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  • RBI Notifications

    Cryptocurrency & India

    op-ed snap | Science Tech | Mains Paper 3: Awareness in various sc and tech fields,Indian Economy

    The article highlights the need for coherent cryptocurrency policy and avoid missing the benefits offered by the technology.

    Growing dominance of cryptocurrencies

    • Created by Satoshi Nakamoto in 2008, Bitcoin is the most popular cryptocurrency.
    • It is a fully decentralised, peer-to-peer electronic cash system that didn’t need the purview of any third-party financial institution.
    • The Bitcoin, which traded at just $ 0.0008 in 2010, commanded a market price of just under $65,000 this April.
    • Many newer coins were introduced since Bitcoin’s launch, and their cumulative market value touched $ 2.5 trillion this May.
    • Within a span of just over a decade, their value has surpassed the size of economies of most modern nations.
    •  The “cryptomarket” grew by over 500 per cent, even while the pandemic unleashed global economic carnage not seen since the Great Depression.
    • China’s recent crackdown on cryptocurrency had far-reaching consequences.
    • An astounding trillion US dollars were wiped out from the global cryptomarket within a span of 24 hours.
    • This kind of  volatility mentioned above has always been a concern for regulators and investors alike.

    India’s approach

    • Law enforcement and taxation agencies have called for a ban, expressing concerns over cryptocurrencies being used as instruments for illicit activities, including money laundering and terror funding.
    • In 2018, the Reserve Bank barred our financial institutions from supporting crypto transactions — but the Supreme Court overturned it in 2020.
    • Yet, Indian banks still block these transactions, and the government has circulated a draft bill outlawing all cryptocurrency activities, which has been under discussion since 2019.
    • The Reserve Bank has announced the launch of a private blockchain-supported official digital currency, similar to the digital Yuan.
    • India is increasingly mimicking China’s paradoxical attempt to centralise a decentralised ecosystem.
    • India is trying to decouple cryptocurrencies from their underlying blockchain technology, and still derive benefit.
    • Unfortunately, this is impractical, and shows a lack of understanding of this disruptive innovation.
    • The funds that have gone into the Indian blockchain start-ups are less than 0.2 per cent of the amount the sector raised globally.
    • The current central government approach makes it near-impossible for entrepreneurs and investors to acquire much economic benefit.

    Need for regulation

    • Regulation is definitely needed to prevent serious problems, to ensure that cryptocurrencies are not misused, and to protect unsuspecting investors from excessive market volatility and possible scams.
    •  However, regulation needs to be clear, transparent, coherent and animated by a vision of what it seeks to achieve.
    • India has not been able to tick these boxes, and we’re in danger of missing out in the global race altogether.

    Way forward

    • Any new regulations made in this sector should prevent the misuse of these digital assets without hindering innovation and investments.
    • Provisions have to be made to route the value extracted from these networks transparently into our financial system.
    • Regulatory uncertainties over India’s position on cryptocurrency highlights the need for clear-headed policy-making.

    Consider the question “India was a late adopter in all the previous phases of the digital revolution be it the semiconductors, the internet or smartphones. Do you think the same is happening again in India’s adoption of cryptocurrencies and blockchain technology?”

    Conclusion

    We are currently on the cusp of the next phase, which would be led by technologies like blockchain. We have the potential to channel our human capital, expertise and resources into this revolution, and emerge as one of the winners of this wave. All we need to do is to get our policymaking right.

     

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  • Monsoon Updates

    Monsoon onset over Kerala delayed: IMD

    Prelims Only | Enviro & Biodiversity | : Geographical Features & Their Location

    • The monsoon’s arrival over Kerala has been delayed to June 3, according to an update by the India Meteorological Department (IMD).
    • Private weather forecast agency, Skymet, however, said that the monsoon had arrived.
    • This was because two of the three criteria — as defined by the IMD — had been met.
    • Currently, IMD’s own data indicated that except for the OLR, the other criteria were met. Thus, there is an element of subjectivity in arrival.

