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GS Paper: GS2

  • Andhra Pradesh’s Guaranteed Pension System

    pension

    Central Idea

    • Andhra Pradesh’s Guaranteed Pension System (GPS) blends elements from both old and new pension schemes, offering the advantages of a guaranteed pension while not overly straining the state’s finances.
    • This innovative system holds the potential to preserve India’s hard-won pension reforms.

    What is the Andhra Pension System?

    • A Hybrid Approach: The Andhra Pradesh Guaranteed Pension System Bill, 2023, recently approved by the state assembly, introduces a unique blend of the Old Pension Scheme (OPS) and the New Pension Scheme (NPS) implemented in 2004.
    • Contributory Guarantee: This system ensures government employees a monthly pension equivalent to 50% of their last-drawn salary, including dearness allowance relief.
    • Reason for Introduction: Andhra Pradesh introduced GPS as a response to resistance against NPS, which was viewed by many as inferior to the earlier scheme. The return to OPS was considered fiscally unsustainable, with the potential to drive the state’s fiscal deficit to 8% by 2050.

    Breakthrough created

    • Long-standing Pension Reforms: India struggled for over a decade to implement pension reforms that led to the introduction of NPS in 2004.
    • Growing Discontent: Over time, public sentiment favored those receiving pensions under the old scheme, leading to discontent.
    • Political Promises: Political parties capitalized on this discontent, pledging to return to the old scheme if elected.
    • Andhra’s Middle Path: Andhra Pradesh’s GPS offers a middle ground, preventing a regressive return to the old scheme while addressing concerns about NPS.

    How does the Andhra System work?

    • Enhancing Attractiveness: The contributory system guarantees a pension equivalent to 50% of the last drawn salary.
    • Balancing Financial Burden: Any shortfall in NPS returns is covered by the government.
    • Current NPS Pensions: Presently, NPS pensions amount to around 40% of an employee’s last drawn salary. Therefore, the government only has to fund the remaining balance.

    Alternative to NPS

    • Contributory Nature: NPS is a contributory scheme, with both employees and employers contributing to a corpus invested for returns.
    • Uncertainty: In NPS, the pension amount is not guaranteed, as it depends on corpus returns influenced by market conditions.
    • Ignoring Inflation: NPS does not consider inflation or pay commission recommendations.
    • Market Dependency: Opposition to NPS is fueled by fears of further reductions in pension due to adverse market conditions.

    Why not revert to the Old Pension Scheme?

    • Budgetary Constraints: Under OPS, pensions were financed through the budget.
    • Unsustainable Growth: Pension liabilities for all states saw a compound annual growth rate of 34% for a 12-year period ending in 2021-22.
    • Budgetary Impact: In 2020-21, pension outgo accounted for 29.7% of states’ revenues.
    • Development Challenges: A return to OPS would strain government funds, hindering development efforts and operational financing.
    • Competitiveness Concerns: Such a shift could negatively impact India’s ease of doing business and overall competitiveness.

  • Press Freedom and Free Speech in Southeast Asia

    Central Idea

    • Southeast Asian nations consistently rank among the worst globally for press freedom and media rights.
    • Autocratic governments in the region have increasingly resorted to closing independent newspapers and imprisoning activists who criticize the authorities.

    Press Freedom Rankings

    • Pew Research Findings: According to the Pew Research Center’s report on religion and politics in South and Southeast Asia, the embrace of free speech and democracy is not widespread in the region.
    • Global Press Freedom Rankings: Organizations like “Reporters without Borders” annually rank nations in terms of press freedom. In the latest World Press Freedom Index, Vietnam and Myanmar were among the worst-ranked countries, with Malaysia being the exception.
    • Deteriorating Standards: Declining press freedom worldwide is attributed to increasing aggressiveness by authorities, growing animosity towards journalists on social media, and the proliferation of fake content.

    Freedom on the Net Rankings

    • Online Free Speech Monitoring: Freedom House’s Freedom On The Net index evaluates online free-speech conditions. Myanmar, China, Vietnam, and Thailand ranked poorly, highlighting online restrictions and censorship.

    Public Perspectives on Free Speech

    • Notion of National Harmony: Governments in Southeast Asia, which encompass a diverse range of political systems, generally concur on the need to limit free speech to safeguard national “harmony.”
    • Pew Research Focus: Unlike traditional press freedom rankings, the Pew study delves into the views of ordinary people on free speech issues.
    • Key Findings: The report revealed that the majority of respondents in three out of four Southeast Asian states prioritize national “harmony” over free speech. However, a notable minority in Malaysia and Singapore held a contrasting view.

    Various impacts on Free speech

    • Age and Education Impact: Younger and more educated respondents were more likely to advocate for the right to criticize the government and prioritize free speech over social harmony.
    • Religious Influence: The report also noted differences in attitudes based on religion. For instance, Thai Muslims were more inclined to prioritize social harmony over free speech compared to Thai Buddhists.

