💥Join UPSC 2027,2028 Mentorship (August Batch) + XFactor Notes & Microthemes PDF
Talk to Mentor

Civilsdaily

Login

Subject: Governance

Important aspects of Society

  • [4th July 2024] The Hindu Op-ed: Trials, medical ethics and the orbit of power

    [4th July 2024] The Hindu Op-ed: Trials, medical ethics and the orbit of power

    PYQ Relevance:
    Mains: 

    Q) If an amendment bill to the Whistleblowers Protection Act 2011 tabled in the Parliament is passed, there may be no one left to protect. Critically Evaluate. (UPSC CSE 2015) 

    Q) With consideration towards the strategy of inclusive growth, the new Companies Bill, 2013 has indirectly made CSR a mandatory obligation. Discuss the challenges expected in its implementation in earnest. Also, discuss other provisions in the Bill and their implications. (UPSC CSE 2013) 

    Note4Students: 

    Prelims:  Whistleblowers Protection Act 2011,

    Mains:  Ethical issues in the Medical sector,

    Mentor comment: On January 10, 2021, Rashida Bee, Nawab Khan, Rachna Dhingra, and Nausheen Khan alleged ethical violations in Bharat Biotech’s Covaxin trial at People’s Hospital, Bhopal. They cited informed consent breaches, enrollment of vulnerable groups, non-reporting of adverse events, and inadequate participant monitoring. They demanded intervention to halt the study and independent investigation. The outcome of their letter remains undisclosed.

    Let’s learn!

    __

    Why in the news? 

    In India, the primary safeguards intended to prevent medical ethics abuse are ineffective.

    What are the Primary safeguards?

    • Primary safeguards are fundamental measures or systems put in place to prevent unethical practices and ensure ethical standards are maintained.
    • These safeguards are designed to protect individuals and maintain integrity within processes, such as clinical trials.
    • They typically include regulatory frameworks, oversight committees, informed consent procedures, transparency requirements, and accountability mechanisms.

    Ethical Abuse 

    • Allegations of Ethical Violations in Covaxin Trial: Irregularities and ethical violations were alleged in the Covaxin clinical trial conducted by People’s Hospital in Bhopal, Madhya Pradesh. Violations included lack of informed consent, enrollment of vulnerable populations, non-reporting of adverse events, and inadequate monitoring and follow-up.
    • Regulatory Approval and Ethical Guidelines before the completion of Phase III study: The Indian drug regulator, Central Drugs Standard Control Organisation (CDSCO), approved Covaxin for “Restricted Use under Clinical Trial Mode” before the completion of its Phase III study.This approval process was not defined in India’s Drug Regulatory Framework, creating ambiguity and potential ethical lapses.
    • Lacking in the effectiveness of Ethics Committees: Ethics committees at trial sites are meant to oversee and ensure ethical conduct in clinical trials. There were issues with the effectiveness of these committees, with allegations of gross violations of ethics guidelines.
    • Whistle-blowers show the various incidents of ethical violations: Whistle-blowers play a crucial role in exposing ethical violations in medical experimentation.  Carl Elliott’s book, “The Occasional Human Sacrifice,” details various incidents of ethical violations in medical trials, highlighting the courage required to speak out.

    Innovative therapies and ethics

    • Balancing Risk and Benefit: Developing life-saving medicines involves a delicate balance between the potential risks to patients and the projected benefits of the therapeutic candidate. This process requires specialised knowledge and experience to make informed decisions, which is often lacking, leading to ethical challenges.
    • Lack of Expertise in Clinical Development: India has a strong generic drug manufacturing industry but lacks deep expertise in developing innovative therapies. The management of clinical development is often overseen by medical doctors who may not have specialized knowledge in drug development, leading to ethical violations and inadequate oversight.
    • Ethical Violations in Pandemic Response: During the COVID-19 pandemic, there were examples of medical ethics being compromised, such as unrealistic projections of case numbers and the creation of terms like “emergency use authorization in clinical trial mode” to justify premature decisions. These actions highlight the need for better guardrails and ethical standards in managing the development and approval of new therapies.

