time aspirant and so on..)

    2. Based on this, when would be the best time for you to attempt UPSC-CSE

    3. Tailor made strategy, timetable and targets for you.

    4. Booklist, FREE resources. What kind of Optional you must choose?

    5. How to prepare for Prelims & Mains in the same day?

    6. Any personal issues you are facing which you would like to share with us.

    7. Giving confidence and motivation boosters.

    8. Areas you should work hard and areas you can work smart

    2. You are directed and given access to relevant resources and an invite-only Telegram group, where you can ask your daily doubts, discuss your test-prep questions and have real-time, live sessions on news and op-eds, and find your optional groups.

    3. The third and the most personalized tier is the 1 on 1 mentor allotment who stays with you through the course of your UPSC preparation – always-on chat and on scheduled calls to help you assess, evaluate, and chart the next milestone of your IAS 2023-24 journey.

    We will also connect you to a UPSC ranker or IAS, who will mentor you in this journey.

    Layer 1: You will be assigned a dedicated in-house mentor who will keep track of our progress from the start till your final interview.

    Layer 2: Sajal Singh sir and the team will be constantly with you through various programs like Samachar Manthan, Prelims, Essay, etc.

    Layer 3: A UPSC IAS ranker (one who has cleared this exam) will be supervising your progress as your super mentor.

    Super Mentors like Areeba (AIR-109), Mantri (AIR-28), Soham, and IPS Shubham will help you to make strategies as per your need and devise a timetable that suits you.

    Book FREE Samanvaya 1-1 mentorship session with IAS/IPS rankers

    Click here

    Who should fill Samanvaya?

    1. Working Junta? If you are preparing for IAS 2023-24 and working simultaneously, we can help you design a timetable that fits right into your hectic schedule.
    2. First-time prep? If you are in the last year of college or thinking of dropping a year and preparing for IAS 2023-24 full-time, we can help you pick the right books and craft a practical & personal strategy.
    3. UPSC Veteran?

    You just have to take 5 minutes out and fill out this form: Samanvaya For IAS 2023-24

    Once done, we will call you within 24 hours or so.

    What The Hindu opined about Civilsdaily Mentorship

    Karishma Nair, AIR 14 was also Sajal sir’s student
    AIR 65, Pranav mentored under Sajal sir for UPSC 2020

    Book FREE Samanvaya 1-1 mentorship session with IAS/IPS rankers

    Click here

  • Nikaalo Prelims Spotlight || External Sectors, Schemes- Socio economic Development, Poverty and Planning

    Dear Aspirants,

    This Spotlight is a part of our Mission Nikaalo Prelims-2023.

    You can check the broad timetable of Nikaalo Prelims here

    Session Details

    YouTube LIVE with Parth sir – 1 PM  – Prelims Spotlight Session

    Evening 04 PM  – Daily Mini Tests

    Telegram LIVE with Sukanya ma’am – 06 PM  – Current Affairs Session

    Join our Official telegram channel for Study material and Daily Sessions Here

    3rd May 2023

    External Sectors of India 

    All economic activities of an economy which take place in foreign currency fall in the external sector such as balanced of payment, export, import, foreign investment, external debt, current account, capital account, exchange rates etc.

    FOREX RESERVES

    Foreign exchange reserves are assets denominated in a foreign currency that are held on reserve by a central bank. These may include foreign currencies, bonds, treasury bills and other government securities.

    Forex Reserves Consist of:

    • Bank deposits

    • Gold

    • Special drawing rights (SDRS)

    • Reserve tranche position (RTP)

    • Foreign currency assets (FCA)

    • Government securities

    SDR

    • SDR is an international reserve asset, created by the IMF in 1969.

    • Value of the SDR is based on a basket of five currencies- Dollar, Euro, Renminbi, Yen, and Pound Sterling.

    • It is neither a currency nor a claim on the IMF. Rather, it is a potential claim on the freely usable currencies of IMF members.

    EXCHANGE RATE

    Exchange rate is Price at which one currency is converted into or exchanged for another currency.

