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GS Paper: GS2

  • Quiet diplomacy could ease South China Sea tensions

    South China Sea

    What is the news?

    • During the fifth meeting of the Philippines-India Joint Commission on Bilateral Cooperation in New Delhi on June 29, the Foreign Ministers of India and the Philippines, S. Jaishankar and Enrique Manalo, respectively, discussed enhancing the bilateral partnership between the two countries. The meeting focused on maritime cooperation and addressing the South China Sea issue

    Central Idea

    • With a shared history of diplomatic relations spanning nearly 75 years and common maritime interests, the External Affairs Minister of India, S. Jaishankar, and the Secretary for Foreign Affairs of the Philippines, Enrique Manalo, laid out a roadmap to enhance the bilateral partnership in the 21st century.

    Significance and developments emerged from the meeting

    • Establishment of a resident defense attaché office in Manila: The decision to open a resident defense attaché office in Manila reflects a deeper commitment to defense cooperation between India and the Philippines. This move will facilitate closer coordination, information sharing, and joint defense initiatives.
    • Increased collaboration between the Coast Guards: The Coast Guards of India and the Philippines will enhance their collaboration, aiming to strengthen maritime security in the region. This includes joint patrols, information exchange, and joint operations to combat maritime threats.
    • Manila’s acquisition of naval assets with concessional credit from India: To bolster its maritime capabilities, the Philippines will acquire naval assets with the help of a concessional line of credit extended by India. This support will enhance the Philippines’ maritime defense capabilities and contribute to maintaining regional stability.
    • Expanded training and joint exercises on maritime security and disaster responses: Both countries will expand their training programs and conduct joint exercises focused on maritime security and disaster response. This cooperation will enhance operational readiness and preparedness to address maritime challenges, including disaster relief efforts.

    The South China Sea issue: A significant topic of discussion

    1. Agreement on regional and multilateral issues: Both India and the Philippines reached an agreement on regional and multilateral matters, particularly emphasizing the importance of maritime highways like the South China Sea.
    2. India’s position on international law and the 2016 Arbitral Award:
    • India reiterated its consistent position of adhering to international law, including the United Nations Convention on the Law of the Sea (UNCLOS).
    • Notably, India made an unambiguous call to respect the 2016 Arbitral Award on the South China Sea, which represents a departure from India’s previous stance.
    • This shift signifies India’s recognition of the legitimacy of the Arbitral Award.
    1. Background of the Arbitration Case: The Philippines had submitted a case for arbitration to the Permanent Court of Arbitration (PCA) to address its disputes with China in the South China Sea. Despite China’s formal withdrawal from the arbitration, the proceedings continued under UNCLOS guidelines.
    2. Key findings of the Arbitral Award:
    • The PCA’s Award, released on July 12, 2016, rejected China’s claims of historical rights in the South China Sea.
    • The tribunal determined that any claims to resources within the nine-dash line were unfounded.
    • It also found that China had violated the Philippines’ sovereign rights in its Exclusive Economic Zone (EEZ) through various actions, including interfering with fishing and petroleum exploration, constructing artificial islands, and failing to prevent Chinese fishermen from operating in the zone.

    What is Quiet diplomacy?

    • Quiet diplomacy refers to a diplomatic approach that focuses on behind-the-scenes negotiations and discussions conducted discreetly, away from public attention and media scrutiny.
    • It involves engaging in diplomatic efforts through confidential channels, informal dialogues, and private meetings to address sensitive issues and resolve conflicts.

    How Quiet diplomacy could ease South China Sea tensions

    • Confidence-Building Measures: Quiet diplomacy can facilitate the implementation of confidence-building measures among the claimant states. This can include agreements on joint military exercises, information sharing, or cooperative initiatives aimed at reducing tensions and building trust.
    • Open Communication: Quiet diplomacy allows for confidential and discreet communication between stakeholders, such as China and the claimant states. It provides a platform for open dialogue where concerns and perspectives can be expressed, leading to better understanding and the potential for resolving differences.
    • Mediation and Facilitation: Quiet diplomacy may involve the engagement of neutral third-party mediators or facilitators who can assist in bridging differences and guiding the negotiation process. These mediators can provide a neutral perspective, offer expertise, and help facilitate constructive dialogue among the stakeholders.
    • Informal Track-II Diplomacy: Quiet diplomacy encourages informal exchanges and dialogues between academic experts, think tanks, and non-governmental organizations. These interactions can provide alternative perspectives, generate innovative ideas, and contribute to a deeper understanding of the issues at hand.
    • Crisis Management: Quiet diplomacy can be applicable during times of crisis or heightened tensions in the South China Sea. It allows for confidential crisis management talks between relevant parties, enabling swift and discreet negotiations to de-escalate tensions and seek temporary agreements

    South China Sea

    Way forward

    • Dialogue for Conflict Resolution: The South China Sea issue requires a political framework and dialogue for resolution. Leaders of ASEAN nations are encouraged to engage in “quiet diplomacy to find a political solution, as legal methods may have limitations. Dialogue provides an opportunity for peaceful conflict resolution through negotiations and diplomatic channels.
    • Emphasis on a Code of Conduct: The establishment of a legally binding code of conduct is crucial for managing the South China Sea issue. ASEAN leaders are called upon to work towards developing and implementing such a code. A code of conduct can provide guidelines and rules to manage disputes, reduce tensions, and promote stability in the region.
    • Regional Unity and Cooperation: Regional cooperation and unity among ASEAN nations are essential to address the South China Sea issue effectively. Greater understanding and coordination among ASEAN members can strengthen their negotiating position and foster a united front in dealing with challenges related to territorial claims and maritime security.
    • Respect for International Law: Upholding international law, including UNCLOS, is emphasized in the article. Countries are encouraged to respect legal and diplomatic channels, adhere to their obligations under UNCLOS, and uphold the rights of coastal states. Adherence to international law is essential for maintaining stability, resolving disputes, and promoting a rules-based order in the South China Sea.