    Indian Patients and Clinical Studies

    • Violation of Informed Consent: There is a historic and repeated violation of informed consent in India, with poor and uneducated patients being enrolled in clinical studies without being fully informed of potential harm. Ensuring informed consent falls under the responsibility of institutional ethics committees, whose effectiveness is often questionable.
    • Ineffectiveness of Institutional Ethics Committees: Despite existing on paper and in regulations, the functioning and effectiveness of institutional ethics committees in India are patchy. A study by Gayatri Saberwal et al. (2022) identified numerous issues, such as clinical trials without ethics committees and trials with more sites than functional ethics committees.
    • Abuse of Regulations by the Industry: A significant abuser of these regulations is a section of the industry promoted by the Ministry of AYUSH, which conducts poorly designed and executed clinical studies with zero oversight. These studies often aim to provide a veneer of scientific validity to various concoctions without proper ethical standards.
    • Comparison with Western Systems: Even well-designed and well-run systems in the West face challenges in maintaining checks and balances on accountability. India’s systems are far from achieving the same level of function and effectiveness, highlighting a significant gap in ethical standards and accountability in clinical studies.

    Way forward: 

    • Enhancing Training and Oversight: Provide specialized training for members of institutional ethics committees to ensure they have the necessary knowledge and skills to oversee clinical trials effectively. Regular audits and monitoring should be conducted to assess the performance and adherence to ethical guidelines.
    • Independent Audits: Conduct independent audits of clinical trial sites and ethics committees to ensure compliance with ethical standards and regulatory requirements. Establish clear consequences for non-compliance to deter unethical practices.
    • Clear Guidelines and Definitions: Define clear regulatory pathways and guidelines for clinical trials, including terms like “Restricted Use under Clinical Trial Mode.” This will reduce ambiguity and ensure consistent application of ethical standards.

  • On Tamil Nadu’s financial distress   

    Why in the news?

    At a June 22 meeting for Union Budget 2024-25, Tamil Nadu’s Finance Minister Thangam Thennarasu requested ₹63,246 crore for Chennai Metro Rail Phase-2, ₹3,000 crore for disaster restoration, and increased unit costs for centrally sponsored schemes.

    How are the funds for phase two of the Chennai Metro Rail distributed?

    • Funding Agencies and International Support: Chennai Metro Rail Phase-2 is financed by multiple international agencies, including the Japan International Cooperation Agency (JICA), Asian Development Bank (ADB), Asian Infrastructure Investment Bank (AIIB), and New Development Bank (NDB).
    • State Government Contributions: Up to March 31, 2024, the Tamil Nadu government sanctioned ₹5,400 crore as share capital for the Chennai Metro Rail Limited (CMRL) and ₹12,013.89 crore as subordinate debt, bearing the entire expenditure due to delays in approval from the Union Cabinet Committee on Economic Affairs (CCEA).

    Is the Centre stalling the funds for the metro project?

    Approval Status:

    • Public Investment Board: The Chennai Metro Rail Project’s Phase-2 was approved by the Public Investment Board (PIB) as a Central sector project under the equity sharing model in August 2021.
    • Union Cabinet Committee on Economic Affairs: The project has been awaiting approval from the Union Cabinet Committee on Economic Affairs (CCEA) since then.

    State Government Actions:

    • Foundation Stone: Despite the pending approval, the foundation stone for the phase was laid by Union Home Minister Amit Shah in November 2020 when the AIADMK was in power.
    • Ongoing Expenditure: The Tamil Nadu government continues to fund the project independently, stressing its finances and urging the Centre to sanction the project under the 50:50 equity sharing model as was done for Phase 1.

    What about funds released by the Centre for restoration work after natural disasters in the State?

    • Initial Request by Tamil Nadu: Tamil Nadu submitted detailed memoranda to the Union government, seeking approximately ₹37,906 crore for restoration works following two natural disaster spells in 2023.
    • Initial Central Release: The Union government initially released a sum of ₹276 crore for immediate restoration efforts.
    • Additional Approvals: The Union Ministry of Home Affairs (MHA) later approved additional assistance of ₹285.54 crore and ₹397.13 crore for the two disaster spells.
    • Disbursed Amounts: From these approvals, a total of ₹115.49 crore and ₹160.61 crore were disbursed under the National Disaster Response Fund (NDRF).
    • State Disaster Response Fund (SDRF): The Union government’s order also mentioned ₹406.57 crore as the 50% available in the State Disaster Response Fund (SDRF) account of Tamil Nadu as of April 1, 2023.

