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  • What is Debt-to-GDP Ratio?

    India’s public debt ratio, which remarkably remained stable at about 70% of the GDP since 1991, is projected to jump by 17 percentage points to almost 90% a/c to IMF.

    Try this PYQ:

    Q.Consider the following statements:

    1. Most of India’s external debt is owed by governmental entities.
    2. All of India’s external debt is denominated in US dollars.

    Which of the statements given above is/are correct?

    (a) 1 only

    (b) 2 only

    (c) Both 1 and 2

    (d) Neither 1 nor 2

    Why such a spike?

    • The increase in public spending, in response to COVID-19, and the fall in tax revenue and economic activity, will make public debt jump by 17 percentage points to almost 90% of GDP.

    What is Debt-to-GDP Ratio?

    • The Debt-to-GDP ratio is the ratio between a country’s government debt and its gross domestic product (GDP).
    • It measures the financial leverage of an economy.
    • A country able to continue paying interest on its debt-without refinancing, and without hampering economic growth, is generally considered to be stable.
    • A country with a high debt-to-GDP ratio typically has trouble paying off external debts (also called “public debts”), which are any balances owed to outside lenders.
    • In such scenarios, creditors are apt to seek higher interest rates when lending. Extravagantly high debt-to-GDP ratios may deter creditors from lending money altogether.
    • A low debt-to-GDP ratio indicates an economy that produces and sells goods and services sufficient to pay back debts without incurring further debt.
    • Geopolitical and economic considerations – including interest rates, war, recessions, and other variables – influence the borrowing practices of a nation and the choice to incur further debt.

  • [pib] Food and Agriculture Organization (FAO)

    On the occasion of 75th Anniversary of Food and Agriculture Organization (FAO) on 16th October 2020, PM has released a commemorative coin of Rs 75.

    Try this MCQ:

    Q.The FAO accords the status of ‘Globally Important Agricultural Heritage Systems (GIAHS)’ to traditional agricultural systems. What is the overall goal of this initiative?

    1. To provide modern technology, training in modern farming methods and financial support to local communities of identified GIAHS so as to greatly enhance their agricultural productivity.
    2. To identify and safeguard eco-friendly traditional farm practices and their associated landscapes, agricultural biodiversity and knowledge systems of the local communities.
    3. To provide Geographical Indication status to all the varieties of agricultural produce in such identified GIAHS Select the correct answer using the code given below:

    (a) 1 and 3 only

    (b) 2 only

    (c) 2 and 3 only

    (d) 1, 2 and 3

    About FAO

    • It is a specialized agency of the United Nations that leads international efforts to defeat hunger and improve nutrition and food security.
    • It was founded in October 1945 and is headquartered in Rome.
    • It maintains regional and field offices around the world, operating in over 130 countries.
    • It also conducts research, provides technical assistance to projects, operates educational and training programs, and collects data on agricultural output, production, and development.
    • Composed of 197 member states, the FAO is governed by a biennial conference representing each member country and the European Union, which elects a 49-member executive council.
    • The Director-General serves as the chief administrative officer.

    India and FAO

    • India has had a historic association with FAO.
    • Indian Civil Service Officer Dr Binay Ranjan Sen was the Director-General of FAO during 1956-1967.
    • The World Food Programme, which has won the Nobel Peace Prize 2020, was established during his time.
    • India’s proposals for the International Year of Pulses in 2016 and the International Year of Millets 2023 have also been endorsed by FAO.

  • [pib] STARS Project

    The Union Cabinet has approved the sum of Rs. 5718 crore for the World Bank aided project STARS.

    Try this MCQ:

    Q. The STARS Project recently seen in news is an initiative of:

    World Bank/ Bill and Melinda Gates Foundation / UNECOSOC/ UNICEF

    STARS Project

    • ‘STARS’ is an acronym for Strengthening Teaching-Learning and Results for States (STARS).
    • The STARS project will be implemented through the Samagra Shiksha Abhiyan, the flagship central scheme.
    • The six states include- Himachal Pradesh, Kerala, Madhya Pradesh, Maharashtra, Odisha and Rajasthan.
    • It will help improve learning assessment systems, strengthen classroom instruction and remediation, facilitate school-to-work transition, and strengthen governance and decentralized management,
    • Some 250 million students (between the age of 6 and 17) in 1.5 million schools and over 10 million teachers will benefit from the STARS program.
    • STARS will support India’s renewed focus on addressing the ‘learning outcome’ challenge and help students better prepare for the jobs of the future – through a series of reform initiatives.

