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  • Interim Stay on Taxation of Online Games

    Central Idea

    • The Supreme Court has issued an interim stay on the Karnataka High Court’s ruling that online games, such as rummy, should not be taxed as ‘betting’ and ‘gambling’ under the Central Goods and Services (GST) Act, 2017.
    • This decision follows the Union Cabinet’s approval to increase the GST rate for online games from 18% to 28%.
    • The interim stay aligns online skill games played for stakes with online gambling for taxation purposes.

    Why discuss this?

    • The GST department had issued a show-cause notice to a company for dues worth Rs 21,000 crore, which was quashed by the Karnataka High Court.
    • The Karnataka HC had ruled that online rummy is a game of skill and should not be taxed as gambling.

    Taxing Online Games

    • Karnataka High Court Ruling: The Karnataka HC had determined that online rummy is substantially a game of skill, not chance, and should not be considered gambling. This ruling was based on the Goods and Services Act, which taxes games of skill at 19% and games of chance at 28%.
    • GST Department’s Notice: The GST department had issued a notice to GamesKraft under Section 74(5) of the CGST Act, demanding a substantial sum to be deposited along with interest and penalty by September 16, 2022. This notice was challenged in the Karnataka HC and led to an interim stay.
    • Show-Cause Notice: Following the interim stay, the GST department issued a show-cause notice under Section 74(1) of the CGST Act to GamesKraft and its founders, CEOs, and CFOs. This notice sought an explanation regarding the tax evasion and penalties.
    • Distinction between Skill and Chance: The Karnataka HC emphasized the distinction between games of skill and games of chance, citing relevant legal precedents. It noted that the question of whether a game of skill could still be classified as gambling remained to be seen.

    Key takeaways

    • The Supreme Court’s interim stay temporarily taxes online skill games played for stakes on par with online gambling.
    • The Karnataka High Court’s ruling that online rummy is a game of skill and not gambling has been challenged by the GST department.
    • Legal distinctions between games of skill and games of chance remain a subject of debate and legal scrutiny in India’s taxation system.

    Prospects of online gaming

    • State List Subject:  The state legislators are, vide Entry No. 34 of List II (State List) of the Seventh Schedule, given exclusive power to make laws relating to betting and gambling.
    • Distinction in laws: Most Indian states regulate gaming on the basis of a distinction in law between ‘games of skill’ and ‘games of chance’.
    • Classification of the dominant element: As such, a ‘dominant element’ test is utilized to determine whether chance or skill is the dominating element in determining the result of the game.
    • Linked economic activity: Staking money or property on the outcome of a ‘game of chance’ is prohibited and subjects the guilty parties to criminal sanctions.
    • ‘Game of Skill’ debate: Placing any stakes on the outcome of a ‘game of skill’ is not illegal per se and may be permissible. It is important to note that the Supreme Court recognized that no game is purely a ‘game of skill’ and almost all games have an element of chance.

    Conclusion

    • This case reflects the need for a nuanced approach in crafting tax policies that adapt to the evolving landscape of online entertainment and gaming.
    • Further legal proceedings will likely shed more light on the classification of such games and their tax implications.
  • G-20 Summit clinches New Delhi Declaration

    new delhi declaration

    Central Idea

    • At the G20 Summit in New Delhi, leaders from member countries reached a consensus and adopted the New Delhi Declaration.
    • This declaration outlines significant commitments and agreements on various global issues.

    Here are the key points from the G20 New Delhi Leaders’ Declaration:

    [1] War in Ukraine

    • Peaceful Resolution: The G20 countries emphasize the importance of peace and call on all states to uphold the principles of international law, including territorial integrity and sovereignty.
    • Humanitarian Concerns: The declaration expresses deep concern about the human suffering and adverse impacts of wars and conflicts worldwide, specifically addressing the war in Ukraine.
    • UN Charter Principles: It emphasizes that all states must act in accordance with the Purposes and Principles of the UN Charter, refraining from the threat or use of force to seek territorial acquisition.
    • Nuclear Disarmament: The use or threat of use of nuclear weapons is deemed inadmissible.

    [2] Countering Terrorism and Money Laundering

    • Condemnation of Terrorism: The G20 condemns terrorism in all its forms, including those rooted in xenophobia, racism, and intolerance or carried out in the name of religion.
    • Holistic Approach: A holistic approach based on international law is advocated to effectively counter terrorism, with an emphasis on strengthening international cooperation to deny terrorist groups safe haven, freedom of operations, and financial support.
    • Illicit Trafficking: Concerns about illicit trafficking and diversion of small arms and light weapons are addressed, with an emphasis on international cooperation among states to combat these phenomena.
    • Financial Action Task Force (FATF): The G20 leaders commit to supporting the resource needs of the FATF and FATF Style Regional Bodies to combat money laundering and terrorist financing.

    [3] Economy & Climate

    • Sustainable Growth: G20 leaders call for strong, sustainable, and inclusive growth in response to the uneven recovery from the pandemic.
    • Climate Action: Trillions of dollars will be required for countries to meet their climate goals and invest in clean energy technologies.
    • Reforming Financial Institutions: Reforms of international financial institutions are urged, along with efforts to manage debt vulnerabilities in low and middle-income countries.
    • Crypto Asset Taxation: The exchange of tax-relevant information on crypto assets is set to begin by 2027.
    • Energy Transition: The declaration calls for accelerated efforts to phase down unabated coal power and eliminate inefficient fossil fuel subsidies.
    • Financial Stability: Emphasis is placed on the need for well-calibrated monetary, fiscal, financial, and structural policies to promote growth, reduce inequalities, and maintain macroeconomic and financial stability.

    [4] Global Growth

    • Policy Coordination: The G20 leaders reiterate the need for well-calibrated monetary, fiscal, financial, and structural policies to promote growth, reduce inequalities, and maintain macroeconomic and financial stability.
    • Central Banks Commitment: They also stress that central banks remain committed to achieving price stability in line with their respective mandates.
    • Financial Stability Board (FSB): Initiatives by the FSB, Standard Setting Bodies (SSBs), and jurisdictions to examine lessons from recent banking turbulence are welcomed.

