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  • [1st July 2024] The Hindu Op-ed: Court on climate right and how India can enforce it

    [1st July 2024] The Hindu Op-ed: Court on climate right and how India can enforce it

    Mains PYQ Relevance: 

    Q) “The most significant achievement of modern law in India is the constitutionalization of environmental problems by the Supreme Court.” Discuss this statement with the help of relevant case laws.  (UPSC IAS/2022)
    Q) Examine the scope of Fundamental Rights in the light of the latest judgement of the Supreme Court on Right to Privacy. (UPSC IAS/2017)

    Prelims:
    Q) The power of the Supreme Court of India to decide disputes between the Centre and the States falls under its (UPSC IAS/2014)
    (a) Advisory jurisdiction
    (b) Appellate jurisdiction
    (c) Original jurisdiction
    (d) Writ jurisdiction

    Note4Students: 

    Prelims: Supreme Court on Endangered species; 

    Mains: Landmark Judgements by SC; Judicial Interventions;

    Mentor comments: The Supreme Court in M K Ranjitsinh & Ors. v. Union of India & Ors. ruled that people have a right to be free from the adverse effects of climate change which should be recognised by Article 14 and Article 21 of the Constitution. The ruling of the Supreme Court was rendered in response to a writ brought by a government official. The court acknowledged the complex interplay between environmental conservation, social equity, economic prosperity, and climate change. It stressed the need to balance the conservation of endangered species like the Great Indian Bustard (GIB) with the imperative of protecting against climate change.

    It appointed an Expert Committee to determine the best way to protect the species. This decision aimed to support India’s renewable energy goals and climate commitments while ensuring environmental protection. However, the effectiveness of court rulings on climate change remains a question, as climate change is a complex, multi-dimensional problem that requires a holistic approach. The court’s decision to defer to the executive on certain matters related to climate change policy has also been criticized by some experts.

    Let’s learn

    —

    Why in the News?

    The Apex court’s recent decision on M K Ranjitsinh & Ors. v. Union of India & Ors. to defer to the executive on certain matters related to climate change policy has been questioned by experts.

    What was the Supreme Court’s recent Landmark Judgment?

    • The Supreme Court in M K Ranjitsinh & Ors. v. Union of India & Ors. ruled that that people have a right to be free from the adverse effects of climate change which should be recognised by Article 14 and Article 21 of the Constitution. 
    • The ruling of the Supreme Court was rendered in response to a writ brought by conservationist and retired government official M K Rnajitsinh, who sought protection for two endangered species namely the Lessor Florican and the Great Indian Bustard.
    • The court acknowledged the complex interplay between environmental conservation, social equity, economic prosperity, and climate change.
    • While modifying its earlier order to underground power cables in the Great Indian Bustard’s habitat, the court prioritized transmission infrastructure to enable renewable energy development to address climate change.

    Present challenges along the verdict of Supreme Court:

    • Unresolved questions: The judgment leaves unresolved questions regarding the court’s emphasis on large-scale clean energy as the main pathway to avoiding climate harm and its potential understatement of climate adaptation and local environmental resilience.
    • Non-clarity: The court did not clarify how the newly recognized right against the adverse effects of climate change will be protected in practice.
    • Two potential approaches to realizing this right emerge:
      • The proliferation of court-based climate litigation, which may lead to an incomplete patchwork of protections.
      • The enactment of climate legislation, which can provide an overarching framework to guide future policy.

    The Need for Climate Legislation in India

    • Absence of an “umbrella legislation” in India : India needs climate legislation that is tailored to its unique context, rather than blindly copying other countries.
    • Framework climate legislation can set the vision for engaging with climate change across sectors and regions, create necessary institutions, and put in place processes for structured and deliberative governance in anticipation of and reaction to climate change.
    • Tailoring Climate Legislation to the Indian Context should also:
      • create a supportive regulatory environment for sustainable cities, buildings, and transport
      • enable adaptation measures like heat action plans and climate-resilient agriculture
      • protect key ecosystems like mangroves
      • consider social equity in achieving these goals
    • A single, omnibus law covering all these areas may not be feasible given India’s existing legal framework.
    Lessons from International Experience:

    • Climate laws in many countries, like the UK’s, focus narrowly on regulating carbon emissions, which is ill-suited for India.
    • Instead, India needs an “enabling law” that stimulates development-focused decisions across sectors towards low-carbon and climate-resilient growth.
    • An enabling law should be more procedurally-oriented, creating institutions, processes, and standards for mainstreaming climate change across ministries and society (emphasizing both adaptation and mitigation).