    Way forward: 

    • Metro Rail Project: The Union government should prioritize and expedite the approval process for significant infrastructure projects like the Chennai Metro Rail Phase-2. This can be achieved by setting stricter timelines for the Union Cabinet Committee on Economic Affairs (CCEA) to finalize decisions.
    • Natural Disaster Restoration: The Centre should reassess the current disaster relief funding mechanism to ensure timely and adequate financial support for states hit by natural disasters.

    Mains PYQ:

    Q Discuss the recent measures initiated in disaster management by the Government of India departing from the earlier reactive approach. (UPSC IAS/2020)

  • Will the Agnipath scheme be revamped? | Explained 

    Why in the news?

    Following the 2024 election results, NDA allies Janata Dal (United) and Lok Janshakti Party (Ram Vilas) raised concerns about the Agnipath scheme and called for discussions on the matter.

    What is the Agnipath scheme?

    • The Agnipath scheme recruits soldiers, sailors, and airmen into the Indian armed forces for a four-year term, replacing the previous system of permanent recruitment. After completing their four-year tenure, up to 25% of Agniveers can be selected for permanent positions within the armed forces.
    • Agniveers can obtain educational certificates and skill certifications during their service. They receive a lump sum amount upon completing their tenure but are not eligible for a pension.

    Issues Associated with the Scheme

    • Personnel Shortage: There is a significant shortage of personnel in the ‘below officer’s rank’ cadres, exacerbated by the recruitment freeze during the COVID-19 pandemic. The Army retires around 60,000 soldiers annually but only recruits 40,000, leading to a growing shortfall.
    • Low Conversion Rate: The 25% conversion rate from Agniveers to regular soldiers is considered insufficient to address the personnel shortage.
    • Compressed Training: The four-year tenure necessitates a shorter training period, which may impact the quality of training.
    • Political and Social Opposition: The scheme has faced political opposition and led to violent protests in some parts of the country. Critics argue for a clause-by-clause review or complete scrapping of the scheme.

    Present Scenario

    As the Agnipath scheme marks two years since its implementation, the Department of Military Affairs (DMA) in the Defence Ministry is reviewing the scheme based on feedback from the armed forces.

    • Feedback Compilation: The Navy and Air Force have compiled their feedback, while the Army is still in the process.
    • Recommendations: Suggestions include increasing the intake numbers, raising the permanent recruitment rate from 25% to at least 50%, and extending the age limit for technical recruits from 21 to 23 years.
    • Review Process: The DMA will compile all recommendations and submit them to the Defence Ministry for potential adjustments to the scheme.

    Way forward:

    • Enhance Educational and Skill Development Opportunities: Partner with educational institutions to provide Agniveers with advanced degrees and certifications that are recognized nationwide. Offer vocational training and skill development programs that are aligned with industry standards, improving post-service employability.
    • Increase Permanent Induction Rate: Raise the conversion rate of Agniveers to permanent positions from 25% to at least 50% to address the personnel shortage effectively.

  • [26th June 2024] The Hindu Op-ed: Agony still in Manipur, a year later

    PYQ Relevance: 

    Q What are the two major legal initiatives by the state since Independence, addressing discrimination against Scheduled Tribes (ST)? (UPSC IAS/2017)
    Q Why are the tribals in India referred to as ‘the Scheduled Tribes’? Indicate the major provisions enshrined in the Constitution of India for their upliftment. (UPSC IAS/2016)

    Mentors’ comment: The Meiteis and Kuki-Zos are the two major ethnic communities in Manipur engaged in a violent conflict since May 2022. The Meiteis, the dominant group in the Imphal valley, have demanded Scheduled Tribe status, which the Kuki-Zos in the hills oppose fearing loss of land and jobs. The conflict has led to over 220 deaths, thousands injured, and tens of thousands displaced, creating a humanitarian crisis.

    Let’s learn!

    Why in the news?

    The absence of Manipur Chief Minister N. Biren Singh was notable at the high-level security meeting on Manipur convened by Union Home Minister Amit Shah in New Delhi on June 17, 2024.

    Background issue:

    • Communities Involved: The primary conflict is between two major ethnic communities in Manipur: the Meitei and the Kuki-Zo tribes.
    • Violence and Casualties: The clashes have resulted in significant violence, including attacks on civilians and property. The conflict has led to a considerable loss of life, with casualties reported on both sides.
    • Displacement: The violence has caused widespread displacement within Manipur. Both Meiteis and Kuki-Zos have been forced to flee their homes, contributing to a humanitarian crisis in the region.
    • Reason: The roots of the conflict are deep-seated and include historical grievances and disputes over land, resources, and political representation.

