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  • GEAC gives its nod for commercial cultivation of GM mustard yet again

    mustard

    The Genetic Engineering Appraisal Committee (GEAC) has yet again cleared the proposal for commercial cultivation of genetically modified (GM) mustard.

    What exactly is GM (Hybridized) Mustard?

    • Hybridization involves crossing two genetically dissimilar plant varieties that can even be from the same species.
    • The first-generation (F1) offspring from such crosses tend to have higher yields than what either parent can individually give.
    • Such hybridization isn’t easy in mustard, as its flowers have both female (pistil) and male (stamen) reproductive organs, making the plants largely self-pollinating.
    • Since the eggs of one plant cannot be fertilised by the pollen grains from another, it limits the scope for developing hybrids.

    How has hybridisation been achieved in mustard?

    • This has been done by genetic modification (GM).
    • Scientists at Delhi University’s Centre for Genetic Manipulation of Crop Plants (CGMCP) have developed the hybrid mustard DMH-11.
    • It contains two alien genes isolated from a soil bacterium called Bacillus amyloliquefaciens.
    • The first gene (‘barnase’) codes for a protein that impairs pollen production and renders the plant into which it is incorporated male-sterile.
    • This plant is then crossed with a fertile parental line containing, in turn, the second ‘barstar’ gene that blocks the action of the barnase gene.
    • The resultant F1 progeny is both high-yielding and also capable of producing seed/ grain, thanks to the barstar gene in the second fertile line.

    How did researchers achieve this?

    • The CGMCP scientists have deployed the barnase-barstar GM technology to create what they say is a robust and viable hybridisation system in mustard.
    • This system was used to develop DMH-11 by crossing a popular Indian mustard variety ‘Varuna’ (the barnase line) with an East European ‘Early Heera-2’ mutant (barstar).
    • DMH-11 is claimed to have shown an average 28% yield increase over Varuna in contained field trials carried out by the Indian Council of Agricultural Research (ICAR).

    What has GEAC now done?

    • GEAC has recommended the environmental release of DMH-11 for its seed production and testing prior to commercial release.
    • In other words, it has given the green signal for commercial cultivation by farmers, with production of seed material being the first step.
    • This move was earlier vetoed in 2016 by Environment Ministry.

    Why did it take so long for GEAC to clear?

    • There has been opposition to GM crops in general, from assorted green groups.
    • Major concern is the presence of a third ‘bar’ gene, which makes GM mustard plants tolerant to the spraying of glufosinate ammonium, a chemical used for killing weeds.
    • This, the opponents allege will cause displacement of manual labour engaged in weeding by promoting use of chemical herbicides.
    • Another concern is over GM mustard threatening or undermining the population of honey bees.
    • Mustard flowers are a source of nectar for honey bees and many other pollinator insects.

    Try this PYQ:

    Q.With reference to the Genetically Modified mustard (GM mustard) developed in India, consider the following statements:

    1. GM mustard has the genes of a soil bacterium that give the plant the property of pest-resistance to a wide variety of pests.
    2. GM mustard has the genes that allow the plant cross-pollination and hybridization.
    3. GM mustard has been developed jointly by the IARI and Punjab Agricultural University.

    Which of the statements given above is/are correct?

    (a) 1 and 3 only

    (b) 2 only

    (c) 2 and 3 only

    (d) 1, 2 and 3

     

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    Back2Basics: Genetic Engineering Appraisal Committee (GEAC)

    • The GEAC is a statutory body notified under the Environment (Protection) Act, 1986.
    • It was formed as the Genetic Engineering Approval Committee and was renamed to its current name in 2010.
    • It functions under the Ministry of Environment, Forests & Climate Change.
    • The body regulates the use, manufacture, storage, import, and export of hazardous microorganisms or genetically-engineered organisms and cells in India.

     

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  • Mangarh Massacre of 1913

    mangarh

    Ahead of PM Modi’s visit to Mangarh Dham in Banswara district, Rajasthan CM has sought the declaration of the memorial for tribals as a monument of national importance.