    Federal Factor:

    • On Decentralized approach: Many areas relevant to climate action, such as urban policy, agriculture, water, and electricity, fall under the authority of state and local level governments. An Indian climate law must set a framework for coherent national action and decentralize sufficiently to empower states and local governments.
    • On Fiscal and Governing Policies: The regional states and local governments need to be provided with information and finance to take effective actions. This would enable diverse segments of society to bring their knowledge and expertise to the table in addressing climate change.

    The Way Forward:

    • India should learn from international experience, both in terms of what not to do and what directions to follow.
    • The country’s climate legislation should be tailored to its unique context of being a developing, highly vulnerable nation still building its infrastructure.

    https://www.thehindu.com/opinion/lead/court-on-climate-right-and-how-india-can-enforce-it/article68352441.ece

  • Climate change forces Panama islanders to relocate

    Why in the news? 

    In early June, approximately 300 families were relocated from the island of Gardi Sugdub in Panama’s Guna Yala province due to concerns about rising sea levels.

    What is happening in Gardi Sugdub?

    • Location and Community: Gardi Sugdub, home to about 1,300 members of the Guna community, is an island in Panama’s Guna Yala province.
    • Sea Level Rise: The Caribbean region, where Panama is situated, is experiencing sea level rise at an average rate of 3 to 4 millimetres per year. This rate is expected to accelerate to 1 centimetre per year or more by 2100.
    • Flooding: Annually, particularly in November and December, seawater floods houses and streets on Gardi Sugdub, despite efforts to fortify the island.
    • Relocation: The Panamanian government constructed 300 new houses on the mainland in a development called Nuevo Cartí to relocate affected families.

    How are other island nations affected by sea level rise?

    • Small island developing states (SIDS) are particularly vulnerable due to their low elevation and reliance on marine resources. SIDS in the Caribbean, Pacific, Atlantic, Indian Ocean, and South China Sea face existential threats from rising sea levels.
    • Examples of Impact: Islands such as Tuvalu, the Marshall Islands, and Kiribati are experiencing significant land loss and threats to their culture and economies.
    • Consequences: Coastal erosion, salinization of freshwater resources, and increased vulnerability to extreme weather events due to rising sea levels, storm surges, and ‘king tides.’

    How fast is the global sea level rising?

    • Since 1880, global sea levels have risen by approximately 21–24 centimeters. The rate of increase has accelerated in recent decades.
    • Causes: The primary drivers are global warming, thermal expansion of seawater, and the melting of land-based ice such as glaciers and ice sheets.
    • Due to the Global Temperature Increase: The global average temperature has increased by at least 1.1 degrees Celsius since 1880, contributing to rising sea levels.

    Way forward: 

    • Strengthen Coastal and Environmental Defenses: Construct seawalls, breakwaters, and other barriers to protect against storm surges and coastal erosion. Restore and preserve natural coastal barriers such as mangroves, coral reefs, and wetlands to enhance natural protection.
    • Develop and Implement Climate Adaptation Strategies: Create comprehensive climate adaptation plans that include relocation strategies for vulnerable communities.

    Mains PYQ: 

    Q Explain the causes and effects of coastal erosion in India. What are the available coastal management techniques for combating the hazard? (UPSC IAS/2022)

  • Why Denmark has taxed cattle burps and farts?    

    Why in the news?

    Denmark will impose a tax on its livestock farmers for the greenhouse gases (GHGs) emitted by their cows, sheep, and pigs from 2030.

    What is it?

    Denmark plans to impose a tax on livestock farmers for greenhouse gases (GHGs) emitted by their cows, sheep, and pigs starting in 2030.

    • Tax Rates: Farmers would initially pay about $43 per metric ton of carbon dioxide equivalent produced by their livestock, increasing to around $108 by 2035.
    • Actual Cost: Due to a 60% income tax deduction, the actual cost per ton will start at 120 kroner ($17.3) and rise to 300 kroner ($43) by 2035.
    • Use of Tax Collection: The funds collected from the tax between 2030 and 2031 will be returned to the industry to support its green transition. The handling of proceeds will be revisited in 2032. The proposal includes the development of over 600,000 acres of new forest areas.