    Various Exchange rates mechanism:

    FIXED EXCHANGE RATE

    FLOATING EXCHANGE RATE

    MANAGED FLOATING RATE

    Complete intervention of Authority (government or central bank) in determination of the currency exchange rate.

    Market forces(demand and supply) determine the value of currency

    No role of authority

    Exchange rate is largely determined by market forces.

    In crisis, central banks may intervene to stabilize the exchange rate

    NEER vs REER

    Nominal Effective Exchange Rate (NEER)

    Real Effective Exchange Rate (REER)

    Weighted average of bilateral nominal exchange rates of the home currency in terms of foreign currencies

    Weighted average of nominal exchange rates, adjusted for inflation.

    It is the exchange rate of one currency against a basket of currencies, weighted according to trade with each country (not adjusted for inflation).

    Is calculated on the basis of NEER.

    Captures inflation differentials between country and its major trading partners and reflects the degree of external competitiveness

    CURRENCY CONVERTIBILITY

    Currency convertibility is the ease with which the currency of a country can be freely converted into any other foreign currency or gold at market determined exchange rate.

    Partial Convertibility:

    • Portion allowed by the government which can be converted into foreign currency with least restrictions.

    • Union Budget for 1992-93, introduced it on current account under Liberalized Exchange Rate Management System (LERMS)

    • Also known as Dual exchange system.

    • Presently partial convertibility still operational on capital account.

    Full Convertibility:

    • Freedom to convert domestic currency into any foreign currency and vice versa without any regulatory intervention.

    • Dual exchange rate system got automatically abolished and LERMS was now based upon the open market exchange.

    • In 1994, the Government of India declared full convertibility of Rupee on Current account.

    Tarapore Committee I (1997) and II (2006):

    • Constituted by the RBI for suggesting a roadmap on full convertibility of Rupee on Capital Account.

    Advantages of capital account convertibility:

    • Availability of large funds
    • Reduction in cost of capital.
    • Greater financial competitiveness.
    • Increase in FII/FPI flow.

    BALANCE OF PAYMENT

    A systematic record of all economic transactions between the residents of one country with the residents of the other country in a financial year.

    It consists of balance of trade, balance of current account and capital account.

    Balance of trade: Difference between the monetary value of a nation’s exports and imports over a certain time period.

    Balance of payments divides transactions in two accounts:

    Current account

    Capital account

    Current Account

    Invisible

    Visible

    Goods(+)

    Services [+)

    Income

    1. Dividend

    2. Interest

    3. Profit

    Transfer [+]

    1. Gift

    2. Donation

    3. Remittance

    Capital account [+]

    Investment [+]

    1.Sovereign 2.Commercial

    NRI account [+]

    1. Gift

    2.Donation 3.Remittance

    Loan (+)

    1 FDI 2. FII/FPI
     

    CURRENT ACCOUNT

    CAPITAL ACCOUNT

    Meaning

    • Records imports and exports of visible and invisibles

    • Short term implication transactions

    • Covers only earnings and spending.

    • Excludes any borrowings and lending.

    • Shows capital expenditure and income for country

    • Long term implication transactions

    • Only includes borrowings and lending by a country

    Components

    • Visible trade(Export and Import of goods-Merchandise transactions )

    • Invisible trade(Export and Import of services)

    • Unilateral transactions

    • Direct Investment (FDI)

    • Portfolio Investment (FPI)

    • Loans / External commercial borrowing (ECB)

    • Non-resident’s investment in Bank, Insurance, Pension schemes.

    • RBI’s foreign exchange reserve

    Deficit (CAD)

    • If the value of the goods and services imported exceeds the value of those exported.

    • Current Account deficit = Trade gap(export – import) + Net current transfers (foreign aid) + Net factor income (Interest, Dividend)

    • When more money is flowing out of a country to acquire assets and rights abroad

    Surplus

    • If the value of the goods and services exported exceeds the value of those imported.

    • Money is flowing into the country, but these inflows reflect changes in the ownership of national assets by way of sale or borrowing.

    Convertibility

    • Current account convertibility relates to the removal of restrictions on payments relating to the international exchange of goals, services and factor incomes.

    • Capital account convertibility refers to a liberalization of a country’s capital transactions such as loans and investment.