    About Mangarh Massacre

    • Mangarh Dham is known for the massacre of tribals by the British Indian Army in 1913.
    • This place is widely referred to as Adivasi Jallianwala.
    • About 1,500 Bhil tribals and forest dwellers were killed at Mangarh on November 17, 1913, when the British Indian Army opened fire on the protesters.
    • The people were gathered to demand abolition of bonded labour system and relaxation in heavy agricultural taxes imposed by the rulers of princely states.
    • The tribals in the southern Rajasthan region were led by social reformer Govind Guru.

    Course of events

    • Govind Guru started his movement among Bhils in the early 1890s.
    • The movement had, as its religious centrepiece, the concept of a fire god, which required his followers to raise sacred hearths in front of which Bhils pray while performing the purifying havan called dhuni.
    • In 1903, the guru set up his main dhuni on Mangadh Hill.
    • Mobilised by him, the Bhils placed a charter of 33 demands before the British by 1910 primarily relating to forced labour, high tax imposed on Bhils and harassment of the guru’s followers by the princely states.
    • The Bhil struggle for justice under Govind Guru took a serious turn after the British and local rulers refused to accept the demands and tried to break the Bhagat movement in 1913.

    Try this PYQ:

    Q. Which amongst the following provided a common factor for tribal insurrection in India in the 19th century?

    (a) Introduction of a new system of land revenue and taxation of tribal products.

    (b) Influence of foreign religious missionaries in tribal areas.

    (c) Rise of a large number of money lenders, traders and revenue farmers as middlemen in tribal areas.

    (d) The complete disruption of the old agrarian order of the tribal communities.

     

    [wpdiscuz-feedback id=”xviispmiet” question=”Please leave a feedback on this” opened=”1″]Post your answers here.[/wpdiscuz-feedback]

     

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  • Places in news: Khangkhui Mangsor

    khangkui

    A colony of bats was evicted from a Khangkhui Mangsor cave system in Manipur with a Palaeolithic past to make it tourist-friendly.

    Khangkhui Mangsor

    • The Khangkhui, locally called Khangkhui Mangsor, is a natural limestone cave about 15 km from Ukhrul, the headquarters of Ukhrul district.
    • Excavations carried out by Manipur’s archaeologists had revealed the cave was home to Stone Age communities.
    • The cave was also used as a shelter by the local people during the Second World War after the Japanese forces advanced to Manipur and the adjoining Nagaland.

    Why in news?

    • The cave housed large roosting populations of bats belonging to the Rhinolophidae and Hipposideridae families.
    • They were however killed and evicted from the Khangkhui cave after 2016-17 purportedly to make it more tourist-friendly.

    Do you know?

    The longest is Krem Liat Prah in the Jaintia Hills, which is 30.957 km long. The word “Krem” means cave in the local Khasi language

     

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  • Is Medical Education in Hindi Practicable?

    Context

    • The unveiling of the Hindi editions of the first professional MBBS books by Union Home Minister Amit Shah in Bhopal has stirred anti-Hindi agitations, with the Opposition, especially in the South, contending that the move is nothing more than a poll gimmick.

    Why medical education should be in local language (Hindi)?

    • Example of Non-English countries: Supporters of the move are quoting examples from China, Japan, Ukraine, Russia, and Norway – countries where official languages are the sole medium of instruction in all the technical and non-technical courses.
    • Education in mother tongue is effective: If they can do so, why can’t we, they argue, especially as it is an established fact that imparting education in a student’s mother tongue is effective for learning.

    Why English is best medium of English education?