    Conclusion

    • By committing to a rules-based order and emphasizing the significance of international law, India underscores its commitment to regional stability and peace. The need for dialogue, political frameworks, and unity among ASEAN nations is crucial to achieving a peaceful resolution in the South China Sea, protecting vital maritime commons, and ensuring the uninterrupted flow of global trade.

    Also read:

    India’s Initiative for ASEAN Women in UN Peacekeeping

     

  • India sees significant reduction in Multidimensional Poverty

    Central Idea

    What is MPI?

    • The global Multidimensional Poverty Index (MPI) is an international measure of acute multidimensional poverty covering over 100 developing countries.
    • It complements traditional monetary poverty measures by capturing the acute deprivations in health, education, and living standards that a person faces simultaneously.
    • The global MPI was developed by Oxford Poverty and Human Development Initiative (OPHI) with the UN Development Programme (UNDP) for inclusion in UNDP’s flagship Human Development Report in 2010.
    • It has been published annually by OPHI and in the HDRs ever since.

    Components of MPI

    poverty, mpi

    Rapid Progress and Halving MPI Values

    • Achieving rapid progress: The report showcases that 25 countries, including India, successfully halved their global MPI values within 15 years, indicating that substantial progress is attainable.
    • Countries with notable progress: Besides India, other countries that achieved this feat include Cambodia, China, Congo, Honduras, Indonesia, Morocco, Serbia, and Vietnam.
    • Significance of halving MPI values: Halving the MPI values demonstrates a substantial reduction in multidimensional poverty, reflecting improvements across multiple indicators of well-being.

    Poverty Reduction: Key Stats

    • Decline in multidimensional poverty: In India, the number of people in multidimensional poverty decreased from approximately 645 million in 2005-06 to about 370 million in 2015-16 and further to 230 million in 2019-21.
    • Improvements across indicators: Deprivation in various indicators, such as nutrition, child mortality, cooking fuel, sanitation, drinking water, electricity, and housing, witnessed significant declines in India.
    • Fastest progress among the poorest: The report highlights that the poorest states and disadvantaged groups, including children and individuals from marginalized castes, experienced the fastest progress in reducing poverty.

    Factors Contributing to Multidimensional Poverty

    • Multiple disadvantages: Poverty encompasses various factors such as poor health, lack of basic amenities, limited livelihood options, limited education, disempowerment, and vulnerability to climate change.
    • Holistic approach: Focusing solely on income as an indicator of poverty is insufficient. Multidimensional poverty measures offer a more comprehensive understanding of poverty by considering a range of disadvantages individuals face.
    • Targeting and priority setting: Multidimensional poverty measures provide valuable insights into different areas and sub-groups affected by poverty, aiding in the identification of national priorities and targeted interventions.

    Government Interventions for Poverty Alleviation

    • Food Security: The National Food Security Act of 2013 aims to provide subsidized food grains to two-thirds of India’s population.
    • Employment and Skilling: Initiatives such as the National Rural Livelihood Mission and the Mahatma Gandhi National Rural Employment Guarantee Act provide employment opportunities and regular income for the rural poor.
    • Income Support: Schemes like the Pradhan Mantri Jan Dhan Yojana and the Pradhan Mantri Kisan Samman Nidhi aim to provide direct benefit transfers and minimum income support to the poor and farmers.

    Challenges Ahead

    • Pauperization and migrant workers: The COVID-19 pandemic has exacerbated poverty, leading to increased pauperization of migrant workers.
    • Regional disparities: Rural areas continue to face a higher incidence of extreme poverty compared to urban areas.
    • Jobless growth: Despite economic development, a significant proportion of the population still suffers from multidimensional deprivation.
    • Resource limitations: Adequate allocation of resources for anti-poverty programs remains a challenge, and the availability of funds often dictates target curtailment.
    • Implementation bottlenecks: Proper implementation and targeting of poverty alleviation schemes have been persistent issues in India, with overlapping programs leading to inefficiencies.

    Conclusion

    • India’s progress in reducing multidimensional poverty is commendable, with substantial improvements across indicators.
    • However, the challenges of pauperization, regional disparities, job creation, resource allocation, and implementation bottlenecks must be addressed to achieve sustained poverty reduction and inclusive development.
  • Electoral Bonds chief source of donations for parties: Report

    bond

    Central Idea

    • Electoral bonds have emerged as the primary source of donations for political parties in India, with the BJP securing the majority share.
    • A report by the Association of Democratic Reforms reveals that between 2016-17 and 2021-22, national and regional parties received a total donation of ₹9,188.35 crore through electoral bonds.
    • The BJP received ₹5,271.97 crore, while other national parties collectively received ₹1,783.93 crore.