    Current status

    • Allowed Full convertibility

    • Only Partial convertibility

    EXTERNAL DEBT

    Part of a country s debt which has been borrowed from foreign creditors which includes private commercial banks, international financial institutions such as the World Bank, International Monetary Fund (IMF), and sovereign governments.

    Types of external debts:

    Short term debt: Maturity period 1 year or less

    Long term debt: Maturity period more than 1 year

    Sovereign debt : Bonds issued by the national government in any foreign currency to generate funds to meet its financial expenses.

    Schemes- Socio economic Development, Poverty and Planning

    Refer to the schemes compilation.

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  • Nikaalo Prelims Spotlight || RBI, Inflation and Monetary Policy, Money Market and Capital Market


    Dear Aspirants,

    This Spotlight is a part of our Mission Nikaalo Prelims-2023.

    You can check the broad timetable of Nikaalo Prelims here

    Session Details

    YouTube LIVE with Parth sir – 7 PM  – Prelims Spotlight Session

    Evening 04 PM  – Daily Mini Tests

    Join our Official telegram channel for Study material and Daily Sessions Here

    1st May 2023

    Inflation

    Understanding Inflation

    Inflation: Inflation is when the overall general price level of goods and services in an economy is increasing. As a consequence, the purchasing power of the people are falling. 

    Inflation Rate: Inflation Rate is the percentage change in the price level from the previous period. 

    Inflation Rate= {(Price in year 2 – Price in year 1)/ Price in year 1} *100

    Whole sale Price Index: WPI is used to monitor the cost of goods and services bought by producer and firms rather than final consumers. The WPI inflation captures price changes at the factory/wholesale level.

    GDP Deflator: GDP Deflator is the ratio of nominal GDP to real GDP. The nominal GDP is measured at the current prices whereas the real GDP is measured at the base year prices. 

    The Difference

    Consumer Price Index GDP Deflator
    CPI reflects the price of goods and services bought by the final consumers. GDP deflator reflects the price of all the goods and services produced domestically.
    Example: Suppose the price of a satellite to be launch by ISRO increases. Even though the satellite is part of the GDP of India, but it is not a part of normal CPI index, since we don’t consume satellite. The price rise of the ISRO satellite will be reflected in GDP deflator.
    Similarly, India produces some crude oil, but most of the oil/petroleum is imported from the West Asia, as a result, when the price of oil/petroleum product changes, it is reflected in CPI basket as petroleum products constitute a larger share in CPI. The price change of oil products is not reflected much in the GDP deflator since we do not produce much crude oil.
    The CPI compares the price of a fixed basket of goods and services to the price of the basket in the base year. The GDP deflator compares the price of currently produced goods and services to the price of the same goods and services in the base year. Thus, the group of goods and services used to compute the GDP deflator changes automatically over time.

    Producer Price Index

    PPI measures the average change in the sale price of goods and services either as they leave the place of production or as they enter the place of production. Moreover, PPI includes services also.

    The PPI measure the price changes from the perspective of the seller and differs from CPI which measures price changes from buyer perspective.

    Causes of Inflation

    Inflation is mainly caused either by demand Pull factors or Cost Push factors. Apart from demand and supply factors, Inflation sometimes is also caused by structural bottlenecks and policies of the government and the central banks. Therefore, the major causes of Inflation are:

    • Demand Pull Factors (when Aggregate Demand exceeds Aggregate Supply at Full employment level).
    • Cost Push Factors (when Aggregate supply increases due to increase in the cost of production while Aggregate demand remains the same).
    • Structural Bottlenecks (Agriculture Prices fluctuations, Weak Infrastructure etc.)
    • Monetary Policy Intervention by the Central Banks.
    • Expansionary Fiscal Policy by the Government.

    Demand and Supply factors can be further sub divided into the following:

    Inflationary Gap: the Inflationary gap is a situation which arises when Aggregate demand in an economy exceeds the Aggregate supply at the full employment level.

    Deflationary Gap: Deflationary Gap is a situation which arises when Aggregate demand in the economy falls short of Aggregate Supply at the full employment level.