    • Teaching in local plus English language: Fifty-two medical colleges, out of the total 170 colleges on mainland China, whose graduates can attempt the USMLE (the entrance exam to practice in the US), teach in both Chinese and English. There has been a steep rise in the number of parents interested in enrolling their children – at just three years old – in ESL (English as a Second Language) courses.
    • Less resources in Hindi: It is unwise to compare the status of Hindi to Chinese or German, given India’s diversity. Moreover, Hindi, or any other vernacular language, for that matter, offers far fewer resources to support the job-seeking young populace. Learning English, therefore, comes with a promise of roti, kapda, makaan (food, clothes, shelter.)
    • Higher demand for English Medium: A few years ago, when newspapers reported on the closing down of government schools in Tamil Nadu, one of the major reasons cited was parents’ preoccupation with English-medium schools – leading them to deny free cash and food and admit their kids to low-end, mediocre English schools, instead.
    • English is a great leveller: When it comes to higher education, English is a great leveller, allowing dialogue to continue with the rest of the world. Medicine, as evidence-based as it is, is constantly evolving with the introduction of novel research. Treating cases sometimes requires consulting multiple books, research papers, and journal articles, for which a sound system of translation needs to be established before we can even begin thinking about phasing out English.
    • Issue of Translation: The people involved in the translation process spoke of two things, First, instead of “translation”, the books have been transliterated. The medical terminology remains the same; sentences have only been translated for easier reading. That too, in the most mainstream dialect of Hindi. Second, these books are to be used as “bridge books”, and not as replacements for the English ones, designed to address the initial hiccups students are bound to face.
    • No clarity on roadmap: The initial announcement also fails to account for the necessary infrastructure. There has been no clarity on whether or how these translations will be incorporated as reading materials, and how they will evolve or change with time. Whether standard books like Harrison and Robbins would also be translated is anyone’s guess. Translating these tomes only once would not suffice as newer editions every three to five years incorporate significant changes.
    • Training of teachers and conferences: Professors and other teaching staff would also need to be trained. Most of all, what about medical conferences, the staple of a medical student? Would they be organised in Hindi moving forward?
    • Our medical industry is yet to develop: While basing our argument only on language, we often forget that Chinese healthcare is self-sufficient when it comes to research and protocols, or that Germany has primary resources available in their own language. Our focus right now should be to develop primary resources. Our medical industry is at way too nascent a stage to be speaking of language.

    Conclusion

    • Offering extra evening classes as done by AIIMS, Delhi could have been a better substitute given that the strength of students who struggle with English makes up about one to two per cent of the entire batch. Besides, no strict distinction exists between Hindi and non-Hindi-speaking states as most institutions have a portion of seats that are filled up by a pan-India entrance exam. Our focus should be on quality of education instead of medium of instruction.

    Mains Question

    Q. Medical education in English is more viable than local language. Explain. Why Government of India Supports the Medical education in Hindi?

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  • CBG: Renewable energy revolution

    cbg

    Context

    • The beginnings of a renewable energy revolution rooted in agriculture are taking shape in India with the first bio-energy plant of a private company in Sangrur district of Punjab having commenced commercial operations on October 18. It will produce Compressed Biogas (CBG) from paddy straw, thus converting agricultural waste into wealth.

    Background

    • Stubble burning every year in north and northwest: It has become common practice among farmers in Punjab, Haryana and western Uttar Pradesh to dispose of paddy stubble and the biomass by setting it on fire to prepare fields for the next crop, which has to be sown in a window of three to four weeks. This is spread over millions of hectares.
    • Resultant smog polluting environment: The resultant clouds of smoke engulf the entire National Capital Territory of Delhi and neighbouring States for several weeks between October to December. This plays havoc with the environment and affects human and livestock health.
    • Stubble burning practice spreading rapidly across the country: Though paddy stubble burning in northwest India has received a lot of attention because of its severity of pollution, the reality is that crop residue burning is spreading even to rabi crops and the rest of the country. Unless these practices are stopped, the problem will assume catastrophic proportions.

     What is Stubble Burning?

    • Stubble (parali) burning is a method of removing paddy crop residues from the field to sow wheat from the last week of September to November.
    • It is usually required in areas that use the combined harvesting method which leaves crop residue behind.
    • This practice mostly carried out in Punjab, Haryana and UP contributes solely to the grave winter pollution in the national capital.

    cbg

    How stubble burning impacts environment and Human health?

