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  • Communicable and Non-communicable diseases – HIV, Malaria, Cancer, Mental Health, etc.

    A pandemic in an unequal India

    Context

    The official strategies to deal with the virus place the responsibility on citizens, a majority without privilege, to fight the virus.

    The poor disproportionately affected

    • If the COVID-19 pandemic lashes India with severity, it will not be just the middle class who will be affected.
    • India’s impoverished millions are likely to overwhelmingly bear the brunt of the suffering which will ensue.
    • Inequality and impact of a pandemic: The privileged Indian has been comfortable for too long with some of the most unconscionable inequalities in the planet.
    • But with the pandemic, each of these fractures can decimate the survival probabilities and fragile livelihoods of the poor.

    Inadequate capacity of the health system  

    • Low investment in public health: India’s investments in public health are among the lowest in the world, and most cities lack any kind of public primary health services.
    • A Jan Swasthya Abhiyan estimate is that a district hospital serving a population of two million may have to serve 20,000 patients, but they are bereft of the beds, personnel and resources to do this. Few have a single ventilator.
    • The poor left with meagre services: India’s rich and middle-classes have opted out of public health completely, leaving the poor with unconscionably meagre services.
    • The irony is that a pandemic has been brought into India by people who can afford plane tickets, but while they will buy private health services, the virus will devastate the poor who they infect and who have little access to health care.

    No planning and preparation by the state

    • Official strategies placing responsibility on citizens: Most of the official strategies place the responsibility on the citizen, rather than the state, to fight the pandemic.
    • No preparation by the states: The state did too little in the months it got before the pandemic reached India for expanding greatly its health infrastructure for testing and treatment.
    • This includes planning operations for food and work; security for the poor; for safe transportation of the poor to their homes; and for special protection for the aged, the disabled, children without care and the destitute.

    What must be done?

    • 25 day’s minimum wage: For two months, every household in the informal economy, rural and urban, should be given the equivalent of 25 days’ minimum wages a month until the lockdown continues, and for two months beyond this.
    • Pensions must be doubled and home-delivered in cash.
    • There should be free water tankers supplying water in slum shanties throughout the working days.
    • Double the PDS entitlement: Governments must double PDS entitlements, which includes protein-rich pulses, and distribute these free at doorsteps.
    • Provide cooked and packed food: In addition, for homeless children and adults, and single migrants, it is urgent to supply cooked food to all who seek it, and to deliver packed food to the aged and the disabled in their homes using the services of community youth volunteers.
    • Ensure prisons are safe: To ensure jails are safer, all prison undertrial prisoners, except those charged with the gravest crimes, should be released.
    • Likewise, all those convicted for petty crimes. All residents of beggars’ homes, women’s rescue centres and detention centres should be freed forthwith.

    Way forward

    • Commit 3% of GDP on health: India must immediately commit 3% of its GDP for public spending on health services, with the focus on free and universal primary and secondary health care.
    • Nationalise private healthcare: Since the need is immediate, authorities should follow the example of Spain and New Zealand and nationalise private health care.
    • An ordinance should be passed immediately that no patient should be turned away or charged in any private hospital for diagnosis or treatment of symptoms which could be of COVID-19.

    Conclusion

    While one part of the population enjoys work and nutritional security, health insurance and housing of globally acceptable standards, others survive at the edge of unprotected and uncertain work, abysmal housing without clean water and sanitation, and no assured public health care. Can we resolve to correct this in post-COVID India? Can we at least now make the country more kind, just and equal?

  • J&K – The issues around the state

    J&K Reorganization (Adaptation of State Laws) Order, 2020

    • The Ministry of Home Affairs has promulgated the Jammu and Kashmir Reorganization (Adaptation of State Laws) Order, 2020, which comes into force with immediate effect.
    • Earlier this month order for an adaptation of Central Laws was also promulgated. It ordered application of 37 central laws envisaged in the Concurrent List to the newly formed UT.

