current news analysis 19 -09 -2016 a. gs1...
TRANSCRIPT
Current News Analysis
19-09-2016
A. GS1 Related
B. GS2 Related
1. Pre-dawn strike at Uri: 17 jawans killed
http://www.thehindu.com/news/national/militants-attack-army-
headquarters-in-uri-near-loc/article9120760.ece
Category: State
Topic: J&K
Key Points:
Police sources said that fidayeen militants stormed an Army camp in Uri area of
Baramulla district near the Line of Control (LoC) and seventeen soldiers were killed in a
militant attack. Four militants were killed in the encounter.
Diplomats say India driven to the wall, must mount response –
Veteran diplomats and experts said India has a wide range of options for a measured and
effective response to the attack in Uri. They said India was left with no option but to
retaliate, heightening the possibility of an imminent escalation of violence.
G. Parthasarathy, former High Commissioner of India to Pakistan said Pakistan is
isolated within SAARC, as three members of the regional group have accused it of
sponsoring terrorism. Afghanistan, Bangladesh and India have accused Pakistan of
sponsoring terrorism that ISI continues to generate, irrespective of the condition of the
bilateral ties with India. Such attacks take place irrespective of the ties being temporarily
good or continuously bad. A response therefore has to be forcefully enunciated
The attack in Uri, close to the Line of Control (LoC), revived memories of the Kaluchak
attack of 2002 which claimed at least 31 lives. Mr. Parthasarathy said the government
could consider a mix of diplomatic and multilateral response. Diplomats said a major
challenge in crafting a suitable response to Pakistan was its ability to use its nuclear
umbrella as a shield for unconventional warfare with India. However, India could engage
the Pakistan military in response for Uri without triggering a war.
Fitting response - The attack in Uri has come as Pakistan Prime Minister Nawaz Sharif left for the annual meeting of the heads of governments at the U.N. General Assembly, where India and Pakistan are likely to counter each other on the terror issue. During the 33rd session of the UNHRC, India had accused Pakistan of being the global epicentre of terrorism. India has already made a beginning, with Vice President Hamid Ansari asking for concrete action against terrorism at the ongoing NAM summit in Venezuela.
2. Russia votes for Duma
http://www.thehindu.com/news/international/russia-votes-for-duma-with-proputin-
party-set-to-win/article9121925.ece?css=print
Category: International issues
Topic: Elections in Russia
Key Points:
Despite sanctions and a deep economic slowdown, the ruling United Russia party is expected to win even greater dominance over Russia’s lower house in a parliamentary
election, showing that support for President Vladimir Putin is holding up. The election for the Duma, or lower house, is being seen as a dry run for Mr. Putin’s expected presidential campaign in 2018.
The current Duma election is also a test of how well the Kremlin can oversee trouble-
free elections. It will be the first parliamentary vote since 2011, when allegations of ballot-rigging sparked big protests against Mr. Putin in the capital. Currently, the United
Russia, led by Prime Minister Dmitry Medvedev, a Putin loyalist, has 238 of 450 Duma seats, dominates the more than 80 regional Parliaments, and is routinely depicted in a favourable light by state media.
First vote in Crimea - The election is the first time that voters in Crimea, which Russia
annexed from Ukraine in 2014, are helping decide the makeup of the Duma. That has angered the Ukrainian government and there were scuffles between Ukrainian nationalists and police outside the Russian embassy in Kiev after a few nationalists tried to stop Russian citizens from voting there.
C. GS3 Related
1. Novel materials to make fuel cells cheaper and more efficient
http://www.thehindu.com/todays-paper/tp-features/tp-educationplus/novel-materials-
to-make-fuel-cells-cheaper-more-efficient/article9121755.ece
Category: Science and Technology
Topic: Technological developments – Fuel cells
Key Points:
Researchers from Pune’s Indian Institute of Science Education and Research (IISER)
and National Chemical Laboratory (NCL) have come one step closer to making fuel cells that are cheaper and more efficient.
Two novel porous and crystalline hydrogen-bonded organic frameworks (HOFs) that they synthesised could potentially be used as a proton exchange membrane in fuel cells. Nafion, the proton exchange membrane in use currently, has major drawbacks in terms of applicability at a high temperature range or low humidity, high production costs and gas leakage issues. The proton-conducting materials synthesised by the researchers address one critical issue achieving a high proton conduction value even at ambient conditions (low humidity of around 60 per cent and moderate temperature). The proton conduction value is greater at higher humidity.
Among all known porous materials, this is the highest proton conduction value that has been reported at ambient condition. The research says these materials have the potential to be used as a proton exchange membrane to improve the efficiency of fuel cells. The cost of fuel cells will become cheaper as it is easy to make the membrane.
The HOFs are promising materials for gas separation and storage applications. However, they have not been used for fuel cell applications. The team synthesised two organic compounds, and each compound has a proton donor site and a proton acceptor site. The donor-acceptor complementarity is distributed throughout the hydrogen-bonded framework. The hydrogen bonding serves as a pathway for proton transfer from the
donor site to the acceptor site. Water acts as a carrier and plays important role. When
humidity is more the proton transfer becomes easy.
Additionally, the HOF compounds have the potential to remove greenhouse gases such as carbon dioxide.
2. Cambodia emerges as new surrogacy hub
http://www.thehindu.com/news/national/cambodia-emerges-as-surrogacy-hub/article9121308.ece
Category: Science and Technology
Topic: Commercial surrogacy
Key Points:
With India’s tough stand on surrogacy, evident in the Surrogacy (Regulation) Bill 2016
which the Cabinet cleared recently, surrogacy service seekers, and even doctors have started moving to destinations that still allow this service. While Cambodia has become popular among people, both Indians and from other parts of the world countries such as Ukraine and Kenya are attracting doctors from India.
A real example: Bhoomi Shah says she lives a good life in Ahmedabad. She has a well-paying job, has a car that she likes to drive around and lives in a bungalow with her parents, who have always supported her decisions and life choices. So last week, she packed her bags and made a quick three-day trip to Cambodia not drawn to the east Aisa nation by the iconic Angkor Wat, but to rent a womb.
As in the early days of surrogacy in India, the lack of proper laws or guidelines in
Cambodia has proved a big attraction. Medical tourism consultants say doctors from Thailand have set up infertility clinics. But the focus on Cambodia has its set of concerns. There is growth in surrogacy in Cambodia since 2015. There is a huge pressure building and Cambodia is ill-prepared to handle it. Besides, there are no laws in place (in Cambodia).
Doctors who offered surrogacy service in India are aware of the new hubs. Cambodia may have emerged as a hub, but it has only one or two players currently. It doesn’t have well-defined laws so a better place is Ukraine that has laws in place. Ukraine’s presence is not lost on Indian doctors who once had a good surrogacy business going.
After the ban on commercial surrogacy in India in November 2015, many Infertility centers collaborated with an infertility clinic in Ukraine.
Overview:
Surrogacy (Regulation) Bill, 2016 – Recently, the Union cabinet cleared the bill. Reasons for the introduction of the bill –
India has emerged as a surrogacy hub for couples from different countries and there have been reported incidents concerning unethical practices, exploitation of surrogate mothers, abandonment of children born out of surrogacy and rackets of intermediaries importing human embryos and gametes.
Widespread condemnation of commercial surrogacy prevalent in India has also been regularly published in different print-and electronic media since last few years highlighting the need to prohibit commercial surrogacy and allow ethical altruistic surrogacy.
The 228th report of the Law Commission of India recommended for prohibiting commercial surrogacy and allowing ethical altruistic surrogacy to the needy Indian citizens by enacting a suitable legislation.
It has the following provisions –
The Bill shall apply to whole of India, except Jammu and Kashmir.
It will regulate surrogacy in India by establishing National Surrogacy Board and State Surrogacy Boards at the central and state levels respectively and Appropriate Authorities Union Territories.
It will ensure effective regulation of surrogacy, prohibit commercial surrogacy and allow ethical surrogacy to the needy infertile couples. All infertile Indian married couple who want to avail ethical surrogacy will be benefited. Further the rights of surrogate mother and children born out of surrogacy will be protected.
Note: The major benefits of the Act – It will regulate the surrogacy services in the country. While commercial surrogacy will be
prohibited including sale and purchase of human embryo and gametes, ethical surrogacy to the needy infertile couples will be allowed on fulfillment of certain conditions and for specific purposes.
It will control the unethical practices in surrogacy, prevent commercialization of surrogacy and will prohibit potential exploitation of surrogate mothers and children born through surrogacy.
3. India's Current account moves into surplus
http://www.thehindu.com/business/Economy/current-account-moves-into-surplus-
raises-export-concerns/article9121174.ece
Category: Indian Economy
Topic: Balance of Payments: Current account
Key Points:
The Union ministry of Finance said India's current account moved in to surplus in the April-June quarter of the current fiscal year, 2016-17 after a gap of 9 years. Slow growth in imports, reflecting the persisting weakness in the investment sentiment, tipped the account. The current account was in surplus last in the January-March quarter in the year 2007. A surplus is expected to bolster the rupee, which could render India's already subdued exports less competitive.
The official data for the current account position during the April-June quarter is scheduled for release by the Reserve Bank of India (RBI). The Finance ministry said that if a surplus were reported, the RBI could be expected to intervene in the foreign exchange markets to prevent the rupee from strengthening too much.
The Federation of Indian Export Organizations has called for addressing the overvalued rupee in discussions with the Union Commerce Ministry, saying Indian exporters were out-priced in the global market. Exports to the U.S., India's largest
export destination, fell 1.1 per cent in April-July 2016 against the corresponding quarter in the previous year. In the same period, imports from China, the largest exporter to
India, fell 7.4 per cent.
Following a moderate current account deficit of $.4 billion, or (-) 0.1 per cent of GDP, in the January-March quarter, current account is expected to come in at a surplus of $2 billion or 0.4 per cent of GDP in April-June quarter.
India's trade deficit reached $7.7 billion in August, 2016 significantly lower than the average monthly trade deficit of $9.9 billion seen in the 2015. A current account in
deficit reflects that the imports of goods, services and investment incomes into the economy outstripped the value of its exports.
Overview:
Balance of Payments –
It is a statement of record of all economic transactions of a country with the rest of the
world done over specific period of time (1 year).
It is defines as a classified record of all receipts on account of goods exported, services
rendered and capital received by the residents and payments made by them on account of
goods imported and services received, BoP also includes the capital transferred to the
Non-Residents and Foreigners.
BoP has 2 parts –
a. Current account (Transaction related to the goods and services), it shows the visible
balance of trade (it is the difference between the value of exports of goods and
services and the value of imports of goods and services) and the invisible balance of
trade (shown under 8 heads, travel, transport, insurance, investment, investment
income, Receipts or payments for patents and loyalties, Transfer payments – official
and private).
b. Capital account comprises of the inward and the outward investments, loans and
grants. Government of India classifies the Capital account into private capital
(consists of short-term loans, loans of maturity period of 1year or less; long term
loans, Private capital also involves FDI and FPI, External Commercial Borrowings
and the foreign currency deposits), banking capital (External financial assets and the
liabilities of the banks, both commercial and the cooperative) and the official capital
(includes the RBI’s holding of foreign currency reserves and gold).
It is not possible to exactly estimate or balance the BoP, the credit side and the debit side
does not always match accurately due to the illegal movement of the capital and other
discrepencies.
4.CII asks GoI to Si plify fa tory i spe tio s for ease of doi g usi ess
http://www.thehindu.com/business/Economy/simplify-factory-inspections-for-ease-
of-doing-business-cii/article9121170.ece
Category: Indian Economy
Topic: Ease of doing business
Key Points:
The Confederation of Indian Industries (CII) said factory inspection system needs a complete overhaul to bring India among the top 50 countries in terms of World Bank’s ease of doing business in the next two years. India is currently placed at 130 out of 189 countries in the ‘ease of doing business’ rankings.
CII in a white paper titled ‘Inspections and Regulatory Enforcements for Micro Small
and Medium Enterprises (MSMEs) in India’ said the excessive number of inspections in India weighs down on the competitive advantage and the ‘ease of doing business’ of Indian businesses; inspections in India have been found to be excessive, duplicate and complicated, imposing significant costs on businesses, especially MSMEs, While most inspections are selected locally, without any objective criteria, inspectors act over-zealously and make extortionist demands from factories.
CII has also observed variations in inspections conducted on small factories across the country. While inspectors for labour compliances visit most SMEs once or twice a year, it has been observed that in Jammu and Kashmir and Uttarakhand, SMEs are visited by labour inspectors once every month.
Suggestions: CII called for an integrated inspection system and highlighted the need for inculcating a risk-based approach in the inspection system which will rationalise the number of inspections and weed out the redundancy and duplicity.
It said a portal could be created for automatically updating invoices related to excise, sales tax, customs and the like by SMEs and that this could be used by regulators and inspectors in lieu of physically visiting the factory premises. Audited accounts of SMEs could be used by inspectors while performing verification.
It also urged the central government to encourage the states to pursue a process for simplification of labour laws and compliance.
D. GS4 Related
E. Important Editorials
The Hindu
1.An overlapping roadmap
http://www.thehindu.com/opinion/op-ed/sujatha-byravan-on-actions-that-
will-reduce-vulnerability-to-climate-
change/article9121242.ece?homepage=true
In September 2015, the United Nations General Assembly adopted global Sustainable
Development Goals (SDGs) which were laid out in the document, ‘Transforming our
World: the 2030 Agenda for Sustainable Development’. There are 17 SDGs with their
associated 169 targets, developed as the next step in the evolution of what were
previously known as the Millennium Development Goals. Countries are now formulating
indicators to track their progress towards the targets. The SDGs broadly relate to human
dignity, prosperity, protecting the biosphere, and promoting peace and security. While
these goals have been accepted in principle, they have also been criticised from various
quarters for being too large in number, and too wide or too limited in their scope.