    • Deteriorates air quality: The process of burning farm residue is one of the major causes of air pollution in parts of north India, deteriorating the air quality.
    • Source of various harmful gases: Stubble burning is a significant source of carbon dioxide (CO2), volatile organic compounds (VOCs), nitrogen oxides (NOx) and hydrocarbons (HC).
    • Air Pollution: Stubble burning emits toxic pollutants in the atmosphere containing harmful gases like Carbon Monoxide (CO), methane (CH4), carcinogenic polycyclic aromatic hydrocarbons, volatile organic compounds (VOC). These pollutants disperse in the surroundings and eventually affect air quality and people’s health by forming a thick blanket of smog. Along with vehicular emissions, it affects the Air Quality Index (AQI) in the national capital and NCR.
    • Soil degradation: Soil becomes less fertile and its nutrients are destroyed when the husk is burned on the ground. Organic content of soil is completely destroyed. Stubble burning generates heat that penetrates into the soil, causing an increase in erosion, loss of useful microbes and moisture.

    cbg

    Some of the measures taken by Government for the effective prevention and control of stubble burning

    • The Commission for Air Quality Management: The Commission for Air Quality Management in National Capital Region and Adjoining Areas (CAQM) had developed a framework and action plan for the effective prevention and control of stubble burning,
    • In-situ management: The framework/action plan includes in-situ management, i.e., incorporation of paddy straw and stubble in the soil using heavily subsidized machinery (supported by crop residue management (CRM) Scheme of the Ministry of Agriculture and Farmers Welfare).
    • Ex-situ management: Ex-situ CRM efforts include the use of paddy straw for biomass power projects and co-firing in thermal power plants, and as feedstock for 2G ethanol plants, feed stock in CBG plants, fuel in industrial boilers, waste-to-energy (WTE) plants, and in packaging materials, etc.
    • Awareness generation programme: Additionally, measures are in place to ban stubble burning, to monitor and enforce this, and initiating awareness generation.
    • Project by NITI Aayog along with FAO: NITI Aayog approached FAO India in 2019 to explore converting paddy straw and stubble into energy and identify possible ex-situ uses of rice straw to complement the in-situ programme.
    • Rice straw for producing CBG: A techno-economic assessment of energy technologies suggested that rice straw can be cost-effective for producing CBG and pellets. Pellets can be used in thermal power plants as a substitute of coal and CBG as a transport fuel.
    • SATAT initiative: With 30% of the rice straw produced in Punjab, a 5% CBG production target set by the Government of India scheme, “Sustainable Alternative Towards Affordable Transportation (SATAT)” can be met. It could also increase local entrepreneurship, increase farmers’ income and reduce open burning of rice straw.
    • Encouraging private players to produce CBG more and reduce CO2 emissions: Verbio India Private Limited, a 100% subsidiary of the German Verbio AG, got approval from the Punjab government in April 2018 to set up a bio-CNG project that will utilise about 2.1 lakh tonnes of a total of 18.32 million tonnes of paddy straw annually. The plant will use one lakh tonnes of paddy straw produced from approximately 16,000 hectares of paddy fields. Paddy residue will be collected from this year to produce 33 tons of CBG and 600-650 tonnes of fermented organic manure/slurry per day this will reduce up to 1.5 lakh tonnes of CO2 emissions per year.

    FAO Study on developing crop residue supply chain

    • Use of Rice straw: In technical consultations with the public and private sectors, the FAO published its study on developing a crop residue supply chain in Punjab that can allow the collection, storage and final use of rice straw for other productive services, specifically for the production of renewable energy.
    • Required Investment and benefits farmers: The results suggest that to mobilise 30% of the rice straw produced in Punjab, an investment of around ₹2,201 crore ($309 million) would be needed to collect, transport and store it within a 20-day period. This would reduce greenhouse gas (GHG) emissions by about 9.7 million tonnes of CO2 equivalent and around 66,000 tonnes of PM2.5. Further, depending on market conditions, farmers can expect to earn between ₹550 and ₹1,500 per ton of rice straw sold, depending on market conditions.

    cbg

    Interesting to read: Compressed Bio Gas (CBG)

    • Biogas is produced naturally through a process of anaerobic decomposition from waste / bio-mass sources like agriculture residue, cattle dung, sugarcane press mud, municipal solid waste, sewage treatment plant waste, etc.
    • After purification, it is compressed and called CBG, which has a pure methane content of over 95%.
    • CBG is exactly similar to the commercially available natural gas in its composition and energy potential.
    • With calorific value (~52,000 KJ/kg) and other properties similar to CNG, CBG can be used as an alternative, renewable automotive fuel.
    • Given the abundance of biomass in the country, CBG has the potential to replace CNG in automotive, industrial and commercial uses in the coming years.