    Stagflation:  The falling growth along with rising prices makes cost push inflation more dangerous than the demand-pull inflation. The situation of rising prices along with falling growth and employment is called as stagflation.

    Hyperinflation: Hyperinflation is a situation when inflation rises at an extremely faster rate. The rate of inflation can increase from 50 times to 300 times. The major causes of the hyperinflation are; government issuing too much currency to finance its deficits; wars and political instabilities and unexpected increase in people’s anticipation of future inflation.

    Structural Inflation

    • Structuralist Inflation is another form of Inflation mostly prevalent in the Developing and Low-Income Countries.
    • The Structural school argues that inflation in the developing countries are mainly due to the weak structure of their economies.

    Deflation: Deflation is when the overall price level in the economy falls for a period of time.Deflation is when, for instance, the price of a basket of goods has fallen from Rs 100 to Rs 80. It’s the reduction in overall prices of goods.

    Disinflation: Disinflation is a situation in which the rate of inflation falls over a period of time. Remember the difference; disinflation is when the inflation rate is falling from say 5% to 3%.

    Headline versus Core Inflation

    The headline inflation measure demonstrates overall inflation in the economy. Conversely, the core inflation measures exclude the prices of highly volatile food and fuel components from the inflation index.

    Core inflation excludes the highly volatile food and fuel components and therefore represents the underlying trend inflation. 

    Banking and Monetary Policy

    What is monetary policy?

    As the name suggests it is policy formulated by monetary authority i.e. central bank which happens to be RBI in case of India.

    It deals with monetary i.e money matters i.e. affects money supply in the economy.

    Eg. CRR,SLR,OMO,REPO etc

    What is fiscal policy then?

    It is formulated by finance ministry i.e. government. It deals with fiscal matters i.e. matters related to government revenues and expenditure.

    Revenue matters- tax policies, non tax matters such as divestment, raising of loans, service charge etc

    Expenditure matters– subsidies, salaries, pensions, money spent on creation of capital assets such as roads, bridges etc.

    Monetary policy and fiscal policy together deal with inflation.

    Let us now understand how RBI formulates monetary policy to control inflation

    It’s clear from what we have learnt so far that to control inflation, RBI will have to decrease money supply or increase cost of fund so that people do not demand goods and services.

    Tools available with RBI

    1. Quantitative tools or general tools- they affect money supply in entire economy- housing, automobile, manufacturing, agriculture- everything.

    They are of two types

    1. Cash Reserve Ratio (CRR)– as the name suggests, banks have to keep this proportion as cash with the RBI. Bank cannot lend it to anyone. Bank earns no interest rate or profit on this.Bank cannot lend it to anyone. 
    2. Statutory Liquidity Ratio (SLR)-  As the name indicates banks have to set aside this much money into liquid assets such as gold or RBI approved securities mostly government securities. Banks earn interest on securities but as yield on govt securities is much lower banks earn that much less interest.

    RBI Tools for Controlling Credit/Money Supply

    Broadly speaking, there are two types of methods of controlling credit.

    Measure of Money Supply in India

    M1 M2 M3 M4
    It is also known as Narrow Money. It is a broader concept of the money supply. It is also known as Broad Money. M4 includes all items of M3 along with total deposits of post office saving accounts.
    M1= C+DD+OD

    C= Currency with Public.

    DD= Demand Deposit with the public in the Banks.

    OD= Other Deposits held by the public with RBI.

    		 M2= M1 + Saving deposits with the post office saving banks.

    M1 is distinguished from M2 because the post office saving deposits are not as liquid as Bank deposits.

    		 M3 = M1+ Time Deposits with the Bank.

    Time deposits serve as a store of wealth and represent a saving of the people and are not as liquid as they cannot be withdrawn through cheques or ATMs as compared to money deposited in Demand deposits.

    		 M4= M3+Total Deposits with Post Office Saving Organisations.