    Government Justifications

    • Lese-Majeste Laws: Thai authorities argue that strict lese-majeste laws are necessary to protect “Thainess” and the monarchy.
    • Cambodian Government: Cambodia’s government defends stringent restrictions by portraying opposition politicians and independent media as threats to the nation’s hard-won peace.
    • Communist Governments: Vietnam and Laos assert that collective interests take precedence over individual rights.
    • Singapore’s Approach: Singapore, a multi-ethnic state, expanded “hate speech” laws, emphasizing the importance of not allowing any race or religion to be attacked or insulted.

    Critique of Laws

    • Effectiveness Questioned: Critics argue that harsh “hate speech” and other laws in the region may not genuinely preserve social harmony and can restrict freedoms.
    • Asia Centre Report: A 2021 report from the Asia Centre contends that such laws reinforce the dominance of the ethno-religious majority, limit freedom of religion or belief, and muzzle grievances from minority communities.
    • Political Exploitation: Ethno-religious dominant governments are accused of exploiting societal divisions for political gain.

    Conclusion

    • Balancing the preservation of national “harmony” with the protection of individual liberties remains a contentious issue.
    • As younger, more educated individuals express stronger support for free speech, it suggests the potential for evolving perspectives in the future.

  • Using AI for audit techniques

    What’s the news?

    • The Comptroller and Auditor General of India (CAG), Girish Chandra Murmu, who chairs the Supreme Audit Institutions (SAIs) of the G20, has raised a crucial concern regarding the increasing reliance on Artificial Intelligence (AI) for auditing purposes

    Central idea

    • The CAG has warned that the absolute dependence on AI may result in inaccurate audit findings and emphasized the significance of ethics as the foundation of responsible AI. In the realm of auditing, where transparency, objectivity, fairness, and bias avoidance are paramount, addressing these challenges is imperative.

    The Imperative of Responsible and Ethical AI

    • Credibility and Trust in Auditing: The credibility and trustworthiness of audit findings hinge on responsible AI practices. Without ethical AI, there is a risk of generating inaccurate audit results, which could undermine trust in the auditing process.
    • Data Integrity: The utmost importance is placed on data integrity in AI auditing. Responsible AI dictates that audit data must be complete, accurate, and relevant. Ensuring data integrity is paramount to prevent potentially misleading audit findings.
    • Ethical Data Usage: Responsible AI practices demand the use of data only from authorized and reputable sources. Leveraging data from unverified or unauthorized sources, such as social media, introduces biases and threatens the audit process’s integrity.
    • Regulation in India: It is imperative to address the need for AI regulation in India, drawing inspiration from the European Union’s AI Act as a pioneering example. Such regulations are seen as essential for promoting responsible and ethical AI use across various domains, including auditing.
    • Challenges for Auditors: Auditors at the CAG face an array of challenges when auditing AI systems. These include the imperative for data standardization, regulatory compliance, and the development of auditor expertise. These challenges underscore the significance of adhering to ethical AI practices.
    • International Audit Framework: The establishment of a common international audit framework for AI is deemed crucial. Such a framework would provide auditors with guidance on navigating the complexities of AI auditing while ensuring ethical standards are upheld.
    EU AI Act as a Pioneering Example

    The approval of the EU AI Act by the European Parliament serves as a pioneering example of comprehensive AI regulation.

    It introduces stringent restrictions and scrutiny for generative AI tools, like ChatGPT.

    India can learn from the EU’s approach to regulate AI technologies effectively.

    Challenges faced by the CAG in auditing AI systems

    • AI Regulation and Data Standardization: Establishing effective AI regulations and data standardization for consistent and accurate AI audits.
    • Data Source Authentication: Verifying the authenticity and reliability of data sources, especially those from unauthorized origins, impacting audit accuracy.
    • Data Integration and Cross-Referencing: Managing the complexity of integrating and cross-referencing data from diverse government sources and platforms, affecting audit efficiency.
    • Data Platform Synchronization: Achieving synchronization of data platforms across government entities through IT policies to streamline the audit process.
    • Digitalization Challenges: Addressing security concerns associated with digitalization initiatives, particularly in defense audits.
    • Lack of Precedents for AI Audits: Adapting existing IT frameworks and regulations for AI audits due to the absence of established precedents, adding complexity to the process.

    Compliance Issues in Auditing AI Systems

    • Variety of AI Auditing Frameworks: Global organizations have developed multiple AI auditing frameworks, including the COBIT framework for AI audit, the US Government Accountability Office framework, and the COSO ERM Framework. These diverse frameworks can lead to challenges in standardization and consistency in AI auditing practices.
    • Draft Guidance from the U.K.’s Information Commissioner’s Office: The U.K.’s Information Commissioner’s Office has published draft guidance on the AI auditing framework. While this guidance is a step forward, it may not provide comprehensive and universally accepted standards, leading to potential inconsistencies in AI audits.
    • Data Protection Impact Assessments: Organizations are legally required to conduct Data Protection Impact Assessments when using AI systems that process personal data. Ensuring compliance with these assessments adds complexity to AI audits, particularly regarding data privacy and security.