    Political Donations under Electoral bonds scheme

    • Breakdown of donations: Over the six-year period, the 31 analyzed political parties received a total of ₹16,437.63 crore in donations. Of this, 55.9% came from electoral bonds, 28.07% from the corporate sector, and 16.03% from other sources.
    • BJP leads the pack: The BJP declared donations worth ₹5,271.97 crore through electoral bonds, surpassing the total donations of all other national parties combined.
    • Congress and regional parties: The Congress received the second-highest amount through electoral bonds, with ₹952.29 crore (61.54% of total donations). The Trinamool Congress received ₹767.88 crore (93.27% of total donations).
    • Regional parties’ reliance on bonds: Regional parties such as the BJD, DMK, and TRS received a significant portion of their total donations from electoral bonds.
    • Surge in bond donations: National parties witnessed a 743% increase in donations through electoral bonds between 2017-18 and 2021-22, while corporate donations only rose by 48%.

    Key features of Electoral Bonds Scheme

    • Introduction of Electoral Bond Scheme: The Electoral Bond Scheme 2018 was introduced for electoral funding during the crucial time period analyzed in the report.
    • Removal of donation limit: The Finance Act, 2017 eliminated the previous cap of 7.5% of a company’s average three-year net profit for political donations.
    • Purchase and Donation: Any Indian citizen or company incorporated in India can purchase Electoral Bonds from select branches of the State Bank of India. The bonds can be bought in denominations of ₹1,000, ₹10,000, ₹10 lakh, and ₹1 crore. The purchaser can then donate the bonds to an eligible political party of their choice.
    • Eligibility and KYC: To purchase Electoral Bonds, the buyer must fulfill the Know Your Customer (KYC) norms and make the payment from a bank account. Only individuals and companies with Indian citizenship or incorporation can participate in the scheme.
    • Bond Validity: Electoral Bonds have a life of 15 days, ensuring that they do not function as a parallel currency.
    • Anonymity and Disclosure: Donors who contribute less than ₹20,000 to political parties through Electoral Bonds are not required to provide their identity details, such as the Permanent Account Number (PAN). However, the identity of the donor is known to the bank.
    • Redemption and Eligible Parties: Only political parties registered under Section 29A of the Representation of the People Act, 1951, and securing at least one percent of the votes in the last general election are eligible to receive Electoral Bonds. The bonds can be encashed only through a bank account with the authorized bank.

    Issues with the Scheme

    • Lack of Transparency: The scheme has faced criticism for enabling opaque political funding. While the identity of the donor is captured, it is not revealed to the party or the public, limiting transparency.
    • Limited Tax Benefits: Donations made through Electoral Bonds may not qualify for income tax breaks, potentially discouraging donors from participating in the scheme.
    • Privacy Concerns: The privacy of donors may be compromised as the bank will have knowledge of their identity.
    • Differential Benefits: The scheme can potentially favor parties in power, as the government can access information about the donors and the funds received.
    • Unlimited Donations: Amendments in the Finance Act of 2017 allow for unlimited donations from individuals and foreign companies to political parties without disclosing the sources of funding, raising concerns about the influence of money in politics.
  • SC upholds Extensions for CBI and ED Directors

    cbi ed

    Central Idea

    • The Supreme Court has upheld statutory amendments that permit the extension of tenures for Directors of the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED).
    • The court also directed the current ED Director, Sanjay Kumar Mishra, to resign four months before his third extension ends in November.

    Amendments and Tenure Extensions

    • Tenure of CBI and ED chiefs: The CBI and ED directors traditionally have fixed tenures of two years.
    • Amendments enacted in 2021: Amendments were made to the Central Vigilance Commission Act, the Delhi Special Police Establishment Act, and the Fundamental Rules. These amendments allow directors to receive a maximum of three annual extensions, expanding their tenure beyond the two-year limit.
    • Overcoming the court’s directive: The amendments were introduced shortly after the Supreme Court directed the government to cease granting extensions to Sanjay Kumar Mishra. These amendments provided a way for the government to grant Mishra two additional extensions.

    Supreme Court’s Ruling

    • Ruling on back-to-back service extensions: The Supreme Court deemed the consecutive service extensions granted to Mishra in 2021 and 2022 as illegal.
    • Resignation deadline: The court ordered Mishra to resign by July 31, allowing for a smooth transition of responsibilities to his successor. Mishra has served as the ED Director for five years.
    • Disagreement with amicus curiae: The court disagreed with the submissions made by its own amicus curiae, who urged the court to strike down the amendments. The amicus curiae argued that the prospect of service extensions could influence the directors to work in accordance with the government’s desires, undermining the agencies’ independence.

    High-Level Committees and Justification

    • Role of High-Level Committees: The amendments require High-Level Committees to recommend directors for service extensions.
    • Committee composition and recommendations: The committees consist of members such as the Central Vigilance Commissioner, Vigilance Commissioners, Prime Minister, Opposition Leader, and Chief Justice of India, depending on the agency. These committees recommend whether an extension is warranted in the public interest.
    • Recording reasons for recommendations: The committees are obligated to provide written justifications for their recommendations.

    Constitutionality of Amendments

    • Legislative authority: The court emphasized that the amendments were enacted by Parliament and should not be easily declared unconstitutional.
    • Role of elected representatives: The court stated that the amendments were passed by elected representatives who possess knowledge of the needs and interests of the people.
    • Judicial restraint: The court acknowledged that it should not question the wisdom of the elected representatives unless there is a clear violation of constitutional provisions.