    M4 however, excludes National Saving Certificates of Post Offices.
    It is the most liquid form of the money supply.   M3 is the most popular and essential measure of the money supply. The monetary committee headed by late Prof Sukhamoy Chakravarty recommended its use for monetary planning in the economy. M3 is also called Aggregate Monetary Resource  
     
     

    FINANCIAL MARKETS

    • Financial Markets refers to the system consisting of financial institutions, financial instruments, regulatory bodies and organisations
    •  It facilitates flow of debt and equity capital.
    • Financial Institutions (Banks), Development financial Institutions (NABARD, SIDBI, IDBI etc.) and Non-Banking Financial Institutions form Financial Institutions. Ø Financial Instruments are shares, bonds, debentures etc.

    Financial markets consist of two major segments:

    (l) Money Market: the market for short term funds;

    (2) Capital Market: the market for long and medium term funds.

    MONEY MARKET

    According to the RBI, “The money market is the centre for dealing mainly of short character, in monetary assets; it meets the short term requirements of borrowers and provides liquidity or cash to the lenders.

    It is a place where short term surplus investible funds at the disposal of financial and other institutions and individuals are bid by borrowers, again comprising institutions and individuals and also by the government.

    Functions of Money Market

    • To maintain monetary equilibrium: It means to keep a balance between the demand for and supply of money for short term monetary transactions.
    • To promote economic growth: Money market can do this by making funds available to various units in the economy such as agriculture, small scale industries, etc.
    • To provide help to Trade and Industry: Money market provides adequate finance to trade and industry. Similarly it also provides facility of discounting bills of exchange for trade and industry.
    • To help in implementing Monetary Policy: It provides a mechanism for an effective implementation of the monetary policy.
    • To help in Capital Formation: Money market makes available investment avenues for short term period. It helps in generating savings and investments in the economy.
    • Money market provides non-inflationary sources of finance to government.

    Instruments of money market

    Treasury Bills: They are promissory notes issued by the RBI on behalf of the government as a short term liability and sold to banks and to the public. The maturity period ranges from 14 to 364 days. They are the negotiable instruments, i.e. they are freely transferable. No interest is paid on such bills but they are issued at a discount on their face value.

    Commercial Bills: They are also called Trade Bills or Bills of Exchange. Commercial bills are drawn by one business firm to another in lieu of credit transaction. It is a written acknowledgement of debt by the maker directing to pay a specified sum of money to a particular person. They are short-term instruments generally issued for a period of 90 days. These are freely marketable. Banks provide working capital finance to firms by purchasing the commercial bills at a discount; this is called ‘discounting of bills’.

    Commercial Paper (CP): The CP was introduced in 1990 on the recommendation of the Vaghul Committee. A commercial paper is an unsecured promissory note issued by corporate with net worth of atleast Rs 5 crore to the banks for short term loans. These are issued at discount on face value for a period of 14 days to 12 months. These are issued in multiples of Rs 1 lakh subject to a minimum of Rs 25 lakh.

    Certificate of Deposit (CD): The CD was introduced in 1989 on the recommendation of the Vaghul Committee. These are issued by banks against deposits kept by individuals and institutions for a period of 15 days to 3 years. These are similar to Fixed Deposits but are negotiable and tradable. These are issued in multiples of Rs. 1 lakh subject to a minimum of Rs25 lakh.

    CAPITAL MARKET

    The capital market is the market, for medium and long term funds. It consists of all the financial institutions, organizations and instruments which deal in lending and borrowing transaction of over one year maturity.

    It is of following two types:

    Primary Market

    Secondary Market

    It issues security for the first time. Example- Initial public offer and follow on public offer.

    Existing securities are bought and sold.

    Firms issue shares to public.

    One investor sells it to another investor.

    Price is fixed by the firms.

    Price is fixed on the basis of demand and supply.

    Firms raise money for long-term investment.

    Companies benefit from the secondary markets.

    There is no specific geographical location.

    There is no specific geographical location.

    SEBI is the regulator for this market.

    SEBI is the regulator for this market as well.

    GILT-EDGED MARKET

     The Gilt-edged market refers to the market for government and semi government securities, backed by the RBI.

    It is known so because the government securities do not suffer from the risk of default and are highly liquid.

    The RBI is the sole supplier of such securities. These are demanded by commercial banks, insurance companies, provident funds and mutual funds.