    Measures to Address these Challenges

    • Establish Clear AI Regulations and Data Standards: Advocate for the development and implementation of clear and comprehensive AI regulations and data standards to ensure audit consistency.
    • Implement Robust Data Verification Procedures: Implement robust data verification procedures and protocols, emphasizing the use of reliable and authorized data sources.
    • Develop Standardized Data Integration Methods: Develop standardized data integration methods and tools to simplify the process of cross-referencing data from various sources.
    • Enforce Data Platform Synchronization: Prioritize the synchronization of data platforms across government entities through the formulation and enforcement of IT policies.
    • Enhance Security Measures for Digitalization: Continuously assess and enhance security measures for digitalization initiatives, especially when dealing with sensitive data in defense audits.
    • Engage with Stakeholders to Develop AI-Specific Frameworks: Engage with relevant stakeholders, including government agencies and AI experts, to develop AI-specific auditing frameworks and standards, adapting existing IT frameworks as needed.

    The Need for AI Regulation in India

    • Ensuring Accuracy and Fair Use of Data: AI-generated content may raise issues related to copyright infringement and intellectual property rights. Regulatory frameworks can address these concerns and establish guidelines for the ethical and lawful use of data and content generated by AI systems.
    • Mitigating AI Bias: AI bias, which often stems from human bias in training data, poses inherent risks. Regulations can stipulate measures to mitigate bias and promote fairness in AI algorithms and decision-making processes.
    • Protection of Privacy: As AI technologies increasingly interact with personal data, privacy concerns arise. Regulatory frameworks can establish clear guidelines for data protection and privacy, safeguarding individuals’ personal information.
    • Consumer Protection: Regulations can protect consumers from AI-driven practices that may be deceptive or harmful. This includes measures to ensure transparency and fairness in AI-powered products and services.
    • Harmonious Fusion of Technology and Ethics: Achieving a harmonious fusion of technological progress and ethical considerations, as envisioned by Elon Musk, requires a multifaceted approach. Regulations can provide a structured framework for achieving this balance.

    What else?

    • Innovations in Ethical AI: Innovations like Elon Musk’s “Truth GPT,” aimed at creating a “maximum truth-seeking AI,” underscore the need for ethical AI development. Regulations can encourage and guide such innovations to align with ethical considerations and safety standards.
    • Global Trend Towards AI Regulation: Prominent global leaders, including the U.K. Prime Minister Rishi Sunak, are actively pursuing AI safety regulation. India can follow suit to ensure that it remains aligned with international AI standards and fosters collaboration in AI safety measures.

    Conclusion

    • As AI continues to play an increasingly significant role in auditing, the CAG must navigate complex challenges to ensure the credibility and accuracy of audit findings. India, too, needs to consider robust AI regulation while upholding ethics and data integrity to safeguard the integrity of the audit process and maintain public trust.

  • Minority Institutions need NOT provide Reservations: Madras HC

    Central Idea

    • Reservation exemption: The Madras High HC ruled that the concept of communal reservation for SC/ST/OBC citizens does not apply to minority institutions.
    • No government constraint: The judges held that the government cannot compel minority institutions to implement such reservation policies.

    Key Highlights by Madras HC

    • Continued Status: The court emphasized that once minority status is granted to an institution, it will persist until the National Commission for Minority Educational Institutions (NCMEI) cancels it for valid reasons, such as a shift in its educational objectives.
    • Merit-Based Admissions: The court upheld the government’s right to stipulate that minority institutions can admit students from the respective religious and linguistic minorities up to 50% of the sanctioned intake based on merit.
    • Exclusion Clause: The judges clarified that students admitted on merit should not be counted within the first 50% of admissions allocated for minorities.

    Case Background

    • Petitioner’s Argument: The petitioner challenged a Govt Order (GO) issued in November 2021. The GO denied the extension of religious minority status to the college due to its admission of 52% minority students in the academic years 2018-19 and 2019-20.
    • Advocate General’s Stand: Advocate General argued that such admissions violated a 1998 GO that restricted minority admissions to 50%.
    • College’s Position: It contended that minority educational institutions should receive permanent status without the need for periodic extensions. It also asserted that the Tamil Nadu Backward Classes, Scheduled Castes and Scheduled Tribes (Reservation of Seats in Private Educational Institutions) Act, 2006, should not apply to minority institutions.

    Legal Analyis

    • Constitutional Provisions: The judges found support in Article 15(5) of the Constitution, introduced through the 93rd amendment in 2005, which specifically excludes minority institutions from the State Government’s authority to provide special provisions for reservations.
    • Definition of Private Educational Institution: They pointed out that Section 2(d) of the 2006 Act also excludes minority institutions established under Article 30(1) of the Constitution from its definition of ‘private educational institution.’ Thus, the State cannot impose reservation provisions on minority educational institutions.
    • Permanent Status: The court stated that the National Commission for Minority Educational Institutes Act, 2004, does not envision granting minority status for a temporary or restricted period. Instead, it continues until the Commission cancels it.

