All 17,130 police stations in India are now connected through the Crime and Criminal Tracking Network and Systems (CCTNS), a centralized online platform for filing FIRs, chargesheets, and investigation reports, accessible to law enforcement across the country.
AboutCriminal Tracking Network and Systems (CCTNS):
What is CCTNS?
A centralized online platform to file FIRs, charge-sheets, and investigation reports across 17,130 police stations.
Launched in 2009 with a âč2,000 crore budget under the Ministry of Home Affairs.
Aimed at improving efficiency, transparency, and nationwide access to crime data.
Key Features
Nationwide integration, with 100% connectivity across 28 states and 8 Union Territories.
Stores data on criminals, habitual offenders, missing persons, stolen vehicles, etc.
Generates analytical crime reports and detailed case statistics.
Integrated with the ICJS (Integrated Criminal Justice System) for coordination with courts, forensics, and other criminal justice pillars.
Recent Modifications for New Criminal Laws
Incorporates the 2024 Bharatiya Nyaya Sanhita (erstwhile IPC), Bharatiya Sakshya Adhiniyam (Indian Evidence Act), and Bharatiya Nagarik Suraksha Sanhita (CrPC).
Introduces mandatory videography for crime scenes in serious cases, forensic investigations, and arrest transparency (including officer approval and informing relatives).
Updates include timely progress reports and digital reporting of daily diaries.
Impact and Implementation
Facilitates efficient investigations by providing access to comprehensive crime data and analytical tools.
Improves police coordination across states and law enforcement agencies.
Enhanced citizen services with online tracking of complaints and case updates.
Supported by the National Crime Records Bureau (NCRB) and integrated with other public safety platforms for better coordination and resource management.
PYQ:
[2014] We are witnessing increasing instances of sexual violence against women in the country. Despite existing legal provisions against it, the number of such incidences is on the rise. Suggest some innovative measures to tackle this menace.
India and China have agreed to resume the Kailash-Mansarovar Yatra.
The pilgrimage has been suspended since2020 due to the COVID-19 pandemic and non-renewal of arrangements by China.
India-China Talks on Border Management:
Disengagement and De-escalation: Agreed to continue implementing the October 2024 disengagement agreements for safe patrolling and grazing in certain areas.
Peace and Tranquility: Both sides agreed to maintain peace along the border and implement effective border management mechanisms.
Resolution of Boundary Dispute: Continued efforts toward a mutually acceptable solution to the boundary dispute.
Cross-Border Cooperation: Discussions included river cooperation, Nathula border trade, and other exchanges to strengthen bilateral relations.
About Kailash Mansarovar:
Kailash Mansarovar is a sacred religious site located in the Tibetan Autonomous Region of China, near the borders of India, Nepal, and Tibet.
It consists of Mount Kailash, a peak considered to be the abode of Lord Shiva in Hinduism, and Mansarovar Lake, a high-altitude freshwater lake revered in Hinduism, Buddhism, Jainism, and Bon traditions.
Geographical Location:
Mount Kailash stands at an elevation of 6,638 meters (21,778 feet), making it one of the most difficult and revered peaks to approach.
The Mansarovar Lake is located at an altitude of 4,556 meters (14,950 feet) and spans approximately 88 square kilometers.
The region lies in the Tibetan Plateau.
Religious Significance:
Hinduism:
Mount Kailash is considered the abode of Lord Shiva and his consort Parvati. Pilgrims believe that a pilgrimage to Kailash is essential for liberation and salvation (Moksha).
Mansarovar Lake is believed to have been created by Lord Brahma. Bathing in its holy waters is believed to cleanse sins and grant spiritual merit.
Buddhism:
The region is sacred as it is believed to be the home of Buddha Demchok, who represents supreme bliss.
The lake is also linked to the Jambhala, the god of wealth in Tibetan Buddhism.
Jainism:
Jain tradition holds that Lord Rishabhanatha, the first Tirthankara, attained Nirvana at the peak of Mount Kailash.
Bon Religion:
For practitioners of Bon, an ancient religion indigenous to Tibet, Kailash is regarded as the sacred center of the universe.
Route and Access:
India to Kailash Mansarovar: The pilgrimage is generally undertaken through the Lipulekh Pass, a high-altitude pass that connects Uttarakhand (India) with Tibet.
Pilgrims usually travel through Nepal, and the journey is conducted via Kailash Mansarovar Yatra (KMY) under the Ministry of External Affairs (MEA).