    Major components of the STARS

    1)      At the national level, the project envisages the following interventions which will benefit all states and UTs:

    • To strengthen MOE’s national data systems to capture robust and authentic data on retention, transition and completion rates of students.
    • To support MOE in improving states PGI scores by incentivizing states governance reform agenda through SIG (State Incentive Grants).
    • To support the strengthening of learning assessment systems.
    • To support MOE’s efforts to establish a National Assessment Center (PARAKH).

    2)       At the State level, the project envisages: 

    • Strengthening Early Childhood Education and Foundational Learning
    • Improving Learning Assessment Systems
    • Strengthening classroom instruction and remediation through teacher development and school leadership
    • Governance and Decentralized Management for Improved Service Delivery.
    • Strengthening Vocational education in schools through mainstreaming, career guidance and counselling, internships and coverage of out of school children

  • [pib] Thalassemia Bal Sewa Yojna

    Union Health Ministry has launched the second phase of “Thalassemia Bal Sewa Yojna” for underprivileged Thalassemic patients.

    Thalassemia Bal Sewa Yojna

    • This scheme was launched in 2017 under the Coal India CSR funded Hematopoietic Stem Cell Transplantation (HSCT) program.
    • It aims to provide a one-time cure opportunity for Haemoglobinopathies like Thalassaemia and Sickle Cell Disease for patients who have a matched family donor.
    • The initiative was targeted to provide financial assistance to a total of 200 patients by providing a package cost not exceeding Rs. 10 lakhs per HSCT.

    What is Thalassemia?

    • Thalassemia is an inherited blood disorder characterized by less oxygen-carrying protein (haemoglobin) and fewer red blood cells in the body than normal.
    • When there isn’t enough haemoglobin, the body’s red blood cells don’t function properly and they last shorter periods of time, so there are fewer healthy red blood cells travelling in the bloodstream.
    • Symptoms include fatigue, weakness, paleness and slow growth.
    • Mild forms may not need treatment. Severe forms may require blood transfusions or a donor stem-cell transplant.

  • New Shephard Rocket System

    New Shephard, a rocket system meant to take tourists to space successfully completed its seventh test launch.

    Note the features of the Karman Line. It is a new terminolgy in our recent space vocab.

    What is New Shephard?

    • New Shephard has been named after astronaut Alan Shephard, the first American to go to space, and offers flights to space over 100 km above the Earth and accommodation for payloads.
    • Essentially, it is a rocket system that has been designed to take astronauts and research payloads past the Karman line – the internationally recognised boundary of space.
    • The idea is to provide easier and more cost-effective access to space meant for purposes such as academic research, corporate technology development and entrepreneurial ventures among others.
    • It is built by Amazon founder Jeff Bezos’s Space Company called Blue Origin.
    • In 2018, Blue Origin was one of the ten companies selected by NASA to conduct studies and advance technologies to collect process and use space-based resources for missions to the Moon and Mars.

    How does it work?

    • The rocket system consists of two parts, the cabin or capsule and the rocket or the booster.
    • The cabin can accommodate experiments from small mini payloads up to 100 kg.
    • The cabin is designed for six people and sits atop a 60-feet tall rocket and separates from it before crossing the Karman line, after which both vehicles fall back to the Earth.
    • The system is a fully reusable, vertical takeoff and vertical landing space vehicle that accelerates for about 2.5 minutes before the engine cuts off.
    • After separating from the booster, the capsule free falls in space, while the booster performs an autonomously controlled vertical landing back to Earth.
    • The capsule, on the other hand, lands back with the help of parachutes.

    Back2Basics: Karman line

    • The Karman line is an attempt to define a boundary between Earth’s atmosphere and outer space.
    • The line is named after Theodore von Kármán (1881–1963), a Hungarian American engineer and physicist, who was active primarily in aeronautics and astronautics.
    • He was the first person to calculate the altitude at which the atmosphere becomes too thin to support aeronautical flight and arrived at 83.6 km (51.9 miles) himself.

    Locating the line

    • The Fédération Aéronautique Internationale (FAI) defines Karman Line as the altitude of 100 kilometres (62 miles; 330,000 feet) above Earth’s mean sea level.
    • However, other organizations do not use this definition. There is no international law defining the edge of space, and therefore the limit of national airspace.
    • For instance, the US Air Force and NASA define the limit to be 50 miles (80 km) above sea level.
    • The line is approximately at the turbopause, above which atmospheric gases are not well-mixed.

  • Places in news: Zojila Tunnel

    Union Transport Ministry has launched the first blasting for construction-related work at the Zojila tunnel that will provide all-year connectivity between Srinagar valley and Leh.

    These days various Himalayan passes and tunnels are overwhelmingly seen in news. Open your Atlas and try to spot all of them for now and once before the exam.