    About the Order

    • Issued by the Department of J&K and Ladakh Affairs, the Order stems from Section 96 of the J&K Reorganization Act, 2019.
    • The Act was a consequence of the abrogation of Article 370 of the Constitution of India and it reorganized the State into two UTs.
    • The Order notifies changes in the J&K Civil Services (Decentralization and Recruitment) Act (hereafter, “Civil Services Act”), which defines “domicile” for employment in the region
    • Domicile Criteria
      Under the newly inserted Section 3A of the Civil Services Act which is regarding domicile for purposes of appointment to any service in UT of J&K.A person will have to fulfill the following conditions to be deemed to be a domicile of the UT of J&K:
    • She/he has to have resided for period of 15 years in the UT of J&K or has studied for a period of 7 years and appeared in Class 10th/12th examination in an educational institution located in the UT of J&K; or
      She/he is registered as a migrant by the Relief and Rehabilitation Commissioner (Migrants) in the UT of J&K.
    • Scope of Section 3A
    • Children of those fulfilling the aforementioned conditions are also deemed to be included.
    • Section 3A also goes on to include children of those Central Government Officials, All India Services Officers, Officials of PSUs and Autonomous body of Central Government, PSBs, etc. who have served in J&K for a total period of ten years.
    • Additionally, it includes those children of such residents of UT of J&K who reside outside the UT of J&K in connection with their employment or business or other professional and vocational reasons, but the parents fulfill the conditions provided under Section 3A(1).

    Job reservations

    • Section 5A provides for the domicile reservation for the purpose of appointment of any post carrying a pay scale of not more than Level-04 under the UT of J&K or under local or any other (other than cantonment board) within the UT of J&K.
    • Therefore, lowest level of non-gazetted rank jobs would be reserved exclusively for the Jammu and Kashmir domiciles.
  • RBI Notifications

    Fully Accessible Route (FAR)

    The Reserve Bank of India (RBI) has introduced a separate channel, namely ‘Fully Accessible Route’ (FAR), to enable non-residents to invest in specified government bonds with effect from April 1.

    Fully Accessible Route (FAR)

    • The move follows the Union Budget announcement that certain specified categories of government bonds would be opened fully for non-resident investors without any restrictions.
    • Under FAR, eligible investors can invest in specified government securities without being subject to any investment ceilings.
    • This scheme shall operate along with the two existing routes, viz., the Medium Term Framework (MTF) and the Voluntary Retention Route (VRR).

    Benefits

    • This will substantially ease access of non-residents to Indian government securities markets and facilitate inclusion in global bond indices.
    • This would facilitate inflow of stable foreign investment in government bonds.

    Back2Basics

    Voluntary Retention Route (VRR)

    1. RBI had announced a separate scheme called VRR to encourage Foreign Portfolio Investors (FPIs) to undertake long-term investments in Indian debt markets.
    2. Under this scheme, FPIs have been given greater operational flexibility in terms of instrument choices besides exemptions from certain regulatory requirements.
    3. The details are as under:
    • The aggregate investment limit shall be ₹ 40,000 crores for VRR-Govt and ₹ 35,000 crores for VRR-Corp.
    • The minimum retention period shall be three years. During this period, FPIs shall maintain a minimum of 75% of the allocated amount in India.
    • Investment limits shall be available on tap for investments and shall be allotted by Clearing Corporation of India Ltd. (CCIL) on ‘first come first served’ basis.
  • Trade Sector Updates – Falling Exports, TIES, MEIS, Foreign Trade Policy, etc.

    Foreign Trade Policy 2015-2020 extended for one year

    The Union Commerce and Industry Ministry has announced changes in India’s Foreign Trade Policy (FTP). The Govt. has decided to continue relief under various export promotion schemes by granting an extension of the existing Policy.

    Foreign Trade Policy 2015-20

    • It provided a framework for increasing exports of goods and services as well as generation of employment and increasing value addition in the country, in keeping with the “Make in India” vision of Prime Minister.
    • The focus of the new policy is to support both the manufacturing and services sectors, with a special emphasis on improving the ‘ease of doing business’.
    • It described the market and product strategy and measures required for trade promotion, infrastructure development and overall enhancement of the trade ecosystem.

