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  • Remittance received by India remain unaffected by pandemic

    What the World Bank report says

    • India received over USD 83 billion in remittances in 2020, according to a World Bank report.
    • In 2019, India had received USD 83.3 billion in remittances.
    • The report said India’s remittances fell by just 0.2 per cent in 2020.
    • Much of the decline was due to a 17 per cent drop in remittances from the United Arab Emirates, which offset resilient flows from the United States and other host countries.
    • The World Bank, in its latest Migration and Development Brief, said despite COVID-19, remittance flows remained resilient in 2020.

    Trend analysis

    • China, which received USD 59.5 billion in remittances in 2020 against USD 68.3 billion the previous year, is a distant second.
    • India and China are followed by Mexico (USD42.8 billion), the Philippines (USD34.9 billion), Egypt (USD29.6 billion), Pakistan (USD26 billion), France (USD24.4 billion) and Bangladesh (USD21 billion).
    • Remittance outflow was the maximum from the United States (USD68 billion), followed by UAE (USD43 billion), Saudi Arabia (USD34.5 billion), Switzerland (USD27.9 billion), Germany (USD22 billion), and China (USD18 billion).
    • The relatively strong performance of remittance flows during the COVID-19 crisis has also highlighted the importance of timely availability of data.
    • Given its growing significance as a source of external financing for low- and middle-income countries, there is a need for better collection of data on remittances, in terms of frequency, timely reporting, and granularity by corridor and channel.

    B2BASICS

    Remittances

    • Remittances are usually understood as financial or in-kind transfers made by migrants to friends and relatives back in communities of origin.
    • These are basically sum of two main components – Personal Transfers in cash or in kind between resident and non-resident households and Compensation of Employees, which refers to the income of workers who work in another country for a limited period of time.
    • Remittances help in stimulating economic development in recipient countries, but this can also make such countries over-reliant on them.

    Remittance and the Indian Economy

    Benefits

    • Increased inward remittance is a boon for the economy at both macro and micro levels.
    • At the macro level, remittances contribute to maintaining stable foreign reserves.
    • Remittances help Indian Rupee hold its value against the US dollar and forms a significant part of the GDP.
    • On a micro level, remittances have shown a positive impact on healthcare, entrepreneurship, education, and overall economic development of the recipient families.

    Issues

    An increase in outward remittances however, raises an alarm. It causes the rupee to weaken against the dollar, which in return impacts the businesses exposed to foreign exchange, and the economy overall.

  • Judicial Reforms

    App to view live proceedings of SC launched for media persons

    App to view virtual proceedings

    • Chief Justice of India launched a mobile app that would allow media persons to view the Supreme Court’s virtual proceedings live on their mobile phones.
    • The role of the media assumes importance in the process of disseminating information.
    • Justice A.M. Khanwilkar said the facility, which is now temporary, could be made permanent in the future depending on the operational issues.

    ‘Indicative Notes’ on the SC website

    • The CJI also launched a new feature in the Supreme Court’s official website called ‘Indicative Notes’.
    • This feature is aimed at providing concise summaries of landmark judgments in an easy-to-understand format.
    • This will serve as a useful resource for media persons and the general public who wish to be better informed about the rulings of the court.
  • Citizenship and Related Issues

    Issues with MHA notification for OCI

    About notification

    • The Home Ministry’s March 4 order that required professional Overseas Citizens of India (OCIs), such as journalists, engineers and researchers, to notify the Ministry about their activities in India.
    • The notification said that OCIs shall be required to obtain a “special permission or a special permit” from the competent authority or the Foreigners Regional Registration Office (FRRO) or the Indian mission “to undertake research, missionary or Tabligh or mountaineering or journalistic activities or internship in any foreign diplomatic missions
    • The Ministry issued a gazette notification that OCI cardholders could claim “only NRI (Non-Resident Indian) quota seats” in educational institutions.

    Issues with the notification

    • This will place undue burden on scientific, pharmaceutical, medical, biotechnology and other research fields.
    • Even if an OCI student has secured a high rank in an exam like NEET, several institutions of repute do not have NRI seats.
    • The exorbitantly high fees under the NRI quota cannot be afforded by many OCIs as they live and work in India.
    • India-domiciled OCI students are deprived of domicile status both in India [country of residence] as well as the country of their citizenship.
    • The notification equates India-domiciled OCIs with a foreigner.