    Back2Basics:

    Central Bureau of Investigation (CBI) Enforcement Directorate (ED)
    Mandate Investigates and solves major crimes in India Enforces economic and financial regulations
    Jurisdiction Nationwide Nationwide
    Legal Authority Delhi Special Police Establishment Act, 1946 Prevention of Money Laundering Act, 2002
    Functional Focus Criminal investigations Economic and financial offenses
    Investigative Powers Arrest, search, seizure, and interrogation Attachment, confiscation, and arrest
    Collaboration Works closely with state police and agencies Coordinates with various agencies and banks
    Reporting Authority Department of Personnel and Training, GOI Department of Revenue, Ministry of Finance
    Corruption Investigations Has an Anti-Corruption Division Has a separate Economic Offenses Division
    Notable Cases 2G Spectrum Scam, Bofors Scandal, etc. Vijay Mallya extradition, PNB fraud case

     

  • Women’s reproductive autonomy as the new catchword

    reproductive

    Why is this news?

    • India’s progress in family planning initiatives and achievements in areas such as life expectancy, maternal health, and gender empowerment. Instead of ensuring reproductive autonomy for each woman, society has obsessed with total fertility rates and the ideal population size of a family.

    Central Idea

    • The theme of this year’s World Population Day, Unleashing the power of gender equality: Uplifting the voices of women and girls to unlock our world’s infinite possibilities, holds significant relevance for India. In order to foster women-led development across various sectors in India, it is imperative to prioritize reproductive autonomy as a core component.

    What is mean by reproductive autonomy?

    • Reproductive autonomy refers to an individual’s right and ability to make informed decisions regarding their reproductive health and choices without interference, coercion, or discrimination.
    • It encompasses the freedom to decide whether or when to have children, the number of children to have, and the spacing between pregnancies.
    • Reproductive autonomy includes access to comprehensive reproductive healthcare services, including family planning methods, contraceptives, sexual education, prenatal care, safe abortion services, and support for reproductive health decisions.

    India’s progress in family planning

    • Family planning initiatives: India has been commended for its family planning initiatives, aiming to provide comprehensive reproductive health services to every potential beneficiary.
    • Reproductive health services: Efforts have been made to expand the contraceptive basket and provide a range of modern short and long-acting reversible contraceptives, permanent methods, information, counseling, and services, including emergency contraception.
    • Maternal health improvements: India has made impressive strides in maternal health, as reflected in the significant reduction in maternal mortality rates. The current rate stands at 97 per 100,000 live births, down from 254 in 2004.
    • Gender empowerment: India has achieved progress in empowering women and girls. The number of child marriages has been cut in half since the early 2000s, and teen pregnancies have significantly decreased.
    • Access to vital services: India has witnessed improved access to crucial services, including health, education, and nutrition.
    • Longer life expectancy: Life expectancy at birth has significantly increased in India over the years, with Indians now living a decade longer compared to the 1990s.

    What are the Challenges?

    • Lack of physical autonomy: Despite the progress made, many women in India continue to lack physical autonomy.
    • Limited decision-making power: According to the National Family Health Survey, only 10% of women in India are independently able to make decisions about their own health.
    • Acceptance of marital violence: The survey also reveals that 11% of women believe that marital violence is acceptable if a woman refuses to have sex with her husband.
    • Unplanned pregnancies: Nearly half of all pregnancies in India are unplanned, highlighting a challenge in ensuring effective family planning services and education.
    • Ongoing gender disparities: While progress has been made, there are persistent gender disparities and inequalities that need to be addressed to achieve true gender equality.
    • Societal attitudes: Attitudes and societal norms that perpetuate gender-based discrimination and violence continue to pose challenges to women’s empowerment.

    Opportunities for India

    • Advancing gender equality: India has a significant opportunity to advance gender equality, which can have far-reaching positive effects on various aspects of society, including economic growth, social progress, and inclusive development.
    • Economic growth potential: By increasing women’s labor force participation by 10 percentage points, India could unlock significant economic growth potential. It is estimated that this could contribute to more than 70% of the potential GDP growth, amounting to an additional $770 billion by 2025.
    • Human capital development: Empowering women through education and family planning can lead to the accumulation of human capital, which is crucial for sustainable development and economic progress.
    • Harnessing women’s potential: By enabling women to participate fully in various sectors, including science, technology, agriculture, education, and healthcare, India can tap into the immense talent, ideas, and innovation that women bring to the table.
    • Rights-based legislation and policies: India has the opportunity to formulate and implement legislation and policies that empower women, girls, and marginalized individuals, enabling them to assert their rights and make life-changing personal decisions.
    • Inclusive economic development: Promoting gender equality and empowering women can contribute to inclusive economic development by ensuring equal opportunities and participation for all segments of society.
    • Shifting population dynamics: By focusing on reproductive choices and ensuring reproductive autonomy for individuals, India can shape its population dynamics in a way that respects individual rights and choices, while also addressing demographic challenges.