    Issues related to High-Level Security Meeting:

    • Exclusion from High-Level Meetings: Manipur Chief Minister N. Biren Singh was conspicuously excluded from a high-level security meeting convened by Union Home Minister Amit Shah in New Delhi on June 17, 2024.
    • Centralized Control: Speculations arose about an undeclared President’s Rule in Manipur, indicating that the State government’s authority in handling the ethnic clashes between Meitei and Kuki-Zo tribes has been significantly diminished.
    • Appointment of Officials: The Director General of Police and Security Adviser for Manipur were appointed from outside the State following the outbreak of violence, highlighting a shift in administrative control away from local authorities.

    Recent challenges:

    • Misguided Separation Strategy: An attempt to create a buffer zone between the warring communities by dividing responsibilities between central forces and state police backfired.
    • Lack of Resolution Efforts: While violence temporarily subsided, underlying causes of discord between Meiteis and Kuki-Zos were not addressed, allowing tensions to persist and escalate unpredictably.
    • Presence of Security Forces: Despite a large deployment of around 70,000 personnel, the strategy has focused on managing rather than resolving the conflict, leading to sustained distrust and communal tensions.

    Impact on Meiteis and Kuki-Zos communities:

    • Casualties and Displacement: Official figures report 225 deaths, with significant displacement and mutual ethnic cleansing affecting both Meiteis and Kuki-Zos communities.
    • Blurred Victim-Perpetrator Lines: Over time, the distinction between victims and perpetrators has become less clear, complicating reconciliation efforts and deepening communal divisions.
    • Humanitarian Impact: The conflict has exacted a heavy toll on lives and properties, necessitating empathy and shared acknowledgement of suffering as a basis for reconciliation and eventual peace-building.

    Way forward: 

    • Inclusion of Local Leadership: Ensure the meaningful participation of Manipur Chief Minister N. Biren Singh and local community leaders in high-level security meetings and decision-making processes. This can help in fostering trust and ownership of initiatives aimed at resolving the conflict.
    • Address Root Causes: Conduct a comprehensive assessment to identify and address the underlying causes of ethnic tensions, such as historical grievances, competition over resources, and political representation. Develop policies and initiatives that aim at long-term reconciliation rather than short-term management of conflict.

    Source: 

    https://www.thehindu.com/opinion/lead/agony-still-in-manipur-a-year-later/article68332570.ece#:~:text=There%20seem%20to%20be%20no,placed%20in%20virtual%20animated%20suspension.

  • Finance Commission and Indian Cities

    Why in the news? 

    With the new Lok Sabha and Union government in place, this final piece focuses on how the 16th Finance Commission can drive substantive public finance reforms for India’s cities.

    Note: The Sixteenth Finance Commission has been requested to make its recommendations available by October 31, 2025, covering an award period of 5 years commencing 1st April, 2026.

    16th Finance Commission can catalyse municipal-level financial reforms     

    • Strengthening State Finance Commissions: The Commission should emphasize the need for state governments to constitute state finance commissions on time, provide them with adequate resources, and ensure their recommendations are taken seriously.
    • Fiscal Decentralization: The 16th FC should recommend a formula-based approach for predictable fiscal transfers from state governments to municipalities, moving away from the current practice of ad hoc, discretionary grants. This will enhance the financial autonomy of urban local bodies.
    • Revenue Optimization: The Commission should incentivize municipalities to enhance their own revenues through measures like property tax reforms, user charges, and leveraging land assets. This will reduce their dependence on state grants and promote fiscal responsibility.
    • Fiscal Responsibility and Budget Management: The 16th FC can provide incentives for municipalities to adopt fiscal responsibility and budget management frameworks to accelerate municipal borrowings for infrastructure development. This will enable cities to access capital markets for financing their growth.
    • Transparency and Citizen Participation: The 16th FC can encourage municipalities to enhance transparency and citizen participation in urban governance for improved accountability at the neighbourhood level. This will make urban local bodies more responsive to the needs of citizens.