Travel to Mount Kailash and Mansarovar Lake is restricted, and permits are required from the Chinese government.
Pilgrims from India are primarily facilitated through the Kailash Mansarovar Yatra organized by the Government of India and other authorized agencies.
PYQ:
[2016] Border management is a complex task due to difficult terrain and hostile relations with some countries. Elucidate the challenges and strategies for effective border management.
PYQ Relevance: Q) Consider the following statements: 1. Aadhaar card can be used as proof of citizenship or domicile. 2. Once issued, the Aadhaar number cannot be deactivated or omitted by the Issuing Authority. Which of the statements given above is/are correct? (UPSC CSE 2018) (a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2
Mentorâs Comment: UPSC Prelims have focused on âcitizenship or domicileâ (in 2018), and âonly one citizenship and one domicileâ (2021).
In October 2024, a Constitution Bench of the Supreme Court ruled 4:1 to uphold Section 6A of the Citizenship Act, 1955. This law provides a special process for people from former East Pakistan (now Bangladesh) who settled in Assam, allowing them to become Indian citizens if they arrived before March 25, 1971. The judgment is important but raises questions about overlooked constitutional issues and the possible negative effects of the decision.
Todayâs editorial focuses on the implications of the Supreme Courtâs recent decision to uphold the constitutional validity of Section 6A. You can use this content for the question asked on ‘Governance issues’ and ‘internal security issues’.
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Let’s learn!
Why in the News?
The Supreme Courtâs recent decision to uphold the constitutional validity of Section 6A overlooks critical constitutional issues, especially those affecting Assamâs indigenous population.
What is Section 6A of the Citizenship Act, 1955?
Section 6A of the Citizenship Act, 1955, was introduced as part of the Citizenship (Amendment) Act, 1985, following the Assam Accord. This provision specifically addresses the citizenship status of migrants from Bangladesh who settled in Assam.
âą Categories of Migrants: Pre-1966 Migrants: Individuals who entered Assam before January 1, 1966, are deemed Indian citizens from that date. 1966-1971 Migrants: Those who entered between January 1, 1966, and March 25, 1971, can apply for citizenship after a mandatory registration process and a waiting period of ten years. âą Cut-off Date: The cut-off date of March 25, 1971, was chosen because it coincides with significant historical events related to the Bangladesh Liberation War. âą Exclusions: Section 6A explicitly excludes individuals who were already Indian citizens before the amendment and those expelled under the Foreigners Act, 1946. âą Voting Rights: Migrants from the 1966-1971 category are denied voting rights for ten years from the date they are identified as foreigners.
How does Section 6A impact the demographic and cultural landscape of Assam?
Cultural and Linguistic Displacement: The influx of migrants facilitated by Section 6A has led to significant demographic changes in Assam. Research indicates that between 1951 and 2011, the percentage of the Bengali-speaking population increased from 21.2% to 28.91%, while the proportion of Assamese speakers declined from 69.3% to 48.38%. This shift represents a cultural and linguistic displacement that threatens the distinct identity of the Assamese people.
Political and Economic Strain: The arrival of a large number of migrants has raised concerns about political representation and economic resources in Assam. The perceived threat to local culture and political rights has been a driving force behind movements advocating for stricter immigration controls.
Social Tensions: The demographic shifts have exacerbated social tensions between indigenous Assamese communities and migrant populations, leading to conflicts over resources, identity, and political power.
What are the legal and constitutional challenges associated with Section 6A?
Violation of Article 29: Critics argue that Section 6A violates Article 29, which protects the cultural and linguistic identities of distinct communities in India.
The Supreme Court’s ruling, which stated that the influx did not infringe upon the ability of Assamese people to conserve their culture, has been challenged as flawed reasoning that overlooks the erosion of cultural identity.
Temporal Unreasonableness: Section 6A lacks a temporal limitation, allowing individuals who entered before March 25, 1971, to apply for citizenship indefinitely.
This raises concerns about its relevance over time, as it fails to address contemporary issues related to migration.
Arbitrary Reasoning: The judgment has been criticized for arbitrary reasoning, particularly in how it justifies singling out Assam for special treatment while disregarding similar situations in other states like West Bengal and Meghalaya.
Flawed Mechanism for Identification: The process for identifying migrants under Section 6A is problematic, placing the burden on state authorities without a clear mechanism for voluntary self-identification by migrants. This has led to inefficiencies and confusion regarding citizenship status.