Reaching the targets will also be difficult because there are no specific funds that have
been set aside to attain them. International development aid, public and private funds, a
redesign of tax structures, and other international mechanisms have been discussed and
may be considered by individual countries as sources of finance for these targets.
Interconnected goals - India has an enormous but also an opportune challenge ahead of it with regard to the SDGs. This is because the SDGs essentially encompass India’s overall development agenda since they include health and food, cities and infrastructure, energy access, poverty and inequality, water, sanitation, climate change, consumption and ecosystems.
The interconnected nature of the SDGs makes them complex, but also demonstrates complementary benefits from specific goals and targets. For instance, clean drinking water and sanitation would enhance health, leading to improved nutrition and well-being. Sustainable consumption and production would reduce the use of materials and energy, leading to mitigation of greenhouse gases, and should improve local ecosystems because of the relation between consumption and natural systems. It was earlier agreed that since climate change, the 13th SDG, is under the United Nations Framework Convention on
Climate Change (UNFCCC), the targets for this goal would be determined by the Convention. This safeguards the protections and responsibilities that stem from the UNFCCC.
The former CEO of NITI Aayog is reported to have said regarding the difficulty of reaching the SDGs that lack of data has already made it difficult to attain the goals of the 12th Five Year Plan. In addition to paucity of funds, difficulties of data availability and poor capacity at various levels are likely to hamper India’s progress towards the SDGs.
But the SDGs are global objectives that signal what is important for human well-being, and they incorporate many of the lessons learned from decades of development (sustainable or otherwise). Besides, the specific domains that the SDGs target align
almost exactly with the objectives of India’s Five Year Plans and government schemes. Thus, while attaining all the SDGs on time may be near impossible, there are several cross-cutting tasks that can be addressed. These include identifying what data we already have used or could use, finding proxies, setting up new institutions (policies, rules and regulations), improving Centre-State coordination to reach the goals, and building capacity.
SDGs and climate change - As many are aware, South Asia, especially India, is one of the regions most vulnerable to climate change because of its high population, vast and diverse ecologies, and long coastline.
Actions that will reduce this vulnerability are tightly related to strategies for sustainable development. For example, the first SDG, ending poverty in all forms by 2030, is of
fundamental importance for India, which had about 20 per cent of the world’s poor in 2011. Numerous studies have shown consistently that poverty increases vulnerability to climate change. If we begin to address aspects of poverty by understanding its multidimensional and dynamic nature, we may begin to improve current living conditions and increase resilience to global warming. Similarly, making our cities sustainable, setting up better sanitation facilities, reducing consumption, making drinking water and energy services accessible to all, and so on, would contribute significantly to improving resilience to global warming. Many of these would improve system-wide energy efficiency, which would of course reduce greenhouse gas emissions.
Sustainable development alone is not sufficient for climate adaptation. The latter also requires information on global warming impacts expected in a region along with knowledge of specific actions that would enable us to live in a warmer world. Building climate change resilience, which improves our adaptive capacities or removes limitations to adaptive capacities, is part of sustainable development.
The disaggregated impacts of future climate change in peninsular India are extremely
difficult to predict because of monsoon variability. Regional climate models and
approaches to downscale global predictions have been inadequate and only show the general likelihood of more intense rainfall in shorter periods in fairly vast areas, with drought elsewhere due to decrease or variability in precipitation. Overall, these changes will increase the vulnerability of local populations to flash floods, soil erosion, long-term freshwater shortages and declining agricultural yields. Beyond that, it is difficult to tell from current models whether a particular region will be drought-prone or have excess precipitation. In the absence of such detailed information, climate adaptation in India will need to first focus on sustainable development, in order to build climate resilience. Apart from a few exceptional cases, such as sea level rise, where we know the effects and need to plan for its numerous impacts, focussing on sustainable development first is a useful strategy. Sustainable development thus provides an important framework for
policymakers and others to understand better how climate change can be
mainstreamed into development planning in each sector.
2. Coherence in the neighbourhood
http://www.thehindu.com/opinion/editorial/indias-diplomacy-
coherence-in-the-neighbourhood/article9121256.ece
In the recent times, India played host to Afghanistan’s President Ashraf Ghani and
Nepal’s Prime Minister Pushpa Kamal Dahal ‘Prachanda’, visits that marked a repair of relationships with both countries. Mr. Prachanda’s meeting with Prime Minister Narendra Modi was cordial, and though no large announcements were made, the message that’s gone out is that both countries wish to put the bitterness of the past year and the economic blockade behind them. New Delhi is acutely conscious of Mr. Prachanda’s challenges: a potentially shaky tenure in office given his coalition’s narrow majority, the difficulty in building a two-thirds consensus for the constitutional amendments he has
committed to, as well as the massive task of reconstruction after the April 2015
earthquake. As a result, it didn’t force him to commit on a timeline for amendments demanded by Madhesi and other groups that feel marginalised by the new Constitution. The joint statement referred to Mr. Modi welcoming “the ongoing efforts of the Government of Nepal to take all sections of the society on board for effective implementation of the Constitution,” but it didn’t mention the word amendment. India instead focussed on delivering on its own promises to Nepal, including hydropower and highways infrastructure projects. This shows a maturing of New Delhi’s position, since the phase of stern statements against the Koirala and Oli governments on the Madhesi
issue.
With Mr. Ghani, the outreach began a year ago, after it became clear that Afghanistan
had lost confidence in Pakistan’s ability to bring the Taliban to book or to the table for talks. Moreover, the U.S., Afghanistan’s biggest security provider, made a shift in its old policy of cutting India out of the security equation, and actively encouraged New Delhi to
help provide military assistance to Kabul. Even so, during Mr. Ghani’s visit, India opted for a less overt approach to Afghanistan’s ‘wish list’ of helicopters, tanks and ammunition assistance, with the joint statement and agreements signed merely mentioning their resolve to counter terrorism and strengthen security and defence cooperation as envisaged in the India-Afghanistan Strategic Partnership Agreement. Mention of Pakistan’s support to terrorist groups was muted as well. However, Mr. Ghani did give a scathing account of Pakistan’s actions at a speech at a Delhi think tank later. The Afghan and Nepali visits had another common thread, of landlocked countries in need of road and railway trade routes. It is hoped that, going forward, India will take a
leadership role in maximising their options, as it has done with Afghanistan through
the Chabahar port project in Iran.
F. Concepts-in-News: Related Concepts to Revise/Learn:
1. Concepts-in-News: Related Concepts to Revise/Learn
J&K Terror attacks in the recent times
CIBMS (Comprehensive Integrated Border Management System)
Ukrainian crisis – Crimea joining Russia
Commercial Surrogacy
Balance of payments & LERMS Ease of doing Business index
2. BILLS/ACTS/SCHEMES/ORGS IN NEWS
BILLS/ACTS/SCHEMES/ORGS IN NEWS Links to Refer
Commercial Surrogacy bill, 2016 http://pib.nic.in/newsite/PrintRelease.aspx?relid=149186
3. Tags
Pathankot airbase attack
Line of Control (LoC)
Duma elections
BoP: Current and Capital account
Commercial surrogacy bill Confederation of Indian Industries Sustainable development goals (SDGs)
Practice Questions
Date: 19th September, 2016 Category: International groups Topic: International indices and reports Source: The Hindu Difficulty level: Easy Type: Factual
1. Which of the following organizations releases the Ease of doing Business index?
(a) World Bank
(b) International financial corporation
(c) International financial and management committe
(d) None of these
Ans (a)
Date: 19th September, 2016 Category: Energy Topic: Fuel cells Source: The Hindu Difficulty level: Difficult Type: Conceptual
2. With reference to ‘fuel cells’ in which hydrogen-rich fuel and oxygen are used to generate electricity. consider the following statements :
1. If pure hydrogen is used as a fuel, the fuel cell emits heat and water as byproducts. 2. Fuel cells can be used for powering buildings and not for small devices like laptop computers. 3. Fuel cells produce electricity in the form of Alternating Current (AC). Which of the statements given above is / are correct?
(a) 1 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3
Ans (a)
Date: 19th September, 2016 Category: International issues
Topic: Border disputes Source: The Hindu Difficulty level: Moderate Type: Factual
3. Which part of Ukraine separated from it and joined Russia in 2014 post Ukrainian crisis?
a) Crimea
b) Kiev
c) Kharkiv
d) Kharkov
Ans (a)
Date: 19th September, 2016 Category: International organizations Topic: UN Source: The Hindu Difficulty level: Easy Type: Factual
4. What is UN Rio+20 Conference, often mentioned in the news?
a. It is the United nations Conference on Sustainable Development
b. It is a Ministerial Meeting of the World Trade Organization
c. It is a Conference of the Inter-governmental Panel on Climate Change
d. It is a Conference of the Member Countries of the Convention on Biological Diversity
Ans (a)
Date: 19th September, 2016 Category: Indian Economy Topic: BoP Source: The Hindu Difficulty level: Moderate Type: Conceptual
5. With reference to Balance of Payments, which of the following constitutes / constitute the Current Account? 1. Balance of trade 2. Foreign assets 3. Balance of invisibles 4. Special Drawing Rights Select the correct answer using the code given below.
(a) 1 only (b) 2 and 3 (c) 1 and 3 (d) 1, 2 and 4
Ans (c)
Current News Analysis
20-09-2016
A. GS1 Related
B. GS2 Related
1.Centre notifies BS-VI auto emission norms
http://www.thehindu.com/business/Economy/centre-sends-bsv-auto-emission-
norms-for-a-six/article9124895.ece
Category: Government policies
Topic: BS norms
Key Points:
The Centre has notified the Bharat Stage (BS)-VI emission standards for two-wheelers and four-wheelers from April 2020 across the country. This implies the government has decided to skip the BS-V emission standards and move directly to BS-VI from the BS-IV norms currently being followed in various cities.
The Union ministry of Road Transport and Highways, through a notification dated September 16, has given the Union Petroleum Ministry four years to make BS-VI fuels available to auto companies. Oil companies will be investing more than Rs.60, 000 crore towards BS-VI fuels. BS-VI is the Indian equivalent of the Euro-VI norms.
The government had earlier planned to implement BS-V norms from 2020 and BS-VI norms from 2022. However, it decided to skip BS-V norms and advance the implementation of BS-VI norms following the Supreme Court’s intervention.
Present situation: BS-IV norms are being followed in over 30 cities while the rest of the country follows BS-III norms.
The Society of Indian Automobile Manufacturers (SIAM) said that it was committed to meet the stiff deadline for BS-VI emission norms. The target is very stiff but the auto
industry has accepted the challenge in view of the rising concerns on vehicular pollution, especially in the urban metros.
Overview:
Bharat stage emission standards - A set of emission standards instituted by the Government of India to regulate the output of air pollutants from Internal Combustion (IC) engine equipment, including motor vehicles.
The standards and the timeline for implementation are set by the Central Pollution Control Board under the Ministry of Environment & Forests and climate change.
The standards are based on European regulations were first introduced in 2000. Progressively stringent norms have been rolled out since then. All new vehicles manufactured after the implementation of the norms have to be compliant with the regulations. Since October 2010, Bharat Stage (BS) III norms have been enforced across the country. In 13 major cities, Bharat Stage IV emission norms have been in place
since April 2010.
2. 2016 Non-Aligned Movement summit
http://www.thehindu.com/todays-paper/tp-international/nam-backs-maduro-slams-us-
policies/article9125728.ece
Category: International organizations
Topic: NAM
Key Points:
The 2016 Non-Aligned Movement (NAM) summit in Caribbean island of Margarita, Venezuela wrapped up with an expression of support for its embattled host, President Nicolas Maduro, and scathing attacks on U.S. interventionism around the world. It was a key diplomatic encounter for Mr. Maduro, who has been left increasingly isolated as Venezuela’s oil-dependent economy has skidded into crisis amid a collapse in global crude prices, fuelling calls for his ouster. Venezuela took over the rotating presidency of the Non-Aligned Movement from Iran at the meeting. It will hold it for the next three years. Mr. Maduro looks keen to recast the group as a bulwark against interventionism and neo-colonialism.
NAM issued a statement at the end of the meeting calling for peace, urging world powers not to meddle in other countries’ affairs and voicing concern over violence in Syria, Iraq and the Palestinian Territories. It also urged support for the struggle against terrorism, for solidarity with refugees in northern Africa, and the Venezuelan people’s right to peace.
Overview:
Non aligned movement (NAM): It was founded 55 years ago to give a greater voice to countries squeezed in the power struggle between the United States and Soviet Union; the Non-Aligned Movement has struggled to stay relevant since the end of the Cold War. Currently, the movement has 120 members.
The phrase itself was first used to represent the doctrine by Indian diplomat V. K. Krishna Menon in 1953, at the United Nations.
The organization was founded in Belgrade in 1961, and was largely conceived by the premiers of India, Indonesia, Egypt, Ghana and Yugoslavia. All five leaders were prominent advocates of a middle course for states in the Developing World between the Western and Eastern Blocs in the Cold War.
C. GS3 Related
1.International report says One-third of total maternal deaths in 2015
happened in India
http://www.thehindu.com/sci-tech/health/medicine-and-research/onethird-of-total-maternal-deaths-in-2015-happened-in-india-report/article9125054.ece
Category: Science and Technology
Topic: Maternal health report
Key Points:
The latest Lancet report on maternal health reveals that while progress has been made in
reducing maternal mortality globally, differences remain at international and national levels - nearly one quarter of babies worldwide are still delivered in the absence of a skilled birth attendant. Further, one-third of the total maternal deaths in 2015 happened in India, where 45,000 mothers died during pregnancy or childbirth while Nigeria
shouldered the maximum burden of 58,000 maternal deaths. In all countries, the burden of maternal mortality falls disproportionately on the most vulnerable groups of women. This reality presents a challenge to the rapid catch-up required to achieve the underlying aim of the Sustainable Development Goals (SDGs) to leave no one behind.