    About OCIs

    • OCIs are of Indian origin but hold foreign passports.
    • India does not allow dual citizenship but provides certain benefits under Section 7B(I) of the Citizenship Act, 1955 to the OCIs.
    • So far, 37.72 lakh OCI Cards are said to have been issued.
  • Coronavirus – Health and Governance Issues

    India resists Community Transmission tag despite soaring cases

    How other countries are classifying themselves

    • Inspite of adding the highest number of cases in the world every day, India continues to label itself as a country with no community transmission (CT) according to the latest weekly report by the World Health Organisation (WHO) on May 11.
    • India opts for the lower, less serious classification called ‘cluster of cases’.
    • Countries such as the United States, Brazil, United Kingdom, France have all labelled themselves as being in ‘community transmission.
    • Among the 10 countries with the most number of confirmed cases, only Italy and Russia do not label themselves as being in community transmission.
    • Both countries have been on a declining trajectory for at least a month and together contribute less than 20,000 cases a day — about 5% of India’s daily numbers.
    • India, since the beginning of the pandemic has never marked itself as being in community transition.

    Understanding the classification

    • Broadly, CT is when new cases in the last 14 days can’t be traced to those who have an international travel history, when cases can’t be linked to specific cluster.
    • Instead, the classification, ‘cluster of cases’ says “Cases detected in the past 14 days are predominantly limited to well-defined clusters that are not directly linked to imported cases”.
    • The WHO guidelines further suggest four subcategories within the broader definition of CT.
    • CT-1 implying “Low incidence of locally acquired, widely dispersed cases…and low risk of infection for the general population.
    • The highest, a CT-4 suggests very high incidence of locally acquired, widely dispersed cases in the past 14 days.
    • Very high risk of infection for the general population.

    Why right classification matters

    • If cases were still a cluster, it would mean that the government ought to be prioritising testing, contact tracing and isolating to prevent further infection spread.
    • CT, on the other hand meant prioritising treatment and observing advisories to stay protected.
    • CT — far from being stigmatic or an indicator of failure — has a bearing on how authorities addressed a pandemic.
  • Coronavirus – Health and Governance Issues

    Black marketing during the pandemic

    The article highlights the issue of black-marketing of drugs during the pandemic and the factors responsible for it.

    Problem of fake and sub-standard drugs

    • There have been reports of fake remdesivir amid the Covid pandemic.
    • It is difficult to quantify the morbidity and mortality effects of fake or sub-standard drugs, but they are substantial.
    • Legally, the Drugs and Cosmetics Act (DCA) has different categories of misbranded, adulterated and spurious drugs.
    • In 2003 Mashelkar Committee noted that although the Drugs and Cosmetics Act has been in force for the past 56 years, but the level of enforcement in many States has been far from satisfactory.
    • The committee also noted that the problems in the regulatory system in the country were primarily due to inadequate or weak drug control infrastructure at the State and Central level.

    Steps taken to deal with the issue

    • Assistance has also been provided under the World Bank assisted Capacity Building Project to upgrade testing facilities and to establish new drug testing laboratories.
    • The Drugs & Cosmetics Act, 1940 has recently been amended in 2008 for providing more stringent penalties to those involved in the trade of spurious drugs.
    • There are specially designated courts and regulatory infrastructure has been strengthened.
    •  There is also a whistle-blower scheme.

    Distinction between hoarding and black-marketing

    • A hoarder is anyone who stocks up items.
    • The crime isn’t hoarding per se but of selling a drug without a licence.
    • Data on prosecutions, and convictions when prosecuted, of crimes under Drugs and Cosmetics Act, are not encouraging.
    • Incidentally, courts have ruled police officers can’t register FIRs, arrest and prosecute (for cognisable crimes) under this law.
    • That’s the job of drugs inspectors.
    • The notion of a black market is different, though the two can be related.
    • In this context, it means charging a premium when there is a shortage.
    • A black market occurs when the price at which a product is sold is higher than an administratively determined price.

    Conclusion

    Action not taken in the best of times now strikes back at us in the worst of times.