What are the implications of the Supreme Court’s ruling on Section 6A for future immigration policies in India?
Precedent for Future Laws: The ruling sets a precedent for how immigration laws may be framed in India, potentially allowing for similar provisions that distinguish between different states or communities based on historical migrations.
Potential for Increased Migration: By upholding Section 6A, there is concern that it may encourage further migration into Assam and other regions, as individuals may perceive opportunities for citizenship under similar provisions.
Focus on Cultural Protection: Future immigration policies may need to consider cultural protections more seriously, as the ruling highlights the tension between humanitarian needs and cultural preservation.
Need for Comprehensive Immigration Reform: The ruling underscores the necessity for comprehensive immigration reform that addresses both historical contexts and contemporary realities while ensuring the protection of cultural identities.
Impact on Political Discourse: The ruling may influence political discourse surrounding immigration in India, potentially polarizing opinions on citizenship rights and cultural identity among different communities.
Indiaâs decentralised drug regulation system dominated by State Drug Regulatory Authorities causes inconsistent quality standards. Strengthening oversight is essential to ensure generics are as affordable and effective as branded drugs.
How Reliable Are Generic Medicines?
Bioequivalence to Innovators: Generic medicines are bioequivalent to brand-name drugs, meaning they have the same active ingredient and are intended to work the same way.
Affordability and Accessibility: Generics significantly lower healthcare costs, making treatment more accessible, especially for low-income populations.
Challenges in Quality: Despite their potential, the reliability of generics has been questioned due to variability in therapeutic outcomes, often caused by differences in excipients, manufacturing processes, and bioequivalence thresholds.
What are the main quality concerns associated with it?
Efficacy and Bioavailability: Studies have shown that while generics are bioequivalent to branded drugs, they may not always achieve the same therapeutic levels.
For example, a study on itraconazole showed that only 29% of patients using generic versions achieved the right drug levels in their body within two weeks, compared to 73% of patients using the original branded drug.
Manufacturing Variability: The manufacturing processes for generics can differ significantly from those of branded drugs. Variations in excipients (binders, fillers) and production methods can lead to differences in tablet hardness, dissolution rates, and overall drug stability. This variability can result in inconsistent therapeutic outcomes.
Regulatory Oversight: India’s decentralized drug regulation system contributes to inconsistent quality standards across states.
The Central Drugs Standard Control Organisation (CDSCO) has limited authority over State Drug Regulatory Authorities (SDRAs), leading to regulatory arbitrage where manufacturers exploit weaker oversight. Moreover, the lack of stringent enforcement of stability testing further jeopardizes the quality of generics available in the market.
What regulatory reforms are needed? Â
Centralisation of Drug Regulation: A comprehensive overhaul of Indiaâs drug regulation system is necessary. Centralising oversight under the CDSCO would help enforce consistent quality standards across all states and reduce the risk of substandard drugs entering the market.
Enhanced Stability Testing Protocols: Uniform stability testing protocols should be established to ensure that all generics maintain their quality under various climatic conditions. This would involve periodic reassessment of approved generics to uphold their efficacy over time.
Stricter Impurity Standards: Aligning Indiaâs Pharmacopoeia with international standards regarding permissible impurity levels would improve the overall quality of generic medicines available in the market.
How can patient and healthcare provider perceptions of generics be improved? (Way forward)
To enhance patient and healthcare provider confidence in generic medicines, several strategies can be employed:
Public Awareness Campaigns: Educating patients about the efficacy and safety of generics compared to branded drugs can help dispel misconceptions that higher-priced medications are superior.
Incentives for Healthcare Providers: Offering incentives for prescribing generics can encourage healthcare professionals to recommend these cost-effective alternatives more frequently.
Strengthening Quality Assurance: Implementing stronger regulatory frameworks and ensuring compliance with quality standards can build trust among both patients and providers regarding the reliability of generics.
Mains PYQ:
Q Why is there so much activity in the field of biotechnology in our country? How has this activity benefitted the field of biopharma? (UPSC IAS/2018)
Since its launch, PM-AASHA has significantly benefitted farmers, contributing to the procurement of 195.39 lakh metric tonnes (LMT) of agricultural commodities, valued at âč1,07,433.73 crore, from over 99 lakh farmers.