    Conclusion

    • Encouraging private players for producing CBG appears to be a first win-win initiative in the form of environmental benefits, renewable energy, value addition to the economy, farmers’ income and sustainability. This initiative is replicable and scalable across the country and can be a game changer for the rural economy.

    Mains Question

    Q. What is Stubble burning? Discuss the measures taken by Government for the effective prevention and control of stubble burning and producing CBG could be a win-win situation.

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  • What is FCRA and its recent amendments?

    Recently, the Ministry of Home Affairs amended certain provisions of the Foreign Contribution (Regulation) Act (FCRA).

    • The Ministry had made the FCRA rules tougher in November 2020, making it clear that NGOs (Non-Government Organizations) which may not be directly linked to a political party but engage in political action like bandhs, strike or road blockades will be considered of political nature if they participate in active politics or party politics. According to the law, all NGOs receiving funds have to registered under the FCRA.
    • The move comes after the government enhanced the import duty on gold import from 7.5 % to 12.5 % in a bid to discourage import of gold that leads to increase in trade deficit and puts pressure on the currency and forex reserves.
      • An increase in import duty on gold will lead to increase in cost of import and discourage its import and consumption.

    What is the FCRA?

    • About:
      • The FCRA was enacted during the Emergency in 1976 in an atmosphere of apprehension that foreign powers were interfering in India’s affairs by pumping in funds through independent organisations.
        • These concerns had been expressed in Parliament as early as in 1969.
      • The law sought to regulate foreign donations to individuals and associations so that they functioned “in a manner consistent with the values of a sovereign democratic republic”.
    • Objectives:
      • It requires every person or NGO wishing to receive foreign donations to be registered under the Act, to open a bank account for the receipt of the foreign funds and to utilise those funds only for the purpose for which they have been received and as stipulated in the Act.
      • The Act prohibits receipt of foreign funds by candidates for elections, journalists or newspaper and media broadcast companies, judges and government servants, members of legislature and political parties or their office-bearers, and organisations of a political nature.
    • Amendments:
      • It was amended in 2010 to “consolidate the law” on utilisation of foreign funds, and “to prohibit” their use for “any activities detrimental to national interest”
      • The law was amended again by the current government in 2020, giving the government tighter control and scrutiny over the receipt and utilisation of foreign funds by NGOs.

    What are the Key Changes?

    • It allows Indians to receive up to Rs 10 lakh annually from their relatives abroad under FCRA.
      • The limit earlier was Rs 1 lakh.
      • If the amount exceeds, the individuals will now have 90 days to inform the government instead of 30 days earlier.
    • It has given individuals and organisations or NGOs 45 days for the application of obtaining ‘registration’ or ‘prior permission‘ under the FCRA to receive funds.
      • Earlier it was 30 days.
    • Organisations receiving foreign funds will not be able to use more than 20 % of such funds for administrative purposes.
      • This limit was 50 % before 2020.
    • Made five more offences under the FCRA “compoundable”, making 12, instead of directly prosecuting the organisations or individuals.
      • Earlier, only seven offences under the FCRA were compoundable.

    What are Compoundable Offences?

    • Compoundable offences are those offences where, the complainant (one who has filed the case, i.e., the victim), enter into a compromise, and agrees to have the charges dropped against the accused. However, such a compromise should be a “Bonafide,” and not for any consideration to which the complainant is not entitled to.
    • The FCRA violations which have become compoundable now include failure to intimate about receipt of foreign funds, opening of bank accounts, failure to place information on website, etc.

    What is the Significance of the Move?

    • Enhances Remittances:
      • It will curb the outflow of funds and on the other hand enhancing inward Remittances.
    • Stabilise forex Reserves:
      • It will lead to an increase in inflow of funds into India which will stabilise the forex reserves and also the currency.
      • Similarly, an increase in import duty on gold from 7.5 % to 12.5 % will discourage gold import as it will result in an increase in the price of gold in India.
    • Reduces Trade Deficit:
      • An increase in inflow of funds and reduction in outflow of funds on account of gold imports will help reduce the trade deficit.
        • The trade deficit in the month of April and May 2022 stood at a high of USD 20.1 billion and USD 24.6 billion respectively making an aggregate of USD 44.7 billion in two months.
        • By comparison the trade deficit in April and May 2021 stood at USD 21.8 billion.

