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  • Judiciary-Executive Faceoff – Part II : The Overlooked Ep. 3

    Judiciary-Executive Faceoff – Part II : The Overlooked Ep. 3

    “Judiciary-Executive Clash Over Supremacy from 1947 till Today – Part II”

    In the third episode of The Overlooked Series, Sajal sir and Sudhanshu sir will continue the discussion on the “tussle between Executive and Judiciary since independence.” They will discuss about the origin of the dispute and look into some more specific cases such as:

    1. Minerva Mill 1980
    2. Concept of Locus Standii ( PIL )
    3. Three Judges Case ( 1982, 1993, 1998 )
    4. Judicial Activism vs Judicial Adventurism
    5. NJAC ( 4th Judges Case 2015 )
    6. Global Modals of Judicial Appointments.

    Please fill this form if you want to connect with Sajal sir or Sudhanshu sir:–

    https://www.civilsdaily.com/course/streak-daily-initiative/

    Previous Episodes of The Overlooked:

    The Overlooked Ep. 2 || Judiciary-Executive Clash Over Supremacy from 1947 till Today – Part I :-

    https://youtu.be/ZWApdNvMIT8

    The Overlooked Ep. 1 || Why one country’s villain is another country’s hero :-

    https://youtu.be/ZWApdNvMIT8

  • Join the Live Webinar – Link Inside || Improve your Prelims score by 30-35 marks with a last-minute FREE session by Arpit sir || Envt. and S&T || For Prelims 2021 and UPSC 2022 aspirants

    Join the Live Webinar – Link Inside || Improve your Prelims score by 30-35 marks with a last-minute FREE session by Arpit sir || Envt. and S&T || For Prelims 2021 and UPSC 2022 aspirants

    Dear aspirants,

    In the past few years, UPSC has been asking a number of questions from subjects like – Environment and Science, and Technology consistently in both Preliminary and Main Exam. This Webinar has very clear objectives to streamline your preparation in these subjects if you have started it, and to guide you if you are going to start now.

    Why is this session important?

    Environment and S&T make up 20% of the paper. You cannot afford to miss a single question.

    What can you learn in this webinar?

    1. The contour of syllabus: What to read – implicit and explicit decoding of the syllabus (for both static and current affairs).
    2. Confidence Building in subjects – Environment and S&T for Prelims 2021/22. This is essential for those done with at least one reading of the basic material.
    3. Process Orientation: The right methodology to reach to a logical conclusion while solving MCQs in Environment and S&T questions.
    4. Integration: Static + Dynamic And Knowledge + Reasoning
    5. Answer Writing: Outlining the importance and approach towards answer writing in these subjects. 
    6. Managing With Work: Discussion on approach towards the exam for working professionals to utilise their time better.

    Dedicated Q&A session for specific queries.

    This live webinar is going to be one of the best ways to start or rejuvenate your preparation in these subjects. 

    Overall, this is the first step to rationalize your preparation and maximize the probability of cracking UPSC CSE.

    The webinar is absolutely free. 

    Date: 19/9/21 (Sunday)

    Time: 7:00 P.M.

    About your Mentor – Arpit Verma
    Arpit is an Engineer by qualification and a teacher by inclination. He has experience in all the stages of UPSC and is in the coaching industry for about 8 years with diverse exposure. For him, the process is more important than instant gratification as once learned, it is the process that will ensure exam outcome.

    Join the webinar using this link: https://zoom.us/j/96914366327?pwd=OEZqZ1BpZXhVYmEzaVIxSWJZM2NvUT09

  • Only a Few Hours Left for Slot Booking || Improve your Prelims score by 30-35 marks with a last-minute FREE session by Arpit sir || Envt. and S&T || For Prelims 2021 and UPSC 2022 aspirants

    Only a Few Hours Left for Slot Booking || Improve your Prelims score by 30-35 marks with a last-minute FREE session by Arpit sir || Envt. and S&T || For Prelims 2021 and UPSC 2022 aspirants

    Dear aspirants,

    In the past few years, UPSC has been asking a number of questions from subjects like – Environment and Science, and Technology consistently in both Preliminary and Main Exam. This Webinar has very clear objectives to streamline your preparation in these subjects if you have started it, and to guide you if you are going to start now.

    Why is this session important?

    Environment and S&T make up 20% of the paper. You cannot afford to miss a single question.

    What can you learn in this webinar?