Procurement Details:
In the Rabi 2023-24 season, 6.41 LMT of pulses, valued at âč4,820 crore, were procured from 2.75 lakh farmers. This included:
2.49 LMT of Masoor
43,000 metric tonnes of Chana
LMT of Moong
In addition, 12.19 LMT of oilseeds, valued at âč6,900 crore, were procured from 5.29 lakh farmers.
In the ongoing Kharif season, the government has procured 5.62 LMT of Soyabean, valued at âč2,700 crore, benefiting 2.42 lakh farmers.
About the PM-AASHA Scheme
Details
Launched in 2018, PM-AASHA is an umbrella scheme encompassing various components to ensure farmers receive fair prices for their produce.
Aims and Objectives
Ensuringfair pricesfor farmers by providing price support when market prices fall below the Minimum Support Price (MSP).
Stabilize the prices of essential commodities, benefiting both farmers and consumers.
Addressing price fluctuations and ensuring sustainable agricultural practices for crops like pulses, oilseeds, and copra.
Structural Mandate and Implementation
Type: Central Sector Scheme (Fully funded by the Centre).
Nodal Ministry: Ministry of Agriculture & Farmers Welfare.
Fund Allocation: Rs. 35,000 crore during the 15th Finance Commission Cycle (up to 2025-26).
Central Nodal Agencies (CNA):
Guarantees to lender banks for extending cash credit facilities to agencies like NAFED (National Agricultural Co-operative Marketing Federation of India Limited) and NCCF (National Co-operative Consumerâs Federation of India Limited) for MSP procurement.
Department of Consumer Affairs (DoCA) will procure pulses at market price from pre-registered farmers on eSamridhi Portal of NAFED and eSamyukti Portal of NCCFÂ when prices exceed MSP.
Key Components:
Price Support Scheme (PSS):
The PSS is the core component of PM-AASHA, operating through state governments to procure notified commodities at the Minimum Support Price (MSP) levels.
It provides financial relief to farmers when market prices fall below MSP, offering remunerative prices and promoting investment in agriculture.
The government fixes the MSP for 24 crops at 1.5 times the Cost of Production (CoP) to ensure a fair income for farmers.
Price Deficiency Payment Scheme (PDPS):
Under PDPS, farmers are provided direct payments if the market prices of oilseeds fall below the MSP.
It helps bridge the gap between MSP and market prices, ensuring that farmers still get a fair return.
Market Intervention Scheme (MIS):
The MIS provides financial assistance to states for price stabilization of perishable agricultural commodities like Tomato, Onion, and Potato, which are not covered under MSP.
This scheme helps manage price volatility and benefits both farmers and consumers by stabilizing prices.
PYQ:
[2020] In India, the term âPublic Key Infrastructureâ is used in the context of:
(a) Digital security infrastructure
(b) Food security infrastructure
(c) Health care and education infrastructure
(d) Telecommunication and transportation infrastructure
The Comprehensive Telecom Development Plan for North Eastern Region (NER) funded from Digital Bharat Nidhi (DBN) aims to provide mobile coverage to uncovered villages and National Highways.
About theComprehensive Telecom Development Plan (CTDP):
Overview
CTDP aims to enhance telecommunications infrastructure in India’s North Eastern Region (NER) by improving mobile and broadband access.
The plan is funded by the Digital Bharat Nidhi (DBN) programme.
Digital Bharat Nidhi (DBN):
Established under the Telecommunications Act, 2023.
Replaces the Universal Service Obligation Fund (USOF).
USOF was created to provide telecom services in remote and rural areas at affordable prices.
Funded by a 5% Universal Service Levy on the Adjusted Gross Revenue (AGR) of telecom operators.
Aimed to expand telecom networks in low-profit remote and rural areas.
Statutory Status: Granted in December 2003 through amendments to the Indian Telegraph Act (now superseded by the Telecom Act, 2023).
Salient Features
Mobile Coverage Expansion: Extend mobile coverage to previously uncovered villages and National Highways in NER.
Enhanced Connectivity: Installation of 2,619 mobile towers, covering 3,223 villages and 286 highway locations.
4G Saturation: Providing 4G connectivity to remote villages.
Support for Socio-Economic Development: Empower citizens through ICTs for development.
Digital Inclusion: Help bridge the digital divide in NER.
Structural Mandate and Implementation
Funding: Primarily funded by the Digital Bharat Nidhi (DBN) programme.
Implementation: Coordinated through DBN-funded schemes focusing on mobile towers, 4G coverage, and broadband development.