    [5] Multilateral Development Banks

    • Enhancing MDBs: G20 leaders emphasize the importance of delivering better, bigger, and more effective multilateral development banks (MDBs).
    • Leveraging Private Capital: Financial institutions are encouraged to leverage private capital through innovative financing models and partnerships for maximum development impact.
    • Capital Adequacy Frameworks (CAFs): The roadmap for implementing the recommendations of the G20 Independent Review of MDBs CAFs is endorsed.

    [6] Cross-border Payments

    • Payment Improvements: The G20 reaffirms its commitment to achieving global targets for faster, cheaper, and more transparent cross-border payments by 2027.
    • CBDC Discussion: Discussions on the potential macro-financial implications of Central Bank Digital Currencies (CBDCs) are welcomed, especially concerning cross-border payments and the international monetary and financial system.

    [7] Education

    • Digital Education: The G20 recognizes the importance of investing in human capital development and supporting digital technologies to bridge educational divides.
    • Scientific Collaboration: The promotion of open, equitable, and secure scientific collaboration and mobility of students, scholars, researchers, and scientists is encouraged.
    • Inclusive Education: Emphasis is placed on inclusive, equitable, high-quality education and skills training, with foundational learning as a primary building block.

    [8] Agriculture

    • Trade Facilitation: Rising commodity prices contributing to cost of living pressures are addressed.
    • Rules-Based Trade: The G20 leaders commit to facilitating open, fair, predictable, and rules-based trade in agriculture, food, and fertilizers, in line with relevant WTO rules.
    • Food Security: Support for developing countries’ efforts to address food security challenges is emphasized, aligning with the G20 Deccan High-Level Principles on Food Security and Nutrition 2023.

    [9] Religion

    • Religious Tolerance: The G20 strongly condemns acts of religious hatred against individuals, religious symbols, and holy books.
    • Cultural Diversity: Emphasis is placed on promoting respect for religious and cultural diversity, dialogue, and tolerance.
    • Rights Interdependence: The interdependence of freedom of religion or belief, freedom of opinion or expression, peaceful assembly, and freedom of association is recognized as a means to combat intolerance and discrimination based on religion or belief.

    [10] Corruption

    • Zero Tolerance: The G20 reaffirms its commitment to zero tolerance for corruption.
    • International Cooperation: Strengthening international cooperation and information sharing for combating corruption is urged.
    • Asset Recovery: The joint Declaration also called for strengthening asset recovery mechanisms for combating corruption.

    Conclusion

    • In essence, the New Delhi Declaration serves as a testament to the collaborative efforts of G20 member countries in addressing global challenges and striving for a more prosperous, peaceful, and sustainable world.
  • How India made G20 a forum for developing countries

    Central idea

    • The G20 summit attracted attention as it started with a clear consensus to invite the African Union (AU) as its member. India’s initiative to include African Union in G20 was unanimously accepted. This was a unique reordering of the global high table.

    India’s efforts for inclusion of the African Union

    • India’s big bet: Of the AU’s 55 members, 54 are in the United Nations. Only one African country, South Africa, has been an original member of the G20. No presidency has ever risked amending the membership for fear of competing rivalries.
    • Global platform for Africa: It has been India’s case that not only must the G20 reflect the priorities of the Global South but must also include those who are underrepresented, particularly from Africa.
    • Inviting major African countries: The AU has double the number of countries as the EU. The AU has been invited to G20 meetings, and some presidencies have held African outreach events in a manner of telling them what is good for them. It is India that has actually taken the initiative of talking with them rather than at them.

    Importance of AU

    • Africa as the road to the global south: India aspires to bring the global south to the center of the G20 agenda. The elevation of the AU is courageous; no presidency has attempted to alter the composition for fear of claims from other regional organizations.
    • Branding itself using Africa: The AU fits in with the rebranding of the G20 that India undertook. This is India’s harambee (Swahili word for co-operation) factor—the spirit of developmental cooperation in action.
    • AU as a voiceless block: The AU is the largest of regional institutions and the one with a limited voice in most international fora, despite having 54 votes in the United Nations General Assembly.
    • Partner for India at the High Table: The prospects of Africa getting a permanent seat in the UN Security Council remain distant. What India has achieved, as always, is to provide Africa with a voice at the high table.

    India’s engagement with Arican Nations

    • Nigeria: Inviting Nigeria, particularly at this stage, recognizes it as the largest economy in Africa and a consistent friend of India. This is Nigeria’s biggest outing since President Bola Ahmed Tinubu was elected. Nigeria was qualified to be in the BRICS but perhaps did not pursue it hard enough. Nigeria participated with great enthusiasm, with a number of ministers accompanying their president in advance of the G20 Summit.
    • Egypt: Egypt is another African powerhouse, representing North Africa. It is also the current chair of AU-NEPAD, which is a permanent invitee to the G20. Egypt is a recent strategic partner of India. India backed it to join the BRICs. Egypt brings balance to the presence of South Africa and Nigeria.
    • Mauritius: Mauritius is a close friend of India due to its PIO population, its regular engagement with India, and its strategic location in the Indian Ocean.
    • Comoros: Comoros is another Indian Ocean country representing Eastern Africa. With their participation, India ensured two of the four African countries in the Indian Ocean and most of the regions of Africa were represented, making the G20 better balanced.

    Conclusion

    • The African Union is hot bed for great power rivalry between India and China. Even if India cannot match the deep pockets of Chinese investments in Africa, India has shown that it can deliver on the African Interest at global platform.
  • An overhaul, the criminal law Bills, and the big picture

    What’s the news?

    • The government recently introduced three key penal bills in a bid to reform the justice system.