    What are those criterias defined by IMD?

    1. Rain-bearing westerlies being at a minimum depth and speed;
    2. At least 60% of the available 14 stations in Kerala and coastal Karnataka, reporting rainfall of 2.5 mm or more for two consecutive days after May 10;
    3. A certain degree of clouding, indicated by a parameter called ‘outgoing long wave radiation’ (OLR), being below 200 W/square meter.

    What is meant by ‘Outgoing Long Wave Radiation’ (OLR)?

    • Outgoing Long-wave Radiation (OLR) is electromagnetic radiation of wavelengths from 3–100 μm emitted from Earth and its atmosphere out to space in the form of thermal radiation.
    • It is also referred to as up-welling long-wave radiation and terrestrial long-wave flux, among others.
    • The flux of energy transported by outgoing long-wave radiation is measured in W/m.
    • In the Earth’s climate system, long-wave radiation involves processes of absorption, scattering, and emissions from atmospheric gases, aerosols, clouds and the surface.
    • Over 99% of outgoing long-wave radiation has wavelengths between 4 μm and 100 μm, in the thermal infrared part of the electromagnetic spectrum.

    Factors responsible for south-west monsoon formation:

    1. Intense heating of Tibetan plateau during summer months.
    2. Permanent high pressure cell in the South Indian Ocean (east to north-east of Madagascar in summer).

    Factors that influence the onset of south-west monsoons:

    1. Above points +
    2. Subtropical Jet Stream (STJ).
    3. Tropical Easterly Jet (African Easterly Jet).
    4. Inter Tropical Convergence Zone.

    Factors that influence the intensity of south-west monsoons:

    1. Strengths of Low pressure over Tibet and high pressure over southern Indian Ocean.
    2. Somali Jet (Findlater Jet).
    3. Somali Current (Findlater Current).
    4. Indian Ocean branch of Walker Cell.
    5. Indian Ocean Dipole.

    Factors responsible for north-east monsoon formation:

    1. Formation and strengthening of high pressure cells over Tibetan plateau and Siberian Plateau in winter.
    2. Westward migration and subsequent weakening of high pressure cell in the Southern Indian Ocean.
    3. Migration of ITCZ to the south of India.

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  • ‘Bell of Faith’ launched by Kerala for senior citizens

    Schemes | Indian Society | Mains Paper 1: Social Empowerment

    The ‘Bell of Faith’ scheme will now be implemented for senior citizens staying alone in villages. Scheme to cover 250 houses in city in the first phase.

    What is the ‘Bell of Faith’ scheme all about?

    • It is a safety project conceived under Kerala’s Community Policing Scheme.
    • It will help elderly citizens attract the attention of their neighbours using a loud, remote-controlled alarm in emergencies.
    • It has been under implementation in Kerala since 2018.
    • A welfare fund of ₹3.5 crore sanctioned by the State government would be used for the initiative that gives preference to those staying alone in their houses.
    • In the first phase, around 250 houses selected by the local Janamaithri scheme coordinators will be covered under the scheme

    Significance of the Project:

    • It sets an example for community participation to ensure the well-being and safety of the elderly.
    • It can be of great support for the aged during the COVID-19 pandemic as many live in fear for their health.
    • The electronic bells, installed free of cost with wireless control mechanism, will help senior citizens in quickly seeking the support of neighbours during emergencies.

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  • Foreign Policy Watch: India-Africa

    Economic Community of West African States (ECOWAS)

    IOCR | International Relations | : Bilateral, Regional and Global Groupings and agreements involving India

    West African leaders were due to meet in Ghana to discuss a response to Mali’s second coup in nine months.

    • Since 1960, when Mali gained independence from France, there have been five coups — and only one peaceful transition from one democratically elected president to another.
    • But on Monday, soldiers detained transitional President Bah Ndaw and Prime Minister Moctar Ouane, releasing them on Thursday while saying that they had resigned.