Agencies Involved:
Ministry of Communication: Oversees implementation, ensures spectrum and policy approvals.
DBN: Provides funding and operational support.
Telecom Service Providers: Deploy infrastructure like towers and 4G networks.
State Governments of NER: Facilitate local implementation.
Project Management Agencies: Involved in setting up towers and maintenance.
PYQ:
[2018] Which of the following is/are the aims/aims of the âDigital Indiaâ Plan of the Government of India?
Formation of Indiaâs own Internet companies like China did.
Establish a policy framework to encourage overseas multinational corporations that collect Big Data to build their large data centres within our national geographical boundaries.
Connect many of our villages to the Internet and bring Wi-Fi to many of our schools, public places and major tourist centres.
Select the correct answer using the code given below:
With Donald Trump potentially returning to the White House, OPEC+ delegates express concern over higher US oil production.
His administrationâs focus on deregulating the energy sector could lead to increased oil output, contributing to a further erosion of OPEC+’s market share.
About âOrganization of the Petroleum Exporting Countriesâ Plus (OPEC+)
What is OPEC+?
Formation and Purpose:
OPEC+ is a coalition of OPEC members and non-OPEC oil-producing nations that work together to manage oil production and stabilize global oil prices.
The alliance was formed in 2016 in response to increasing oil production in the United States, particularly from shale oil, which led to falling oil prices.
OPEC Members:
OPEC was founded in 1960 and includes 12 member countries: Algeria, Angola, Equatorial Guinea, Gabon, Iran, Iraq, Kuwait, Libya, Nigeria, Saudi Arabia, United Arab Emirates (UAE), Venezuela.
Non-OPEC Members in OPEC+:
OPEC+ includes 10 non-OPEC members:
Azerbaijan, Bahrain, Brunei, Kazakhstan, Malaysia, Mexico, Oman, Russia, South Sudan, Sudan.
Global Influence:
OPEC+ countries together produce approximately 40% of the worldâs crude oil and control about 80% of the worldâs proven oil reserves.
Factors are influencing OPEC+’s oil production cuts
Rising US oil production: The shale boom in the US has increased its market share, impacting OPEC+’s influence.
Global price stability: OPEC+ implements production cuts to prevent oil prices from falling too low.
Weak global demand: Extended cuts due to low demand, especially in major economies.
Implications of OPEC+’s policies
Reduced market share: OPEC+’s global oil share dropped from 55% in 2016 to 48% in 2024.
Price volatility: OPEC+’s production cuts aim to stabilize prices, but increasing US production affects this goal.
Economic stability: Production cuts help sustain favorable prices for oil-producing economies.
PYQ:
[2009] Other than Venezuela, which one among the following from South America is a member of OPEC?
Sri Lankan President Anura Kumara Dissanayakeâs visit to India, his first international trip as per tradition, underscores the continuity in India-Sri Lanka bilateral relations.
What are the current China-related challenges in India-Sri Lanka relations?
Geopolitical Tensions: Sri Lanka’s historical ties with China, particularly during the Mahinda Rajapaksa regime, have raised concerns in India regarding potential Chinese influence in the region.
China’s investment in Sri Lanka, particularly in the Hambantota Port, is closely tied to its broader String of Pearls strategy.
Economic Dependency: Sri Lanka’s reliance on Chinese investments has created a “debt trap” scenario, limiting its ability to align with Indian interests fully. The need for economic assistance from both nations complicates Sri Lanka’s foreign policy decisions, as it seeks support without alienating either side.
Balancing Act: Sri Lanka is attempting to navigate its relationships with India and China, which often puts it in a difficult position.
President Anura Kumara Dissanayake has expressed intentions to strengthen ties with India while maintaining relations with China, indicating a desire for a balanced approach. However, this balancing act is complicated by India’s concerns over Chinese influence and activities in the Indian Ocean.
How can India and Sri Lanka enhance their economic and strategic partnerships?
Trade Agreements: There is a push for an upgraded India-Sri Lanka Free Trade Agreement (FTA) to facilitate bilateral trade and investment. This could include provisions for Foreign Direct Investment (FDI) protection and expanded coverage of goods and services.
Production-Linked Incentive (PLI) Scheme: Implementing a regional PLI scheme could encourage Indian businesses to invest in Sri Lanka, particularly in sectors like renewable energy and electronics. This initiative would help build regional supply chains and reduce dependency on imports.