    Central idea

    • In August, the central government introduced three significant bills in Parliament – Bharatiya Nyaya Sanhita (BNS), 2023, Bharatiya Nagarik Suraksha Sanhita (BNSS), 2023, and Bharatiya Sakshya (BS) Bill, 2023 – aiming to replace the long-standing Indian Penal Code, 1860, Code of Criminal Procedure (CrPC), 1973, and Indian Evidence Act, 1872. These changes warrant a careful examination of their potential impact on law enforcement agencies

    Key changes in The Bharatiya Nagarik Suraksha Sanhita (BNSS)

    • Formalizing FIR Registration:
    • The BNSS introduces a provision that mandates the registration of cognizable offenses at any police station, regardless of the location where the offense occurred.
    • This move, commonly known as recording FIR at Zero, promises easier access for complainants and streamlines the registration process.
    • Preliminary Inquiry Dilemma:
    • An added provision allows for a preliminary inquiry in cases involving cognizable offenses punishable with more than three but less than seven years of imprisonment.
    • This differs from the Supreme Court’s stance in Lalita Kumari versus Govt. of Uttar Pradesh (2013), which emphasized immediate FIR registration.
    • Restrictions on Arrest:
    • In cases of offenses punishable with less than three years of imprisonment, the BNSS permits arrests only with the prior permission of the Deputy Superintendent of Police for individuals over 60 or infirm.
    • Handcuffing Guidelines:
    • The BNSS permits handcuffing in specific instances like terrorism, murder, rape, acid attacks, or offenses against the state.
    • However, the enabling section retains the requirement that restraints should only be used as necessary to prevent escape.
    • Hence, the Supreme Court’s guidelines on handcuffing continue to apply.

    At the Scene of the Crime

    • Forensic Evidence Collection:  The BNSS mandates a forensic expert’s visit to the crime scene and the collection of forensic evidence for offenses punishable with over seven years of imprisonment.
    • Use of Audio-Video Means:
    • The BNSS encourages the use of audio-video recording in investigations, including searches.
    • While the recommended use of smartphones has limitations, progress is underway, following the Supreme Court’s directive in Shafhi Mohammad vs. The State Of Himachal Pradesh (2018).
    • Two-Finger Test: Despite the Supreme Court’s ban on the two-finger test in rape cases (Lillu @ Rajesh & Anr vs State Of Haryana, 2013), the BNSS fails to explicitly include this prohibition.
    • Disclosure of Rape Victim’s Identity:  The provision authorizing the disclosure of a minor victim’s identity to their next of kin may be redundant, given the existing Protection of Children from Sexual Offenses Act.

    Duration of Police Custody

    • Extended Police Custody:
    • The BNSS extends the period of police custody beyond the 15-day limit outlined in the CrPC.
    • However, this extension can only occur after the initial 40 or 60 days, depending on the offense’s severity, with the accused still eligible for default bail.
    • Suspicious Deaths and Statements: While the BNSS broadens the scope of judicial inquiries into suspicious deaths, it relaxes the mandatory recording of statements of women and males under 15 or above 60 at their residence based on their willingness.
    • Inquest Enhancements: The BNSS could enhance the inquest process by including provisions for the videography and photography of post-mortems, especially in cases of custodial deaths or deaths in confrontations with authorities.

    Potential Impact

    • Streamlined FIR Registration: The formalized recording FIR at Zero practice may lead to quicker and more efficient FIR registration. Law enforcement agencies could experience reduced paperwork and administrative burdens, allowing them to focus on investigations promptly.
    • Reduced Case Backlog: The provision for preliminary inquiries, while introducing a variation from previous practices, has the potential to reduce the backlog of cases. By addressing non-prima facie cases early or facilitating compromises, law enforcement agencies may clear cases more efficiently.
    • Improved Evidence Collection: Mandating forensic expert visits and forensic evidence collection for serious offenses can enhance the quality of evidence presented in court. Law enforcement agencies may see stronger cases and higher conviction rates.
    • Enhanced Accountability: Encouraging the use of audio-video means in investigations increases transparency and accountability. Law enforcement agencies may benefit from clearer evidence documentation and reduced allegations of misconduct.
    • Modernization through Technology: Embracing audio-video recording and other modern technologies can help law enforcement agencies adapt to contemporary investigative practices. This could lead to more effective and efficient investigations.

    Concerns and Challenges

    • Arrest Protocol: The BNSS retains all existing provisions of the CrPC regarding arrests, failing to incorporate the Supreme Court’s ruling in Arnesh Kumar versus State of Bihar (2014), which stresses the need for justifiable reasons for arrest and recording them formally.
    • Variation in Practice: The introduction of preliminary inquiries may lead to variations in how law enforcement agencies handle cases. Inconsistent practices could pose challenges for standardization and training.
    • Resource Allocation: Implementing forensic evidence collection may require additional resources, including forensic experts and equipment. Law enforcement agencies may need adequate funding and training to meet these demands.
    • Misuse of Powers: Concerns about potential misuse of provisions, such as handcuffing, need to be addressed through proper training and oversight to ensure responsible use of authority.
    • Compliance with Supreme Court Directives: The absence of an explicit ban on the two-finger test in rape cases may raise concerns about compliance with Supreme Court directives. Law enforcement agencies should ensure alignment with established legal standards.
    • Privacy and Victim Protection: Authorizing the disclosure of a minor rape victim’s identity to their next of kin requires sensitivity and strict adherence to privacy and protection provisions. Law enforcement agencies should handle such information with care.

    Way forward

    • Review Preliminary Inquiry Provision: Reevaluate the provision allowing preliminary inquiries to ensure it aligns intelligently with other cognizable cases and stands up to constitutional scrutiny.
    • Implement Arrest Justification: Include the Supreme Court’s Arnesh Kumar vs. State of Bihar (2014) judgment to make it mandatory for police officers to justify arrests with reasons supported by justifiable material.
    • Enhance Forensic Infrastructure: Commit to providing sufficient resources for developing forensic infrastructure, including technology and manpower, to strengthen evidence collection and analysis.
    • Modernize Investigation Techniques: Develop facilities for videography and photography of crime scenes during investigations at the police station level, embracing modern technology for evidence documentation.
    • Ban Two-Finger Test: Explicitly include the ban on the two-finger test in rape cases to ensure compliance with the Supreme Court’s directives and protect the dignity and privacy of survivors.
    • Comprehensive Police Reformation: Recognize the need for comprehensive police reformation, addressing challenges such as understaffing, poor mobility, insufficient training infrastructure, and inadequate housing facilities, to ensure a more effective and accountable law enforcement system.