    Need for the Reforms

    • Inadequate Funding and Resource Utilization: Indian cities face significant financial shortfalls and struggle to effectively utilize the funds they have, leading to underdeveloped infrastructure and services.
    • Lack of Accountability: There is minimal accountability regarding how municipal spending improves citizens’ lives, resulting in inefficient use of resources and unmet public needs.
    • Fiscal Decentralization: Cities need predictable fiscal transfers for effective planning, but state governments often delay constituting State Finance Commissions (SFCs) and implementing their recommendations.
    • Revenue Optimization: Cities underutilize their revenue-generating powers due to outdated valuation processes controlled by state governments. Comprehensive reforms are needed at all stages of revenue collection.
    • Transparency and Fiscal Responsibility: The legal framework for financial accounting, reporting, and budgeting is inconsistent across states. Standardized formats, mandatory accounting standards, and management accounting systems are necessary to improve transparency and fiscal responsibility.

    Activities by State Governments

    • Timely Constitution and Implementation of State Finance Commissions: State governments must ensure the timely establishment and effective implementation of SFC recommendations to support fiscal decentralization and provide predictable funding to cities.
    • Updating Valuation Processes: States should regularly update guidance values or circle rates to reflect current market values, enabling cities to optimize revenue collection and ensure financial sustainability.
    • Enhancing Legal and Institutional Frameworks: States should establish and enforce standardized formats for financial accounting, reporting, and budgeting to ensure consistency, transparency, and comparability across municipalities.
    • Empowering Local Governments: States should delegate reasonable expenditure authority to city councils, reducing dependency on state-level approvals and enabling more efficient and responsive local governance.
    • Mandating Transparency and Citizen Participation: States should mandate public disclosure of municipal financial data and project details in machine-readable formats and support the implementation of participatory budgeting to enhance transparency and citizen involvement in governance.

    Conclusion: The 16th Finance Commission can drive critical municipal-level financial reforms by strengthening state finance commissions, promoting fiscal decentralization, optimizing revenues, enhancing fiscal responsibility, and encouraging transparency and citizen participation in governance.

    Mains PYQ:

    Q How is the Finance Commission of India constituted? What do you know about the terms of reference of the recently constituted Finance Commission? Discuss. (15) (UPSC IAS/2018)

  • Indian Railways and safety challenges

    Why in the news?

    The turmoil has not subsided since the tragic accident involving the GFCJ container train, which, while travelling at high speed, collided with the 13174 Agartala-Sealdah Kanchanjunga Express, resulting in 11 deaths and approximately 40 injuries.

    Indian Railways: Recent Issues

    • Tragic Accident: The GFCJ container train collided with the 13174 Agartala-Sealdah Kanchanjunga Express, causing 11 deaths and around 40 injuries.
    • Premature Conclusions: The Chairperson of the Railway Board prematurely blamed the container train crew and provided incorrect information about casualties.
    • Slow Rollout of Kavach System: Kavach, an indigenous signalling system to prevent collisions, has been slowly implemented due to limited industrial capacity.
    • Staffing Issues: Indian Railways is overstaffed but has critical vacancies in safety-sensitive positions, leading to stress and overwork for existing staff.
    • Ambiguous Protocols: Ambiguous rules for handling Automatic signal failures create confusion and increase the risk of accidents.

    What are the major challenges that Indian Railways faces?  

    • Safety Concerns: Inadequate measures to prevent collisions and improve overall safety, despite technological advancements.
    • Staffing Shortages: Critical vacancies in essential roles such as loco pilots, train managers, and signal maintainers, lead to overworked staff.
    • Slow Technological Implementation: Delayed implementation of safety technologies like the Kavach system due to limited industrial capacity and lack of focus.
    • Ambiguous Safety Protocols: Poorly drafted rules and unclear protocols for handling signal failures and emergencies.
    • Managerial and Communication Issues: Premature conclusions and miscommunication by top management, undermine trust and effective crisis management.

    What can be the solution?

    • Enhanced Safety Protocols: Strengthen and clarify protocols for Automatic signal failures and other emergency situations.
    • Accelerated Technology Adoption: Fast-track the implementation of safety technologies like the Kavach system, with targets of 4,000 to 5,000 km/year.
    • Increase Recruitment in Critical Areas: Fill vacancies in essential safety roles promptly to reduce stress and workload on existing staff.
    • Encourage Industrial Capacity Building: Support and incentivize allied industries to increase capacity for producing and implementing safety technologies.
    • AI-Enabled Safety Monitoring: Implement AI-enabled applications to analyze digital data from station loggers and train microprocessors for actionable safety insights.
    • Focus on Managerial Accountability: Ensure that managerial issues are thoroughly investigated and addressed to improve overall safety management.