    Recent coup

    • Nine months ago, President Ibrahim Boubacar Keita was overthrown in the wake of mass anti-government protests.
    • Last week, the announcement of a new cabinet was made that excluded two key military leaders. Following this, the army has detained the President and the Prime Minister.

    About ECOWAS

    • The Economic Community Of West African States (ECOWAS) is a regional group of fifteen countries, founded in 1975 via the treaty of Lagos.
    • Mission: To promote economic integration in “all fields of economic activity, particularly industry, transport, telecommunications, energy, agriculture, natural resources, commerce, monetary and financial questions, social and cultural matters.
    • Vision: Creation of a borderless region where the population has access to its abundant resources and is able to exploit same through the creation of opportunities under a sustainable environment.
    • ECOWAS can be divided into two sub-regional blocs:
    1. West African Economic and Monetary Union – established in 1994
    2. West African Monetary Zone (WAMZ) – established in 2000
    • ECOWAS is meant to be a region governed in accordance with the principles of democracy, rule of law and good governance.
    • The member countries of ECOWAS comprises: Benin, Burkina Faso, Cape Verde, Cote d’ Ivoire, The Gambia, Ghana, Guinea, Guinea Bissau, Liberia, Mali, Niger, Nigeria, Sierra Leone, Senegal and Togo.

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  • Modern Indian History-Events and Personalities

    Statehood Day of Goa

    | | Mains Paper 1: Modern Indian History

    On 18 December 1961, the Indian government took military action against the Portuguese rule in Goa culminating in the liberation of Goa and its merger with the Indian Union.

    About Goa

    • Goa is located on the southwestern coast of India within the region known as the Konkan, and geographically separated from the Deccan highlands by the Western Ghats.
    • Capital: Panji.
    • Official Language: Konkani which is one of the 22 languages from the Eight Schedule.
    • Borders: It is surrounded by Maharashtra to the north and Karnataka to the east and south, with the Arabian Sea forming its western coast.

    History:

    • Portugal conquered Goa in 1510 and made it a colony.
    • In 1950, the Indian government, in a bid to start diplomatic measures to free Goa, asked the Portuguese government to start negotiations for the independence of Goa. However, Portugal refused.
    • The Goan movement was supported by Indian independence leaders like Jawaharlal Nehru, Subhas Chandra Bose, Dr. Ram Manohar Lohia and Dr. Rajendra Prasad.
    • Dadra and Nagar Haveli was annexed by India in 1954 with the support of the United Front of Goans, the Azad Gomantak Dal and the National Movement Liberation Organisation.
    • The commander of the Indian forces was Major-General K.P. Candeth. The operation for Goa liberation was codenamed “Operation Vijay”.
    • After the fall of Goa, Portugal terminated all diplomatic relations with India and only in 1974 Portugal recognise Goa as a part of India and resume diplomatic relations.
    • The USSR had steadfastly supported India in this matter and also vetoed a resolution condemning the Indian invasion in the UN Security Council.

    Geography:

    • The highest point of Goa is Sonsogor.
    • Goa’s seven major rivers are the Zuari, Mandovi, Terekhol, Chapora, Galgibag, Kumbarjua canal, Talpona and the Sal.
    • Most of Goa’s soil cover is made up of laterites.

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  • Data is an essential weapon against Covid

    op-ed snap | Science Tech | Mains Paper 3: Awareness in various sc and tech fields

    The article highlights how data played an important role in decision-making in dealing with the Covid-19 pandemic. 

    Importance of data in decision making

    • The COVID-19 pandemic has highlighted globally how important data is to governments in decision-making.
    • Epidemiological data is of paramount significance for targeting and implementing control measures for public health in a timely manner
    • Such data was used effectively in the evidence-based response and decision-making in countries like South Korea.
    • Modern response to pandemics has focused on exploiting all the available data to inform policy action in real time.