    Way forward

    • Investments in women’s lives: Ensuring gender equality and empowering women requires making investments in every stage of a woman’s life, from childbirth to adolescence to maturity. This includes providing access to quality education, healthcare, and support systems that enable women to make informed choices and assert their rights.
    • Legislation and policies: Formulating and implementing rights-based legislation and policies that empower women, girls, and marginalized individuals is crucial. This involves engaging with these groups, understanding their needs, and creating an enabling environment that supports their rights and decision-making.
    • Comprehensive reproductive health services: Continued efforts should be made to provide comprehensive reproductive health services that are accessible, affordable, and of high quality. This includes expanding the contraceptive basket, ensuring access to family planning methods, information, counseling, and emergency contraception.
    • Gender-just approaches: Adopting gender-just approaches and solutions is essential for building a prosperous and inclusive India. This involves challenging societal norms and attitudes that perpetuate gender discrimination and violence, and promoting gender equality as a fundamental value.
    • Population and development discourse: Reaffirming the commitment to placing individual rights, particularly women’s rights and well-being, at the center of the population and development discourse is crucial. Shifting the focus from population stabilization to respecting reproductive choices and promoting reproductive autonomy is essential.

    Conclusion

    • On this World Population Day, let us reiterate our commitment to placing individual rights, particularly women’s rights and well-being, at the forefront of population and development discourse. Embracing gender-just approaches and solutions is essential for building a prosperous India and a better world for all.

    Also read:

    (more…)

  • PM Modi to host SCO 2023 Summit

    sco

    Central Idea

    • The upcoming virtual summit of the Shanghai Cooperation Organisation (SCO) hosted by Prime Minister Narendra Modi, holds significant importance in the current geopolitical context.
    • Ashok Sajjanhar, a former Indian Foreign Service (IFS) officer and ambassador to several countries, shares his insights on the event and its potential outcomes.

    What is SCO?

    • SCO is an international organization founded in 2001.
    • It is primarily focused on promoting cooperation and regional stability among its member states.
    • The SCO originated from the Shanghai Five mechanism, which was established in 1996 to resolve border disputes and promote mutual trust among China, Russia, Kazakhstan, Kyrgyzstan, and Tajikistan.
    • Uzbekistan joined the organization in 2001, leading to its formation as the SCO.
    Member States China, Russia, Kazakhstan, Kyrgyzstan, Tajikistan, Uzbekistan, India, Pakistan
    Objectives Promote regional security, stability, economic cooperation
    Cooperation Areas Political, security, economic, cultural
    Security Cooperation Joint military exercises, counter-terrorism operations, intelligence sharing
    Economic Cooperation Trade facilitation, investment, infrastructure development
    Key Bodies SCO Summit, SCO Business Council, Interbank Consortium of the SCO
    Regional Anti-Terrorist Structure (RATS) Coordination of anti-terrorism efforts
    Dialogue Partners Afghanistan, Belarus, Iran, Mongolia, among others
    Observer States Armenia, Azerbaijan, Cambodia, Nepal, among others
    Outreach and Engagement United Nations, ASEAN, CIS, and other regional/international organizations

     

    Significance of the Meeting during the Russia-Ukraine War

    • Major participants: The summit is expected to see the participation of key leaders such as Russian President Vladimir Putin, Chinese President Xi Jinping, and Pakistan PM Shehbaz Sharif.
    • Declining Influence of Russia: The meeting provides an opportunity for President Putin to gauge the declining influence and relevance of Russia, particularly in the Central Asian countries.
    • Message for Resolution: The decreased importance of Russia’s role in the region may convey the need for a prompt resolution to the ongoing Russia-Ukraine conflict.

    India’s Strategic Autonomy and Self-Assuredness

    • Successful India-US Relations: Prime Minister Modi’s recent successful visit to the United States highlights the growth of India-US relations.
    • India’s Role in SCO: India’s participation in the SCO while maintaining strong relations with the United States underscores its strategic autonomy and self-assuredness.

    Impact of PM Modi’s Statement to Mr. Putin

    • Asserting India’s Voice: PM Modi’s statement, “this is not the era of war,” showcased India’s capacity to communicate with President Putin.
    • Influencing Diplomatic Outcomes: The statement helped in securing the Bali G20 summit declaration and demonstrated India’s voice as a mediator between Russia and the West.

    Implications for India-China Relations

    • Unlikely Impact on Border Standoff: The virtual summit is unlikely to have any immediate impact on the India-China border standoff.
    • Ongoing Talks and Stalemate: Multiple rounds of talks between India and China have taken place, but there has been limited progress in de-escalation and disengagement at key points.
    • Snub to Pakistan: India’s strong stance on cross-border terrorism, as demonstrated in the past, is likely to be reiterated during the discussions.

    India’s Opportunities at SCO

    • Central Asian outreach: India has historical and cultural ties with Central Asian countries and aims to expand partnerships in the region.
    • Neglected Engagement: Post-Soviet independence, India’s engagement with these countries was hindered by its lack of direct access through Pakistan’s territory.
    • SCO as a Platform: India’s SCO membership allows for interaction at various levels and offers opportunities to strengthen ties with Central Asian countries.

    Conclusion

    • The SCO virtual summit presents a significant opportunity for India to engage with key regional players and enhance its profile and stature in Central Asia.
    • The summit’s outcomes, including the adoption of documents on various issues, will contribute to advancing India’s interests, strengthening trade ties, and promoting investments in the region.
  • Global South: Origins and Significance

    gobal south

    Central Idea

    • The unwillingness of many leading countries in Africa, Asia and Latin America to stand with NATO over the war in Ukraine has brought to the fore once again the term “Global South.”

    What is Global South?