    1. The contour of syllabus: What to read – implicit and explicit decoding of the syllabus (for both static and current affairs).
    2. Confidence Building in subjects – Environment and S&T for Prelims 2021/22. This is essential for those done with at least one reading of the basic material.
    3. Process Orientation: The right methodology to reach to a logical conclusion while solving MCQs in Environment and S&T questions.
    4. Integration: Static + Dynamic And Knowledge + Reasoning
    5. Answer Writing: Outlining the importance and approach towards answer writing in these subjects. 
    6. Managing With Work: Discussion on approach towards the exam for working professionals to utilise their time better.

    Dedicated Q&A session for specific queries.

    This live webinar is going to be one of the best ways to start or rejuvenate your preparation in these subjects. 

    Overall, this is the first step to rationalize your preparation and maximize the probability of cracking UPSC CSE.

    The webinar is absolutely free. 

    Date: 19/9/21 (Sunday)

    Time: 7:00 P.M.

    About your Mentor – Arpit Verma
    Arpit is an Engineer by qualification and a teacher by inclination. He has experience in all the stages of UPSC and is in the coaching industry for about 8 years with diverse exposure. For him, the process is more important than instant gratification as once learned, it is the process that will ensure exam outcome.

  • Improve your Prelims score by 30-35 marks with last-minute FREE session by Arpit sir | Few Hours Remaining| Envt. and S&T | For Prelims 2021 and UPSC 2022 aspirants

    Improve your Prelims score by 30-35 marks with last-minute FREE session by Arpit sir | Few Hours Remaining| Envt. and S&T | For Prelims 2021 and UPSC 2022 aspirants

    Dear aspirants,

    In the past few years, UPSC has been asking a number of questions from subjects like – Environment and Science, and Technology consistently in both Preliminary and Main Exam. This Webinar has very clear objectives to streamline your preparation in these subjects if you have started it, and to guide you if you are going to start now.

    Why is this session important?

    Environment and S&T make up 20% of the paper. You cannot afford to miss a single question.

    What can you learn in this webinar?

    1. The contour of syllabus: What to read – implicit and explicit decoding of the syllabus (for both static and current affairs).
    2. Confidence Building in subjects – Environment and S&T for Prelims 2021/22. This is essential for those done with at least one reading of the basic material.
    3. Process Orientation: The right methodology to reach to a logical conclusion while solving MCQs in Environment and S&T questions.
    4. Integration: Static + Dynamic And Knowledge + Reasoning
    5. Answer Writing: Outlining the importance and approach towards answer writing in these subjects. 
    6. Managing With Work: Discussion on approach towards the exam for working professionals to utilise their time better.

    Dedicated Q&A session for specific queries.

    This live webinar is going to be one of the best ways to start or rejuvenate your preparation in these subjects. 

    Overall, this is the first step to rationalize your preparation and maximize the probability of cracking UPSC CSE.

    The webinar is absolutely free. 

    Date: 19/9/21 (Sunday)

    Time: 7:00 P.M.

    About your Mentor – Arpit Verma
    Arpit is an Engineer by qualification and a teacher by inclination. He has experience in all the stages of UPSC and is in the coaching industry for about 8 years with diverse exposure. For him, the process is more important than instant gratification as once learned, it is the process that will ensure exam outcome.

  • Streak Daily Compilation of Questions & Videos – Sep 18, 2021

    Maintaining consistency is one of the biggest issues faced by IAS Aspirants. Streak’s initiative is to help Aspirants in their day-to-day preparation. You can follow the monthly, weekly, and daily timetables and continue this streak until you find yourself on the final list.

    Please register for Streak Initiative (free) through this link:- https://www.civilsdaily.com/course/streak-daily-initiative/

    You will get following study material:-

    1. Questions (PDF).
    2. RSTV/Yojana monthly notes (PDF).
    3. Burning issue (PDF).
    4. Subject specific (PDF).
    5. Mentor’s phone call for support & encouragement.

    _____________________________________________

    Daily Study Plan with Answer Writing Challenge || STREAK FREE INITIATIVE FOR UPSC IAS – by Ravi Ranjan

    UPSC PRELIMS-2021 || Current Affairs Based Most Probable Questions on International Relations – by Sukanya Rana

    Q1) Consider the following statements with respect to International Labour Conference (ILC)

    1. The member States of the International Labour Organization (ILO) meet at the ILC every year in Geneva, Switzerland.
    2. Every two years the Conference adopts the ILO’s biennial work programme and budget, which is financed by member States.