    The gilt-edged market may be divided into two parts- the Treasury bill market and the government bond market. Treasury bills are issued to meet short-term needs for funds of the government, while government bonds are issued to finance long-term developmental expenditure. 

  • Nikaalo Prelims Spotlight || Pattern of Economic Indicators & Fiscal Policy


    Dear Aspirants,

    This Spotlight is a part of our Mission Nikaalo Prelims-2023.

    You can check the broad timetable of Nikaalo Prelims here

    Session Details

    YouTube LIVE with Parth sir – 7 PM  – Prelims Spotlight Session

    Evening 04 PM  – Daily Mini Tests

    Join our Official telegram channel for Study material and Daily Sessions Here

    1st May 2023

    Patterns of Economic Indicators

    An economic indicator is a statistic about an economic activity. Economic indicators allow analysis of economic performance and predictions of future performance. One application of economic indicators is the study of business cycles.

    NATIONAL INCOME
    • National Income is the total value of all final goods and services produced by the country in certain year. The growth of National Income helps to know the progress of the country.
    • In other words, the total amount of income accruing to a country from economic activities in a year’s time is known as national income.
    • National Income includes payments made to all resources in the form of wages, interest, rent and profits.
    NATIONAL INCOME ACCOUNTING (NIA)
    • National Income Accounting is a method or technique used to measure the economic activity in the national economy as a whole.
    • It is the bookkeeping system which measures the level of economic activity in a given time period
    • NIA sets rules and definition to measure aggregate economic activity and tries to summarise the performance of the economy
    Indicators: GDP
    • Gross Domestic Product is the market value of all the goods and services produced within the domestic territory of a country during a specified time period, usually one year.
    • Accounting Year = Fiscal Year; for India it is 1st of April to 31st of March (next year)
    • Will include the income generated by MNCs in India

    Domestic Territory = Political frontiers of the country including its territorial waters+ Embassies/Consulates + Military Establishments of the country abroad + Ships/Aircrafts/Fishing Vessels/Oil Rigs belonging to the residents of the country

    GDP does not include :
    • Capital goods (e.g. machinery) are included in GDP, but intermediate goods (e.g. raw materials) are not.
    • Intermediate goods and services are not included to avoid double counting.
    • Same good can be final (you consuming milk ) or intermediate (milk in the restaurant) depending on the usage.
    GROWTH RATE &GDP DEFLATOR
    • Growth Rate (%) = [GDP (Present year – Last Year) / Last Year] x 100
    • But, quantitatively the production may not have improved (From 1 kg garlics to 2 kg garlics), and only because of inflation in the prices (₹ 10/kg garlic to ₹ 100/kg) the growth rate may be appear high.
    • Therefore (to remove the inflation impact on growth rate), we must select a base year, and convert the current prices to constant prices.
    • The ratio of these GDPs is called ‘GDP deflator’, it presents a picture of inflation like CPI and WPI but, unlike CPI & WPI it’s not based on a fixed basket of commodities.
    • These figures are revised as the new data arrives / previous data is cross verified & corrected.
    GDP AND NATIONAL INCOME
    Gross National Income (GNI)
    • According to OECDà GNI as GDP + NET receipts from abroad (wages, interest, profit, rent) plus net taxes & subsidies receivable from abroad. Here, ‘Wages and salaries’ from abroad = ‘Guest’ workers who reside abroad for less than 12 months and whose centre of economic interest remains in their home country
    National Disposable Income
    • National Disposable Income= NNP + Other Current Transfers from rest of the world (remittances, gift, donations etc.)National Disposable Income gives an idea of what is the maximum amount of goods and services the domestic economy has at its disposal.
    Personal Disposable Income
    • Personal Income – Personal Tax Payments (e.g. income tax) – Non-tax Payments (e.g. fines)

    Fiscal Policy

    What is Fiscal Policy? Fiscal Policy deals with the revenue and expenditure policy of the Govt. The word fiscal has been derived from the word ‘fisk’ which means public treasury or Govt funds.

    Objectives of Fiscal Policy

    The following are the objectives of the Fiscal Policy:

    1. Higher Economic Growth
    2. Price Stability
    3. Reduction in Inequality

    What are the components of Fiscal Policy?