    Conclusion

    • Ultimately, the court quashed the 2021 GO and directed the government to allow the petitioner institution to maintain its status as a minority institution, provided it complies with other requirements.

  • Bihar Caste Survey: Key Highlights

    bihar

    Central Idea

    • The Bihar government recently released the results of its caste survey, shedding light on the state’s demographic composition and caste dynamics.
    • This survey, the first of its kind since 1931, carries significant implications for politics, reservations, and electoral strategies in Bihar.

    Bihar Caste Survey

    • Caste Demographics: The survey reveals the following caste composition in Bihar:
      1. Extremely Backward Classes (EBCs) – 36.01%.
      2. Other Backward Classes (OBCs) – 27.12%.
      3. Scheduled Castes (SCs) – 19.65%.
      4. Scheduled Tribes (STs) – 1.68% (most STs are part of Jharkhand since 2000).
      5. “Unreserved” (Forward Castes) – 15.52%.
    • Population Increase: Bihar’s population, according to the survey, is 13,07,25,310, compared to 10.41 crores recorded in the 2011 census. Hindus make up 81.99%, while Muslims constitute 17.72%. Other religious denominations have minuscule populations.

    Survey Process

    • Political Consensus: The decision to conduct the caste survey was made following an all-party meeting in June 2022, with a budget allocation of Rs 500 crore from the contingency fund.
    • Survey Phases: The survey occurred in two phases:
      1. The first phase involved counting households in January.
      2. The second phase, starting in April, aimed to collect caste, religion, economic, and family data.
    • Legal Challenge: The Patna High Court initially halted the survey, but it later resumed after the state clarified it was a “survey” and ensured data privacy.

    Significance

    • Changing Political Landscape: The politics of identity tied to reservations and backward caste assertion has evolved. The BJP’s appeal to OBCs has transformed the political landscape.
    • Opportunities for Backward Classes: Survey results may provide an opening for parties like JD(U) and RJD to mobilize backward classes. The Opposition alliance could use this data to push for a nationwide caste census.
    • Increased Quotas: The survey could fuel demands for expanding OBC quotas beyond 27% and creating sub-quotas for EBCs. The recommendations of the Justice Rohini Commission are expected to influence this debate.
    • Reservation Ceiling Debate: The data may reignite discussions on the 50% reservation ceiling imposed by the Supreme Court in 1992, a contentious issue in various states.

    Electoral Impact

    • Vote Bank Dynamics: EBCs, OBCs, and SCs, constituting over 82% of Bihar’s population, will be a crucial vote bank in upcoming elections.
    • Leadership Dynamics: Leaders like Lalu Prasad and Nitish Kumar have historically represented OBCs, EBCs, and Dalits. The BJP’s electoral strategy in Bihar will likely emphasize the Prime Minister’s OBC background.
    • Electoral Battles: Political parties will fiercely compete for the support of these influential caste groups, making Bihar a battleground state with complex caste dynamics.

    Why discuss this?

    • Caste Data in Census: Since India’s independence in 1947, every census until 2011 has published data on Scheduled Castes and Scheduled Tribes. Caste data was available in censuses before 1931.
    • 1941 Exception: In 1941, caste-based data was collected but not published due to World War II, as per M.W.M. Yeats, the Census Commissioner at that time.

    Demand for a Caste Census

    • Recurring Demand: The demand for a caste census surfaces before almost every census, primarily driven by groups belonging to Other Backward Classes (OBC) and other deprived sections, while it faces opposition from upper-caste sections.
    • Contemporary Demand: In recent times, opposition parties, especially during Census 2021 delays, have vociferously called for a caste census, focusing on “social justice” as a common rallying point.
    • Political Support: Many politicians have advocated for the release of data from the Socio-Economic and Caste Census (SECC) 2011. They also called for a caste census and the removal of the 50% cap on SC/ST/OBC reservations.

    Centre’s Stand

    • Government Policy: The Indian government has consistently decided not to enumerate caste-wise populations, except for SCs and STs, as a matter of policy.
    • Policy Shift: However, in August 2018, following a meeting chaired by then-Home Minister, it was stated that data on OBCs would be collected during Census 2021.
    • RTI Response: When questioned about the meeting’s minutes, the Office of Registrar General of India (ORGI) claimed they did not maintain records of deliberations on this matter before the Ministry of Home Affairs’ announcement.

    Conclusion

    • A caste-based census is against the idea of a casteless society envisaged by leaders like Babasaheb Ambedkar in the Constitution and will weaken ongoing efforts to create social harmony.
    • While proponents argue for better representation and targeted policies, opponents emphasize the importance of moving towards a casteless society.

  • Takeaways from Bihar caste survey

    caste

    What’s the news?

    • The Bihar caste survey was released by the state government on October 2.

    Central idea

    • The recent release of the Bihar caste survey results has unveiled a complex tapestry of demographics in the state, bringing to the forefront the intricate interplay of caste politics. With EBCs and OBCs cumulatively constituting more than 63% of the population, the dynamics of political representation and reservation are poised for transformation.

    What is a caste-based survey?