    Conclusion

    • While some proposed changes in the BNSS demonstrate progress, they do not qualify as groundbreaking or radical. It is crucial to remember that police stations face numerous challenges, including understaffing, limited resources, inadequate training infrastructure, and poor housing facilities. To bring about true reform, a comprehensive approach to police reformation, rather than merely tweaking legal provisions, is necessary.
  • African Union’s Entry into G-20: A Global Diplomatic Shift

    african union

    Central Idea

    • Negotiators confirm the African Union (AU) will join the G-20, mirroring the European Union (EU) as a regional body within the group.
    • India views this development as a significant achievement for the Indian Presidency in advancing the Global South’s interests in the G-20.

    Landmark Diplomatic Shift in G20

    • The AU’s potential entry into the G-20 signals a significant diplomatic shift, expanding the group’s representation and influence.
    • China and Russia, despite differences on other issues, back the AU’s membership, highlighting the broader global dynamics at play.

    What is the African Union?

    • The African Union (AU) is an intergovernmental organization in Africa.
    • It was established in 2002 as a successor to the Organization of African Unity (OAU).
    • It consists of 55 member states in Africa.
    • Its primary objectives include promoting unity, cooperation, and development across the continent.
    • It aims to address social, political, and economic challenges faced by African nations.
    • It promotes peace, security, and stability in Africa.

    History of India-Africa Relations

    (1) Ancient Period:

    • Ancient trade links: Indian merchants traded with the African coast for valuable goods like palm oil, gold, spices, and ivory.
    • Maritime trade network: Trade routes expanded from Egypt to northern Somalia, Punt, Sudan, and Axum, enhancing economic and cultural ties.

    (2) Medieval Era:

    • Indian presence in East Africa: Gujarati and Saurashtrian merchants played a significant role in Africa’s east coast trade, using Indian systems of weights, measures, and currency.
    • Development of internal links: Indian trade contributed to the development of internal connections within Africa, even before European involvement.

    (3) Colonial Period:

    • Impact of European colonialism: Indian presence in Africa changed under European colonial powers.
    • Anti-apartheid struggle: Mahatma Gandhi’s involvement in the anti-apartheid movement in South Africa laid the foundation for India’s solidarity with Africa.
    • Advocacy against apartheid: India actively raised the issue of apartheid in international forums like the UN, NAM, and Commonwealth.

    (4) Post-Colonial Period:

    • Continuation of Afro-Asian solidarity: India’s approach to Africa has been guided by the vision of commerce in ideas and services rather than raw materials.
    • Phases of engagement: From Nehru’s focus on Afro-Asian solidarity to phases of neglect and re-engagement, India’s Africa policy evolved.

    Present Status of Ties

    • Institutionalization of relations: The India-Africa Forum Summit serves as the framework for India-Africa relations under South-South Cooperation.
    • Expanded diplomatic presence: India announced the opening of embassies in 18 African countries, strengthening diplomatic ties.
    • Economic engagement: Bilateral trade between India and Africa has grown significantly, with India becoming Africa’s third-largest trade partner.
    • Investment and development cooperation: Indian investments in Africa have increased, with the country being the seventh-largest investor in the region.
    • Lines of Credit (LoC): India’s concessional LoCs support development projects in Africa, with 182 projects sanctioned, amounting to US$10.5 billion.
    • Bilateral cooperation: Collaboration includes areas such as solar energy, climate change, information technology, maritime security, counter-terrorism, and military training.
    • Soft power projection: India’s ITEC program offers scholarships to African students, and the Indian diaspora contributes to cultural exchange.

    Significance of Africa

    (1) Geostrategic Importance:

    • Proximity to India: Africa’s Horn region is critical for India’s security due to emerging threats like radicalism, piracy, and organized crime.

    (2) Economic Significance:

    • Diversifying energy sources: Africa can help India diversify its energy sources, aligning with the Integrated Energy Policy.
    • Rich resources: Africa possesses valuable minerals, metals, and abundant agricultural land, addressing India’s need for food security and resources.
    • Market and investment opportunities: Africa provides a space for Indian investments and trade expansion, fostering economic cooperation.

    (3) Geopolitical Considerations:

    • Support for UNSC seat: Africa’s support is crucial for India’s aspiration to gain a permanent seat on the UN Security Council.
    • Projection of soft and hard power: India showcases its soft and hard power in Africa, contributing to its global influence.
    • Peacekeeping and capacity building: India actively participates in UN peacekeeping operations and supports capacity building in African countries, strengthening bilateral ties.

    Various Challenges

    • Declining trade and investment: Bilateral trade and Indian investments in Africa have witnessed fluctuations, demanding efforts to enhance economic ties.
    • Short-term focus: LoCs have primarily funded small-scale projects, lacking a broader development perspective.
    • Competition from other powers: India faces competition from other countries like China, Brazil, and Russia, engaging Africa in various sectors.
    • Lack of synchronization: Development instruments like LoCs, grants, and capacity-building initiatives operate independently, lacking coordination.
    • Instances of racial attacks: Incidents of violence against African students in India pose challenges to people-to-people connections.

    Chinese Challenge in Africa

    • China’s extensive investments in Africa have significantly impacted the region across infrastructure, finance, natural resources, and maritime interests.
    • Access to resources, untapped markets, and support for the “One China Policy” drive China’s engagement.