According to the academic papers, there are two broad scenarios that describe the landscape of poor maternal health care - the absence of timely access to quality care (too little, too late) and the over-medicalisation of normal and postnatal care (too much, too soon). The problem of over-medicalisation has historically been associated with high-
income countries, but it is rapidly becoming more common in low and middle-income countries, increasing health costs and the risk of harm. For instance, 40.5% of all births are now by caesarean section in Latin America and the Caribbean.
Lack basic resources - While facility and skilled birth attendant deliveries are increasing in many low-income countries, the authors say that phrases such as ‘skilled birth attendant’ and ‘emergency obstetric care’ can mask poor quality care. Additionally, many birth facilities lack basic resources such as water, sanitation and electricity. In high-income countries, rates of maternal mortality are decreasing but there is still wide variation at national and international level. For instance, in the U.S., the maternal mortality ratio is 14 per 1, 00,000 live births compared to 4 per 1, 00,000 in Sweden. The sub-Saharan African region accounted for an estimated 66% (2, 01,000) of global maternal deaths, followed by southern Asia at 22% (66,000 deaths). However, the authors warn that not all care is evidence-based, and improved surveillance is needed to understand the causes of maternal deaths when they do occur. Additionally, they point to new challenges in delivering high quality care, including the increasing age of pregnancy, and higher rates of obesity.
2. International Financial Services Centre (IFSC)
http://www.thehindu.com/todays-paper/tp-business/mumbai-awaits-nod-for-global-financial-centre/article9125695.ece
Category: Indian Economy
Topic: International organization
Key Points:
The Centre will consider Maharashtra Government’s request to ease land norms to
facilitate the establishment of an International Financial Services Centre (IFSC) in Mumbai. The IFSC proposed to be set up at the Bandra Kurla Complex (BKC) in the country’s financial capital will be the second such centre in India after the Gujarat International Finance Tec-City (GIFT City) in Gandhinagar.
The proposed IFSC at BKC will also be a multi-services Special Economic Zone (SEZ) like the GIFT City in Gandhinagar. The commerce ministry has been roped in as it is the nodal body at the Centre for SEZ-related matters. While the guidelines concerning IFSC come under the purview of financial sector regulators such as the RBI, IRDA and SEBI as well as the finance ministry, the SEZ Act is also applicable in this case as IFSC is set up in an SEZ
3. GST notification triggers uncertainty over excise duty
http://www.thehindu.com/business/Economy/gst-notification-triggers-uncertainty-
over-excise-duty/article9124982.ece
Category: Indian Economy - Taxation
Topic: GST
Key Points:
In an unprecedented development, the powers of the Centre to collect central excise duty
stood withdrawn recently on all goods other than petroleum and tobacco. This premature withdrawal is understood to be an unintended consequence of the notification by the Ministry of most provisions of the Constitutional Amendment paving the way for the roll-out of the Goods & Services Tax (GST). While the notification was made with effect from 16th Sept, 2016 the clauses that led to the withdrawal of the powers should have been notified with effect from April 1, 2017 - the date from which the GST will become payable instead of the excise duties and a slew of other indirect taxes. An instance: If you bought a car or any other goods recently, you could legally expect a refund of the component that went to pay the excise duty on it, Finance Ministry officials confirmed after consultations with Attorney General Mukul Rohatgi.
Union Revenue secretary said a clarification over the issue, and any amendments, if needed, would be issued, although the Law Department had found no infirmity, or uncertainty in the notification or any need for amendments.
Overview:
Goods and Services Tax – It is a tax levied when a consumer buys a good or service. It is
meant to be a single, comprehensive tax that will subsume all the other smaller indirect taxes
on consumption like service tax, etc. An ideal GST regime intends to create a harmonised
system of taxation by subsuming all indirect taxes under one tax. It seeks to address
challenges with the current indirect tax regime by broadening the tax base, eliminating
cascading of taxes, increasing compliance, and reducing economic distortions caused by
inter-state variations in taxes.
122nd Constitutional amendment bill was introduced in the Parliament in 2014. The Bill
amends the Constitution to introduce the goods and services tax (GST).
Highlights of the bill:
Parliament and state legislatures will have concurrent powers to make laws on GST.
Only the centre may levy an integrated GST (IGST) on the interstate supply of goods and
services, and imports.
Alcohol for human consumption has been exempted from the purview of GST. GST
will apply to five petroleum products at a later date.
GST Council - It will consist of the Union Finance Minister, Union Minister of State for
Revenue, and state Finance Ministers. It recommends rates of tax, period of levy of
additional tax, principles of supply, special provisions to certain states etc.
The Bill empowers the centre to impose an additional tax of up to 1%, on the inter-state
supply of goods for two years or more. This tax will accrue to states from where the
supply originates. Parliament may, by law, provide compensation to states for any loss of
revenue from the introduction of GST, up to a five year period.
4.NRI deposits drive up external debt
http://www.thehindu.com/todays-paper/tp-business/nri-deposits-drive-up-external-
debt-to-486-bn/article9125696.ece
Category: Indian Economy
Topic: External debt
Key Points:
The Centre government said India’s external debt at the end of financial year 2015-16 i.e. March 2016 stood at $485.6 billion, up 2.2 per cent from over its level at over end-March 2015, largely driven by the increase in long-term external debt, particularly NRI
deposits.
Long-term external debt - $402.2 billion, accounted for 82.8 per cent of total external debt at end-March 2016 as compared to 82.0 per cent at end-March 2015. In contrast, Short-term external debt declined by 2.5 per cent from $84.7 billion at end-March 2015 to $83.4 billion at end-March 2016. According to the government, this was mainly due to the decline in trade related credits.
India’s external debt has remained within manageable limits in 2015-16 as indicated by the increase in foreign exchange reserves to debt ratio to 74.2 per cent, the external debt-GDP ratio of 23.7 per cent and fall in short term debt to 17.2 per cent.
Overview:
Public debt –
Public debt includes internal debt comprising borrowings made by the Government
inside the country like market loans, borrowing from the RBI on the basis of treasury
bills; and external debt comprising loans from foreign countries, international financial
institutions, NRI deposits etc. In the expression public debt and other liabilities include
outstanding against the various small saving schemes, provident funds etc, it includes
private sector borrowings too.
Public debt is justified as the government does not have adequate resources and
taxation cannot be done beyond a point. It should be for productive reasons and also
welfare reasons. Public debt is the instrument of resource mobilization of Modern
governments.
External debt consists of - Long term external debt which is the bulk part, NRI deposits,
multilateral loans, Commercial borrowings, bilateral loans and Trade credit.
D. GS4 Related
E. Important Editorials
The Hindu
1.The road from Bratislava
http://www.thehindu.com/opinion/editorial/eu27-meet-post-brexit-the-
road-from-bratislava/article9124986.ece
Unity and cohesion were conspicuously absent at the Bratislava castle where the EU 28 minus 1 met to discuss the post - Brexit world. Nobody is harbouring any illusions. German Chancellor Angela Merkel and European Commission President Jean-Claude
Juncker admitted that the EU is in an existential crisis. Brexit is only the latest symptom of the fear and discontent that have spread across the continent, fuelled by the migrant crisis, Islamophobia, Eurozone woes and terrorist attacks. Recent meeting was organised by Donald Tusk, President of the European Council that provides strategic direction to the EU, in order to diagnose the situation and to forge a united path forward. This is not going to be an easy task given that the bloc is split into factions, mainly around issues of economics and migration.
The Bratislava Declaration offers a road map for the next six months, on migration, border security, counter-terrorism, defence and economic and social development, providing political backing to measures announced by Mr. Juncker in his State of the Union address in Brussels. Europe is much like a stack of Jenga blocks at present. Each move needs precision and care in order to preserve the integrity of an increasingly tenuous union. The declaration identifies various areas for action. Some of these are likely to find wide acceptance, such as funding for strategic investments across the region, establishing a common capital market across the EU and acquiring advanced traveller information to secure borders. Other areas, such as migration, are more contentious. Hungarians will participate in a national referendum in October to decide whether they will accept the recommended share. The EU must find a creative, humane and effective solution to receive and resettle refugees. Another contentious proposal is the European army. Mr. Juncker had proposed that member-states move towards pooling and centralising their defence and diplomatic resources. While there may be advantages with regard to defence procurement and operational efficiency and capabilities, it is exactly this kind of a ‘more Europe’ response to a problem that has left EU member-states and citizens disenchanted and fearful of what they see as Brussels’s overreach. Brussels will do well to heed the lessons of Brexit. This can be done in at least two ways.
First, by focussing on the big picture and on areas where it has a comparative advantage while letting national governments take the lead in others.
Second, by encouraging members to engage more rigorously with their citizens on EU issues explaining policies and their outcomes, collecting feedback, and inviting ideas. These steps will go a long way towards, to use Mr. Tusk’s phrase, not letting this crisis go to waste.
2.Responding to Uri
http://www.thehindu.com/opinion/editorial/india-respoding-to-uri-terrorist-attack/article9124984.ece
Gathering evidence regarding the four terrorists who stormed the army base in Uri, killing 18 soldiers, suggests they are from Pakistan and had been sent across the border explicitly for this attack. In fact, the entire operation has the fingerprints of Pakistan’s military establishment, showing yet again the country’s persistent use of terrorism as
state policy. The four terrorists reportedly got to the camp early in the morning, in all probability across the Line of Control just 6 km away. The terrorists carried automatic rifles, under-barrel grenade launchers and other equipment, most of it with Pakistani markings, according to Director General of Military Operations Lt. Gen. Ranbir Singh. Over the last three decades or so, India has been at the receiving end of Pakistani statecraft of terrorists unleashed to attain state objectives; Uri is the latest provocation. India has limited manoeuvrability as far as a military response goes. Narendra Modi’s restrained, but firm, response is an indication that India may not play the reckless game many would like it to. Condemning the cowardly attack, he said those behind it would not go unpunished the heavy-lifting will in all probability be done diplomatically.
In responses in New Delhi, and on the ground in Kashmir, one thing has emerged: that India still does not have a comprehensive national policy to deal with domestic militancy as well as cross-border terrorism. Given India’s inconsistent and incomplete responses, the adversaries, both states and terror organisations, are able to exploit, and often poke fun at, the lack of a robust national doctrine. The latest attack also captures the complex reality of India-Pakistan ties and the Kashmir issue. It calls for an alert security grid and sophisticated policy responses; neither can be achieved by rhetoric and simplistic blame games. The Indian security forces have been dealing with militancy and cross-border infiltration since Kashmir went up in flames in the late 1980s. The gradual decline in violence in the Valley over the years was reversed starting 2014, and since then strife in the Valley and infiltration from the Pakistan side have both steadily climbed. The Prime Minister should take the lead to bring together leaders across the spectrum to work towards finding peace, while drawing up a national security doctrine that is free of biases and myopia. India needs to let its adversaries know it is a power capable of more than
mere rhetoric while assuring its own people that its options are rooted in constitutional values. For both, a well-documented national security doctrine could be a first step.
F. Concepts-in-News: Related Concepts to Revise/Learn:
1. Concepts-in-News: Related Concepts to Revise/Learn
Bharat Stage (BS) norms
Non-aligned movement (NAM)
International Financial Services Centre
Public debt
Maternal Mortality Ratio (MMR) Sustainable development goals (SDG)
2. BILLS/ACTS/SCHEMES/ORGS IN NEWS
BILLS/ACTS/SCHEMES/ORGS IN NEWS Links to Refer
Goods & Services tax
International Financial Services
Centre
http://www.thehindu.com/business/Industry/all-you-need-to-know-
about-goods-and-services-tax/article7929788.ece
https://en.wikipedia.org/wiki/International_Financial_Services_Centre
3. Tags
External Commercial borrowings (ECB)
NAM
GST
External commercial borrowings
SDGs European regulations
Practice Questions
Date: 20th September, 2016 Category: National Policies Topic: BS norms Source: The Hindu Difficulty level: Medium Type: Factual
1. Which of the following organizations sets the standards and the timeline for
implementation of BS norms?
(a) Union ministry of Environment and forests
(b) Central pollution control board
(c) State pollution control boards
(d) Both (a) and (b)
Ans (d)
Date: 20th September, 2016
Category: International organizations
Topic: International Financial Services Centre
Source: The Hindu
Difficulty level: Difficult
Type: Conceptual
2. Which of the following statements regarding the International Financial Services Centre is/are correct?
1. It is a financial regulator that works under UN 2. India has 2 such centres to promote SEZ’s.
(a) 1 only (b) 2 only (c) Both 1 and 2 (d) Neither 1 nor 2
Ans (d)
Date: 20th September, 2016 Category: International issues
Topic: Declarations Source: The Hindu Difficulty level: Moderate Type: Factual
3. ‘The Bratislava Declaration’ appears in news. It is related to ?
a) BREXIT
b) GREXIT
c) Arab spring
d) Refugee crisis
Ans (a)
Date: 20th September, 2016 Category: National initiatives Topic: Border disputes Source: The Hindu Difficulty level: Easy Type: Factual
4. The Union government recently started Comprehensive Integrated Border management
system (CIBMS) to counter insurgency and infiltration along -
a. Indo-China border
b. Indo-Pak border
c. Indo-Nepal border
d. Indo-Bangla border
Ans (b)
Date: 20th September, 2016 Category: International organizations Topic: NAM Source: The Hindu Difficulty level: Easy Type: Factual
5. The 2016 NAM summit was held at (a) Costa Rica (b) India (c) Venezuela (d) Indonesia
Ans (c)
Current News Analysis
21-09-2016
A. GS1 Related
B. GS2 Related
1.China caught in a corridor of uncertainty
http://www.thehindu.com/news/national/china-caught-in-a-corridor-of-
uncertainty/article9129331.ece
Category: International issues
Topic: Effect of policies and politics of developed and developing countries on India
Key Points:
China’s comments after the Uri attack amount to its admission of deep strategic interest in the Kashmir region. Describing the attack as shocking, China’s Ministry of Foreign affairs expressed sympathy for the victims and asked for relevant parties to create a favourable environment which will secure CPEC (China Pakistan Economic Corridor) which passes through Pakistan-occupied Kashmir (PoK). China also said CPEC which passes through PoK is aimed at bringing development to the entire South Asia region.