    • A caste-based survey is a comprehensive data collection initiative launched by the Bihar state government in India.
    • The primary objective is to gain a deeper understanding of the living conditions and economic status of different communities, especially those that have historically faced marginalization and socio-economic disadvantage.

    Key Findings of the Survey

    • Demographic Breakdown:
    • The survey reveals a diverse demographic landscape in Bihar.
    • The EBCs, comprising 36.01% of the population, emerge as the largest social group,
    • Followed by OBCs at 27.12% and
    • Scheduled Castes (SCs) at 19.65%.
    • Scheduled Tribes (STs) account for a mere 1.68%, primarily due to the bifurcation of Jharkhand in 2000.
    • The unreserved category constitutes 15.52% of the population.
    • Religious Composition:
    • Bihar’s population, according to the survey, stands at 13,07,25,310, compared to the 10.41 crore recorded in the 2011 census.
    • Hindus make up 81.99% of the population, while Muslims account for 17.72%. Other religious denominations have minuscule populations.

    Survey Execution

    • The survey was undertaken following unanimous agreement among political parties in Bihar.
    • It was conducted in two phases.
    1. The first phase involved a household count from January 7 to 21.
    2. The second phase, initiated on April 15, aimed to collect data on castes, religions, economic backgrounds, and family size.
    • The survey faced legal challenges initially but was allowed to proceed after being labeled a survey rather than a census.

    Significance of Survey Findings

    • Changing Political Landscape: The survey highlights the evolving political landscape, where identity politics based on reservation and backward caste assertion is losing its grip. This shift has been influenced by the BJP’s outreach to OBCs through Hindutva and welfare measures.
    • Opportunity for Opposition: The survey results could provide an opportunity for the JD(U)-RJD alliance and other opposition parties to mobilize backward classes, potentially pressuring the BJP to conduct a nationwide caste census.
    • Demand for Quotas: The survey data may fuel demands to increase the OBC quota beyond 27% and introduce a quota within a quota for EBCs, especially in light of the Justice Rohini Commission’s pending recommendations.
    • Reservation Ceiling Debate: The survey’s findings could reignite the long-standing debate over the 50% reservation ceiling imposed by the Supreme Court, which has hindered states from expanding reservations.

    Impact on Upcoming Elections

    • The caste survey findings are likely to have a significant impact on the upcoming Lok Sabha and Bihar Assembly elections.
    • With EBCs, OBCs, and SCs representing over 82% of Bihar’s population, these groups will be key electoral battlegrounds.
    • Leaders like Lalu Prasad and Nitish Kumar are still seen as primary representatives of these communities, while the BJP faces the challenge of navigating Bihar’s complex caste dynamics.

    Rationale Behind a Caste Census

    • Incomplete Data: The standard Census focuses solely on SC and ST data, leaving a substantial void in comprehending the socio-economic aspects of OBCs and their subdivisions.
    • Targeted Policies: A lack of comprehensive data obstructs the creation of effective policies tailored to the distinct requirements of different caste groups.
    • Equitable Development: The caste census has the potential to reveal disparities within various castes, enabling customized development strategies for historically marginalized communities.
    • Historical and Contemporary Insights: With deep historical roots, the caste system’s evolution can be better understood through a comprehensive census that captures both historical and contemporary dynamics.
    • Constitutional Clarification: Legal scrutiny over caste surveys provides clarity on the authority to conduct such initiatives, delineating roles between state and central governments.
    • Evidence-Based Decision-Making: In a data-centric era, decisions grounded in concrete socio-economic data hold greater potential for equitable and effective governance.

    Conclusion

    • The Bihar caste survey has unveiled a complex web of caste demographics that will shape the state’s political landscape. It has the potential to rekindle debates on reservation policies, mobilize backward classes, and influence electoral outcomes. As Bihar prepares for crucial elections, the survey’s impact on political strategies and alliances remains to be seen.

    Also read:

    The Caste Census and Mandal Politics: Analysis

  • Building BRICS for the future

    What’s the news?

    • The recent BRICS summit held in South Africa introduced six new members to the grouping, drawing mixed reactions regarding its productivity.

    “If things go right, in less than 40 years, the BRICS economies together could be larger than the G6 in U.S. dollar terms.” Goldman Sachs in 2003”

    Central idea

    • The recent BRICS summit held in South Africa may not have yielded immediate tangible results, but it’s essential to view BRICS through its evolving dynamics rather than a single meeting’s outcomes.

    Background: Economic Compulsion

    • BRICS, consisting of Brazil, Russia, India, China, and South Africa, emerged primarily out of economic compulsion.
    • Unlike military alliances or security coalitions, BRICS focuses on economic cooperation and mutual benefit.
    • With a combined GDP representing 36% of the global GDP and a population projected to reach 47% of the world’s total by 2050, BRICS possesses immense long-term potential.
    • Furthermore, expanding its membership could challenge the dominance of the G7 countries.