    Steps taken by the government:

    • The government has established the Rashtriya Rail Sanraksha Kosh (RRSK), a dedicated fund with a corpus of Rs. 1 lakh crore over 5 years, to finance critical safety asset replacement, renewal, and upgradation.
    • The government has implemented Electrical/Electronic Interlocking Systems at 6,427 stations as of May 2023, which centrally operate points and signals to eliminate human error-related accidents.

    Conclusion: Strengthen and clarify safety protocols for handling signal failures and emergencies, ensuring clear guidelines and training for staff. Fast-track the implementation of safety technologies like the Kavach system, setting annual targets of 4,000 to 5,000 km to improve overall safety and prevent collisions.

    Mains PYQ:

    Q Why is Public Private Partnership (PPP) required in infrastructural projects? Examine the role of PPP model in the redevelopment of Railway Stations in India. (UPSC IAS/2022)

  • India among a select few countries that have not conducted the Census    

    Why in the news?

    India’s last census was conducted in 2011, and the scheduled Census 2021 has been indefinitely postponed, citing the COVID-19 pandemic. This delay has significant implications for welfare schemes and policy planning reliant on accurate population data.

    Significance of Census Calculation  

    • Foundation for Policy Planning and Governance: Census data forms the foundational basis for policy planning and governance across various sectors such as education, healthcare, infrastructure development, and social welfare.
    • Allocation of Resources and Welfare Benefits: Census figures are crucial for determining the allocation of resources and distribution of welfare benefits like food subsidies, housing schemes, healthcare facilities, and educational resources.
    • Monitoring Socio-Economic Development: Census data enables monitoring of socio-economic development indicators over time, such as literacy rates, employment patterns, poverty levels, and household incomes.

    Present Observations:

    • Global Comparison: India is among a minority of countries (44 out of 233) that have not conducted the latest census, despite most nations managing to proceed with their census rounds after March 2020, amidst the pandemic. This delay places India alongside conflict-affected countries and those facing economic crises.
    • Regional Context: Among BRICS nations, India is the only country yet to conduct its latest census, contrasting with others such as Brazil, China, South Africa, and Russia, which have completed their census rounds during or after the pandemic.
    • Dependency on Census Data: Census data serves as the primary source for accurate demographic information at grassroots levels, crucial for planning and implementing welfare schemes across various sectors, including education, healthcare, and social security.

    Implications for Society:

    • Welfare Scheme Implementation: The absence of updated census figures hampers the effective implementation of welfare schemes such as the Public Distribution System (PDS), National Family Health Survey, and National Family Security Act. Outdated population data from 2011 leads to inaccuracies in identifying beneficiaries, potentially excluding millions from essential services and entitlements.
    • Education and Social Development: Schemes like the Eklavya Model Residential School (EMRS), aimed at providing quality education to Scheduled Tribe (ST) children, are adversely affected. Allocation decisions based on 2011 census data may not accurately reflect current demographic realities, leading to misplaced resource distribution and missed opportunities for targeted interventions.
    • Economic and Social Planning: Census data plays a pivotal role in economic planning, resource allocation, and policy formulation. Without updated population figures, India faces challenges in devising evidence-based policies that address regional disparities, socio-economic needs, and demographic shifts effectively.

    Conclusion: The indefinite postponement of Census 2021 in India has profound implications for governance, socio-economic planning, and equitable development. Addressing these challenges requires expedited efforts to conduct the census and ensure accurate demographic data to inform inclusive policy frameworks.

    Mains question for practice: 

    Q Discuss the present observations regarding India’s census delay and analyze its implications. 15M

  • [22nd June 2024] The Hindu Op-ed: A mandate for a new economic approach

    PYQ Relevance: 

    Q The nature of economic growth in India in recent times is often described as jobless growth. Do you agree with this view? Give arguments in favour of your answer. (UPSC IAS/2015)

    Q ‘Economic growth in the recent past has been led by the increase in labour productivity.” Explain this statement. Suggest the growth pattern that will lead to the creation of more jobs without compromising labour productivity. (UPSC IAS/2022)

    Mentors comment: Following the results of the Lok Sabha elections, Prime Minister Narendra Modi has begun his third term leading a coalition government. The continuity in government policy is anticipated, with top ministers like Nirmala Sitharaman and Piyush Goyal retaining their portfolios unchanged in key economic ministries such as finance commerce and industry. According to Jeremy Zook, director at Fitch Ratings, there is an expectation that India’s robust medium-term growth outlook will persist, supported by government capital expenditure initiatives and improvements in corporate and bank balance sheets. However, the potential for significant enhancements to medium-term growth prospects may be limited if reforms encounter greater challenges in implementation.