  • ISRO launches 36 satellites through its heaviest rocket LVM3

    lvm3

    The ISRO’s heaviest rocket, Launch Vehicle Mark 3 (LVM3 or GSLV Mark 3) has successfully put into orbit 36 satellites of the U.K.-based OneWeb.

    Also in news

    • The ISRO has renamed the Geosynchronous Satellite Launch Vehicle (GSLV) Mark -III as Launch Vehicle Mark-III, mainly to identify its task of placing satellites into a variety of orbits.

    What is LVM3?

    • LVM3 (erstwhile GSLV) is an expendable space launch vehicle designed, developed, and operated by the ISRO to launch satellites and other space objects into Geosynchronous Transfer Orbits.
    • It is 49.13 m tall and tallest among all other vehicles of ISRO.
    • It is a three-stage vehicle with a lift-off mass of 420 tonnes.
    • ISRO first launched LVM3 on April 18, 2001 and has made 13 launches since then.

    Stages in LVM3

    • The first stage comprises S139 solid booster with 138-tonne propellant and four liquid strap-on motors, with 40-tonne propellant.
    • The second stage is a liquid engine carrying 40-tonne of liquid propellant.
    • The third stage is the indigenously built Cryogenic Upper Stage (CUS) carrying 15-tonne of cryogenic propellants.

    Difference between PSLV and LVM3

    • LVM3 has the capability to put a heavier payload in the orbit than the Polar Satellite Launch Vehicle (PSLV).
    • PSLV can carry satellites up to a total weight of 2000 kg into space and reach up to an altitude of 600-900 km.
    • LVM3 can carry weight up to 5,000 kg and reach up to 36,000 km.
    • PSLV is designed mainly to deliver earth observation or remote sensing satellites, whereas, LVM3 has been designed for launching communication satellites.
    • LVM3 delivers satellites into a higher elliptical orbit, Geosynchronous Transfer Orbit (GTO) and Geosynchronous Earth Orbit (GEO).

    Upgrades brought by LVM3

    • The LVM3 is capable of lifting much heavier satellites than the GSLV Mk II with a bigger cryogenic upper stage and a larger first stage.
    • Both GSLV Mk II and LVM3 are three-stage vehicles, while the PSLV, which launches to low earth polar orbits, is a four-stage vehicle.
    • The GSLV Mk-II can place up to 2,500kg in geosynchronous orbits and up to 5,000kg to low earth orbit.
    • By comparison, the LVM3 can lift 4,000kg to GTO and up to 8,000 kg to LEO.

     

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  • When does RBI step in to monitor a Bank?

    The Reserve Bank of India (RBI) has placed a private bank under tight monitoring and greater public scrutiny.

    What is the news?

    • The XYZ Bank’s capital to risk weighted assets ratio (CRAR) dropped to around 13% at the end of March this year from 14.5% a year ago.
    • This has dropped below the Basel III in the past and it has even been placed under the prompt corrective action framework (PCA) by the RBI to deal with serious deteriorations in its financial position.
    • Under Basel-III norms banks are supposed to maintain their CRAR at 9% or above.

    What is Capital Adequacy Ratio (CAR)?

    • Capital adequacy ratio is an indicator of the ability of a bank to survive as a going business entity in case it suffers significant losses on its loan book.
    • The CRAR is a ratio that compares the value of a bank’s capital (or net worth) against the value of its various assets weighted according to how risky each asset is.
    • It is used to gauge the risk of insolvency faced by a bank.

    How do it affects bank functioning?

    • A bank cannot continue to operate if the total value of its assets drops below the total value of its liabilities as it would wipe out its capital (or net worth) and render the bank insolvent.
    • So, banking regulations such as the Basel-III norms try to closely monitor changes in the capital adequacy of banks in order to prevent major bank failures which could have a severe impact on the wider economy.
    • The capital position of a bank should not be confused with cash held by a bank in its vaults to make good on its commitment to depositors.

    Alternatives for bank

    • The said Bank has been trying to issue additional shares in the open market through a rights issue in order to deal with its capital adequacy woes.
    • Through a rights issue, the bank will be able to raise more equity capital from existing shareholders.
    • This is in contrast to an initial public offering where shares are issued to new shareholders.