    Features of the FTP 

    • Goods – Earlier there were 5 different schemes (Focus Product Scheme, Market Linked Focus Product Scheme, Focus Market Scheme, Agri. Infrastructure Incentive Scrip, VKGUY) for rewarding merchandise exports with different kinds of duty scrips with varying conditions attached to their use.
    • Duty-free scrips are paper authorisations that allow the holder to import inputs which are used to manufacture products that are exported, or to manufacture machinery used for producing such goods, without paying duty equivalent to the printed value of the scrip.
    • For instance, a duty-free scrip valued at Rupees 1 lakh allows the holder to import goods without paying duty of up to Rupees 1 lakh on the goods.
    • Under the new Foreign Trade Policy, all these schemes have been merged into a single scheme, namely the Merchandise Export from India Scheme (“MEIS“) and there is no conditionality attached to scrips issued under the MEIS.
    • Services – The Served From India Scheme has been replaced with the Service Exports from India Scheme (“SEIS“).
    • SEIS is stated to apply to ‘Service Providers located in India’ instead of ‘Indian Service Providers’.
    • Therefore, SEIS rewards to all service providers of notified services, who are providing services from India, regardless of the constitution or profile of the service provider.
    • Special Economic Zones – The policy outlines extended incentives for Special Economic Zones in India
    • Export Houses – The nomenclature of Export House, Star Export House, Trading House, Star Trading House, Premier Trading House certificate has been simplified and changed to One, Two, Three, Four and Five Star Export House.
    • Status Holders – Business leaders who have excelled in international trade and have successfully contributed to India’s foreign trade are proposed to be recognized as Status Holders and given special privileges to facilitate their trade transactions, in order to reduce their transaction costs and time.
    • Resolving Complaints – In an effort to resolve quality complaints and trade disputes between exporters and importers, a new chapter on Quality Complaints and Trade Disputes has been incorporated into the Foreign Trade Policy.
    • There would be no conditionality attached to any scrips issued under these schemes.
    • For grant of rewards under MEIS, the countries have been categorized into 3 Groups, whereas the rates of rewards under MEIS range from 2% to 5%.
    • Under SEIS the selected Services would be rewarded at the rates of 3% and 5%.
  • Coronavirus – Economic Issues

    Lock, don’t shut

    Context

    Economy is a living machine — cannot be simply turned off and on. Even in lockdown, it needs to be kept alive.

    Movement of goods exempted

    • Essential and non-essential distinction removed: It is, welcome that the Centre has now exempted transportation of all goods from the lockdown’s provisions, without distinction of “essential” and “non-essential”.
    • When goods aren’t the culprit — it didn’t make sense, in any case, to allow bureaucrats and local authorities to decide what is essential and hold up trucks carrying material deemed non-essential.
    • One cannot expect officials or state border police to have intimate knowledge of production processes and inputs that go into every good, essential or otherwise.
    • The purpose of a lockdown is to minimise physical human interaction and maintain social distancing even if people have to meet.
    • Blocking movement of goods, far from achieving that objective, only results in overcrowding and snarls at check posts.

    How allowing Industrial establishment to operate matters?

    • Allowing industrial establishment to operate: There’s no reason why even industrial establishments cannot be permitted to run during the lockdown.
    • Again, it shouldn’t matter whether these units are producing essential or non-essential goods. What matters is only social distancing.
    • Right step by the Punjab government: The Punjab government has taken the right step of permitting all factories in the state to resume operations, subject to their being able to provide in-house lodging, food and medical facilities to workers and ensure no overcrowding at the plant.
    • Mass exodus could have been avoided: Most factories today, whether in Punjab, Haryana and Delhi or Maharashtra, Gujarat and Tamil Nadu, are manned by migrant labourers from Bihar, Uttar Pradesh and other eastern states.
    • Had measures to retain this workforce within or close to the premises of factories been in place — instead of a blanket order to shut down — the current situation of a mass exodus of labourers and the attendant risk of COVID-19 transmission may have been avoided.
    • Difficulty in getting the labour back: It isn’t going to be easy for the closed units to get this labour back even when the lockdown ends.

    Conclusion

    • The economy needs to be kept alive: An economy is ultimately a living machine — one that cannot simply be turned off and on. Even in lockdown, it needs to be kept alive and whirring.
    • Difficulty in resumption: The danger from mechanically ordered closure of activities is that resumption becomes difficult. Rebuilding broken supply chains is easier when things are allowed to run even if at low key so that the system can respond when demand returns.
    • Lockdown is not an end in itself: Combating COVID-19 should obviously be the government’s top priority now. Lockdown is a necessary part of that strategy, but cannot be an end in itself. It is necessary primarily for social distancing, which can also be achieved without bringing the wheels of commerce to a complete halt.
  • Zoonotic Diseases: Medical Sciences Involved & Preventive Measures

    Covid-19 Quarantine Alert System (CQAS)

    The Department of Telecommunications (DoT) has shared a Standard Operating Procedure (SOP) with all telecom service providers regarding the application called COVID-19 Quarantine Alert System (CQAS).