According to China, the goal of the CPEC is to serve the region by facilitating better development of regional countries. Naturally, relevant parties are required to make concerted efforts to ensure a safe, sound and favourable environment for the CPEC. It is to be noted that there is tension in the region, including in Kashmir recently. The Chinese government holds the position that all relevant parties can join hands to resolve these issues through friendly consultation and uphold regional peace and security, as this is in the fundamental and common interests of all regional countries, China, Pakistan and
India included.
According to India’s former foreign secretary, China is unable to appreciate India’s concerns about constructing important projects in Pakistan-occupied Kashmir (PoK) that is historically part of India. China is following a contradictory policy by declaring that
the CPEC should be safe while not doing more to stop terror strikes that originate from Pakistan to attack Afghanistan and India. He further said - by tying up the Uri attack with concern for CPEC, China has shown that its views on terror are shaped by its evolving interests in the South Asian region. China wants to build its One Belt One Road (OBOR) but other countries especially India will not sacrifice their core interests for Beijing projects.
However, experts also cautioned that China too has reasons to be worried by terrorism from Pakistan which has spread to the Xinxiang province of China.
India’s efforts to blacklist terror plotter Masood Azhar at the U.N. for the Pathankot attack of January 2, 2016 could not succeed due to the technical hold that China placed on India’s move at the UN. Diplomats say that India’s plans to eliminate cross-border terror are unlikely to succeed without China’s support at the UN.
2. India, Sri Lanka collaborate to run oil farms in Trincomalee
http://www.thehindu.com/news/international/meera-oil-
diplomacy/article9128882.ece?w=alauto
Category: Bilateral
Topic: Indo-Sri Lanka bilateral update
Key Points:
India and Sri Lanka will jointly operate 30 oil tanks in Trincomalee, kick-starting a plan to develop the coastal town, Trincomalee into a regional petroleum hub. The proposal was announced by Prime Minister Narendra Modi during his March 2015 visit to the island-nation, according to which Ceylon Petroleum Corporation and Lanka IOC would operate the farms together. Lanka IOC, a subsidiary of Indian Oil Corporation, currently operates 15 out of the 99 storage tanks in Trincomalee, located on Sri Lanka’s east coast. LIOC runs nearly 200 petrol stations in the country, in addition to operating bunkering services at its ports.
Given the strategic importance of Trincomalee, which has a large natural harbour, India is keen on expanding its operations at the oil farm in the coastal city. The joint venture would matter to India all the more now, after Sri Lanka recently scrapped a coal power project in Trincomalee involving the National Thermal Power Corporation (NTPC).
Sri Lanka invited Indian companies, among others, to invest in a refinery in
Hambantota, in Sri Lanka’s Southern Province. The city houses a $361 million Chinese-funded harbour and is a crucial point in China’s Silk Road project.
3. Centre releases latest list of Smart Cities
http://www.thehindu.com/news/national/govt-announces-27-new-smart-
cities/article9128563.ece
Category: Government programs and policies
Topic: Smart cities
Key Points:
A list of 27 new smart cities was announced by the Urban Development Ministry under the Smart city plan. The 27 cities were selected after three rounds of competition, with the total number selected under Smart City Mission standing at 60.
With five cities, Maharashtra has the highest number of cities on the list. The 27 new cities are from 12 States, including four each from Tamil Nadu and Karnataka, three from Uttar Pradesh and two each from Punjab and Rajasthan. Nagaland and Sikkim have made it to the list for the first time. The proposed projects worth Rs. 66,883 crore under Smart City Mission, includes Rs. 42,524 crore under area-based development and Rs.11,379 crore for technology-based pan-city solutions.
Amritsar topped the list of 27 new smart cities chosen among 63 total cities. Eight other cities of pilgrim and tourism importance that have made it to the third list are Ujjain, Tirupati, Nashik, Madurai, Thanjavur and Ajmer, apart from Agra and Varanasi.
The willingness and enthusiasm among the cities to participate in more than one round of competition is a clear evidence of the urban renaissance set in motion. Competition-based selection has made the cities rediscover themselves as they are undertaking a thorough assessment of gaps in the present levels of infrastructure and service delivery and come out with comprehensive, credible and actionable plans for area-based development and technology-based pan-city solutions.
C. GS3 Related
1.Ken-Betwa project
http://www.thehindu.com/news/national/wildlife-panel-clears-first-phase-of-kenbetwa-project/article9128892.ece
Category: Environment
Topic: Inter-linking of Rivers
Key Points:
National Board for Wildlife (NBWL) chaired by Union Environment Minister cleared
the Ken-Betwa project, India’s first Inter-State river interlinking project. This would be the first time that a river project will be located within a tiger reserve. The Rs. 10,000-crore Ken-Betwa project will irrigate the drought-prone Bundelkhand region but in the process will also submerge about 10% of the Panna Tiger Reserve in Madhya Pradesh, feted as a model tiger-conservation reserve. The main feature of the project is a 230-km long canal and a series of barrages and dams connecting the Ken and Betwa rivers that will irrigate 3.5 lakh hectares in Madhya Pradesh and 14,000 hectares of Uttar Pradesh, in Bundelkhand. The key projects are the Makodia and Dhaudhan dams, the latter expected to be 77 m high and responsible for submerging 5,803 hectares of tiger habitat in the Panna tiger reserve.
The project will bring water to one of India’s worst drought-affected regions and the National Board of Wildlife has also insisted on an integrated wildlife management plan.
Pros and Cons – The project report of Union water Ministry said Chhatarpur, Panna, Tikamgarh, Raisen, and Vidisha districts of Madhya Pradesh and Mahoba, Jhansi and Banda districts of Uttar Pradesh will benefited from assured irrigation supply, domestic and industrial water supply and power. On the other hand, about 6,388 people in 10 villages will be affected due to the submergence by Daudhan reservoir and 13499 persons living in the 28 villages will be affected due to the submergence by Makodia reservoir and will have to be resettled. Seventeen lakh residents of nearby towns and villages in both States will benefit from improved drinking water and irrigation facilities
According to the NBWL, 6,221 hectares - 4,141 of which is core forest and located inside the reserve will be inundated when, and if, the proposed reservoir were filled to the brim. A key point of contention between wildlife experts associated with the impact assessment and dam proponents in the water resources ministry was whether the height of the Daudhan dam could be reduced to limit the water overflow and contain its subsequent impact. There were also concerns that vulture and ghariyal habitat in the region would be affected. Here too, the committee noted, that only 3% of the vulture habitat would be affected. No new mining leases would be allowed in the delineated tiger dispersal routes and existing mining leases extended only if concretely justified and a proposed hydro-power project would now be located outside the reserve.
2. ADB approves $631 mn. loan for Coastal corridor
http://www.thehindu.com/todays-paper/tp-business/coastal-corridor-adb-approves-631-
mn-loan/article9129564.ece
Category: Indian Economy
Topic: Infrastructure
Key Points:
Multilateral funding agency - Asian Development Bank (ADB) has approved $631
million for building India’s first coastal industrial corridor between Visakhapatnam and Chennai. The fund will help develop the first key 800-km section of the planned 2,500-km East Coast Economic Corridor expected to spur development on India’s eastern coast and enable seamless trade links with other parts of South and Southeast Asia. ADB’s loans and grants comprise a $500 million two-tranche facility to build key infrastructure and a $125 million two-tranche loan to help in industrial policies and business promotion. The total cost of the project is $846 million and work on it is expected to be over by 2031. Andhra Pradesh government will fund the remaining $215 million. The Fund will help develop the first 800-km section of planned East Coast Economic
Corridor.
By combining state-of-the-art industrial clusters, efficient transport, and reliable water and power supplies with a skilled workforce and good business policies, it is expected the Visakhapatnam-Chennai industrial corridor to become a favored investment destination. By 2025, annual industrial output along the corridor will increase fourfold to $64 billion from about $16 billion in 2015 if investment opportunities are maximized over the coming 10 years.
Note - The Centre is keen to encourage the manufacturing sector to create jobs for a labor force that is growing by about 12 million each year.
3.Domestic consumption to lift GVA growth
http://www.thehindu.com/business/Economy/domestic-consumption-to-lift-gva-
growth-to-77-moodys/article9128808.ece
Category: Indian Economy
Topic: Growth & GVA
Key Points:
According to the report released by Moody’s Investors Service and ICRA, India’s gross
value added (GVA) growth rate is set to improve to 7.7 per cent this year, from the 7.2 per cent seen in FY16, due to higher domestic consumption demand, while consumer price inflation could accelerate to an average of 5.1 per cent from 4.9 per cent a year earlier.
Buffer stock: The report also mentioned - a favorable base effect, which is likely to continue over the next few months, the increase in the acreage of pulses cultivation, and a bigger buffer stock with the government will all work towards dampening CPI inflation at about the 5 per cent mark.
The implementation of the Goods and Services Tax will benefit the economy by boosting revenue collection and improving tax compliance.
The report also highlighted some policy steps already taken by the government that could, if implemented correctly, bolster the economy’s growth potential. These steps include the easing of restrictions on foreign direct investment (FDI) in various sectors, the passage of the bankruptcy law, and the ongoing efforts towards financial inclusion. Growth impediments - In the nearer term, private investment will remain weak as corporates in investment-intensive sectors are burdened by elevated debt levels. In addition, the economy will remain vulnerable to fluctuations in monsoon rains, because of partial irrigation of crops and gradual progress in food storage and transport infrastructure.
D. GS4 Related
E. Important Editorials
The Hindu
1.Copyright and copy-making
http://www.thehindu.com/opinion/editorial/delhi-hc-verdict-on-university-photocopying-case-copyright-and-copymaking/article9128736.ece
The Delhi High Court verdict that photocopying portions of academic publications to make course packs for students does not amount to copyright infringement has been interpreted by many as a victory for the wider public interest of ensuring affordable access to quality educational material. The only question of law that arose in the suit filed by Oxford University Press, Cambridge University Press and Taylor & Francis was whether the making of course packs by the Delhi University by authorising a photocopying store to make numerous copies of course material drawn from different books amounts to copyright infringement. The court says copyright is not a natural or common law right in India, but is subject to statute. It proceeds to hold that photocopying for academic purposes is not an infringement as Section 52(1)(i) of the Copyright Act permits the making of copies of literary works by a teacher or pupil ‘in the course of instruction’, a phrase interpreted to cover whole academic sessions, from the preparation of syllabus onwards.
Given that the law contains provisions barring infringement of copyright and listing acts that do not constitute infringement, there is no doubt that the legislature wanted to balance copyright protection with the public interest in ensuring access. Interestingly, the judge sees the ‘no infringement’ clauses as being consistent with articles in the Berne Convention and the Agreement on Trade-Related Aspects of Intellectual Property Rights, which provide for domestic legislation to permit reproductions for specific purposes, as long as they do not conflict with normal exploitation of the works or unreasonably prejudice the rights-holder. The publishers have argued, in vain, that universities should not allow unrestricted photocopying, but instead apply for licences through the Indian Reprographic Rights Organisation, a registered copyright society. The publishers may pursue this aspect in their appeal, if there is one. The verdict may justly raise the concern whether conferring unrestricted reprographic rights on academic institutions will drive reputed publishers out of the field of education. It is true that academic publications, especially international ones, are expensive, putting them beyond the reach of many students. But the question is whether the balance between the competing interests has been fully preserved in the law. If reputed publishers feel that there is insufficient
copyright protection and back out of educational publishing in the country, it will be equally injurious to the public interest.
2.Will the Paris Pact succeed like the Montreal Protocol?
http://www.thehindu.com/opinion/columns/will-the-paris-pact-succeed-like-the-montreal-protocol/article9128764.ece
On September 21, United Nations Secretary-General Ban Ki-moon is organising in New York a ratification ceremony for the Paris climate agreement, inviting countries that haven’t endorsed it till now to do so. The buzz among climate treaty watchers and international diplomats is that this rush to push the agreement through is with an eye on the approaching U.S. elections, as a Donald Trump victory could upset the apple cart for global climate action. Though the U.S. and China, the two top global greenhouse gas (GHG) emitters, ratified the treaty at the recently concluded G20 summit, implementation is possible only once the agreement is ready to enter into force. And that won’t happen until 55 countries, accounting for 55 per cent of the global GHG emissions, ratify it.
The Montreal precedent - Back in 1987, on September 16, when 197 member nations of the UN signed the Montreal Protocol on Substances that Deplete the Ozone Layer, little would they have anticipated that in three decades the purpose for which they were signing the pact would begin to bear fruit: the ozone layer, which at that time was discovered to have a big hole in it due to ozone-depleting chemicals being widely used, is now beginning to show signs of healing. Researchers believe that the size of the ozone hole has shrunk by around 4 million sq km since 2000 and is not as deep as it used to be, thanks to the collective efforts of nations to cut the use of chlorofluorocarbons and other dangerous gases.