    The significance of BRICS as an economic powerhouse

    • Economic Size: The BRICS, composed of Brazil, Russia, India, China, and South Africa, collectively represent 36% of the global GDP. This substantial economic size gives the group considerable influence in global economic matters.
    • Population: BRICS countries house nearly half of the world’s population, and this demographic advantage provides a significant consumer market and labor force, contributing to their economic significance.
    • Rapid Growth: Two BRICS members, China and India, are among the fastest-growing economies globally. They are expected to rank among the world’s top three economies by 2030, further enhancing the economic clout of the BRICS.
    • Investment Opportunities: BRICS nations are seen as attractive investment destinations, with governments encouraging both domestic and foreign investments. The growth prospects in these countries make them appealing to investors.
    • Infrastructure Development: BRICS countries are investing heavily in infrastructure development, including transportation, energy, and technology projects. These investments create opportunities for businesses and stimulate economic growth.
    • Collective Economic Initiatives: BRICS nations have established institutions like the New Development Bank (NDB) and the Contingent Reserve Arrangement (CRA), aimed at enhancing financial cooperation and stability within the group.

    China and India’s Role

    • Two BRICS members, China and India, collectively account for one-third of the world’s population. Both nations are rapidly growing economies, poised to become top-three global economies by 2030.
    • Despite occasional political tensions, their economic cooperation continues to flourish. Trade between India and China is evidence that economic interests often outweigh political differences, emphasizing the pivotal role of economics in international relations.

    BRICS as an alternative to an increasingly polarized world

    • Global polarization:
    • Global polarization has led to concerns about the U.S.’s aggressive stance toward China. Many countries seek alternatives, including China.
    • Within the BRICS, China is a member but not the dominant player, providing a counterbalance with democratic countries like India, South Africa, and Brazil.
    • In an increasingly interconnected world, countries are looking for alternatives to mitigate their dependence on a single superpower.
    • Dollar Dominance and Digital Currencies:
    • The U.S. dollar has long been the dominant global currency, but the rise of digital platforms presents a shift toward digital currencies. India and China are leading in this transition, advocating for increased trade and investment in their own currencies.
    • Through BRICS, they can collectively promote their currencies as alternatives to the dollar, further converging their interests.
    • Diversified opportunities:
    • The search for alternatives extends beyond BRICS to movements like the Non-Aligned Movement, which offers a new approach to global challenges.
    • As BRICS expands, it will create numerous trade, business, and investment protocols, akin to other free trade arrangements and economic blocs, providing diversified opportunities for member nations.

    Africa: The Continent of the Future

    • Africa is poised for significant economic growth in the 21st century.
    • The negative image of Europe, marked by interventions and migrant treatment, has driven Africans to explore China’s development more closely.
    • African countries aspire to have the freedom to choose their investment and trade partners, and BRICS, especially India, seeks to strengthen its ties with the African Union, recognizing the continent’s potential.

    Conclusion

    • BRICS may not always make headlines, but each summit contributes to building a foundation for future networks and collaborations. As Goldman Sachs foresaw in 2003, “If things go right, in less than 40 years, the BRICS economies together could be larger than the G6 in U.S. dollar terms.” The future of BRICS lies in its ability to harness its economic might for the benefit of its members and the world.

    Also read:

    The implications of the expansion of BRICS

  • Challenges with MGNREGA’s Social Audit Mechanism

    Central Idea

    What is MGNREGS?

    Enacted Under Mahatma Gandhi National Rural Employment Guarantee Act of 2005
    Objective To guarantee the ‘Right to Work’ by providing employment opportunities for unskilled workers in rural areas.
    Origin Proposed in 1991 by V. Narasimha Rao and later enacted in 2005.
    Duration of Employment At least 100 days of employment is guaranteed to willing unskilled workers.
    Enforceable Commitment The scheme ensures an enforceable commitment on the implementing machinery, which is the State Governments, providing bargaining power to the laborers.
    Unemployment Allowance If employment is not provided within 15 days of receiving a job application from a prospective household, an unemployment allowance is paid to the job seekers.
    Eligibility Criteria Any Indian citizen above the age of 18 years residing in rural India can apply for the MGNREGS scheme. Applicants should be willing to engage in unskilled work.
    Geographical Proximity Employment is to be provided within 5 km of an applicant’s residence.
    Minimum Wages Minimum wages are to be paid for the work done under MGNREGS.
    Legal Entitlement Employment under MGNREGS is considered a legal entitlement.

    Issue of Inadequate Fund Recovery

    • Current Recovery Rates: Statistics from the Union Rural Development Ministry for the ongoing financial year indicate that less than 14% of the amount flagged by auditors has been successfully recovered.
    • Past Years’ Performance: The recovery figures for previous financial years paint a similarly bleak picture, with poor outcomes:
      1. 2022-23: ₹86.2 crore was identified as recoverable, but only ₹18 crore (20.8%) was retrieved.
      2. 2021-22: ₹171 crore misappropriation was flagged, but only ₹26 crore (15%) was recovered.
    • Social Audit Unit Independence: Section 17 of the MGNREGA Act mandates gram sabhas to monitor work execution, with independent social audit units in each state responsible for uncovering malpractice. However, their scope is limited to flagging issues, leaving recovery actions to state governments.