    How Do Cows and Sheep Produce Methane?

    • Ruminants like cows, sheep, goats, and buffaloes have a specialized digestive system with four stomach compartments, including the rumen. In the rumen, partially digested food ferments, producing methane.
    • Methane is released primarily through burping and farting as the animals regurgitate and chew cud to complete the digestive process. Ruminant digestive systems are responsible for 27% of all methane emissions from human activity.

    Why Are Methane Emissions a Problem?

    • Climate Impact: Methane is a potent greenhouse gas, responsible for 30% of warming since preindustrial times, second only to carbon dioxide. Over a 20-year period, methane is 80 times more potent at warming than carbon dioxide.
    • Ground-Level Ozone: Methane is the primary contributor to ground-level ozone formation, a highly irritating gas just above the Earth’s surface, contributing to 1 million premature deaths annually.
    • Rising Levels: Atmospheric methane levels have dramatically increased in recent years, with the NOAA reporting a record 17 parts per billion increase in 2021, surpassing the previous record set in 2020.

    Way forward: 

    • Dietary Adjustments: Introduce feed additives, such as seaweed or other natural supplements, that can reduce methane emissions during digestion in ruminants. This approach can significantly lower methane production without negatively impacting livestock health or productivity.
    • Improved Manure Management: Utilize advanced manure management practices, such as anaerobic digestion, to capture and convert methane emissions from decomposing animal waste into biogas. This not only reduces methane emissions but also provides a renewable energy source.

    Mains PYQ: 

    Q Describe the major outcomes of the 26th session of the Conference of the Parties (COP) to the United Nations Framework Convention on Climate Change (UNFCCC). What are the commitments made by India in this conference? (UPSC IAS/2021)

  • Why Indian-origin astronaut Sunita Williams is stuck in space?  

    Why in the News?

    The scheduled return of the Starliner spacecraft, which transported NASA astronauts Sunita Williams and Butch Wilmore to the International Space Station (ISS) earlier this month, has been delayed.

    What is the Starliner mission?

    • Objective: The Starliner Crew Flight Test mission aimed to transport NASA astronauts Sunita Williams and Butch Wilmore to the International Space Station (ISS) and demonstrate the spacecraft’s capability to safely ferry crew to and from low-Earth orbit (LEO).
    • Craft Description: CST-100 Starliner, developed by Boeing in collaboration with NASA’s Commercial Crew Program, is designed to accommodate up to seven passengers or a mix of crew and cargo for LEO missions. It is reusable up to 10 times with a turnaround time of six months.
    • Significance: Marks Boeing’s contribution to NASA’s efforts since the retirement of the Space Shuttle Program in 2011, alongside SpaceX’s Dragon spacecraft, which first delivered cargo in 2012 and transported astronauts in 2020.

    What has caused the delay?

    • Technical Issues: Multiple setbacks delayed the mission, including a faulty pressure valve on the Atlas V upper stage, engineering problems with other mechanisms, and issues with a spacecraft valve regulating oxidisers.
    • Specific Challenges: Post-launch, Starliner encountered five helium leaks, malfunctioning maneuvering thrusters, and a propellant valve failure, necessitating mid-mission fixes and assessments.

    What would happen to the astronauts?

    • Current Status: Sunita Williams and Butch Wilmore remain aboard the ISS, where they are conducting research and experiments. The spacecraft can stay docked for up to 45 days, and the ISS has sufficient supplies for extended periods.
    • Contingency Plan: If safety concerns persist or the Starliner issues cannot be resolved in time, the astronauts may return to Earth aboard SpaceX’s Dragon spacecraft, currently also docked at the ISS.

    Way forward ( what can NASA do?) 

    • Thorough Technical Review: NASA should conduct a comprehensive technical review of the Starliner spacecraft’s systems and components to identify the root causes of the multiple issues encountered during the mission.
    • Enhanced Mission Preparedness: NASA should prioritise enhancing mission preparedness protocols for commercial crew missions, including stricter pre-launch checks, contingency planning for mid-mission anomalies, and robust communication and coordination between mission control and astronauts aboard the ISS. This proactive approach can mitigate risks and ensure smoother operations in future missions.

    Mains PYQ: 

    Q What is India’s plan to have its own space station and how will it benefit our space programme? (UPSC IAS/2019)

  • Geoportals for Enhanced Rural Land Records and Emergency Management

    Why in the News?