    Zojila Tunnel

    • The Zojila is set to be Asia’s longest bi-directional tunnel.
    • It will connect Srinagar, Dras, Kargil and Leh via a tunnel through the famous Zojila Pass.
    • Located at more than 11,500 feet above sea level, the all-weather Zojila tunnel will be 14.15 km long and ensure road connectivity even during winters.
    • It will make the travel on the 434-km Srinagar-Kargil-Leh Section of NH-1 free from avalanches, enhance safety and reduce the travel time from more than 3 hours to just 15 minutes.
    • The speed limit inside the tunnel is likely to be the same as in the Atal tunnel – 80 kmph.

    Its significance

    • The project holds strategic significance as Zojila Pass is situated at an altitude of 11,578 feet on the Srinagar-Kargil-Leh National Highway and remains closed during winters due to heavy snowfall.
    • At present, it is one of the most dangerous stretches in the world to drive a vehicle and this project is also geo-strategically sensitive.

  • Pakistan likely to remain on FATF Greylist

    Pakistan is unlikely to exit the Financial Action Task Force (FATF’s) greylist with this plenary session as well.

    Practice question for mains:

    Q.What is FATF? Discuss its role in combating global financial crimes and terror financing.

    What is the FATF?

    • FATF is an intergovernmental organization founded in 1989 on the initiative of the G7 to develop policies to combat money laundering.
    • The FATF Secretariat is housed at the OECD headquarters in Paris.
    • It holds three Plenary meetings in the course of each of its 12-month rotating presidencies.

    Why is Pakistan under its scanner?

    • Pakistan has been under the FATF’s scanner since June 2018, when it was put on the Grey List for terror financing and money laundering risks.
    • FATF and its partners such as the Asia Pacific Group (APG) are reviewing Pakistan’s processes, systems, and weaknesses on the basis of a standard matrix for anti-money laundering (AML) and combating the financing of terrorism (CFT) regime.
    • In June 2018, Pakistan gave a high-level political commitment to work with the FATF and APG to strengthen its AML/CFT regime, and to address its strategic counter-terrorism financing-related deficiencies.
    • Pakistan and the FATF then agreed on the monitoring of 27 indicators under a 10-point action plan, with specific deadlines.
    • The understanding was that the successful implementation of the action plan, and its physical verification by the APG, would lead the FATF to move Pakistan out of the Grey List.
    • However, Islamabad managed to satisfy the global watchdog over just five of them.

    B2BASICS

    What are the Black List and Grey List of the FATF?

    FATF has 2 types of lists;

    1.  Black List

    2. Grey List

    1. Meaning of Black List: Only those countries are included in this list that FATF considers as uncooperative tax havens for terror funding. These countries are known as Non-Cooperative Countries or Territories (NCCTs). In other words; countries that are supporting terror funding and money laundering activities are placed in the Blacklist.

    The FATF blacklist or OECD blacklist has been issued by the Financial Action Task Force since 2000 and lists countries which it judges to be non-cooperative in the global fight against money laundering and terror funding.

    The FATF updates the blacklist regularly, adding or deleting entries.

    grey list 2018

    (This map shows the countries included in the Greylist)

    2. Meaning of Grey List: Those countries which are not considered as the safe heaven for supporting terror funding and money laundering; included in this list. The inclusion in this list is not as severe as blacklisted.

    Now Grey list is a warning given to the country that it might come in Black list (Just like a yellow card in a football match). If a country is unable to curb mushrooming of terror funding and money laundering; it is shifted from grey list to black list by the FATF.

     

  • Mars ‘Opposition’ Event

    Due to an event referred to as “opposition”, which takes place every two years and two months, Mars will shine the brightest.

    Try this question from CSP 2017:

    Q.Which region of Mars has a densely packed river deposit indicating this planet had water 3.5 billion years ago?

    (a) Aeolis Dorsa (b) Tharsis (c) Olympus Mons (d) Hellas

    What is the Opposition Event?

    • ‘Opposition’ is the event when the sun, Earth and an outer planet (Mars in this case) are lined up, with the Earth in the middle.
    • The time of opposition is the point when the outer planet is typically also at its closest distance to the Earth for a given year, and because it is close, the planet appears brighter in the sky.
    • An opposition can occur anywhere along Mars’ orbit, but when it happens when the planet is also closest to the sun, it is also particularly close to the Earth.
    • It will outshine Jupiter, becoming the third brightest object (moon and Venus are first and second, respectively) in the night sky during the month of October.

    When does opposition happen?