    Which of the statement(s) given above is/are correct?
    a. 1 only
    b. 2 only
    c. Both 1 and 2
    d. Neither 1 nor 2

    Q2) Consider the following statements with respect to UN Economic and Social Council (UN-ECOSOC) 

    1. India was recently elected to ECOSOC from the Asia-Pacific States category for the 2022-24 term. 

    2. The ECOSOC, established in 1945 by the 4th Geneva Convention, is one among the six main organs of the United Nations (UN). 

    3. The council‟s 54 members are elected for three-year terms by the General Assembly based on geographical representation. 

    Which of the statement(s) given above is/are correct? 

    a. 2 only 

    b. 1 and 2 only 

    c. 1 and 3 only 

    d. 1, 2 and 3

    Q3) Consider the following statements with respect to East Coast Economic Corridor (ECEC) 

    1. It stretches from West Bengal to Tamil Nadu and connects India to the production networks of South, Southeast, and East Asia. 

    2. Asian Development Bank (ADB) is the lead partner of the Government of India in developing East Coast Economic Corridor (ECEC). 

    Which of the statement(s) given above is/are correct? 

    a. 1 only 

    b. 2 only 

    c. Both 1 and 2 

    d. Neither 1 nor 2

    Q4) Which of the following countries are not parts of Organization of the Petroleum Exporting Countries Plus (OPEC+)?

    1. India 

    2. Russia 

    3. Malaysia 

    4. Australia 

    5. South Sudan 

    Select the correct answer using the codes given below: 

    a. All except 1 

    b. 1 and 4 only 

    c. 1, 3 and 4 only 

    d. 2, 3 and 5 only

    Q5) Fit for 55 Package is a proposal of which of the following organizations? 

    a. World Health Organization (WHO) 

    b. UN-Developmental Program (UNDP) 

    c. World Trade Organization (WTO) 

    d. European Union (EU)

  • Improve your Prelims score by 30-35 marks with last-minute FREE session by Arpit sir | Envt. and S&T | For Prelims 2021 and UPSC 2022 aspirants | Limited slots available

    Improve your Prelims score by 30-35 marks with last-minute FREE session by Arpit sir | Envt. and S&T | For Prelims 2021 and UPSC 2022 aspirants | Limited slots available

    Dear aspirants,

    In the past few years, UPSC has been asking a number of questions from subjects like – Environment and Science, and Technology consistently in both Preliminary and Main Exam. This Webinar has very clear objectives to streamline your preparation in these subjects if you have started it, and to guide you if you are going to start now.

    Why is this session important?

    Environment and S&T make up 20% of the paper. You cannot afford to miss a single question.

    What can you learn in this webinar?

    1. The contour of syllabus: What to read – implicit and explicit decoding of the syllabus (for both static and current affairs).
    2. Confidence Building in subjects – Environment and S&T for Prelims 2021/22. This is essential for those done with at least one reading of the basic material.
    3. Process Orientation: The right methodology to reach to a logical conclusion while solving MCQs in Environment and S&T questions.
    4. Integration: Static + Dynamic And Knowledge + Reasoning
    5. Answer Writing: Outlining the importance and approach towards answer writing in these subjects. 
    6. Managing With Work: Discussion on approach towards the exam for working professionals to utilise their time better.

    Dedicated Q&A session for specific queries.

    This live webinar is going to be one of the best ways to start or rejuvenate your preparation in these subjects. 

    Overall, this is the first step to rationalize your preparation and maximize the probability of cracking UPSC CSE.

    The webinar is absolutely free. 

    Date: 19/9/21 (Sunday)

    Time: 7:00 P.M.

    About your Mentor – Arpit Verma
    Arpit is an Engineer by qualification and a teacher by inclination. He has experience in all the stages of UPSC and is in the coaching industry for about 8 years with diverse exposure. For him, the process is more important than instant gratification as once learned, it is the process that will ensure exam outcome.

  • Foreign Travelers in Ancient and Medieval India

    UPSC 2022 countdown has begun! Get your personal guidance plan now! (Click here)
     
    18th Sept 2021

    Travellers Visited India

    Contemporary Rulers

    Contribution.

    Deimachos

    Period: (320-273 BC)

    Who: Greek Ambassador

    Came India in the reign of Bindusara.

    –

    Megasthenes

    Period: (302-298 B.C.)

    Who: Greek ethnographer & ambassador.

    Ambassador of Seleucus Nicator, who visited in the court of Chandragupta Maurya.