    • CQAS collects phone data, including the device’s location, on a common secured platform and alerts the local agencies in case of a violation by COVID patients under watch or in isolation.

    Quarantine Alert System (CQAS)

    • Developed By: The DoT and the Centre for Development of Telematics (C-DOT), in coordination with telecom service providers, have developed and tested the application.
    • Working: The CQAS prepares a list of mobile numbers, segregates them on the basis of telecom service providers, and the location data provided by the telecom companies are run on the application to create geo-fencing.
    • Geo-fencing is a location-based service in which an app or other software uses GPS, RFID, Wi-Fi or cellular data to trigger a pre-programmed action when a mobile device or RFID tag enters or exits a virtual boundary set up around a geographical location, known as a geofence.
    • Geo-fencing will only work if the quarantined person has a mobile phone from Airtel, Vodafone-Idea or Reliance Jio, as “BSNL/MTNL” do not support location-based services. BSNL and MTNL are government-owned.
    • The location information is received periodically over a secure network for the authorised cases with “due protection of the data received”.
    • The System triggers e-mails and SMS alerts to an authorised government agency if a person has jumped quarantine or escaped from isolation, based on the person’s mobile phone’s cell tower location. The “geo-fencing” is accurate by up to 300 m.

    Use of Powers under the Indian Telegraph Act, 1885

    • The Centre is using powers under the Indian Telegraph Act to “fetch information” from telecom companies every 15 minutes to track COVID-19 cases across the country.
    • The States have been asked to seek the approval of their Home Secretaries under the provisions of Section 5(2) of the Indian Telegraph Act, 1885, for the specified mobile phone numbers to request the DoT to provide information by email or SMS in case of violation of “geo-fencing”.
    • Section 5(2) authorises State or Centre to access information of a user’s phone data in case of “occurrence of any public emergency or in the interest of the public safety.”

    Protection of Data

    • As per the SOP, the phone number should be deleted from the system after the period for which location monitoring required is over and the data would be deleted four weeks from thereon.
    • The data collected shall be used only for the purpose of Health Management in the context of COVID-19 and is strictly not for any other purposes. Any violation in this regard would attract penal provisions under the relevant laws.

    Centre for Development of Telematics

    • C-DOT was established in August 1984 as an autonomous Telecom R&D Centre of DoT.
    • It is a registered society under the Societies Registration Act, 1860.
    • It is a registered ‘public-funded research institution’ with the Department of Scientific and Industrial Research, Ministry of Science & Technology.

    Global Positioning System

    • The Global Positioning System is a Global Navigation Satellite System (GNSS), used to determine the ground position of an object.
    • It is a US-owned utility that provides users with Positioning, Navigation, and Timing (PNT) services.

    Radio-Frequency Identification

    • Radio-Frequency Identification (RFID) is the use of radio waves to read and capture information stored on a tag attached to an object.
    • A tag can be read from up to several feet away and does not need to be within the direct line-of-sight of the reader to be tracked.

    Wi-Fi

    • Wi-Fi is the name of a wireless networking technology that uses radio waves to provide wireless high-speed Internet and network connections.
    • WiFi network enables a connection between two or more devices wirelessly for data sharing purposes.
  • Foreign Policy Watch: India-China

    The art of China’s legalpolitic

    Context

    A resolution has been moved in the US Senate calling on the international community to inquire into the origins of the virus in China’s Wuhan province. Delhi could learn a trick or two from Beijing on how to make international law the keystone of India’s diplomacy, especially in the multilateral domain.

    Fixing responsibility for the outbreak on China

    • Compensation demand: Lawyers and activists have begun to sue China in US courts demanding compensation. Politicians are not far behind.
    • The U.S. Senate resolution: A resolution has been moved in the US Senate calling on the international community to inquire into the origins of the virus in China’s Wuhan province, quantify the damage inflicted on the rest of the world, and design a mechanism of reparations from Beijing.
    • Basis of the demand for compensation: The case for China’s culpability is based on the principles of state responsibility and Beijing’s alleged failure to respect the obligation, under the 2005 International Health Regulations (IHR), to notify the world on the outbreak of the epidemic.
    • Is the basis valid? Many international jurists dismiss these claims by citing the principles of sovereign state immunity, the lack of precedent in holding states to account for the spread of infectious disease beyond their borders and the absence of provisions for reparations under the IHR.