    Let’s learn_ _

    Why in the News?

    The recent general election results reflect a dissatisfaction with economic conditions.

    Sources of Discontent

    • Governance Issues: Dissatisfaction is high due to unemployment and persistent inflation.
    • Food-Price Inflation: Food-price inflation has been elevated for five years, particularly for cereals and pulses, which are staples. Households at the bottom of the income distribution spend nearly half their expenditure on food.
    • High Expectations: Historical precedents, like the high food price inflation before the end of the A.B. Vajpayee-led government in 2004, show the impact of food prices on voting behaviour.
    • Unemployment: The unemployment rate has been mostly higher since 2014, with the Periodic Labour Force Survey showing a decline in the real earnings of regular employees and the self-employed.
    • Economic Shift: These factors have contributed to the economic discontent leading to the shift away from the BJP.

    Promise for reforms

    • Electoral Mandate: Prime Minister Narendra Modi must honour the electoral mandate by addressing the sources of discontent.
    • Need for Change: A change from the economic approach of the past decade is required, but no indications of such a shift have been observed.
    • Promised Reforms: The Finance Minister has promised ‘reforms,’ but these must translate into tangible economic improvements.

    Aspersions over Reform and Growth

    • Growth Rates: Despite Mr Modi’s reforming zeal, the average growth rate has not increased post-2014.
    • Impact of Reforms: Effective reforms should impact demand or supply forces, which has not happened strongly enough.
    • Unmet Aspirations: Growth since 2014 has not met the aspirations of Indians, particularly in terms of affordable food, healthcare, and education.

    Economic Policy of the Past Decade

    • Policy Focus: The past decade’s focus has been on attracting foreign investment, digital payment, manufacturing through subsidies, and highway construction.
    • Cash Transfers: Cash transfers to farmers and housewives, and free rations for the poorest, have not been enough to secure a majority for the BJP.
    • Policy Re-evaluation: Continued emphasis on these policies would ignore the people’s verdict. More significant interventions at current pressure points are necessary.

    Key Pressure Points

    • Food Prices: Rising food prices indicate an underdeveloped economy. There is a need for mission-mode initiatives to make India self-sufficient in pulses. Improvement in cold storage facilities and transportation for fruits and vegetables is crucial.
    • Indian Railways: Long-distance migration for work has overwhelmed the railway system. Prioritizing high-end trains like ‘Vande Bharat’ and bullet trains over essential services is a misjudgment.
    • Water Supply in Mega Cities: Cities like Bengaluru and Delhi face severe water shortages. A reliable water supply is critical for these agglomerations’ economic potential and social harmony.

    Public Sector’s Role

    • Infrastructure Needs: Infrastructure supporting everyday life and economic activity is essential.
    • Private Sector Limitations: The private sector has not delivered necessary services like efficient transportation, steady electricity, sewerage, and waste disposal.
    • Public Sector Capability: Only the public sector can supply these at scale. The government should pivot from relying on the private sector to address obvious pressure points.
    • Vision for 2047: For India to become a developed economy by 2047, it must have the infrastructure to support life, which requires substantial public sector involvement.

    Conclusion:

    To honour the electoral mandate, a change in economic strategy is imperative. The focus must shift from merely attracting foreign investment and building infrastructure to addressing the immediate needs of the populace. Specific interventions in areas such as food prices, railway services, and water supply in megacities are crucial. Moreover, the public sector must play a central role in developing essential infrastructure to support both everyday life and economic activity.

    https://www.thehindu.com/opinion/lead/a-mandate-for-a-new-economic-approach/article68317846.ece

  • The NEP debate: Why criticism of the policy is premature and off the mark?

    Why in the News?

    Opposition mainly comes from traditionalists who dislike markets, industrial experience, and internships. The NEP supports Ambedkar’s vision of education focused on employability for most Indians.