    How data analysis helped during pandemic

    • Data analysis has revealed the need for continuous and repeated tracking of case numbers, fatalities and recoveries.
    • The epidemiological concept of flattening the curve and its predictions are results of data analysis and modelling.
    • Understanding testing adequacy or lack thereof allows us to measure our preparedness, prognostic versus diagnostic ability, and shape our responses to identify, manage, and care for new cases.
    • Epidemic outbreak data like case data, medical and treatment data can be used to understand disease pathogenesis and severity.
    • Genome sequencing surveillance helps identify and track viral genome sequence variants in real time and the evolution of the virus.
    •  The concept of open access to various data enables models to improve forecast and study the spread of the disease.’

    Integration and analysis of multiple datatypes

    • The integration and analysis of multiple heterogeneous datatypes eventually would yield a holistic picture.
    • This helps guide policy decisions for control and management of public health.
    • When genome surveillance data is correlated with the magnitude of cases and their outcomes, then we can understand the transmissibility or infectivity of the virus.
    • Geographical mapping of prevalence of mutants allows us to understand viral spread and explain recoveries or deaths in a specific area.
    • The roll out of vaccinations can shape viral evolution and drug-treatment strategies.
    • Surveillance through studying genome sequencing of the virus, coupled to other epidemiological data allows us to identify these connections.

    Challenges

    • Part of the challenge lies in the standardisation of data collection, curation, annotation and the integration of data analytics pipelines for outbreak analytics.

    Way forward

    • Ensuring data availability and quality under operational constraints is critical.
    • The use of data standards instils consistency, reduces errors and enables transparency.
    • Embedded in the idea of data sharing lies the concept of data security and confidentiality.
    • Concerns of privacy and security calls for a systemic infrastructure with built-in safeguards to ensure data encryption while preserving anonymity and ensuring privacy.
    • As our dependence on data-based decisions becomes more and more critical, an urgent charter for standardised digital health data in India is required.

    Consider the question “The COVID-19 pandemic has highlighted globally how important data is to governments in decision-making. Explain how data helps in decision making and challenges in evidence-based decision making based on data.”

    Conclusion

    Rational and scientific methods necessitate data without which neither can we have information, nor knowledge or wisdom. Data sharing, and transparency and timely dissemination of data are critical to overcome the pandemic.

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  • Primary and Secondary Education – RTE, Education Policy, SEQI, RMSA, Committee Reports, etc.

    Mid Day Meal Scheme

    Schemes | Governance | Mains Paper 2: Government Scheme/Policies

    The Centre has decided to give about ₹100 each to children studying in Class 1 to Class 8 in government schools, who are beneficiaries of the Mid Day Meal scheme.

    Mid Day Meal Scheme

    • The Midday Meal Scheme is a school meal programme in India designed to better the nutritional standing of school-age children nationwide.
    • It is a wholesome freshly-cooked lunch served to children in government and government-aided schools in India.
    • The programme supplies free lunches on working days for children in primary and upper primary classes in government, government-aided, local body and alternate innovative education centres, Madarsa and Maqtabs.
    • Serving 120,000,000 children in over 1,265,000 schools and Education Guarantee Scheme centres, it is the largest of its kind in the world.
    • The programme has undergone many changes since its launch in 1995. The Midday Meal Scheme is covered by the National Food Security Act, 2013.

    The scheme aims to:

    1. avoid classroom hunger
    2. increase school enrolment
    3. increase school attendance
    4. improve socialization among castes
    5. address malnutrition
    6. empower women through employment

    Answer this PYQ in the comment box:

    Q.An objective of the National Food Security Mission is to increase the production of certain crops through area expansion and productivity enhancement in a sustainable manner in the identified districts of the country. What are those crops?

    (a) Rice and wheat only

    (b) Rice, wheat, and pulses only

    (c) Rice, wheat, pulses, and oilseeds only

    (d) Rice, wheat, pulses, oilseeds, and vegetables

    What is the new move?