    Wrote an interesting book Indica.

    Ptolemy

    Period: 130 A.D.

    Who: From Greece and Geographer.

    –

    Wrote “Geography of India” which gives the description of Ancient India.

    Fa-Hien

    Period: (405-411 A.D.)

    Who: Chinese Buddhist Monk

    Came to India in the reign of Chandragupta II Vikramaditya.

    –          Visited the birth place of Buddha, Lumbini.

    –          His Travelogue “Records of Buddhist Kingdoms”.

    –          Wrote Fo-Kyo-Ki.

    Hiuen-Tsang

    Period: (630-645 A.D.)

    Who: Chinese Buddhist Monk

    Visited India during the reign of Harshavardhana.

    –          Came through Tashkent and Swat Valley.

    –          Book is “Si-Yu-Ki or the records of western world”.

    I-tsing

    Period: ( 671- 695 A.D.)

    Who: Chinese traveller

    Visited India in connection with Buddhism.

    –          His works are Biographies of Eminent Monks.

    –          Gives useful information about the social, religious and cultural life of the people of this country.

    Al-Masudi

    Period: (957 A.D.)

    Who: Arab Traveller

    –

    Gives an extensive account of India in his work “Muruj-ul-Zahab”.

    Al- Beruni or Abu Rehan Mahamud

    Period: (1024-1030 A.D.)

    Who: Muslim Scholar and Polymath

    Came along with Mahmud Ghazni during one of his Indian raids.

    –          First Muslim Scholar to study India also known as founder of Indology.

    –          Wrote “ Tahqiq-i-Hind/Kitab-ul-Hind.

    Marco Polo

    Period: (1292-1294 AD)

    Who: Venetian Traveller

    Visited South India in 1294 A.D during the reign of Pandyan ruler of Madurai, Madverman, Kulshekhara (1272-1311)

    His work “The Book of Sir Marco Polo” which gives an invaluable account of the economic history of India.

    Ibn Batuta

    Period: (1333-1347 A.D.)

    Who: Morrish traveller

    Visited India during the reign of Muhammad-Bin-Tughlaq.

    His book “ Rehla” (the travelogue)

    Shihabuddin al-Umari

    Period: (1348 A.D.)

    Who: Came from Damascus

    –

    He gives a vivid account of India in his book “ Masalik albsar fi-mamalik al-amsar”

    Nicolo Conti

    Period: (1420-1421 A.D.)

    Who: Venetian traveller

    Came during the rule of Devraya I of Sangam Dynasty of Vijayanagar empire.

    Given a graphic account of Vijayanagaras capital.

    Abdur Razzaq

    Period: (1443-1444 A.D.)

    Who: Persian traveller, Ambassador of Shahrukh of Timurid dynasty.

    –          Came during the rule of Devraya II of Sangam dynasty of Vijaynagar Empire.

    –          Came in India at Zamorin’s Calicut.

    Given a brief account of this countryside, in his Matla us Saddin wa Majuma ul Baharain.

    Athanasius Nikitin

    Period: (1470- 1474 A.D.)

    Who: Russian merchant

    Visited South India in 1470.

    -He describes the condition of the Bahmani kingdom under Muhammad III (1463-82).

    – His narrative “ The journey beyond 3 seas”

    Duarte Barbosa

    Period: (1500-1516 A.D.)

    Who: Portuguese traveller

    –

    He has given a brief description of the government and the people of Vijayanagar Empire.

    Domingo Paes

    Period: (1520-1522 A.D.)

    Who: Portuguese traveller

    Visited the court of Krishnadeva Raya of Vijayanagar Empire.

    –

    Fernao Nuniz

    Period: (1535-1537 A.D.)

    Who: Portuguese merchant

    Came during the rule of Achyutdeva Raya of Tuluv dynasty of vijayanagar Empire.

    Wrote history of the empire from its earliest times of the closing years of Achyutdeva Raya’s reign.

    John Hughen Von Linschotten

    Period: (1583 A.D.)

    Who: Dutch traveller

    –

    Given a valuable account of the social and economic life of South India.

    William Hawkins

    Period: (1608-1611 A.D.)

    Who: Ambassador of James I, king of England.

    Came in India at the reign of Jahangir,the great Mughal Emperor. William finch came with him.

    –

    Sir Thomas Roe

    Period: (1615-1619 A.D.)

    Who: Ambassador of James I, king of England.