    About the National Education Policy (NEP)

    • The NEP was implemented in 2020, replacing the outdated NEP of 1986 after a delay of 34 years.
    • It aims to address the low employability of graduates by aligning education with the rapidly changing technological and industrial landscape.
    • It emphasizes a well-rounded education that includes in-depth knowledge, soft skills, technical skills, research capabilities, analytical and problem-solving abilities, and critical thinking.
    • The NEP shifts all programs towards outcome-based learning, with specified learning outcomes and corresponding assessments for each course.

    Why Criticism of the Policy is Premature and Off the Mark?

    • Early Stage of Implementation: Critics argue that it dilutes core content and burdens students and educators with bureaucratic requirements, but these criticisms are considered premature.
    • Continuous Task: Overhauling the vast education sector is a continuous task, and many concerns are over-emphasized.
    • University-Specific Issues: Much criticism centers around syllabus design and content, which is a university-specific issue and not a failure of the NEP.

    Provisions under NEP and Government Efforts

    • Credit-Based Courses: The NEP introduces credit-based courses, allowing for a flexible and multidisciplinary academic path.
    • Ability and Skill Enhancement Courses: These courses are designed to equip students with employability or entrepreneurial skills.
    • Recognition of Prior Learning (RPL): Students gaining industrial exposure related to their studies can earn credits through RPL, facilitating lifelong learning.
    • Revamped Curriculum and Syllabi: Emphasis on hands-on learning and continuous assessment through credited tutorials.
    • Internships and Practical Experiences: Integration of internships, apprenticeships, projects, and community outreach within degree programs.
    • Flexible Exit and Re-Entry: The NEP allows students to exit and re-enter programs, accommodating varied backgrounds and circumstances.

    Way Forward

    • Responsive Academia: Academia should be responsive to the requirements of the masses and markets, ensuring education is aligned with employability and industrial needs.
    • Continuous Feedback and Updates: Institutions should continuously update their programs based on feedback from stakeholders, following the example of successful adopters like Delhi University.
    • Long-Term Infrastructure Development: Realizing the full potential of the NEP requires long-term infrastructure development, which should be a sustained effort.

    Mains PYQ: 

    Q National Education Policy 2020 is in conformity with the Sustainable Development Goal-4 (2030). It intends to restructure and reorient the education system in India. Critically examine the statement. (UPSC IAS/2020) 

  • What is ‘Blood Money’ in Islamic Law?

    Why in the News?

    • The Indian Government has approved the transfer of the sum of $40,000 for preliminary discussions regarding the release of Nimisha Priya from a Yemeni prison.
      • Currently, Priya’s mother is in Yemen, trying to waive her death penalty by paying “blood money” to the murdered man’s family.

    Nimisha Priya’s Case Details

    • Priya, a nurse, moved to Yemen in 2008 and married Tomy Thomas in 2011 before returning to Yemen.
    • She faced abuse and exploitation by Talal Abdo Mahdi, leading to the tragic events resulting in Mahdi’s death and Priya’s arrest.
    • The $40,000 payment aims to initiate negotiations for Priya’s release.
    • To waive the death penalty, Priya’s family may need to raise $300,000-$400,000.
    • The ‘Save Nimisha Priya International Action Council’ is fundraising to meet this requirement.

    What is Blood Money?

    • According to Islamic law, victims of crimes have a say in how criminals are to be punished.
    • In the case of murder, this principle applies to the families of victims.
    • Although murder is punished via the death penalty, the victim’s family (specifically, heirs) may choose to “forgive” the murderer in exchange for monetary compensation.
    • This is the principle of Diyya, or, as it is commonly referred to “blood money”.
    • It can be traced to the Holy Quran.
    • Applicability:
      • Blood money is applicable in cases of unintentional homicide (Qatl Khata) or accidental death, as well as in cases of bodily injury or harm caused by negligence or unintentional actions.

    Practical Implications of Blood Money

    • Scholars believe that the idea behind this is to encourage the virtue of forgiveness, while also providing reparative justice to the victims’ family.
    • The scriptures do not set any specific amount as compensation.
    • The sum is generally arrived at via negotiation between the murderer’s family/representatives and the victim’s family.
    • Some Islamic countries, however, have set minimum compensation amounts.

    Significance of Blood Money

    • Forgiveness from the victim’s family is highly encouraged and considered virtuous in Islam.
    • Blood money aims to prevent cycles of vengeance or retaliation (Qisas) that could lead to further social harm or conflict.
    • It promotes reconciliation and mutual understanding.