    Fund-Starved Audit Units

    • Seminar Insights: A recent Ministry seminar revealed a concerning scenario of underfunded social audit units lacking adequate training and personnel. These units play a crucial role in identifying cases of malpractice.
    • Funding Delay Issues: While the Union government funds these audit units to maintain their independence from state authorities, units in some states, such as Karnataka and Bihar, have faced funding delays for nearly two years.

    Poor Monitoring and Recovery

    • Consistent State Trends: Over the past three years, certain states consistently report “zero number of cases” and “zero recoveries,” casting doubt on the effectiveness of monitoring efforts.
    • Examples of Poor Recovery: States like Telangana have active social audit units flagging numerous cases, yet the recovery rates remain dismal. For instance, in the ongoing financial year, auditors identified ₹6.6 crore for recovery, but only ₹2,087 has been recuperated so far.
    • Vigilance and Pressure: While the Centre’s vigilance and pressure on states to recover misappropriated funds are appreciated, there are concerns regarding states that identify multiple cases but struggle with recovery. Furthermore, states reporting no cases indicate a lack of effective monitoring.

    Conclusion

    • Challenging Recovery Landscape: The MGNREGA scheme’s social audit units serve as a crucial mechanism to combat corruption, but the inadequate recovery of embezzled funds threatens their credibility.
    • Need for Adequate Resources: To make the audit process effective, it is imperative to ensure that social audit units are adequately funded, trained, and staffed.
    • Balancing Act: Balancing scrutiny with recovery actions is vital to enhance the transparency and integrity of the MGNREGA scheme, which plays a pivotal role in rural employment and development.

  • Concerns of using Aadhaar in Welfare Schemes

    Aadhaar

    Central Idea

    • Moody’s Investor Service released a report titled ‘Decentralised Finance and Digital Assets,’ advocating for decentralized digital identity systems over centralised biometric systems like India’s Aadhaar.
    • The report raises concerns about security and privacy vulnerabilities associated with Aadhaar (being managed by Govt of India) and questions its effectiveness.

    India’s Response to Moody’s Report

    • In response to Moody’s report, the Indian government strongly defended Aadhaar, asserting that it is “the most trusted digital ID in the world.”
    • The government highlighted Aadhaar’s integration with the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) database, emphasizing that workers can receive payments without biometric authentication.

    Aadhaar: Rationale and Objectives

    • Unique Identification: Aadhaar is a unique identification number provided to all Indian residents by the Unique Identification Authority of India (UIDAI). It collects demographic details, biometric fingerprints, and iris scans during enrolment, aiming to create a unique identity for residents.
    • Fighting Corruption: Aadhaar’s primary objectives include curbing corruption in accessing welfare programs by eliminating “ghost” and “fake” individuals who fraudulently claim benefits.

    Aadhaar’s Role in Welfare Programs

    • Ration Distribution: Aadhaar is used to authenticate individuals accessing rations under the Public Distribution System, ensuring that beneficiaries receive their entitled portions.
    • Government-to-Citizen Transfers: The government employs Aadhaar for various cash transfer programs, claiming substantial savings by eliminating fraudulent beneficiaries.

    Aadhaar in Cash Withdrawals

    • Authentication Process: To enable payments through Aadhaar for MGNREGA, three steps are involved: linking Aadhaar to job cards, linking Aadhaar to bank accounts, and linking Aadhaar correctly with the National Payments Corporation of India for payment processing.
    • AePS Platform: Aadhaar-enabled Payment System (AePS) allows individuals to withdraw money from Aadhaar-linked bank accounts using biometric authentication.

    Concerns Surrounding Aadhaar

    • Quantity Fraud: Critics argue that Aadhaar fails to address issues like quantity fraud, where beneficiaries receive less than their entitled share. This type of corruption remains prevalent, with Aadhaar unable to detect or prevent it.
    • Authentication Challenges: Rural areas face authentication challenges due to unreliable internet, fading fingerprints, and inadequate phone connectivity for OTPs. Vulnerable groups, such as older women and people with disabilities, face exclusion.
    • Lack of Data Transparency: Information regarding authentication attempts and failures is not publicly available, hindering transparency.
    • Payment Failures: Errors at any stage of Aadhaar-based payments can lead to payment failures. Mismatches in data between job cards and Aadhaar databases can result in authentication failures.
    • Misdirection of Payments: Misdirected payments through Aadhaar are difficult to detect and resolve, creating issues when Aadhaar numbers are linked to the wrong bank accounts.
    • Financial Exclusion: Critics argue that Aadhaar-based authentication requirements can lead to financial exclusion for certain groups.

    Security Concerns

    • AePS Accountability: Banking correspondents using AePS operate without accountability frameworks, leading to potential misuse and unauthorized access to bank accounts.
    • Multiple Authentications: Some banking correspondents ask individuals to authenticate multiple times, providing them access to individuals’ bank accounts without consent.
    • Fraud and Scams: Several reports highlight instances of money withdrawal and enrollment in government programs without individuals’ knowledge through AePS.