    Strategies for India

    • Develop a focused Africa strategy: India should formulate a comprehensive strategy for the next decade, identifying key areas of cooperation.
    • Focus on capacity building: Investing in human capital is crucial for sustainable development in Africa.
    • Collaborate with civil society organizations and diaspora: Indian organizations and the diaspora can play a vital role in implementing development projects at lower costs.
    • Ensure timely project completion: Efforts should be made to expedite LoC projects, learning from countries with better implementation records.

    Steps taken so far

    • Indian Technical and Economic Cooperation (ITEC) program: India’s ITEC program provides technical assistance to African countries, with around 50% of ITEC slots reserved for Africa.
    • Asia-Africa Growth Corridor: The AAGC, a cooperation agreement between India, Japan, and African countries, aims for inclusive development.
    • Pan African e-Network: The PAeN facilitates tele-education and telemedicine in Africa, contributing to technological advancement.
    • Maritime cooperation: India’s collaboration with African nations in the maritime domain, exemplified by joint exercises, promotes regional security.
    • Peacekeeping operations: India actively participates in UN peacekeeping operations in Africa, supporting African counter-terrorism efforts and capacity building.
    • Duty-free tariff preferential scheme: India’s scheme benefits African nations, and the India-Africa Forum Summit plays a vital role in strengthening ties.
    • India Africa Defence Ministers conclave: Initiatives like this enhance defence cooperation and bilateral relations.

    Way Forward

    • Enhance mutual engagement: Organize the pending fourth India-Africa Forum Summit to further strengthen the relationship.
    • Allocate fresh financial resources: Allocate new resources for grants and concessional loans, prioritizing economic relations.
    • Focus on emerging sectors: Develop collaborations in health, space, and digital technologies to give a 21st-century dimension to the partnership.
    • Continued support in peacekeeping: Sustain India’s contributions to peacekeeping, counter-terrorism, and capacity building in Africa.
    • Improve experiences of Africans in India: Ensure the safety and well-being of Africans studying or working in India, promoting people-to-people connections.
    • Promote development-friendly private investments: Align development cooperation with commercial interests to support mutually beneficial projects.
    • Strengthen international cooperation: Collaborate with international allies to address the China challenge in Africa, emphasizing partnership-based approaches.
  • India’s ASEAN Engagement and Upcoming Summits

    asean

    Central Idea

    • Prime Minister departed for Indonesia to participate in the 20th ASEAN-India summit and the 18th East Asia Summit (EAS) in Jakarta.
    • During the visit, he will meet with leaders from the ten ASEAN countries and attend the EAS, including leaders from ASEAN nations, Australia, China, India, Japan, New Zealand, South Korea, Russia, and the U.S.

    Why discuss this?

    • India-ASEAN relations have evolved significantly over the years, moving from a distant past to a robust partnership.

    Association of Southeast Asian Nations (ASEAN)

    Established August 8, 1967
    Member Countries Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, Vietnam
    Objective To promote political and economic cooperation and regional stability among member countries.
    Key Areas of Cooperation – Economic Integration

    – Political and Security Cooperation

    – Social and Cultural Cooperation

    Significance Promotes economic growth, stability, and peace in the Southeast Asian region. It is also a forum for diplomatic dialogue and conflict resolution.
    ASEAN Secretariat Jakarta, Indonesia (The ASEAN Secretariat is the organization responsible for coordinating ASEAN activities.)

     

    Evolution of India-ASEAN Relations

    • 1950s and Early 1960s: During this period, India played a significant role in supporting the decolonization efforts of Southeast Asian countries.
    • 1960s to 1980s: India maintained some distance from the region due to internal issues and viewed ASEAN as a product of the Cold War.
    • 1990s to 2010s: India adopted the ‘Look East Policy,’ leading to a full dialogue partnership with ASEAN in 1995 and becoming a full member of the ASEAN Regional Forum (ARF) in 1996.
    • 2010s to Present: India-ASEAN cooperation intensified with the ‘Act East Policy,’ resulting in the elevation to a Strategic Partnership in 2012 and a Comprehensive Strategic Partnership in 2022.

    Key Areas of Cooperation

    • Trade Relations: The India-ASEAN Free Trade Agreement (AIFTA) and substantial trade volumes have strengthened economic ties, with commodity trade reaching $98.39 billion in the period April 2021-February 2022.
    • Business & Investment: ASEAN is a major source of Foreign Direct Investment (FDI) for India, with cumulative FDIs from ASEAN to India totaling $117.88 billion between 2000-2021. The ASEAN India-Business Council (AIBC) promotes collaboration between private sector players from India and ASEAN.
    • Socio-Cultural Cooperation: Cultural affinities between ASEAN and India foster people-to-people interactions through initiatives like student exchange programs.
    • ASEAN-India Projects: Collaboration in agriculture, science & technology, environment, renewable energy, and defense promotes mutual growth. The ASEAN-India S&T Development Fund (AISTDF) contributes $1 million to support joint collaborative R&D research projects.
    • Strategic Cooperation: Platforms like the ASEAN Post Ministerial Conference (ASEAN PMC) and ADMM-Plus facilitate dialogue on security issues.
    • Defense Cooperation: India is enhancing arms sales and defense ties with ASEAN countries to promote regional security, such as the recent approval by the Philippines for a USD 374 million purchase of the BrahMos shore-based anti-ship missile system in January 2022.
    • Technological Cooperation: ISRO’s collaboration supports ASEAN countries in space science and technology.
    • Connectivity: Projects like the India-Myanmar-Thailand Trilateral Highway and Kaladan Multimodal Project enhance regional connectivity.

    Why India Needs ASEAN?