    • The money, ₹1200 crore in total, will be given to 11.8 crore children through direct benefit transfer as a one-time payment.
    • The money comes from the cooking cost component of the scheme, it said.
    • This decision will help safeguard the nutritional levels of children and aid in protecting their immunity during challenging pandemic times.

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  • Foreign Policy Watch: India-Nepal

    India must engage with Nepal-without intervening

    op-ed snap | International Relations | Mains Paper 2: India & Its Neighborhood – Relations

    The article suggests recalibration of India’s approach towards political turmoil in Nepal.

    Nepal in political crisis

    • For the second time in weeks, Prime Minister K P Oli has persuaded President Bidya Devi Bhandari to dissolve parliament and call for fresh elections.
    • That is, unless the Supreme Court decides to declare the dissolution of parliament as unconstitutional, as it had done in the recent past.
    • The current dissolution has been challenged in the court by five political parties.

    Medhesi demand fulfilled

    • Prime Minister Oli has also delivered on the longstanding Madhesi demand to reverse a constitutional provision which denied citizenship to children born of Nepali mothers who had foreign husbands.
    • The widespread unrest in the Terai adjoining India in 2015 was triggered by this attempt to deny equal rights to the Madhesi population.
    • This provision had directly targeted the Madhesi population, which has close kinship and marital ties across the border with India.
    • While this provision has now been removed through a presidential ordinance, it could well be reversed in future by Nepali political parties dominated by the higher caste.

    Steps India needs to take

    • Political uncertainty in a neighbouring country is never good news for India, particularly in Nepal with whom we share a long and open border.
    • The Indian government has maintained a studied silence on the current political developments in Nepal and this may be the right thing to do.
    • But this silence should not imply the lack of a proper assessment of the political situation in Nepal and what would serve the interests of India best.
    • Following are the steps India need to take:

    1) India should declare it does not support the revival of monarchy

    •  The abolition of the monarchy is a net gain for India and the government must firmly and unambiguously declare that it does not support the revival of the monarchy, which has already been rejected by its people.
    • India should declare its unconditional support to Nepal’s republican democracy.

    2) Remain engaged with Nepal

    • India should remain fully engaged with Nepal at all levels and across the political spectrum.
    • The safeguarding of India’s vital interests demands such sustained engagement.
    • A hands-off policy will only create space for other external influences, some of which, like China, may prove to be hostile.
    • However, engagement must dispense with the recurrent tendency to label Nepali political leaders as friends or enemies.
    • India should advocate policies rather than persons.

    3) Recognise the role of Madhesi population

    • In India’s engagement with Nepal, the Terai belt and its large Madhesi population plays a critical and indispensable role.
    • In an effort to win over the Kathmandu political and social elite, one should be careful not to neglect citizens living in the plains.
    • Our engagement with Nepal must find an important place for Nepali citizens who are our immediate neighbours and act as a kinship, cultural and religious bridge between our two countries.

    4) Appreciate people-to-people link

    • India needs to appreciate that the people-to-people links between our two countries have an unmatched density and no other country, including China, enjoys this asset.
    • The challenge to our Nepal policy lies in leveraging this precious asset to ensure a stable and mutually-productive state-to-state relationship.
    • India has every reason to approach its relations with Nepal with confidence and assurance.

    Consider the question “What are the factors that make India-Nepal relationship special? What are the recent challenges impacting this special relationship? ” 

    Conclusion

    The safeguarding of India’s vital interests demands India’s engagement with Nepal without intervening in its politics. A hands-off policy will only create space for other external influences.

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  • Agricultural Sector and Marketing Reforms – eNAM, Model APMC Act, Eco Survey Reco, etc.

    Why are edible oils getting costlier?

    | Agriculture | Mains Paper 3: Major Crops & Cropping Patterns

    Edible oil prices have risen sharply in recent months.

    How much have edible oil prices rising?