    • The Union Ministry of Science and Technology launched two Geoportals: ‘Bhuvan Panchayat (Ver. 4.0)’ for rural land records and ‘National Database for Emergency Management (NDEM Ver. 5.0)’.
      • These portals were developed by the Indian Space Research Organization (ISRO).
      • These geospatial tools provide high-resolution satellite imagery of 1:10K scale for various locations across the country.

    About Bhuvan Panchayat (Ver. 4.0)

    • This portal supports “Space-based Information Support for Decentralized Planning (SISDP)”.
    • It aims to empower citizens at the grassroots level by providing real-time land record data and reducing dependency on local administration and corruption.
    • It promotes ease of living through digitalisation and better land revenue management.
    • By providing real-time data accessible to citizens, it reduces opportunities for corruption at the local level.
    • It enhances transparency and efficiency in land record management, aiding in effective governance and planning.

    About National Database for Emergency Management (NDEM Ver. 5.0)

    • This portal provides space-based inputs on natural disasters, aiding in disaster risk reduction in India and neighbouring countries.
    • It establishes an effective early warning system to proactively prevent disasters and monitor land use changes.
    • A command centre has been established to monitor situations and provide valuable inputs continuously.
    • The portal is designed to assist not only India but also neighbouring countries in disaster management.
    • It enhances coordination between various agencies and local authorities for effective disaster response and management.

    PYQ:

    [2023] With reference to the Digital India Land Records Modernisation Programme, consider the following statements :

    1. To implement the scheme, the Central Government provides 100% funding.
    2. Under the Scheme, Cadastral Maps are digitized.
    3. An initiative has been undertaken to transliterate the Records of Rights from local language to any of the languages recognized by the Constitution of India.

    Which of the statements given above are correct?

    (a) 1 and 2 only

    (b) 2 and 3 only

    (c) 1 and 3 only

    (d) 1, 2, and 3

  • Motor Neuron Disease (MND)

    Why in the News?

    The annual conference on Motor Neuron Disease (MND) ‘Awareness, Care and Management’ was held at NIMHANS.

    What is Motor Neuron Disease (MND)?

    • MND is a condition that affects the nerves in the brain and spinal cord, which are responsible for controlling your muscles.
    • Over time, these nerves (called motor neurons) stop working properly, leading to muscle weakness and wasting away.

    Types of MND:

    1. Amyotrophic Lateral Sclerosis (ALS): The most common type. It affects both upper and lower motor neurons, leading to weakness in various body parts.
    2. Progressive Bulbar Palsy (PBP): Affects the nerves in the brainstem, leading to problems with speaking and swallowing.
    3. Progressive Muscular Atrophy (PMA): Affects only the lower motor neurons, causing muscle weakness and wasting.
    4. Primary Lateral Sclerosis (PLS): Affects only the upper motor neurons, causing stiffness and movement difficulties.

    Causes of MND:

    • Genetic Factors: In some families, MND can be inherited due to specific gene mutations.
    • Environmental Factors: Exposure to certain toxins, viruses, or physical injuries might contribute, but this is less clear.
    • Age and Gender: It usually affects people between the ages of 50 and 70 and is slightly more common in men.

    Symptoms:

    • Muscle Weakness: Starts in one part of the body, like an arm or leg, and gradually spreads.
    • Muscle Cramps and Twitching: Small, involuntary muscle movements.
    • Difficulty Speaking and Swallowing: Due to weakness in the muscles used for these functions.
    • Breathing Problems: In advanced stages, muscles that control breathing can be affected.
    • Emotional Changes: Some people might experience changes in behavior or thinking.

    Diagnosis:

    • Clinical Examination: A doctor examines your symptoms and medical history.
    • Electromyography (EMG): Tests the electrical activity of your muscles.
    • Nerve Conduction Studies (NCS): Checks how well your nerves send signals.
    • MRI: Scans to rule out other conditions.
    • Genetic Testing: To check for inherited forms of MND.

    Treatment:

    There is no cure for MND, but treatments can help manage symptoms and improve quality of life.

    1. Medications:
      • Riluzole: Can slow down the progression of ALS.
      • Edaravone: Another drug that may slow down the decline in daily activities.
      • Symptomatic Treatments: For muscle cramps, excess saliva, and emotional symptoms.
    2. Therapies:
      • Physical Therapy: Helps maintain muscle strength and mobility.
      • Occupational Therapy: Aids in performing daily activities.
      • Speech Therapy: Assists with speech and swallowing difficulties.
      • Respiratory Therapy: Supports breathing issues.