The Montreal Protocol offers a model of a successful environmental treaty that brought nations together to act swiftly on protecting the ozone layer. Next month, nations that are party to the protocol will get together in Kigali, Rwanda, to discuss the phasing down of hydrofluorocarbons (HFCs) as the next step towards addressing ozone depletion, also necessary to curb global warming. According to the UN Framework Convention on Climate Change (UNFCCC), an HFC phase-down could prevent warming of up to 0.1°C by 2050 and warming of up to 0.5°C by 2100, offering one of the most cost-effective climate mitigation strategies available to the world today.
Replicating success - The more pertinent question is whether the Paris Agreement could succeed similarly in plugging greenhouse gas emissions, though it has a much bigger goal to chase. The Montreal Protocol had to address the use of ozone-depleting substances in select industries where they were widely used whereas the Paris Agreement has to address the challenge of reducing dependence on fossil fuels that continue to be the world's primary source of energy, a tall order.
The experience of implementing the Montreal Protocol offers several lessons which can lead the climate treaty to success. For starters, unlike climate change, the science behind ozone depletion was contested at the time when the protocol was signed. It was only eight
years after the Montreal Protocol came into being that the Nobel Prize in Chemistry to Paul J. Crutzen, Mario J. Molina and F. Sherwood Rowland brought global validation for their work on the formation and decomposition of ozone in the atmosphere. But that did not stop the countries that were party to the protocol from taking necessary action. However, despite the scientific evidence in support of global warming and climate change, signatories to the Paris treaty have much scepticism to overcome before meeting its goal of keeping global warming levels less than 2°C above pre-industrial levels.
Mr. Trump, the U.S. Republican presidential nominee, has dismissed climate change as a hoax, vowing to remove his country from the Paris climate accord, while commentators have referred to Democratic presidential candidate Hillary Clinton’s proposed action plans on climate change as inadequate. The experience with the Kyoto Protocol signed in 1997 shows that if the U.S. wants, it can topple international efforts to fight climate change though the then President, Bill Clinton, had signed the protocol in 1997, the U.S. Senate did not approve it, and eventually other major GHG emitters abandoned it as well.
Besides political will, there is the question of funding as well. Industrialised countries had committed in Cancun in 2010 to provide funds rising to $100 billion per year by 2020 for a Green Climate Fund (GCF) to help developing countries invest in green energy and prepare for extreme weather events. However, the GCF has so far raised only $10 billion, and allocated money to only about eight projects since it was first set up.
With the latest addition of Micronesia, 28 countries responsible for over 40 per cent of GHG emissions have ratified the Paris Agreement. But a closer look at the list of countries shows that small countries, especially island nations, with low GHG emissions and high risk of climate catastrophe, have been more prompt. The UNFCCC is confident that more top emitters, including the EU, would soon join the treaty. But the truth is, even after ratification, the pledges made by signatories to the Paris Agreement would be insufficient to keep global warming levels below the danger threshold, as per the UN’s own estimates.
The latest report from the U.S. National Aeronautics and Space Administration’s Goddard Institute for Space Studies shows that August 2016 was the hottest month on the planet, about 0.16°C warmer than the previous 2014 record. So even as we celebrate the relative success of the Montreal Protocol in fixing the ozone layer today, the real lesson that the experience offers the world is that a stitch in time saves nine.
F. Concepts-in-News: Related Concepts to Revise/Learn:
1. Concepts-in-News: Related Concepts to Revise/Learn
China-Pak Economic corridor (CPEC)
Conventional sources of Energy - Coal
One-belt One-road initiative - China’s Silk Road project
Smart city project
National wildlife board Interlinking of rivers Coastal corridors India’s gross value added (GVA) growth rate
2. BILLS/ACTS/SCHEMES/ORGS IN NEWS
BILLS/ACTS/SCHEMES/ORGS IN NEWS Links to Refer
Smart city project http://pib.nic.in/newsite/PrintRelease.aspx?relid=146510
http://pib.nic.in/newsite/PrintRelease.aspx?relid=146445
3. Tags
NTPC
Smart cities
UNFCCC - GCF
Ken-Betwa project
Panna tiger reserve Montreal protocol Kyoto protocol
Practice Questions
Date: 21st September, 2016 Category: Government programs Topic: Interlinking of rivers Source: The Hindu Difficulty level: Medium Type: Factual
1. Which of the following is India’s first Inter-State river interlinking project?
(a) Ganga-Yamuna
(b) Narmada-Tapi
(c) Ken-Betwa
(d) Godavari-Krishna
Ans (c)
Date: 21st September, 2016
Category: Infrastructure
Topic: Coastal corridor
Source: The Hindu
Difficulty level: Easy
Type: Factual
2. Recently the Asian Development Bank (ADB) approved $631 million for building India’s first coastal industrial corridor between (a) Nellore and Tuticorn (b) Ennore and Kochi (c) Kanyakumari and Kolkata (d) Visakhapatnam and Chennai
Ans (d)
Date: 21st September, 2016
Category: National
Topic: Organizations Source: The Hindu Difficulty level: Moderate Type: Conceptual
3. Which of the following statements are correct regarding the National wildlife board?
(1) It is a statutory organization
(2) It is chaired by India’s Prime Minister and its vice chairman is Minister of
Environment
(3) No alternation of boundaries in national parks and wildlife sanctuaries can be done
without approval of the NBWL.
a) (1) & (2) only
b) (1) & (3) only
c) (3) only
d) All are correct
Ans (d)
Date: 21st September, 2016 Category: International Topic: Climate change Source: The Hindu Difficulty level: Easy Type: Factual
4. The Green Climate fund is managed by –
a. UNFCCC
b. Inter-national panel on climate change (IPCC)
c. Global Environmental facility
d. None of these
Ans (a)
Date: 21st September, 2016 Category: Energy Topic: Coal Source: The Hindu Difficulty level: Easy Type: Factual
5. Which of the following type of coal is found in abundance in India? (a) Anthracite (b) Bituminous (c) Lignite
(d) Peat
Ans (b)
Comprehensive News Analysis
22-09-2016
B. GS2 Related
1. Managing the Cauvery dispute
http://www.thehindu.com/opinion/editorial/managing-the-cauvery-
dispute/article9132557.ece
Category: Dispute Redressal Mechanisms
Topic: Tribunal
Key Points:
By directing the Centre to constitute a Cauvery Management Board within four weeks, the Supreme Court has created space for the water-sharing dispute to be handled in a scientific and responsible manner by a legally constituted technical body
Apart from permanent mechanisms, technical panels and seasonal adjudication, a spirit of accommodation is required among the basin States
Also needed is a clearer appreciation of the fact that the entire water yield in the Cauvery basin is not enough to provide for the requirements of both States
It is time for Karnataka and Tamil Nadu to take a hard look at their agricultural economies: the area under cultivation, the number of crops per year and the water-intensive nature of the crops
Unless these are adjusted to suit the water availability, such disputes will keep surfacing
C. GS3 Related
1. Railway Budget, a vanishing trick
http://www.thehindu.com/opinion/op-ed/railway-budget-a-vanishing-trick-writes-k-balakesari/article9132602.ece
Category: Economic Development Topic: Government Budgeting
Key Points:
The Railway Budget has been “merged” with the General Budget Reasons:
The Indian Railways need not pay the annual dividend to the Government of India on the budgetary support given each year, saving the financially stressed Railways about Rs.10,000 crore annually
The Budget has been misused by politicians as a populist platform to enhance their
own image
No other Ministry has a separate budget and the practice exists in no other country today
The Bibek Debroy Committee has recommended discontinuance of a separate Rail Budget and it is part of the Prime Minister’s reform programme
It is a colonial legacy
Railways’ share in the General Budget has progressively reduced over the years, making a separate budget an anachronism
Counter View:
Railways is indeed unlike any other Central ministry in size and scope:
It is an operational ministry
It earns as well as spends, unlike other ministries that only spend.
Its gross earnings are among the highest for any Indian organisation, public or private
It has a staff strength of around 13.2 lakh, one of the highest
It fully meets the pension liabilities of its retired employees (13.8 lakh) out of its own earnings unlike other ministries
It follows an accounting practice, though not up to the standards of a purely commercial establishment, that has a number of features of a commercially-run organization
The Debroy committee has recommended it not as a stand-alone step, but as part of a slew of measures such as: complete overhaul of the project financing architecture of the Railways involving ruthless weeding out of unviable/long-pending projects etc.
Suggestions:
Table an annual “Indian Railways Report” in Parliament on the lines of the Reserve Bank of India’s Economic Survey. That will signal reforms with transparency
2. 31 nations join Paris climate pact
http://www.thehindu.com/todays-paper/tp-international/31-nations-join-paris-climate-pact/article9133546.ece
Category: Environment Topic: Climate Change
Key Points:
Latin American powerhouses Argentina, Brazil and Mexico as well as major fossil fuel powers Brunei and the United Arab Emirates have recently joined the accord
To come into force, the Paris agreement needs ratification from 55 countries that account for at least 55 per cent of the planet’s greenhouse gas emissions
Currently, a total of 60 countries have joined the Paris accord, meeting the threshold
But they account for just less than 48 per cent of emissions
3. Current Account Deficit narrows
http://www.thehindu.com/business/Economy/current-account-deficit-narrows/article9132615.ece
Category: Economic Development Topic: Indian Economy
Key Points:
India’s current account deficit (CAD) narrowed in the first quarter of the financial year to $300 million as compared with $6.1 billion in the year-earlier period
The deficit shrank to 0.1 per cent of GDP in the period
Reasons:
On the basis of balance of payments, merchandise imports declined sharply
Net services receipts declined on a year-on-year basis, largely due to a fall in net earnings on account of travel, financial services and other business services
Net foreign direct investment also moderated Portfolio investments recorded a net inflow as against a marginal outflow
4. ‘High public debt cuts room for policy sops’
http://www.thehindu.com/todays-paper/tp-business/high-public-debt-cuts-room-for-policy-sops/article9133499.ece
Category: Economic Development Topic: Indian Economy
Key Points:
India’s economic growth rate is projected to remain strong at 7.5 per cent in 2016, but high public debt and current rates of inflation may limit room for supportive fiscal policies, according to an United Nations Conference on Trade and Development (UNCTAD) report
What the report says
To address the stalled manufacturing share in India’s GDP
The stagnation in the sector is reflected in its limited capacity to create jobs with higher wages
India was an example of ‘stalled industrialisation’ – where shares of manufacturing value added and employment stagnate at modest levels
In India, the share of manufacturing in total employment increased by only about two percentage points over four decades
Private investment in India has weakened in the past few years, along with emerging debt-servicing difficulties
Public investment is yet to take off in the context of serious infrastructure gaps that could constrain future growth
Lack of global demand and stagnant real wages were the main problems behind the global trade slowdown
D. GS4 Related
E. Important Editorials
Live Mint: Aadhar Act: What it means for you
http://www.livemint.com/Home-Page/4jvMKBDDUWleIuzp5vVv5H/Aadhaar-Act-what-it-means-for-you.html
Category: Polity
Topic: Governance
Key Points:
Aadhaar has received a legal backing to be used in social welfare schemes and to disburse subsidies as well
The Supreme Court had last year ruled that use of this system will not be mandatory and can only be extended to services like transfer of cooking gas subsidy, Jan Dhan Yojana, and Mahatma Gandhi National Rural Employment Guarantee Act
The ambit has slowly increased as it is seen as a valid document in daily financial life as well Use in transactions
Taxation: You can e-verify income tax returns with the help of Aadhaar
Mutual funds: Aadhaar-based e-KYC has been facilitated by the Securities and Exchange Board of
India for mutual funds
Banking: It is mandatory for customers to provide certain details to comply with know-your-
customer (KYC) norms. To make this process paperless, the Reserve Bank of India had introduced
Aadhaar-based e-KYC, which substitutes the need to submit multiple documents
Business Standard: OECD sees globalization brake on growth
http://www.business-standard.com/article/international/oecd-sees-globalisation-brake-on-growth-116092100620_1.html
Category: International Relations
Topic: International institutions
Key Points:
Trade growth is set to lag growth in the broader world economy this year, the Organisation for Economic Cooperation and Development said in an update of its main economic forecasts
This is well below past norms and implies that globalisation as measured by trade intensity may have stalled
the OECD estimated the global economy would muster growth of only 2.9 per cent this year, down from a forecast of 3.0 per cent in its last estimates
The OECD said many global supply chains that add economic value at each stage and are often rooted in China and other east Asian countries
These were unravelling as China sought to wean its economy off of exports for growth and some firms brought back production to their home countries.