    Came in India at the reign of Jahangir,the great Mughal Emperor.

    –

    Edward Terry

    Period: (1616 A.D.)

    Who: Ambassador of Thomas Roe.

    –

    Describe about Indian social (Gujarat) behaviour.

    Franciso Palsaert

    Period: (1620-1627 A.D.)

    Who: Dutch traveller stayed at Agra.

    –

    Gave a vivid account of the flourishing trade at Surat, Ahmadabad, Broach, Cambay, Lahore, Multan etc.

    Peter Mundy

    Period: (1630-34 A.D.)

    Who: Italian traveller

    Came in the reign of the Mughal Emperor, Shahjahan.

    Gives valuable information about the living standard of the common people in the Mughal Empire.

    John Albert de Mandesto

    Period: (1638 A.D.)

    Who: German traveller

    Reached Surat in 1638 A.D.

    –

    Jeen Baptiste Tavernier

    Period: (1638-1663 A.D.)

    Who: French traveller

    Visited India 6 times in the reign of Shahjahan and Aurangzeb.

    –

    Nicolao Manucci

    Period: (1653-1708 A.D.)

    Who: Italian traveller

    He got service at the court of Dara Shikoh.

    –

    Francois Bernier

    Period: (1656- 1717 A.D.)

    Who: French physician and Philosopher.

    Danishamand Khan, a noble of Aurangzeb was his patron.

    –

    Jean de Thevenot

    Period: (1666 A.D.)

    Who: French traveller

    –

    Given an account of cities like Ahmadabad, Cambay, Aurangabad and Golconda.

    John Fryer

    Period: (1672-1681 A.D.)

    Who: English traveller

     

    Given a vivid account of Surat and Bombay.

    Gemelli Careri

    Period: (1695 A.D.)

    Who: Italian traveller who landed at Daman.

    –

    His remarks on the Mughal emperor’s military organisation and administration are important.

     

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  • Rising unemployment is yet to receive the attention it deserves from government

    Context

    India’s unemployment rate in August was 8.3 per cent. This was higher than the 7 per cent recorded in July. The month-to-month variations notwithstanding, these are all very high unemployment rates.

    Why inflation gets more attention in India than unemployment?

    • Periodic Labour Force Survey (PLFS) results showed the historically high unemployment rate of 6.1 per cent for 2017-18 (July to June). It was at a 45-year high.
    • New norm at 7-8 per cent: Till then, India was used to recording an unemployment rate of around 3 per cent. 
    • Today, an unemployment rate of 7-8 per cent seems to be the norm and such levels do not seem to matter.
    • The unemployment rate is not the most important labour market indicator for a country like India.
    • Why inflation gets preference: Between inflation and unemployment, the two economic indicators conjoined theoretically by the Phillips curve, it is inflation that wields political power.
    • Inflation hurts almost the entire population.
    • Equally importantly, high inflation rates can upset financial markets that in turn exert pressure on regulators to keep inflation in control.
    • Unemployment directly impacts only the unemployed, who don’t count much.
    • Worse still, society perceives being unemployed as an individual shortcoming, and not an outcome of a macroeconomic malaise.

    What does low labour force participation rate (LFPR) indicate about the labour market in India?

    • The unemployment rate is a measure of the economy’s inability to provide jobs only for those who seek work.
    • But, in India, very often people do not look for jobs in the belief that none are available which is reflected in a low labour force participation rate (LFPR).
    • India’s LFPR is at around 40 per cent when the global rate is close to 60 per cent.
    • It is important that this belief in the futility of a job hunt is overcome by an explosive creation of new good quality formal jobs.

    Why employment rate is a useful indicator for India

    • A useful labour market metric for a country like India is the employment rate.
    • This measures the proportion of the population over 14 years of age that is employed.
    • The definition of employment needs to be changed, at present, engaging in some economic activity for just one hour in any of the past seven days is counted as employment.
    • India’s record in providing employment to its people has been abysmally poor.
    • CMIE’s definition of employment indicates that in 2016-17, only 42.8 per cent of the working-age population was employed.
    •  In the year of the pandemic, it fell to 36.5 per cent.

    Reverse migration in employment from manufacturing to low productivity employment

    • People are moving away from factories as manufacturing jobs shrink, to farms that provide shelter largely in the form of disguised unemployment.
    • It cannot be the desire of a nation to move people away from high productivity, better quality jobs in manufacturing to low productivity employment in agriculture or as gardeners or security guards in the household sector.
    • Employment opportunities need to expand in areas where labour is deployed to deliver higher productivity for enterprise and higher returns to labour.