    Back2Basics: National Institute of Mental Health and Neuro-Sciences (NIMHANS)

    Details
    Location Bangalore, India
    Affiliation Autonomous institute under the Ministry of Health and Family Welfare, Government of India
    Ranking Ranked 4th best medical institute in India by the “National Institutional Ranking Framework (NIRF)”
    History
    • Founded in 1847 as the Bangalore Lunatic Asylum.
    • Renamed as the Mental Hospital in 1925.
    • Amalgamated with the All India Institute of Mental Health (AIIMH) in 1974 to form NIMHANS.
    • Conferred with deemed university status by the University Grants Commission in 1994.
    • Declared an Institute of National Importance by an act of parliament in 2012.
    Governance
    • Operates with academic autonomy under the “Societies Registration Act, 1860”.
    • Prioritises service, manpower development, and research in mental health and neurosciences.
    • A multidisciplinary integrated approach was adopted for translating research results into practice.
    Funding Receives resources for academic and research activities from national and international funding organisations.
    Outreach
    • Engages in mental health outreach initiatives including critiquing mental health reports and collaborating with government agencies for training and counseling.
    • Known for diagnosing and treating various mental health conditions including depression and neurobiological disorders.

  • Why govt must create a buffer stock of all main food items? 

    Why in the news? 

    Sales of wheat and chana in the open market have effectively curbed soaring inflation in cereals and pulses.

    What is an Open Market?

    • An open market is an economic system with little to no barriers to free-market activity. An open market is characterized by the absence of tariffs, taxes, licensing requirements, subsidies, unionization, and any other regulations or practices that interfere with free-market activity. Open markets may have competitive barriers to entry, but never any regulatory barriers to entry.

    Present State of Inflation:

    • Overall CPI Inflation: Stood at 4.75% year-on-year in May, the lowest in 12 months, but food inflation remained elevated at 8.69%.
    • Cereals and Pulses: Inflation rates were 8.69% for cereals and 17.14% for pulses in May 2024.
    • Impact of Buffer Stocks: Buffer stocks of wheat and chana moderated inflation by ensuring sufficient supply during periods of price volatility.

    How Buffer in Gram(Chana) Helped:

    • NAFED Procurements: Procured large quantities of chana during surplus years at MSP, preventing prices from soaring during crop failures.
    • Distribution: Sold chana through various channels including open market e-auctions and ‘Bharat Dal’ at subsidized rates, stabilizing prices for consumers.
    • Current Stock Levels: Despite recent sales, NAFED still maintains a buffer stock of 4.01 lakh tonnes of chana as of now.

    Significant Role Played by FCI:

    • Wheat Offloading: FCI offloaded a record 100.88 lakh tonnes of wheat in fiscal 2023-24 through open market sales, stabilizing prices and reducing inflation.
    • Retail Price Management: Sales under schemes like ‘Bharat Atta’ ensured wheat and cereal inflation was reduced from peak levels earlier in 2023.
    • Buffer Management: Despite reduced stocks from previous years, FCI’s interventions have been crucial in managing price volatility in essential commodities.

    Need to Adopt Buffer Policy and Better Procurement:

    • Buffer Stock Strategy: Proposal to expand buffer stocks beyond rice, wheat, and select pulses to include oilseeds, vegetables, and even milk powder to mitigate price spikes.
    • Enhanced Procurement: Advocates for increased procurement during surplus years to build adequate buffer stocks for future market stabilization.
    • Policy Impact: Buffer stocking can moderate price volatility influenced by climate change-induced agricultural uncertainties, benefiting both consumers and producers.

    Way forward: 

    • Enhanced Diversification of Buffer Stocks: There is a need to diversify buffer stocks beyond traditional items like rice and wheat to include a broader range of essential commodities such as oilseeds, vegetables, and milk powder. This expansion would help in better managing price spikes and supply shocks across various sectors.
    • Strengthened Procurement Mechanisms: Improving procurement strategies during surplus production years is crucial. This involves proactive measures to purchase larger quantities of commodities at minimum support prices (MSPs), ensuring adequate buffer stocks for future market stabilization and price moderation during scarcity periods.