    • Significant Trade & Commercial Relations: ASEAN is a major destination for India’s service sectors and a vital source of foreign investments.
    • Development of North East India: ASEAN provides an alternate route for India’s access to North Eastern India, facilitating development and strategic interests.
    • Countering Chinese Expansion: Strengthening ties with ASEAN countries helps India counter Chinese influence in the Indo-Pacific region.
    • Maritime Freedom: Collaboration with ASEAN ensures a free and peaceful Indo-Pacific region based on a rules-based order.
    • Facing Politico-security Challenges: Cooperation in addressing security threats like climate change, terrorism, and refugee crises benefits both sides.
    • Support for Indian Initiatives: ASEAN’s support is crucial for India’s success in regional policies and initiatives.
    • Emerging Market: India benefits from ASEAN’s agricultural and industrial products, while ASEAN relies on India’s demographic dividend.
    • Global Reforms: ASEAN’s global influence aligns with India’s vision for reforms in international forums.
    • Diaspora: Southeast Asia’s significant Indian diaspora fosters cultural ties and people-to-people relations.
    • Elevating India’s Global Status: Partnership with ASEAN enhances India’s geopolitical standing.

    Challenges to Stronger Cooperation

    • Large Trade Deficit: Trade imbalance and issues with the Free Trade Agreement (FTA) have impacted India’s economic relations with ASEAN, with the trade deficit rising from around $5 billion in FY11 to USD 21.8 billion in FY19.
    • Balancing China: ASEAN countries’ engagement with China and concerns over military capabilities impact the depth of cooperation with India.
    • Delays in Connectivity Projects: Long gestation periods for connectivity projects hinder progress.
    • Issues within ASEAN: Different political systems and human rights issues pose challenges to stronger cooperation.

    Way Forward

    • Enhance Trade Relations: Focus on the blue economy and sustainable development to boost economic ties.
    • Accelerate Connectivity Projects: Expedite the completion of infrastructure projects and build new trade and transport linkages.
    • Strengthen Regional Role: India must play a more prominent role in the region to address geopolitical challenges.
    • Establish Dedicated Departments: Dedicated departments under central ministries can facilitate better cooperation with ASEAN.

    Conclusion

    • India’s commitment to ASEAN signifies its strategic engagement with the Indo-Pacific region.
    • Despite challenges, enhancing cooperation in trade, connectivity, defence, and socio-cultural aspects can pave the way for mutual growth and regional peace.
  • Black Sea Grain Initiative to resume soon: Turkey

    black sea

    Central Idea

    • The Black Sea grain deal lapsed on July 17. Turkey now seeks to resume the treaty.
    • Russia though had not agreed to renew the deal, citing unmet promises and difficulties in its own agricultural exports due to Western sanctions.

    Black Sea Grain Initiative

    • The Initiative eased Russia’s naval blockade and saw the reopening of three key Ukrainian ports.
    • The UN and Turkey brokered the deal in July 2022, allowing cargo ships to travel between Ukrainian ports and undergo inspections to ensure they were not carrying arms.
    • The deal has been extended twice but is set to expire on July 17, 2023.
    • The agreement created procedures to safely export grain from certain ports to attempt to address the 2022 food crisis.
    • It provides a safe maritime humanitarian corridor for Ukrainian exports (particularly for food grains) from three of its key ports: Chornomorsk, Odesa and Yuzhny/Pivdennyi in the Black Sea.

    Outcomes of this deal

    • Approximately 9.8 million tonnes of grains have been shipped so far since the deal was brokered as per International Grains Council (IGC) Projections.
      • The IGC is an intergovernmental organization established in 1949. Its primary purpose is to promote cooperation and consultation on grains trade and related aspects globally.
      • India is an exporting member of the IGC.
    • The initiative has also been credited for having made a huge difference in the global cost of living crisis.

    Why was this deal launched?

    • Ukraine’s Role: Ukraine is a significant exporter of food grains, including wheat and corn, and contributes to the UN’s food aid programs.
    • Impact of Russian Invasion: Russia’s invasion and blockade of Ukrainian ports raised concerns about food security and soaring prices globally.

    Russia’s Opposition and Reasons

    • Claims of Unmet Promises: Russia argues that promises made under the deal have not been fulfilled, affecting its own agricultural exports and fertilizers due to Western sanctions.
    • Obstacles to Agricultural Exports: Russia faces challenges with payment platforms, insurance, shipping, and logistics, even though there are no direct restrictions on its agricultural products.
    • Frustration and Goodwill: Russian President expressed frustration and stated that Russia has shown goodwill in extending the deal but feels enough is enough.
    • Shift in Grain Destinations: Russia claims the deal was meant to ensure global food security, but Ukraine has mainly exported to high- and middle-income countries, while the UN notes that food prices have cooled down, benefiting poorer nations.

    Impact on Grain Exports and Production

    • Russian Wheat Export Dominance: Russia remains the world’s top wheat exporter, primarily targeting the Middle East, North Africa, and Central Asia.
    • Ukraine’s Declining Shipments: Ukraine’s grain shipments are projected to more than halve, with production at an 11-year low.
    • Shifting Markets: Ukraine’s grain markets have shifted from Asia and North Africa to Europe, driven by ease of shipment, causing a glut of Ukrainian grain and protests from farmers in Eastern European countries.

    International Grains Council

    • The International Grains Council (IGC) is an intergovernmental organization that oversees the Grains Trade Convention and aims to promote cooperation in the global grain trade. Established in 1949 as the International Wheat Council, it was renamed in 1995 to reflect its expanded scope.
    • India is a member of the International Grains Council (IGC), which is the intergovernmental organization that oversees the global grains trade.

    Back2Basics: Black Sea

    • Black Sea is bound by Ukraine to the north and northwest, Russia and Georgia to the east, Turkey to the south, and Bulgaria and Romania to the west.
    • It links to the Sea of Marmara through the Bosphorus and then to the Aegean through the Dardanelles.

    Significance of Black Sea for Russia

    • Black Sea has traditionally been Russia’s warm water gateway to Europe.
    • For Russia, the Black Sea is both a stepping stone to the Mediterranean.
    • It acts as a strategic buffer between NATO and itself.
    • It showcases the Russian power in the Mediterranean and to secure the economic gateway to key markets in southern Europe.
    • Russia has been making efforts to gain complete control over the Black Sea since the Crimean crisis of 2014.
  • Decoding the Nyaya Sanhita Bill

    What’s the news?