A growing backlash against trade liberalisation as well as recessions in some big commodity-producing countries were adding to the trade slowdown
OECD warned at this could erode already flagging productivity and thus ultimately living standards
F. Concepts-in-News: Related Concepts to Revise/Learn:
1. Aadhar Act
2. OECD
3. Current Account Deficit
4. Paris Climate meet
5. Budget
6. Tribunals
Tags
Railway Budget, OECD, Aadhar, CAD
G. BILLS/ACTS/SCHEMES/ORGS IN NEWS
http://www.prsindia.org/uploads/media//Enemy%20Property/The%20Enemy%20Property%20(Amend
ment%20and%20Validation)%20Fourth%20Ordinance,%202016.pdf
Practice Questions
Date: 22nd September, 2016 Category: International Relations Topic: International Organisations Source: Business Standard Difficulty level: Moderate Type: Factual
1] Which of the following is not a member of the OECD?
a. Australia b. Switzerland
c. India d. Mexico
Ans ©
Date: 22nd September, 2016 Category: Economic Development Topic: Budget Source: The Hindu Difficulty level: Moderate Type: Factual
2] Which of the following statement/s is/are true regarding budget in India?
i) Annual Financial Statement (AFS), the document as provided under Article 112, shows estimated receipts and expenditure of the Government of India
ii) All grants given to the State Governments/Union Territories and other parties are also treated as revenue expenditure even though some of the grants may be used for creation of capital assets
a. Only 1
b. Only 2
c. Both 1 and 2
d. Neither 1 nor 2 Ans ©
Date: 22nd September, 2016 Category: Economic development Topic: Indian Economy Source: The Hindu Difficulty level: Easy Type: Factual
3] Which of the statement/s is/are true regarding Current Account Deficit?
i) Current account deficit is a measurement of a country’s trade where the value of the goods and services it imports exceeds the value of the goods and services it exports
ii) A current account deficit represents negative net purchases abroad a. Only 1 b. Only 2 c. Both 1 and 2 d. Neither 1 nor 2
Ans (a)
Date: 22nd September, 2016 Category: Geography Topic: India - Pakistan Source: World Map Difficulty level: Easy Type: Factual
4] Which of the following rivers emerges from the glacier, passes through three countries and ultimately falls in the sea?
a. Indus b. Ganga c. Brahmaputra d. Both a and c
Ans (d)
Date: 22nd September, 2016 Category: Governance
Topic: Acts and Bills Source: Live Mint Difficulty level: Moderate Type: Analytical
5] Which of the statement/s is/are true regarding Aadhar act ?
i) To obtain an Aadhaar number, an individual has to submit his, (i) biometric (photograph, finger print, iris scan) and (ii) demographic (name, date of birth, address) information
ii) The information may be revealed in the interest of national security only
a. Only 1 b. Only 2 c. Both 1 and 2 d. Neither 1 nor 2
Ans (a)
Current News Analysis
23-09-2016
A. GS1 Related
B. GS2 Related
1.India claims diplomatic win over Pakistan at UN
http://www.thehindu.com/news/national/india-claims-diplomatic-win-over-
pakistan-at-un/article9137165.ece
Category: International summits
Topic: 71st
UN General Assembly meet
Key Points:
At the 71st UN General Assembly in Newyork, India said Pakistan’s campaign to
highlight Kashmir at the United Nations had failed even as the Union Ministry of
External Affairs stopped short of giving a definitive answer on Prime Minister Narendra
Modi’s plans to attend the November SAARC summit in Islamabad.
Uncertainty continued over PM Modi’s presence at SAARC as India held consultations with Afghanistan and the U.S., and pushed Pakistan to shut down the infrastructure of
terrorism affecting South Asia and the world.
The Union Ministry of External affairs said SAARC stands for regional cooperation
which is underpinned by peace and stability. The biggest threat to peace and stability we
all know is terrorism. Squarely addressing this will benefit the entire region and also
strengthen regional cooperation. We are sure all member-countries of SAARC need to
reflect on this. Coordination with Bangladesh, with Afghanistan - it cannot go into that
but certainly all victims of terrorism stand in solidarity.
India’s stand on solidarity among terror victims came after Prime Minister Nawaz Sharif
described slain Hizbul Mujahideen militant Burhan Wani as a young leader in his
UNGA speech. India had rebutted it by saying that the Pakistani leader had used the
highest podium of the U.N. to glorify terrorism.
Pakistan hosts Ivy League of terrorism
Consequences of Pakistan’s policy of sponsoring terrorism have spread beyond the
region, India told the U.N. General Assembly, responding to Pakistan Prime Minister
Nawaz Sharif’s broadside against India on the situation in Jammu and Kashmir. India
mounted a counter-attack hours after Mr. Sharif’s speech at the General Assembly, connecting Pakistan’s record of nuclear proliferation to its support of terrorism and the dangers it posed to global security.
U.N. said “The land of Taxila, one of the greatest learning centres of ancient times, is
now host to the Ivy League of terrorism. It attracts aspirants and apprentices from all
over the world.” Pakistan responded immediately, reiterating Mr. Sharif’s position that the slain Hizbul Mujahideen commander Burhan Wani was the leader of an indigenous
freedom movement.
2. Centre moves NSG teams to Mumbai after terror alert
http://www.thehindu.com/todays-paper/centre-moves-nsg-teams-to-mumbai-after-
terror-alert/article9138142.ece
Category: National
Topic: Terror attacks
Key Points:
The Uran village in Raigad district of Maharashtra as well as surrounding areas was
seized by panic after students of a local school reported to the authorities that they had
seen a group of men walking under suspicious circumstances towards the Navy base in
Uran.
The Navy, the Coast Guard as well as the local police and paramilitary forces mounted a
massive search in the village, while the Centre deployed three NSG teams in Mumbai
and put a counter-terror team on standby in New Delhi.
3. Na tej Sarna appointed India’s ne en oy to US
http://www.thehindubusinessline.com/news/navtej-sarna-appointed-indias-
new-envoy-to-us/article9136128.ece
Category: International
Topic: Appointments
Key Points:
India’s High Commissioner to the UK, Navtej Singh Sarna, has been appointed the new
Ambassador to the US. He will succeed the current envoy Arun Singh. A veteran Indian
Foreign Service (IFS) officer of the 1980 batch, Sarna was Secretary (West) in the
Foreign Ministry prior to becoming High Commissioner to the UK.
4.Chemical weapons used in Iraq
http://www.thehindu.com/todays-paper/tp-international/chemical-weapons-used-in-
iraq/article9138138.ece
Category: International issues
Topic: Terror attacks
Key Points:
U.S. has recently confirmed that Islamic State (IS) forces have fired crude chemical
weapons at U.S. troops in Iraq. The attack came from a powdered mustard agent
delivered in a mortar or rocket shell and fired on U.S. forces at the Qayyarah West air
base near Mosul. The air base, recaptured from the IS in July, is a pivotal staging ground
for a highly anticipated attack on Mosul.
Mustard, a banned chemical weapon, is most dangerous when concocted in a gas form.
The use of chemical weapons on U.S. forces, however ineffectual, raised ominous echoes
of the ultimately false rationale cited by the George W. Bush administration in U.S. for
invading and occupying Iraq from 2003 to 2011. While Saddam Hussein turned out to
have destroyed his chemical stockpiles before the invasion, some older unconventional
weaponry had survived and was used on a handful of U.S. soldiers and marines.
Precursor materials - Some chemical agents and precursor materials for their
manufacture had been stored on Iraqi territory formerly controlled by IS. The U.S.
military has insisted since 2014 that there is no evidence IS obtained access to them.
Alternatively, some of Syrian President Bashar Al-Assad’s substantial chemical stocks
have been known to survive a 2013 agreement brokered by Russia and backed by the
U.S. for their destruction.
5.Hamas, LTTE to be removed from EU terror list
http://www.thehindu.com/news/international/hamas-ltte-to-be-removed-from-eu-terror-
list/article9138084.ece
Category: International issues
Topic: Terrorism
Key Points:
The European Union (EU)’s top court took a step toward confirming the removal of
Hamas, as well as the Tamil Tigers, from an EU terrorism blacklist despite protestations
from Israel and the Sri Lankan governments.
C. GS3 Related
1.Nod likely for Bhagirathi hydel projects
http://www.thehindu.com/news/national/nod-likely-for-bhagirathi-hydel-
projects/article9136887.ece
Category: Environment
Topic: Hydro-electric power projects
Key Points:
The Union ministry of Environment, Forest and Climate Change after constant
persuasion from the Uttarakhand government, has given its green signal to 10 hydro
electric projects (HEPs) of less than 25MW capacity of a total combined capacity of 82.3
MW in the Bhagirathi eco-sensitive zone (ESZ) in the hill State’s Uttarkashi region.
However, the Ministry has said that cumulative impact assessment study of the
Bhagirathi Basin must be carried out for it to decide whether the 10 projects were viable.
According to the Central government notification of December 18, 2012, a 100-kilometre
stretch of the river Bhagirathi from Gaumukh to Uttarkashi, feeding an area of
4,179.59 sqkm, was to be declared eco-sensitive. The notification mentions that HEPs of
only upto 2 MW can be built in the notified area.
2. Centre names economists to monetary policy committee
http://www.thehindu.com/business/Economy/centre-names-economists-to-monetary-
policy-committee/article9136820.ece
Category: Indian Economy
Topic: RBI – Monetary policy
Key Points:
The Centre named three academics trained in economics as the external appointees on the
monetary policy committee (MPC) that will work with the Reserve Bank of India’s three members to decide interest rates. The RBI is represented on the MPC by Governor Urjit
Patel, Deputy Governor in-charge of monetary policy R. Gandhi, and M.D. Patra, the
executive director who was nominated by the RBI board. The three external members -
Pami Dua, Chetan Ghate and Ravindra Dholakia will have a fixed four year term, which
is non-renewable.
The RBI will set interest rates according to the majority view of the six-member MPC,
with the Governor having the casting vote in case of a tie.
The MPC will be responsible for ensuring inflation based on the Consumer Price
Index is contained within a range of 2 per cent to 6 per cent, a target announced as part
of the new monetary policy framework agreed to by the Centre and the RBI. Previously,
decisions were taken by the RBI Governor. The move to inflation targeting and
committee based rate-setting were part of changes recommended by former Governor
Raghuram Rajan and then Deputy Governor Dr. Patel.
The three new external members of the MPC are low-key academics, who are expected
to help provide independent external economic inputs for policy formulation.
3.Centre to boost goods exports
http://www.thehindu.com/todays-paper/tp-business/centre-unveils-sops-to-boost-
goods-exports/article9138116.ece
Category: Indian Economy
Topic: Trade - Exports
Key Points:
In the backdrop of the continued decline in growth of Indian goods exports, the Union
commerce ministry extended support to certain new products and enhanced the rate of
incentives for some other under the reward programme called Merchandise Exports
from India Scheme (MEIS). With this the total number of items covered under the
scheme has been increased from 5,012 to 7,103, an official statement said. The total
government support extended under the scheme has been enhanced from the present Rs
22,000 crore to Rs 23,500 crore per annum, it added.
The major highlights of the support include addition of 2901 products in the scheme -
These include several items of traditional medicines, marine products, dried onion,
processed cereal products and value added items of plastics, leather articles and suitcases.
The products that will get incentives also include engineering goods, fabrics, garments,
chemicals, ceramics, glass products, leather goods, newspapers, periodicals, silk items,
made ups, wool products, tubes and pipes.
Incentives - The rate of incentives of 575 product items falling under 11 products
categories has been increased.
These include products of iron and steel, handicrafts, moulded and extruded goods,
rubber, ceramic, glass, auto tyres and tubes, industrial machinery engineering items, IC
Engines, machine tools / parts, items of wood, paper, stationary, footwear, auto seats,
steel furniture, prefabs, items under the category of butter, ghee and cheese, dried egg
albumin and rubber products. Under the MEIS, the rates of the duty credits range from
2-5 per cent.
4. Jaitley tells BRICS nations to share insights on infrastructure
www.thehindu.com/business/Economy/share-insights-on-infrastructure-jaitley-
tells-brics-nations/article9136822.ece
Category: Indian Economy
Topic: Infrastructure
Key Points:
Union Finance Minister Arun Jaitley called for a formal mechanism within BRICS
nations to share and exchange experiences on infrastructure development. Mr Jaitley
said “Infrastructure is the key to the growth of the economy. An institutionalised forum amongst BRICS countries could serve as a regional knowledge hub with exchange of
information facilitated through cloud sharing, and other electronic methods”
The finance minister also said that investment, both from the public and private
sectors, will be required for infrastructure financing - in areas of health, education,
sanitation, renewable energy, highways, ports and railways. The government gives high
priority to infrastructure and has taken a number of policy decisions like the setting up of
the National Investment and Infrastructure Fund (NIIF), and innovative new financial
instruments. The government has already set up the Rs.40, 000-crore NIIF in December
2015 for funding commercially viable greenfield, brownfield and stalled projects.
D. GS4 Related
E. Important Editorials
The Hindu
1.Getting Railways on track
http://www.thehindu.com/todays-paper/tp-opinion/getting-railways-on-
track/article9138128.ece
That it took 69 years after Independence for India to merge the Railway Budget with
the Union Budget is an indication of how difficult it can be to junk colonial-era
traditions that may have outlived their utility. In 1924, when the first Railway Budget
was presented, the Railways entailed more funds than India’s expenditure on all other aspects of administration combined. So it made sense to present a separate Budget. That
equation changed long ago, and now the Railways’ outlay is just 6 per cent of the total expenditure proposed in the Union Budget for this year. In fact, revenues from the
domestic aviation business are more than the Railways’ traffic earnings. Nearly Rs.2.5 lakh crore has been planned this year as defence expenditure, but it found little mention
in the Finance Minister’s Budget speech. Yet, the ritual of the Rail Budget has continued
even as the economy opened up over the past 25 years. A key reason that it lingered so
long is India’s fractured polity and the tendency of coalition partners to demand Railways as a juicy portfolio with its possibilities for populist posturing and patronage. With the
luxury of a majority in the Lok Sabha and a Railway Minister like Suresh Prabhu who
has refused to use the Rail Budget as a launchpad for new trains and railway lines, the
NDA has thrown its weight behind a plan that takes away the annual temptation to make
the Railways a vote-magnet.
India’s annual economic jamboree will now be over in two days the tabling of the Economic Survey followed by the Union Budget instead of three. Railway Ministers
will no longer need to conjure up fancy and often regurgitated promises about new,
improved services for passengers without charging them the operational costs of reaching
their destination. The pressure to hold commuter fares has skewed the Railways’ freight rates, year after year. Indeed, the change is already being felt; tweaking of tariffs outside
the Budget has begun. Consider the changes in coal freight and the introduction of
flexible pricing on premium passenger trains. However, the Centre needs to now
seriously consider setting up an independent tariff regulator to depoliticise fares. New
lines and trains should be determined by economic viability rather than the constituencies
covered. Initiatives such as demand-driven clone trains must be deployed to boost
earnings, and the Rs.37,000-crore tab on social obligations, including concessional
ticketing, must be borne by the exchequer. The Railways’ accounts need to be cleaned up and made bankable. Scrapping the Rail Budget is a good starting point to fix the
fading utility. Bringing it back safely on track will take a lot more doing, and undoing.