    Mains PYQ: 

    Q Food Security Bill is expected to eliminate hunger and malnutrition in India. Critically discuss various apprehensions in its effective implementation along with the concerns it has generated in WTO. (UPSC IAS/2013)

  • Interest rates on small savings schemes like PPF, SCSS, and NSC are under review by Modi 3.0 government 

    Why in the news? 

    The central government of India is set to announce the interest rates for various small savings schemes, including the Public Provident Fund (PPF), Senior Citizen Savings Scheme (SCSS), National Savings Certificate (NSC), Sukanya Samriddhi Yojana (SSY), and Post Office Monthly Income Scheme (POMIS), for the July-September 2024 quarter by June 30, 2024.

    Current Interest Rates and Expected Changes

    1. Public Provident Fund (PPF)
    • Current Rate: 7.1%
    • Expected Rate: Despite the benchmark 10-year bond yield averaging 7.02% from March to May 2024, which would suggest a rate of 7.27% according to the formula, experts believe the government will likely maintain the status quo.
    • Reason: Factors such as controlled inflation, stable 10-year G-Sec yields, and historical precedence of the government not strictly following the recommended formula indicate a low probability of rate hikes.

    2. Senior Citizen Savings Scheme (SCSS)

    • Current Rate: 8.2%
    • Expected Rate: Unlikely to see significant changes.
    • Reason: With a spread of 100 basis points, the SCSS offers a substantial return, and experts predict the government will maintain existing rates to manage fiscal policies effectively.

    3. Sukanya Samriddhi Yojana (SSY)

    • Current Rate: 8.0%
    • Expected Rate: Expected to remain stable.
    • Reason: The SSY enjoys a spread of 75 basis points. Given the controlled inflation and fiscal policies, a rate hike is not anticipated.

    Factors Influencing Interest Rates

    • Benchmark Yields: The interest rates for small savings schemes are linked to the yields of 10-year government securities.
    • Market Conditions: Prevailing market yields and inflation rates play a crucial role in determining these rates.
    • Government Policy: The central government’s fiscal strategy and policies, such as those outlined in the Union Budget, impact decisions on interest rates.

    Impact of Stable Interest Rates on Small Savings Schemes

    • Investor Sentiment and Returns
      • PPF: Investors in PPF may feel disappointed due to the stagnation in interest rates despite a slight uptick in benchmark yields. However, PPF still offers tax-free returns under the Exempt-Exempt-Exempt (EEE) status, making it an attractive long-term investment.
      • SCSS and SSY: Stability in interest rates ensures a predictable income stream for senior citizens and parents of girl children, maintaining their trust in these schemes.
    • Government Fiscal Management: Maintaining the current interest rates helps the government manage its fiscal deficit more effectively. Higher rates would increase the interest burden on the government, especially for widely subscribed schemes like PPF.
    • Inflation Control: Stable interest rates reflect the government’s confidence in managing inflation. By not increasing rates, the government signals that it sees inflation as under control, thus aiming to keep borrowing costs stable for both the government and the public.
    • Market Stability: Consistent interest rates contribute to market stability. Predictable returns on small savings schemes help in the planning of household finances, ensuring steady savings and investments. This stability can also foster overall economic stability by maintaining consumer confidence.

    Conclusion: Investors in PPF, SCSS, and SSY should prepare for the possibility that interest rates will remain unchanged for the July-September 2024 quarter. While the formula indicates room for an increase in PPF rates, historical trends and expert opinions suggest that the government may maintain the current rates to balance fiscal control and market stability.

    Mains PYQ:

    Q Pradhan Mantri Jan-Dhan Yojana (PMJDY) is necessary for bringing the unbanked to the institutional fiancé fold. Do you agree with this for the financial inclusion of the poorer section of the Indian society? Give arguments to justify your opinion. (UPSC IAS/2016)

  • [28th June 2024] The Hindu Op-ed: Reasi and the ‘years-old’ issue of cross-border terror 

    PYQ Relevance:

    Q Analyse the complexity and intensity of terrorism, its causes, linkages and obnoxious nexus. Also suggests measures required to be taken to eradicate the menace of terrorism. (UPSC IAS/2021)

    Q  Indian government has recently strengthed the anti-terrorism laws by amending the Unlawful Activities (Prevention) Act, (UAPA), 1967 and the NIA Act. Analyze the changes in the context of the prevailing security environment while discussing the scope and reasons for opposing the UAPA by human rights organisations. (UPSC IAS/2019)

    Mentor comment: Terrorism is the use of violence and intimidation, especially against civilians, to achieve political, ideological, or religious goals. It disrupts societal peace, spreads fear, and causes loss of lives and property. Combating terrorism requires global cooperation, robust intelligence, and addressing underlying issues like poverty, inequality, and political instability to prevent radicalization and promote peace.