    • The term “Global South” refers to countries that are often described as ‘developing’, ‘less developed’, or ‘underdeveloped’.
    • It encompasses countries in Africa, Asia, and Latin America, which are characterized by higher levels of poverty, income inequality, and harsh living conditions compared to the “Global North”.

    Historical Background

    • Emergence of the Term: The term ‘Global South’ was first used in 1969 by political activist Carl Oglesby, who argued that the war in Vietnam represented a history of northern “dominance over the global south”.
    • Transition from Third World: Prior to the fall of the Soviet Union in 1991, these countries were commonly referred to as the ‘Third World’.
    • Momentum and Context: The term gained momentum following the end of the Cold War and the rise of the non-aligned movement.

    Features of the Global South

    • Lower-income Countries: The Global South primarily consists of lower-income countries located in Africa, Asia, and South America.
    • Geopolitical Background: Geopolitically, these nations have a history of imperialism and colonial rule.
    • Newly Industrialized Status: Many of these countries are in the process of industrialization and have been described as newly industrialized.
    • Prominent Countries: Prominent countries within the Global South include Brazil, China, India, Indonesia, and Mexico, known for their large populations and economies.

    Need for Classification

    • Critique of Earlier Terms: The East/West binary and the categorization of countries as developed/developing were criticized for perpetuating stereotypes and favoring Western ideals.
    • Cold War Context: The First World, Second World, and Third World classifications were associated with Cold War alliances.
    • Broad and Inclusive Classification: The term ‘Global South’ provides a broader classification based on shared history of colonization and similar socioeconomic indicators.

    Global South amid Ukrainian War

    • South-South Cooperation: South-South cooperation has emerged as countries like India and China challenge the dominant global order led by the US.
    • Questioning the North as the Ideal: The rise of Asian countries questions the notion of the North as the ideal.
    • Criticism of Classification: The classification of the Global South has been criticized for its broadness and concerns about resource accumulation, as well as the neglect of Africa.

    Significance of the Global South

    • India’s Role: India aims to unite Global South countries to adopt an action-oriented approach.
    • Potential for Progress: Cooperation within the Global South can unlock significant potential for progress, including technical and ideas exchanges, sharing of manufacturing best practices, and more.
    • Common Concerns: Energy security, justice, and sustainable energy transition are common concerns for the Global South, which India aims to highlight.

    Challenges for Consolidation

    • Debate over Climate Reparations: The ongoing debate over climate reparations has triggered controversy, as some argue that China and India should contribute given their increasing industrialization and historical carbon emissions.
    • Impact of Russia-Ukraine War: The ongoing Russia-Ukraine war has impacted the least developed countries (LDCs) and prompted them to align more closely with China’s Belt and Road Initiative.
    • Dominance of the US: Despite the shift to a multipolar world, the US still dominates international affairs, posing challenges for the consolidation of the Global South.

    Way Forward

    • Active Engagement: India must actively engage with regional politics within the developing world to champion the Global South.
    • Tailored Policy Approach: It is crucial to recognize the diversity within the Global South and develop a policy vision that addresses the varying needs and capabilities of its member countries.

    Conclusion

    • Collaboration between the Global South and India can lead to significant advancements in various fields.
    • India’s development partnerships prioritize consultation, outcome orientation, people-centric approaches, and respect for the sovereignty of partner countries.
    • Distinguishing India’s approach from that of China can help avoid debt traps and financially unsound undertakings, promoting sustainable development within the Global South.
  • PM Modi to host SCO 2023 summit today: What’s on the table?

    Central idea

    • Prime Minister Narendra Modi’s virtual summit with the Shanghai Cooperation Organisation (SCO) holds immense significance. With the participation of key leaders such as Russian President Vladimir Putin, Chinese President Xi Jinping, and Pakistan Prime Minister Shehbaz Sharif, the meeting is poised to address crucial regional issues.

    Relevance of the topic

    • India’s strained relations with neighbouring countries and the ongoing war in Europe.
    • Negotiations and meetings of SCO hold significance for India specifically related to the India-china relations and border standoff

    Significance of the Meeting for India

    • Regional Engagement: As the host of the SCO meeting, India has the opportunity to actively engage with key regional players, including Russia, China, and Central Asian countries. This engagement allows India to strengthen its relations with neighboring nations and enhance regional cooperation on various fronts.
    • Showcase of Strategic Autonomy: India’s successful visit to the United States prior to the SCO summit highlights its ability to maintain positive relations with global powers while actively participating in regional groupings like the SCO. This demonstrates India’s strategic autonomy and self-assuredness, reinforcing its position as a reliable and influential player in global affairs.
    • Voice of Reason: PM Modi’s previous statement to President Putin, emphasizing that this is not the era of war, showcased India’s capacity to express its views to influential leaders. It highlighted India’s commitment to peaceful resolution and diplomacy, enhancing its international standing.
    • Strengthening Central Asian Ties: India’s participation in the SCO provides a valuable platform to strengthen and expand its relations with Central Asian countries. By actively engaging with them through the SCO, India can foster stronger bilateral ties and explore opportunities for trade, investment, and cooperation in various sectors.
    • Countering Cross-Border Terrorism: The SCO’s focus on combating terrorism and cross-border issues aligns with India’s priorities. Through participation in SCO initiatives and discussions, India can emphasize the importance of concerted efforts to address terrorism and promote regional stability.