    • The government recently introduced three key penal bills in a bid to reform the justice system.

    Central Idea

    • The recent introduction of three penal bills in the Lok Sabha by the government, aimed at decolonizing the Indian justice system, is a significant step in the realm of legal reform. While this initiative is commendable, it is crucial to recognize that the process of law-making and reform requires careful consideration and empirical validation.

    Bharatiya Nyaya Sanhita Bill

    • This bill aims to replace the existing Indian Penal Code (IPC) of 1860.
    • The IPC defines crimes, sets out their elements, and prescribes corresponding penalties.
    • The Bharatiya Nyaya Sanhita Bill seeks to update and modernize the criminal laws to better reflect evolving societal values and democratic aspirations.

    Why Public Participation Matters in Legal Reform?

    • The Colonial Legacy: Learning from Past Mistakes
      • The colonial penal law was replaced not due to inherent flaws but because it lacked participation from the Indian populace, imposing foreign ideas and values.
      • Recognizing the crucial need for broad public participation to avoid repeating this historical oversight
    • Macaulay’s Principle Revisited: Seeking Legal Certainty Through Debate
      • Reflecting on Thomas Babington Macaulay’s principle of “uniformity when you can have it, diversity where you must have it, but in all cases certainty.”
      • Emphasizing the goal of achieving equal and uniform application of the law through meaningful debate.
      • Stressing the significance of precise legal terminology for clarity and legal certainty.

    What constitutes undesirable behavior?

    • Changing Norms: The Evolution of Legal Definitions
      • Highlighting the evolving societal perceptions concerning behaviors deemed undesirable.
      • Citing examples like the transition of attempted suicide from a criminal offense to a recognized mental health issue under Section 115(1) of the Mental Health Care Act, 2017.
      • Examining the Supreme Court’s role in redefining adultery and its legal implications
    • From Offense to Health Issue: The Case of Attempted Suicide
      • Illustrating the transformation of attempted suicide from a crime to a mental health concern, reflecting a more compassionate and holistic approach.
    • Challenging Tradition: Adultery and the Supreme Court Decision
      • Analyzing the Supreme Court’s decision to redefine adultery and emphasizing the judiciary’s role in adapting to evolving social norms
    • The Call for Social Audit: Rethinking “Undesirable” Behavior
      • Advocating for a comprehensive social audit to redefine the concept of “undesirable” behavior, taking into account changing societal perspectives.
      • Stressing the importance of empirical analysis in this process.
    • Independent Oversight: The Need for Impartiality
      • underscoring the necessity of an independent and impartial body to conduct the social audit to ensure fairness and objectivity in evaluating behavioral norms.

    How to Balance Simplicity and Complexity in Penal Laws?

    • Simplification’s Promise: Streamlining the Legal Framework
      • Acknowledging efforts to simplify the legal framework through the Bharatiya Nyaya Sanhita and highlighting potential benefits like enhanced clarity and efficiency in legal procedures.
    • The Challenge of Overload: Retaining and Adding Offenses
      • Addressing concerns about the risk of retaining and introducing new offenses, which could offset the advantages of simplification and potentially overwhelm the legal system.
    • Revisiting Special Laws: The Malimath Committee’s Proposal
      • Noting the proliferation of special penal laws post-Indian Penal Code to address emerging crimes.
      • Suggesting an evaluation of whether these should be incorporated into the Bharatiya Nyaya Sanhita or managed through existing special laws or a new composite law, as proposed by the Malimath Committee.

    Addressing Gender and Children’s Rights: What the Bill Says?

    • Constitutional Alignment: Article 15(3) and Article 51A(e)
      • Recognizing the alignment of the proposed Offenses Against Women and Children’ with the constitutional vision, specifically referencing Article 15(3) and Article 51A(e),
    • Outdated Notions: Analyzing Clause 63 on Marital Rape
      • Highlighting concerns with Clause 63, which excludes sexual intercourse between spouses above 18 from the definition of rape, and drawing parallels with colonial-era legal thinking
    • Contradictory Provisions: Clauses 20 and 21 vs. Juvenile Justice Act of 2015
      • Pointing out inconsistencies between retaining Clauses 20 and 21 in Chapter III (General Exceptions) and the philosophy of special laws for children outlined in Section 1(4) of the Juvenile Justice Act of 2015.

    What does the new penal law prioritize?

    • A Shift in Focus: Departing from the Colonial Framework
      • Recognizing a departure from the colonial chapter scheme that favored the interests of the ruling class over body and property offenses.
      • Placing bodily interests in Chapter VI, just before offenses against the state, indicating a significant shift in priorities.
    • Measuring against the Constitution: Article 13(2)
      • Raising questions about whether the proposed reforms will align with the constitutional vision enshrined in Article 13(2), which prohibits laws that infringe upon fundamental rights.
    • Upholding Values: Autonomy, Equality, and Fraternity
      • Highlighting the vital role of the proposed reforms in upholding principles of autonomy, equality, and fraternity as guaranteed by the Preamble of the Constitution

    Conclusion

    • The government’s initiative to reform the Indian justice system is laudable, but it must be accompanied by extensive public participation, a thorough examination of undesirable behavior, and a balanced approach to legal complexity. Only through careful consideration and a commitment to justice can the Bharatiya Nyaya Sanhita Bill truly decolonize and rejuvenate the Indian justice system.
  • The implications of the expansion of BRICS

    What’s the news?

    • The 15th BRICS summit held in Johannesburg recently made headlines with its announcement to expand its membership.

    Central idea

    • The 15th BRICS summit in Johannesburg made waves in international diplomacy when it announced the invitation of six new members: Iran, Saudi Arabia, the United Arab Emirates (UAE), Egypt, Ethiopia, and Argentina. This move signifies BRICS’ commitment to challenging the West-dominated world order and building a more representative international system.