F. Concepts-in-News: Related Concepts to Revise/Learn:
1. Concepts-in-News: Related Concepts to Revise/Learn
U.N. General Assembly annual meeting
Chemical warfare
Recent terror attaks
National security guard
Eco-Sensitive zones
Monetary Policy
National Infrastructure and investment fund
Railway budget
2. BILLS/ACTS/SCHEMES/ORGS IN NEWS
BILLS/ACTS/SCHEMES/ORGS IN NEWS Links to Refer
Foreign trade policy of India (2015-20) http://pib.nic.in/newsite/PrintRelease.aspx?relid=117917
http://www.dnaindia.com/money/report-11-features-of-the-
new-trade-policy-you-must-know-2073819
3. Tags
BRICS
Monetary Policy committee
River Bhagirathi
Merchandise Exports from India Scheme (MEIS)
European Union
Practice Questions
Date: 23
rd September, 2016
Category: Government organizations
Topic: National Infrastructure and investment fund
Source: The Hindu
Difficulty level: Medium
Type: Factual
1. Which of the following statements are correct regarding the ‘National Infrastructure &
investment Fund’ of India?
1) It funds Infrastructure development in Clean Energy, Agriculture & NBFC’s
2) It Works under the Union Ministry of Trade & Commerce
a) 1 only b) 2 only c) Both 1&2; d)Neither 1 nor 2.
Ans (a)
Date: 23rd
September, 2016
Category: International summits
Topic: UN General Assembly
Source: The Hindu
Difficulty level: Easy
Type: Factual
2. The UN Sustainable Development Goals (SDG’s ) were adopted at
a) 70th
UNGA Meet, 2015
b) Rio + 20 Conference 2012
c) 69th
UNGA Meet, 2014
d)Rio + 10 Summit, 2002
Ans (a)
Date: 23rd
September, 2016
Category: Environment
Topic: ESZ
Source: The Hindu
Difficulty level: Moderate
Type: Conceptual
3. With reference to 'Eco-Sensitive Zones', which of the following statements is/are correct?
1. Eco-Sensitive Zones are the areas that are declared under the Wildlife (Protection)
Act, 1972.
2. The purpose of the declaration of Eco-Sensitive Zones is to prohibit all kinds of
human activities in those zones except agriculture.
Select the correct answer using the code given below
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
Ans (d)
Date: 23
rd September, 2016
Category: National organizations
Topic: Counter-Terrorism
Source: The Hindu
Difficulty level: Easy
Type: Factual
4. Which Para-military force is responsible for Counter-Terror operations in India -
a. Border Security Force (BSF)
b. National Security Guard (NSG)
c. National Investigative Agency (NIA)
d. Both b & c
Ans (b)
Date: 23rd
September, 2016
Category: International organizations
Topic: BRICS
Source: The Hindu
Difficulty level: Easy
Type: Factual
5. The 2016 BRICS Environment ministers meet was held at
(a) Karnataka
(b) Goa
(c) Maharashtra
(d) New Delhi
Ans (b)
Current News Analysis
24-09-2016
A. GS1 Related
B. GS2 Related
1.India, France ink Rafale deal
http://www.thehindu.com/news/national/india-france-conclude-rafale-
deal/article9140011.ece
Category: Bilateral
Topic: Indo-France
Key Points:
India and France concluded an Inter-Governmental Agreement for the purchase of 36
Rafale fighter jets at a cost of €7.87 billion, the first fighter aircraft deal since the purchase of Sukhois from Russia in the late 90’s.
The deal comes after 17 months of tough negotiations since Prime Minister Narendra
Modi announced the decision in April 2014 for direct purchase of the jets in fly-away condition, citing critical operational necessity of the IAF. The deal includes the aircraft in fly-away condition, weapons, simulators, spares, maintenance, and Performance Based Logistics support for five years. For five years India does not have to spend on maintenance.
Rafale fighter jet: It is a twin-engine fighter, multi-role fighter aircraft; it is capable of carrying out all combat missions: air defence, interception, ground support, in-depth strikes, reconnaissance, anti-ship strikes and nuclear deterrence. The last part is of particular interest to India and these aircraft are likely to succeed Mirage fighters for nuclear warhead delivery as part of India’s nuclear doctrine.
The best part is the weapons package which includes Meteor radar guided Beyond
Visual Range (BVR) missile considered the best in the class with range of over 150 kms and Scalp long range air to ground missiles.
The aircraft will be customised as per the requirements of the IAF which include Helmet Mounted Displays, radar warning receiver, infrared search and track among others.
2. Kaveri issue: Karnataka says no water to spare
http://www.thehindu.com/news/national/karnataka/cauvery-crisis-legislative-council-
passes-resolution-to-use-water-only-for-drinking/article9140265.ece
Category: Inter-State River water disputes
Topic: Kaveri
Key Points:
The two Houses of the Karnataka legislature unanimously passed a resolution stating that it is imperative for the State government to ensure that no water is drawn from the four reservoirs in the Cauvery basin except for drinking water requirements of villages and towns in the Cauvery basin and for the entire city of Bengaluru.
Speaking in the Legislative Assembly, Chief Minister Siddaramaiah said: “We have the greatest respect for the judiciary and other pillars of democracy. Our objective is not to oppose the judiciary. We do not even dream of such a thought. “We are in an extremely difficult situation and the State is facing distress for the second consecutive year and hence it is not possible to release water.”
The resolution means the Karnataka government has the backing of the State
legislature to continue to refuse to implement the Supreme Court’s September 20 order to release water at the rate of 6,000 cusecs to Tamil Nadu from September 21 to 27. Interestingly, the carefully worded resolution adopted by the Houses had no reference to the Supreme Court orders in the matter or statements made by Tamil Nadu. It only observed that it is in a state of acute crisis and the storages in the four reservoirs have
reached alarmingly low levels with only 27.6 Thousand Million Cubic Feet (tmcft) of
water.
Tamil Nadu had demanded water for sowing of the samba rice crop in the delta districts of the State
3. EU may re-engage with India on free trade talks
http://www.thehindu.com/business/Economy/eu-may-reengage-with-india-on-free-
trade-talks/article9141226.ece
Category: Bilateral
Topic: Indo-EU FTA
Key Points:
European Union (EU) hopes to soon re-engage with India on negotiations regarding the proposed ambitious, comprehensive and balanced Free Trade Agreement (FTA), which will also include an investment protection pact.
The EU said the FTA will not only cover (lowering/eliminating) tariffs but will also
look at harmonisation of standards. According to EU, there are more than 6,000 European firms in India providing direct employment to 1.2 million people and indirect employment to 5 million people, adding that an investment protection pact is important for these firms towards stability and certainty.
Note - India and the EU are also looking at strengthening ties in the areas of water and
clean energy and bilateral ties in goods, services and investment will get a boost after the FTA comes into force.
4.Friendship-2016
http://www.thehindu.com/news/national/russiapakistan-joint-war-games-begin-
today/article9141394.ece
Category: International affairs
Topic: Russia-Pak bilateral
Key Points:
The first-ever joint military drills between Russia and Pakistan - ‘Friendship - 2016’ began in Islamabad, reflecting growing military ties between the two former Cold War rivals. The two militaries will share their experience and employ teamwork in fighting in mountainous areas, particularly destroying illegal armed groups.
The joint military drills are aimed at bolstering and building military cooperation between the two countries. The joint drill is seen as another step in growing military-to-
military cooperation, indicating a steady growth in bilateral relationship between the two countries, whose ties had been marred by Cold War rivalry for decades.
Pakistan decided to broaden its foreign policy options after its relations with the U.S.
deteriorated following secret CIA raid in Abbottabad that killed al-Qaeda chief Osama bin Laden in May 2011. Its relations with the U.S. were soured recently when U.S. lawmakers blocked funds for the sale of eight Lockheed Martin Corporation’s F-16 fighter jets to Pakistan.
Over the last 15 months, the chiefs of Pakistan’s Army, Navy and Air Force travelled to Russia. The flurry of high- level bilateral exchanges resulted in the signing of a deal for the sale of four MI-35 attack helicopters to Islamabad.
C. GS3 Related
1.Conservationists say National waterways project threatens Gangetic
dolphins
http://www.thehindu.com/sci-tech/energy-and-environment/national-waterways-
project-threatens-gangetic-dolphins-conservationists/article9141384.ece
Category: National policies and programs
Topic: Impact on Bio-diversity
Key Points:
According to a group of scientists, environmentalists and wildlife conservationists, the
National Waterways project poses threat to the National Aquatic animal of India - Gangetic river dolphins.
The animal is protected under Schedule I of the Indian Wildlife Protection Act, 1972
and is a declared endangered species. The development of the Ganga for shipping is seen by wildlife conservationists as the single-largest threat to the survival of the species, whose numbers are declining in most parts of their natural habitat, according to wildlife Institute of India. This is mainly due to construction of dams and barrages on the river.
India has a huge untapped potential of inland waterways and the Centre plans to develop a 1600-km waterway between Allahabad and Haldia for inland transportation under a Rs. 4200-crore World Bank-aided project as the National Waterway 1.
The first phase of the project spanning 1300 km, now under implementation, is from Varanasi to Haldia. It envisages improving the navigability of the river as it passes through Uttar Pradesh, Bihar, Jharkhand and West Bengal.
The NW1 is seen to have a potential to emerge as the logistics artery for northern India, while reducing the congestion on this high-traffic transport corridor, project documents say. However, this stretch is also home to the endangered dolphin.
River dolphins are found in the Ganga and the Brahmaputra and its tributaries. The International Union for Conservation of Nature (IUCN), a membership union of government and civil society organisations, listed it as endangered in 1996. There are around 2,500 of the dolphins and the figure is diminishing.
Aside from losing habitat to increased developmental work on the river, the dolphins also suffered due to depletion of prey base, accidental mortality in fishing nets and accidents
with vessel propellers. The large-scale modification of the river, the proposed
movement of numerous ships, may well sound the death knell of the species. The species are practically blind, and rely on bio-sonar method to move around. The ships noise-levels would disrupt the ability to navigate, and find prey.
Endangered Species Recovery Plan - To tackle the threat to dolphins and three other species, the Union Ministry of Environment and Forests launched in 2016 the Endangered Species Recovery Plans for four species of global importance. IUCN too had expressed its concerns to the Union Environment Ministry on the recovery of endangered
species.
The World Bank and the Inland Waterways Authority of India (IWAI) were cognisant of the need to ensure that critical aquatic life in the Ganga isn’t unduly impacted by the project.
The World Bank suggested that barrages may not be the main reason behind the
decline in dolphin population, as they were nearly extinct in Nepal and Bangladesh rivers where there are no barrages. They attributed the decline to direct killing for oil, accidental killing due to impact of fishing and separation of wetlands from river with embankments.
2. GST council sets exemption threshold for tax at Rs.20 lakh
http://www.thehindu.com/business/Economy/gst-council-sets-exemption-threshold-for-
tax-at-rs20-lakh/article9141310.ece
Category: Indian Economy
Topic: Taxation - GST
Key Points:
The Goods & Services Tax (GST) Council has decided that businesses in the north-
eastern and hill states with annual turnover below Rs.10 lakh would be out of the GST net, while the threshold for the exemption in the rest of India would be an annual
turnover of Rs.20 lakh. The Constitutional Amendment paving the way for the GST has a provision to accord special status to the north-eastern and hill states.
The Council also decided that the existing 11 lakh service tax assessees will continue to be under the jurisdiction of the Centre. Since the GST will allow the States to also tax services, over time the revenue officials in the States will be trained after which they will begin assessing assessees in the services sector.
Compensation formula - The compensation that the Centre would pay to the States for losses of revenue because of the transition to the new regime would be routinely, quarterly or bi-monthly. The Council agreed to settle for 2015-16 as the base year for
calculating the compensation.
States would have sole jurisdiction over assessees (currently in the Value Added Tax (VAT) net at present) having a turnover of Rs.1.5 crore or less, while the administrative control of businesses with a turnover exceeding that limit would be jointly with the central and state governments
D. GS4 Related
E. Important Editorials
The Hindu
1.Raiders of hidden arks
http://www.thehindu.com/opinion/editorial/return-of-indian-sculptures-from-
australia-raiders-of-hidden-arks/article9141343.ece
The return to India of three ancient sculptures from the National Gallery of Australia is another milestone in the long and difficult campaign waged by several countries to repossess their cultural treasures, which have often been bought by museums from idol smugglers. As the provenance of the artefacts - the 900-year old statues of Goddess Pratyangira and Seated Buddha, and the third century Worshippers of Buddha became clear, the only ethical course open to the Australian gallery was to restore the sculptures, which it must be commended for pursuing. Evidently, the two icons other than the sandstone Seated Buddha were acquired from a New York-based art dealer, Subhash
Kapoor, for about $840,000 on the strength of fake documentation: he is now facing prosecution in Tamil Nadu. These are by no means isolated instances. In June, the United States formally returned to India about 200 stolen cultural objects, which include 2,000-year-old artefacts, part of a $100 million trove unearthed by an investigation of Kapoor’s art business. What emerges from these long battles to reclaim articles that constitute cultural heritage is the insight that a dedicated national agency with State government support would be better equipped to fight the scourge of theft and illicit transfer. With trained personnel, it could devote itself to the task of documenting antiquities and ensuring that the country’s ports are sealed against smuggling.