    There are three components of the Fiscal Policy of India:

    1. Government Receipts
    2. Government Expenditure
    3. Public Debt

    Government Receipts

    The categorisation of the government receipts is given below:

    1. Revenue Receipt
      • Tax Revenue
        • Direct Tax
        • Indirect Tax
      • Non-Tax Revenue
        • Fees
        • License and Permits
        • Fines and Penalties, etc
    2. Capital Receipt
      • Loans Recovery
      • Disinvestments
      • Borrowing and other liabilities

    Government Expenditure

    There are two classifications of public expenditure:

    1. Revenue Expenditure – It is a recurring expenditure:
      • Interest Payments
      • Defence Expenses
      • Salaries to Central Government employees, etc are examples of  revenue expenditure
    2. Capital Expenditure – It is a non-recurring expenditure
      • Loans repayments
      • Loans to public enterprises, etc.

  • [Sansad TV] Perspective: 5 Years of Khelo India

    [Sansad TV] Perspective: 5 Years of Khelo India

    Central Idea: 5 Years of Khelo India

    • The Khelo India Mission has completed 5 years. It is a GOI program aimed at providing international standard sports infrastructure and promoting fitness for citizens.
    • The ultimate goal is to make India a sporting nation, and the program has been running since 2018, supporting over 2500 athletes in different disciplines.
    • The success of Khelo India and its challenges will be discussed in this edition of the article.

    What is Khelo India Mission?

    • Khelo India is a national program launched by the Indian government in 2018 with the aim of promoting sports and fitness in India.
    • The program seeks to provide sports infrastructure of international standards to budding athletes, promote a holistic approach towards fitness for citizens, and ultimately make India a sporting nation.
    • It focuses on encouraging and promoting sports at the grassroots level and providing access to sporting facilities and infrastructure to all citizens, regardless of their economic background or geographical location.
    • It also aims to develop and train coaches who can provide high-quality coaching and training to athletes at the grassroots level, identify young talent and provide financial assistance.
    • The program also emphasizes the importance of teamwork, socialization, and the participation of girls in sports.

    Achievements of the program

    (1) Support to Young Athletes

    • 2500 young athletes are being supported with Rs. 6.28 lakhs annually under the scheme and are being identified to represent India at international competitions.
    • Successful athletes are further being inducted into Target Olympic Podium Scheme (TOPS) for higher levels of training. 110 Khelo India athletes are part of TOPS.

    (2) Organizing Competitions

    • To ensure competition opportunities for young athletes, 5 Khelo India Youth Games with 43K participants have been organized.
    • Khelo India Leagues are held throughout the year, with a special focus on girl athletes. More than 1.25 lakh girls have participated in it.

    (3) Sports Infrastructure Created

    • To ensure sports infrastructure availability in remote corners of India, 946 Khelo India Centers have been set up.
    • By August 15, 2023, 1000 KICs are expected to be operational, giving every district in India a sports facility for the training of grassroots-level athletes.

    (4) Indigenous Games Inducted

    • A special emphasis on indigenous games under Khelo India has ensured the popularity of India’s traditional sporting disciplines like Gatka, Thang-Ta, Mallakhamb, Kalaripayattu and Yoga.
    • These games have also been included in KIYG to give athletes an impetus to practice them.

    Significance of the Program

    • Promoting the importance of sports and fitness: The program promotes the importance of sports and fitness in one’s life, as playing sports inculcates team spirit, and develops strategic and analytical thinking, leadership skills, goal setting, and risk-taking.
    • Improving confidence and social skills: Participation in the program has helped athletes improve their confidence, teamwork, leadership skills, and socialization. The program emphasizes the importance of teamwork, providing opportunities for children to learn how to work with others and manage different personalities, find their way as leaders etc.
    • Encouraging the participation of girls in sports: The program emphasizes the participation of girls in sports, providing them with a great opportunity to showcase their talents.
    • Promoting diversity and inclusivity: The program’s emphasis on indigenous games and the participation of girls in sports is also a significant step in promoting diversity and inclusivity in sports.
    • Creating world-class sports infrastructure: The program aims to create world-class sports infrastructure in the country, including training facilities, stadiums, and sports complexes. This will help create a conducive environment for athletes to train and compete at the highest level.
    • Promoting sports for development and peace: The program aims to promote sports for development and peace by using sports, physical activity, and play to attain specific development and peace objectives.