    Back2Basics: Basel Norms

    • Basel is a city in Switzerland. It is the headquarters of the Bureau of International Settlement (BIS), which fosters co-operation among central banks with a common goal of financial stability and common standards of banking regulations.
    • Basel guidelines refer to broad supervisory standards formulated by this group of central banks – called the Basel Committee on Banking Supervision (BCBS).
    • The set of the agreement by the BCBS, which mainly focuses on risks to banks and the financial system is called Basel accord.
    • The purpose of the accord is to ensure that financial institutions have enough capital on account to meet obligations and absorb unexpected losses.
    • India has accepted Basel accords for the banking system.

    Basel I

    • In 1988, BCBS introduced a capital measurement system called Basel capital accord, also called as Basel 1.
    • It focused almost entirely on credit risk. It defined capital and structure of risk weights for banks.
    • The minimum capital requirement was fixed at 8% of risk-weighted assets (RWA).
    • RWA means assets with different risk profiles.
    • For example, an asset-backed by collateral would carry lesser risks as compared to personal loans, which have no collateral. India adopted Basel 1 guidelines in 1999.

    Basel II

    • In June ’04, Basel II guidelines were published by BCBS, which were considered to be the refined and reformed versions of Basel I accord.
    • The guidelines were based on three parameters, which the committee calls it as pillars:
    • Capital Adequacy Requirements: Banks should maintain a minimum capital adequacy requirement of 8% of risk assets.
    • Supervisory Review: According to this, banks were needed to develop and use better risk management techniques in monitoring and managing all the three types of risks that a bank faces, viz. credit, market and operational risks.
    • Market Discipline: This needs increased disclosure requirements. Banks need to mandatorily disclose their CAR, risk exposure, etc to the central bank. Basel II norms in India and overseas are yet to be fully implemented.

    Basel III

    • In 2010, Basel III guidelines were released. These guidelines were introduced in response to the financial crisis of 2008.
    • A need was felt to further strengthen the system as banks in the developed economies were under-capitalized, over-leveraged and had a greater reliance on short-term funding.
    • Also, the quantity and quality of capital under Basel II were deemed insufficient to contain any further risk.
    • Basel III norms aim at making most banking activities such as their trading book activities more capital-intensive.
    • The guidelines aim to promote a more resilient banking system by focusing on four vital banking parameters viz. capital, leverage, funding and liquidity.

     

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  • The Art of Bhoota Kola

    bhoota

    There has been a controversy over the folk art of Bhoota Kola recently depicted in a famous Kannada movie.

    What is Bhoota Kola?

    • Bhoota Kola is an animistic ritual dance performance where local spirits or deities are worshipped.
    • It is believed that a person performing the ritual has temporarily become a god himself.
    • This performer is both feared and respected in the community and is believed to give answers to people’s problems, on behalf of the god.
    • There are several ‘Bhootas’ who are worshipped in the Tulu-speaking belt of Dakshina Kannada, Uttara Kannada and Udupi districts.
    • It is usually performed in small local communities and rural areas.

    How is it performed?

    • The Kola (or dance performance for the Gods) is basically performed in an area near the temple of the village deity which is usually close to large open fields.
    • The ritual involves music, dance, recital, and elaborate costumes.
    • Recitals in Old Tulu recount the origins of the deity and tell the story of how it came to the present location.
    • The divine medium start their traditional performances as the local folklore called ‘paddanas’ are recited.

     

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  • In news: Sukapaika River

    sukapaika

    Sukapaika, a small river that stopped flowing 70 years ago in Odisha’s Cuttack district is set to be rejuvenated.

    Sukapaika River

    • The Suka-paika (the dead) River originated from another river, the Mahanadi, near Ayatpur village.
    • It flowed 27.5 km before meeting the Mahanadi again at Bankala.
    • In the 1950s, the State’s water resource engineers had in their wisdom closed the Sukapaika river mouth enabling development of the Taladanda Canal System, a major canal of the State.
    • This led to the river mostly drying up.
    • The process was aggravated by agricultural encroachments that had sprung up on the riverbanks.

     

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