    • Earth and Mars orbit the sun at different distances (Mars is farther apart from the sun than Earth and therefore takes longer to complete one lap around the sun).
    • In fact, the opposition can happen only for planets that are farther away from the sun than the Earth.
    • In the case of Mars, roughly every two years, the Earth passes between sun and Mars, this is when the three are arranged in a straight line.
    • Further, as the Earth and Mars orbit the sun, there comes a point when they are on the opposite sides of it, and hence very far apart. At its farthest, Mars is about 400 million km from the Earth.
    • In case of opposition, however, Mars and Sun are on directly opposite sides of the Earth. In other words, the Earth, sun and Mars all lie in a straight line, with the Earth in the middle.

    Logic behind the name

    • As per NASA, from an individual’s perspective on the Earth, Mars rises in the east and after staying up all night, it sets in the west just as the sun rises in the east and sets in the west.
    • Because from the perspective on Earth, the sun and Mars appear to be on the opposite sides of the sky, Mars is said to be in “opposition”.
    • Essentially, the opposition is a reference to “opposing the sun” in the sky.

  • Towards cleaner air in Delhi

    The article suggests the three-pronged strategy to deal with the emission from transportation and highlights the importance of coordination at various level to deal with the issue of pollution.

    Anti-pollution campaign in Delhi

    • With air pollution returning to pre-COVID levels, the Delhi administration has launched a major anti-pollution campaign this month.
    • The campaign is focused on cutting the deadly smoke from thermal plants and brick kilns in the National Capital Region as well as on chemical treatment of stubble burning from nearby States.

    Abating emission from transportation

    • Delhi’s long-term solution will depend importantly also on abating emissions from transportation.
    • Delhi needs a 65% reduction to meet the national standards for PM2.5.
    • Vehicles, including trucks and two-wheelers, contribute 20%-40% of the PM2.5 concentrations.
    • Tackling vehicle emissions would be one part of the agenda, as in comparable situations in Bangkok, Beijing, and Mexico City.

    Three-part action to combat emissions from transportation

    • A three-part action comprises emissions standards, public transport, and electric vehicles.

    1) Stricter enforcement of emission controls

    • Two-wheelers and three-wheelers were as important as cars and lorries in Beijing’s experience.
    • Bangkok ramped up inspection and maintenance to cut emissions.
    • The first order of business is to implement the national standards.

    2) Strengthening public transport

    • Bus Rapid Transit (BRT)  around the world show how the sizeable investment cost is more than offset by the benefits, and that financing pays off.
    • Delhi has lessons from its BRT experience in designating better BRT lanes, improving the ticketing system and synchronising with the Metro.
    • The Supreme Court’s ruling to increase Delhi’s bus fleet and align it with the Metro network must be carried out.
    • The ‘odd-even’ number plate policy can help, but the system should reduce exemptions, allow a longer implementation period, and complement it with other measures.

    3) Adoption of electric vehicle: A long term solution

    •  Subsidies and investment will be needed to ensure that EVs are used to a meaningful scale.
    • The Delhi government’s three-year policy aims to make EVs account for a quarter of the new vehicles registered in the capital by 2024.
    • EVs will gain from purchase incentives, scrappage benefits on older vehicles, loans at favourable interest and a waiver of road taxes.

    Need for coordination at various level

    • Transport solutions need to be one part of pollution abatement that includes industry and agriculture.
    • Delhi’s own actions will not work if the pollution from neighbouring States is not addressed head on.
    • Technical solutions need to be underpinned by coordination and transparency across Central, State, and local governments.
    • Public opinion matters.
    • Citizen participation and the media are vital for sharing the message on pollution and health, using data such as those from the Central Pollution Control Board.

    Conclusion

    • It is a matter of prioritising people’s health and a brighter future. Once the pandemic is over, Delhi must not stumble into yet another public health emergency. The time to act is now.

  • Greater Male Connectivity Project (GMCP)

    Following up on India’s announcement of a $500 million package to the Maldives, the Exim Bank of India and the Maldives’s Ministry of Finance signed an agreement for $400 million in Male.

    Try this question from 2014:

    Q.Which one of the following pairs of islands is separated from each other by the ‘Ten Degree Channel’?

    (a) Andaman and Nicobar

    (b) Nicobar and Sumatra

    (c) Maldives and Lakshadweep

    (d) Sumatra and Java

    Greater Male Connectivity Project

    • The GMCP consists of a number of bridges and causeways to connect Male to Villingili, Thilafushi and Gulhifahu islands that span 6.7 km.
    • It would ease much of the pressure of the main capital island of Male for commercial and residential purposes.
    • When completed, the project would render the Chinese built Sinamale Friendship bridge connecting Male to two other islands, thus far the most visible infrastructure project in the islands.
    • At present, India-assisted projects in the region include water and sewerage projects on 34 islands, reclamation project for the Addl island, a port on Gulhifalhu, airport redevelopment at Hanimadhoo, and a hospital and a cricket stadium in Hulhumale.