    Way forward

    • Increase investment: A large part of the solution to this lack of adequate jobs is in increasing investments.
    • Focus on demand size: For this, the investment climate needs to be business-friendly and government interventions must shift away from supply-side support to spurring demand.

    Conclusion

    The government needs to come up with policies for generating employment opportunities and stemming the reverse migration from manufacturing jobs to low productivity employment.

    UPSC 2022 countdown has begun! Get your personal guidance plan now! (Click here)

  • National Monetization Pipeline shows promise — and limits

    The government of India recently announced an asset monetization plan, wherein existing public assets worth Rs 6 trillion would be monetized by leasing them out to private operators for fixed terms.

    The plan has generated a lot of print so it is worth discussing its pros and cons.

    About NMP

    • The identified assets are primarily concentrated in roads, railways, power, oil and gas, and telecoms.
    • The lease proceeds are expected to be used for new infrastructure investment which, in turn, will contribute to the government’s ambitious Rs 111 trillion infrastructure investment plan.

    Important issues raised by the plan

    [I] How much should the government expect to raise from the plan?

    Revenue Potential

    • In deciding the amount to bid for leasing rights, bidders compute the present discounted value of the annual cash flow from the asset for the duration of the lease.
    • The biggest uncertainty in this calculation surrounds the cash flow on these public assets.
    • Rates of return estimates on public capital in the US have been estimated to be upwards of 15 per cent.
    • However, this is India with its myriad uncertainties regarding pricing, bill collection, asset quality, regulatory framework as well as policy reversals.
    • Hence there is significant uncertainty regarding the revenue potential of the plan.

    [II] Is the plan likely to increase the efficiency of the economy?

    a. Efficiency of the economy

    • The NITI Aayog believes that the private sector is better at managing and operating the identified public assets than the public sector.
    • There is certainly scope for efficiency gains. However, there are significant efficiency impediments too.
    • One set of efficiency issues surrounds usage fees. A second factor related to efficiency is the effect of the plan on competition.

    b. Stressed sectors

    • The identified assets belong to core sectors of the economy spanning transport, energy and communication.
    • Sectors like telecoms and ports have already seen rising concentration of ownership in recent years.
    • An acceleration and extension of this trend to other segments of the infrastructure landscape would be seriously worrying.
    • While some of this could well be rationalized through the stipulation of rules for the allocation of leasing rights, the plan is silent on this.

    c. Financing of the lease bids

    • If bidders finance their bids using domestic savings, there is a clear opportunity cost of the plan since these savings would otherwise have been invested in alternative projects.
    • Moreover, the bidding for scarce domestic savings by prospective investors will also raise domestic interest rates which will put downward pressure on domestic private investment.
    • It would also be worth reminding ourselves that the last round of PPP-based infrastructure funding routed through banks ended up with a heap of NPAs in public sector bank balance sheets.

    Biggest flaw of the NMP

    • No clear objective: The biggest drawback of the plan is that it fails to articulate the reasons for public sector inefficiency in asset management.
    • No focus on management: If it is personnel-related, then privatizing management may be the right answer. If the inefficiency is related to constraints on pricing and bill collection, then the roots of the problem are unlikely to be addressed by leasing out their management to private operators.
    • No clear assessment of underperforming sectors: The plan document also fails to outline whether the identified brownfield assets are the public sector’s highest cash flow assets or the relatively under-performing ones.

    Better alternatives for the govt

    • The way around this is to welcome foreign investors to bid for the assets.
    • But this will require serious political will since entrenching foreign influence on Indian public assets will generate controversy.
    • On this aspect too, the announced plan is low on details.

    Way forward

    • If the private sector is indeed more efficient in running infrastructure assets, the most efficient strategy would be to lease out the worst-performing assets rather than the best performing ones.
    • The NITI Aayog would do the policy landscape a big service by following up the proposal with a white paper that addresses some of these efficiency-related issues.
    • Without that, the monetization plan, while intriguing, is incomplete.

    Conclusion

    • A monetization plan envisages the private sector paying an upfront fee to the government which the government uses for new infrastructure investment.
    • As much as private bidders finance themselves by borrowing, this amounts to the private sector borrowing and handing over the funds to the government to invest in infrastructure.
    • This could enhance efficiency in infrastructure investment only if the government faces higher interest rates in capital markets than the private sector.

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