    Current Impasse

    • Resistance to Mandatory Aadhaar: The government’s efforts to make Aadhaar-based payments mandatory in MGNREGA have faced resistance from workers and field officials.
    • Deletion of Job Cards: Reports indicate that the job cards of active rural workers have been deleted on grounds of being “ghosts,” raising concerns about data accuracy.
    • Apprehensions: Critics express apprehensions based on their experience with Aadhaar in welfare programs, emphasizing the need for pilots and evidence-based decision-making.

    Conclusion

    • The debate between centralized biometric systems like Aadhaar and decentralized digital identity solutions remains ongoing, with concerns regarding security, inclusivity, and transparency at the forefront of discussions.

  • An ageing India needs age-responsive TB care

    What’s the news?

    • TB, which affects over 25 lakh Indians every year and kills at least 1,000 every day, As India is on the cusp of a demographic shift, with the elderly population set to comprise a substantial portion of society, it is imperative to invest in the health of our elderly population and pay attention to their unique needs.

    Central idea

    • Advances in healthcare and increased life expectancy are propelling India’s demographic transition, with the elderly projected to constitute 12.5% of the population by 2030, up from 9% in 2011. This underscores the urgent need for age-responsive healthcare systems to address the complexities of TB care among the elderly, aligning opportunity with responsibility.

    What is tuberculosis (TB)?

    • TB is an infectious disease caused by the bacterium Mycobacterium tuberculosis.
    • It primarily affects the lungs but can also affect other parts of the body, such as the kidneys, spine, and brain.
    • TB is transmitted through the air when an infected individual coughs, sneezes, or speaks, releasing tiny droplets containing the bacteria. When inhaled by others, these droplets can lead to infection.

    The Burden of TB among the Elderly

    • Recent findings from India’s National TB Prevalence Survey in 2021 reveal a concerning trend: the prevalence of TB among individuals aged 55 and above stands at 588 per one lakh population, significantly higher than the national average of 316.
    • This alarming disparity necessitates a dedicated focus on TB among the elderly and the formulation of age-specific TB guidelines.

    Challenges faced by elderly TB patients

    • Delayed Diagnosis: TB symptoms, including cough, fatigue, and weight loss, are often misinterpreted as signs of old age or other illnesses. Consequently, TB diagnoses among the elderly are frequently delayed or overlooked.
    • Comorbidities: Many elderly TB patients have multiple comorbidities, especially diabetes, which complicates TB management. This leads to a higher pill count and an increased likelihood of side effects, affecting treatment adherence and outcomes.
    • Access to Healthcare: Elderly individuals, particularly those in rural and hilly areas, struggle to access healthcare facilities due to mobility challenges. This can lead to delays in seeking medical care.
    • Limited Information: Older individuals may have restricted access to reliable health information, as their social networks tend to shrink with age. This lack of information hampers their ability to recognize TB symptoms and seek timely medical attention.
    • Economic Dependence: Most individuals over the age of 60 are retired and financially dependent on savings or family. While there are some social welfare schemes for the elderly, they often have limitations and may not provide adequate financial support.
    • Stigma and Mental Health: TB-related stigma is a concern among the elderly, contributing to social isolation. Many elderly TB patients experience loneliness, anxiety, and a sense of purposelessness, negatively impacting their mental health.

    Strategies to address these challenges and provide elder-friendly TB care

    • Holistic Care Models: Transition from disease-specific care to holistic models that reduce the need for elderly patients to interact with multiple healthcare providers and facilities.
    • Health Professional Training: Build the capacity of healthcare professionals at all levels to better understand TB in the elderly and manage multiple comorbidities effectively.
    • Improved Case-Finding: Enhance case-finding mechanisms through effective sputum collection and transportation systems, mobile diagnostic vans, and active case-finding at geriatric OPDs and residential homes.
    • Technical Protocols: Develop technical and operational protocols that guide the diagnosis and treatment of TB in the elderly, including sample extraction, comorbidity assessment, and drug dosage adjustments.
    • Socio-Economic Support: Design and implement support protocols in consultation with elderly TB patients, including community care models, doorstep medicine delivery, peer support, counseling, and assistance with accessing social support schemes.
    • Data Collection and Analysis: Ensure rigorous gender and age-disaggregated data collection and analysis to identify TB trends among the elderly, with a dedicated age category in all TB reports.
    • Strengthen Collaboration: Foster collaboration within the healthcare system to build elderly-friendly care systems effectively.
    • Research Agenda: Promote research focused on TB in the elderly, exploring state-specific trends, substance use, drug resistance, co-morbidity patterns, TB preventive therapy uptake, and intersectionality with other equity aspects.

    Conclusion

    • On this International Day of Older Persons, India must reaffirm its commitment to the well-being of its elderly citizens. By implementing age-responsive TB care models, strengthening healthcare systems, and conducting focused research, we can pave the way for a healthier, more inclusive future for our aging population.

    Also read:

    India’s diabetes epidemic is making its widespread TB problem worse