    Let’s learn!

    Why in the News?

    • The Reasi terrorist attack on June 9 coincided with PM Narendra Modi’s third-term swearing-in.
    • This attack is reminiscent of the May 23, 2014, attack on the Consulate General of India (CGI) in Herat, Afghanistan, just before Modi’s first swearing-in.

    Terrorism: A Continuing Challenge

    • Potential links to Pakistani terrorist groups: The Reasi attack’s potential links to terrorist groups in Pakistan underscore a 35-year ongoing threat in J&K.
    • Inspiration from Afghan Jihad: Inspired by the Afghan Jihad, Pakistan believed similar tactics could pressure India in Kashmir.
    • Early 1990s developments: The Indian state and its security forces took time to develop effective counter-insurgency and counter-terrorism strategies in the early 1990s.

    Pakistan’s Commitment to the ‘Terror Cause’

    • Support from Pakistan Army and leaders: The Pakistan Army and political leaders like Nawaz Sharif and Benazir Bhutto supported J&K separatism through terror.
    • Bhutto’s stance in 1994: Benazir Bhutto refused to engage in talks with India in 1994 unless India addressed J&K on Pakistan’s terms, leading to no dialogue during her tenure.
    • Sharif’s 1997 initiative: Nawaz Sharif, during his second term as Prime Minister in 1997, sought a structured dialogue with India focusing on humanitarian issues and conflict resolution, with J&K as a priority.

    India’s Diplomatic Approach

    • Mid-1990s confidence: By the mid-1990s, India combined force with political activity, holding J&K Assembly elections in 1996.
    • Resolution through Simla Agreement: India aimed to resolve the external J&K issue peacefully through the Simla Agreement of 1972.
    • Pakistan’s use of Islamist non-state actors: Pakistan’s use of Islamist non-state actors to promote terrorism nullified the constraints of the Simla Agreement, making terrorism a strategic issue for India.

    Composite Dialogue and Pakistan’s Intransigence

    • 1998 bilateral composite dialogue: In 1998, India and Pakistan agreed on a composite dialogue, including ‘terrorism and counter-narcotics’ as key issues.
    • Pakistan’s reluctance: Pakistan’s reluctance to address India’s concerns on terrorism persisted, as it viewed the calibrated use of terrorist groups as part of its security doctrine.
    • Continued use of terrorism: Despite the efforts of Prime Ministers Vajpayee, Manmohan Singh, and Modi, Pakistan continued using terrorism as a tool against India.

    Challenges with Diplomatic Solutions

    • Public opinion in India: Public opinion in India often favored military action after major terrorist attacks.
    • Post-2008 Mumbai attack: After the 2008 Mumbai terrorist attack, Dr. Manmohan Singh opted for global diplomatic support rather than military action.
    • Post-2001 Parliament attack: After the 2001 Parliament attack, the A.B. Vajpayee government mobilized the armed forces but refrained from war due to assurances from Pakistan’s President Pervez Musharraf.

    Pre-emption and Military Action

    • Post-Pulwama attack in 2019: After the Pulwama attack in 2019, India launched the Balakot aerial strike and announced a doctrine of pre-emption.
    • 2016 surgical strikes: Earlier, limited force was used in surgical strikes following the Uri attack in 2016. However, ambiguity remains regarding the threshold for military action.

    International Recognition and Diplomatic Efforts

    • Major powers’ recognition: Major powers recognize Pakistan’s use of terrorism against its neighbors.
    • Plausible deniability: Despite plausible deniability, Pakistan’s actions are increasingly unsustainable.
    • Evidence linking attacks to Pakistani groups: India has provided evidence linking Pakistani terrorist groups to various attacks, but Pakistan has failed to act.
    • Post-Reasi attack emphasis: After the Reasi attack, External Affairs Minister S. Jaishankar emphasized the need to address cross-border terrorism and its escalation risks between nuclear-armed countries.