    Changing Dynamics in Central Asia

    • Decline of Russian Influence: Central Asia, which was traditionally considered Russia’s backyard, has seen a decline in Russia’s influence in recent years. This decline is partly due to the ongoing Russia-Ukraine war and Russia’s annexation of Ukrainian territories. Central Asian countries, such as Kazakhstan, have openly expressed their non-support for Russia’s actions, signaling a shift in their perspective.
    • Growing Chinese Presence: China has been expanding its presence in Central Asia through initiatives like the Belt and Road Initiative (BRI). Chinese investments in infrastructure projects, such as building pipelines, transmission lines, and other connectivity projects, have increased.
    • Common People’s Concerns: The common people in Central Asian countries have concerns about potential economic exploitation and loss of national assets. There have been demonstrations against China’s increasing influence, highlighting the need for careful consideration of the long-term implications of Chinese involvement.
    • Search for Diverse Partnerships: Central Asian countries are looking beyond Russia and China for partnerships. They aim to avoid becoming excessively dependent on a single power and seek relationships with multiple countries. India, Turkey, Iran, the United States, and Europe are among the nations interested in engaging with Central Asian countries and offering alternative opportunities for economic cooperation, security, and development.
    • Strengthening Relations with India: India has historical, cultural, and civilizational links with Central Asia. Prime Minister Modi’s visits to all five Central Asian countries in 2015 demonstrated India’s commitment to deepening ties.
    • Multi-Actor Engagement: Besides India, other countries such as Turkey, Iran, the United States, and Europe are also recognizing the opportunities in Central Asia. They are actively seeking to enhance their relations with the region, understanding the need for a multi-actor approach to regional engagement.

    India’s progress and expectations

    • Strengthening regional relations: India’s active participation in the SCO has strengthened ties with Central Asian countries and expanded cooperation in various sectors.
    • Counterterrorism and security cooperation: India’s engagement in the SCO highlights its commitment to combating terrorism and promoting regional security.
    • Economic cooperation and trade opportunities: India seeks to enhance economic ties with Central Asian nations through trade and investment improvements.
    • Regional connectivity and infrastructure development: India advocates for improved regional connectivity, including projects like the International North-South Transport Corridor and the Chabahar Port, to facilitate trade and economic cooperation.
    • Cultural and people-to-people exchanges: India focuses on fostering cultural and educational exchanges to deepen mutual understanding and strengthen ties between India and Central Asia.
    • Expanding influence: Active participation in the SCO allows India to expand its influence in the region and project itself as a reliable and responsible partner in international affairs.

    Challenges within the SCO framework

    • Divergent Interests: The SCO consists of member states with diverse geopolitical interests, historical disputes, and economic priorities. These divergences can sometimes make it difficult to achieve consensus and coordinated action on important issues.
    • Bilateral Disputes: Some SCO member states have ongoing bilateral disputes, such as the border disputes between India and China, and Pakistan and India. These disputes can create tensions within the organization and hinder collective decision-making.
    • Power Dynamics: The SCO includes major powers like China and Russia, which may wield more influence and have their own priorities within the organization. Balancing power dynamics and ensuring equitable representation among member states can be a challenge.
    • Security Concerns: The SCO’s primary focus is on regional security, counterterrorism, and combating extremism. However, member states may have varying security concerns, differing threat perceptions, and divergent approaches to addressing security challenges.
    • Economic Disparities: The SCO encompasses countries with varying levels of economic development and differing priorities for economic cooperation. Achieving comprehensive economic integration among member states can be challenging due to disparities in economic systems, infrastructure connectivity, and trade barriers.

    Way forward

    • Strengthening Trust and Confidence: Member states should work towards building trust and confidence among themselves through increased dialogue, transparency, and shared understanding of each other’s perspectives and concerns. Regular high-level exchanges, bilateral meetings, and people-to-people interactions can contribute to enhancing trust and cooperation.
    • Consensus-Building and Decision-Making: The SCO should prioritize consensus-building among member states on key issues. Ensuring that decision-making processes are inclusive, transparent, and representative will help in addressing divergent interests and maintaining unity within the organization.
    • Resolving Bilateral Disputes: Member states should make efforts to resolve their bilateral disputes through peaceful means and dialogue. Encouraging direct negotiations, promoting confidence-building measures, and seeking third-party mediation when necessary can contribute to reducing tensions and enhancing cooperation within the SCO.
    • Enhanced Economic Cooperation: The SCO should focus on deepening economic cooperation among member states. This can be achieved through the promotion of trade, investment, infrastructure connectivity, and technology sharing.
    • Regional Security Cooperation: Member states should collaborate closely to address common security challenges, including terrorism, extremism, and drug trafficking. Strengthening intelligence sharing, joint exercises, and capacity-building initiatives can enhance the effectiveness of the SCO in maintaining regional security and stability.
    • Engaging with External Partners: The SCO should engage with external partners, including observer states and dialogue partners, to explore areas of mutual interest and cooperation. This can help leverage external expertise, resources, and networks to support the organization’s objectives while ensuring that the SCO remains independent and maintains its autonomy.