    The interplay between legality, moralpolitik and geopolitics

    • Gulliver and Lilliputs of the world: On the face of it, China is too much of a Gulliver to be tied down by legal Lilliputs.
    • The Legalpolitik: Before we dismiss international law as not real law, “legalpolitik” can put some real pressure on big nations and contribute to the power play among them.
    • Role of public opinion: As public opinion began to intrude into diplomacy over the last two centuries, legality and moralpolitik have become an integral part of geopolitics.

    Difficulty in proving the case against China

    • The cost of a pandemic: Most world leaders know, whether they say it aloud or not, the international costs of the pandemic could have been far lesser if China had acknowledged the spread of the virus from Wuhan early on and informed other countries.
    • It is one thing to know but entirely another to prove it under the law.
    • The pursuit of claims is a waste of time: Most governments believe the pursuit of claims against Beijing is a waste of time.
    • Political heft of China: If Beijing can make the World Health Organisation toe its line and prevent the rest of the world, including US President Donald Trump, from describing COVID-19 as the “China Virus”, it is unlikely to be impressed by a few legal impresarios from the West.
    • Precedence of defying the law: After all, China had dismissed the unanimous verdict of the International Court of Justice in 2016 on Beijing’s territorial claims over the South China Sea.
    • Beijing did not even bother to appear in the case filed by the Philippines.
    • China had simply declared that the ICJ has no jurisdiction in the matter.

    The relation between power and law in international relations

    • Power prevails: That power tends to prevail over law is certainly truer in international relations than domestic politics.
    • Law in the domestic domain: In the domestic domain, the state as the highest authority compels citizens to abide by the law, with force if necessary.
    • Law in the international arena: In the international arena, no single actor has a monopoly over the instruments of force.
    • We have multiple sovereigns but no “world government” that can compel deviant states to conform to rules.

    Role of the UNSC

    • In theory, the members of the UN Security Council can authorise coercion — in the form of economic sanctions or military force.
    • This, in turn, involves building a consensus among major powers, including the five permanent members of the UNSC who wield a veto.
    • In reality, then, the UNSC can’t act against one of the five permanent members.
    • Beijing, which was so eager to get the UNSC to discuss the situation in Jammu and Kashmir since last August, has simply blocked all suggestions for a discussion on the corona crisis in recent days.

    Are laws meaningless in the global arena?

    • Legal narratives have the weight of their own: While outcomes in international conflicts tend to be defined by power, the international discourse on any conflict today is framed in legal terms.
    • Whether it is a conversation between a state and its citizen or among governments or in a country’s outreach to the global society, legal narratives have a weight all of their own.
    • Delhi, for example, has struggled in recent days to counter the global interpretation of its domestic actions.
    • Importance of legal argument: Winning the legal argument, China has learnt from the history of great power relations, is very much part of great power jousting.
    • The negative lessons are from the Soviet Union that dismissed the Western legal arguments during the Cold War as based on the logic of capital and empire.
    • That did not convert many beyond the choir.
    • The positive lessons are from Great Britain and the United States.
    • The enduring Anglo-Saxon hegemony is rooted not just in economic and military power. It has always been underwritten by a powerful legal tradition that shapes the global narrative on most issues.
    • China developing own narrative: As it mounts a massive propaganda offensive against the US on the corona crisis, China’s state lawyers have filed a case in the Wuhan Intermediate People’s Court last week accusing various US government agencies of covering up the origin of the coronavirus.
    • China’s own narrative: It is no longer about China defending against a powerful international narrative; it is developing one of its own.

    Conclusions

    • 1. Make international law keystone of diplomacy: India has been at the receiving end of China’s legalpolitik — most recently on the quest for the membership of the Nuclear Suppliers Group and the constitutional changes in Kashmir.
    • Delhi could learn a trick or two from Beijing on how to make international law the keystone of India’s diplomacy, especially in the multilateral domain.
    • 2. Reinvest in the geo-legal arts: If China could emulate US and Britain on leveraging legalpolitik for strategic ends, India should not find it too hard to reinvest in the geo-legal arts that Delhi inherited from the Anglo-Saxons but seems to have lost along the way.
  • Coronavirus – Health and Governance Issues

    Regulating the Private Health Sector to Eliminate COVID-19

    Context

    The current COVID-19 crisis that India is battling has brought into sharp focus the public health system’s inadequacy to cope with it.