B2B Engagement: Strengthening business-to-business ties, especially between smaller enterprises, could enhance economic collaboration. This involves increasing participation in trade fairs and fostering connections between businesses in southern Indian states and Sri Lanka.
What role does regional stability play? (Way forward)
Security Cooperation: Regional stability is crucial for both nations as they address external threats, particularly from China. Dissanayakeâs assurance that Sri Lankan territory will not be used against Indian interests is vital for maintaining security cooperation and trust between the two countries.
Economic Recovery: As Sri Lanka recovers from its recent economic crisis, stable relations with India are essential for securing ongoing support from international financial institutions like the IMF. Enhanced cooperation can serve as a model for regional partnerships that promote stability and economic growth across South Asia.
Geopolitical Balance: Â A collaborative approach can help mitigate risks associated with external influences and ensure that both nations can pursue their national interests without compromising sovereignty.
Mains PYQ:
Q What do you understand by âThe String of Pearlsâ? How does it impact India? Briefly outline the steps taken by India to counter this. (UPSC IAS/2013)
Sovereign gold bonds provide a safer and more cost-effective alternative to holding physical gold, as they reduce risks and storage expenses. However, the central government is considering discontinuing the SGB scheme.
What is the Sovereign Gold Bond scheme?
About
GOI launched it on October 30, 2015.
Structural Mandate
Nodal Agency:Ministry of Finance;
Issued by RBI on behalf of the GOI.
Aims and Objectives
To reduce dependence on gold imports and shift savings from physical gold to paper form.
Targeted Beneficiaries
Residents of India, including individuals, HUFs, trusts, universities, and charitable institutions.
Funding Mechanism
The Sovereign Gold Bonds are issued by the Reserve Bank of India (RBI) on behalf of the Government of India. This ensures a sovereign guarantee for both the principal and interest payments.
The bonds are made available for subscription in tranches. The RBI notifies the terms and conditions for each tranche, including the subscription dates and issue price, which is based on the average closing price of gold of 999 purity published by the India Bullion and Jewellers Association (IBJA).
SGBs are sold through various channels, including scheduled commercial banks (excluding small finance banks), designated post offices, Stock Holding Corporation of India Limited (SHCIL), and recognized stock exchanges like NSE and BSE.
Features
Sovereign gold Bonds are issued in 1-gram denominations with an 8-year tenure and early exit from the 5th year.
The minimum investment is 1 gram, a maximum 4 kg for individuals, and 20 kg for trusts.
Benefits include security, interest, and loan collateral.
What are the concerns regarding sovereign gold bonds?
High Cost of Financing: The government perceives the cost of financing its fiscal deficit through SGBs as disproportionately high compared to the benefits provided to investors. This perception has led to a significant reduction in the issuance of SGBs, dropping from ten tranches annually to just two.
Limited Issuance in Current Financial Year: In the financial year 2024-25, no new sovereign gold bonds have been issued so far, and net borrowing through these bonds has been significantly reduced from previous estimates.
Market Competition from Physical Gold: The recent reduction in customs duty on gold from 15% to 6% has led to a surge in demand for physical gold. Investors may prefer holding physical gold over waiting for returns from debt securities like SGBs, which require maturity periods before realizing gains.
What are the challenges due to the import of Gold?
Impact on Trade Deficit: Gold imports are a major contributor to India’s trade deficit, with a record $14.8 billion spent in November 2024, which weakened the rupee. Between 2016 and 2020, gold imports made up 86% of the country’s gold supply, leading to significant foreign exchange outflows and economic instability.
Encouragement of Smuggling: High import duties on gold have driven a rise in smuggling, with 65% to 75% of smuggled gold entering India through air routes. This illegal trade undermines government revenue and complicates market regulation.
Way forward:Â
Increase Liquidity and Accessibility: Similar to gold-backed ETFs in the U.S. and Gold Bullion Securities in Australia, India can enhance the liquidity of SGBs by allowing them to be traded on stock exchanges, providing easy access and better market engagement for investors.
Encourage Regular Investments: Drawing inspiration from Germanyâs gold savings plans, India can introduce flexible investment options such as monthly or quarterly contributions, enabling dollar-cost averaging and attracting retail investors over time.
Mains PYQ:
Q Craze for gold in Indian has led to surge in import of gold in recent years and put pressure on balance of payments and external value of rupee. In view of this, examine the merits of Gold Monetization scheme. (UPSC IAS/2015)