    Conclusion

    • While the SCO meeting may not directly resolve border standoffs or ongoing wars, it serves as a platform to strengthen regional relations, address cross-border terrorism, and explore avenues for cooperation. By actively engaging with Central Asian countries and leveraging its strengths, India can enhance its influence and contribute to the region’s progress
  • Why is China limiting exports of raw materials?

    china

    Central Idea

    • China’s Ministry of Commerce recently announced export controls on gallium and germanium, citing national security interests.
    • The move has raised concerns due to the crucial role of these raw materials in semiconductor manufacturing and various other industries.

    Why read this?

    The restrictions imposed by China have prompted responses from other countries, highlighting the geopolitical backdrop of the ongoing ‘global chip war.’

     

    Curbs Imposed by China

    • Specific Licensing Requirement: Export operators must acquire a specific license to restrict the export of gallium and germanium.
    • Application Process: Operators need to provide details of importers, end-users, end use, and the original export contract. Exporting without permission will be deemed a violation, leading to administrative penalties and potential criminal charges.

    Significance and Concerns

    • Role of Gallium: Gallium is crucial for manufacturing semiconductor wafers, integrated circuits, mobile communications, satellite communications, LEDs, automotives, lighting, and sensor applications.
    • Role of Germanium: Germanium is used in fiber-optic cables, infrared imaging devices, optical devices, and solar cells due to its properties such as heat resistance and energy conversion efficiency.
    • Import Dependency: China dominates 80% of gallium production and 60% of germanium production, causing concerns for countries heavily reliant on imports, such as the European Commission and India.

    International Responses

    • United States: The U.S. opposes China’s export controls and plans to consult with partners and allies to address the issue. The focus is on diversifying supply chains and building resilience.
    • European Commission: Expresses concerns about the development, raising doubts regarding its security-related nature.
    • Geopolitical Backdrop: The US, Japan, and the Netherlands have implemented export control measures for national security reasons, targeting advanced computing chips and semiconductor manufacturing capabilities.

    China’s Perspective

    • Denial of Targeting Specific Countries: Chinese Foreign Ministry spokesperson emphasizes that the export measures are not aimed at any particular country and highlights China’s commitment to secure and stable global supply chains.
    • Countermeasures: Some Chinese officials have suggested that the export controls are just the beginning, and China may escalate its countermeasures if restrictions intensify in the future.

    Impact on India

    • Short-Term Disruption: India may experience short-term disruptions in its industries due to the disruption of immediate supply chains and increased prices.
    • Long-Term Consequences: The long-term impact on India’s chip-making plans and industries will depend on factors such as alternative supply sources, domestic semiconductor production capabilities, and strategic partnerships like the India-U.S. Initiative on Critical and Emerging Technology (iCET).
    • Opportunity for India: India can explore waste recovery from zinc and alumina production for gallium and germanium, consider alternative substitutes like indium and silicon, and focus on domestic semiconductor production.

    Conclusion

    • China’s export controls on gallium and germanium have raised concerns globally due to their critical role in various industries, particularly semiconductor manufacturing.
    • The responses from other countries reflect the geopolitical backdrop of the ongoing ‘chip war.’

     

  • India-Russia Trade Payments Crisis

    russia

    Central Idea

    • India’s increasing reliance on oil imports from Russia has presented challenges in making payments due to various factors.
    • The breach of the oil price cap imposed by the US and European nations, lower discounts offered by Russia, and geopolitical ramifications of using alternative currencies have complicated the payment process.

    Oil Imports from Russia

    • Shift in Imports: Russia has become the largest supplier of oil to India, surpassing traditional players such as Iraq, Saudi Arabia, and the UAE.
    • Increased Imports: Crude oil imports from Russia to India have surged, reaching over $31 billion in 2022-23, almost 13 times higher than the previous year.
    • Dominance in Supply: Russia accounts for a significant portion of seaborne supplies of Russian-grade oil priced under $60 per barrel.

    Currency for Payments

    • SWIFT Sanctions: Western sanctions on Russian banks have blocked transactions through the Society for Worldwide Interbank Financial Telecommunication (SWIFT) system, hindering payments.
    • Dollar Dependency: Oil transactions have traditionally been dollar-dependent, but the price cap and sanctions have prompted India to explore alternative payment mechanisms.
    • Yuan and Dirham Payments: Some non-dollar payments for Russian oil have been settled in Chinese Yuan and UAE dirham.

    Issues with Rupee-Rouble Mechanism

    • Failed Implementation: Negotiations to reactivate the rupee-rouble trade arrangement have faced obstacles due to scepticism about rouble convertibility and concerns over rupee volatility.
    • Trade Deficit Concerns: The surge in oil trade has led to a significant trade deficit, reaching $43 billion in 2022-23, creating challenges for India.

    Geopolitical Ramifications

    • Strained Ties with China: Using the Chinese yuan for payments raises geopolitical concerns amid ongoing tensions between India and China.
    • De-dollarization Efforts: The U.S. sanctions have prompted countries to explore de-dollarization, seeking alternatives to the global reserve currency.

    Potential Solutions

    • Investment Opportunities: Balancing the trade deficit with Russia could involve encouraging investments in energy projects in India or Russian investments in Indian government bonds.
    • Roadmap for Rupee Internationalization: India aims to increase the international acceptance of the Indian rupee, although challenges related to its purchasing power and global market share remain.

    Conclusion

    • India’s challenges in paying for oil imports from Russia have arisen due to breaches of the oil price cap, limited payment mechanisms, and geopolitical considerations.
    • The failed rupee-rouble mechanism and the ballooning trade deficit have further complicated the situation.