The National Gallery of Australia’s inquiry into the status of its Asian art objects
conducted by a retired judge, Susan Crennan, has had the positive outcome of
identifying 22 articles that have questionable or doubtful credentials, 14 of which were
purchased from Kapoor. Many of the findings in the Australian review underscore the importance of creating a strong repository of information of all Indian antiquities, backed up by unimpeachable forensic records, so that they may be claimed without difficulty at a future date. A lot of the illicit trade has been carried out by smugglers who have laundered the provenance of idols using fake documentation designed to overcome the prohibition imposed by the Antiquities and Art Treasures Act, 1972 on non-governmental exports. Providentially, it is the records of a research institution such as the French Institute of Pondicherry that helped establish the claim to the 11th-12th century Nataraja idol stolen from Tamil Nadu in 2006. Documentation of antiquities using public and private records should become a national mission. These treasures could then be put on
display in national museums.
F. Concepts-in-News: Related Concepts to Revise/Learn:
1. Concepts-in-News: Related Concepts to Revise/Learn
Inter-State river water disputes – Article 262 and Inter-state river water disputes act, 1956
Free trade agreement
Endangered species recovery project
Gangetic dolphin
State Legislature
National waterways - IWAI
2. BILLS/ACTS/SCHEMES/ORGS IN NEWS
BILLS/ACTS/SCHEMES/ORGS IN NEWS Links to Refer
Endangered species recovery project
Special program for the recovery of
critically endangered species
http://www.tribuneindia.com/news/uttarakhand/community/now-
wii-officials-working-on-endangered-species/238185.html
http://pib.nic.in/newsite/PrintRelease.aspx?relid=97914
3. Tags
Rafale fighter jets
Gangetic dolphin
GST council
Friendship-2016
Indo - European Union FTA
Practice Questions
Date: 24th September, 2016
Category: Fighter jets
Topic: Dassault Rafale Source: The Hindu Difficulty level: Medium Type: Conceptual
1. Which of the following statements are correct regarding Dassault Rafale fighter jets that
India recently purchased from France?
1) It is a twin-engine, multi-role fighter aircraft
2) It capable of carrying out all combat missions including nuclear deterrence
a) 1 only b) 2 only c) Both 1&2 d) Neither 1 nor 2.
Ans (c)
Date: 24th September, 2016
Category: Bilateral
Topic: Joint military exercise
Source: The Hindu
Difficulty level: Easy
Type: Factual
2. ‘Friendship – 2016’ is the Joint military exercise between a) India and Russia b) Pakistan and Russia c) China and Pakistan d) Pakistan and India
Ans (b)
Date: 24th September, 2016
Category: Environment
Topic: Endangered species recovery project Source: The Hindu
Difficulty level: Moderate Type: Conceptual
3. Which of the following species is not covered under the endangered species recovery project - 2016 of the Union environment ministry?
(a) Great Indian bustard (b) Gangetic dolphin (c) Sangai deer (d) Royal Bengal Tiger
Ans (d)
Date: 24
th September, 2016
Category: Economy Topic: GST Source: The Hindu Difficulty level: Easy Type: Factual
4. The GST council which decides the tax structure under the proposed GST is headed by -
a. Prime minister
b. Union finance minister
c. Union Home minister
d. Union finance secretary
Ans (b)
Date: 24th September, 2016
Category: International organizations Topic: IUCN
Source: The Hindu Difficulty level: Difficult Type: Conceptual
5. The Red Data Books published by the International Union for Conservation of Nature and Natural Resources (IUCN) contain lists of
1. Endemic plant and animal species present in the biodiversity hotspots, 2. Threatened plant and animal species. 3. Protected sites for conservation of nature and natural resources in various countries.
Select the correct answer using the codes given below:
(a.) 1 and 3 (b.) 2 only (c.) 2 and 3 (d.) 3 only
Ans (b)
Current News Analysis
25-09-2016
A. GS1 Related
B. GS2 Related
1.Rafale deal welcome but fleet small: Experts
http://www.thehindu.com/news/rafale-deal-welcome-but-fleet-small-experts/article9144910.ece
Category: BilateralTopic: Indo-France
Key Points:
According to a group of experts, the conclusion of the deal with France for the purchase of 36 Rafale fighter jets is a welcome step to augment the capabilities of the Indian Air Force but the number is too small for logistical and operational reasons. According to them until India builds its own aircraft, the increasing diversity in the fleet cannot be addressed, another cause of concern for the IAF.
A retired Air chief marshal remembered the success story of the Mirage deal and said it should have served as a template. India has procured three squadrons of Mirage 2000 fighters from France.
2. An independent MP seeks Bill to declare Pak. a terrorist State
http://www.thehindu.com/news/national/mp-seeks-bill-to-declare-pak-a-terrorist-state/article9145261.ece
Category: Bilateral: Indo-PakTopic: Terror attacks
Key Points:
Rajeev Chandrashekhar, an independent Member of Parliament in the Upper House has written to Rajya Sabha chairman, Vice-President Hamid Ansari giving notice to introduce a Bill to declare Pakistan a terrorist state.
The Bill titled Declaration of States as Sponsor of Terrorism Bill, 2016 - It aims at declaring some States as sponsors of terror and withdrawing economic and trade relations with the said State, creating economic and travel sanctions for citizens of the said State.
Provisions of the bill –
Pakistan harbours agents of terrorism and is a continual risk to the peace and security of the region.
It has a number of prohibitions applicable to the government, citizens and corporates of a State sponsoring terror: travel in India, meaning no grant of visas; trade with India or its citizens, etc. The government of India is, however, permitted to make some relaxations.
It also lays down that any person violating the provisions of the law is punishable with imprisonment for a term extending to five years in prison, or fine, or both.
3. 2016 G-4 Summit
http://www.thehindu.com/todays-paper/tp-international/g4-issues-joint-statement-for-un-reforms/article9145337.ece
Category: International summitsTopic: G-4
Key Points:
The G-4 nations (India, Germany, Japan and Brazil) met on the sidelines of UN General Assembly annual meeting at New York; the group passed a resolution to continue to push for comprehensive reform of the UN Security Council.
A joint statement issued by the G-4 Nations said, “More than 70 years after the founding of the UN, the Security Council also has to adapt in order to cope with the ever growing global challenges”
India said it wants permanent membership of the Security Council for themselves, and wide and far-reaching reform of the UN.
Overview:
The G-4 nations are four countries which support each other’s bids for permanent seats on the United Nations Security Council.
G-4 comprises of Brazil, Germany, India, and Japan
The G-4 nation’s bids are often opposed by Uniting for Consensus movement, and particularly their economic competitors or political rivals.
4.Sri Lanka's tamils rally for greater devolution
http://www.thehindu.com/news/international/tamils-rally-for-greater-devolution/article9144870.ece
Category: International affairsTopic: Tamilians issue in Sri Lanka
Key Points:
Thousands of Tamils in Sri Lanka led by Northern Province Chief Minister C.V. Wigneswaran participated in a rally in Jaffna titled Eluka Tamil (Rise, Tamil!), drawing attention to Sinhala colonisation and rampant militarization of Sri Lanka’s North and East.
Mr. Wigneswaran had said that while the Sri Lankan government made big promises to the international community, it was yet to meaningfully devolve powers to the Provinces.
The Tamil People’s Council, (TMC) in a declaration released after the rally, put forth a host of demands, including a call for federalism, return of land in the Army’s control, release of political prisoners and addressing of concerns relating to missing persons. Further, it highlighted challenges facing Northern Tamil fishermen.
C. GS3 Related
1.Pakistan’s MFN tag may stay for now
http://www.thehindu.com/business/Economy/mfn-status-to-pakistan/article9144854.ece
Category: EconomyTopic: Indo-Pak bilateral: MFN
Key Points:
The Centre is not considering any proposal to withdraw the Most Favoured Nation (MFN) status accorded to Pakistan as even without the move the level of bilateral trade is very low.
The MFN status to Pakistan was accorded in 1996 as per India’s commitments as a member of the World Trade Organisation (WTO). According to the MFN principle of the WTO’s General Agreement on Tariffs and Trade (GATT) to which India is a signatory/contracting party each of the WTO member countries (including India and Pakistan in this case), should treat all the other members equally as ‘most-favoured’trading partners. According to the WTO, though the term ‘MFN’ suggests special treatment, it actually means non-discrimination.
In the wake of the deadly attack on Indian soldiers in Uri, an incident for which India is holding Pakistan responsible, there have been calls in India for tough action against its neighbour, including the revocation of the MFN status.
Minuscule trade - Bilateral trade between the two South Asian neighbours was just $2.6 billion in 2015-16 (of which $2.2 billion constituted India’s exports to Pakistan) which represented a minuscule 0.4 per cent of India’s overall goods trade worth $643.3 billion in the same year.
Therefore, even if India revokes the MFN status it would only have a symbolic impact, sources said. On the other hand it would hit India’s exports to Pakistan if there are retaliatory actions and it could also result in India losing goodwill in the South Asian region (where it enjoys a trade surplus and is a party to a free trade pact called SAFTA, which also includes Pakistan). The move may also not go down well at the WTO-level.
The MFN concept is an integral part of the WTO agreements and is among the principles forming the foundation of the multilateral trading system. As per the WTO, whenever a country brings down a trade barrier or liberalises a sector, “it has to do so for the same goods or services from all its trading partners whether rich or poor, weak or strong.” However, exceptions allowed to this rule include free trade pacts and special benefits to poor nations.
Trade curbs - After the attack in Uri, in which 18 Indian soldiers were killed, international trade experts said India could consider making use of a ‘security exception’ clause in the GATT to deny the MFN status to Pakistan or bring in certain trade restrictions. This is because Article 21(b)(iii) of GATT states that “Nothing in this Agreement shall be construed to prevent any contracting party (including India in this case) from taking any action which it considers necessary for the protection of its
essential security interests taken in time of war or other emergency in international relations.”
2.NASA-funded rocket solves cosmic mystery
http://www.thehindu.com/todays-paper/tp-national/nasafunded-rocket-solves-cosmic-mystery/article9145499.ece
Category: Space Topic: NASA
Key Points:
Scientists of NASA have confirmed that some of the X-ray emissions in our universe originate from a huge bubble of hot ionised gas enveloping our solar system, a finding that strengthens our understanding of the early history of solar system’s neighbourhood.
In the 20th century, humans realised that space is filled with types of light we cannot see from infrared signals released by hot stars and galaxies, to the cosmic microwavebackground that comes from every corner of the universe. Some of this invisible light that fills space takes the form of X-rays, the source of which has been hotly debated over the past few decades.
Researchers from University of Miami in the U.S. confirmed some of the theories about where these X-rays come from, using data from NASA-funded DXL (Diffuse X-ray emission from the Local galaxy) rocket, which was launched in 2012.
The two known sources of X-ray emission are the solar wind, the sea of solar material that fills the solar system, and the Local Hot Bubble, a theorised area of hot interstellar material that surrounds our solar system.
DXL also measured some high-energy X-rays that could not possibly come from the solar wind or the Local Hot Bubble.
D. GS4 Related
E. Important Editorials
The Hindu
F. Concepts-in-News: Related Concepts to Revise/Learn:
1. Concepts-in-News: Related Concepts to Revise/Learn
Multi-role fighter jets
Most Favored Nation (MFN)
WTO – TRIPS, GATT
G-4 nations
Electro-magnetic spectrum
2. BILLS/ACTS/SCHEMES/ORGS IN NEWS
BILLS/ACTS/SCHEMES/ORGS IN NEWS Links to Refer
G-4 nations
Most Favored Nation (MFN)
https://en.wikipedia.org/wiki/G4_nations
https://en.wikipedia.org/wiki/Most_favoured_nation
3. Tags
Rafale fighter jets
G-4
Declaration of States as Sponsor of Terrorism Bill, 2016
NASA-funded DXL
UNSC
Practice Questions
Date: 25th September, 2016Category: MultilateralTopic: G-4Source: The Hindu
Difficulty level: MediumType: Factual
1. Recently, G4- Nations were in news. Which of the following is/are not a part of it?
i)India ii)South –Africa iii)China iv)Germany v)Brazil
a) ii) iii) & iv)
b) i) ii) & iii)
c) ii) & iii)
d) All are Part of it
Ans (c)
Date: 25th September, 2016Category: Bilateral Topic: MFNSource: The Hindu Difficulty level: MediumType: Conceptual
2. Which of the following statements are correct regarding Most Favored Nation (MFN) -
(1) According to WTO, the term ‘MFN’ means non-discrimination. (2) India is a signatory to the MFN principle of the WTO’s General Agreement on Tariffs
and Trade (GATT)
a. (1) onlyb. (2) onlyc. Both (1) and (2)d. Neither (1) nor (2)
Ans (c)
Date: 25th September, 2016Category: National organizationsTopic: Counter-terrorism
Source: The Hindu Difficulty level: EasyType: Factual
3. In 2008, the centre formed an exclusive institution to investigate terror and insurgency related cases. Which is the agency?
(a) National counter terror centre (NCTC)(b) National Investigative Agency (NIA)(c) National Security Guard (NSG)(d) Special Protection Group (SPG)
Ans (b)
Date: 25th September, 2016Category: MultilateralTopic: WTOSource: The HinduDifficulty level: MediumType: Factual
4. In 1995, the World Trade Organization (WTO) was formed. The origin of WTO can be traced to –
(a) General agreement on trade and tariff (GATT)(b) General agreement on trade in services (GATS)(c) Trade related intellectual property rights (TRIPS)(d) None of these
Ans (a)
Date: 25th September, 2016Category: International issuesSource: The HinduDifficulty level: MediumType: Factual
5. ‘Jaffna Peninsula’ and ‘Elephant pass’ appears in news. It is in
(a) Sri Lanka(b) Bangladesh(c) Pakistan(d) Nepal
Ans (a)