    • The prices of six edible oils — groundnut oil, mustard oil, vanaspati, soya oil, sunflower oil, and palm oil — have risen between 20% and 56% at all-India levels in the last year.
    • The prices of soya oil and sunflower oil, too, have increased more than 50% since last year.
    • In fact, the monthly average retail prices of all six edible oils soared to an 11-year high in May 2021.
    • The sharp increase in cooking oil prices has come at a time when household incomes have been hit due to Covid-19.

    Trends of oil consumption in India

    • With rising incomes and changing food habits, consumption of edible oils has been rising over the years.
    • While mustard oil is consumed mostly in rural areas, the share of refined oils —sunflower oil and soyabean oil — is higher in urban areas.

    How much is produced domestically and how much is imported?

    • In 2019-20, domestic availability of edible oils from both primary sources (oilseeds like mustard, groundnut etc.) and secondary sources (such as coconut, oil palm, rice bran oil, cottonseed) was only 10.65 million tonnes against the total domestic demand of 24 million tonnes.
    • Thus, India depends on imports to meet its demand.
    • In 2019-20, the country imported about 13.35 million tonnes of edible oils or about 56% of the demand.
    • This mainly comprised palm (7 million tonnes), soyabean (3.5 millon tonnes) and sunflower (2.5 million tonnes).
    • The major sources of these imports are Argentina and Brazil for soyabeen oil; Indonesia and Malaysia palm oil; and Ukraine and Argentina again for sunflower oil.

    Answer this PYQ from CSP 2019:

    Q.Among the agricultural commodities imported by India, which one of the following accounts for the highest imports in terms of value in the last five years?

    (a) Spices

    (b) Fresh fruits

    (c) Pulses

    (d) Vegetable oils

    Global prices rising

    • The increase in domestic prices is basically a reflection of international prices because India meets 56% of its domestic demand through imports.
    • In the international market, prices of edible oils have jumped sharply in recent months due to various factors.
    • Even the FAO price index (2014-2016=100) for vegetable oils, an indicator of the movement of edible oil prices in the international market, has soared to 162 in April this year, compared to 81 in April last year.

    But why are international prices rising?

    • One of the reasons is the thrust on making biofuel from vegetable oil. There is a shifting of edible oils from food basket to fuel basket.
    • There has been a thrust on making renewable fuel from soyabean oil in the US, Brazil and other countries.
    • Other factors include buying by China, labour issues in Malaysia, the impact of La Niña on palm and soya producing areas, and export duties on crude palm oil in Indonesia and Malaysia.

    What are the options before the government?

    • One of the short-term options for reducing edible oil prices is to lower import duties.
    • However, the edible oil industry is not in favor of reducing duties.
    • If import duties are reduced, international prices will go up, and neither will the government get revenue nor will the consumer benefit.
    • The government can rather subsidize edible oils and make them available to the poor under the Public Distribution System.

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  • Health Sector – UHC, National Health Policy, Family Planning, Health Insurance, etc.

    What are Neglected Tropical Diseases (NTD)?

    IOCR | Governance | Mains Paper 2: Health & Education

    The ongoing World Health Assembly has declared January 30 as ‘World Neglected Tropical Diseases (NTD) Day’.

    Neglected Tropical Diseases

    • NTDs are a group of infections that are most common among marginalized communities in the developing regions of Africa, Asia, and the Americas.
    • They are caused by a variety of pathogens such as viruses, bacteria, protozoa, and parasitic worms.
    • These diseases generally receive less funding for research and treatment than malaises like tuberculosis, HIV-AIDS and malaria.
    • Some examples of NTDs include snakebite envenomation, scabies, yaws, trachoma, Leishmaniasis and Chagas disease.

    Significance of global recognition

    • NTDs affect more than a billion people globally, according to the WHO. They are preventable and treatable.
    • However, these diseases and their intricate interrelationships with poverty and ecological systems — continue to cause devastating health, social and economic consequences.
    • A major milestone in the movement to recognize the global burden of these diseases was the London Declaration on NTDs that was adopted January 30, 2012.
    • The first World NTD Day was celebrated informally in 2020. This year, the new NTD road map was launched.

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