  • Right To Privacy

    EdTech needs an ethics policy

    The article highlights the privacy concerns associated with EdTech apps in the absence of a regulatory framework.

    Privacy risks associated with EdTechs

    • Since the onset of the pandemic, online education has replaced conventional classroom instruction.
    • This has given rise to several EdTech apps which have become popular.
    • To perform the process of learning customisation, the apps collect large quantities of data from the learners through the gadgets that the students use.
    • These data are analysed in minute detail to customise learning and design future versions of the app.
    • The latest mobile phones and hand-held devices have a range of sensors like GPS, gyroscope, accelerometer, magnetometer and biometric sensors apart from the camera and microphones.
    • These provide data about the learner’s surroundings along with intimate data like the emotions and attitudes experienced and expressed via facial expressions and body temperature changes.
    • In short, the app and device have access to the private spaces of the learner that one would not normally have access to.

    Informed consent in research

    • Researchers dealing with human subjects need to comply with ethics rules along with global standards.
    • One of the cardinal rules that should never be broken is informed consent.
    • Before any research on human subjects is undertaken, researchers have to submit detailed proposals to their respective ethics committees and obtain their permissions.
    • Further, a researcher working with children, for example, would also have to convince schoolteachers, parents, and school managements about the nature of the research to be undertaken, type of data to be collected, method of storage, the potential harmful effects of such data, etc.

    Minimal safeguards in EdTech

    • The safeguards that traditional researchers are subject to are either missing or minimal in research that the EdTech industry promotes.
    • The concept of informed consent is not meaningful since there are no proper primers to explain to stakeholders the intricacies in layperson terms.
    • Since India does not have protection equivalent to the GDPR, private data collected by an EdTech company can be misused or sold to other companies with no oversight or protection.

    Way forward

    • Given these realities, it is necessary to formulate an ethics policy for EdTech companies.
    • Such a policy draft should be circulated both online and offline for discussions and criticism.
    • Issues of fairness, safety, confidentiality and anonymity of the user would have to be dealt with.
    • EdTech companies would have to be encouraged to comply in the interest of a healthier learning ecosystem.

    Consider the question “What are the challenges associated with the adoption of online education mode? Suggest the ways to deal with these challenges.”

    Conclusion

    The lack of a regulatory framework in India along the lines of the General Data Protection Regulation (GDPR) in Europe could impinge on the privacy of students. What we need is ethics policy in online education space.

  • Cabinet clears MoU between ICAI and Qatar Financial Centre Authority

    Signing of MoU

    • The Union Cabinet approved the signing of a pact between the Institute of Chartered Accountants of India (ICAI) and the Qatar Financial Centre Authority (QFCA)
    • The ICAI has more than 6,000 members in the Middle East.

    Increase opportunities and enhance cooperation

    • The MoU would enhance cooperation between the institutes to work together to strengthen the accounting profession and entrepreneurship base in Qatar.
    • The MoU would provide the ICAI members in the entire Middle East better recognition, together with working to support Indian businesses desirous of doing business in Qatar
    • The MoU will endeavour to increase opportunities for ICAI members to provide professional services in Qatar in the areas of assurance and auditing, advisory, taxation, financial services and allied areas.
  • [pib] Goa Maritime Symposium (GMS) – 2021

    Fostering relations with maritime neighbours

    • Towards fostering friendly relations with its maritime neighbours, Indian Navy hosted ‘GMS-21’.
    • The event for the first time was hosted in virtual mode, with online participation of Naval representatives from 13 Indian Ocean Littoral countries.
    • The 13 countries included India, Bangladesh, Comoros, Indonesia, Madagascar, Malaysia, Maldives, Mauritius, Myanmar, Seychelles, Singapore, Sri Lanka and Thailand.
    • The theme for GMS-21 was focused on “Maritime Security and Emerging Non-Traditional Threats: A Case for Proactive Role for IOR Navies,” with emphasis on capacity building amongst the IOR Navies to tackle emerging common maritime threats.