    Various challenges

    • Lack of awareness and participation: One of the significant challenges of the Khelo India program is a lack of awareness among the masses. Despite the program’s efforts to promote sports and fitness at the grassroots level, many people are still not aware of the program’s existence, which affects participation.
    • Infrastructure challenges: Another challenge faced by the Khelo India program is infrastructure challenges. Despite the program’s efforts to create world-class sports infrastructure in the country, many areas still lack the necessary infrastructure, including training facilities, stadiums, and sports complexes.
    • Shortage of trained coaches: The program’s success is also dependent on the availability of trained coaches who can provide high-quality coaching and training to athletes at the grassroots level. However, there is a shortage of trained coaches, which affects the program’s effectiveness.
    • Funding issues: The program’s effectiveness is also dependent on funding. Despite the government’s efforts to provide financial assistance to promising athletes, more funding is needed to create world-class sports infrastructure and to support athletes in their training and development.
    • Lack of support for indigenous games: Although the program aims to promote indigenous games, there is still a lack of support and infrastructure for these games, which affects their popularity and development.
    • Gender bias and lack of opportunities: Despite the program’s efforts to promote the participation of girls in sports, there is still a gender bias in many areas, and girls often face a lack of opportunities and support, affecting their ability to participate and excel in sports.

    Other initiatives for sports promotion

    The Ministry of Youth Affairs & Sports has formulated the following schemes to promote sports in the country, including in rural, tribal and backward areas:

    • Assistance to National Sports Federations
    • Special Awards to Winners in International sports events and their Coaches
    • National Sports Awards, Pension to Meritorious Sports Persons
    • Pandit Deendayal Upadhyay National Sports Welfare Fund
    • National Sports Development Fund; and
    • Running Sports Training Centres through Sports Authority of India

    Benefits of Augmenting Sports

    • Alternative career development: For those for whom opportunities are few, and jobs are scarce, sport becomes a powerful mobility device. A strong sports sector encourages an average/ poor academic student to make a career in sports.   
    • Reaping demographic dividend: India is having a very young population and is soon going to become the world’s youngest country. In such a scenario, a robust sports sector can help in reaping the potential demographic dividend. 
    • Revenue generation: Developing robust sports infrastructure in the country will allow India to host a greater number of international events. Such hosting boosts tourism in the country and results in enhancing the revenue and employment in the region. Ex. IPL
    • Promotes the spirit of Unity in Diversity: People cheer for the Indian athletes and Indian teams at international events. An improvement in sports automatically fosters the spirit of brotherhood amongst the people of diverse nations. For instance, the Pan India support enjoyed by Indian cricket team enhances belongingness between India’s north and south. 

    Way forward

    • Increasing awareness and outreach: The government can increase awareness and outreach efforts to promote the program and encourage more people to participate in sports and fitness activities.
    • Promoting indigenous games: The government can promote indigenous games by providing the necessary infrastructure, support, and funding for these games to increase their popularity and development.
    • Ensuring gender equality: The government can ensure gender equality by promoting the participation of girls in sports and providing equal opportunities and support for both male and female athletes.
    • Collaboration with private sector: The government can collaborate with the private sector to increase funding and support for sports and fitness activities.
    • Uniformity in sports activities: Sports being a state subject, uniformity in sports activities across various states in India is essential to provide equal sporting opportunities to all citizens of the country.
    • Collective action for talent development: To develop a talent pipeline, it is necessary to take collective action to create a system and environment where young talent is spotted and nurtured.
    • Integration of sports with education: To introduce a sports culture in India, there is a need to integrate sports with education, making it a mandatory part of the curriculum.
    • Increase allocation of funds: The allocation of funds to sports, as a percentage of the budget, can be increased to broad-base sports in the country and provide adequate funding for sports development.
    • Spreading awareness in society: There is also a need to develop a sports culture in the whole country by spreading awareness in society and educating people about the benefits of sports in life.

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