    Expanding BRICS: A New Global Landscape

    • The expansion of BRICS to include Iran, Saudi Arabia, the United Arab Emirates (UAE), Egypt, Ethiopia, and Argentina
    • It was reported that 40 countries have shown interest in BRICS’ membership, with 22 having submitted formal applications.
    • BRICS has been a platform for emerging economies to voice their dissatisfaction with Western-dominated global institutions like the World Bank, IMF, and UN.
    • At the Johannesburg summit, the UN Secretary General labeled these institutions of yesterday’s world, reflecting the need for change.
    • With the inclusion of new members, BRICS now represents 46% of the world’s population and 37% of the global GDP in PPP terms, surpassing the G-7.
    • This expansion also greatly impacts the energy sector, with the BRICS now accounting for 42% of global oil production.

    Significance of BRICS Expansion

    • Economic Clout: The BRICS’ share of global GDP in PPP terms rises from 31.5% to 37%, surpassing the G-7. This expansion creates a formidable economic bloc with the potential to shape global economic policies and trade dynamics.
    • Demographic Powerhouse: The BRICS now represent 46% of the world’s population, giving them significant demographic weight. This diverse population can influence global consumer markets and labor forces.
    • Energy Dominance: The inclusion of new members from energy-rich regions, especially West Asia, boosts BRICS’ role in global energy markets. It solidifies BRICS as a major player in shaping global energy policies.
    • Geo-Strategic Influence: West Asian members already have strong ties with BRICS countries, contributing to the group’s geo-strategic significance. Egypt and Ethiopia hold key positions in the Horn of Africa and the Red Sea region, adding to BRICS’ strategic reach.
    • Shared Political Views: BRICS members have historically shared political views on global issues. The new members’ alignment with these views strengthens BRICS’ collective stance on the United Nations, Middle East conflicts, and global terrorism.
    • Multipolar Advocacy: BRICS challenges the Western-dominated international order. The expansion reaffirms BRICS’ commitment to advocating for a multipolar world order and reforming global institutions.
    • Cooperative Opportunities: The inclusion of new members opens avenues for increased cooperation in areas such as trade, investment, infrastructure, and technology transfer. This expansion promotes South-South collaboration.
    • Global Balance Shift: BRICS’ expansion further shifts the global balance of power away from Western-dominated institutions. It elevates the influence of emerging economies in shaping global policies.

    BRICS’ Substantial Achievements

    • Consistent Declarations: BRICS leaders have met for over 15 years, consistently overcoming internal divisions and competitions to issue consensual “Declarations” at each summit. These declarations have expanded in content, reflecting the group’s evolving priorities and interests.
    • Focus on Specific Deliverables: The declarations have increasingly focused on specific deliverables, indicating BRICS’ commitment to achieving tangible outcomes. This shift from broad rhetoric to concrete action is a substantial achievement.
    • Intra-BRICS Cooperation: The Johannesburg Declaration emphasizes the importance of intra-BRICS cooperation. Member countries are committed to encouraging the use of local currencies in internal trade and financial transactions, promoting economic integration within the group.
    • Outreach to Developing Nations: BRICS recognizes its role in supporting other developing nations. The group aims to extend its cooperation beyond its borders, reaching out to other countries that share similar development challenges.
    • Shared Political Views: BRICS members have a history of sharing common political views on various global issues. This shared perspective strengthens their collective voice on matters such as the centrality of the United Nations, conflicts in the Middle East, and global terrorism.
    • Promoting Multipolarity: BRICS challenges the Western-dominated international order by advocating for a multipolar world. This advocacy represents a substantial achievement in pushing for reforms and greater representation for emerging economies in global institutions.

    Criticisms directed at the BRICS

    • Talk-Shop with No Vision: Some Western commentators have criticized BRICS as being a talk-shop with no clear shared vision or meaningful achievements. This criticism suggests that BRICS meetings and declarations may lack substance and practical outcomes.
    • Lack of Shared Vision: Critics argue that BRICS members have not demonstrated a cohesive or unified vision for the group’s role in global affairs. This criticism implies that the members may have divergent interests that hinder effective cooperation.
    • Limited Achievements: Some critics have suggested that BRICS has not achieved significant or tangible results in its over 15 years of existence. This criticism questions the group’s ability to translate its discussions into meaningful actions or outcomes.
    • Emerging Global Binary Divide: While not explicitly mentioned in the article, there is an implied criticism that BRICS may contribute to an emerging global binary divide or a new cold war between Western and non-Western nations. This view suggests that BRICS could exacerbate global divisions rather than promote cooperation.

    Outlook for Regional Affairs

    • West Asia:
    • The new BRICS members from West Asia, such as Saudi Arabia and the UAE, have pursued independent foreign policy paths since 2020.
    • Saudi Arabia, for instance, has actively engaged in de-escalation efforts, including ending the Qatar blockade in January 2021, establishing relations with Turkey, and initiating interactions with Iran in April 2021.
    • These diplomatic engagements culminated in a significant China-brokered accord with Iran in March of the following year.
    • Maritime Expansion: The UAE has also normalized ties with Iran and is actively expanding its maritime presence across key strategic regions, including the Gulf, the Gulf of Aden, the Red Sea, and the Horn of Africa. This maritime expansion underscores the UAE’s growing influence in these areas.

    Outlook for Global Affairs

    • Rejecting the Binary Divide:
    • In contrast to Western commentators who perceive an emerging global binary divide or a new cold war, India and other BRICS members reject this view.
    • They insist on asserting their strategic autonomy within a multipolar world order, rejecting the idea of being drawn into simplistic global power struggles.
    • Historical Significance:
    • A recent media report described the Johannesburg summit as a turning point in modern history.
    • This suggests that the expansion of BRICS, combined with its evolving role in global affairs, is seen as a pivotal and historic moment with profound implications for the contemporary international landscape.

    Conclusion

    • BRICS continues to assert its strategic autonomy and push for a multipolar world order, challenging Western-led international institutions. This expansion is a turning point in modern history, reflecting the evolving dynamics of global diplomacy.