    Contradictory scenario between public and private healthcare delivery

    • The contrast between public and private: Hospitals with state-of-the-art equipment rivalling five-star hotels in their facilities are mushrooming mostly in cities even as the overburdened public hospitals are valiantly fighting to cope. 
    • Dismal picture in rural areas: As far as the rural areas are concerned, the community health centres and primary health centres and sub-centres present an even more dismal picture in terms of availability of medicine stock, trained para-medical staff, and doctors and nurses.
    • However, it is not as if urban hospitals offer patients excellent care. A common and widely held general misperception is that the private healthcare system is better than the public one.
    • Why private is not always better? Complaints of non-transparent billing, demanding exorbitant sums in advance even in a medical emergency, and cutting corners in services are all too familiar, as are cases of the denial of services.
    • In semi-rural areas and towns, the private sector is not necessarily similar to hospitals in cities.
    • The private hospitals in these areas are small and have basic infrastructure and limited medical and non-medical staff. Unlike the cities, the power and water supply in these areas also constitute a problem to the functioning of these hospitals.

    Problems in the public healthcare system

    • Within the public sector health system, there are a number of trends again that add to the dismal picture.
    • A high number of patients: Doctors in the public hospitals deal with an overwhelming number of patients majorly from the poor and marginalised sections.
    • Issue of contractual staff: Health activists have also pointed out that the growing trend of contractual hiring of paramedical and allied staff leads to an insecurity among them, and thus affects overall caregiving to patients.
    • Consequently, the poor patients’ families, frustrated by the lack of infrastructure and services, turn their anger upon the doctors and nurses.
    • What are the implications? The constant vilification of the public hospital staff coupled with starving these hospitals of resources has led to the view that the private hospitals are “much better” despite their exorbitant rates.

    State-wise variation in healthcare

    • States subject: Health is a state subject, and it is well known that the health delivery systems are not uniform across states.
    • Kerala a role model: Kerala is often held up as a role model generally, and even now in the manner in which it has dealt with the COVID-19 crisis.
    • The dismal system in North India: As it is, certain states in North India have abysmal healthcare systems, and a couple does not have any testing facilities, the media has reported.

    Getting the private sector involved in COVID-19 testing

    • Undoubtedly, at present, the private sector must be involved in screening, tests and treatment for COVID-19.
    • The highly trained professionals in this sector can contribute enormously by helping scale up the testing efforts.
    • Importance of large-scale testing: In South Korea too, it was large-scale testing that was instrumental in reducing mortality rates.
    • The pricing issue: Services across sectors must not be priced differently at a time like this. The media has reported that there is a difference of opinion between the government and private sector on the price of COVID-19 tests flowing from the prices of test kits.
    • Need for the protocol: A clear and non-negotiable protocol for the private sector must be established regarding the present crisis and how the government is going to help financially and otherwise in dealing with it.

    Way forward

    • Regulate the testing, screening and treatment facilities: The experience with the government offering subsidies to hospitals, especially in urban areas in terms of land and other concessions, has not borne out desired objectives such as better care for the poor.
    • Taking a cue from this, the testing, screening, and treatment facilities must be regulated in terms of pricing and quality.
    • Focus on strengthening the public health system: The Supreme Court has held healthcare to be a fundamental right under Article 21. The biggest lesson of the current crisis is that political will must focus on strengthening the public health system.

    Conclusion

    The finance minister has announced a package of `1.7 lakh crore to deal with this catastrophic situation. This is welcome, but long-term resource allocation to invigorate the public health system must be a continual and parallel process.

  • Finance Commission – Issues related to devolution of resources

    Why has Kerala sought a relaxation of FRBM rules?

    Kerala CM has urged the Centre to provide Kerala with flexibility under the Fiscal Responsibility and Budget Management (FRBM) Act so as to ensure that the State’s finances are not adversely impacted.

    FRBM Act

    • The FRBM is an act of the parliament that set targets for the Government of India to establish financial discipline, improve the management of public funds, strengthen fiscal prudence and reduce its fiscal deficits.
    • It was first introduced in the parliament of India in the year 2000 by Vajpayee Government for providing legal backing to the fiscal discipline to be institutionalized in the country.
    • Subsequently, the FRBM Act was passed in the year 2003.