    Bringing together the stakeholders

    • With the Indian Ocean becoming the locus of 21st century strategic landscape, the symposium will play a constructive role in bringing together the stakeholders who have a role in evolving strategies, policies and implementation mechanisms on the issues of common interest in maritime domain.
    • In addition to presenting cooperative strategies for enhancing interoperability among partner maritime agencies, the event provided a forum for articulation of views on the crucial maritime issues, followed by theme based discussions.
  • Rajasthan to use MLA fund for vaccination

    MLA-LAD Fund for buying vaccine

    • As part of the efforts to mobilise financial resources for COVID-19 vaccination, Rajasthan Chief Minister has approved a proposal to provide ₹3 crore each from the MLA Local Area Development (LAD) Fund.
    • For meeting the expenses, the fund for each legislator has been increased from ₹2.25 crore to ₹5 crore a year.
    • The 200 MLAs in the State will contribute a total of ₹600 crore to the vaccination fund account under the Chief Minister’s Relief Fund.
    • From the remaining ₹2 crore in the MLA-LAD Fund, ₹1 crore will be spent on strengthening the medical infrastructure, purchase of equipment and setting up of model community health centres.

    About MLA-LAD Fund

    • Member of Legislative Assembly Local Area Development is a scheme that enables each MLA to undertake small developmental works in his/her constituency.
    • The MLALAD Scheme is intended to be utilised for small but essential projects/works based on the felt needs of the local public.
    • Under this scheme, funds will be provided in the State’s Plan Budget every year.
  • Foreign Policy Watch: India-China

    Evaluate the Ladakh crisis

    The article highlights the need for a critical assessment of the stand-off with China last year and offers key lessons in managing the strategic competition with China.

    Year after stand-off

    • After over a year, the stand-off between Indian and Chinese troops in eastern Ladakh shows no signs of resolution.
    • More broadly, the India-China bilateral relationship has ruptured.
    • Reversing a long-held policy, India will no longer overlook the problematic border dispute for the sake of a potentially lucrative wider relationship.
    • Even if disengagement continues, the relationship will remain vulnerable to destabilising disruptions.
    • Therefore, the Ladakh crisis offers India three key lessons in managing the intensifying strategic competition with China.

    Three key lessons

    1) Military strategy based on denial are more useful

    •  Military strategies based on denial are more useful than strategies based on punishment.
    •  The Indian military’s standing doctrine calls for deterring adversaries with the threat of massive punitive retaliation for any aggression, capturing enemy territory as bargaining leverage in post-war talks.
    • But this did not deter China from launching unprecedented incursions in May 2020.
    • In contrast, the Indian military’s high-water mark in the crisis was an act of denial — its occupation of the heights on the Kailash Range on its side of the LAC in late August.
    • This action served to deny that key terrain to the Chinese People’s Liberation Army (PLA), and gave the Indian Army a stronger defensive position.
    • A doctrinal focus on denial will give the Indian military greater capacity to thwart future land grabs across the LAC.
    • Over time, improved denial capabilities may allow India to reduce the resource drain of the increased militarisation of the LAC.

    2) Political cost matters more

    • China is more likely to be deterred or coerced with the threat of political costs, rather than material costs.
    • The material burden of the crisis would not disrupt its existing priorities.
    • In contrast, India successfully raised the risks of the crisis for China through its threat of a political rupture, not military punishment.
    • A permanently hostile India or an accidental escalation to conflict were risks that China, having achieved its tactical goals in the crisis, assessed were an unnecessary additional burden.
    • The corollary lesson is that individual powers, even large powers such as India, will probably struggle to shift Beijing’s calculus alone.
    • Against the rising behemoth, only coordinated or collective action is likely to be effective.

    3) India should accept more risk on LAC

    • India should consider accepting more risk on the LAC in exchange for long-term leverage and influence in the Indian Ocean Region.
    • From the perspective of long-term strategic competition, the future of the Indian Ocean Region is more consequential and more uncertain than the Himalayan frontier.
    • At the land border, the difficult terrain and more even balance of military force means that each side could only eke out minor, strategically modest gains at best.
    • In contrast, India has traditionally been the dominant power in the Indian Ocean Region and stands to cede significant political influence and security if it fails to answer the rapid expansion of Chinese military power.

    Conclusion

    As these three lessons show, the future of the strategic competition is not yet written. If India’s leaders honestly and critically evaluate the crisis, it may yet help to actually brace India’s long-term position against China.

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