    Conclusion

    • Strengthening Intelligence and Border Security: Enhance coordination among intelligence agencies for early detection of threats, and invest in advanced surveillance technologies. Implement stricter border controls using drones, sensors, and biometric systems to prevent terrorist infiltration and smuggling of weapons.
    • International Cooperation and Counter-Radicalization: Collaborate with global allies to share intelligence and counter-terrorism strategies, while engaging in diplomatic efforts to pressure countries harboring terrorists. Develop community outreach programs to counter extremist ideologies and promote education and awareness campaigns that emphasize tolerance and peace.

    https://www.thehindu.com/opinion/lead/reasi-and-the-years-old-issue-of-cross-border-terror/article68341431.ece

  • RBI releases the 29th Financial Stability Report, 2024

    Why in the News?

    The Reserve Bank of India has released the 29th issue of the Financial Stability Report (FSR).

    About Financial Stability Report:

    • The FSR is published biannually by the RBI.
    • It reflects the collective assessment of the Sub-Committee of the Financial Stability and Development Council (FSDC – headed by the Governor of RBI) on risks to financial stability and the resilience of the financial system.
    • The Report also discusses issues relating to the development and regulation of the financial sector.

    Key Highlights of the FSR

    [1] Global Economic Context

    • Heightened Global Risks: The global economy faces significant challenges, such as:
      • Geopolitical Tensions: Conflicts or political disagreements between countries that can affect global stability.
      • Elevated Public Debt: Many countries owe large amounts of money, which can be risky if they struggle to repay it.
      • Slow Progress in Disinflation: Prices of goods and services are not decreasing quickly, which can affect economic stability.
    • Resilience: Despite these challenges, the global financial system (how money moves around the world) remains strong and stable.

    [2] Indian Economy and Financial System

    • Robust and Resilient: India’s economy and financial system are strong and able to handle shocks or problems.
    • Banking Sector Support: Banks and financial institutions (like insurance companies) are in good health and are lending money to support economic activities.

    [3] Financial Metrics for Scheduled Commercial Banks (SCBs)

    • Capital Ratios:
      • Capital to Risk-Weighted Assets Ratio (CRAR): This is a measure of a bank’s financial strength. A CRAR of 16.8% means that for every 100 units of risk, the bank has 16.8 units of capital to cover potential losses.
      • Common Equity Tier 1 (CET1) Ratio: This is a stricter measure of a bank’s core capital. A CET1 ratio of 13.9% means the bank has a strong base of high-quality capital.
    • Asset Quality:
      • Gross Non-Performing Assets (GNPA) Ratio: This measures the percentage of a bank’s loans that are not being repaid. A GNPA ratio of 2.8% means that 2.8% of the total loans are in trouble.
      • Net Non-Performing Assets (NNPA) Ratio: This is similar to GNPA but considers the money the bank has already set aside to cover bad loans. An NNPA ratio of 0.6% means that 0.6% of the total loans, after accounting for provisions, are in trouble.

    [4] Macro Stress Tests for Credit Risk

    • Stress Scenarios and Projections:
      • Baseline Scenario: Under normal conditions, banks are expected to have a CRAR of 16.1% by March 2025.
      • Medium Stress Scenario: Under moderate stress, banks are expected to have a CRAR of 14.4% by March 2025.
      • Severe Stress Scenario: Under severe stress, banks are expected to have a CRAR of 13.0% by March 2025.
    • Interpretation: These tests show how banks might perform under different levels of economic stress. They are hypothetical scenarios to ensure banks are prepared for tough times.

    [5] Health of Non-Banking Financial Companies (NBFCs)

    • CRAR: NBFCs have a CRAR of 26.6%, indicating they are financially strong.
    • GNPA Ratio: NBFCs have a GNPA ratio of 4.0%, meaning 4% of their loans are not being repaid.
    • Return on Assets (RoA): NBFCs have a RoA of 3.3%, indicating they are making good profits from their assets.

    PYQ:

    [2016] With reference to ‘Financial Stability and Development Council’, consider the following statements:

    1. It is an organ of NITI Aayog.

    2. It is headed by the Union Finance Minister.

    3. It monitors macroprudential supervision of the economy.

    Which of the statements given above is/are correct?

    (a) 1 and 2 only

    (b) 3 only

    (c) 2 and 3 only

    (d) 1, 2 and 3