    Features of the FRBM Act

    • It was mandated by the act that the following must be placed along with the Budget documents annually in the Parliament:
    1. Macroeconomic Framework Statement
    2. Medium Term Fiscal Policy Statement and
    3. Fiscal Policy Strategy Statement

    Fiscal Indicators

    It was proposed that the four fiscal indicators be projected in the medium-term fiscal policy statement viz.

    1. Revenue deficit as a percentage of GDP,
    2. Fiscal deficit as a percentage of GDP,
    3. Tax revenue as a percentage of GDP and
    4. Total outstanding liabilities as a percentage of GDP

    Why is Kerala seeking flexibility under the FRBM?

    • Kerala was one of the earliest States to announce an economic package of ₹20,000 crore to mitigate the impact on livelihoods and overall economic activity.
    • Kerala’s current fiscal position means that it can borrow about ₹25,000 crore during the financial year 2020-21.
    • However the State government is understandably concerned that the stringent borrowing cap under the fiscal responsibility laws should not constrain its borrowing and spending ability over the remaining 11 months.
    • This is a crucial period when the state would have to meet other expenditure for routine affairs related to the running of the State’s socio-economic programmes as well as the post pandemic recovery.

    How does a relaxation of the FRBM work?

    • The law does contain what is commonly referred to as an ‘escape clause’.
    • Under Section 4(2) of the Act, the Centre can exceed the annual fiscal deficit target citing grounds that include national security, war, national calamity, collapse of agriculture, structural reforms and decline in real output growth of a quarter by at least three percentage points below the average of the previous four quarters.
    • The ongoing pandemic could be considered as a national calamity.
    • This would allow both the Union government and States including Kerala to undertake the much-needed increases in expenditure to meet the extraordinary circumstances.

    When have the FRBM norms been relaxed in the past?

    • There have been several instances of the FRBM goals being reset.
    • But the most significant FRBM deviation happened in 2008-09, in the wake of the global financial crisis, when the Centre resorted to a focused fiscal stimulus: tax relief to boost demand and increased expenditure on public projects.
    • This was aimed to create employment and public assets, to counter the fallout of the global slowdown.
    • This led to the fiscal deficit climbing to 6.2%, from a budgeted goal of 2.7%.
    • Simultaneously, the deficit goals for the States too were relaxed to 3.5% of GSDP for 2008-09 and 4% of GSDP for fiscal 2009-10.

  • Zoonotic Diseases: Medical Sciences Involved & Preventive Measures

    Sodium Hypochlorite as Coronavirus disinfectant

    In Uttar Pradesh, migrant workers travelling to their home states, or their belongings, were sprayed with a disinfectant, apparently to sanitise them.  The chemical in the spray was a sodium hypochlorite solution.

    Sodium hypochlorite

    • Sodium hypochlorite is commonly used as a bleaching agent, and also to sanitise swimming pools.
    • As a common bleaching agent, sodium hypochlorite is used for a variety of cleaning and disinfecting purposes.
    • It releases chlorine, which is a disinfectant. Large quantities of chlorine can be harmful.
    • The concentration of the chemical in the solution varies according to the purpose it is meant for.
    • A normal household bleach usually is a 2-10% sodium hypochlorite solution.
    • At a much lower 0.25-0.5%, this chemical is used to treat skin wounds like cuts or scrapes. An even weaker solution (0.05%) is sometimes used as a handwash.

    Note: The common bleaching powder is chemically referred to as Calcium hypochlorite and not Sodium hypochlorite.

    Is the chemical safe?

    • Sodium hypochlorite is corrosive and is meant largely to clean hard surfaces.
    • It is not recommended to be used on human beings, certainly not as a spray or shower. Even a 0.05% solution could be very harmful for the eyes.
    • A 1% solution can cause damage to the skin of anyone who comes in contact with it.
    • If it gets inside the body, it can cause serious harm to lungs.

    Does the chemical get rid of the novel coronavirus?

    • The WHO recommends homemade bleach solutions of about 2-10% concentration to clean hard surfaces to clear them of any presence of the novel coronavirus.
    • Cleaning hard surfaces with this solution can disinfect them not just from novel coronavirus but also help prevent flu, food born illnesses, and more.

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